WILMETTE, Ill. (WBBM) – Wilmette-based Premier Bank has become the third Illinois bank to fail this year, and the second this month.
The Federal Deposit Insurance Corp. (FDIC) took control of Premier’s two branches after the Illinois Department of Financial and Professional Regulation-Division of Banking ordered it closed. FDIC Senior Ombudsman Specialist Gerald Billings said it immediately sold virtually all of Premier’s assets to International Bank of Chicago, which is also taking on all of Premier’s deposits, including those with more than the $250,000 maximum.
“The most important thing for everyone to know is that no one lost any money whatsoever – not a penny,” he said.
Billings indicated that bad loans spelled doom for Premier, and left it with insufficient funds in the eyes of regulators.
The FDIC indicated in a press release that Premier Bank had approximately $268.7 million in total assets and $199 million in total deposits as of Dec. 31. Billings said that state regulators worked with Premier for months in an attempt to save the bank.
For now, payments on loans should continue to be made to Premier Bank, Billings said.
Premier had two branches, including its main office at 1210 Wilmette Av., in Wilmette, and at 1650 W. Adams St., in Chicago. International is headquartered at 5069 N. Broadway, in Chicago, and has branches in Stone Park, Chinatown, Bellwood and Des Plaines.
The failure is the second involving a Chicago-area bank this month. State regulators closed the New City Bank, at 900 S. Michigan Av., in Chicago, on Mar. 9.