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Another 6 Banks Fail in Georgia

By
Real Estate Agent with Long & Foster 0225078705

Bank failures in Georgia are becoming way too common and almost a weekly event.  Today, we had another bank fail in Georgia and it subsidiares. Regulators shut down Security Bank Corp of Macon Georgia.  the failure was a total of six banks with 20 branches.   This was the 16th bank failure for Georgia this year, and the 64th national bank failure this year.  Georgia leads the nation with bank failuresNationally, this month has been the biggest and in July we had a total of 19 bank failures. Accorging to the FDCI - State Bank and Trust Company of Pinehurst, GA will assume the deposits at the six banks, and those branches will reopen under State Bank's name tomorrow.   Those branches are: Security Bank of Bibb County in Macon; Security Bank of Houston County in Perry; Security Bank of Jones County Gray GA; Security Bank of Gwinnett County Suwanee; Security Bank of North Metro in Woodstock GA; and Security Bank of North Fulton in Alpharetta GA.

Posted by

James Crawford Broker Associate

Long & Foster Fredericksburg Virginia

678-595-5286 Direct

 

Fredericksburg VA Real Estate Agents, Spotsylvania County Homes for Sale, Spotsylvania County VA Homes, Stafford County VA Homes, and City of Fredericksburg VA – Luxury Homes, Lots, Land, and New Home Construction. Buying or Selling Call Me!  

 

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Comments (17)

Lou Ludwig
Ludwig & Associates - Boca Raton, FL
Designations Earned CRB, CRS, CIPS, GRI, SRES, TRC

Hi Jim

Are the banks to small to bail out?

Good luck and success.

Lou Ludwig

Jul 24, 2009 02:06 PM
Jim Crawford
Long & Foster - Fredericksburg, VA
Jim Crawford Broker Associate Fredericksburg VA

Lou Ludwig CRB, CRS, CIPS, GRI, SRES, TRC, e-PRO, (Ludwig & Associates)  Good question Lou.  None of the small banks across the country are eligible to be bailed out with any TARP funds.  That is just for the big boys.

Jul 24, 2009 02:23 PM
Barbara S. Duncan
RE/MAX Advantage - Searcy, AR
GRI, e-PRO, Executive Broker, Searcy AR

Goodness!!!   Again!!!  What or who, in your opinion, is the strongest bank in Georgia.  Remember my daughter lives there.

Jul 24, 2009 03:04 PM
Jim Crawford
Long & Foster - Fredericksburg, VA
Jim Crawford Broker Associate Fredericksburg VA

Barbara S. Duncan ABR, CRS, GRI, e-PRO Searcy AR (RE/MAX Advantage)  I bank in Wachovia.  I wanted a larger bank.

Jul 24, 2009 03:18 PM
Mark MacKenzie
Phoenix, AZ

Wow, 25% of the bank failures this year have been in Georgia.  I am really curious as to why that is.

Jul 24, 2009 03:53 PM
Jim Crawford
Long & Foster - Fredericksburg, VA
Jim Crawford Broker Associate Fredericksburg VA

Mark MacKenzie Real Estate Planning  The industry here is real estate, development, construction and home building and it was highly speculative.   There is a big price to pay for easy credit and building spec properties.

Jul 25, 2009 01:01 AM
Fred Carver Real Estate Consulant
Retired BC Realtor - Victoria, BC
Accredited Real Estate Consultant

Hi Jim...That's a Lot of Banks going out of Business, Good Thing the State is there with their Bank to look after depositors.

Cheers, thanks for sharing this story.

Jul 25, 2009 01:43 AM
Bob Southard
Atlas Realty Service, LLC - Kennesaw, GA
e-Pro - Cobb,Cherokee,NorthFulton,Paulding,Bartow

Jim,

This one hit kind of close to home for me.  I have a good friend at Security bank of Gwinnett  and I have 3 listings from the parent company.  As far as I know my listings will stay in place.  The good news is that my friend still has a job.  The new holding company is keeping the current employees(for now). They don't have enough of their own staff to open the doors.

I know they were very heavy on construction lending. Like many other banks, when the market turned they got caught holding a bunch of empty lots, "pvc farms", and half finished or unsold houses.   

 

 

 

 

 

Jul 25, 2009 07:28 AM
Jim Crawford
Long & Foster - Fredericksburg, VA
Jim Crawford Broker Associate Fredericksburg VA

Victoria Oak Bay Realtor Fred Carver 250-598-2963 for Victoria Oak Bay Homes (Re/Max Camosun Oak Bay & Surrounding Area Real Estate)  It all depends....on some of these deals there were those that exceeded the FDIC temporary limits of 250K and those deposits were uninsured.  Failrd banks that were taken over in a buyout all the deposits were covered.

Jul 25, 2009 12:09 PM
Jim Crawford
Long & Foster - Fredericksburg, VA
Jim Crawford Broker Associate Fredericksburg VA

Bob Southard,e-Pro Powder Springs and Marietta Real Estate (Solid Source Realty)  It is very scary when you consider that we still have a long way to go in Atlanta metro with other banks just like them.  This is not over yet by any means.

Jul 25, 2009 12:11 PM
Richard Stabile
Re/Max Real Estate Limited - Oradell, NJ
Bergen County New Homes Builder Realtor

Jim:

We have seen this story before. Again another bites the dust. Stupidity and lack of prime directive to protect their capital.

Richard

Jul 25, 2009 03:51 PM
Jim Crawford
Long & Foster - Fredericksburg, VA
Jim Crawford Broker Associate Fredericksburg VA

Richard Stabile Bergen County New Homes Builder Realtor (REMAX real estate associates)  There had to be no oversight whatsoever on these institutions from the Government.  This is the same Government that says it can deliver healthcare.  I know they are incapable of doing that also.

Jul 26, 2009 01:20 AM
Loreena and Michael Yeo
3:16 team REALTY ~ Locally-owned Prosper TX Real Estate Co. - Prosper, TX
Real Estate Agents

Wow, Jim. That's too many.

Here in Frisco Texas, it seems like there is a bank in every intersection along with our gas stations. You really wonder what they thrive on. Certainly, it's not savings of the people. We are major spenders here.

Jul 26, 2009 08:06 AM
Jim Crawford
Long & Foster - Fredericksburg, VA
Jim Crawford Broker Associate Fredericksburg VA

Loreena Yeo - Broker|Realtor(R) of www.Frisco-TX-Homes.com (214) 783-2210 (3:16 team REALTY)  Many of the banks survived solely on credit.  A lot of Americans will wake up too late when they realize that none of your local banks are covered by the bailouts... NONE!

Jul 26, 2009 09:24 AM
John Walters
Frank Rubi Real Estate - Slidell, LA
Licensed in Louisiana

Do you think there were too many banks in the business?  Consolidation in this industry is past due.

Jul 27, 2009 01:18 AM
Jim Crawford
Long & Foster - Fredericksburg, VA
Jim Crawford Broker Associate Fredericksburg VA

John Walters Slidell Real Estate Slidell Louisiana Homes (Frank Rubi Real Estate, LLC)  They were all speculating.  It is my understanding it was too easy to become a bank in GA.

Jul 27, 2009 01:30 AM
Troy Erickson AZ Realtor (602) 295-6807
HomeSmart - Chandler, AZ
Your Chandler, Ahwatukee, and East Valley Realtor

Jim - We are seeing bank failures as well here in AZ.  Not sure of the number, but I heard there were three banks recently that failed, and know there were more before that.  I think we are a long way from recovery.

Jul 28, 2009 05:32 PM