Northern Star Bank, Mankato, MN, Becomes 18th Bank Failure of 2014

State regulators swooped in today to close the Northern Star Bank, Mankato, Minnesota.  After closing the Bank, the Minnesota Department of Commerce appointed the FDIC as receiver.  The FDIC in turn sold the failed bank to BankVista, Sartell, MN, under a purchase and assumption agreement. Northern Star Bank has been under regulatory scrutiny for years […]

Frontier Bank, FSB, Palm Desert, CA, Closed by Regulators – 17th Bank Failure of 2014

The seventeenth bank failure of the year occurred in California today as regulators shuttered the Frontier Bank, FSB, a small bank headquartered in Palm Desert, CA doing business as El Paseo Bank. The Office of the Comptroller of the Currency closed Frontier Bank and appointed the FDIC as receiver which in turn sold the failed […]

Largest Bank Failure of 2014 – The National Republic Bank of Chicago

Illinois has been a tough place for banks this year.  A third of all bank failures during 2014 have occurred in Illinois and the collapse of The National Republic Bank of Chicago also gives Illinois the distinction of having the nation’s largest bank failure. The National Republic Bank of Chicago, Chicago, Illinois, (TNRBC) was shuttered […]

NBRS Financial, Rising Sun, MD, Becomes 15th Bank Failure of 2014

The Maryland Office of the Commissioner of Financial Regulation closed today NBRS Financial, Rising Sun, Maryland, and appointed the FDIC as receiver.  The FDIC in turn sold the failed bank to Howard Bank, Elliott City, Maryland, which will assume all deposits of NBRS Financial. NBRS Financial was originally founded in 1873 under the name The […]

Bank Failures Fall to Seven Year Low

During the financial crisis the number of banking failures swelled to a peak failure year during 2010 when a total of 157 banking institutions failed. The number of bank failures has declined every year since then and the number of banks failures during 2014 has reached a seven year low. Is the current low number […]

Five Years After the Banking Crisis, Hundreds of Problem Banks Still Struggle

While many banks have completely recovered from the banking and financial crises of over six years ago, the number of banks classified as “Problem Banks” by the FDIC has remained stubbornly high. A milestone of sorts was reached recently when, after five years, the number of banks on the FDIC’s Problem Bank List finally declined […]

GreenChoice Bank, fsb, Chicago, IL, Closed by Regulators

GreenChoice Bank, fsb, Chicago, Illinois, a small community bank, was closed today by the Office of the Comptroller.  The FDIC, appointed as receiver, sold the failed bank to Providence Bank, LLC, South Holland, Illinois, which will assume all deposits of GreenChoice Bank. GreenChoice Bank had been around for over 100 years, having been founded in […]

Eastside Commercial Bank, Conyers, GA, Becomes 13th Bank Failure of 2014

Georgia state regulators closed the Eastside Commercial Bank, Conyers, Georgia, and appointed the FDIC as receiver.  In order to protect depositors, the FDIC sold Eastside Commercial Bank to Community & Southern Bank, Atlanta, Georgia, which will assume all deposits of the failed bank. Eastside Commercial Bank did not even last a decade, having been founded […]

FDIC Issues Enforcement Actions to Three Problem Banks

The FDIC took enforcement actions against 39 banks in May, up from 31 during the previous month.  The 39 orders issued by the FDIC in May 2014 included two consent orders, one prompt corrective action directive, seven section 19 orders, three civil money penalties, and sixteen orders terminating consent orders and cease and desist orders. […]

The Freedom State Bank, Freedom, OK, Closed by Regulators

Most people would probably assume that a bank that can stay in business for almost one hundred years would be The Rock of Gibraltar from a financial standpoint.  This was not the case today as state regulators closed 95 year old The Freedom State Bank located in Freedom, Oklahoma. Founded in 1919 The Freedom State […]