San Joaquin Bank in Bakersfield, California failed October 16th and makes the 99th bank failure in 2009. FDIC, in need of its own bailout, posted the following information:
San Joaquin Bank, Bakersfield, California, was closed today by the California Department of Financial Institutions, which appointed the Federal Deposit Insurance Corporation (FDIC) as receiver. FDIC entered into a purchase and assumption agreement with Citizens Business Bank, Ontario, California, to assume all of the deposits of San Joaquin Bank.
The five branches of San Joaquin Bank will reopen on Monday as branches of Citizens Business Bank. Depositors of San Joaquin Bank will automatically become depositors of Citizens Business Bank. Deposits will continue to be insured by the FDIC, so there is no need for customers to change their banking relationship to retain their deposit insurance coverage. Customers should continue to use their existing branch until they receive notice from Citizens Business Bank that it has completed systems changes to allow other Citizens Business Bank branches to process their accounts as well.
This evening and over the weekend, depositors of San Joaquin Bank can access their money by writing checks or using ATM or debit cards. Checks drawn on the bank will continue to be processed. Loan customers should continue to make their payments as usual.
As of September 29, 2009, San Joaquin Bank had total assets of $775 million and total deposits of approximately $631 million. Citizens Business Bank did not pay the FDIC a premium for the deposits of San Joaquin Bank. In addition to assuming all of the deposits of the failed bank, Citizens Business Bank agreed to purchase essentially all of the assets.
The FDIC and Citizens Business Bank entered into a loss-share transaction on approximately $683 million of San Joaquin Bank’s assets. Citizens Business Bank will share in the losses on the asset pools covered under the loss-share agreement. The loss-share arrangement is projected to maximize returns on the assets covered by keeping them in the private sector.
Florida’s best banks aren’t based on service or location but on banking strength ratings. When I looked at all (A) rated banks throughout the whole state of Florida, I found only five (A) rated banks and here they are:
Drummond Community Bank in Chiefland, Florida Rated (A+)
First Federal Bank in Lake City, Florida Rated (A)
Hillsboro Bank in Plant City, Florida Rated (A-)
First National in Mount Dora, Florida Rated (A-)
City National in Miami, Florida (A-)
Peoples Bank in Graceville, Florida Rated (A)
There are 22 banks in Florida rated in the (B) ratings. If you need more information on Florida banks, send a message.
A whopping 98 Banks have failed in 2009 and we have three more months to go.
And 26 banks failed in 2008.
Compare to 27 banks failed from 2000 until 2008.
I thought the bank bailouts were going to save the banks. Yet since the bailouts, bank failures have been five times higher than prior to the bank bailouts. Maybe you need to ask your Congressman/woman why the disparity. Then ask what was the purpose of the bailout. Then you may want to tell them to repeal the law.
I thought I’d look at the states that have failed banks, do they have a Democrat or Republican governor? Here are my results: 47 Democrat entries 51 Republican entries. We know Arnold Schwarzenegger of California, Charlie Crist of Florida and probably Sonny Purdue of Georgia are not conservative Republicans – they are very liberal Democrats who couldn’t get elected unless they ran as a Republican. They will be added to our Lip Service Candidate list here.
List of the 98 failed banks for 2009:
|Southern Colorado National Bank||Pueblo||CO||August William “Bill” Ritter, Jr||Democrat|
|Jennings State Bank||Spring Grove||MN||Timothy Pawlenty||Republican|
|Warren Bank||Warren||MI||Jennifer M. Granholm||Democrat|
|Georgian Bank||Atlanta||GA||Sonny Perdue||Republican|
|Irwin Union Bank, F.S.B.||Louisville||KY||Steven L. Beshear||Democrat|
|Irwin Union Bank and Trust Company||Columbus||IN||Mitch Daniels||Republican|
|Venture Bank||Lacey||WA||Christine Gregoire||Democrat|
|Brickwell Community Bank||Woodbury||MN||Timothy Pawlenty||Republican|
|Corus Bank, N.A.||Chicago||IL||Pat Quinn||Democrat|
|First State Bank||Flagstaff||AZ||Janet Napolitano||Democrat|
|Platinum Community Bank||Rolling Meadows||IL||Pat Quinn||Democrat|
|Vantus Bank||Sioux City||IA||Chester John “Chet” Culver||Democrat|
|InBank||Oak Forest||IL||Pat Quinn||Democrat|
|First Bank of Kansas City||Kansas City||MO||Jay Nixon||Democrat|
|Affinity Bank||Ventura||CA||Arnold Schwarzenegger||Republican|
|Mainstreet Bank||Forest Lake||MN||Timothy Pawlenty||Republican|
|Bradford Bank||Baltimore||MD||Martin Joseph O’Malley||Democrat|
|Guaranty Bank||Austin||TX||Rick Perry||Republican|
|CapitalSouth Bank||Birmingham||AL||Bob Riley||Republican|
|First Coweta Bank||Newnan||GA||Sonny Perdue||Republican|
|Community Bank of Nevada||Las Vegas||NV||James Arthur “Jim” Gibbons||Republican|
|Community Bank of Arizona||Phoenix||AZ||Janet Napolitano||Democrat|
|Union Bank, National Association||Gilbert||AZ||Janet Napolitano||Democrat|
|Colonial Bank||Montgomery||AL||Bob Riley||Republican|
|Dwelling House Savings and Loan Association||Pittsburgh||PA||Edward G. Rendell||Democrat|
|Community First Bank||Prineville||OR||Ted Kulongoski||Democrat|
|Community National Bank of Sarasota County||Venice||FL||Charles Joseph Crist, Jr.||Republican|
|First State Bank||Sarasota||FL||Charles Joseph
|Mutual Bank||Harvey||IL||Pat Quinn||Democrat|
|First BankAmericano||Elizabeth||NJ||Jon Stevens Corzine||Democrat|
|Peoples Community Bank||West Chester||OH||Ted Strickland||Democrat|
|Integrity Bank||Jupiter||FL||Charles Joseph Crist, Jr.||Republican|
|First State Bank of Altus||Altus||OK||Brad Henry||Democrat|
|Security Bank of Jones County||Gray||GA||Sonny Perdue||Republican|
|Security Bank of Houston County||Perry||GA||Sonny Perdue||Republican|
|Security Bank of Bibb County||Macon||GA||Sonny Perdue||Republican|
|Security Bank of North Metro||Woodstock||GA||Sonny Perdue||Republican|
|Security Bank of North Fulton||Alpharetta||GA||Sonny Perdue||Republican|
|Security Bank of Gwinnett County||Suwanee||GA||Sonny Perdue||Republican|
|Waterford Village Bank||Williamsville||NY||David A. Paterson||Democrat|
|Temecula Valley Bank||Temecula||CA||Arnold Schwarzenegger||Republican|
|Vineyard Bank||Rancho Cucamonga||CA||Arnold Schwarzenegger||Republican|
|BankFirst||Sioux Falls||SD||M. Michael Rounds||Republican|
|First Piedmont Bank||Winder||GA||Sonny Perdue||Republican|
|Bank of Wyoming||Thermopolis||WY||Dave Freudenthal||Democrat|
|Founders Bank||Worth||IL||Pat Quinn||Democrat|
|Millennium State Bank of Texas||Dallas||TX||Rick Perry||Republican|
|First National Bank of Danville||Danville||IL||Pat Quinn||Democrat|
|Elizabeth State Bank||Elizabeth||IL||Pat Quinn||Democrat|
|Rock River Bank||Oregon||IL||Pat Quinn||Democrat|
|First State Bank of Winchester||Winchester||IL||Pat Quinn||Democrat|
|John Warner Bank||Clinton||IL||Pat Quinn||Democrat|
|Mirae Bank||Los Angeles||CA||Arnold Schwarzenegger||Republican|
|MetroPacific Bank||Irvine||CA||Arnold Schwarzenegger||Republican|
|Horizon Bank||Pine City||MN||Timothy Pawlenty||Republican|
|Neighborhood Community Bank||Newnan||GA||Sonny Perdue||Republican|
|Community Bank of West Georgia||Villa Rica||GA||Sonny Perdue||Republican|
|First National Bank of Anthony||Anthony||KS||Mark V. Parkinson||Democrat|
|Cooperative Bank||Wilmington||NC||Beverly Perdue||Democrat|
|Southern Community Bank||Fayetteville||GA||Sonny Perdue||Republican|
|Bank of Lincolnwood||Lincolnwood||IL||Pat Quinn||Democrat|
|Citizens National Bank||Macomb||IL||Pat Quinn||Democrat|
|Strategic Capital Bank||Champaign||IL||Pat Quinn||Democrat|
|BankUnited, FSB||Coral Gables||FL||Charles Joseph Crist, Jr.||Republican|
|Westsound Bank||Bremerton||WA||Christine Gregoire||Democrat|
|America West Bank||Layton||UT||Jon Huntsman, Jr.||Republican|
|Citizens Community Bank||Ridgewood||NJ||Jon Stevens Corzine||Democrat|
|Silverton Bank, NA||Atlanta||GA||Sonny Perdue||Republican|
|First Bank of Idaho||Ketchum||ID||Clement Leroy “Butch” Otter||Republican|
|First Bank of Beverly Hills||Calabasas||CA||Arnold Schwarzenegger||Republican|
|Michigan Heritage Bank||Farmington Hills||MI||Jennifer M. Granholm||Democrat|
|American Southern Bank||Kennesaw||GA||Sonny Perdue||Republican|
|Great Basin Bank of Nevada||Elko||NV||James Arthur “Jim” Gibbons||Republican|
|American Sterling Bank||Sugar Creek||MO||Jay Nixon||Democrat|
|New Frontier Bank||Greeley||CO||August William “Bill” Ritter, Jr||Democrat|
|Cape Fear Bank||Wilmington||NC||Beverly Perdue||Democrat|
|Omni National Bank||Atlanta||GA||Sonny Perdue||Republican|
|TeamBank, NA||Paola||KS||Mark V. Parkinson||Democrat|
|Colorado National Bank||Colorado Springs||CO||August William “Bill” Ritter, Jr||Democrat|
|FirstCity Bank||Stockbridge||GA||Sonny Perdue||Republican|
|reedom Bank of Georgia||Commerce||GA||Sonny Perdue||Republican|
|Security Savings Bank||Henderson||NV||James Arthur “Jim” Gibbons||Republican|
|Heritage Community Bank||Glenwood||IL||Pat Quinn||Democrat|
|Silver Falls Bank||Silverton||OR||Ted Kulongoski||Democrat|
|Pinnacle Bank of Oregon||Beaverton||OR||Ted Kulongoski||Democrat|
|Corn Belt Bank & Trust Co.||Pittsfield||IL||Pat Quinn||Democrat|
|Riverside Bank of the Gulf Coast||Cape Coral||FL||Charles Joseph Crist, Jr.||Republican|
|Sherman County Bank||Loup City||NE||Dave Heineman||Republican|
|County Bank||Merced||CA||Arnold Schwarzenegger||Republican|
|Alliance Bank||Culver City||CA||Arnold Schwarzenegger||Republican|
|FirstBank Financial Services||McDonough||GA||Sonny Perdue||Republican|
|Ocala National Bank||Ocala||FL||Charles Joseph Crist, Jr.||Republican|
|Suburban FSB||Crofton||MD||Martin Joseph O’Malley||Democrat|
|MagnetBank||Salt Lake City||UT||Jon Huntsman, Jr.||Republican|
|1st Centennial Bank||Redlands||CA||Arnold Schwarzenegger||Republican|
|Bank of Clark County||Vancouver||WA||Christine Gregoire||Democrat|
|National Bank of Commerce||Berkeley||IL||Pat Quinn||Democrat|
How many banks failed from the year 2000 to December 2008?
How many banks failed from January 1, 2009 until August 2009?
The question, what was the purpose of the bank bailout stimulus?
The United States Congress crammed down American’s throats the bank bailouts under the pretense that the economy would collapse if bailouts did not pass. 93% of Americans strongly opposed the bank bailouts and Congress said, in essence, shove it up your ass as they passed the bailouts.
What was the purpose of the bank bailout? The synopsis on Wikipedia states:
The Emergency Economic Stabilization Act of 2008, commonly referred to as a bailout of the U.S. financial system, is a law enacted in response to the subprime mortgage crisis authorizing the United States Secretary of the Treasury to spend up to US$700 billion to purchase distressed assets, especially mortgage-backed securities, and make capital injections into banks. Both foreign and domestic banks are included in the bailout. The Federal Reserve also extended help to American Express, whose bank-holding application it recently approved.The Act was proposed by Treasury Secretary Henry Paulson during the global financial crisis of 2008.
Then why did 7 banks fail from the year 2000 through 2008 and since the bank bailout was passed from January 1, 2009 until August 2009 there have been 57 bank failures? See bank failures.
Another one bites the dust.
Riverside Bank in Florida closes on President’s Day when the bank was closed to customers. Hmmm
SunTrust Bank is now subsidized by taxpayers when SunTrust took part in the bank bailouts. Now, SunTrust advertises how ‘strong & sound’ they are but they don’t tell you it is because they received bailout money. Their bank rating is still C- even after their share of taxpayer subsidies.
As for Riverside, below is a copy in full of the FDIC press release:
IB Bank, Naples, Florida, Assumes All of the Deposits of Riverside Bank of the Gulf Coast, Cape Coral, Florida
| FOR IMMEDIATE RELEASE
February 13, 2009
David Barr (202) 898-6992
Cell: (703) 622-4790
Riverside Bank of the Gulf Coast, Cape Coral, Florida, was closed today by the Florida Office of Financial Regulation, which appointed the Federal Deposit Insurance Corporation (FDIC) as receiver. To protect the depositors, the FDIC entered into a purchase and assumption agreement with TIB Bank, Naples, Florida, to assume all of the deposits of Riverside Bank.
Due to the observance of Presidents’ Day on Monday, Riverside’s nine offices will reopen on Tuesday as branches of TIB Bank. Depositors of Riverside Bank will automatically become depositors of TIB Bank. Deposits will continue to be insured by the FDIC, so there is no need for customers to change their banking relationship to retain their deposit insurance coverage. Customers of both banks should continue to use their existing branches until TIB Bank can fully integrate the deposit records of Riverside Bank.
Over the weekend, depositors of Riverside Bank can access their money by writing checks or using ATM or debit cards. Checks drawn on the bank will continue to be processed. Loan customers should continue to make their payments as usual.
As of December 31, 2008, Riverside Bank had total assets of approximately $539 million and total deposits of $424 million. TIB Bank agreed to pay the FDIC a premium of 1.3 percent.
TIB Bank will not assume $142.6 million in brokered deposits held by Riverside Bank. The FDIC will pay the brokers directly for the amount of their funds. Customers who placed money with brokers should contact them directly for more information about the status of their deposits.
Customers who have questions about today’s transaction can call the FDIC toll-free at 1-800-823-5028. This phone number will be operational this evening until 9:00 p.m., EST; on Saturday from 9:00 a.m. to 6:00 p.m., EST; on Sunday from noon to 6:00 p.m., EST; and thereafter from 8:00 a.m. to 8:00 p.m., EST.
Customers who would like more information about today’s transaction can also visit the FDIC’s Web site at http://www.fdic.gov/bank/individual/failed/riverside.html.
In addition to assuming all of the deposits of Riverside Bank, TIB Bank agreed to purchase approximately $125 million in assets, comprised mainly of cash, cash equivalents and marketable securities. The FDIC will retain the remaining assets for later disposition.
The FDIC estimates that the cost to the Deposit Insurance Fund will be $201.5 million. TIB Bank’s acquisition of all of the deposits was the “least costly” resolution for the FDIC’s Deposit Insurance Fund compared to alternatives. Riverside Bank is the eleventh bank to fail in the nation this year. The last bank to fail in Florida was Ocala National Bank on January 30, 2009.
Riverside Bank of the Gulf Coast is not affiliated with either Riverside National Bank of Florida, Fort Pierce, or with Riverside Bank of Central Florida, Winter Park.
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