The collapse of Metropolitan Capital Bank & Trust marks the beginning of the banking crisis in 2026

CoconutWaterBoy · 2026-02-09T04:12:53+00:00

U.S. authorities have operationally closed Metropolitan Capital Bank & Trust in Illinois, marking the first bank failure of 2026. The FDIC has taken on the receiver role, transferring most deposits to First Independence Bank and incurring an estimated $19.7 million cost to the Deposit Insurance Fund.

CoconutWaterBoy

2026-02-09 04:12:53

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U.S. authorities have ordered the operational closure of Metropolitan Capital Bank & Trust, located in Illinois, marking this action as the first recorded bank failure event in 2026. According to reports from NS3.AI, the Federal Deposit Insurance Corporation (FDIC) has officially assumed the role of receiver, initiating an intervention process aimed at protecting the interests of affected depositors.

FDIC Intervention and Deposit Transfer

In response to the bank’s failure, the FDIC has coordinated for First Independence Bank to absorb most of the deposits from the closed bank. This measure is part of the standard deposit protection mechanism that characterizes the U.S. financial system, ensuring that savers maintain access to their funds during the transition.

Financial Impact on the Insurance Fund

The closure is projected to cost approximately $19.7 million to the FDIC Deposit Insurance Fund. This figure reflects the expenses associated with managing the insolvency and guaranteeing coverage of insured deposits, highlighting the operational costs involved in regulatory intervention in a bank failure of this nature.

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