Regulators Seize Republic First Bank, Official Collapse Declared

Republic First Bank, headquartered in Philadelphia and operating as Republic Bank, has been shut down by Pennsylvania state regulators, as announced by the FDIC on Friday. The closure marks the initial U.S. bank failure of the year.

In a statement, the FDIC stated, "The Pennsylvania Department of Banking and Securities has closed Republic First Bank, with the FDIC appointed as receiver. To safeguard depositors, the FDIC has reached an agreement with Fulton Bank, National Association, based in Lancaster, Pennsylvania, to assume nearly all deposits and acquire most assets of Republic Bank."

Regarding the future of Republic First Bank's 32 branches, including those in New Jersey, Pennsylvania, and New York, they will reopen as Fulton Bank branches on either Saturday or Monday, depending on their usual operating hours.

For existing bank customers, depositors can access their funds via checks, ATMs, or debit cards. The bank will also continue processing issued checks. Furthermore, loan clients are advised to continue their usual payment schedules, per the FDIC's guidance.

As of January 31, 2024, Republic First Bank held around $6 billion in assets and $4 billion in deposits, making it the first U.S. bank failure since last November's closure of Citizens Bank in Sac City, Iowa.