First Commercial Bank, Bloomington, MN, was closed today by the Minnesota Department of Commerce. The FDIC, which was named as receiver, sold the failed bank to Republic Bank & Trust Company, Louisville, KY. Founded in 1999, First Commercial Bank was a privately held company with total assets of $215.9 million as of June 30, 2012. […]
Regulators and Government Activism Are Prolonging The Housing Crisis
August 31, 2012 By Leave a Comment
Banks never seem to learn as they lurch from one lending crisis to the next. In the early 1970’s the largest banks in the country lent recklessly to Latin American countries under the theory that sovereign nations would not default. The ensuing Latin American debt crisis and sovereign defaults shattered that complacent theory and many […]
FDIC Issues 56 Enforcement Actions In July Against Banks and Individuals
August 31, 2012 By Leave a Comment
The FDIC announced today that it took enforcement actions against a total of 56 banks and individuals during July 2012. During the previous month, the FDIC issued 48 enforcement actions. The July enforcement actions included 13 civil money penalties, 3 prompt corrective action notices, 5 consent orders, 8 section 19 orders, 12 removal and prohibition […]
Doubts Remain Over Banking Industry “Recovery” – FDIC Quarterly Banking Profile
August 29, 2012 By 1 Comment
The banking industry, which was on the verge of collapse in 2008, is showing tenuous signs of recovery. The FDIC Quarterly Banking Profile for the quarter ending June 30, 2012, showed an increase in both bank profits and lending volume as well as a small decline in the number of problem banks. Almost 63% of […]
Banks Desperate For Funds Victimized By Con Men
July 28, 2012 By 1 Comment
This post should trigger a snicker from many consumers who feel that they are victims of the banking industry. In a new twist, banks themselves are now at the top of the list for many con men One would think that with the increased regulatory scrutiny of the banking industry, banks would be last on […]
Banks Are A Financial Disaster For Both Shareholders And Depositors
July 27, 2012 By 3 Comments
In days gone by, shareholders of large banks viewed their investments as a source of income via dividends and potential capital gains via share appreciation. In days gone by, depositors viewed banks as the safest place to harbor their hard earned dollars while earning a respectable amount of interest income. That was then, this is […]
Jasper Banking Company, Georgia, Fails After 67 Years And Sold To Stearns Bank
July 27, 2012 By Leave a Comment
Jasper Banking Company, Jasper, GA, an independent, locally owned and managed bank was closed today by the Georgia Department of Banking and Finance. Jasper Banking had been in business since 1945 serving residents of Jasper through three local branches. The FDIC, appointed as receiver sold the failed bank to Stearns Bank National Association, St. Cloud, […]
FDIC Issues 48 Enforcement Actions In June
July 27, 2012 By Leave a Comment
The FDIC announced in a press release today a total of 48 enforcement actions taken against banks and individuals in June 2012. In May, the FDIC issued 56 enforcement actions. Enforcement actions issued in June included three consent orders, two prompt corrective actions, nine removal and prohibition orders, twelve civil money penalties, five modifications of […]
Five Bank Failures Bring Year’s Total To 38 – FDIC Losses Top $1.9 Billion
July 21, 2012 By Leave a Comment
Regulators had a busy week closing five banks in four different states on Friday. Although bank failures have been proceeding at a slower pace than last year, the total losses to the FDIC Deposit Insurance Fund now top $1.9 billion and the number of problem banks remains very high considering that we are four years […]
Second Federal Savings and Loan Association Of Chicago, IL, Closed By Feds
July 20, 2012 By Leave a Comment
Second Federal Savings and Loan Association of Chicago, Chicago, IL, was closed today by the Officer of the Comptroller of the Currency. The FDIC, appointed as receiver, sold the failed bank to Hinsdale Bank & Trust Company, Hinsdale, IL. All three branches of Second Federal will reopen on Saturday as branches of Hinsdale Bank & […]