NEW YORK (CNNMoney.com) -- Banks in six U.S. states were closed Friday, bringing the total number of failed banks this year to 140, at a cost of over $1 billion to the Federal Deposit Insurance Corporation.
Among the institutions seized by regulators was a so-called "bankers' bank" in Illinois called Independent Bankers' Bank (IBB), whUnlike the majority of banks closed this year, IBB did not take deposits from, or make loans to consumers. Instead, it offered a variety of services such as check clearing and credit card operations to community banks around the country that find it too costly to do this on their own.
The FDIC said it created a bridge bank to take over the operations of the Springfield Ill.-based institution.
Earlier this year, regulators seized Atlanta-based Silverton Bank, which was one of the largest U.S. bankers' banks. Silverton often acted as the lead banker on some syndicated commercial real estate loans, and its collapse was seen as hastening the demise of many of its regional partners.
Separately, Illinois state officials closed Citizens State Bank. The FDIC created c(DINB) to take over the failed bank. DINB will remain open for 45 days to allow depositors of the failed institution to open new accounts elsewhere.
In Florida, Peoples First Community Bank, which operated 29 branches, was closed by the Office of Thrift Supervision (OTS) and the FDIC was named receiver.
Hancock Bank of Gulfport, Miss., will assume the failed bank's $1.7 billion in deposits and will purchase the bulk of its $1.8 billion in total assets.ich had about 450 client banks in four U.S. states
Among the institutions seized by regulators was a so-called "bankers' bank" in Illinois called Independent Bankers' Bank (IBB), whUnlike the majority of banks closed this year, IBB did not take deposits from, or make loans to consumers. Instead, it offered a variety of services such as check clearing and credit card operations to community banks around the country that find it too costly to do this on their own.
The FDIC said it created a bridge bank to take over the operations of the Springfield Ill.-based institution.
Earlier this year, regulators seized Atlanta-based Silverton Bank, which was one of the largest U.S. bankers' banks. Silverton often acted as the lead banker on some syndicated commercial real estate loans, and its collapse was seen as hastening the demise of many of its regional partners.
Separately, Illinois state officials closed Citizens State Bank. The FDIC created c(DINB) to take over the failed bank. DINB will remain open for 45 days to allow depositors of the failed institution to open new accounts elsewhere.
In Florida, Peoples First Community Bank, which operated 29 branches, was closed by the Office of Thrift Supervision (OTS) and the FDIC was named receiver.
Hancock Bank of Gulfport, Miss., will assume the failed bank's $1.7 billion in deposits and will purchase the bulk of its $1.8 billion in total assets.ich had about 450 client banks in four U.S. states
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