Oct. 20, 2010 (CNBC) -- The problems banks have with mortgages will take a long time to be solved and bank stocks are not attractive despite the recent drop in price following fears over problems with foreclosures, famous investor Jim Rogers told CNBC Wednesday.
The New York Federal Reserve Bank and seven other large institutional investment firms asked Tuesday that Bank of America repurchase loans included in mortgage securities.
A law firm has alleged failures by Countrywide Financial, which Bank of America (BofA) bought in 2008, to properly service loans that were part of certain mortgage-backed securities.
"Everybody was doing this, this is not just something that Countrywide and Bank of America were doing," Rogers, who started the Quantum Fund with George Soros in the 1970s, said. "And now (banks) have to pay the price, suffer the consequences."
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