Credit Suisse Resolves U.S. Mortgage Probe for $5.3 Billion

  • Bank to pay $2.5 billion fine, $2.8 billion in consumer relief
  • Pact leaves handful of open mortgage probes as Obama exits
Photographer: Gianluca Colla/Bloomberg
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Credit Suisse Group AG and the Justice Department completed a $5.3 billion agreement to settle a U.S. investigation into the bank’s sales of toxic mortgage debt before the financial crisis.

Credit Suisse will pay a $2.5 billion civil penalty and $2.8 billion in consumer relief, to be paid over five years after the settlement, the Justice Department said on Wednesday, in line with the bank’s Dec. 23 announcement of a preliminary resolution.