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Failed Bank Information
Question and Answer Guide for Temecula Valley Bank, Temecula, CA
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FDIC Call Center
Toll free number 1-800-930-5170
Hours of Operation – Pacific Time
Friday, July 17, 2009:   Until 9:00 p.m.
Saturday, July 18, 2009:   9:00 a.m. – 6:00 p.m.
Sunday, July 19, 2009:   Noon – 6:00 p.m.
Thereafter:   8:00 a.m. – 8:00 p.m.

On July 17, 2009, Temecula Valley Bank, Temecula, CA, was closed by the California Department of Financial Institutions. The Federal Deposit Insurance Corporation (FDIC) was then appointed Receiver. Subsequent to the closure, First-Citizens Bank & Trust Company, Raleigh, NC acquired all the deposits and assets of Temecula Valley Bank from the FDIC as Receiver for Temecula Valley Bank. Any claims by equity holders were not acquired. Share price does not trigger a bank closing and was not the reason for Temecula Valley Banks failure.

The total balance in your account(s) has been transferred to First-Citizens Bank & Trust Company, Raleigh, NC and will be available for transactions during regular business hours at the former Temecula Valley Bank offices starting on Monday, July 20, 2009.

You may continue to use your same checks, ATM cards and debit cards until notified.

All Direct Deposits, including Social Security checks, will continue as usual.

Account(s): What about my account with Temecula Valley Bank?

If you had an account with Temecula Valley Bank, you now have an account with First-Citizens Bank & Trust Company. All deposit accounts, which include Checking, Savings, Money Market, CDs and Retirement accounts have been transferred to First-Citizens Bank & Trust Company, Raleigh, NC, regardless of the dollar amount. No one lost any money on deposit in Temecula Valley Bank.

Customers of both banks should continue to use their existing branches until First-Citizens Bank & Trust Company, can fully integrate the deposit records of Temecula Valley Bank.

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 scams to obtain information from you.

ATM/debit card and/or Billpay: What about my ATM/debit card and/or bill paying with Temecula Valley Bank?

Your ATM/debit card will continue to work, and bill paying will work as it has in the past.

Brokered Deposits: I am a deposit broker or have brokered deposits. What do I do?

Brokered deposits from Depository Organization Cede & Co. as Nominee for DTC. will be held and paid off by the FDIC.. All other brokered deposits, have been assumed by First-Citizens Bank & Trust Company,. Be advised, however, that from and after the date of closing, First-Citizens Bank & Trust Company, will accrue and pay interest on deposit liabilities at a rate it shall determine; accordingly, First-Citizens Bank & Trust Company, shall permit depositors, impacted by reduced rates to withdraw their deposits without penalty for early withdrawal.

If you are a customer who has a Temecula Valley Bank deposit through Cede & Co., you must contact your broker with any questions. Once the FDIC receives a balanced investor file along with all the required documentation from your broker, your insured funds will be wired to them on your behalf.

Direct Deposits - Government Deposits: What will happen to my direct deposits?

Direct Deposits will continue as normal, including Social Security checks.

Existing Deposits at First-Citizens Bank & Trust Company: I already have other deposit accounts with First-Citizens Bank & Trust Company.  When combined with balances at this bank, my deposits exceed $250,000.  Are all funds insured?

The accounts transferred to First-Citizens Bank & Trust Company will be separately insured for at least six months after the merger. This grace period gives a depositor the opportunity to restructure the accounts, if necessary.

CDs from the failed bank are separately insured until the earliest maturity date after the end of the six-month grace period.

CDs that mature during the six-month period and are renewed for the same term and in the same dollar amount (either with or without accrued interest) continue to be separately insured until the first maturity date after the six-month period.

If a CD matures during the six-month grace period and is renewed on any other basis, it would be separately insured only until the end of the six-month grace period.

Interest Rates, Early Withdrawal Penalty: Will I continue to earn interest at the same rate?  Will I be charged an early withdrawal penalty?

First-Citizens Bank & Trust Company will review rates and notify you.

You may withdraw funds from any transferred account without an early withdrawal penalty until you enter into a new deposit agreement with First-Citizens Bank & Trust Company. Entering into a new deposit agreement can be done by either renewing your CD or making a deposit to, or a withdrawal from, your account.

Loans/mortgages: What about my loan or mortgage with Temecula Valley Bank?

All mortgages and loans have been assumed by First-Citizens Bank & Trust Company. Your payment amount and due date are the same. If you are having your payment deducted from your account, it will continue as it has in the past. You should continue to make your checks payable to Temecula Valley Bank and send your payments to the same address.

Loans in Process: What happens if I had a loan in process that had not closed or a line of credit not fully funded?

You should contact your loan officer.  All prior contacts remain the same.

Media: I represent a TV/Newspaper/Radio and would like some information.

Please contact the Office of Public Affairs:

David Barr

Outstanding Checks: What about checks that I have written on my account with Temecula Valley Bank?

Your checks will clear up to the available balance in your account.  You can continue to use your existing checks.

Safe Deposit Boxes: How can I claim the contents of my safe deposit box?

It is business as usual.  You can go to your local branch and access your safe deposit box; however, no action on your part is required because of this transaction.

Shareholders: What about my shares of stock?

Temecula Valley Bank had no publicly owned stock. Equity shareholders were invested in the holding company, Temecula Valley Bancorp Inc., Temecula, CA and not in the bank. Please do not file a claim with the Receiver, rather contact the holding company with any questions you may have:

Temecula Valley Bancorp Inc.
27710 Jefferson Ave. Suite A100
Temecula, CA 92590

Transaction Types: Why do all deposits, insured or not, pass in some transactions but not in others?

The FDIC is required by law to employ the least-cost resolution measure for each failed financial institution.  The most frequent result is for the FDIC to transfer only the insured deposits in a merger transaction.  The FDIC has been able to transfer all deposits in about 25% of the failures over the past 15 years.

Last Updated 08/20/2012 cservicefdicdal@fdic.gov