Bank of America’s Huge Settlement 24

Apparently even the banks can only handle some much red tape. Not something you’d expect from the kings of the “forms in triplicate” but they’ve finally decided to cave to the pressure.

Bank of America has surrendered to Justice Department pressure. Instead of continuing to have their inner-workings looked over for misconduct they’re looking to buy their way out. They’ve offered the government $12 billion to cut their losses now and settle any outstanding issues.

This follows on JPMorgan’s buyoff last year when they ponied up $13 billion.

I’m kind of torn. On the one hand I’m happy to see the type of incompetence that led to the financial crisis punished. On the other hand I want to put the whole sorry story behind us. It’s just too much to spend the next 6 years worrying about the last 6 years. Maybe we all need to learn to move on.

In general I’m not a fan of letting banks buy their way out of trouble but I think it might do the country some good to finally close the case.

What do you guys think? Should the Justice Department take the payout or keep digging for more dirt?

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