Working paper · September 2026
Caught in the Crossfire: The Case of the FDIC and Crossland Savings Bank
Independent research. Not peer reviewed.
Abstract
This paper examines the Federal Deposit Insurance Corporation's (FDIC) intervention in Crossland Savings Bank during the financial turmoil of the early 1990s. By analyzing the regulatory framework, decision-making processes, and outcomes of this case, the study sheds light on the effectiveness of regulatory interventions in stabilizing financial institutions. The paper also draws parallels to contemporary regulatory challenges, offering insights into the evolution of crisis management strategies within the U.S. banking sector.
Read the working paper (PDF)Keywords: FDIC; bridge bank; conservatorship; least-cost resolution; FDICIA; FIRREA; Savings and Loan crisis; Crossland Savings Bank; bank resolution; moral hazard.
JEL codes: G21; G28; G33; K23; N22.
Suggested citation
Shantz, Nathan Elliott (2026). Caught in the Crossfire: The Case of the FDIC and Crossland Savings Bank. Working paper, September. nateshantz.com.