Barrington Bank now serving Charter National customers
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Charter National Bank in Hoffman Estates reopened Saturday as part of Barrington Bank & Trust Co. in a transfer of assets after the bank's failure.
Barrington Bank, which is a subsidiary of Lake Forest-based Wintrust Financial Corp., assumed Charter National's $93.9 million in assets and $89.5 million in deposits after the Federal Deposit Insurance Corp. seized the bank Friday night.
Banking services continued as normal, with customers having full access to their deposits, including ATM or debit cards, and checks.
It was the first bank failure in 2012 in Illinois. The last FDIC-insured institution closed in the state was All American Bank in Des Plaines on Oct. 28.
Barrington Bank & Trust entered into a loss sharing agreement with the FDIC on $72.1 million of Charter National's loans, foreclosed real estate and other assets. The failure of Charter National is expected to cost the deposit insurance fund $17.4 million.
Officials from Barrington Bank & Trust said almost all of Charter National's assets were acquired at a discount of 4.1 percent.
In two years' time, Wintrust has acquired eight banks — seven with the assistance of the FDIC, and one unassisted.
There have been a total of nine bank failures nationwide in 2012, which is a slower pace than in 2011, when twice as many banks had been shuttered by this time.
Last year, a total of 92 banks closed in the U.S. — 16 of those were in Illinois.
