We have been hearing a lot about brokered deposits lately in the news and from the FDIC. The news articles have discussed brokered deposits in connection with some recent bank failures, specifically ANB Financial headquartered in Bentonville, Ark., and IndyMac Bank based in Pasadena, Calif. The articles mention that both these banks had a large number of brokered deposits and that those brokered deposits could potentially have helped cause the banks to fail. ANB had $1.6 billion in brokered deposits and reportedly 37 percent of IndyMac's deposits were brokered deposits.
Because of this, the FDIC has been issuing letters of guidance to the banking industry in an effort to "highlight …
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