BofA Likely To Report Q3 Loss Over Record $16.65 Billion Mortgage Settlement

The deal follows months of negotiations between the regulators and Bank of America, and is the largest settlement ever by the DoJ with a single entity. The cash component of the deal is $9.65 billion, while the remaining $7 billion will be directed towards consumer relief. As a direct result of the payout, the bank will see a $5.3 billion reduction in pre-tax earnings for the quarter - likely enough to send the results for Q3 2014 in the red.