Problem Bank List

When an FDIC insured bank fails, the FDIC will generally be appointed as the receiver. Generally, the FDIC will immediately solicit bids from other institutions interested in acquiring the bank. An acquisition can usually be arranged so that the failed bank will reopen as a branch of the acquiring bank before most customers realize what happened.

The pace of bank failures has been increasing dramatically over the past three years.  A total of 92 banks failed during 2011 resulting in a loss to the FDIC Deposit Insurance Fund of $7.22 billion.  During 2010, a total of 157 banks failed, the most since 1992 when 181 were closed.  Banking failures during 2010 cost the FDIC Deposit Insurance Fund $26 billion, bringing the fund balance to below zero.  A total of 140 institutions failed during 2009 compared to only 25 during 2008.   There were only 3 bank failures during all of 2007.  No banks failed during 2005 and 2006.

The number of failed institutions for 2012 totals 7 banks including the latest four bank failures for the week ending January 27, 2012.  The cost to the FDIC Deposit Insurance Fund (DIF) for the 7 banking failures totals $850.8 million.  Total assets of the failed banks amounted to $2.6 billion.

Ultimately, depositors are insured by the FDIC.  The old standard coverage limit of $100,000 per depositor had been temporarily increased to $250,000 due to turmoil in the financial markets.  The increased FDIC insurance limit was set to expire on December 31, 2013 but Lawmakers recently agreed to make the temporary increase in FDIC deposit insurance permanent  (see FDIC Insurance Limits To Permanently Increase).   The old limit of $100,000 deposit insurance had not been increased since 1980.

Below you will find a list of failed banks from 2007 to present.