My Bank Went Under!

April 8, 2009 · 6 comments

Luckily, this won’t have much of an impact on my business, but one of the two lenders I’ve been using to finance my properties just ended up as the 21st bank in the U.S. to fail in 2009!

The reason it shouldn’t have much affect is that I’ve primarily been using a different lender for my most recent houses, so I have no dependence on this particular bank. But, it was nice having a backup financing option, and I also really liked the guy who I was dealing with over there.

The only loan I currently have with them is on The Second Chance House, which should get paid off in the next week or two when we close on the sale; so I don’t expect there to be any major drama around my loan getting sold, dealing with the new bank (or FDIC), etc.

My biggest question now is how I get to the $100 I had in a checking account at the bank. I’ve heard that the bank’s assets were sold to SunTrust Bank…I’ll have to stop into my local branch next week to see what hoops I have to jump through to get my $100…

6 responses to “My Bank Went Under!”

  1. Ingrid says:


    Looks like you won’t have to jump through too many hoops from what I can see. If you go here: you can see the FAQ page and see what you can do to withdraw your funds. From what I can tell, it looks like you can just write a check to yourself and cash it at the bank. (??)

  2. J Scott says:

    Ingrid –

    Thanks for that info! You just saved me a trip to the bank…


  3. Ingrid says:

    You’re welcome! Googling is a hobby of mine. LOL

  4. Aly L. says:

    That’s still distressing. Given the challenge I’m having finding small banks to do investment/rehab loans, I can sympathize. Hopefully you’ll get your $100 back 🙂

    I did apply for a HELOC with Sun Trust but they made me jump through hoops for almost 3 months, and kept tacking on additional fees. I finally told them no thanks.

  5. Tracey says:

    Hey J, just wondering if you got your $100 back. LOL

  6. J Scott says:

    Hey Tracey –

    I think to think about it for a while (it was a LONG time ago :), but yes, I did get my $100. They moved the account over to another bank that took over all the accounts, and I was able to go in and withdraw it (and shut down the account).

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