Federal Regulators Take Over 7 More Banks - 2009 Total Year To Date 106

Last Friday the US banking system broke a 17 year standing record for number of bank failures in a single year. With the seizure of 3 Florida based banks (Partners Bank, Hillcrest Bank Florida and Flagship National Bank) in Naples and Bradenton Florida and 4 others: American United Bank of Lawrenceville GA., Bank of Elmwood in Racine Wisconsin, Riverview Community Bank in Otsego, Minnesota and First Dupage Bank of Westmont Ill. FDIC estimates 416 currently at risk of failure.

FDIC estimates the cost this year alone of bailing out failed banks tops $25 billion and expects to pay out $100 billion through 2013. FDIC is asking the healthy banks to pay 3 years premiums in advance totaling $45 billion dollars to help ease the strain.

Dont worry too much, FDIC has a blank check at the Treasury up to $500,000,000,000 (there are those pesky zeros again).