JUST IN: Chicago's Metropolitan Capital Bank & Trust closed by regulators due to unsafe conditions and weak capital cited.
On Friday,January 30, 2026, the Illinois Department of Financial and Professional Regulation (IDFPR) closed Metropolitan Capital Bank & Trust, headquartered in Chicago. Regulators cited "unsafe and unsound conditions" and an "impaired capital position" as the primary reasons for the shutdown. This closure marks the first U.S. bank failure of 2026.
Immediate Impact on Depositors
The Federal Deposit Insurance Corporation (FDIC) was appointed as receiver and immediately entered into a purchase and assumption agreement with First Independence Bank of Detroit, Michigan.
Access to Funds: Depositors will have uninterrupted access to their money via ATMs, debit cards, and check-writing over the weekend.
Branch Reopening: The bank's sole office at 9 E. Ontario St. in Chicago will reopen as a branch of First Independence Bank during normal business hours on Monday, February 2, 2026.
Safety of Deposits: All deposits transferred to First Independence Bank continue to be fully insured by the FDIC up to legal limits.
Financial Snapshot of the Failure
As of September 30, 2025, Metropolitan Capital Bank & Trust reported the following financial metrics:
Metric AmountTotal Assets$261.1 MillionTotal Deposits$212.1 MillionAssets Purchased by First Independence~$251 MillionEstimated Cost to FDIC Insurance Fund$19.7 Million
Key Insights
Swift Resolution: The FDIC brokered the sale quickly to prevent asset value erosion, a stated priority for current leadership.
Operational History: The bank had previously been under regulatory scrutiny, including a 2019 consent order regarding lending practices that was later terminated in July 2021.
Previous Failure: This is the first failure in Chicago since Pulaski Savings Bank was closed in January 2025 due to similar capital impairments.
For the most recent updates on account transitions, customers can visit the official FDIC Failed Bank Page for Metropolitan Capital Bank & Trust.
This is not financial advice . For legal advice, consult a professional.