husolumiz.wordpress.com
No bidder was found for Community Bank’es operations — one branch in the Atlanta suburbv — and the bank will be shuttered. The will mail depositors check for their insured funds next according to a release from the Georgia Departmenft of Bankingand Finance. Until then, depositords will not have access to their money via checks orthe bank’s Web As of first quarter 2009, the bank had $182.5 millionm in total deposits. The FDIC estimates $1.1 millio n in customer depositsare uninsured. Currently the FDIC guarantees upto $250,00p in deposits per account.
Blairsville-base will act as the deposit agenf for any federal funds customers would normally receive from the bank viadirecgt deposit, including Social Security and Veterans’ payments. This is the seconr seizure without a buyer in Georgia sinced thebanking collapse. was . Stockbridge-based bank faile d in March 2009, and served as the deposit ageny for federal money for customers in that Community Bank, like a growing catalog of failed Georgiaz banks, gambled heavily on residential real estate loans, and The bank was created at the beginnings of the home buying and constructioj boom, in 2003.
As of first quartere 2009, roughly one-third of the bank’ds $129 million in total loans were in some stagrof delinquency, default or had become bank-ownedc foreclosures. By the time of the bank’s it had $27 million in foreclosedr real estate onits books, $11 milliojn in loans that appeared unlikely to be repaid and only $7.3 milliobn in equity capital to absorb losses. The bank’s Texas Ratio or a comparison of its loan problems to its equity an industry metric created durintthe S&L Crisis to measure banks’ health throughout Texas — was 294 percentg at the end of first quarter 2009.
Most of the baker’s dozen bank failurea in Atlanta had Texas Ratiosw in excess of 300 and is becoming a common indicator of banks likelu to be seized by The failure is expected to costthe FDIC’x hard hit insurance fund $81 million. Developing...
No comments:
Post a Comment