U.S. Wants BofA To Pay $864M Over Bad Loans: WSJ

WASHINGTON –  The U.S. government wants Bank of America to pay a penalty of $864 million for bad mortgages made from August 2007 until April 2008 and purchased by Fannie Mae and Freddie Mac , according to a [l:Wall Street Journalstory|http://online.wsj.com/news/articles/SB10001424052702304448204579187942897087218|NEW] that ran Saturday. The mortgages were part of a program called "Hustle," which aimed to quickly make loans that were then sold to government sponsored enterprises Fannie and Freddie, according to the Journal's story. The government said the sought penalty amount would cover Fannie and Freddie's gross losses from "Hustle," according to the story. "Hustle" was created by Countrywide, which Bank of America purchased in 2008.

Via Fox Business
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