Financial Services: Six More US Banks Fail

Last Friday federal regulators shut down six more banks in the United States, bringing the total number of bank failures this year to a staggering 125 with roughly three more months to go. Banks in four states—New Jersey, Wisconsin, Ohio, and Georgia—were closed by the Federal Deposit Insurance Corporation (FDIC) last week, costing the agency around $348 million from its insurance fund coffers. The six banks closed were Maritime Savings Bank of West Allis, Wis., Bramble Savings Bank of Milford, Ohio, The Peoples Bank of Winder, Ga., First Commerce Community Bank of Douglasville, Ga., Bank of Ellijay of Ellijay, Ga., and Cherry Hill, N.J.-based ISN Bank. The three Georgia-based banks were purchased by Community & Southern Bank of Georgia, which gained $800 million in deposits. All eight community banks were on the list of “problem” banks published by the FDIC. Georgia is among the nation’s leader in failed banks this year, with 14 banks shut down by the FDIC in 2010.