Question and Answer Guide
TierOne Bank, Lincoln, NE
FDIC Call Center
Toll free number 1-800-830-4732
Hours of Operation – Central Time
Friday, June 4, 2010: Until 9:00 p.m.
Saturday, June 05, 2010: 9:00 a.m. – 6:00 p.m.
Sunday, June 06, 2010: Noon – 6:00 p.m.
Thereafter: 8:00 a.m. – 8:00 p.m.
On Friday, June 4, 2010, TierOne Bank, Lincoln, NE was closed by the Office of Thrift Supervision. The Federal Deposit Insurance Corporation(FDIC) was then named Receiver. Subsequent to the closure, Great Western Bank, Sioux Falls, SD acquired substantially all the deposits and assets of TierOne Bank from the FDIC as Receiver for TierOne Bank. Any claims by equity holders were not acquired. Share price does not trigger a bank closing and was not the reason for TierOne Banks failure.
The total balance in your account(s) has been transferred to Great Western Bank and will be available for transactions during regular business hours at the former TierOne Bank branches.
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 TierOne Bank?
- ATM/debit card and/or Billpay: What about my ATM/debit card and/or bill paying with TierOne Bank?
- Brokered Deposits: I am a deposit broker or have brokered deposits. What do I do?
- Direct Deposits - Government Deposits: What will happen to my direct deposits?
- Existing Deposits at Great Western Bank: I already have other deposit accounts with the new bank. When combined with balances at this bank, my deposits exceed $250,000. Are all funds insured?
- Interest Rates, Early Withdrawal Penalty: Will I continue to earn interest at the same rate? Will I be charged an early withdrawal penalty?
- Loans/mortgages: What about my loan or mortgage with TierOne Bank?
- Loans in Process: What happens if I had a loan in process that had not closed or a line of credit not fully funded?
- Media: I represent a TV/Newspaper/Radio and would like some information.
- Outstanding Checks: What about checks that I have written on my account with TierOne Bank?
- Safe Deposit Boxes: How can I claim the contents of my safe deposit box?
- Shareholders: What about my shares of stock?
- Transaction Types: Why do all deposits, insured or not, pass in some transactions but not in others?
- Unpaid Bills: I did some work for the bank and have not been paid. What should I do?
1. What about my account with TierOne Bank?
If you had an account with TierOne Bank, you now have an account with Great Western Bank, Sioux Falls, SD. All deposit accounts, which include checking, savings, money market, CDs and retirement accounts, have been transferred to Great Western Bank, regardless of the dollar amount. No one lost any money on deposit in TierOne Bank.
Customers of both banks should continue to use their existing branches until Great Western Bank can fully integrate the deposit records of TierOne Bank.
To forewarn you of any scams, please be advised that you will not receive any notification from the FDIC, the Receiver, or Great Western Bank to claim/unlock/unsuspend your account or to provide any private information. Please be watchful for and resist any such scams to obtain information from you by individuals or entities purporting to act on behalf of TierOne Bank, Great Western Bank, or the FDIC.
2. What about my ATM/debit card and/or bill paying with TierOne Bank?
Your ATM/debit card will continue to work, and bill paying will work as it has in the past.
3. I am a deposit broker or have brokered deposits. What do I do?
As an All-Deposits Transfer transaction, the total of all deposit accounts, including brokered deposits, have been assumed by Great Western Bank.
Be advised, however, that from and after the date of closing, Great Western Bank will accrue and pay interest on deposit liabilities at a rate it shall determine; accordingly, Great Western Bank shall permit depositors, including brokered depositors to withdraw their deposits without penalty for early withdrawal.
If you are a customer who has a TierOne Bank deposit through a broker, you must contact your broker with any questions.
4. What will happen to my direct deposits?
Direct Deposits, including Social Security checks, will continue as normal.
5. I already have other deposit accounts with the new bank. When combined with balances at this bank, my deposits exceed $250,000. Are all funds insured?
The accounts transferred to Great Western Bank 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 grace 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.
6. Will I continue to earn interest at the same rate? Will I be charged an early withdrawal penalty?
Interest on all deposits accrued through Friday, June 4, 2010, will be paid at your same rate. Great Western Bank will review rates. If interest rates will change, you will be notified. Your interest rate may be reduced.
You may withdraw funds from any transferred account without an early withdrawal penalty until you enter into a new deposit agreement with your new bank. 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.
7. What about my loan or mortgage with TierOne Bank?
All mortgages and loans have been assumed by Great Western Bank. 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 TierOne Bank and send your payments to the same address.
8. 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.
9. I represent a TV/Newspaper/Radio and would like some information.
Please contact the Office of Public Affairs:
10. What about checks that I have written on my account with TierOne Bank?
Your checks will clear up to the available balance in your account. You can continue to use your existing checks.
11. 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.
12. What about my shares of stock?
All shares of TierOne Bank were owned by its holding company, TierOne Corporation, Lincoln, NE. The holding company was not included in the closing of the bank or the resulting receivership. If you are a shareholder of TierOne Corporation, please do not contact or file a claim with the Receiver. You may contact TierOne Corporation directly for information as follows:
Edward J. Swotek
Investor Relations Department
1235 N Street
P.O. Box 83009
Lincoln, NE 68501-3009
13. 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 had been for the FDIC to transfer only the insured deposits in a Purchase and Assumption transaction; however, the temporary increase in the deposit insurance limit has assisted in the transfer of all deposits more often in the past year.
Unpaid Bills: I did some work for the bank and have not been paid. What should I do?
All claims against TierOne Bank, together with proof of the claims, must be submitted in writing to the Receiver at the following address:
FDIC as Receiver for TierOne Bank
1601 Bryan Street
Dallas, TX 75201
Attention: Claims Agent
SCAMS: Be watchful for and resistant to any scams to obtain information from you by individuals or entities stating that they are acting on behalf of either the failed bank, new bank, or the FDIC. Should you be contacted by anyone requesting personal information from you related to this event, please contact the call center above and you will be directed to the appropriate person.
For more information: www.fdic.gov/bank/individual/failed/tieronebankne.html