FDIC regulators today said that the Desert Hills Bank of Phoenix, AZ, which has six branches, will close down. The bank has $496.6 millions in assets. Desert Hills' deposits amount to $426.5 million.
NY based New York Community Bank has a loss share agreement, under which it will buy all of the Desert Hills' assets.
FDIC, in a press release about the bank's closure, informs the bank's clients that "this evening and over the weekend, depositors of Desert Hills Bank can access their money by writing checks or using ATM or debit cards." The federal regulator agency also said that those customers who have loans from the bank should continue to make their normal payments and that the checks will continue to be processed as well.
The Federal Deposit Insurance Corporation will have an estimated $106.7 million dollar cost in the deposit-insurance fund related to this bank's closure.
The latest four bank closures announced by FDIC. All of these were closed on Friday March 26, according to FDIC.
* Desert Hills Bank, Phoenix, AZ
* Unity National Bank, Cartersville, GA
* Key West Bank, Key West, FL
* McIntosh Commercial Bank, Carrolton, GA
Written by Armen Hareyan