43rd Bank Failure of the Year: First United Bank in Illinois
by Ken Tumin
One small Illinois bank failed this Friday. First United Bank was closed by state regulators, and the FDIC arranged for Old Plank Trail Community Bank, N.A. to assume all of the failed bank’s deposits.
This was the third bank to fail this month, the 12th bank to fail this quarter and the 43rd bank to fail this year. 8 of those 12 bank failures in this quarter occurred in July. Since July 20th, there have been only 5 bank failures. As you can see, the pace of bank closures has slowed considerably.
At this time last year there had been 74 bank failures, and at this time in 2010 there had been 129 bank failures.
Old Plank Trail Community Bank, N.A. assumed all of the deposits of First United Bank. The FDIC has the following message at its Q&A page:
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