Learn about the closure of Republic First Bank, the first FDIC-insured bank to fail in 2024, and the subsequent takeover by Fulton Bank. Discover why the bank failed and how customers can access their funds and services.
Introduction: Republic First Bank Closure
Philadelphia-based Republic First Bank was shut down by state regulators on Friday night. The Federal Deposit Insurance Corp. (FDIC) announced that the bank's assets were handed over to them.
Background: Republic First Bank
- Regional lender operating in Pennsylvania, New Jersey, and New York
- Known as Republic Bank
- Approximately $6 billion in assets and $4 billion in deposits as of Jan. 31
Takeover by Fulton Bank
- Assets of Republic Bank now managed by Lancaster, Pennsylvania-based Fulton Bank
- Fulton Bank also taking over all deposits
- Republic Bank's 32 branches will reopen as branches of Fulton Bank as early as Saturday
Accessing Funds and Services
- Depositors can access funds via checks or ATMs as early as Friday night
- Republic Bank ATM, debit cards, and checks still usable
- Loan payments should continue as normal
FDIC Coverage and Protection
- Depositors of Republic Bank now under FDIC coverage
- Protection for accounts up to $250,000
Reasons for Bank Failure
- Republic First Bank is the first FDIC-insured institution to fail in 2024
- Economic factors: rising interest rates, falling commercial real estate values
- Impact of the pandemic: increased vacancy rates in office buildings
Contact Information for FDIC and Fulton Bank
- Questions about the acquisition: Contact FDIC at 1-877-467-0178
- FDIC call center hours: Saturday 9 a.m. - 6 p.m. ET, Sunday 12 p.m. - 6 p.m. ET, Monday 8 a.m. - 8 p.m. ET, and thereafter 9 a.m. - 5 p.m. ET
Conclusion: Ensuring Continued Services and Support
Despite the bank closure, steps have been taken to ensure continued access to funds and services for depositors. Fulton Bank's takeover and FDIC coverage provide stability during this transition.
Sources:
- CBS News
- FDIC Announcement
