A Seattle bank hobbled by faltering commercial real estate loans became the 82nd U.S. bank failure this year, costing the insurance fund of the Federal Deposit Insurance Corp. more than $158 million. The deposits of Washington First International were assumed by East West Bank, of Pasadena, California.Read more
At a total estimated cost to its insurance fund of $317 million, the Federal Deposit Insurance Corp. shut down five more banks – bringing this year’s total to 78 bank failures.
Three banks in Florida, one in Nevada and one in California held a total of $1.945 billion in assets.
Pinehurst Bank in St. Paul, Minnesota became the 73rd bank failure this year – one of a string of neighborhood banks throughout the country unable to survive faltering loans and slumping demand for credit. The Federal Deposit Insurance Corp. expects the rate of bank closures to peak later this year, and it reported some encouraging signs in the overall banking industry’s recovery with its first quarter results released Thursday.Read more
The number of insured commercial banks and savings institutions on the Federal Deposit Insurance Corp.’s “Problem List” jumped from 702 to 775 during the first quarter, with their total assets increasing from $403 billion to $431 billion. However, the FDIC reported overall “positive signs of recovery” in the banking industry in its first quarter 2010 report released today.Read more
A Chicago area bank with nearly $3.2 billion in assets – which had received an infusion of $84.8 million inRead more
Four more failing banks were closed by the Federal Deposit Insurance Corp. in the past week, bringing this year’s total to 68. Through April, the rate of failures is more than twice of last year’s – 64 banks compared to 28 in 2009. All of last year saw 140 closures, the most since 1992.Read more
The Federal Deposit Insurance Corporation seized seven more banks this week, with three in Puerto Rico representing 30 percent of that island’s deposits, possibly the largest share of a single market affected since the savings and loan crisis 20 years ago. The seven failures bring this year’s total bank closures to 64, a faster pace than in 2009 when 140 were seized.Read more
Regulators have seized seven banks in Illinois with a unit of Bank of Montreal assuming the assets and liabilities of the largest institution, and marking the second time in as many weeks that a Canadian bank has made headway into the U.S. market via this country’s bank failures. U.S. bank collapses, fueled by faltering real estate loans, is up to 57 this year.Read more
Regulators seized 8 banks this week – a high number even by credit crisis standards – with an overall total of $6.25 billion in assets and $5.1 billion in deposits. The actions by the Federal Deposit Insurance Corp. takes this year’s total of bank failures to 50, on pace to break last year’s total of 140 collapses, a nearly two-decade high.Read more
Washington Mutual’s primary regulator, the Office of Thrift Supervision, prevented the Federal Deposit Insurance Corp. from properly examining the troubled loan files of the Seattle-based thrift before it became the largest bank failure in U.S. history, according to testimony today during a Senate hearing. Testimony by FDIC Chairman Sheila Bair and John M. Reich, the OTS director at the time, offers a glimpse at a lack of interagency cooperation among banking regulators in the prelude to WaMu’s downfall.Read more
Federal regulators have seized a bank based in Myrtle Beach, South Carolina which had invested in coastal real estate development, the first to be taken over from that state since 1999 and bringing this year’s total bank failures to 42. Beach First was hit with failing real estate-backed loans from investments in upscale condominium and other projects along the coastal community.Read more