U.S. bank failures rise

WASHINGTON (VOA) – The Federal Deposit Insurance Corporation says soured loans in the U.S. have led to a dramatic rise in bank failures, resulting in a $3.7 billion loss for the banking industry in the second quarter.  In its quarterly report on the health of U.S. banks, the agency that guarantees bank deposits says the number of banks it deems “troubled” has risen to 416, a jump of more than 100 between April and June.  Although the high rate of failures has taken a toll on the agency’s cash reserves, FDIC chair Sheila Bair says customer deposits are safe.  VOA’s Mil Arcega reports.