On Tuesday, May 16, U.S. Senate Committee on Banking, Housing, and Urban Affairs will host a live hearing titled, “Examining the Failures of Silicon Valley Bank and Signature Bank” at 9:00 a.m. Central.
On March 12, 2023, Santa Clara, California-based Silicon Valley Bank (SVB) was closed by the California Department of Financial Protection and Innovation, which appointed the Federal Deposit Insurance Corporation (FDIC) as receiver. At the time of its closing, SVB had 17 branches in California and Massachusetts. As of December 31, 2022, SVB had approximately $209.0 billion in total assets, and approximately $175.4 billion in total deposits. In order to protect depositors, the FDIC transferred all deposits—both insured and uninsured—and substantially all assets of the former SVB to a full-service FDIC-operated ‘bridge bank,’ Silicon Valley Bridge Bank, N.A.
On March 26, the FDIC entered into a purchase and assumption agreement for all deposits and loans of Silicon Valley Bridge Bank by First-Citizens Bank & Trust Company of Raleigh, North Carolina.
Also on March 12, Signature Bank of New York, New York was closed by the New York State Department of Financial Services, which appointed the FDIC as receiver. To protect depositors, the FDIC transferred all the deposits and substantially all of the assets of Signature Bank to Signature Bridge Bank, N.A., a full-service bank operated by the FDIC as it marketed the institution to potential bidders. At the time of its closing, Signature Bank had 40 branches across the country in New York, California, Connecticut, North Carolina, and Nevada. Depositors and borrowers automatically became customers of Signature Bridge Bank, N.A.
Just one week later, the FDIC entered into a purchase and assumption agreement for substantially all deposits and certain loan portfolios of Signature Bridge Bank by Flagstar Bank, a wholly owned subsidiary of New York Community Bancorp Inc., based in Westbury, New York.
Witnesses who will be speaking before the Senate Banking Committee on the failure of their respective institutions will be Gregory W. Becker, Former CEO of Silicon Valley Bank; Scott A. Shay, Former Chairman and Co-Founder of Signature Bank; and Eric R. Howell, Former President of Signature Bank.
Click here for more information or to register for the Senate Banking Committee’s live hearing “Examining the Failures of Silicon Valley Bank and Signature Bank.”
Here's what else is happening in The Week Ahead:
- REO Connect 2023 (Tuesday-Thursday)
- Fannie Mae's Refinance Application-Level Index (RALI) (Tuesday)
- MBA Weekly Applications Survey (Wednesday)
- House Financial Services Committee: Subcommittee on Financial Institutions and Monetary Policy & Subcommittee on Oversight and Investigations (Wednesday)
- House Financial Services Committee: The Current Mortgage Market: Undermining Housing Affordability with Politics (Wednesday)
- Terner Center for Housing Innovation: Exploring Challenges and Successes of the Emergency Housing Voucher Program: Insights From Public Housing Authorities Webinar (Wednesday)
- Senate Banking Committee: Strengthening Accountability at the Federal Reserve: Lessons and Opportunities for Reform (Wednesday)
- Realtor.com Weekly Housing Market Recap (Wednesday)
- Freddie Mac Primary Mortgage Market Survey (Thursday)
- NAR April Existing-Home Sales Report (Thursday)
- U.S. Department of Labor's Unemployment Insurance Weekly Claims Report (Thursday)
- Appraisal Subcommittee Hearing on Appraisal Bias (Friday)