US bank closures near 100 for this year



The Federal Deposit Insurance Corp said that Warren Bank in Michigan was closed, with Huntington National Bank of Ohio taking over its deposits. It had $538 million in assets and $501 million in deposits.

Jennings State Bank in Minnesota was also shut down, with Central Bank in that state assuming its deposits. It had $56.3 million in assets and $52.4 million in deposits.

The third was Southern Colorado National Bank, with Legacy Bank in the state taking over its deposits. It had $39.5 million in assets and $31.9 million in deposits.

Combined, the three latest failures are expected to cost the FDIC’s insurance fund a total of about $293 million. The FDIC insures accounts up to $250,000, and notes that those deposits are fully protected, despite a negative insurance fund balance. The FDIC said it expects failures to peak in 2009 and 2010, and that industry earnings will recover in 2011.

Liked the story?

  • 0

    Happy
  • 0

    Amused
  • 0

    Sad
  • 0

    Frustrated
  • 0

    Angry