US bank failures up to 52

The Wall Street gang all feel bullish thanks for billions from taxpayers including plenty of free money (well, maybe not Citi because they remain a basket case) but across the country it’s a different story. Fewer banks is about the last thing the market needs in the Soviet-esque American business model that the GOP introduced. CNNMoney:

Seven banks were shut down by authorities Thursday, pushing the tally of failed banks for 2009 to 52, more than doubling the failures in 2008.

Six regional banks in Illinois and one in Texas closed their doors, according to the Federal Deposit Insurance Corporation.

The rash of Illinois failures are interlinked: All six banks were controlled by one family and followed a similar business model that “created concentrated exposure in each institution,” according to the FDIC.

The agency said that the six failures stemmed from the banks’ investments in collateralized debt obligations and other loan losses.

An American in Paris, France. BA in History & Political Science from Ohio State. Provided consulting services to US software startups, launching new business overseas that have both IPO’d and sold to well-known global software companies. Currently launching a new cloud-based startup. Full bio here.

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