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Comment by truth on October 12, 2012 at 8:05pm

JPMorgan Chase Reports Record Profits, But Homeowners Say They Are ...Friday, October 12, 2012 7:37 PM”With a big assist from its mortgage division, JPMorgan Chase reported a record quarterly profit of $5.3 billion on Friday, another encouraging sign that the housing market is finally recovering from a collapse that has cost nearly 4 million families their home.
“We believe the housing market has turned the corner,” said Jamie Dimon, the bank’s chief executive, in a release.
What is less clear is whether JPMorgan Chase has turned the corner in its dealings with struggling homeowners. Under a $25 billion legal deal struck earlier this year with state and federal authorities, JPMorgan Chase and four other large banks promised to overhaul mortgage “servicing” practices, following widespread reports that the bank had botched the management of thousands of home loans, leading in many instances to unnecessary foreclosures. The deadline for compliance was Oct. 3.

Comment by Michael Rivero on October 12, 2012 at 7:56pm

This article is ignoring the effects of QE-infinity. The Federal Reserve is creating money out of thin air (all of it considered a loan at interest to the American people) and using it to buy toxic assets (meaning the worthless mortgages left over from the mortgage-backed securities fraud) to the tune of $40 billion a month. From the bank's point of view, when a worthless liability is traded for cash, it goes on the balance sheet. So J. P. Morgan Chase's record profits have nothing to do with a housing recovery and everything to do with transferring worthless pieces of paper onto the backs of the American people!

Comment by truth on October 12, 2012 at 7:49pm

Dimon on Wednesday said the lawsuit was “unfair” because JPMorgan had done the Fed “a favour” by taking over a broken Bear Stearns.