Bank Failures speeding up

As of Fridays seizure of Corus Banks seven billion in assets that brings to total number of failed banks up to 8 for this month alone In August we had 15, July was the big month with 19 closures but September is shaping up to far surpass that number.

Hundreds more banks are expected to fail in the next few years largely because of souring loans for commercial real estate. The number of banks on the FDIC's confidential "problem list" jumped to 416 at the end of June from 305 in the first quarter. That's the highest number since June 1994, during the savings-and-loan crisis.

The insurance fund has been so depleted by the epidemic of collapsing financial institutions that some analysts have warned it could sink into the red by the end of this year. The fund fell 20 percent to $10.4 billion at the end of June, the FDIC reported last week.

That's its lowest point since 1992, at the height of the S&L crisis. The agency estimates bank failures will cost the fund around $70 billion through 2013.

Venture Bank, Lacey, WA with approximately $970 million in assets and approximately $903 million in deposits was closed. First-Citizens Bank & Trust Company, Raleigh, NC has agreed to assume all deposits, excluding certain brokered deposits. (PR-170-2009)

Brickwell Community Bank, Woodbury, MN with approximately $72 million in assets and approximately $63 million in deposits was closed. CorTrust Bank N.A. Mitchell, SD has agreed to assume all deposits, excluding certain brokered deposits. (PR-169-2009)

Corus Bank, N.A., Chicago, IL with approximately $7 billion in assets and approximately $7 billion in deposits was closed. MB Financial Bank, N.A., Chicago, IL has agreed to assume all deposits, excluding certain brokered deposits. (PR-168-2009)

First State Bank, Flagstaff, AZ with approximately $105 million in assets and approximately $95 million in deposits was closed. Sunwest Bank, Tustin, CA has agreed to assume all deposits, excluding certain brokered deposits. (PR-165-2009)

Platinum Community Bank, Rolling Meadows, IL, with approximately $345.6 million in assets and approximately $305.0 million in deposits was approved for payout by the FDIC Board of Directors. (PR-164-2009)

Vantus Bank, Sioux City, IA with approximately $458 million in assets and approximately $368 million in deposits was closed. Great Southern Bank, Springfield, MO has agreed to assume all deposits. (PR-163-2009)

InBank, Oak Forest, IL with approximately $212 million in assets and approximately $199 million in deposits was closed. MB Financial Bank, National Association, Chicago, IL has agreed to assume all deposits, excluding certain brokered deposits. (PR-162-2009)

First Bank of Kansas City, Kansas City, MO with approximately $16 million in assets and approximately $15 million in deposits was closed. Great American Bank, De Soto, KS has agreed to assume all deposits. (PR-161-2009)

Source FDIC

Thanks, Dad.

More good news.

Its like a snowball going downhill getting bigger and faster. The elite are going to be able to buy America for pennies on the dollar this time next year.

mod please remove double post. thanks sorry

[edit on 9/12/2009 by Grayelf2009]

Originally posted by Grayelf2009
Its like a snowball going downhill getting bigger and faster. The elite are going to be able to buy America for pennies on the dollar this time next year.

You are of course right. banks need to make loans ... a good deal of their earnings come from collecting the interest but if that market dries up or to many defaults disrupt the system, the whole thing caves like a house of cards.

To normal people like us the $250,000 FDIC safety net is plenty. to a corporate account only getting back 250k could spell the end of their companies.

Here's an adium to my first post...

Goldman Sachs, JPMorgan Chase and others — which have received tens of billions of dollars in federal aid — are once more betting big on bonds, commodities and exotic financial products, trading that nearly stopped during the financial crisis.

• There have been no significant changes to the federal rules governing their behavior. Proposals that have been made to better monitor the financial system and to police the products banks sell to consumers have been held up by lobbyists, lawmakers and turf-protecting regulators.

• Through mergers and the failure of Lehman Brothers, the mammoth banks whose near-collapse prompted government rescues have gotten even bigger, increasing the risk they pose to the financial system. And they still make bets that, in the aggregate, are worth far more than the capital they have on hand to cover against potential losses.

• The government's response to last year's meltdown was to spend whatever it takes to protect the financial system from collapse — a precedent that could encourage even greater risk-taking from the private sector.
Source AP

Originally posted by Grayelf2009
Its like a snowball going downhill getting bigger and faster. The elite are going to be able to buy America for pennies on the dollar this time next year.

I just heard something interesting on British news. The american dollar can no longer be trusted and the EU are all for the introduction of a new global currency....just thought I'd share.

Backing up the OP, here's a graph of the bank failures and estimated costs from 2008-2009.

files.abovetopsecret.com...
[atsimg]http://files.abovetopsecret.com/images/member/d1afab319361.jpg[/atsimg]

I got a feeling that later this fall... perhaps in the October, we will see round two of the market collapse, more bailouts, and less transparency.

The Government and the huge banks are just getting bigger and bigger. The auto industry has been nationalized and the Health industry is on its way.

We are so close to facism its scary.