Finance

Bank Profits Are Up. But More Banks Have Problems.

The FDIC put out its latest quarterly update today. A couple striking facts:

There are 829 "problem banks" in the U.S., the most since 1993, according to the FDIC. (They don't say which banks are on the list.) Forty-five insured institutions failed between April and June.

American banks made $21.6 billion in profits in the second quarter this year — the most since late 2007, and way up from losses of $4.4 billion a year ago.

The dollar amount of overdue loans fell for the first time since early 2006. (The decline was really small — 0.6 percent. But still.)

An inside look: Last year, Planet Money’s Chana Joffe-Walt told the story of what happens when the FDIC takes over a failed bank. Earlier this year, we revisited the bank, the FDIC guy, and the bank workers a year after the closing.

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