The Pennsylvania Department of Banking and Securities dissolved Republic First Bank, also known as Republic Bank, in Philadelphia and designated the Federal Deposit Insurance Corporation (FDIC) as receiver.
Republic Bank is the first American bank collapse of the year; the last one occurred on November 3, 2023, at Citizens Bank in Sac City, Iowa.In 2024, lic First Bank failed, making history as the first US bank failure.
Republic Bank’s thirty-two locations in New Jersey, Pennsylvania, and New York will reopen as Fulton Bank locations either on Saturday (for those locations with regular Saturday hours) or Monday during regular business hours. Republic Bank depositors can access their money by writing checks, using an ATM, or using debit cards this evening and weekend. The Republic Bank will continue to process checks drawn on it, and borrowers should keep making their regular payments.
Deposit insurance coverage does not require clients to switch banking relationships; instead, Republic Bank depositors will become Fulton Bank depositors. Republic Bank customers should stick with their current branches until they hear from Fulton Bank that system modifications have been made that will enable its branch offices to handle their accounts as well.As of January 31, 2024, Republic Bank had approximately $6 billion in total assets and $4 billion in total deposits. The FDIC estimates that the cost to the Deposit Insurance Fund (DIF) related to the failure of Republic Bank will be $667 million.
