How Many Banks Will Fail in 2010?
Regulators closed 7 banks in 7 different states this week, bringing the total number of bank failures in 2010 up to 103.
This marks the second straight year that the United States will have more than 100 bank failures.
The 7 banks that failed this week were:
CrescentBank & Trust Co. (Georgia)
Sterling Bank of Lantana, Fla. (Florida)
Home Valley Bank (Oregon)
SouthwestUSA Bank (Nevada)
Williamsburg First National Bank (South Carolina)
Community Security Bank of New Prague (Minnesota)
Thunder Bank of Sylvan Grove (Kansas)
The largest of the seven banks was CrescentBank & Trust Co., which had a little over $1 billion in assets and $965.7 million in total deposits.
In 2009, a total of 140 banks failed in the United States, the largest such total since 1992.
Given that we are a little over halfway through the calendar year and have already seen 103 banks fail, it seems pretty much a given that we will top last year's number.
In both 2005 and 2006, there were no bank failures in the United States. The following year (2007), there were just three.
Fast forward a couple of years, and the country could easily end up topping 1992's total of 181 failed banks.
Times have changed.
The FDIC estimates that the total cost to the DIF (Deposit Insurance Fund) for the seven failures today will be approximately $431 million.
Source: WSJ.com - Bank Failures Top 100 for '10
Source: Davemanuel.com - A History of Bank Failures in the United States
Filed under: The Economic Meltdown