Posted on 01/26/2011 12:11:16 PM PST by FromLori
January 21, 2010 – The FDIC, with a long list of 860 Problem Banks, was hit for $455 million in losses as four banks collapsed across four states.
During 2010 a total of 157 banking failures occurred, the most since 1992 when 181 banks were closed. In 2009 a total of 140 banks were closed. During all of 2008 there were 25 bank failures. There were only 3 bank failures during 2007. No banks failed during 2005 and 2006.
With over 10% of all FDIC insured institutions on the Problem Bank List, the pace of banking failures does not look likely to subside anytime soon (see Seven Reasons Why Banking Failures Will Increase During 2011).
Highlights of this week’s banking failures include:
This week’s four failed banks had combined assets of $2.79 billion and resulted in a loss to the FDIC Deposit Insurance Fund of $454.9 million.
The week’s largest banking failure was United Western Bank of Colorado which had assets of $2.05 billion. In what has become a routine event, one of this week’s failed banks was sold by the FDIC to a bank that has not repaid the US Treasury for money loaned to them under the Troubled Asset Relief Program (TARP).
Some depositors at Enterprise Banking lose money while others do not – see Enterprise Bank Failure Exposes Inequity of FDIC Deposit Insurance.
Please click on the following links for detailed information on each bank closing.
Enterprise Banking Company, McDonough, GA – Banking Failure #4
CommunitySouth Bank & Trust, Easley, SC - Banking Failure #5
The Bank of Asheville, Asheville, NC – Banking Failure #6
United Western Bank, Denver, CO – Banking Failure #7
I remember well the breakfast pep-rally meeting given by IndyMac I attended when I was working as a mortgage broker in '06-'07. I literally came out of there with my jaw on the floor. They made it absolutely clear that they did not want to lose even a single mortgage loan, no matter how outlandish. They had about 4 or 5 loan "products", each with a brochure. The difference between those products was nothing more than the successive omission of more and more borrower information. If you could not get a borrower qualified under the loosest, most ephemeral program, you were to call your regional manager and they would figure out a way to get your borrower qualified. It was absolutely absurd. And frankly, it wasn't all that exceptional, because where I worked, we had EIGHTY FIVE other lenders who would grant a loan with one or two additional pieces of borrower info.
I just cash my checks now. I am afraid there will not be enough cash in the banks to cover when people run them in the near future. They do not have enough time to print enough. I like mattress savings and loan.
Someone on here explained to me once how that could happen and happen fast. Heck they don’t give you crap for saving anyway and all the fee’s have gone up it could potentially cost you to save your money. Mattress or buying things you need is probably a good idea.
I have a commercial business client in So Calif who I have done the bookkeeping for for over 35 years.
His father before him & since buying Dad out, my client has always been a B of A customer.
The latest?
Bank of America is no longer sending him a BANK STATEMENT.
They told him : “If you want a statement, you have to get up on the internet & print one for yourself”.
I was beyond stunned—this is a BUSINESS!!! With B of A for over 40 years!!
I would have found a bank who would print & mail me my statements.
BOA is a scummy bank they wrong fully foreclosed on some of our service members, Jamie Dimon and zero go way back to Chicago he’s been donating to obama and acorn for years, little wonder they have the in for making all the money on the food stamps.
It really irks me that so many of the smaller conservative banks were wiped out and oinker’s like him are still around.
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