Post Tagged with: "FDIC"
FDIC closes banks in Michigan and California
This makes three today. Here is the California Press Release. Note the enormous relative cost as a percentage of assets to the FDIC, which I have bolded. No bank is taking the deposits or assets here: The Federal Deposit Insurance Corporation (FDIC) approved the payout of the insured deposits of First Bank of Beverly Hills,
FDIC Friday Night Special: American Southern Bank
I have highlighted the area that shows the estimated cost to taxpayers below. See the FDIC website for more details: American Southern Bank, Kennesaw, Georgia, was closed today by the Georgia Department of Banking and Finance, which appointed the Federal Deposit Insurance Corporation (FDIC) as receiver. To protect the depositors, the FDIC entered into a
How big banks earned so much money this quarter
We are a few weeks into earnings season and it should be abundantly clear that financial institutions are firing on all cylinders. In fact, financials are leading the broader market for the first time since 1993. Yet, loan losses have been absolutely enormous. What gives? The Great Giveaway is the essence of recent market performance
FDIC moves in at Great Basin Bank
From the FDIC website. More information available here: Great Basin Bank of Nevada, Elko, Nevada, was closed today by the Nevada Financial Institutions Division, which appointed the Federal Deposit Insurance Corporation (FDIC) as receiver. To protect the depositors, the FDIC entered into a purchase and assumption agreement with Nevada State Bank, Las Vegas, Nevada, to
FDIC Friday Night Special: American Sterling Bank
Small banks are going bust at a pretty good clip. Apparently, there is no free ride for the likes of American Sterling Bank. Its deposits were acquired by Metcalf Bank as the FDIC took it into receivership a.k.a nationalized it. But, of course, this process does not apply for big banks. Their executives get to
SunTrust Bank receives insured deposits of Omni National Bank
This just in from the FDIC. Another Friday night special: Omni National Bank, Atlanta, Georgia, was closed today by the Office of the Comptroller of the Currency, which then appointed the Federal Deposit Insurance Corporation (FDIC) as receiver. To protect the depositors, the FDIC entered into an agreement with SunTrust Bank, Atlanta, Georgia, to act
FDIC Chairman Sheila C. Bair Statement on the Legacy Loans Program
FDIC Chairman Sheila C. Bair said, “It has been clear for some time that troubled loans and securities have depressed market perceptions of banks and impeded new lending. Difficult market conditions have complicated efforts to sell these troubled assets because potential buyers have not had access to financing. The Legacy Loans Program aligns the interests
Does Obama have the legal authority to take over Citi?
From Justin Fox of Time Magazine: FDIC chairman Sheila Bair doesn’t think a full government takeover of Citigroup and other multinational financial institutions is practical or even possible. Here are her reasons, as summarized by Pete Davis: 1. The legal authority to take over large banks does not currently extend to multinational financial conglomerates; 2. The FDIC lacks
Banks seized by FDIC in Nevada and Illinois
Two more Friday night specials – story via Reuters U.S. regulators closed Security Savings Bank in Henderson, Nevada, and Heritage Community Bank in Glenwood, Illinois, the Federal Deposit Insurance Corporation said on Friday. Heritage, which had four offices, had total assets of $232.9 million and total deposits of $218.6 million as of Dec. 5, 2008.
Yves Smith: Nationalization is what the FDIC is doing every week
Naked Capitalism’s Yves Smith was on Fast Money at CNBC yesterday. She made a number of good points regarding the discussion on nationalization. One that particularly resonated with me was her assertion that the United States is nationalizing one, two or three banks every Friday through the FDIC (see list here)
FDIC Friday Night Special: FirstBank of Georgia
The FDIC has closed another bank. This time it is FirstBank of Georgia. The bank only had $285 million in deposits, so this was no titan. Regional powerhouse Regions Financial has assumed the deposits, which is positive because last week we saw one case in which the FDIC could not find a buyer of the
MagnetBank failure as a canary in the coalmine
In 2008, the FDIC successfully shut down 25 banks. This year it has already been six. To date, the FDIC had generally been able to find a buyer of one of the failed banks’ deposits. After all, outside of IndyMac, the large majority of the failed banks had assets under $1 billion. However, the FDIC failed to find a bank to take over the assets of MagnetBank, one of three FDIC seizures this past Friday