Posted on 03/20/2009 5:48:19 PM PDT by PAR35
Colorado National Bank, Colorado Springs, Colorado, was closed today by the Office of the Comptroller of the Currency, which appointed the Federal Deposit Insurance Corporation (FDIC) as receiver. To protect the depositors, the FDIC entered into a purchase and assumption agreement with Herring Bank, Amarillo, Texas, to assume all of the deposits of Colorado National.
The four offices of Colorado National will reopen as branches of Herring Bank on Saturday. Depositors of Colorado National will automatically become depositors of Herring 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 Herring Bank can fully integrate the deposit records of Colorado National.
Over the weekend, depositors of Colorado National 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 December 31, 2008, Colorado National had total assets of $123.5 million and total deposits of $82.7 million. In addition to assuming all of the deposits of the failed bank, Herring Bank agreed to purchase approximately $117.3 million in assets at a discount of $4.2 million, and pay a discount of 1.27% percent on deposits. The FDIC will retain the remaining assets for later disposition.
The FDIC and Herring Bank entered into a loss-share transaction. The FDIC will share 80/20 percent in the losses with Herring Bank on approximately $62 million in assets covered under the agreement.
(Excerpt) Read more at fdic.gov ...
If the Obamunists were to “nationalize” this bank, in their push for a completely state-run economy...
would it become the “Red Herring” bank?
Badda bing badda boom
Great play on words! Compass Banks have been under the control of Spain since 2007 and Spain also provided a chunk of money for the Trans Texas highway project. I should probably pay more attention to all of this but I literally don’t have enuf money any more to do that.
It’s bank closing Friday - do you know where your money is?
~~"Only Yesterday: An Informal History of the 1920s" by Fredrick Lewis Allen
The banks are tumbling one by one in a fierce game of financial chicken. I don’t need to tell you to prepare as you already know what to do, but I feel sorry for those that saw this all way too late or even believed “the government will take care of things.”
I’m sure the govt will take care of us.
As in when a mobster says, “Joey, take care of him.”
Check Texas Ratio of your bank.........
http://www.monitorbankrates.com/home/fdic-list-of-troubled-banks-and-the-texas-ratio
Valid measurement.....watch it close.
No worries. Helicopter Ben will print all we need.
rascality
I love that word.
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