If a financial institution is closed and not replaced, the impact is particularly acute. Small businesses in rural areas and in regions with few banks raised this issue most frequently.
–  In St. Louis, participants described the challenge of “orphaned” loans, when a bank that acquires a failed financial institution chooses not to continue the relationship with the borrower, making future extensions of credit unlikely. Regulatory environment – Some banks cited examination-related concerns as an important factor in credit availability for small businesses.