Bank failures are creeping up again. The FDIC says "there is no cause for concern" ---- BUT?
Latest is:
United Fidelity Bank, fsb, Evansville, Indiana, Assumes All of the Deposits of Fayette County Bank, Saint Elmo, Illinois
FOR IMMEDIATE RELEASE
May 26, 2017
FDIC Customer Service Call Center
Toll Free - 1-800-930-5172
Fayette County Bank, Saint Elmo, Illinois, was closed today by the Illinois Department of Financial and Professional Regulation - Division of Banking, which appointed the Federal Deposit Insurance Corporation (FDIC) as receiver. To protect the depositors, the FDIC entered into a purchase and assumption agreement with United Fidelity Bank, fsb, Evansville, Indiana, to assume all of the deposits of Fayette County Bank.
The sole office of Fayette County Bank will reopen as a branch of United Fidelity Bank during its normal business hours. Depositors of Fayette County Bank will automatically become depositors of United Fidelity 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 up to applicable limits. Customers of Fayette County Bank should continue to use their existing branch until they receive notice from United Fidelity Bank that it has completed systems changes to allow other United Fidelity Bank branches to process their accounts, as well.
This evening and over the weekend, depositors of Fayette County Bank can access their money by writing checks or using ATM or debit cards. Checks drawn on the bank will continue to be processed. Loan customers should continue to make their payments as usual.
As of March 31, 2017, Fayette County Bank had approximately $34.4 million in total assets and $34.0 million in total deposits. In addition to assuming all of the deposits of the failed bank, United Fidelity Bank agreed to purchase approximately $28.9 million of the failed bank's assets. The FDIC will retain the remaining assets for later disposition.
Customers with questions about the transaction should call the FDIC toll-free at 1-800-930-5172. The phone number will be operational this evening until 9 p.m., Central Time (CT); on Saturday from 9 a.m. to 6 p.m., CT; on Sunday from noon to 6 p.m., CT; on Monday from 8 a.m. to 8 p.m., CT; and thereafter from 9 a.m. to 5 p.m., CT. Interested parties also can visit the FDIC's website at
https://www.fdic.gov/bank/individual/failed/fayettecounty.html.
The FDIC estimates that the cost to the Deposit Insurance Fund (DIF) will be $10.0 million. Compared to other alternatives, United Fidelity Bank's acquisition was the least costly resolution for the FDIC's DIF. Fayette County Bank is the sixth FDIC-insured institution to fail in the nation this year, and the second in Illinois. The last FDIC-insured institution closed in the state was Seaway Bank and Trust Company, Chicago, on January 27, 2017.
That is all on this front --- for now.
