News, The most dangerous states for banking. (rate, reporting, business)

[JD59]

There were 157 U.S. bank failures last year, which sounds like another bad year for American banks until you realize that more than half of those failures--89 of them--occurred in just five states. In contrast, twenty states had no bank failures at all. Clearly, banking is much more dangerous in some states than in others.

The most dangerous states for banking - FoxBusiness.com

[jtur88]

Clearly, (again), Fox News leaps to a logically inconsistent conclusion. They think their viewers are so stupid (they are right, by the way) that they assume that if two things are both true, one must be the cause of the other.

It is not necessarily true that a few more bank closings in a certain state have any causation in the fact that they do business in that particular state. In a large sample, one might be more inclined to look for causation, but the number of bank closings in each state can be counted on one hand, and banks close for a complex aggregate of reasons, the state of residence unlikely to be a significant one of them.

"Evidently, some or all of the above local factors may have played a role." Sorry, Fox News, you've discovered no evidence of that at all. Go back to reporting. We'll decide.

"The best defense for residents of those states might be to look for a national bank with an out-of-state headquarters."
In other words, the sky is falling, so get your money out of your local bank, and put it in the big national banks, whose commercials are running on this network, and help the local banks in your state fail. Now, there's cause and effect.

[Escort Rider]

I think it's a case of over-generalizing. As long as your own bank is solid, it matters little what the failure rate is in your particular state. One can check on various banks, including many local ones, on bankrate.com and also another site whose name I've forgotten. I'm not the only one who has removed much of my banking business from the mega-banks in protest of their sleazy role in our economic meltdown of 2007. Of course that wouldn't have made sense if I had gone to a local bank which was about to fail, so I checked out some local banks on the two websites before making any changes.

[texdav]

I thnik it does say alot abot just where the lcoal economy s goig tho when lookig at bank failures. Its like whiching where the special tax enties filures that have outstanding bonds with project will occur.