- FDIC General Counsel's Statement on NextBank
- Press Release
- Time Deposits
- Priority of Claims
- Dividend Information
- Receivership Termination
I. FDIC General Counsel's Statement on NextBank - February 14, 2002
The FDIC, as receiver for NextBank, National Association (N.A.), has advised the Bank of New York, as Trustee for the NextCard Credit Card Master Trust, that an automatic event, default, acceleration or early amortization based solely on insolvency or appointment of the FDIC as receiver is not enforceable against the FDIC. The FDIC has not indicated any question or doubt to the Trustee or otherwise regarding the validity or effect of any other trigger events for an early amortization of any NextBank Credit Card Trust obligations, including any other such trigger events based on collateral performance.
The FDIC reconfirms, under established FDIC policy as codified by express rule at 12 CFR 360.6, that it will not disaffirm or repudiate the completed transfer of financial assets by NextBank, N.A. in securitizations in accord with that FDIC rule.Back to top
On February 7, 2002, NextBank, N.A. was closed by Office of the Comptroller of the Currency (OCC) and the Federal Deposit Insurance Corporation (FDIC) was named Receiver. As Receiver, the FDIC is charged with winding up the business affairs of the failed financial institution. This includes the disposition of assets and liabilities of the failed financial institution and payment of dividends to approved creditors in order of priority.
The FDIC, as Receiver, has taken all necessary actions to conclude the affairs of the failed financial institution, made all dividend distributions as required by law and the receivership is deemed terminated.Back to top
The FDIC has issued a press release about the institutions closure. If you represent a media outlet and would like information about the closure, please contact the FDIC Public Affairs Office at (202) 898-6993.
PR-83-2002 FDIC Sells Nextbank Owned Credit Card Portfolio (July 2, 2002)Back to top
All deposit account(s) at NextBank have been closed as of February 7, 2002.
Because the FDIC was unable to arrange a transfer of the deposits of NextBank to another financial institution, a check for the insured portion of your account(s) will be mailed to you at the last address shown on the books and records of the failed institution. A final statement will be sent to you with the check, along with a letter explaining the payment process.
NOTE: These accounts do not include deposits securing loans or the deposits of certain customers with liabilities to the institution.
You will be paid interest on your account(s) only through the date the institution was closed. Principal and interest on insured accounts, through February 7, 2002, are fully insured by the FDIC, up to the insurance limit of $100,000. If you have an/any account(s) over the insured amount, you will need to speak with an FDIC Claims Agent to review the status of your funds. Certain entitlements and different types of accounts may be insured for more than the $100,000 limit.
If you have funds in an
account known as payable on death (POD) account, revocable trust or in
trust for (ITF) account, one of the forms listed below is required:
Declaration for Testamentary Deposit (Single Grantor)-Word 44k (Word Help)
Declaration for Testamentary Deposit (Multiple Grantors)-Word 63k (Word Help)
All accounts that exceed the $100,000 insurance limit, and/or all accounts that appear to be related and exceed this limit, are reviewed by the FDIC to determine their ownership and insurance coverage. If it appears that you have potentially uninsured funds, an FDIC Claims Agent will contact you, by either telephone or mail, regarding your account(s). After February 7, 2002, you may reach a Claims Agent by calling 1-877-367-2719.
If it is determined that you do have uninsured funds, the FDIC will generate and mail to you a Receiver Certificate. This certificate entitles you to share proportionately in any funds recovered through the disposal of the assets of NextBank. This means that you may eventually recover some of your uninsured funds.
For additional information on deposit insurance visit EDIE the FDIC's Electronic Deposit Insurance Estimator.Back to top
In accordance with Federal law, allowed claims will be paid, after administrative expenses, in the following order of priority:
- General Unsecured Creditors
- Subordinated Debt
Dividend Information on Failed Financial Institutions Back to top
The FDIC as Receiver for NextBank, N.A., has taken all actions necessary to terminate the Receivership Estate.
The Receiver published a legal notice of intent to terminate the receivership on April 30, 2014.
The Receiver has made all dividend distributions required by law.
Effective August 25, 2014, the Receivership Estate has been terminated, the Receiver was discharged and the Receivership Estate ceased existence as a legal entity.Back to top