FDIC Creates a Deposit Insurance National Bank of Santa
Clara to Protect Insured Depositors of Silicon Valley Bank, Santa Clara,
California
Friday, March 10,
2023
Customer Contact:
1-866-799-0959
Media Contact:
About the FDIC:
The Federal Deposit
Insurance Corporation (FDIC) is an independent agency created by the Congress
to maintain stability and public confidence in the nation's financial system.
The FDIC insures deposits; examines and supervises financial institutions for
safety, soundness, and consumer protection; makes large and complex financial
institutions resolvable; and manages receiverships.
For Immediate Release
Last updated: March 12,
2023
WASHINGTON – Silicon
Valley Bank, Santa Clara, California, was closed today by the California
Department of Financial Protection and Innovation, which appointed the Federal
Deposit Insurance Corporation (FDIC) as receiver. To protect insured
depositors, the FDIC created the Deposit Insurance National Bank of Santa Clara
(DINB). At the time of closing, the FDIC as receiver immediately transferred to
the DINB all insured deposits of Silicon Valley Bank.
All insured depositors
will have full access to their insured deposits no later than Monday morning,
March 13, 2023. The FDIC will pay uninsured depositors an advance dividend
within the next week. Uninsured depositors will receive a receivership
certificate for the remaining amount of their uninsured funds. As the FDIC
sells the assets of Silicon Valley Bank, future dividend payments may be made
to uninsured depositors.
Silicon Valley Bank had
17 branches in California and Massachusetts. The main office and all branches
of Silicon Valley Bank will reopen on Monday, March 13, 2023. The DINB will
maintain Silicon Valley Bank’s normal business hours. Banking activities will
resume no later than Monday, March 13, including on-line banking and other
services. Silicon Valley Bank’s official checks will continue to clear. Under
the Federal Deposit Insurance Act, the FDIC may create a DINB to ensure that
customers have continued access to their insured funds.
As of December 31, 2022,
Silicon Valley Bank had approximately $209.0 billion in total assets and about
$175.4 billion in total deposits. At the time of closing, the amount of deposits in excess of the insurance limits was
undetermined. The amount of uninsured deposits will be
determined once the FDIC obtains additional information from the bank and
customers.
Customers with accounts in excess of $250,000 should contact the FDIC toll–free at
1-866-799-0959.
The FDIC as receiver
will retain all the assets from Silicon Valley Bank for later disposition. Loan
customers should continue to make their payments as usual.
Silicon Valley Bank is
the first FDIC–insured institution to fail this year. The last FDIC–insured
institution to close was Almena State Bank, Almena, Kansas, on October 23,
2020.
FDIC: PR-16-2023
Additional Resources:
Failed Bank Information for Silicon Valley Bank, Santa
Clara, CA