By Press Association City Staff

Barclays is to pay 325 million US dollars (£210m) to resolve two civil lawsuits relating to the purchase of US residential mortgage-backed securities.

The banking giant reached the settlement with the National Credit Union Association (NCUA), the independent agency that regulates federal credit unions.

Once the settlement is completed, the NCUA said it will dismiss pending suits against Barclays in federal district courts in New York and Kansas.

Barclays does not admit fault in the settlement.

The NCUA said it will continue to pursue litigation against other financial firms, including Goldman Sachs, UBS, Credit Suisse and Morgan Stanley, regarding the sale of faulty securities that caused the collapse of five corporate credit unions.

The agency also has other litigation pending against securities firms alleging violations of state and federal anti-trust law by manipulation of interest rates through the London Interbank Offer Rate (Libor) system, it added.

"In order to help minimise losses and future costs to the credit union system, NCUA is committed to pursuing recoveries against financial firms we maintain contributed to the corporate crisis," said NCUA Board Chairman Debbie Matz .

"The agency has a statutory obligation to secure recoveries for credit unions and ensure that consumers remain protected, and we take that responsibility very seriously."