twitter linkedin
facebook google+

Mortgage News

News by Subject
Complete list of specialty news sections.

Purchase Subscription
Subscribe to and get immediate access to all news, statistics and archives.

Mortgage Advertising
Reach mortgage executives, loan originators and other people tied to mortgage industry.

Consumer Mortgage News
Free mortgage news for prospective borrowers.

Mortgage Newsletter
Free e-mail newsletter with the latest headlines from

Mortgage News Reprints
Put entire stories in your online or printed newsletter or publication.

Mortgage Feedget RSS code
Condensed stories free on your Web site or for your RSS reader.

News Archives
Archive of stories by month going back to 1999.

Press Releases
Reports and announcements from

Mortgage Statistics
Data and statistics for real estate finance.

Mortgage Directories
Directories of lenders, branch operators and mortgage service providers.

Mortgage Graphs
Directories of lenders, branch operators and mortgage service providers.

home subscribe advertise reprints e-mail help RSS about us LOG IN

Mortgage News


Mortgage News

HOT Topics









site map
The Mortgage Graveyard
Failed, closed and a c q u i r e d mortgage-related entities.

Huge Losses for Small Failed Bank

Recent bank and credit union failures

Dec. 16, 2012

By Mortgage Daily staff

Losses from the failure of small Missouri bank are expected to reach nearly a quarter of the bank's assets. Two other small financial institutions also failed recently. The number of mortgage-related businesses that will have closed by the time the year finishes will be lower than any year since the mortgage crisis erupted.

On Friday, the Missouri Division of Finance said it took possession of Community Bank of the Ozarks.

The bank was founded in 1988 and had a staff of just 18 employees as of Sept. 30.

The Sunrise Beach, Mo., bank failed at its attempts to find a buyer or increase its capital, so its board of directors voted to turn the bank over to the state banking regulator.

"The demise of this bank is the result of liberal lending practices compounded by adverse economic trends," Missouri Commissioner of the Division of Finance Richard J. Weaver said in a statement. "Many of these loans became delinquent and non-performing. Losses have been realized and are more than the bank can support."

Weaver noted that Community Bank has been operating under close regulatory scrutiny since 2009.

The Federal Deposit Insurance Corp. was appointed receiver or Community Bank.

Through a covert bidding process, Bank of Sullivan won its bid to acquire all of the failed bank's $43 million in total assets and assume its $42 million in deposits. The deal calls for the FDIC to share in losses on $37 million of the assets -- which included $8 million in residential loans, $14 million in commercial mortgages and $1 million in construction-and-land-development assets.

Relative to Community Bank's asset size, expected losses are huge.

The FDIC projected that its Deposit Insurance Fund will be depleted by $10 million as a result of the demise of Community Bank -- the 51st federally insured bank failure in 2012.

Following a determination that G.I.C. Federal Credit Union was insolvent and had no prospect for restoring viable operations, the National Credit Union Administration said on Dec. 13 that it liquidated the Euclid, Ohio, institution. G.I.C., a multiple common bond credit union, served 3,476 members of several select groups. It had nearly $16 million in assets.

Last month, the Vermont Department of Financial Regulation closed the Border Lodge Credit Union. The NCUA was appointed liquidating agent of the Derby Line, Vt.-based credit union, which had just $3 million in assets and 1,097 members.

Mortgage Daily has tracked the demise of 14 credit unions so far this year.

Including non-bank entities, banks and credit unions -- 80 mortgage-related operations have closed or gone out of business in 2012 based on data tracked by Mortgage Daily.

Total annual casualties on are pace to be lower than in any year since the 31 in 2006 -- before the 2007 U.S. subprime mortgage crisis claimed 167 organizations and the 2008 global financial crisis claimed another126. Mortgage-related casualties peaked at 234 in 2009.

next story

back to current headlines

Corporate Mortgage News
M e r g e r s, a c q u i s i t i o n s and private and public offerings. Other corporate activity including executive appointments, bankruptcies name changes.

Bank news

Credit Union news

Financial Regulation News | Mortgage Regulations
Bank and mortgage regulators, regulations and regulatory actions. Coverage of regulatory legislation and testimony.
Logout forgot

SUBSCRIBERS: Edit Subscription | Subscription Help | or call 214.521.1300

Subscribe Contact Us Site Map

Copyright © 2017 Mortgage Daily, D a l l a s
Subsribers Only:

AMC directory

ARM indexes

mortgage company directory

mortgage regulations

net branch directory

p r i c i n g engine directory

wholesale lender directory

More Mortgage News Resources (full site map):

advertising news

appraisal news

bank news

biggest lenders

commercial mortgage news

corporate mortgage news

credit news

FHA news

financial regulation news

foreclosure news

GSE news

jumbo mortgage news

interest rates

loan modification news

loan originator survey

LOS Newsletter


mortgage associations

mortgage-backed securities

mortgage books

mortgage brokers

mortgage compliance

mortgage conferences

mortgage directories

mortgage education

mortgage employment

mortgage employment index

mortgage executives

mortgage fraud

mortgage fraud blog

mortgage fraud local news

Mortgage Fraud Index

Mortgage Graveyard

mortgage insurance news

mortgage lawsuits

mortgage leads

mortgage lender ranking

mortgage licenses

mortgage litigation

Mortgage Litigation Index

Mortgage Market Index

mortgage mergers

mortgage news

mortgage politics

mortgage press releases

mortgage production

mortgage public relations

mortgage rates

mortgage servicing

mortgage statistics

mortgage technology

mortgage video

mortgage Webinars

net branch

net branch directory

nonprime news

origination news

originator tools

real estate news

refinance news

reverse mortgage news

secondary marketing

social media

servicing news

subprime news

wholesale lenders