Joe Adler

Federal Deposit Insurance Corp. staff recommended at a meeting Tuesday that the agency require banks to prepay three years' worth of premiums, giving it an additional $45 billion to deal with rising bank failures.

At an FDIC board meeting Tuesday, Bair is expected to advocate rebuilding the Deposit Insurance Fund by asking banks to prepay three years worth of premiums — which delays a hit to bank earnings while immediately boosting the agency's reserves.

The federal banking regulatory agencies on Friday warned about "correspondent concentration risk," which generally arises when an institution's credit exposure to one source is greater than 25% of its Tier 1 capital.

ICBA Now on iTunesSome may view the financial crisis as a pile of lemons, but the Independent Community Bankers of America appears determined to make lemonade by using it to gain leverage over the largest banks.

Regulators closed the $2 billion-asset Georgian Bank in Atlanta on Friday, the industry's 95th failure of the year. Despite its relatively small size, regulators estimated it would take a heavy toll on the Deposit Insurance Fund, costing $892 million.

Regulators closed the $2 billion-asset Georgian Bank in Atlanta on Friday, the industry's 95th failure of the year.

The Federal Deposit Insurance Corp. will meet Tuesday to discuss a much-awaited plan for bolstering its reserves.

A rare report from the Federal Deposit Insurance Corp.'s watchdog said that the agency could have more actively exercised backup authority over IndyMac Bank, which collapsed last year in one of the largest failures ever.

The failures of $2.7 billion-asset Irwin Union Bank and Trust Co. and $493 million-asset Irwin Union Bank were estimated to cost the Deposit Insurance Fund a total of $850 million.

WASHINGTON — Under pressure from lawmakers not to charge banks another special assessment, Federal Deposit Insurance Corp. Chairman Sheila Bair said the agency would consider other alternatives — including some obscure ones — before it decides to act.

WASHINGTON — Under pressure from lawmakers not to charge banks another special assessment, Federal Deposit Insurance Corp. Chairman Sheila Bair said the agency would consider other alternatives — including some obscure ones — before it decides to act.

The failures of $2.7 billion-asset Irwin Union Bank and Trust Co., of Columbus, Ind., and $493 million-asset Irwin Union Bank, of Louisville, Ken., were estimated to cost the Deposit Insurance Fund a total of $850 million.

Federal Deposit Insurance Corp. Chairman Sheila Bair signaled Friday the agency is considering multiple options for stabilizing the Deposit Insurance Fund, including borrowing from the Treasury Department.

Nearly a year after policymakers first started talking about ways to get toxic assets off bank balance sheets, the Federal Deposit Insurance Corp. announced Wednesday that it has sealed a deal with a Texas mortgage investment firm.

In a letter to FDIC Chairman Sheila Bair, the Michigan Democrat said the agency should consider using its recently enlarged credit line with the Treasury Department rather than imposing more costs on community banks that did not cause the crisis.

The FDIC's watchdog said that while the agency provided regular supervision of the institutions, its actions could have been timelier to address problems.

The Federal Deposit Insurance Corp. urged institutions that split the costs of failed banks with the agency to cut some of their new borrowers a break.

Time ran out on Corus Bank late Friday as regulators closed the once-high-flying Chicago condominium lender and sold its operations to another institution.

WASHINGTON — Rumors that the Federal Deposit Insurance Corp. is close to broke — which have increasingly gained traction as the level of federal reserves has declined — appear greatly exaggerated.

In the most prominent sign yet that policymakers are creating an exit strategy for government intervention in the banking business, the FDIC has set in motion the end of its debt guarantee plan.