Bank Bust Friday !!!!

[marmar]

Banks in Nevada, Illinois Seized Amid Deepening U.S. Recession
By Ari Levy


Feb. 27 (Bloomberg) -- Banks in Nevada and Illinois were seized by regulators, bringing this year’s tally to 16, as tumbling home prices and surging unemployment caused more borrowers to fall behind on loan payments.

Security Savings Bank of Henderson, Nevada, and Heritage Community Bank of Glenwood, Illinois, with combined assets of $471.2 million, were shut by state regulators and the Federal Deposit Insurance Corp. was named receiver, the FDIC said today. Bank of Nevada in Las Vegas is assuming Security Savings’ $175.2 million in deposits, while Heritage Community’s $218.6 million will go to MB Financial Bank of Chicago.

“Deposits will continue to be insured by the FDIC, so there is no need for customers to change their banking relationship to retain their deposit insurance coverage,” the FDIC said.

As regulators wrap up the busiest month for bank failures since 1993, they’re preparing to replenish the FDIC’s insurance fund, which dwindled by 45 percent in the fourth quarter from the previous three months to $18.9 billion. The FDIC said yesterday it will charge U.S. banks a one-time assessment and increase other fees amid estimates that bank closures could cost the fund $65 billion through 2013.

The FDIC shuttered 25 banks in 2008, including Washington Mutual Inc., the biggest U.S. bank to fail last year, and IndyMac Bank Inc., the second-largest. This month, regulators closed banks in Oregon, California, Florida, Nebraska, Illinois, and Georgia as the foreclosure crisis spread across the country. .......(more)

The complete piece is at: http://www.bloomberg.com/apps/news?pid=20601087&sid=aSXAvU6Fv.Bg&refer=home

[Thickasabrick]

1. Wow and it's only February eom

[stillcool]

2. interesting they mention the Savings and Loan..

'crisis' What is it with Republicans and banks?