Regulators closed banks in Illinois, Minnesota and Washington state today, at a cost of more than $2 billion to the FDIC insurance fund. That brings this year's failures to 91 or 92... but who's counting? BTW, that's four times the failures of 2008. In Illinois alone, 16 banks have failed so far this year.
Minnesota’s Brickwell Community Bank has been seized by regulators. Cost to the FDIC is $22 million.
Ventura Bank, based in Washington state, has also been seized, costing the FDIC fund about $298 million.
Corus Bank, the 3rd largest in Illinois, also collapsed. The FDIC estimates it will cost the insurance fund about $1.7 Billion.
A week or two ago the FDIC reported it only had $10 billion remaining in funds. Today’s hits will take 20% of that reserve. CNNMoney.com reports that over the next five years, the FDIC expects roughly $70 billion in losses due to the failure of insured institutions. Hey, just ask the government to print more!