The Federal Deposit Insurance Corporation (FDIC) has shut down a bank in Iowa after regulators discovered “significant loan losses” on its balance sheet.
The FDIC is adding Citizens Bank in Sac City to its list of failed banks, and says Iowa Trust & Savings Bank has assumed all deposits in order to protect depositors.
The bank’s pair of physical locations will reopen as Iowa Trust & Savings Bank on Monday.
Citizens Bank was established in 1929 and is the first bank closure in Iowa since 2011.
Its closure represents the fifth bank failure in the US this year, following the collapse of Heartland Tri-State Bank, First Republic Bank, Signature Bank and Silicon Valley Bank.
According to the Iowa Division of Banking, the bank had about $66 million in total assets and $59 million in total deposits as of September of this year.