In truth this is really two failures, but one had six subsidiaries so it counts as seven.  Here are the failures:
The first bank is in New York. Waterford Village Bank, Clarence, New York, was closed by the New York State Banking Department, with the Federal Deposit Insurance Corporation (FDIC) as receiver. Evans Bank, N.A., Angola, [...]

If you haven’t seen any of Jim the Realtor’s videos over at Calculated Risk, you are not getting a feel for what’s happening in residential real estate in America.  The guy really gives the whole housing problem in California a look you wouldn’t have unless you were a real estate agent living it. His videos [...]

This just hit the wires.
NEW YORK–(BUSINESS WIRE)–CIT Group Inc. (NYSE: CIT), a leading provider of financing to small businesses and middle market companies, today announced that it entered into a $3 billion loan facility provided by a group of the Company’s major bondholders. CIT further announced that it intends to commence a comprehensive restructuring of [...]

These two seizures are going to be costly. The first one here, Vineyard Bank in California  is going to cost the taxpayer an estimated $579 million.  The second, Temecula Valley Bank in North Carolina, is estimated to cost $391 million.
Here’s the first press release.
Vineyard Bank, National Association, Rancho Cucamonga, California, was closed today by the [...]

The first bank failure is in Georgia, a state where many FDIC seizures have taken place.
On Friday, July 17, 2009, First Piedmont Bank, Winder, GA was closed by the Georgia Department of Banking and Finance, and the Federal Deposit Insurance Corporation (FDIC) was named Receiver.

First Piedmont had $115 million in deposits. The cost to the [...]

This comes from the Wall Street Journal:
Small-business lender CIT Group Inc. said "there is no appreciable likelihood" that it will receive fresh government support, suggesting that the company might instead seek to file for bankruptcy protection.
In a written statement issued after the market close, the company said it was "evaluating alternatives."
The company has been locked [...]

Here is a clip from the Daily Show with Jon Stewart that highlights Lenny Dykstra, the former baseball player turned financial guru.  To my mind, it really puts the bubble years into perspective.

By the way, I am a Boston Red Sox fan. And, in 1986, when the hated New York Mets beat us in the [...]

This can’t be good.

A group of the biggest U.S. banks said they would stop accepting California’s IOUs on Friday, adding pressure on the state to close its $26.3 billion annual budget gap.
The development is the latest twist in California’s struggle to deal with the effects of the recession. After state leaders failed to agree on [...]

Judge Robert Gerber has given General Motors approval to sell its assets under section 363 of the bankruptcy code.  Last month I indicated that this 363 sale was more questionable than Chrysler’s and could meet more resistance in court.  That has not happened and the GM bankruptcy looks likely to proceed according to the Obama [...]

Wow.  The Feds sure know how to celebrate Independence Day.  I went out for a couple of hours and four more banks were seized bringing the grand total to seven for the day and 52 on the year.
Here are all the FDIC seizures for today. Six were in Illinois and one in Texas.
First State Bank [...]