State Closes 1st Centennial Bank
(San Francisco, CA) - California Department of Financial Institutions (DFI) announced today that regulators have closed 1st Centennial Bank, citing inadequate capital. Immediately following the closure, the DFI named the Federal Deposit Insurance Corporation (FDIC) as receiver of 1st Centennial Bank.
All branches of 1st Centennial Bank will reopen on Monday, Jan. 26, with no disruption in service. Over the weekend, 1st Centennial Bank’s depositors can access their insured deposits 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, 1st Centennial Bank, Redlands, CA, had total assets of approximately $797 million and total deposits of approximately $678 million. The DFI has been closely monitoring the bank and had ordered it to increase its capital reserves to a safe and sound level. But efforts by the bank to do so were unsuccessful.
The depositors of 1st Centennial Bank are protected by the FDIC to the extent of any applicable deposit insurance. For information about FDIC coverage limits and requirements, visit www.fdic.gov or call toll-free 1-877-ASK-FDIC. Customers with accounts in excess of $250,000 should contact the FDIC toll-free at 1-800-822-1918 to set up an appointment to discuss their deposits. This phone number will be operational this evening until 9:00 p.m., PST; on Saturday from 9:00 a.m. to 6:00 p.m., PST; on Sunday from 12:00 p.m. to 6:00 p.m., PST; and thereafter from 8:00 a.m. to 8:00 p.m., PST.
DFI supervises 700 state financial institutions. Maintaining the integrity of financial services remains the primary mission of the Department. The DFI is responsible for administering state laws regulating state-licensed financial institutions: banks, credit unions, industrial banks, trust companies, offices of foreign banks, issuers of travelers’ checks and payment instruments (money orders), and money transmitters. In addition to posting information about licensees, the DFI Web site features consumer tips on a variety of financial topics. DFI reports to Business, Transportation & Housing Agency Secretary Dale E. Bonner and Governor Arnold Schwarzenegger.
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