JPMorgan Chase's profit jumps 23 percent in 3Q

Oct 13, 2010 07:58 EDT

JPMorgan Chase & Co. said Wednesday that its third-quarter profit jumped 23 percent because the banking giant was able to set aside less money to cover loan losses.

CEO Jamie Dimon did warn that loan losses are still high in both the mortgage and credit card portfolios, but they are no longer rising like they did during the recession. That enabled JPMorgan Chase to set aside $1.55 billion to cover losses in its retail financial services division, less than half the $3.99 billion in loss provisions recorded in the same period a year ago. Loan loss provisions in its credit-card business fell to $1.63 billion from $4.97 billion last year.

Dimon said the bank, the country's second-largest by assets and the first big bank to report quarterly results, expects losses in its credit-card division to fall in the next quarter.

The New York bank earned $4.42 billion, or $1.01 per share. It earned $3.59 billion, or 82 cents, during the same quarter last year.
http://www.talkingpointsmemo.com/news/2010/10/jpmorgan_chases_profit_jumps_23_percent_in_3q.php?ref=fpa

Pirates.

People stop spending, they make money off it. A recession? They make money off it.

"My administration is the only thing between you and the pitchforks," here...

They will kill to get it

Total Financial Wealth

80% own 7%----------1% own 43%---20% own 93%

120,000.000 workers

1.
JPMorgan exits electronic mortgage tracking system (MERS)

MERS was the system that the banks SET UP to hide the fraud.
Now one of the banks is trying to make MERS hold the smoking gun.
Wonder if that will work?
Wonder how long till the other banks flee MERS?
And if MERS is now in disrepute, is that an admission the titles it recorded ( 60% of ALL mortgages)
are invalid???

"NEW YORK – JPMorgan Chase's CEO says the bank has stopped using the electronic mortgage tracking system used by major financial institutions.
Lawyers have argued in court proceedings that the system is unable to accurately prove ownership of mortgages."

http://www.foreclosureindustry.com/2010/10/jp-morgan-chase-is-exiting-mers/

2. from article:
" And J.P. Morgan’s statement reveals it is battening down the hatches.

The company said it has set aside an extra $1.3 billion for possible legal costs. It also said it is carefully reviewing 115,000 mortgage affidavits in an earnings call. (CEO Jamie Dimon tried to reassure call participants by saying there is “almost no chance we made a mistake” with foreclosures.) And it revealed that it increased its mortgage-repurchase reserves by $1 billion. The bank uses that money, now more than $3 billion, to buy back bad mortgages it packaged and sold to investors or the government-sponsored entities, Fannie Mae and Freddie Mac. (Often, the investor makes the bank buy the mortgage back because the documents are faulty.)
That implies J.P. Morgan alone is preparing for a multi-billion-dollar fallout.
Watch for other banks to do the same when they reveal their third-quarter earnings, this week and next.”