Banks in Minnesota, Missouri Closed as Failures Climb to 76
Officials closed Sun Security Bank, of Ellington, Missouri, and Wyoming, Minnesota-based RiverBank, the Federal Deposit Insurance Corp. said today on its website. The two failures drained the deposit-insurance fund of $189.7 million.
Banks are closing under stress from commercial real estate loans, tied to property values that fell about 49 percent from the October 2007 peak through April, according to Moody’s Investors Service. Regulators have shuttered almost 400 lenders since the start of 2007, FDIC data show.
Stillwater, Minnesota’s Central Bank picked up RiverBank’s almost $380 million in deposits and more than $417 million in assets, the FDIC said. Six branches changed hands in what was the second bank failure in the state this year, the agency said.
Great Southern Bank of Springfield, Missouri, acquired about $290 million in deposits and more than $355 million in assets from Sun Security Bank, the FDIC said. Sun Security, with 27 branches, was the first bank to fail in Missouri this year, according to the agency.