Financial Times FT.com

Failure raises concern for regional banks

By Joanna Chung in New York

Published: July 15 2008 01:29 | Last updated: July 15 2008 01:29

The failure of ­IndyMac, one of the biggest banks to go under in US history, has sparked fresh fears about the survival of other lenders exposed to the faltering mortgage market.

Regulators had already warned about an increase in bank failures in the coming months, not least as the fallout from the credit crisis and the deterioration in the housing market spilled over into the “real” economy.

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