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Failed Bank Information
Question and Answer Sheet for Douglass National Bank, Kansas City, MO
 

The following questions and answers represent the most commonly asked questions by customers of the failed bank.

  1. Over $100,000:  What if I had more than $100,000 in my accounts at Douglass National Bank?
  2. Lose Any Money?  Will I lose anything on my deposit account?
  3. Uninsured:  Will I collect my uninsured deposits?
  4. What happened?  What happened, why did the bank fail?
  5. Why? Why was this action taken?
  6. Customer Impact:  How does this action affect me?
  7. Claim Account(s):  How do I claim my account(s)?
  8. ATM/Debit Card/Checks:  Can I continue to write checks or use my ATM/Debit card?
  9. Final Statement:  How will I get my final statement(s) from Douglass National Bank?
  10. Interest:  Will I continue to earn interest at the same rate?
  11. IRAs:  What if I have an Individual Retirement Account (IRA)? Will my savings still be insured?
  12. Wire Transfer:  Can funds be wired to me?
  13. Interest Check/Cashier's Checks:  My interest check or cashier's check bounced; what do I do? (OR) Can I cash my interest check or cashier's check?
  14. Records/Account Histories:  What if I need information regarding my account during the time Douglass National Bank was in business?
  15. Direct Deposits - Government Deposits:  What will happen to my direct deposit?
  16. Outstanding Checks:  What will happen to the checks which have not cleared my account?
  17. Loans:  How do I make my loan payments?
  18. FDIC Insurance:  Where can I find out more information about Federal Deposit Insurance rules?
  19. Safe Deposit Boxes:  How can I claim the contents of my safe deposit box?
  20. Unpaid Bill:  I did some work for Douglass National Bank and have not yet been paid. What should I do?
  21. Deposit Broker/Brokered Deposits:  I am a deposit broker or I have brokered deposits. What do I need to do?
  22. Tax Reporting - 1098/1099s:  Who will send my 1098 and/or 1099 information after the end of the year?
  23. Media:  I represent a TV/Newspaper/Radio and would like some information.
  24. New Bank Insured?  Is the new bank insured by the FDIC.
  25. Deposits Existing at Assuming Bank:  I already have other deposit accounts with the new bank. When combined with the balances at this bank, my deposits exceed $100,000. Are all of my funds at both banks insured?
  26. Online Banking:  Will my internet connection continue to work?
  27. Automatic Bill Pay:  Will my automatic payments through Bill Pay continue?
  28. Checks not honored:  A merchant will not honor my check. What can I do?
  29. Early withdrawal penalty:  Will I incur an early withdrawal penalty if I close my CD before maturity?
  30. Account Hold:  I have been advised there is a hold on my account. What does that mean?
 
1.  What if I have more than $100,000 in my accounts at Douglass National Bank?
All deposit accounts have been transferred to Liberty Bank and Trust, a minority depository institution based in New Orleans, LA, now with the newly acquired branches of Douglass National Bank in Kansas and Missouri. The bank will reopen on Monday, January 28.
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2.  Will I lose anything on my deposit account?
No.
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3.  Will I collect my uninsured deposits?
There are no uninsured deposits.  All deposits have transferred to Liberty Bank and Trust.
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4.  What happened, why did the bank fail?

As of Friday, January 25, 2008, Douglass National Bank, Kansas City, MO was closed by the Office of the Comptroller of the Currency (OCC) the Federal Deposit Insurance Corporation (FDIC) was appointed Receiver. According to regulatory policy, there is no advance notice given to the public.  The good news is that no depositor lost any money as a result of the closure of Douglass National Bank.

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5.  Why was this action taken?

Please see the OCC press release for more information. The OCC assumed possession of the bank and simultaneously appointed the FDIC as Receiver.

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6.  How does this action affect me?

All deposits have been transferred to Liberty Bank and Trust, and it will be business as usual. If you held an account at Douglass National Bank, you now have an account at Liberty Bank and Trust. You will be notified of any changes to your account, including any new signature cards or forms, by Liberty Bank and Trust.

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7.  How do I claim my account(s)?
A deposit insurance payment of funds has already been transferred to Liberty Bank and Trust. Please be advised that if there is no activity in your account in the next 18 months, that money could be returned to the FDIC and eventually escheated to your state.
 
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8.  Can I continue to write checks or use my ATM/Debit card?

You will be able to continue using your personal checks at this time and your ATM/Debit card will continue to work. You will receive a mailed notice from Liberty Bank and Trust in the next week regarding your transferred accounts.  You may receive new checks and new account numbers in the future, and Liberty Bank and Trust will notify you of changes in the future.

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9.  How will I get my final statement(s) from Douglass National Bank?

A final statement will be mailed to you at the address on record at the bank.

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10.   Will I continue to earn interest at the same rate?
All interest accrued through January 25, 2008, will be paid at your same rate. Liberty Bank and Trust will be reviewing rates and will provide further information soon.
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11.   What if I have an Individual Retirement Account (IRA)? Will my savings still be insured?
Yes. All deposits, including IRAs transferred in their entirety to Liberty Bank and Trust.
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12.   Can funds be wired to me?
Please contact Liberty Bank and Trust at 913-321-7200 to obtain information regarding your wire request.
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13.   Can I cash my interest check or cashier's check?
Interest checks and cashier's checks will continue to clear.
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14.   What if I need information regarding my account during the time Douglass National Bank was in business?
All deposit account histories and records are in the process of being passed to Liberty Bank and Trust.  Please contact a representative of Liberty Bank and Trust Customer Service at 913-321-7200 to obtain a copy of any records you may need.
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15.   What will happen to my direct deposits?
Direct Deposits will continue as normal. If you need to change anything in the future, please contact Liberty Bank and Trust to make those arrangements.
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16.   What will happen to the checks which have not cleared my account?
Checks that were drawn on Douglass National Bank that did not clear before the institution closed will be honored as long as there are sufficient funds in the account.
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17.   How do I make my loan payments?
You should continue to make your payments according to the terms of your note. The terms of your loan will not change under the terms of the loan contract because they are contractually agreed to in your promissory note with the failed institution. Checks should be sent to the same address until further notice. You will be notified by mail of any changes.  All loans have transferred to Liberty Bank and Trust.
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18.   Where can I find out more about Federal Deposit Insurance rules?
You may access our website, which contains deposit insurance information and an Electronic Deposit Insurance Estimator (EDIE).

Or, you may call the FDIC Call Center at 1-877-ASK-FDIC (1-877-275-3342).

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19.   How can I claim the contents of my safe deposit box?
It is business as usual.  Appointments can be made by calling 913-321-7200.
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20.   I did some work for Douglass National Bank and have not yet been paid. What should I do?
Please mail a statement to:

FDIC as Receiver for Douglass National Bank
1601 Bryan Street
Dallas, TX 75201
Attn: Claims Department

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21.   I am a deposit broker or I have a deposit through a broker.  What do I need to do?
All deposits have passed to Liberty Bank and Trust.  You should contact them for any future changes or agreements.
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22.   Who will send my 1098 and/or 1099 information after the end of the year?
Liberty Bank and Trust will be responsible for mailing your tax information.
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23.   I represent a TV/Newspaper/Radio and would like some information.
Please speak with:

David Barr of the Office of Public Affairs at 202-898-6992 or the on-site Ombudsman Rickey McCullough at 202-276-1036.

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24.   Is the new bank insured by the FDIC?
Yes, Your deposit at Liberty Bank and Trust is insured by the FDIC, and each depositor is insured to at least $100,000, as established by law.

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25.   I already have other deposit accounts with the new bank. When combined with the balances at this bank, my deposits exceed $100,000. Are all of my funds at both banks insured?
The accounts transferred to Liberty Bank and Trust will be separately insured for six months after the failure of Douglass National Bank. For additional information about deposit insurance rules, you may contact the FDIC Call Center at 1-877-ASK-FDIC (1-877-275-3342) or please go to Are My Deposits Insured.

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26.   Will my internet connection continue to work?
Yes, it will be business as usual.

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27.   Will my automatic payments through Bill Pay continue?
Yes, these will continue.  If any changes are made in the future, you will be contacted by Liberty Bank and Trust.

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28.   A merchant will not honor my check. What can I do?
A copy of this document or the press release PR-7-2008 can be provided as it states deposits have been transferred, and it is business as usual. Copies of this press release will be available at the bank. Depositors or merchants call also call 913-321-7200

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29.   Will I incur an early withdrawal penalty if I close my CD before maturity?
You may withdraw your funds from any transferred account without an early withdrawal penalty until you enter into a new deposit agreement with Liberty Bank and Trust, provided the deposits are not pledged as collateral for loans.

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30.   I have been advised there is a hold on my account. What does that mean?
Holds will be in place if your account had been pledged as collateral for a loan.

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Last Updated 1/25/2008 Customer Service