For immediate release
WASHINGTON – Silicon Valley Bank, Santa Clara, Calif., was shut down today by the California Department of Financial Protection and Innovation, which appointed the Federal Deposit Insurance Corporation (FDIC) as receiver. To protect insured depositors, the FDIC established the Deposit Insurance National Bank of Santa Clara (DINB). Upon closing, the FDIC as receiver immediately transferred all of Silicon Valley Bank’s insured deposits to DINB.
All insured depositors will have full access to their insured deposits by Monday morning, March 13, 2023. The FDIC will pay uninsured depositors an early dividend next week. Uninsured depositors will receive a receivership certificate for the remaining amount of their uninsured funds. As the FDIC sells the assets of Silicon Valley Bank, future dividend payments may be paid to uninsured depositors.
Silicon Valley Bank had 17 branches in California and Massachusetts. Silicon Valley Bank’s main office and all branches will reopen on Monday, March 13, 2023. DINB will maintain Silicon Valley Bank’s regular business hours. Banking activities will resume no later than Monday, March 13, including online banking and other services. Official Silicon Valley Bank checks will continue to clear. Under the Federal Deposit Insurance Act, the FDIC can create a DINB to ensure customers have continued access to their insured funds.
As of December 31, 2022, Silicon Valley Bank had approximately $209.0 billion in total assets and approximately $175.4 billion in total deposits. At the time of closing, the amount of deposits in excess of insurance limits was undetermined. The amount of uninsured deposits will be determined after the FDIC obtains additional information from the bank and customers.
Customers with accounts over $250,000 should contact the FDIC toll-free at 1-866-799-0959.
The FDIC as receiver will retain all assets of Silicon Valley Bank for later disposition. Lending customers should continue to make payments as usual.
Silicon Valley Bank is the first FDIC-insured institution to fail this year. The last FDIC-insured institution to close was Almena State Bank, Almena, Kansas on October 23, 2020.
FDIC: PR-16-2023