Nano Banc customers can continue using checks, ATMs and debit cards this weekend after California regulators closed the Irvine bank on Friday. The FDIC says Sunwest Bank of Sandy, Utah has agreed to assume substantially all Nano Banc deposits and buy some of its assets. Customers automatically become Sunwest depositors; the deposits Sunwest assumes remain FDIC-insured.
The FDIC says Nano Banc's only branch is scheduled to reopen Monday, September 28, under Sunwest during normal business hours. Checks written on Nano Banc accounts will continue to be processed, and loan customers should keep making their payments as usual. The agency says customers have immediate access to their deposits; they do not have to open a new account to make their assumed deposits available.
Nano Banc reported $686 million in deposits and $736 million in total assets as of June 30, according to the FDIC. Sunwest is buying approximately $476 million of assets; the FDIC will retain the rest for later disposition. The agency's preliminary estimate of the cost to the Deposit Insurance Fund is about $114 million. That is an estimated fund cost, not an amount charged to Nano Banc depositors; the estimate could change when assets are sold.
A bank closure often brings phishing attempts. Rather than follow a text claiming an urgent account migration, customers can use the FDIC's original notice for its official contact information and the bank's verified channels. FDIC deposit insurance coverage depends on account ownership and institution, not just an account balance. Financialist's bank-fees guide covers a different issue, overdraft rules, for people reviewing banking costs.