Citigroup has consented to the assessment of a civil money penalty in the amount of US$8,600,000 issued by the Federal Reserve in relation to residential mortgage loan servicing at its subsidiary, CitiFinancial Credit Company of Baltimore.

The fine relates to the deficient execution and notarisation of certain mortgage-related affidavits prepared by CitiFinancial. The improper practices occurred in 2015 and were corrected. CitiFinancial pulled out of the mortgage servicing business in 2017, after three years of preparation.

On 13 April 2011, the Board of Governors of the Fed issued a consent order against Citigroup and CitiFinancial that required them to take specific measures to overcome their deficiencies in the field of mortgage servicing. Only last week did the Fed bring the matter to a close.

There will not be any further enforcement action in respect of the conduct.