The Office of the Comptroller of the Currency closed two Midwestern banks Friday, bringing the failure tally so far this year to nine.
The Federal Deposit Insurance Corp., as the receiver of the failed national banks, was able to find other institutions to resolve the failures.
The failure of the $93.9 million-asset Charter National Bank in Hoffman, Estates, Ill., is expected to cost the Deposit Insurance Fund $17.4 million, while the failure of the $182.6 million-asset SCB Bank in Shelbyville, Ind., is expected to cost $33.9 million.
Barrington Bank & Trust Co. in Illinois agreed to buy all of Charter National’s assets from the FDIC, with $72.1 million of the assets covered by a loss-sharing arrangement. It also agreed to assume the failed bank's deposits, which totaled $89.5 million at the end of 2011. Barrington is a unit of the $16 billion-asset Wintrust Financial Corp., one of the most-active buyers of failed banks in the Chicago market.
First Merchants Bank in Muncie, Ind., agreed to buy all of SCB Bank's assets and assume all of its $171.6 million in deposits. First Merchants in a unit of First Merchants Corp.