One more Bank down

Cape Fear Bank has become the 22nd bank in the U.S. to fail this year, and the first to fail in North Carolina since 1993. 

Cape Fear, which had eight branches and $492 million in total assets, was taken over by the Federal Deposit Insurance Corp. on Friday. It has been reopened today under the control of First Federal Savings and Loan of Charleston, S.C. 

Cape Fear’s depositors are protected by FDIC insurance, and the agency estimates the bank’s collapse will cost its insurance fund $131 million.

Yet another example, which may lead to, more Banks opting into the TARP Funds that they are considering opting out of.