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Last updated: 27 october, 2009 - 16:40 GMT

Fears over further US bank failures

FDIC Chairman Sheila Bair

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What do Hillcrest Bank Florida, American United Bank and Community Bank Nevada have in common?

The answer is that they are among more than 100 US banks which have collapsed since the start of the financial crisis. The latest to fail was Capmark Financial Group, which filed for bankruptcy protection on October 25.

Picking up the pieces is the US government-backed Federal Deposit Insurance Corporation, or FDIC, which insures the funds deposited with the banks.

The wave of failures has made many customers worry that they could lose their savings.

While the early stages of the financial crisis saw the collapse of some of Wall Street's biggest names, most of the current failures are among small and medium-sized institutions.

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First broadcast on World Business News

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