FDIC Friday ~ Feb 28, 2014

[Copper Catcher]

***The dirty little secret no one wants to openly and honestly discuss is that the FDIC insures trillions of dollars in deposits with an insurance deposit fund of only billions in reserve. To put things into prospective you have to venture online and look closely on the fdic.gov website and click to look at the latest balance sheet. The most current balance sheet information shown is for 2012 which seem odd in and of itself. Now look specifically at the line titled “Fund as a Percentage of Insured Deposits (reserve ratio)” and you will see the figure for 2012 at .35 %

Keep in mind when you deposit money in the bank under the law you are considered an unsecure creditor!

Source: http://www.fdic.gov/about/strategic/rep ... ction2.pdf



Washington First Bank, Reston, Virginia, Assumes All of the Deposits of Millennium Bank, National Association, Sterling, Virginia

As of December 31, 2013, Millennium Bank, N.A. had approximately $130.3 million in total assets and $121.7 million in total deposits. WashingtonFirst Bank will pay the FDIC a premium of 1.00 percent to assume all of the deposits of Millennium Bank, N.A. In addition to assuming all of the deposits of the Millennium Bank, N.A., WashingtonFirst Bank agreed to purchase essentially all of the failed bank's assets.

The FDIC estimates that the cost to the Deposit Insurance Fund (DIF) will be $7.7 million. Compared to other alternatives, WashingtonFirst Bank's acquisition was the least costly resolution for the FDIC's DIF. Millennium Bank, N.A. is the 4th FDIC-insured institution to fail in the nation this year, and the first in Virginia. The last FDIC-insured institution closed in the state was Bank of the Commonwealth, Norfolk, on September 23, 2011.


First Choice Bank, Mercerville, New Jersey, Assumes All of the Deposits of Vantage Point Bank, Horsham, Pennsylvania

As of December 31, 2013, Vantage Point Bank had approximately $63.5 million in total assets and $62.5 million in total deposits. First Choice Bank will pay the FDIC a premium of 1.5 percent to assume all of the deposits of Vantage Point Bank. In addition to assuming all of the deposits of the Vantage Point Bank, First Choice Bank agreed to purchase essentially all of the failed bank's assets.

The FDIC estimates that the cost to the Deposit Insurance Fund (DIF) will be $8.5 million. Compared to other alternatives, First Choice Bank's acquisition was the least costly resolution for the FDIC's DIF. Vantage Point Bank is the 5th FDIC-insured institution to fail in the nation this year, and the first in Pennsylvania. The last FDIC-insured institution closed in the state was NOVA Bank, Berwyn, on October 26, 2012.