The Federal Deposit Insurance Corp. (FDIC) said Tuesday that they expect 2010 bank failures to outpace 2009 failures, where 140 failed. To date, 118 banks have failed in 2010.

The FDIC also revealed that the list of problem banks reached 829 during the 2nd quarter of 2010.  This is 54 higher than the 775 banks on the list in the 1st quarter.

The FDIC Chairman, Sheila Bair says, “Particularly given economic uncertainties we believe that all banks should continue to exercise caution and maintain strong reserves. The high level of troubled loans reflects the ongoing challenges that many banks face.”