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State and federal regulators stepped in to shut down the operations of two community-based lenders over the weekend â€" ""Haven Trust Bank Florida"":http://www.haventrustbankfl.com/ in Ponte Vedra Beach and ""North County Bank"":https://www.northcountybank.com in Arlington, Washington.
[IMAGE] So far this year, 127 names have landed on the ""FDIC's failed-bank list"":http://www.fdic.gov/bank/individual/failed/banklist.html. The real estate and financial crises have taken their toll on the nation's banking system. Institutional closings in 2010 are well on pace to surpass the 140 bank seizures that characterized 2009. By comparison, there were only 25 insured bank failures in 2008 and only three in 2007. [COLUMN_BREAK]Haven Trust Bank Florida operated two local branches, with $133.6 million in deposits and assets totaling $148.6 million. The FDIC brokered a deal with ""First Southern Bank"":http://www.firstsouthernbank.com in Boca Raton to take over the failed institution's operations.
First Southern did not pay the FDIC a premium for the deposits of Haven Trust, and the federal agency agreed to share the losses on $127.3 million of the acquired assets. The Florida bank's closing is expected to cost the FDIC $31.9 million. Twenty-four insured lenders have gone under in the state since the beginning of the year â€" more than in any other state.
North County Bank was the larger of the two failures this weekend. It was acquired by ""Whidbey Island Bank"":http://www.wibank.com out of Coupeville, Washington. North County had four branch locations, deposits of $276.1 million, and assets totaling $288.8 million.
Whidbey Island Bank will pay the FDIC a premium of 2.0 percent to assume all of the deposits of North County Bank. The FDIC and Whidbey entered into a loss-share transaction on $221.9 million of the shuttered bank's assets. The failure will cost the federal agency an estimated $72.8 million. It's the ninth Washington-based institution to be shut down this year.
