The nation’s mortgage giants remain bogged down in claims arising from reckless lending during the housing bubble.
In the first quarter, Bank of America (BAC) recorded its lowest provision for repurchases of bad mortgages in more than three years, but most claims from private investors are still unresolved. JPMorgan Chase (JPM) has reduced its buyback reserve for seven consecutive quarters while Wells Fargo (WFC) has been building its up over the same period — a comparison that either makes JPMorgan Chase look aggressive or Wells Fargo conservative. (Repurchase data for the country’s three biggest mortgage lenders is shown in the following graphic. Interactive controls are described in the captions. Text continues below.)