NY Community Bank Set to Buy failed Signature Bank for $2.7B

by BoroPark24 Staff

As of this morning, forty Signature Bank branches have become Flagstar Bank, a subsidiary of New York Community Bank.

In a deal announced on Sunday by the Federal Deposit Insurance Corporation, New York Community Bank spent $38.4 billion, representing a third of Signature's assets.

According to the FDIC, the remaining $60 billion balance in Signature Bank's loans will be put in receivership until being sold off. 

The collapse of Signature Banks is estimated to come with a $2.5 billion price tag, paid for by the deposit insurance fund.