Search

The article discusses the failure of banks owing to some financial problems. Topics discussed include threshold of many community banks regarding their failure, assurance from the federal financial bailout regarding saving banks from failure, and the problems of toxic assets of the banks causing their failure.

The article focuses on the support provided for the Durbin Amendment despite the attempt by several card networks and banks in the U.S. to overturn it for their favor as of 2011. It reveals the decision of the U.S. Federal Reserve to impose caps on the interchange fees that banks charge merchants for debit card swipe transactions.

The article focuses on small community banks Towne Bank of Arizona and Hudson City Savings Bank of Paramus that peak with the real estate and construction boom.

The article offers information related to the initiatives taken by financial services firm Goldman Sachs & Co. and other banks to save the ShoreBank Corp., a small Chicago, Illinois-based community bank that was told by the U.S. Federal Deposit Insurance Corp.

The article offers information on the role of regional banks in taking over failing banks in the U.S. Some banks such as BB & T Corp. and PNC Financial Services Group Inc. may be the possible buyers of failing banks. It reveals that private equity firms are not perfectly fit for the purpose of helping banks whereas Federal Deposit Insurance Corp. could play important roles in the industrial recovery.

The article reports that contrary to general belief regarding good investment opportunity in small troubled banks, less than two dozen out of around 236 banks closed by the U.S. Federal Deposit Insurance Corp. (FDIC) since January 2009 were acquired by investment groups supported by private equity firms, hedge funds and other financiers. According to news agency Reuters, regulators are concerned about the ability and intentions of interested buyers.

The article discusses the plight of small U.S. banks as the majority of the failed banks in 2014 have been small banks, and the largest banks are in recovery mode.