Indeed, with the number of problem banks having risen to 702 institutions with $ billion in assets, many firms are capital constrained and may be unable to increase lending. And, even though deposits are now plentiful, some banks have funding concerns.
Bank funding markets were badly impaired for a time, and some banks have accordingly decided to hold larger buffers of liquid assets than before. A number of other factors are also likely in play. Higher deposit insurance  2  “Changes in U.S. Family Finances from 2004 to 2007: Evidence from the Survey of Consumer Finances,” Federal Reserve Bulletin, February 2009, page A35.