Sac City Bank Declared Insolvent, Deposits Transferred to Another Iowa Bank

Iowa Trust & Savings Bank in Emmetsburg, Iowa, has assumed all of the deposits of Citizens Bank in Sac City, Iowa, after the latter was closed by the Iowa Division of Banking. The FDIC has been appointed as the receiver and entered into a Purchase and Assumption Agreement with Iowa Trust & Savings Bank to protect depositors. The two branches of Citizens Bank will reopen as branches of Iowa Trust & Savings Bank, and depositors can access their money through checks, ATMs, or debit cards. Customers do not need to change their banking relationship to retain deposit insurance coverage. The FDIC estimates the cost to the Deposit Insurance Fund will be $14.8 million.