The financial and banking crisis that began in 2008 has affected all Americans. We’ve seen investment losses, tighter credit, and reduced purchasing power. And we’re doomed to repeat history if we don’t learn from it. So it’s always a good idea to take a look back. Let’s see how this crisis stacks up among the major financial catastrophes in United States history over the last 90-plus years. The timeline highlighted below shows historical bank failure rates dating back to 1921 along with major events that may have triggered or been a reaction to that period’s spike in failures.
Notes:
1. Prior to 1934 (FDIC oversight) nearly 15,000 banks failed (14,807 from 1921 to 1933) with 9,755 failing from 1929 to 1933. Since FDIC inception, only 3,398 banks have failed.
2. 2012 estimated annual failures based on 16 failures through 3/31/2012.
