Largest Bank Failures of 2009 (2024)

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Largest Bank Failures of 2009? ›

The receivership of Washington Mutual Bank by federal regulators on September 26, 2008, was the largest bank failure in U.S. history. Regulators simultaneously brokered the sale of most of the banks's assets to JPMorgan Chase, which planned to write down the value of Washington Mutual's loans at least $31 billion.

The receivership of Washington Mutual Bank by federal regulators on September 26, 2008, was the largest bank failure in U.S. history. Regulators simultaneously brokered the sale of most of the banks's assets to JPMorgan Chase, which planned to write down the value of Washington Mutual's loans at least $31 billion.

The failures of SVB, Signature and First Republic mark three of the four largest failures of a federally insured bank ever. The largest, Washington Mutual, crashed at the start of the Great Recession in 2008.

First State Bank failed on April 3, 2020. Ericson State Bank failed on February 14, 2020. City National Bank of New Jersey failed on November 1, 2019.

6 Some of the largest banks to fail were investment banks, including Lehman Brothers and Bear Stearns. JPMorgan Chase, Goldman Sachs, Morgan Stanley, and Bank of America were all bailed out by the federal government and did not fail.

There were 157 bank failures in 2010. See detailed descriptions below.

The news: Last Friday, Pennsylvania financial regulators seized and shut down Philadelphia-based Republic First Bank in the first FDIC-insured bank failure of 2024.

When housing prices fell and homeowners began to abandon their mortgages, the value of mortgage-backed securities held by investment banks declined in 2007–2008, causing several to collapse or be bailed out in September 2008. This 2007–2008 phase was called the subprime mortgage crisis.

What two major banks are crashing? ›

The collapses in March of Silicon Valley Bank (SVB) and Signature Bank – two of the largest U.S. banks to fail since the Great Depression of the 1930s – have led some to wonder if the nation may be headed for a new widespread banking crisis.

In 2023, the US government and America's largest banks joined forces in a rare moment of comity. They were forced into action after Silicon Valley Bank (SVB) collapsed on March 10, 2023, quickly followed by two other lenders, First Republic and Signature Bank.

RBI continues to classify SBI, ICICI Bank and HDFC Bank in the category of D-SIBs. But, what are D-SIBs? These are the banks which are so important for the country's economy that the government cannot afford their collapse. Hence, D-SIBs are thought of as “Too Big to Fail” (TBTF) organisations.

JPMorgan Chase, the financial institution that owns Chase Bank, topped our experts' list because it's designated as the world's most systemically important bank on the 2023 G-SIB list. This designation means it has the highest loss absorbency requirements of any bank, providing more protection against financial crisis.

Canada's financial-crime watchdog has levied a $9.2-million penalty against The Toronto-Dominion Bank for non-compliance with money laundering and terrorist financing measures as the bank also faces compliance investigations in the U.S.

There were 25 bank failures in 2008. 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.

There were 92 bank failures in 2011.

The Depression ravaged the nation's banking industry. Between 1930 and 1933, more than 9,000 banks failed across the country, and this time many were large, urban, seemingly stable institutions. The few state deposit-guarantee funds were quickly overwhelmed.

The bank also gained cachet on Wall Street for its investment banking arm. Merrill Lynch was sold to Bank of America for $50 billion in September 2008.