Not every bank was playing with toxic derivatives and credit default swaps during the financial meltdown. Some just wrote bad loans. But with a housing recovery seemingly under way, there's a rising tide that could benefit these smaller banks. The Fool's Matt Koppenheffer has more in the following video.

Matt Koppenheffer owns shares of AIG. The Motley Fool recommends, owns shares of, and has options on AIG. Try any of our Foolish newsletter services free for 30 days. We Fools don't all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.