Top 10 Banks That Became Bankcrupt

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6. Wachovia

Wachovia

Situated in Charlotte in North Carolina, the bank was started on 16th June, 1897. A very diverse financial service company ranging from asset management, wealth management , corporate and investment banking products and services, it went bankrupt in the year 2008. It was then taken over by Wells Fargo, an American multinational bank and financial services company. Wachovia used to be the fourth biggest bank company in America but also had their time as the biggest company that provide financial aid and services in the entire country. Between 2001 and 2006, Wachovia had a history of purchases of several other financial service companies in an attempt to become a national leading bank.

 

7. Indy Mac Bank

Indy Mac Bank

Presently known as the One West Bank but due to many of its purchases of assets made from the Independent National Mortgage Corporation, it commonly came to be known as Indy Mac. Situated in Los Angeles, the bank known for its federal services was taken amongst the biggest banks for saving and loan services before it became bankrupt. The bank was declared bankrupt in July of 2008 owing to poor strategy as its main culprit. The failure of Indy Mac bank on July 11, 2008 was the fourth largest bank failure in United States history and the second largest failure of regulated thrift.

 

8. Fortis

Fortis

Fortis was not only a bank but a company which was active in insurance and investment management. It was basically stated as the 20th largest bank in the world but due to various problems in the financial crisis of 2008, the company was sold in parts and was left only with insurance. Government of Netherlands acquired it after it faced severe consequences due to the financial crisis. After receiving a bailout from the government its Belgian operations were sold to BNP Paribas, a French bank and financial service company. The remaining subsidiaries were nationalised by the Dutch Government and renamed ABN AMRO.

 

9. Caja de Ahorros Castilla La Mancha

Caja de Ahorros Castilla La Mancha

Caja de Ahorros Castilla LA Mancha is a bank situated in Cuenca in Spain. It was opened in the year 1992 to function as a depository and loan services to its customer. It was taken over by the Spain’s central bank in the year 2009 and unprecedently became the first time that the government of Spain helped a bank to come out of the financial crisis. The government backed up the bank with a staggering 11.8 billion US Dollars saving it from insolvency.

 

10. Commerce Bancorp

Commerce Bancorp

A financial service bank, Commerce Bancorp was a Cherry Hill, New Jersey based bank founded by Vernon Hill in the year 1973. A graduate of the Wharton School of the University of Pennsylvania and the owner of a fast food franchise, he sought to bring fast food convenience into the world of banking, expanding Commerce over numerous locations with its many branches in over 435 locations. It went bankrupt in the year 2007 resulting in a takeover by Toronto Dominion Bank which merged Commerce with TD Bank.

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