Each depositor insured to at least $250,000 per insured bank

Failed Bank Information

Information for K Bank, Randallstown, MD

  1. Introduction
  2. Press Release
  3. Acquiring Financial Institution
  4. Question and Answer Guide
  5. Banking Services
  6. Loan Customers
  7. Possible Claims Against the Failed Institution
  8. Priority of Claims
  9. Dividend Information
  10. Brokered Deposits
  11. Purchase and Assumption Agreement (1.84 MB PDF File - PDF Help)
  12. Bid Summary
  13. K Bank Contact Information
  14. Balance Sheet Summary
Please be advised you will not receive any email notification to claim/unlock/unsuspend your account or to provide any private information. Please be aware of any Phishing Scams to obtain information from you.

I.  Introduction

On Friday, November 5, 2010, K Bank, Randallstown, MD was closed by the Maryland Office of Financial Regulation, and the Federal Deposit Insurance Corporation (FDIC) was named Receiver. No advance notice is given to the public when a financial institution is closed.

The FDIC has assembled useful information regarding your relationship with this institution. Besides a checking account, you may have Certificates of Deposit, a car loan, a business checking account, a commercial loan, a Social Security direct deposit, and other relationships with the institution. The FDIC has compiled the following information, which should answer many of your questions.

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II.  Press Release

The FDIC has issued a press release (PR-242-2010) about the institution's closure. If you represent a media outlet and would like information about the closure, please contact Greg Hernandez at
1-202-898-6984.

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III.  Acquiring Financial Institution

All deposit accounts, excluding Cede & Co. deposits, have been transferred to Manufacturers and Traders Trust Company, Buffalo, NY ("assuming institution") and will be available immediately. The former K Bank locations will reopen as branches of Manufacturers and Traders Trust Company during regular business hours.

Your transferred deposits will be separately insured from any accounts you may already have at Manufacturers and Traders Trust Company for six months after the failure of K Bank. Checks that were drawn on K Bank that did not clear before the institution closed will be honored as long as there are sufficient funds in the account. If you have questions about your account(s) transferred to the assuming bank, you may speak to an FDIC representative by calling 1-800-830-4697.

For general questions about FDIC deposit insurance coverage, please call 1-877-275-3342 or visit EDIE, the FDIC's Electronic Deposit Insurance Estimator.

EDIE - FDIC's Electronic Deposit Insurance Estimator

You may withdraw your funds from any transferred account without an early withdrawal penalty until you enter into a new deposit agreement with Manufacturers and Traders Trust Company as long as the deposits are not pledged as collateral for loans. You may view more information about Manufacturers and Traders Trust Company by visiting their web site.

Manufacturers and Traders Trust Company (www.mtb.com)

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V.  Banking Services

The Automated Teller Machines (ATM) and online service will remain available.

The bank will maintain its regular business hours, and you may continue to use the services to which you previously had access, such as safe deposit boxes, night deposit boxes, wire services, etc.

Your checks will be processed as usual. All outstanding checks will be paid against your available balance(s) as if no change had occurred. Your new bank will contact you soon regarding any changes in the terms of your account. If you have a problem with a merchant refusing to accept your check, please contact your branch office. An account representative will clear up any confusion about the validity of your checks.

All interest accrued through Friday, November 5, 2010 will be paid at your same rate. Manufacturers and Traders Trust Company will be reviewing rates. You will be notified of any changes.

Your direct deposits and automatic withdrawals will be transferred to your new bank. If you have any questions or special requests, you may contact a representative of your assuming institution at your branch office.

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VI.  Loan Customers

If you had a loan with K Bank, you should continue to make your payments as usual.  The terms of your loan will not change, because they are contractually agreed to in your promissory note. Checks should be made payable as usual and sent to the same address until further notice. If you have further questions regarding an existing loan, please contact your loan officer.

For all questions regarding new loans and the lending policies of Manufacturers and Traders Trust Company, please contact your branch office. Please see A Borrower’s Guide to an FDIC Insured Bank Failure for additional information.

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VII.  Possible Claims Against the Failed Institution

Determination of Insufficient Assets to Satisfy Claims Against Financial Institution in Receivership

SUMMARY: The FDIC has determined that insufficient assets exist in the receivership of K Bank, Randallstown, Maryland, to make any distribution on general unsecured claims, and therefore such claims will recover nothing and have no value.

DATES: The FDIC made its determination on June 4, 2013.

If you have questions regarding this notice, you may contact an FDIC Claims Agent at (972) 761–8677. Written correspondence may also be mailed to:

FDIC as Receiver for K Bank
1601 Bryan Street
Dallas, TX  75201
Attention: Claims Agent

SUPPLEMENTARY INFORMATION: On November 5, 2010, K Bank, Randallstown, Maryland, (FIN #10308) was closed by the Maryland Office of Financial Regulation, and the Federal Deposit Insurance Corporation (‘‘FDIC’’) was appointed as its receiver (‘‘Receiver’’). In complying with its statutory duty to resolve the institution in the method that is least costly to the deposit insurance fund (see 12 U.S.C. 1823(c)(4)), the FDIC facilitated a transaction with Manufacturers and Traders Trust Company (‘‘M&T Bank’’), Buffalo, New York, to assume all of the deposits (excluding brokered deposits) and most of the assets of the failed institution.

Section 11(d)(11)(A) of the FDI Act, 12 U.S.C. 1821(d)(11)(A), sets forth the order of priority for distribution of amounts realized from the liquidation or other resolution of an insured depository institution to pay claims. Under the statutory order of priority, administrative expenses and deposit liabilities must be paid in full before any distribution may be made to general unsecured creditors or any lower priority claims.

As of March 31, 2013, the maximum value of assets that could be available for distribution by the Receiver, together with maximum possible recoveries on professional liability claims was $135,461,147. As of the same date, administrative expenses and depositor liabilities equaled $247,721,021, exceeding available assets and potential recoveries by $112,259,874. Accordingly, the FDIC has determined that insufficient assets exist to make any distribution on general unsecured claims (and any lower priority claims) and therefore all such claims, asserted or unasserted, will recover nothing and have no value.

DATED: June 5, 2013

Federal Register/Vol. 78, No. 112/Tuesday, June 11, 2013/Notices Pg. 35032

FAQs Regarding Determination of Insufficient Assets

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VIII.  Priority of Claims

In accordance with Federal law, allowed claims will be paid, after administrative expenses, in the following order of priority:

  1. Depositors
  2. General Unsecured Creditors
  3. Subordinated Debt
  4. Stockholders
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IX.  Dividend Information

Dividend History on K Bank

Dividend Information on Failed Financial Institutions

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X.  Brokered Deposits

The FDIC offers a reference guide to deposit brokers acting as agents for their investor clientele.  This site outlines the FDIC's policies and procedures that must be followed by deposit brokers when filing for pass-through insurance coverage on custodial accounts deposited in a failed FDIC Insured Institution.

Deposit Broker's Processing Guide

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Last Updated 06/13/2013 cservicefdicdal@fdic.gov