I forget what the 1st bank they were worried about was going to go under, but they infused capital somehow and saved it. Was that the JP Morgan buy out of Bear Sterns? The 2nd in trouble was Lehman brothers. Henry Paulson (govt guy, secretary of treasurey was his position?) and the CEO of Lehman Brothers had a big stand-down. You could look at the finances and tell it was going to go under. Paulson demanded Lehman be sold. The CEO said no and held out for a govt hand-out. Paulson didn't help and Lehman went under. Lehman going under hurt a lotta banks that was doing business with them and it really hurt the entire system. That was what made Paulson freak out and start helping all the banks with the whole TARP thing that the banks made off like bandits with.

There's a Frontline PBS documentary about it that explains the whole thing. Go check out pbs.org and it shouldn't be hard to find.