After years of back-and-forth, Bank of America (NYSE: BAC ) and MBIA (NYSE: MBI ) have settled the dispute over issues stemming from legacy Countrywide practices. The Charlotte, N.C.-based bank agreed to pay $1.6 billion in cash, as well as engage in some other actions. Both stocks soared after the deal was announced on Monday.
In this video, Motley Fool banking analysts Matt Koppenheffer and David Hanson grade the settlement for the two parties and tell viewers what it means for investors going forward.
Is the legal monkey finally off B of A's back, or is there more yet to come? With significant challenges still ahead, it's critical to have a solid understanding of this megabank before adding it to your portfolio. In The Motley Fool's premium research report on B of A, Matt is joined by analyst Anand Chokkavelu, CFA, to lift the veil on the bank's operations, including detailing three reasons to buy and three reasons to sell. Click here now to claim your copy.