Minnesota Bank Closed by Regulators

December 23, 2014

Northern Star Bank in Mankato, Minn., was closed last week by the Minnesota Department of Commerce, which appointed the Federal Deposit Insurance Corporation (FDIC) as receiver.

BankVista in Sartell, Minn., assumed all of the deposits of Northern Star Bank. As of Sept. 30, Northern Star Bank had approximately $18.8 million in total assets and $18.2 million in total deposits. In addition to assuming all of the deposits of Northern Star Bank, BankVista agreed to purchase essentially all of the failed bank's assets.

Northern Star Bank is the 18th FDIC-insured institution to fail in the nation this year, and the first in Minnesota. The last FDIC-insured institution closed in the state was 1st Regents Bank, Andover in January 2013.

Contact ALTA at 202-296-3671 or communications@alta.org.