Fannie Mae’s buyback requests likely will slow now that the government-sponsored enterprise has settled with Bank of America, Bloomberg reported Jan. 8. The GSE is nearly three-quarters through its buyback requests, having found underwriting flaws in approximately 3 percent of the loans it purchased and packaged into bonds from 2005-08.

Timothy Mayopoulos, Fannie Mae chief executive officer, told Bloomberg that Fannie’s recent $11.7 billion settlement with Bank of America would take care of a major portion of the GSE’s repurchase requests. The GSE also has made repurchase requests of Citibank, JPMorgan Chase and Wells Fargo.

In the third quarter of 2012, Fannie had outstanding purchase requests totaling $16.2 billion; $10.8 billion of those requests were to Bank of America.

As part of its settlement with Fannie, Bank of America will make a $3.6 billion cash payment to the GSE and buy back $6.75 billion in residential loans it sold to the GSE. Additionally, the bank will pay $1.3 billion in fees for failing to aid troubled borrowers or for failing to foreclose on them in a timely fashion.

Mayopoulos told Bloomberg that Fannie had turned a corner, noting its $9.7 billion in net income in the first three quarters of 2012, more than it has ever reported for a full year.