- REUTERS/Arnd Wiegmann
Credit Suisse formally agreed to pay $5.3 billion to settle with U.S. authorities over claims it misled investors in residential mortgage-backed securities it sold in the run-up to the 2008 financial crisis, the U.S. Department of Justice said said on Wednesday.
Zurich-based Credit Suisse will pay a $2.48 billion cash penalty and provide $2.8 billion in consumer relief, the Justice Department said in a statement.
Credit Suisse had announced the agreement in principle on Dec. 23.
Credit Suisse will report fourth-quarter and full-year 2016 earnings on February 14.
Deutsche Bank on Tuesday agreed to pay a $7.2 billion settlement to US authorities over pre-crisis mortgage-backed securities.