Glasgow Savings Bank, Glasgow, Missouri, the oldest bank in the state, was closed down today by the Missouri Division of Finance. The FDIC, appointed as receiver, sold the failed bank to Regional Missouri Bank, Marceline, Missouri. Glasgow Savings Bank opened in April 1852. Despite a 160 year history of operations, the bank remained very small […]
Glasgow Savings Bank, Oldest Bank In Missouri, Closed By Regulators
July 13, 2012 By Leave a Comment
Montgomery Bank & Trust, Georgia, Closed By Regulators
July 6, 2012 By Leave a Comment
Montgomery Bank & Trust, a long time presence in Ailey, Georgia, was closed today by the Georgia Department of Banking and Finance. Montgomery Bank and Trust, which had been in business since 1926, became insolvent after a large amount of borrowers defaulted on their loans. The FDIC was appointed as receiver and sold the failed […]
Ridiculous Divergence Between Bank CEO Pay And Shareholder Returns
June 30, 2012 By Leave a Comment
The wide divergence between bank CEO compensation and shareholder returns is an embarrassment to the capitalist notion of linkage between performance and pay. Shareholders of banking stocks have seen the value of their investments pulverized over the past four years as the banking industry struggles to recover from the lending excesses of previous years. Shareholders […]
Three Banks Fail In Tennessee, Georgia and Florida – Total 2012 Bank Failures At 31
June 16, 2012 By Leave a Comment
Regulators closed three banks in three different states, as loan losses continue to plague the banking industry. Efforts by small banks to raise additional capital have become increasing difficult due to low loan demand, a slowing economy and investor antipathy towards banking stocks. The latest three banking failures in Tennessee, Georgia and Florida bring total […]
The Farmers Bank of Lynchburg, TN, Closed By Regulators After 124 Years Of Operations
June 16, 2012 By Leave a Comment
One of the oldest banking institutions in the country was closed by regulators after becoming critically undercapitalized. The Farmers Bank of Lynchburg, established in 1888, was closed by the Tennessee Department of Financial Institutions which appointed the FDIC as receiver. In order to protect depositors, the failed bank was sold by the FDIC to Clayton […]
Security Exchange Bank, Marietta, GA, Fails After Loan Defaults Soar
June 16, 2012 By Leave a Comment
Security Exchange Bank, Marietta, GA, a locally owned community bank headquartered in Marietta, GA, was closed today by the Georgia Department of Banking and Finance. The FDIC, acting as receiver, sold the failed Bank to Fidelity Bank, Atlanta, GA. Both branches of the failed Bank will reopen on Monday as branches of Fidelity Bank and […]
Putnam State Bank, Palatka, FL, Closed By Regulators
June 15, 2012 By Leave a Comment
Putnam State Bank, Palatka, FL, established in December 1988, was closed today by the Florida Office of Financial Regulation. The FDIC, appointed as receiver for the failed bank, was able to sell Putnam State Bank to Harbor Community Bank, Indiantown, FL. During the height of the real estate mania and lending boom, few states saw […]
Four Banks Collapse In Four States – 2012 Bank Failures Total 28
June 9, 2012 By Leave a Comment
After only two bank failures during May, regulators got off to a fast start in June, closing four banks in four different states. With the financial system in a period of temporary calm, the number of bank closings during 2012 has tapered off from last year’s levels. While regulators have closed 28 banks thus far […]
Waccamaw Bank, Whiteville, NC, Closed By Regulators
June 9, 2012 By 1 Comment
The North Carolina Office of the Commissioner of Banks closed struggling Waccamaw Bank, Whiteville, NC, after the Bank was unable to raise additional capital. The FDIC, as receiver, sold the failed bank to First Community Bank, Bluefield, VA. Waccamaw Bank, established in 1997, had been desperately trying to raise additional capital to offset losses from […]
Farmers and Traders State Bank, IL, Closed By Regulators
June 8, 2012 By Leave a Comment
Farmers and Traders State Bank, Shabbona, Illinois, established in 1905, was closed today by the Illinois Department of Financial and Professional Regulation. The FDIC, appointed as receiver, sold the failed bank to First State Bank, Mendota, IL. Despite being in business for over a century, Farmers and Traders State Bank remained a small bank with […]