Oil prices are falling with a critical bailout plan for Greece's economy in limbo, again raising the specter of bank failures in Europe.

The European Union has struggled for years with massive government debts. Investors worry that the festering credit crisis will spread to the rest of Europe, further slowing down the EU economy and reducing demand for oil.

European finance ministers said Friday that Greece has not met the necessary spending cuts necessary to receive further loans. Political leaders in Athens have until next week to approve more reforms.

Benchmark crude fell by $1.43 to $98.41 per barrel in New York. Brent crude fell $1.30 to $117.29 per barrel in London.

U.S. retail gasoline prices rose nearly a penny to a national average of $3.50 per gallon.