Missouri’s second bank failure of the year is in Clayton, where bad commercial real estate loans have put the Truman Bank out of business. The bank has been put into Federal Deposit Insurance Corporation receivership and has been taken over by a bigger bank.
State Division of Finance spokesman Travis Ford says the Truman Bank of Clayton had been under close scrutiny by the state since 2008.
Ford says non-performing loans remain high in the St. Louis area.
The bank is reopening today under the ownership of Simmons First National Bank of Pine Bluff, Arkansas. The FDIC has protected depositor’s funds and is protecting the new owners of the bank from losses totaling as much as $34 million.
