LINDSAY — The First National Bank of Lindsay was closed by the Office of the Comptroller of the Currency Friday with the Federal Deposit Insurance Corporation (FDIC) appointed as receiver. It’s the first bank failure in Oklahoma in ten years.
News reports indicate that to protect depositors the FDIC has entered into a purchase and assumption agreement with First Bank and Trust of Duncan which will assume the insured deposits. The sole office of the First National Bank of Lindsay re-opened as a branch of First Bank and Trust Company on Monday. All depositors of the closed bank will automatically become depositors of First Bank and Trust and their insured deposits will continue to be covered by the FDIC.
Customers do not have to change their banking relationship to maintain deposit insurance coverage. Over the weekend, customers will still have access to their insured deposits via checks, ATMs, and debit cards. Checks drawn on the bank will continue to be processed and loan customers should continue making payments.
For un-insured deposits FDIC will make half of those funds available to depositors starting Monday. That could be increased as assets from the failed bank are sold. Customers with accounts of more than $250,000 should contact the FDIC to discuss their deposits.
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