The effects of the 2008 bad-mortgage crisis continue to ripple their way through the banking industry, with failures this year in two states alone costing taxpayers $2.5 billion.
In Georgia, 16 banks have been rescued by the
Federal Deposit Insurance Corp. (FDIC), at a cost of $1.5 billion. Georgia leads the nation with 67 failures since mid-2008. And 10 more may collapse before the end of 2011.
The FDIC has seized five banks so far this year in Colorado. Those takeovers have cost $1 billion, surpassing the expense in 2010 of three failures that drained $970.6 million from the FDIC fund.
Nationwide, the FDIC has forked over $5 billion on belly-up banks this year.
-Noel Brinkerhoff