First National Bank of Arizona Fails Quietly

First National Bank of Arizona was taken over by regulators over the weekend, but the event was much less eventful than the IndyMac Bank failure. Customers sound indifferent based on news reports, partly because their funds are guaranteed - even above FDIC insurance limits.

Mutual of Omaha Bank purchased the failed bank along with several others. FDIC staff visited banks to reassure worried customers, but nobody showed up to worry. The FDIC's David Barr was on duty at one bank, but said

"I feel like the Maytag repairman — there's just not much to do...".

The FDIC has been increasing staff to prepare for more bank failures in the coming months. Hopefully they'll all be this easy.