Question and Answer Guide
Westernbank Puerto Rico, Mayaguez, PR
The FDIC has put together some responses to frequent issues or questions bank customers may have following a bank failure. These should assist you in understanding what is happening at your bank.
On Friday, April 30, 2010, Westernbank Puerto Rico, Mayaguez, PR, was closed by the Office of the Commissioner of Financial Institutions of the Commonwealth of Puerto Rico. The Federal Deposit Insurance Corporation (FDIC) was then named Receiver. Subsequent to the closure, Banco Popular de Puerto Rico, Hato Rey, PR acquired almost all the deposits and assets of Westernbank Puerto Rico from the FDIC as Receiver. Share price does not trigger a bank closing and was not the reason for Westernbank Puerto Rico's failure. All shares of stock were owned by the holding company, which was not involved in this transaction.
YOUR MONEY IS SAFE! No one lost any money on deposit as a result of the closure of this institution.
ACCESS TO YOUR MONEY: The total balance in your account(s), including checking, savings, money market, non-brokered Certificates of Deposit, and retirement accounts, has been transferred to the new bank and will be available for transactions during regular business hours at the former bank branches. You may continue to use your outstanding checks and they will clear up to the balance in your account. ATM and debit cards will continue to work as usual.
DIRECT DEPOSITS: All direct deposits, for example, social security checks, payroll, veteran’s benefits, welfare and/or disability, unemployment or any payment you receive electronically will continue as usual.
AUTOPAYMENTS/BILLPAY: These services should continue as usual.
INTEREST RATES: Interest on deposits accrued through close of business the day the bank was closed will be paid at your same rate. Current rates will be reviewed by the acquiring institution and may be lowered; however, you may withdraw funds from any transferred account without early withdrawal penalty until you renew your Certificate of Deposit.
SAFE DEPOSIT BOXES: You may continue to access your safe deposit box during normal business hours. Any changes will be communicated by the new bank.
OVERDRAFT LINES OF CREDIT: These lines have been transferred to the assuming bank. Please contact the new bank if you have additional questions regarding your accounts.
LOAN PAYMENTS: You should continue to make your payments according to the terms of your written contract. You may continue to make your payments at the branch office or send it, to the same payment address with checks made payable to the old institution.
ESCROW PAYMENTS: All services previously performed related to your loan will continue. Should you receive notification that any portion of your taxes or insurance were not paid, notify your loan officer immediately.
LOANS IN PROCESS: Please contact your current loan officer directly.
SHARES OF STOCK: All shares of stock were owned by the holding company. The holding company was not included in the closing of the bank or the resulting receivership. If you are a shareholder of the holding company, please do not contact or file a claim with the receiver. You must contact the holding company directly for more information.
DEPOSIT INSURANCE INFORMATION: If you have accounts in both the failed and the assuming institution, they will be insured separately for at least six months following the merger of the institutions. This will allow you time to restructure your accounts if necessary.
ADDITIONAL QUESTIONS: You may contact the FDIC Call Center at the number provided below with any additional questions:
FDIC Call Center
Toll free number 1-800-591-2909
Hours of Operation – Eastern Time
Friday, April 30, 2010: Until 9:00 p.m.
Saturday, May 01, 2010:9:00 a.m. – 6:00 p.m.
Sunday, May 02, 2010: Noon – 6:00 p.m.
Thereafter: 8:00 a.m. – 8:00 p.m.
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 private information from you related to this event, please contact the call center above and you will be directed to the appropriate person
Additional information is available at: www.fdic.gov/bank/individual/failed/westernbank-puertorico.html