Three more US Banks Closed by the FDIC

USA - Regulators have closed 3 more banks in the USA Friday.This takes the total of failed banks to 84 so far this year, and 15 so far this month. There were just 25 banks seized in all of 2008, and only three in 2007.

At this rate there will be well over 100 banks failing by the end of the year.

In July alone, there have been 23 bank failures.

On Friday, August 28, 2009, Affinity Bank, Ventura, CA was closed by the California Department of Financial Institutions, and the Federal Deposit Insurance Corporation (FDIC) was named Receiver.

Pacific Western Bank of San Diego will assume the deposits of Affinity Bank, the FDIC said. Affinity, with $1 billion in assets and $922 million in deposits, had 10 branches. Two, based in San Mateo and San Francisco, will open today as Pacific Western branches; the rest will open Aug. 31 under new ownership, according to the FDIC. The regulator agreed to share losses on $934 million of the assets.

On Friday, August 28, 2009, Bradford Bank, Baltimore, MD was closed by the Office of Thrift Supervision (OTS), and the Federal Deposit Insurance Corporation (FDIC) was named Receiver.
Manufacturers & Traders Trust Co. of Buffalo, New York, took over the deposits of Bradford Bank, the FDIC said. M&T, whose parent counts billionaire investor Warren Buffett among its biggest shareholders, is buying Bradford’s $383 million of deposits and $452 million in assets. The FDIC is sharing losses on $338 million of assets in the deal.

On Friday, August 28, 2009, Mainstreet Bank, Forest Lake, MN was closed by the Minnesota Department of Commerce, and the Federal Deposit Insurance Corporation (FDIC) was named Receiver.

Central Bank of Stillwater, Minnesota, assumed $434 million in deposits at Mainstreet Bank, the FDIC said. Central Bank will pay a premium to purchase Mainstreet’s $459 million in assets, with the FDIC sharing losses on about $268 million. Mainstreet’s eight branches will open today as Central offices.

The failures are expected to cost the Federal Deposit Insurance Corporation (FDIC) a total of about $446 million.