21st Bank Failure of 2009

A Georgia based bank was closed this weekend and the FDIC stepped in. This marks the 21st bank failure of 2008, compared with 25 total in 2008. While bank failures are clearly picking up they still remain an extremely small percentage of total banks although the public would probably believe otherwise.

According to the FDIC, they regulate over 5,100 banks which means between 2008 and the first three months of 2009 less than 1% of their banks have failed. More importantly, FDIC continues to pay out on all insured deposits.