The projected loss is $5.445 million
Tioga-Franklin Savings Bank failed on August 21 with $66,849,160 in total assets. The FDIC inspector general’s failed-bank review estimates a $5,445,000 loss to the Deposit Insurance Fund.
The estimate equals 8.15% of assets. The watchdog says failed banks over the previous five years averaged losses of about 20% of assets, putting Tioga-Franklin 11.85 percentage points—and roughly 59%—below that benchmark.
| Measure | Amount |
|---|---|
| Total assets | $66,849,160 |
| Estimated DIF loss | $5,445,000 |
| Loss rate | 8.15% |
| Recent failed-bank average | 20% |
High overhead and no rescue investor
The review attributes the failure to structural unprofitability and high overhead associated with a mortgage division. The bank could not restore sustainable earnings or secure a new investor before regulators closed it.
That finding describes a business-model and capital problem; it is not a finding that depositors caused the failure or that every mortgage was unsound.
Supervisory concerns were visible years earlier
FDIC supervision identified concerns beginning in 2022, according to the review. The inspector general nevertheless found no unusual circumstances requiring a more extensive material-loss review under its governing criteria.
The narrower review does not erase the warning period. It provides a timeline for judging how management responded and how supervisors escalated concerns before closure.
Method and limits
This newsroom divided the estimated insurance-fund loss by reported assets and compared that rate with the watchdog’s five-year average. Causes and supervisory conclusions are attributed to FDIC OIG.
The $5.445 million figure is an estimate and can change as receivership assets are resolved. A lower-than-average loss rate does not make the failure harmless.