What is the largest US bank failure?
The largest bank failure ever occurred when Washington Mutual Bank went under in 2008. At the time, it had about $307 billion in assets. During the uncertainty of the banking crisis, however, Washington Mutual experienced a bank run where customers withdrew almost $17 billion in assets in less than 10 days.
Bank name | Bank failure date | Assets* |
---|---|---|
Signature Bank | March 12, 2023 | $110 billion** |
IndyMac Bank, F.S.B. | July 11, 2008 | $31 billion |
Colonial Bank | Aug. 14, 2009 | $26 billion |
First Republic Bank-Dallas, N.A. | July 29, 1998 | $17 billion |
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.
May 1984. Continental Illinois was one of the largest banks in the United States before nearly failing in 1984. Federal regulators sought to avoid the bank's failure, which they determined would have resulted in widespread economic harm, by providing the bank with substantial public financial support.
Previous bank failure | Bank failure | Days since previous bank failure |
---|---|---|
Oct. 23, 2020 | March 10, 2023 | 867 |
Jan. 13, 1945 | Sept. 14, 1946 | 608 |
Dec. 15, 2017 | May 31, 2019 | 531 |
Aug. 16, 1996 | Nov. 21, 1997 | 461 |
Since the 1970s, over 90 banks in the United States with US$1 billion or more in assets have failed.
JPMorgan Chase, or Chase Bank, is the biggest bank in America with nearly $3.4 trillion in assets. It boasts a vast network of over 4,800 physical branches and more than 15,000 ATMs. With generous bonuses and promotions and a variety of products, Chase is a popular choice for consumers across the country.
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.
Bank | Forbes Advisor Rating | Learn More |
---|---|---|
Chase Bank | 5.0 | Learn More Read Our Full Review |
Bank of America | 4.2 | |
Wells Fargo Bank | 4.0 | Learn More Read Our Full Review |
Citi® | 4.0 |
For just over one month, Silicon Valley Bank was the second-largest bank failure in US history. That was until First Republic Bank, a California lender that catered to wealthy clients, knocked it off that spot. First Republic was seized by the Federal Deposit Insurance Corp.
What is the largest bank in the United States?
JPMorgan Chase is the top largest bank in the US, with a balance sheet total of $3.31 trillion. Insider Intelligence broke down the top 10 banks in the US by assets, with key insights as to how they got there, where they plan to go in the future, and how smaller banks can compete in the industry.
A run on deposits (leaving the bank without the cash to pay customer withdrawals). Too many bad loans/assets that fall sharply in value (eroding the bank's capital reserves). A mismatch between what the bank can earn on its assets (primarily loans) and what it has to pay on its liabilities (primarily deposits).
- 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) .
Based on the analysis of Bank of America's financial health, risk profile, and regulatory compliance, we can conclude that the bank is relatively safe from any trouble or collapse.
In most cases, the FDIC will try to find another banking institution to acquire the failed bank. If that happens, customers' accounts will simply transfer over to the new bank. You will get information about the transition, and you will likely get new debit cards and checks (if applicable).
Still, the FDIC itself doesn't have unlimited money. If enough banks flounder at once, it could deplete the fund that backstops deposits. However, experts say even in that event, bank patrons shouldn't worry about losing their FDIC-insured money.
Generally, credit unions are viewed as safer than banks, although deposits at both types of financial institutions are usually insured at the same dollar amounts. The FDIC insures deposits at most banks, and the NCUA insures deposits at most credit unions.
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 |
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This is the theory that they're so crucial to the economy that collapse would cause major disaster. So the government is likely to step in and support them to avoid failure. In 2023, the U.S. banks considered "too big to fail" include Chase, Bank of America, Citigroup, and Wells Fargo.
Is Ally bank in trouble?
The volatility surrounding regional banks last year has impacted Ally Financial, but the stock has recovered nicely, gaining 77% since its March 2023 low. The bank stands to benefit from a pivot in the Federal Reserve's interest rate policy, but investors must also keep a close eye on its credit quality.
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.”
Rank & Bank | Headquarters | Market Cap |
---|---|---|
#1 JPMorgan Chase | New York, USA | $554.93 B |
#2 Bank of America | North Carolina, USA | $284.14 B |
#3 Industrial and Commercial Bank of China Limited | Beijing, China | $237.97 B |
#4 Wells Fargo | California, USA | $206.66 B |
In April 2024 alone, Halifax will close 14 branches, Lloyds is set to shut down 12 bank locations and Barclays is closing 21 locations. The Bank of Scotland, which is a subsidiary of Halifax, will close one location during this month in a blow to consumers.
Widespread implementation of AI in banking will require substantial focus on safeguarding the security and privacy of customer data, training AI models on the banking industry and ultimately, customer adoption. While brick and mortar banks are not going away anytime soon, the online banking trend is undeniable.