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2025-08-04 17:42
UBS (NYSE:UBS) will pay $300 million to the U.S. Department of Justice to resolve outstanding obligations related to residential mortgage-backed securities (RMBS) that were originally under Credit Suisse when UBS (NYSE:UBS) acquired it in 2023.
This settlement specifically addresses the remaining "Consumer Relief Obligations" under a 2017 agreement Credit Suisse had reached with the DOJ, UBS (UBS) said in a statement.
UBS indicated that the settlement will allow it to release provisions previously set aside for these losses, positively impacting its third-quarter earnings through its non-core and legacy unit.
Since acquiring Credit Suisse, UBS (UBS) has tackled multiple legacy legal issues from the failed bank. In 2023, UBS (UBS) agreed to pay $1.44 billion to settle its own long-running case over US mortgage-backed securities.
The original 2017 Credit Suisse settlement required $5.7 billion in obligations—UBS’s $300 million deal completes the final payments on that legacy liability.