| Outstanding Claims By Category And Product |
The table below presents unresolved repurchase claims at September 30, 2013 and December 31, 2012. The unresolved repurchase claims include only claims where the Corporation believes that the counterparty has a basis to submit claims. For additional information, see Whole Loan Sales and Private-label Securitizations Experience in this Note and Note 11 – Commitments and Contingencies herein. These repurchase claims do not include any repurchase claims related to the BNY Mellon Settlement regarding the Covered Trusts.
|
|
|
|
|
|
|
|
|
Unresolved Repurchase Claims by Counterparty and Product Type (1, 2)
|
|
|
|
(Dollars in millions) |
September 30
2013 |
|
December 31
2012 |
By counterparty |
|
|
|
GSEs |
$ |
1,208 |
|
|
$ |
13,530 |
|
Monolines |
1,541 |
|
|
2,449 |
|
Private-label securitization trustees, whole-loan investors, including third-party securitization sponsors and other |
14,911 |
|
|
12,299 |
|
Total unresolved repurchase claims by counterparty |
$ |
17,660 |
|
|
$ |
28,278 |
|
By product type |
|
|
|
Prime loans |
$ |
1,631 |
|
|
$ |
8,793 |
|
Alt-A |
1,456 |
|
|
5,428 |
|
Home equity |
1,734 |
|
|
2,394 |
|
Pay option |
5,680 |
|
|
5,884 |
|
Subprime |
5,276 |
|
|
3,687 |
|
Other |
1,883 |
|
|
2,092 |
|
Total unresolved repurchase claims by product type |
$ |
17,660 |
|
|
$ |
28,278 |
|
|
|
(1) |
Excludes certain MI rescission notices. However, at September 30, 2013 and December 31, 2012, included $443 million and $2.3 billion of repurchase requests received from the GSEs that have resulted solely from MI rescission notices. For additional information, see Mortgage Insurance Rescission Notices in this Note.
|
|
|
(2) |
At September 30, 2013 and December 31, 2012, unresolved repurchase claims did not include repurchase demands of $1.4 billion and $1.6 billion where the Corporation believes the claimants have not satisfied the contractual thresholds as discussed on page 212.
|
|
| Loan Repurchases And Indemnification Payments |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Loan Repurchases and Indemnification Payments |
|
Three Months Ended September 30 |
|
2013 |
|
2012 |
(Dollars in millions) |
Unpaid
Principal
Balance
|
|
Cash Paid
for
Repurchases
|
|
Loss |
|
Unpaid
Principal
Balance
|
|
Cash Paid
for
Repurchases
|
|
Loss |
First-lien |
|
|
|
|
|
|
|
|
|
|
|
Repurchases |
$ |
128 |
|
|
$ |
136 |
|
|
$ |
27 |
|
|
$ |
239 |
|
|
$ |
261 |
|
|
$ |
98 |
|
Indemnification payments |
190 |
|
|
115 |
|
|
115 |
|
|
183 |
|
|
126 |
|
|
126 |
|
Total first-lien |
318 |
|
|
251 |
|
|
142 |
|
|
422 |
|
|
387 |
|
|
224 |
|
Home equity |
|
|
|
|
|
|
|
|
|
|
|
Repurchases |
— |
|
|
— |
|
|
— |
|
|
2 |
|
|
2 |
|
|
— |
|
Indemnification payments |
25 |
|
|
26 |
|
|
26 |
|
|
7 |
|
|
7 |
|
|
7 |
|
Total home equity |
25 |
|
|
26 |
|
|
26 |
|
|
9 |
|
|
9 |
|
|
7 |
|
Total first-lien and home equity |
$ |
343 |
|
|
$ |
277 |
|
|
$ |
168 |
|
|
$ |
431 |
|
|
$ |
396 |
|
|
$ |
231 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Nine Months Ended September 30 |
|
2013 |
|
2012 |
First-lien |
|
|
|
|
|
|
|
|
|
|
|
Repurchases |
$ |
661 |
|
|
$ |
693 |
|
|
$ |
124 |
|
|
$ |
989 |
|
|
$ |
1,065 |
|
|
$ |
313 |
|
Indemnification payments |
481 |
|
|
291 |
|
|
291 |
|
|
647 |
|
|
298 |
|
|
298 |
|
Total first-lien |
1,142 |
|
|
984 |
|
|
415 |
|
|
1,636 |
|
|
1,363 |
|
|
611 |
|
Home equity |
|
|
|
|
|
|
|
|
|
|
|
Repurchases |
— |
|
|
— |
|
|
— |
|
|
18 |
|
|
18 |
|
|
— |
|
Indemnification payments |
49 |
|
|
51 |
|
|
51 |
|
|
32 |
|
|
29 |
|
|
29 |
|
Total home equity |
49 |
|
|
51 |
|
|
51 |
|
|
50 |
|
|
47 |
|
|
29 |
|
Total first-lien and home equity |
$ |
1,191 |
|
|
$ |
1,035 |
|
|
$ |
466 |
|
|
$ |
1,686 |
|
|
$ |
1,410 |
|
|
$ |
640 |
|
|
| Rollforward Of Liability For Representations And Warranties |
The table below presents a rollforward of the liability for representations and warranties and corporate guarantees.
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Representations and Warranties and Corporate Guarantees |
|
|
|
|
|
|
|
|
Three Months Ended September 30 |
|
Nine Months Ended September 30 |
(Dollars in millions) |
2013 |
|
2012 |
|
2013 |
|
2012 |
Liability for representations and warranties and corporate guarantees, beginning of period |
$ |
14,020 |
|
|
$ |
15,943 |
|
|
$ |
19,021 |
|
|
$ |
15,858 |
|
Additions for new sales |
9 |
|
|
8 |
|
|
31 |
|
|
19 |
|
Net reductions |
(236 |
) |
|
11 |
|
|
(5,706 |
) |
|
(592 |
) |
Provision |
323 |
|
|
307 |
|
|
770 |
|
|
984 |
|
Liability for representations and warranties and corporate guarantees, September 30 |
$ |
14,116 |
|
|
$ |
16,269 |
|
|
$ |
14,116 |
|
|
$ |
16,269 |
|
|