One Tiny Bank Fails in Minnesota – Total Failures Reach 16 In 2010 Regulators closed one bank today in Minnesota. The failed bank had total assets of $18.2 million and total deposits of $16.3 million. The cost to the FDIC Deposit Insurance Fund for the closing of this tiny failed bank is estimated at […]
6 Banking Failures Highlight Horrendous Loan Portfolios
January 30, 2010 By Leave a Comment
Six More Banking Failures Bring Year’s Total To 15 Regulators closed six banks today in Florida, Minnesota, California, Washington and two in Georgia. The six failed banks had total assets of $5.5 billion and total deposits of $4.9 billion. The total cost to the FDIC Deposit Insurance Fund for the six failed banks is estimated […]
Bank Lending Implodes And Loan Defaults Hit Record Levels
November 25, 2009 By Leave a Comment
FDIC 2009 Third Quarter Banking Profile Depicts Troubled Banking Industry The FDIC released its Quarterly Banking Profile today which shows continued deterioration in the financial performance of the banking industry during the third quarter of 2009. The Quarterly Banking Profile depicts a banking industry that continues to struggle as shown by deteriorating loan quality, increased […]
Commercial Real Estate – The Most Widely Advertised Crash In History
November 12, 2009 By Leave a Comment
Is Armageddon Upon Us? Predictions of Armageddon for the commercial real estate market are being urgently issued daily by prognosticators of doom. Many analysts are breathlessly predicting that collapsed real estate prices ensure a mountain of defaulting commercial real estate loans that will lead to the failure of thousands of small and regional banks. […]
7 Reasons Not To Have Confidence In The Banking System
October 13, 2009 By Leave a Comment
Does the recent strong rally in the shares of bank stocks imply that the banking crisis is over, or are we looking at a mirage? Here are 7 reasons why the banking crisis may only be in the early stages of an ongoing crisis which could ultimately result in a lack of public confidence in […]
Regulators Admit To Huge Decline In Loan Credit Quality
October 1, 2009 By Leave a Comment
No End In Sight To Debt Defaults The extent of the continued severe deterioration in loan credit quality was revealed in the Shared National Credits Review, issued jointly by the Federal Reserve, FDIC, Office of the Comptroller of the Currency and the Office of Thrift Supervision. Credit quality declined sharply The credit risk of these […]
Troubled Asset Ratio Good Predictor Of Failed Banks
October 1, 2009 By Leave a Comment
Many Bank Failures Easy To Predict Evaluating the financial health of a bank is a complex process which requires an in depth analysis of a bank’s financial statements. Most bank depositors would be ill equipped to assess whether or not a particular bank might be in financial difficulty. There is, however, one simple concept […]