More Banks taking a bullet...

[Masshog]

Banks in Illinois and Michigan were closed by regulators today, boosting to 15 the failures this year, as tightening credit and a deepening housing slump accelerate government action to shore up financial institutions.

Meridian Bank of Eldred, Illinois, with $39 million in assets and $37 million in deposits, was closed by the state and the Federal Deposit Insurance Corp. was named receiver. National Bank of Hillsboro, Illinois, acquired the deposits and four branches will reopen tomorrow and one on Oct. 14, the FDIC said.

Main Street Bank of Northville, Michigan, with $98 million in assets and $86 million in deposits, was shut by the state and turned over to the FDIC. Monroe Bank & Trust of Monroe, Michigan, acquired the deposits and tomorrow will open the two offices as branches, the FDIC said in a statement.