Forty Failed Banks and Credit Unions of 2008

Forty Failed Banks and Credit Unions of 2008
Failed banking institutions - the one number that continued to grow all year. After a year in which only three banks closed (and none the two years prior), 2008 saw 25 banks and 15 credit unions shuttered. Following is a list of the 40 banking institutions that failed in 2008.

Some Facts About Failed Banking Institutions:

Failed institutions in 2007: Banks 3 | Credit Unions 3
Failed institutions in 2008: Banks 25 | Credit Unions 15
States w/most failed institutions - 2008: CA (10), GA (5), CT, NV (3 each)
Cities w/most failed institutions - 2008: Alpharetta, GA., Bradenton, FL., Henderson, NV., Newport Beach, CA. (2 each)

Source: FDIC, NCUA.

Institution: Norlarco Credit Union
Ft. Collins, CO.
Assets/Deposits: $290 million
Date of Closure: January 24, 2008
Regulator: Colorado State Commissioner of Financial Services
Acquired By: Public Service Credit Union

Institution: Douglass National Bank
Kansas City, MO.
Assets/Deposits: $58.5 million/$53.8 million
Date of Closure: January 25, 2008
Regulator: OCC
Acquired By: Liberty Bank and Trust

Institution: Hume Bank
Hume, Mo.
Assets/Deposits: $18.7 million/$13.6 million
Date of Closure: March 7, 2008
Regulator: Commissioner of Missouri's Division of Finance
Acquired By: Security Bank

Institution: St. Luke Baptist Federal Credit Union
Laurelton, New York
Assets/Deposits: $49,734
Date of Closure: May 3, 2008
Regulator: NCUA
Acquired By: NCUA Liquidation

Institution: ANB Financial
Bentonville, AR.
Assets/Deposits: $2.1 billion/ $1.8 billion
Date of Closure: May 9, 2008
Regulator: OCC
Acquired By: Pulaski Bank and Trust Company

Institution: Father Burke Federal Credit Union
Bronx, NY.
Assets/Deposits: $1.2 million
Date of Closure: May 12, 2008
Regulator: NCUA
Acquired By: NCUA Liquidation

Institution: Cal State 9 Credit Union
Concord, CA.
Assets/Deposits: $339 million
Date of Closure: May 22, 2008
Regulator: NCUA
Acquired By: Patelco Credit Union

Institution: First Integrity Bank
Staples, MN.
Assets/Deposits: $54.7 million/$50.3 million
Date of Closure: May 30, 2008
Regulator: OCC
Acquired By: First International Bank and Trust

Institution: Sterlent Credit Union
Pleasanton, CA.
Assets/Deposits: $94.6 million
Date of Closure: July 1, 2008
Regulator: NCUA
Acquired By: Patelco Credit Union

Institution: IndyMac Bank, FSB
Pasadena, CA.
Assets/Deposits: $32.01 billion/$19.06 billion
Date of Closure: July 11, 2008
Regulator: OTS
Acquired By: FDIC conservatorship

Institution: Meriden F.A. Federal Credit Union
Meriden, CT.
Assets/Deposits: $337, 968
Date of Closure: July 16, 2008
Regulator: NCUA
Acquired By: NCUA Liquidation

Institution: First National Bank of Nevada
Reno, NV.
Assets/Deposits: $3.4 billion/$3 billion
Date of Closure: July 25, 2008
Regulator: OCC
Acquired By: Mutual of Omaha Bank

Institution: First Heritage Bank
Newport Beach, CA.
Assets/Deposits: $254 million/$233 million
Date of Closure: July 25, 2008
Regulator: OCC
Acquired By: Mutual of Omaha Bank

Institution: New London Security FCU
New London, CT.
Assets/Deposits: $12.7 million
Date of Closure: July 28, 2008
Regulator: NCUA
Acquired By: NCUA Liquidation

Institution: First Priority Bank
Bradenton, FL
Assets/Deposits: $259 million/$227 million
Date of Closure: August 1, 2008
Regulator: Commissioner of the Florida Office of Financial Regulation
Acquired By: SunTrust Bank

Institution: Port Trust Federal Credit Union
Charleston, S.C.
Assets/Deposits: $460,915
Date of Closure: August 5, 2008
Regulator: NCUA
Acquired By: CPM Federal Credit Union

Institution: Columbian Bank and Trust Co.
Topeka, KS.
Assets/Deposits: $752 million/$622 million
Date of Closure: August 22, 2008
Regulator: Kansas Office of the State Bank Commissioner
Acquired by: Citizens Bank & Trust

Institution: Integrity Bank
Alpharetta, GA.
Assets/Deposits: $1.1 billion/$974 million
Date of Closure: August 29, 2008
Regulator: Georgia Department of Banking and Finance
Acquired By: Regions Bank

Institution: Valley Credit Union
San Jose, CA.
Assets/Deposits: $257 million
Date of Closure: September 2, 2008
Regulator: NCUA
Acquired By: NCUA Conservatorship

Institution: Silver State Bank
Henderson, NV.
Assets/Deposits: $2 billion/$1.7 billion
Date of Closure: September 5, 2008
Regulator: Nevada Financial Institutions Division
Acquired By: Nevada State Bank/National Bank of Arizona

Institution: Interfaith Federal Credit Union
East Orange, N.J.
Assets/Deposits: $388,000
Date of Closure: September 17, 2008
Regulator: NCUA
Acquired By: NCUA Liquidation

Institution: AmeriBank, Inc.
Northfork, W.V.
Assets/Deposits: $115 million/$102 million
Date of Closure: September 19, 2008
Regulator: OTS
Acquired By: Pioneer Community Bank, / The Citizen Savings Bank

Institution: Washington Mutual Bank
Henderson, NV.
Assets/Deposits: $307 billion/$188 billion
Date of Closure: September 25, 2008
Regulator: OTS
Acquired By: JP Morgan Chase

Institution: Kaiperm Federal Credit Union
Oakland, CA.
Assets/Deposits: $91 million
Date of Closure: September 29, 2008
Regulator: NCUA
Acquired By: Alliant Credit Union

Institution: TEXDOT WF Credit Union
Wichita Falls, TX.
Assets/Deposits: $1.8 million
Date of Closure: September 30, 2008
Regulator: NCUA
Acquired By: Postel Family Credit Union

Institution: N&W Poca Divisi
on Federal Credit Union

Bluefield, W.V.
Assets/Deposits: $6 million
Date of Closure: October 6, 2008
Regulator: NCUA
Acquired By: NCUA Liquidation

Institution: Main Street Bank
Northville, Mich.
Assets/Deposits: $98 million/$86 million
Date of Closure: Oct. 10, 2008
Regulator: Michigan Office of Financial & Insurance Services
Acquired By: Monroe Bank & Trust

Institution: Meridian Bank
Eldred, IL.
Assets/Deposits: $39.18 million/$36.88 million
Date of Closure: October 10, 2008
Regulator: Illinois Division of Banking
Acquired By: National Bank

Institution: High Desert Federal Credit Union
Apple Valley, CA.
Assets/Deposits: $149 million
Date of Closure: October 16, 2008
Regulator: NCUA
Acquired By: NCUA Conservatorship

Institution: Alpha Bank & Trust
Alpharetta, GA.
Assets/Deposits: $354.1 million/$346.2 million
Date of Closure: October 24, 2008
Regulator: Georgia Department of Banking and Finance
Acquired By: Stearns Bank, N.A.

Institution: Freedom Bank
Bradenton, FL.
Assets/Deposits: $287 million/$254 million
Date of Closure: October 31, 2008
Regulator: Florida Office of Financial Regulation
Acquired By: Fifth Third Bank

Institution: Franklin Bank SSB
Houston, TX.
Assets/Deposits: $5.1 billion/$3.7 billion
Date of Closure: November 7, 2008
Regulator: Texas Department of Savings and Mortgage Lending
Acquired By: Prosperity Bank

Institution: Security Pacific Bank
Los Angeles, CA.
Assets/Deposits: 4561.1 million/$450.1 million
Date of Closure: November 7, 2008
Regulator: California Department of Financial Institutions
Acquired By: Pacific Western

Institution: The Community Bank
Loganville, GA.
Assets/Deposits: $681 million/$611 million
Date of Closure: November 21, 2008
Regulator: Georgia Department of Banking and Finance
Acquired By: Bank of Essex

Institution: Downey Savings and Loan Association
Newport Beach, CA.
Assets/Deposits: $12.8 billion/$9.7 billion
Date of Closure: November 21, 2008
Regulator: OTS
Acquired By: U.S. Bank

Institution: PFF Bank and Trust
Pomona, CA.
Assets/Deposits: $3.7 billion/$2.4 billion
Date of Closure: November 21, 2008
Regulator: OTS
Acquired By: U.S. Bank

Institution: West Hartford Credit Union
Farmington, CT.
Assets/Deposits: $2.9 million
Date of Closure: December 5, 2008
Regulator: Connecticut Department of Banking
Acquired By: NCUA

Institution: First Georgia Community Bank
Jackson, GA.
Assets/Deposits: $$237.5 million/$197.4 million
Date of Closure: December 5, 2008
Regulator: Georgia Department of Banking and Finance
Acquired By: United Bank

Institution: Sanderson State Bank
Sanderson, TX.
Assets/Deposits: $37 million/$27.9 million
Date of Closure: December 12, 2008
Regulator: Texas Department of Banking
Acquired By: Pecos County State Bank

Institution: Haven Trust Bank
Duluth, GA.
Assets/Deposits: $572 million/$515 million
Date of Closure: December 12, 2008
Regulator: Georgia Department of Banking and Finance
Acquired By: Branch Banking & Trust Company (BB&T)


About the Author

Linda McGlasson

Linda McGlasson

Managing Editor

Linda McGlasson is a seasoned writer and editor with 20 years of experience in writing for corporations, business publications and newspapers. She has worked in the Financial Services industry for more than 12 years. Most recently Linda headed information security awareness and training and the Computer Incident Response Team for Securities Industry Automation Corporation (SIAC), a subsidiary of the NYSE Group (NYX). As part of her role she developed infosec policy, developed new awareness testing and led the company's incident response team. In the last two years she's been involved with the Financial Services Information Sharing Analysis Center (FS-ISAC), editing its quarterly member newsletter and identifying speakers for member meetings.




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