FDIC problem bank list
   HOME

TheInfoList



OR:

In American finance, the FDIC problem bank list is a confidential list created and maintained by the
Federal Deposit Insurance Corporation The Federal Deposit Insurance Corporation (FDIC) is one of two agencies that supply deposit insurance to depositors in American depository institutions, the other being the National Credit Union Administration, which regulates and insures credi ...
which lists banks that are in jeopardy of failing. The list is closely monitored, and if problems continue with a listed bank, the FDIC takes control of the bank; it may then sell the problem bank to a stronger one, or liquidate the bank and pay off the depositors.


Getting on the list

To get onto the FDIC problem bank list, a bank must receive a CAMELS rating by bank examiners of “4” or “5.” The CAMEL rates each element of
Capital Capital may refer to: Common uses * Capital city, a municipality of primary status ** List of national capitals, List of national capital cities * Capital letter, an upper-case letter Economics and social sciences * Capital (economics), the dura ...
,
Assets In financial accounting Financial accounting is the field of accounting concerned with the summary, analysis and reporting of financial transactions related to a business. This involves the preparation of Financial statement audit, financial ...
,
Management Management (or managing) is the administration of an organization, whether it is a business, a nonprofit organization, or a government body. It is the art and science of managing resources of the business. Management includes the activities ...
,
Earnings Earnings are the net benefits of a corporation A corporation is an organization—usually a group of people or a company—authorized by the State (polity), state to act as a single entity (a legal entity recognized by private and public law ...
, and
Liquidity Liquidity is a concept in economics involving the convertibility of assets and obligations. It can include: * Market liquidity, the ease with which an asset can be sold * Accounting liquidity, the ability to meet cash obligations when due * Liqui ...
from “1” to “5,” with “1” being the best and “5” being the worst. A composite rating is then assigned, and banks in the two lowest categories are placed on the FDIC’s problem bank list.


See also

* National Bank Surveillance System


References


External links


FDIC Quarterly Banking Profile
* list {{bank-stub