Dedicated to Deposits: Deals, Data, and Discussion

Fourth Bank Failure of 2008 - Small Minnesota Bank, First Integrity

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The FDIC just announced the closure of First Integrity Bank, NA. It was a small bank in Staples, Minnesota with net assets of $52.9 million and with only 32 employees (see FDIC page). I checked my archive, and I haven't written any posts on this bank.

The bank did have poor financials that had been noted at Bankrate. The bank only had one star (lowest rated) at Bankrate based on 12/31/07 data.

No Uninsured Losses

One nice thing that's unique with this closure is that no depositor lost any money. According to the FDIC, "There are no uninsured deposits. All deposits have transferred to First International Bank and Trust." Depositors shouldn't lose any access to their money:
Depositors of First Integrity will automatically become depositors of the assuming bank and continue to have uninterrupted access to their deposits. The failed bank's two offices will reopen on Saturday from 8:30 a.m. to 11:30 a.m. as branches of First International.

The full FDIC Q&A has all the information for depositors.

Depositors of past bank closures haven't been as fortunate. One of this blog readers described how he lost some of his money on the last bank failure of this year (see post).

Thanks to the reader who emailed me news of this closure.


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