How common are bank failures in the US?
Bank failures happen more often than you might think—there have been 568 in the U.S. since January 1, 2000. That's an average of almost 25 per year. But the back-to-back collapses of
Since 2001, 563 banks have collapsed, an average of about 25 banks per year, according to data from the Federal Deposit Insurance Corp., which insures deposits and provides other protections to financial institutions.
Recently, a report posted on the Social Science Research Network found that 186 banks in the United States are at risk of failure or collapse due to rising interest rates and a high proportion of uninsured deposits.
- Washington Mutual (WaMu), Henderson, NV ($309 Billion Assets) ...
- First Republic Bank, San Francisco, CA ($229 Billion Assets) ...
- Silicon Valley Bank, Santa Clara, CA ($209 Billion Assets)
Generally, a failure occurs when a bank becomes insolvent, meaning it lacks the funds to cover all of its customers' deposits and the money it owes to others, according to the FDIC. Bank failures aren't uncommon; a few typically happen each year.
2024 in Brief
There are no bank failures in 2024. See detailed descriptions below. For more bank failure information on a specific year, select a date from the drop down menu to the right or select a month within the graph.
The worst banks are Wells Fargo and Citibank. Wells Fargo is the worst bank overall, with a high percentage of unresolved complaints and loss of Better Business Bureau accreditation. Citibank has a string of high-profile cases involving operational chaos and regulatory fines.
Bank | Forbes Advisor Rating | Products |
---|---|---|
Chase Bank | 5.0 | Checking, Savings, CDs |
Bank of America | 4.2 | Checking, Savings, CDs |
Wells Fargo Bank | 4.0 | Savings, checking, money market accounts, CDs |
Citi® | 4.0 | Checking, savings, CDs |
Nearly all banks are FDIC insured. You can look for the FDIC logo at bank teller windows or on the entrance to your bank branch. Credit unions are insured by the National Credit Union Administration.
When was the last bank failure in the US?
The collapses of Silicon Valley Bank and Signature Bank in March 2023—then the second- and third-largest bank failures in U.S. history—took consumers by surprise. Subsequently, three more banks failed in 2023: First Republic Bank in May, Heartland Tri-State Bank in July and Citizens Bank of Sac City in November.
Bank Name | City | State |
---|---|---|
Heartland Tri-State Bank | Elkhart | KS |
First Republic Bank | San Francisco | CA |
Signature Bank | New York | NY |
Silicon Valley Bank | Santa Clara | CA |
Generally, money kept in a bank account is safe—even during a recession. However, depending on factors such as your balance amount and the type of account, your money might not be completely protected. For instance, Silicon Valley Bank likely had billions of dollars in uninsured deposits at the time of its collapse.
If the bank fails, you'll get your money back. Nearly all banks are FDIC insured. You can look for the FDIC logo at bank teller windows or on the entrance to your bank branch. Credit unions are insured by the National Credit Union Administration.
If your bank fails, up to $250,000 of deposited money (per person, per account ownership type) is protected by the FDIC. When banks fail, the most common outcome is that another bank takes over the assets and your accounts are simply transferred over. If not, the FDIC will pay you out.
- First Republic Bank (FRC) . Above average liquidity risk and high capital risk.
- Huntington Bancshares (HBAN) . Above average capital risk.
- KeyCorp (KEY) . Above average capital risk.
- Comerica (CMA) . ...
- Truist Financial (TFC) . ...
- Cullen/Frost Bankers (CFR) . ...
- Zions Bancorporation (ZION) .
- Bank of Scotland – 10 more branches closing (26 in total).
- Halifax – 22 more branches closing (69 in total).
- Lloyds – 21 more branches closing (81 in total).
It remains unclear whether traditional banking will become extinct soon; however, what is certain is that its role will continue to evolve if it is going to survive in this ever-changing landscape of finance.
Among the safest US banks, according to Global Finance's November 2022 rankings, are AgriBank, US Bank, CoBank, AgFirst Bank, and Farm Credit Bank of Texas, primarily for those in the agricultural sector.
Your money is safe at Capital One
Capital One, N.A., is a member of the Federal Deposit Insurance Corporation (FDIC), an independent federal agency. The FDIC insures balances up to $250,000 held in various types of consumer and business deposit accounts.
Should I pull money out of bank?
Moving your money to other financial institutions and having up to $250,000 in each account will ensure that your money is insured by the FDIC, McBride said. Despite the recent uncertainty, experts don't recommend withdrawing cash from your account.
1. JP Morgan Private Bank. “J.P. Morgan Private Bank is known for its investment services, which makes them a great option for those with millionaire status,” Kullberg said. “With J.P. Morgan, each client is given access to a panel of experts, including experienced strategists, economists and advisors.”
The Industrial and Commercial Bank of China Limited is the largest bank in both the People's Republic of China and the world when considering total assets. Among the biggest lenders in the world, ICBC continues to steadily remain near the top, along with the likes of the Bank of America.
Yes, all Chase bank accounts are FDIC insured (FDIC# 628) up to $250,000 per depositor, for each account ownership category, in the event of a bank failure.
- Ally Bank. You can use any ATM for free as Ally reimburses any fees you may incur. ...
- ING Direct. ING's Electric Orange checking has no ATM fees when you use one from their network. ...
- USAA. ...
- Capital One. ...
- Alliant Credit Union. ...
- PNC. ...
- The Incredible Bank. ...
- Charles Schwab.
References
- https://www.fool.com/the-ascent/personal-loans/what-is-good-interest-rate-personal-loan/
- https://www.americanfinancing.net/saving-money/extra-mortgage-principal-payments
- https://www.firstmerchants.com/private-wealth/insights/the-long-view-2024-business-vision/year-in-review-2023
- https://www.nerdwallet.com/best/banking/savings-accounts-that-earn-4-or-more
- https://www.ascotmortgages.co.uk/mortgage-repayment-calculator/250000-mortgage/
- https://www.snagajob.com/salary-calculator?pay=30&period=hour
- https://www.timeanddate.com/calendar/repeating.html?year=2023&country=1
- https://www.aol.com/fiscal-quarters-q1-q2-q3-192741265.html
- https://en.wikipedia.org/wiki/4%E2%80%934%E2%80%935_calendar
- https://www.softworldinc.com/2023/08/09/is-traditional-banking-becoming-obsolete/
- https://stairsfinancial.com/blog/how-much-house-can-i-afford-on-40k-a-year
- https://www.ficoscore.com/about
- https://wallethub.com/answers/cc/what-percentage-of-america-is-debt-free-2140664784/
- https://www.cbsnews.com/news/is-my-money-safe-in-the-bank-2023/
- https://www.cbsnews.com/news/whats-the-best-way-to-get-a-lower-mortgage-rate-experts-weigh-in/
- https://www.finder.com/mortgages/200000-mortgage
- https://www.noradarealestate.com/blog/list-of-failed-banks/
- https://www.bankbazaar.com/tax/financial-year-and-assessment-year.html
- https://www.tickertape.in/glossary/fiscal-year/
- https://www.sofi.com/learn/content/i-make-36k-a-year-how-much-house-can-i-afford/
- https://www.nerdwallet.com/article/mortgages/fha-loan-vs-conventional-mortgage
- https://www.federaltimes.com/management/budget/2022/09/20/why-the-us-federal-fiscal-year-2023-starts-in-october/
- https://money.usnews.com/loans/mortgages/mortgage-rate-forecast
- https://www.lawinsider.com/dictionary/fy2024
- https://www.thestreet.com/personal-finance/banks-most-at-risk-morningstar
- https://www.rocketmortgage.com/learn/what-credit-score-is-needed-to-buy-a-house
- https://yescandomoney.com/guides/mortgage-affordability/repayments-on-a-200k-mortgage/
- https://en.wikipedia.org/wiki/Fiscal_year
- https://www.usa.gov/federal-budget-process
- https://www.cnbc.com/2023/09/05/mortgage-rate-tipping-point-homeowners-say-5percent-is-the-magic-number.html
- https://www.bankrate.com/real-estate/income-needed-for-900k-home/
- https://www.rocketloans.com/learn/personal-loan-basics/i-need-a-loan-but-keep-getting-declined
- https://www.rocketmortgage.com/learn/average-mortgage-length
- https://www.investopedia.com/mortgage/mortgage-rates/how-it-works/
- https://www.nerdwallet.com/article/mortgages/whats-exact-credit-score-need-buy-home
- https://www.calendarpedia.com/fiscal-calendar-2023-pdf-templates.html
- https://www.collinsdictionary.com/us/dictionary/english/quarterly
- https://apnews.com/article/business-financial-services-signature-bank-6aa3564a8acda9098929abe4741fcbfd
- https://www.usatoday.com/story/graphics/2023/03/17/how-often-do-us-banks-collapse/11491907002/
- https://economictimes.indiatimes.com/definition/quarter
- https://www.businessinsider.com/personal-finance/average-mortgage-interest-rate
- https://capitalbankmd.com/homeloans/mortgage-calculators/mortgage-required-income-calculator/
- https://www.noradarealestate.com/blog/which-banks-are-in-danger-of-failing/
- https://www.nasdaq.com/articles/40-of-americans-pay-off-their-house-are-they-doing-better-financially
- https://www.bankrate.com/mortgages/best-lenders/low-credit-score-mortgage-lenders/
- https://www.experian.com/blogs/ask-experian/how-to-get-a-car-loan-if-you-have-bad-credit/
- https://www.rocketmortgage.com/learn/types-of-mortgages
- https://www.jvmlending.com/blog/income-needed-to-buy-450000-and-1-million-homes/
- https://gocardless.com/en-us/guides/posts/the-difference-between-a-fiscal-year-and-a-calendar-year/
- https://freefrombroke.com/the-8-least-evil-banks/
- https://www.forbes.com/advisor/banking/cds/are-cds-worth-it/
- https://themortgagereports.com/75530/down-payment-300000-house
- https://www.linkedin.com/pulse/10-worst-banks-america-karen-e-peyton-
- https://www.marketwatch.com/guides/car-loans/72-month-auto-loan-rates/
- https://www.forbes.com/advisor/banking/is-my-money-safe-in-the-bank/
- https://www.forbesindia.com/article/explainers/the-10-largest-banks-in-the-world/86967/1
- https://www.credible.com/mortgage/150000-mortgage
- https://www.quickenloans.com/learn/percentage-income-mortgage
- https://www.forbes.com/advisor/renters-insurance/renting-statistics/
- https://www.forbes.com/advisor/banking/chase-bank-review/
- https://www.bankrate.com/real-estate/income-needed-for-300k-home/
- https://www.globalcitizensolutions.com/safest-banks-us/
- https://accounting.uci.edu/support/fiscalofficers/generalledger/fiscalperiod.html
- https://www.equifax.com/personal/education/credit/score/articles/-/learn/what-is-a-good-credit-score/
- https://themortgagereports.com/22502/how-to-buy-a-home-50000-per-year-income
- https://www.bankrate.com/mortgages/what-happens-when-mortgage-is-paid-off/
- https://money.com/how-much-house-can-i-afford/
- https://www.foxroach.com/blog/house-affordability-calculator/
- https://www.moneysavingexpert.com/news/2024/03/lloyds-halifax-bank-of-scotland-branch-closures/
- https://finance.yahoo.com/news/average-mortgage-debt-2024-facts-194651468.html
- https://www.bankrate.com/real-estate/income-needed-for-200k-home/
- https://www.unbiased.co.uk/news/mortgages/mortgage-market-opens-up-to-bad-credit-homebuyers
- https://www.ascotmortgages.co.uk/mortgage-repayment-calculator/150000-mortgage/
- https://www.cnbc.com/select/when-will-interest-rates-drop/
- https://www.marketwatch.com/guides/car-loans/auto-loan-interest-rates-by-credit-score/
- https://newsilver.com/the-lender/how-much-house-can-i-afford/
- https://www.forbes.com/advisor/banking/list-of-failed-banks/
- https://www.bankrate.com/real-estate/income-needed-for-600k-home/
- https://www.cbsnews.com/news/will-mortgage-interest-rates-drop-after-the-feds-march-meeting-heres-what-experts-predict/
- https://thisismortgage.com/if-i-make-180000-a-year-what-mortgage-can-i-afford/
- https://www.fdic.gov/resources/resolutions/bank-failures/in-brief/bfb2024.html
- https://www.tiaa.org/public/learn/life-milestones/should-you-pay-off-your-mortgage-in-retirement
- https://finance.yahoo.com/news/4-most-popular-banks-millionaires-150054420.html
- https://fiscaldata.treasury.gov/americas-finance-guide/
- https://www.wsj.com/buyside/personal-finance/mortgage-rates-by-credit-score-287bb3d8
- https://www.irs.gov/businesses/small-businesses-self-employed/tax-years
- https://www.bankrate.com/loans/personal-loans/bad-credit-loans/
- https://smartasset.com/credit-cards/the-average-debt-by-age
- https://themortgagereports.com/47861/what-are-your-chances-of-mortgage-approval-down-payment-credit-score
- https://www.volkswagenofdesmoines.com/finance/car-buying-tips/what-happens-to-interest-rates-if-you-have-bad-credit/
- https://www.wesleymortgage.com/guides/what-is-the-smallest-mortgage-you-can-get
- https://www.caranddriver.com/auto-loans/a31280000/average-apr-for-car-loan/
- https://www.sofi.com/learn/content/i-make-40k-a-year-how-much-house-can-i-afford/
- https://www.investopedia.com/terms/f/fiscalyear.asp
- https://www.investopedia.com/terms/q/quarter.asp
- https://www.bankrate.com/mortgages/fha-loan-requirements/
- https://refi.com/calculator/mortgage-required-income-calculator/
- https://www.cainmortgageteam.com/how-much-house-can-i-afford-with-a-60k-salary/
- https://www.pymnts.com/real-estate/2023/record-high-share-of-americans-have-paid-off-their-homes/
- https://www.bankrate.com/mortgages/early-payoff/
- https://www.mercedesbenzgreenwich.com/what-is-a-good-interest-rate-for-your-car-loan/
- https://www.quora.com/If-your-loan-is-denied-after-closing-on-a-home-purchase-what-happens
- https://www.bankrate.com/real-estate/what-is-the-28-36-rule/
- https://www.refinery29.com/en-gb/countries-where-its-hardest-to-get-on-property-ladder
- https://www.forbes.com/advisor/banking/safest-banks-in-the-us/
- https://www.quora.com/How-much-house-can-I-afford-if-I-make-30-000-a-year
- https://www.nerdwallet.com/article/banking/how-much-money-in-checking-and-savings
- https://www.nerdwallet.com/article/loans/personal-loans/safe-small-dollar-loans
- https://www.teito.co.uk/how-are-mortgage-repayments-calculated/repayments-on-a-100-000-mortgage/
- https://www.cnbc.com/select/debt-free-by-age-45/
- https://groww.in/p/tax/financial-year-and-assessment-year
- https://www.ramseysolutions.com/real-estate/mortgage-payoff-calculator
- https://www.nerdwallet.com/uk/mortgages/best-mortgage-lenders/
- https://www.marketwatch.com/story/the-one-place-in-real-estate-where-home-buyers-can-still-find-mortgage-rates-below-6-406209f6
- https://www.fhlbny.com/wp-content/uploads/2019/05/mpfhighbalancemortgageloans.pdf
- https://www.forbes.com/advisor/banking/savings/7-percent-interest-savings-account/
- https://www.businessinsider.com/personal-finance/average-credit-score
- https://assurancemortgage.com/what-to-avoid-after-applying-for-mortgage/
- https://www.bankrate.com/mortgages/30-year-mortgage-rates/
- https://en.wikipedia.org/wiki/List_of_largest_banks_in_the_United_States
- https://www.capitalone.com/bank/fdic/
- https://www.schwab.com/learn/story/should-you-pay-off-mortgage-before-you-retire
- https://ask-a-lawyer.lawyers.com/trusts-estates/what-does-closing-month-of-accounting-year-mean-trying-to-obtain-a-ein-number-to-establish-moms-estate-account-1679335.html
- https://www.quora.com/How-can-I-get-a-house-in-California-if-I-make-30-000-at-year-I-shouldn-t-have-to-work-2-jobs-to-afford-a-house-because-my-predecessors-were-much-lazier-and-able-to-afford-a-house-with-one-income
- https://www.investopedia.com/what-happens-if-my-bank-fails-7378029
- https://finance.yahoo.com/news/suze-orman-shares-advice-paying-120012113.html
- https://www.whitehouse.gov/wp-content/uploads/2023/03/ap_15_concepts_fy2024.pdf
- https://morganfinancial.net/easiest-type-get-approved/
- https://www.xero.com/us/glossary/fiscal-year/
- https://wallethub.com/answers/cc/how-long-to-pay-off-30000-credit-card-debt-1000423-2140858502/
- https://www.thestreet.com/personal-finance/biggest-bank-failures-in-us-history
- https://www.statefarm.com/simple-insights/residence/pay-off-mortgage-early
- https://www.nerdwallet.com/article/taxes/mortgage-interest-rate-deduction
- https://www.cbsnews.com/news/will-mortgage-rates-ever-fall-to-3-again/
- https://www.tembomoney.com/learn/pay-off-mortgage-early
- https://www.bloomberg.com/news/articles/2023-11-17/amid-high-mortgage-rates-higher-share-of-americans-outright-own-homes
- https://www.usnews.com/news/business/articles/2023-03-14/is-my-money-safe-what-you-need-to-know-about-bank-failures
- https://www.bankrate.com/mortgages/reasons-mortgage-application-is-denied/
- https://www.bankrate.com/real-estate/income-needed-for-800k-house/
- https://www.bankrate.com/real-estate/what-credit-score-do-you-need-to-buy-a-house/
- https://www.businessinsider.com/personal-finance/will-mortgage-rates-go-down-in-2024
- https://www.bankrate.com/banking/list-of-failed-banks/
- https://thehomeofficelife.com/blog/tax-year-dates-2023-2024