Bank Failure Friday is a little late but like clockwork, the latest announcements are not, although last week, we got a reprieve. I guess even the FDIC needs a vacation.
With further ado, this week's failures, with their FDIC estimated costs are:
- La Jolla Bank, FSB, CA - $882.3 million
- George Washington Savings Bank, IL - $141.4 million
- Marco Community Bank, FL - $38.1
- La Coste National Bank, TX - $3.7 million
I've been to Macro Island in the past. At the time it was presented as the ultimate place to live, a tropical paradise. Now Florida is looking more like buying real estate in a Brazilian slum.
It is expected to see more bank failures this year than the 140 from 2008. The reason is Commercial Real Estate holdings are disproportionate in smaller financial institutions.