List of failed banks: 2009-2023

BankRate ^ | 3/13/23 | Matthew Goldberg

[EBH]

A Sunday bank failure is an extremely rare occurrence.

Signature Bank failed on Sunday, marking only the sixth time a Federal Deposit Insurance Corp. (FDIC) bank failed on a Sunday, according to Bankrate’s analysis of FDIC data. It was also the first Sunday bank failure since 1991.

Any non-Friday failure is pretty unusual, with the last one before Signature Bank’s Sunday closure coming Oct. 30, 2013 — a Wednesday.

Silicon Valley Bank failed two days earlier, ending the unusual streak of more than 800 days without a bank failure Friday.

Before this month, the last time a bank backed by the FDIC failed was Oct. 23, 2020, when Almena State Bank closed.

Generally, a failure occurs when a bank becomes insolvent, meaning it lacks the funds to cover all of its customers’ deposits and the money it owes to others, according to the FDIC.

Bank failures aren’t uncommon; a few typically happen each year. So it’s rare for there to be years like 2022, 2021, 2018, 2006 or 2005, when there were no banks closed.

Before March 2023, only three banks had failed since the coronavirus pandemic started. And all three (The First State Bank, First City Bank of Florida and Almena State Bank) experienced previous financial problems, according to the FDIC. (There was one bank failure in 2020 before the pandemic started.)

[EBH]

There are a list of charts and information going back to the Great Financial Crisis. I found the look back extremely interesting.

We have had now, 3 failures, in a few months. While the number of failures may not be of concern, it is good to look at what they were holding and why the banks failed.

The failure of Washington Mutual in 2008 was the nation’s largest bank failure ever. First Republic, which is bigger than either SVB or Signature Bank, would be the second largest. per CNN

[sauropod]

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