Atlantic Bank and Trust is the second South Carolina bank to be shut down this year due to its debt, and is the 45th bank to fail nationally. The Federal Deposit Insurance Corporation (FDIC), a federal government corporation, seized the Charleston-based bank Friday, turning over its $200 million in assets to First Citizens Bank and Trust, Inc.
The FDIC also announced that First Citizens will enter a loss-share transaction on Atlantic Bank and Trust’s assets. This means First Citizens will help share in losses on the failed bank’s $141 million dollars of debt.
However, the move protects those who have accounts in Atlantic’s three branches. Bank members can still access their money through First Citizens, including writing checks or using ATM or debit cards. The FDIC also insured that customers don’t need to change that banking relationship in order to keep their deposit insurance coverage, which covers up to $250,000 in accounts.
The first bank to fail in South Carolina this year was CommunitySouth in Easley. Its assets were taken over by CertusBank.
Read announcement from FDIC here.