Today's Friday Bank Failure: Ameribank, Inc.
Linkedin

Today's Friday Bank Failure: Ameribank, Inc.

New York City : NY : USA | Sep 19, 2008 at 10:58 PM PDT
By
XX XX
Views: Pending
 

Ameribank, Inc., was closed today by the Office of the Thrift Supervision and the Federal Deposit Insurance Corporation (FDIC) was named receiver. The FDIC entered into purchase and assumption agreements with Pioneer Community Bank, Inc., Iaeger, West Virginia, and The Citizens Savings Bank, Martins Ferry, Ohio to take over all of the deposits and certain assets of Ameribank, Inc., Northfork, West Virginia.

Ameribank has five branches located in West Virginia and three branches located in Ohio. Pioneer Community Bank, Inc., Iaeger, West Virginia will assume all deposits for the five branches located in West Virginia. The Citizens Savings Bank, Martins Ferry, Ohio will assume all deposits for the three branches located in Ohio.

All depositors, including those with deposits in excess of the FDIC's insurance limits, will automatically become depositors of the assuming institution where the customer opened the account for the full amount of their deposits. All deposits will continue to be insured with the new institutions. Therefore, there is no need for customers to change their banking relationship to retain deposit insurance. Brokered deposits are included in this transaction.

Branches in West Virginia will reopen on Monday. Ohio branches will reopen on Saturday. Over the weekend, customers of the banks can access their money by writing checks or using ATM or debit cards. Checks drawn on the banks will be processed normally. Loan customers should continue to make loan payments as usual.

Pioneer Community Bank, Inc., and The Citizen's Saving Banks' acquisition of all deposits was the "least costly" resolution for the Deposit Insurance Fund compared to all alternatives because the expected losses to uninsured depositors were fully covered by the premium paid for the banks' franchises.

As of June 30, 2008, Ameribank, Inc. had total assets of $115 million and total deposits of $102 million.

Customers who would like more information on today's transactions should visit the FDIC's Web site at http://www.fdic.gov/bank/individual/failed/ameribank.html. They may also call the FDIC toll-free about both institutions at 1-877-894-4710 until 9:00 p.m., this evening; Saturday and Sunday from 8:00 a.m. to 5:00 p.m.; and thereafter from 8:00 a.m. to 6:00 p.m. All time are Eastern Standard Time.

In addition to assuming all of the deposits of Ameribank, Inc., the acquiring institutions will purchase approximately $23 million in assets from the receivership. The FDIC will retain the remaining assets for later disposition. Pioneer Community Bank, Inc. will pay a premium of 2 percent for all deposits of the West Virginia branches. The Citizens Savings Bank will pay a premium of 1.14 percent for all deposits of the Ohio branches.

The cost of the transactions to the Deposit Insurance Fund is estimated to be $42 million. The failed bank had assets of $112.62 million, .033 percent of the $13.4 trillion in assets held by the 8,451 institutions insured by the FDIC. Ameribank, Inc. is the first bank to be closed in West Virginia since First National Bank of Keystone, Keystone, on September 1, 1999. This year, a total of twelve FDIC-insured banks have been closed.

1 of 1
Ameribank
Logo
Coyote is based in San Jose, California, United States of America, and is a Stringer for Allvoices.
Report Credibility
 
  • Clear
  • Share:
  • Share
  • Clear
  • Clear
  • Clear
  • Clear
 
 
 
Advertisement
 

News Stories

 
  • 12th bank failure of the year announced

    Ameribank Inc. was shut down on Friday by the Office of the Thrift Supervision, making it the 12th bank this year to go under. The Northfork, West Virginia bank had total assets of $115 million and total deposits of $102 million, according to a...
  • Regulators shut down Ameribank in West Virginia

      Merced Sun-Star
    Federal regulators have shut down Ameribank Inc., a small bank in West Virginia, saying it overextended loans for the rehabilitation of distressed properties. It was the 12th failure this year of a federally insured bank. The Federal Deposit...
  • US subprime crisis claims another victim

      Gulfnews.com
    The Federal Deposit Insurance Corp said the Northfork, West Virginia-based bank had $115 million in assets and $102 million in deposits as of June 30. The failure is expected to cost the US bank deposit insurance fund about $42 million. Pioneer...
  • Ameribank folds, the 12th bank closure this year

      MarketWatch
    A tumultuous week for financial markets was capped Friday with the closure of Northfork, W.Va.-based Ameribank Inc., the 12th U.S. bank closure so far this year. The Federal Deposit Insurance Corporation said in a statement late in the day that...
  • Ameribank Becomes 12th Bank Failure This Year

      Asian Wall Street Journal
    Regulators shut down a 102-year-old West Virginia bank on Friday and sold all deposits to Pioneer Community Bank Inc. of Iaeger, W.V. and The Citizens Savings Bank of Martins Ferry, Ohio. The closure of Northfork, W.V.-based Ameribank Inc. was the...
  • CBS 13 Baltimore (WJZ): 12 failed US banks, thrifts so far this year

      Uinta County News
    West Virginia on Friday became the 12th federally-insured bank to fail so far this year. Following is a list of the banks shut down by regulators, including IndyMac Bank, the largest regulated thrift to fail and second-largest financial institution...

Blogs

 >
  • 12th bank failure of the year announced

      economy-finance.com
    The Northfork, West Virginia bank had total assets of $115 million and total deposits of $102 million, according to a statement on the Federal Deposit Insurance Corporation Web site. The FDIC was named receiver and announced that it ...
  • FDIC Friday Night Special: Ameribank

      www.boom2bust.com
    Ameribank’s West Virginia deposits have been transferred to Pioneer Community Bank, and Ameribank’s five West Virginia branches will reopen Monday as Pioneer branches, according to the FDIC. As of June 30, Ameribank had $115 million in ...
  • Sheila got another one

      www.biggerpockets.com
    The FDIC entered into purchase and assumption agreements with Pioneer Community Bank, Inc., Iaeger, West Virginia, and The Citizens Savings Bank, Martins Ferry, Ohio to take over all of the deposits and certain assets of Ameribank, ...
  • Ameribank, Inc., Northfork, WV

      bankimplode.com
    The Federal Deposit Insurance Corp said the Northfork, West Virginia-based bank had $115 million in assets and $102 million in deposits as of June 30. The failure is expected to cost the US bank deposit insurance fund about $42 million. ...
  • Bank Failure: Ameribank, Inc., Northfork, WV

      calculatedrisk.blogspot.com
    From the FDIC: Failed Bank Information for Ameribank, Inc., Northfork, WV Ameribank, Inc., was closed today by the Office of the Thrift Supervision and the Federal Deposit Insurance Corporation (FDIC) was named receiver. ...
  • Regulators Shut Bank With Florida Link, Failures Reach 12

      condovultures.featuredblog.com
    Va., will assume all of Ameribank’s five West Virginia locations along with the accompanying deposits and some assets. The Citizens Savings Bank, a 106-year-old institution with assets of $426 million in Martins Ferry, Ohio, ...

Images

 >
 

More From Allvoices

Report Your News Got a similar story?
Add it to the network!

Or add related content to this report



Use of this site is governed by our Terms of Use Agreement and Privacy Policy.

© Allvoices, Inc. 2008-2014. All rights reserved. Powered by PulsePoint.