Citigroup may pay $7 billion to resolve U.S. mortgage probes

Citigroup Inc. is close to paying about $7 billion to resolve a U.S. probe into whether it defrauded investors on billions of dollars worth of mortgage securities in the run-up to the financial crisis, a source familiar with the matter told Reuters on Tuesday.

An announcement of the settlement between the bank and the U.S. Justice Department could come as early as next week.

The majority of the settlement is expected in cash, but several billion dollars would help struggling borrowers, according to the report.

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