The creation of the bridge bank allows the client banks to maintain their correspondent banking relationship with the least amount of disruption. The FDIC will operate Silverton Bridge Bank, N.A., to allow preexisting marketing efforts for the bank to continue.There goes another $3.3 billion that previously was part of the increasingly minuscule (if not currently negative) Deposit Insurance Fund. Maybe Ms. Sheila Bair can provide her employer (the U.S. taxpayers) with an update of just what the current status of the DIF is these days: been a while since we got one of those.
Bank #2 is Citizens Community Bank of Ridgewood, NJ. The FDIC estimates that the cost to the DIF will be a mere $18.1 million. The bank had $45.1 million of total assets and $43.7 million in total deposits.
Citizens Community Bank, Ridgewood, New Jersey, was closed today by the New Jersey Department of Banking and Insurance, which appointed the Federal Deposit Insurance Corporation (FDIC) as receiver. To protect the depositors, the FDIC entered into a purchase and assumption agreement with North Jersey Community Bank, Englewood Cliffs, New Jersey, to assume all of the deposits of Citizens Community Bank.Bank #3 is America West Bank of Layton, Utah. The FDIC estimates that the cost to the DIF will be a mere $119.4 million. The bank had $299.4 million of total assets and $284.1 million in total deposits.
The failed bank's sole office will reopen on Monday as a branch of North Jersey Community Bank. Depositors of Citizens Community Bank will automatically become depositors of the assuming bank. Deposits will continue to be insured by the FDIC, so there is no need for customers to change their banking relationship to retain their deposit insurance coverage. Customers of both banks should continue to use their existing branches until North Jersey Community Bank can fully integrate the deposit records of Citizens Community Bank.
America West Bank, Layton, Utah, was closed today by the Utah Department of Financial Institutions, which appointed the Federal Deposit Insurance Corporation (FDIC) as receiver. To protect the depositors, the FDIC entered into a purchase and assumption agreement with Cache Valley Bank, Logan, Utah, to assume all of the deposits of America West.Sphere: Related Content
The failed bank's three offices will reopen on Monday as branches of Cache Valley Bank. Depositors of America West Bank will automatically become depositors of the assuming bank. Deposits will continue to be insured by the FDIC, so there is no need for customers to change their banking relationship to retain their deposit insurance coverage. Customers of both banks should continue to use their existing branches.
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