Bank failure Friday returns and here we go with one out of left field from Texas. Which has yours truly wondering if this is related to the wild fluctuations in the oil industry we have all witnessed in the past year.
From the FDIC website:
Coleman County State Bank, Coleman, TX, Acquires Insured Deposits of The Santa Anna National Bank, Santa Anna, TX
WASHINGTON – The Santa Anna National Bank of Santa Anna, Texas, was closed today by the Office of the Comptroller of the Currency (OCC), which appointed the Federal Deposit Insurance Corporation (FDIC) as receiver. The FDIC entered into a purchase and assumption agreement with Coleman County State Bank of Coleman, Texas, to assume the insured deposits and some of the assets of the failed institution.
The Santa Anna National Bank’s sole office will reopen on Monday, June 30, 2025, as a branch of Coleman County State Bank. Depositors of the failed bank will automatically become depositors of Coleman County State Bank. The insured deposits assumed by Coleman County State Bank will continue to be insured by the FDIC so there is no need for customers to change their banking relationship to retain their deposit insurance coverage.
All Coleman County State Bank customers (formerly, The Santa Anna National Bank) will have access to their insured deposits and can write checks or use their ATM or debit cards up to their insured limits. Checks drawn on the bank will continue to be processed. Loan customers should continue to make their payments as usual.
As of June 18, 2025, The Santa Anna National Bank reported total assets of $63.8 million and total deposits of $53.8 million. Approximately $2.8 million of the deposits exceeded FDIC insurance limits, an amount that is likely to change once the FDIC obtains additional information from customers. Once further information is available, the FDIC will consider whether to provide uninsured depositors an advance dividend (i.e. access to a portion of their uninsured funds) and will provide more information at that time.
Coleman County State Bank agreed to assume the insured deposits for a 5.16 percent premium. The FDIC will retain a large portion of the assets of The Santa Anna National Bank for later disposition. The FDIC preliminarily estimates that the failure will cost its Deposit Insurance Fund (DIF) about $23.7 million. This loss estimate will change over time as the assets are sold. Suspected fraud contributed to the failure of the bank and estimated cost to the DIF.
The Santa Anna National Bank is the second bank to fail in the nation this year. The last bank failure was Pulaski Savings Bank of Chicago on January 17, 2025. The last failure in Texas was The Enloe State Bank of Cooper, Texas on May 31, 2019.
It’s a small failure by any standard, but a warning shot perhaps that the FDIC finally has its act together after months of resignations, retirements, and pressure from the administration to turn a blind eye to the problems as long as possible.
Stay tuned, the night is young.
