Nevada’s problem banks
Calculated Risk, an online site that attracted some attention when it was one of the few media outlets to predict the collapse of the housing bubble, regularly posts updated lists of “problem banks.” The list is compiled from data on banks under increased federal oversight by the Federal Deposit Insurance Corporation or other banking regulatory agencies.
Here are the Nevada banks listed, together with the type of federal enforcement action under which they are operating:
• Bank of Las Vegas/consent order
• Town and Country Bank/consent order
• First Security Bank of Nevada/consent order
• Nevada Commerce Bank/consent order
• 1st Commerce Bank/consent order
• Bank of North Las Vegas/consent order
• Service First Bank of Nevada/consent order
• Nevada National Bank/formal agreement
All of these banks are headquartered in Clark County. Probably the only reason the rest of the state was spared is that weak banks in non-Clark areas have already been dealt with. In fact, some banks in Carson City, Reno and Elko—as well as Clark—have been closed down by federal officials. At least eight Nevada banks have been closed during the recession.