(WZZM) - JP Morgan Chase has reached a landmark settlement in a case with the US government.
The banking giant has agreed to pay $13 billion for taking part in what prosecutors call "recklessness on Wall Street."
JP Morgan was among the major banks that sold mortgage-backed securities that plunged in value when the housing market collapsed in 2006 and 2007. Those losses triggered a financial crisis that pushed the economy into the worst recession since the 1930s.
As part of the deal, JP Morgan has agreed to provide $4 billion in relief to homeowners affected by the bad loans.