Two societies belonging to the Bank of America (Investments LLC and Overseas) were sold over €838m in default credit from Portuguese banks CGD, Millennium BCP and Santander Totta between 2005 and 2010.

The decision to tax bank deposits in Cyprus in return for a bailout has sent euro and bond markets falling, sparking fears among Portuguese politicians. Portuguese President Cavaco Silva said the move was “very dangerous.”

The Public Prosecutor’s Office says Portuguese banks are under investigation for allegedly operating in a cartel-like manner regarding spreads and loan commissions.

After record losses in 2011, when only Santander Totta managed to stay in the black, 2012 was expected to be rosier, but not everyone managed to make a profit.

Banco Comercial Português CEO Nuno Amado said Friday almost 1,000 workers had left this year, more than 600 by mutual agreement and there would be “a natural reduction of 200 to 250 people a year.”

Three banks have asked for state funding to ensure their capital ratios were in order: Banco Comercial Português (BCP), Banco Português de Investimento (BPI) and Banif.

An official source at BES said demand was €3bn and the issue had been placed with 280 investors, mainly from the UK (38%) and Portugal (10%).

Carlos Costa said the banking union was good news for the European banking system, for companies and for Europe.

The country’s banks have relied heavily on ECB funding this year, with the monthly figures peaking in June, at €60.5bn.