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One of the bellwethers of any economy is whether banks are failing or not. Of course, the failure of Bear Stearns was a red flag for the Sub-Prime Mortgage Crisis of 2008. Were bank failures a topic of the November 2016 Texas Bankers Association’s Annual Strategic Opportunities Conference?

Texas Bankruptcies

The State of Texas has been quite healthy for the last couple of years with only the failure of the Texas Community Bank National Association in 2013. This failed bank was acquired by the Spirit of Texas Bank SSB on December 29, 2014. Therefore, the Texas Bankers Association must have been doing its job, successfully.

The energy sector has been very good in Texas, which has boosted jobs and economic activity. According to Zillow, the median home value in Dallas was $166,100. Compared to the country at large, that price is rather affordable. Dallas has also seen most of its house prices return to pre-2008 levels.

Since 1885, the Texas Bankers Association (TBA) has been helping the industry deliver the best results. In fact, the TBA may have been one of the chief lobbying reasons why Dallas was selected as a Federal Reserve Bank (rather than New Orleans). At the aforementioned TBA conference, NexBank CEO John Holt spoke on the “Reinventing Community Banking: Perspectives on Competing by Innovation” panel.

Diversified Financial Products

Student loans, mortgages, warehouse lending and institutional services are the diversified mix of financial products found at NexBank. Through innovation, CEO Holt has made sure that the financial institution is satisfying the capital needs of the population.

Thanks to the pro-active efforts of the TBA, not many Texas banks have gone bankrupt as of late. And when they do, another healthy bank acquires them. This Federal Reserve policy seems to be working quite well.