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More Fallout from Crisis: Muni Swaps

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For banks that built up significant portfolios in the municipal interest rate swap business, it may be time to consider what to do when the customer isn't always right.

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The $25 billion mortgage robo-signing settlement is:
Political extortion from the banks in an election year
A slap on the wrist — the banks put reserves away for this long ago, they won't even feel it
A source of relief for both banks and homeowners that could help the housing market and economy recover
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