Essex County registered one bank failure since 2012, according to a Federal Deposit Insurance Corp. report.
This bank failure occurred in Newark with City National Bank of New Jersey. It occurred in November 2019, resulting in a substantial loss of $1.2 million. At the time of the failure, the bank held a substantial amount of $111.2 million in customer deposits.
There have been 127 bank failures across the country since 2012, accounting for an estimated loss of $45.1 billion. That means an average of 2.5 bank failures per state. This average lags behind the total number of bank failures in New Jersey, which stood at three during the same period.
Silicon Valley Bank (SVB) was shut down in March 2023, reports of significant losses and investors withdrawing much of their funds. The SVB collapse and loss of roughly $20 billion is considered the largest bank failure in the U.S. since the 2008 collapse of Washington Mutual. FDIC declared that First Citizens Bank will assume control over Silicon Valley Bank’s assets and operations.
Silicon Valley Bank’s recent collapse has become one of the most prominent bank failures in the United States, second only to the notable downfall of Washington Mutual in 2008. The repercussions of this crisis have been substantial, with estimated losses reaching an astonishing $20 billion.
The Federal Deposit Insurance Corp. has announced that First Citizens Bank will take over the bank’s assets and operations.
