News Formal

Wells Fargo profit slumps as mortgage lending business comes under pressure

  • 📰 BDliveSA
  • ⏱ Reading Time:
  • 43 sec. here
  • 2 min. at publisher
  • 📊 Quality Score:
  • News: 21%
  • Publisher: 63%

Business News News

The fourth-largest US lender reported a profit of $3.1bn, or 74c per share, for the quarter ended June, compared with $6bn, or $1.38 per share, a year earlier

Picture: BLOOMBERG/MARK KAUZLARICH

Well Fargo's loan loss provision for the latest period included a $235m increase in the allowance for credit losses due to loan growth. Last year, the bank had released $1.26bn of reserves, helping offset a decline in its mortgage lending business. “We do expect credit losses to increase from these incredibly low levels, but we have yet to see any meaningful deterioration in either our consumer or commercial portfolios,” CEO Charlie Scharf said in a statement.The fourth-largest US bank has been in the regulators’ penalty box since 2016 for governance and oversight lapses related to a series of sales and other scandals.

On Thursday, JPMorgan reported a 26% decline in home loan revenue from the year-ago quarter, predominantly driven by less lending.Overall, non-interest expenses fell to $12.9bn from $13.3bn a year earlier.

 

Thank you for your comment. Your comment will be published after being reviewed.
Please try again later.

I’m honored to invest and withdraw without stress I got my 70k all through Mike_Rosehart I urge everyone to invest with this man Philip he’s the best I can recommend 😊 Great! No hidden fees They have good brokerage

We have summarized this news so that you can read it quickly. If you are interested in the news, you can read the full text here. Read more:

 /  🏆 12. in BUSİNESS

Business Business Latest News, Business Business Headlines

Similar News:You can also read news stories similar to this one that we have collected from other news sources.

Business Maverick: More Chinese homebuyers refuse to pay mortgage loans amid contagion fearsA rapidly increasing number of disgruntled Chinese homebuyers are refusing to pay mortgages for unfinished construction projects, exacerbating the country’s property market woes and stoking fears that the crisis will spread to the wider financial system.
Source: dailymaverick - 🏆 3. / 84 Read more »

Business Maverick: Morgan Stanley Hit by Banking Slump as Recession Fears LoomMorgan Stanley’s revenue from investment banking plummeted as capital markets seized up, underlining a slow quarter for Wall Street as a dour outlook for the economy muddles the path forward.
Source: dailymaverick - 🏆 3. / 84 Read more »

Wine industry inching back to pre-Covid levelsMajor representative of local wine producers Vinpro_za anticipates the sector will contribute R5.7 billion towards the country’s gross domestic product (GDP) by the end of 2022. Moneyweb Wine Profits Vinpro_za I'm doing my part. 🍷
Source: Moneyweb - 🏆 5. / 77 Read more »