FDIC: 884 Troubled BanksNumber of 'Problem' Institutions up from Q3 of 2010
Despite positive deposit growth for the second consecutive quarter, 30 FDIC-insured banks failed in Q4. An additional 73 were absorbed in mergers, the FDIC says. For the year, 197 banks were absorbed through mergers.
Bank failures hit an 18-year high in 2010, when 157 failed, the highest total since 1992, when 181 banks failed.
But growth in deposits for Q3 and Q4 helped fuel a year-end asset growth. The FDIC says deposits funded 70.7 percent of total industry assets, the highest proportion since Q1 1996. Deposits for Q1 were up 1.6 percent, totaling $149.3 billion; during Q3, deposits were up 1.5 percent, totaling $132.7 billion.
So far in 2011, there have been 24 failed banking institutions -- 22 banks and two credit unions.