Second Federal Savings Bank

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Second Federal Savings is now a branch of Hinsdale Bank & Trust Company.  Questions, please call 773-277-8500.

What happened?

Second Federal Savings was closed and placed in receivership with the Federal Deposit Insurance Corporation (FDIC). In order to keep the bank open and protect depositors, the FDIC sold the deposits of Second Federal Savings to Hinsdale Bank & Trust Company, part of Wintrust Financial Corporation, a $$16.6 billion financial services company, who took control on Friday,  July 20, 2012.  Only deposit accounts were transferred to Hinsdale Bank & Trust Company.  Those customers with loan accounts should have more information made available to them by the FDIC. 

Second Federal Savings is now a branch of Hinsdale Bank & Trust Company. Hinsdale Bank & Trust Company has banking locations in Clarendon Hills, Downers Grove, Hinsdale, Riverside, Willowbrook and Western Springs. 

Will the name change?

Not in the immediate future. 

Is my money safe?

Yes. Hinsdale Bank & Trust Company is insured by the FDIC, and your deposits at our bank are insured up to the maximum limits allowed by law. You can be confident that insured deposits are safe. FDIC insurance is backed by the Full Faith and Credit of the United States Government. If you would like to check on our FDIC status, our FDIC Certificate number is 33849. For more information, speak to one of our bankers or visit the FDIC website at www.fdic.gov

How will this affect me and my accounts?

For deposit accounts, there is nothing you need to do at this time.  However, loans are being handled by the FDIC and they will provide more information to those customers that had loans with Second Federal.

Some banking system updates will be required in the future. Before any changes are made, we will send you detailed information that will outline everything you need to know. Our goal is to minimize any inconvenience and to provide a high level of service. We are always available to answer your questions.

What happens to the staff at my bank?

You should continue to see many of the same faces that you have worked with at the bank. 

Can I access my accounts and safe deposit box?

Yes. All of your deposit accounts and balances are available to you through your normal channels – checks, ATM, debit card, on-line and in the bank. You can still access your safe deposit box. In addition, unless otherwise posted, bank hours will not be reduced.

Can I continue to use my Second Federal Savings checks, deposit slips and ATM/debit cards?

Yes. You will receive advance communication regarding any future changes.

Will my outstanding checks and debits clear?

Yes. Subject to the balance in your account, the bank will honor all outstanding checks, debits and payments.

What about automatic payments and direct deposit?

All automated payments, ACH transfers and direct deposits will continue without interruption subject to the balance in your account.

What about my mortgage and loans?

Loans are being handled by the FDIC and they will provide more information to those customers that had loans with Second Federal. It is important to continue to make your payments as outlined by the FDIC.  As a branch of Hinsdale Bank & Trust Company, we intend to actively lend to individuals and businesses in the community.

Will my personal Certificates of Deposit (CDs) change? Will the rates change prior to maturity?

For local personal and IRA CDs, the simple answer is NO. These CDs will remain the same until maturity and automatically renew at the Hinsdale Bank & Trust posted rates in effect at maturity. Unless you’re notified, rates will stay the same. 

Will I see any change with my deposit statements?

No. You will continue to receive statements for your deposit accounts. 

Can I bank at the other Hinsdale Bank & Trust Company locations?

Not yet. We will add that capability in the near future. We also anticipate making the Hinsdale Bank & Trust Company and other Wintrust community bank ATMs available to Second Federal deposit customers. You will then have more convenient options to access cash and banking services.

You bought my failed bank, is this bank at risk of failure?

No. Hinsdale Bank & Trust Company is well-capitalized based on all standard ratios used within the industry and by regulatory agencies.

Capital serves as a “buffer” against any losses and is an indicator of financial health. As of June 30, 2012, Hinsdale Bank & Trust Company’s estimated Capital Ratios are – 

  • Tier 1 Leverage Ratio – 9.51% (regulatory requirements – 5.00%)
  • Tier 1 risk-based capital ratio – 10.53% (regulatory requirements – 6.00%)
  • Total risk-based capital ratio – 11.30% (regulatory requirements – 10.00%)

What are the limits for insured deposits?

All FDIC-insured deposits, including checking, NOW, savings and money market accounts, as well as certificates of deposit, are insured up to the following legal limits for each unaffiliated financial institution: $$250,000 per person, $$500,000 per joint account, $$250,000 for most retirement accounts, such as Individual Retirement Accounts.

If you have deposits at both Second Federal Savings and Hinsdale Bank & Trust Company (or one of its branches), your accounts will continue to be covered separately at both banks up to the limits and time allowed by FDIC rules.  

The FDIC has a calculator on-line at www.fdic.gov/edie if you want to check the insurance status of your accounts. Our personal bankers will be happy to walk through that calculator with you. 

What accounts are not insured by the FDIC?

The FDIC does not insure the money you invest in stocks, bonds, mutual funds, life insurance policies, annuities, or municipal securities, even if you purchased these products from an FDIC-insured bank. 

How can I verify that my bank accounts are insured and that my money is safe?

If you have any questions as to what types of accounts are insured by the FDIC, you can obtain more information at:  

www.fdic.gov. There are also publications from the FDIC – “Insuring Your Deposits” and “Your Insured Deposits” that you can download from the FDIC web site. 

If you want to calculate your own insurance coverage for the deposits held by our bank or any other financial institution, you can use the FDIC’s online “Electronic Deposit Insurance Estimator” at www.fdic.gov/edie. You also can speak directly with an FDIC specialist by calling 1-877-ASK-FDIC. Our staff is always available to help as well. 

What if some of my deposits at this bank are not FDIC insured?

If you find that some of your deposits are not fully insured, we may be able to offer alternatives. Please feel free to speak with a banker for more information.

We also have a program, MaxSafe, that provides up to $$3.75 million in FDIC coverage by spreading your money across 15 Wintrust affiliated banks. Please ask a banker for more information about MaxSafe.

Aren’t you owned by a holding company? How are they doing?

Yes. We are owned by Wintrust Financial Corporation, a $$16.6 billion financial services company with 15 individually chartered banks, more than 100 locations, and a dozen other specialty finance and wealth management companies.  

Wintrust is profitable, well-capitalized and has paid back the investment it received from the TARP program facilitated by the United States Government (December 2010). Wintrust is publicly traded on NASDAQ under the symbol WTFC. If you’d like more information about Wintrust, we can give you a copy of the annual report or you can visit the web site at www.wintrust.com for the annual report and recent earnings information.

As of June 30, 2012, Wintrust’s estimated Capital Ratios are – 

  • Tier 1 Leverage Ratio – 10.2% (regulatory requirements – 5.00%)
  • Tier 1 risk-based capital ratio – 12.4% (regulatory requirements – 6.00%)
  • Total risk-based capital ratio – 13.5% (regulatory requirements – 10.00%)

What about the other banks in the group, are they all well-capitalized?

Yes. Hinsdale Bank & Trust Company and all 15 Wintrust banks are well-capitalized based on all standard ratios used within the industry and by regulatory agencies. 

Are deposits in all the Wintrust banks insured by the FDIC?

Yes, all Wintrust banks are members of the FDIC and their deposits are insured by the FDIC.