Fitch Ratings expects the Bank of America Corp. (BAC) settlement of mortgage repurchase and servicing claims will positively affect the ratings of roughly 10% of Fitch-rated U.S. RMBS bonds in the affected legacy Countrywide trusts.  

Fitch believes that payouts from the settlement in the short term and improved servicing practices in the longer term are probably going to further improve recovery prospects for a larger part of the bonds. This will lead to more pronounced upgrades of Fitch’s Recovery Ratings on those tranches.

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