The First Bank Closure Of 2026 Is Costing A Ton Of Money

In an era where major stores are closing locations all over the country, even sizable financial institutions aren't safe from shifting economic tides. On January 30, 2026, the Illinois Department of Financial & Professional Regulation (IDFRP) announced it was closing Chicago's Metropolitan Capital Bank & Trust — marking 2026's first bank failure.

The Federal Deposit Insurance Corporation (FDIC) has taken over Metropolitan Capital's operations short term, and estimates that the failure could cost its Deposit Insurance Fund upwards of $19.7 million. That figure could fluctuate in the coming months as the FDIC sells off more of Metropolitan Capital's assets, though Michigan-based First Independence Bank has already agreed to take on much of the failed bank's — and its customers' — financial holdings.

The FDIC also reported that Metropolitan Capital was sitting on assets worth around $261.1 million, as of September 2025. A separate FDIC report revealed that the company's liabilities at the time had accumulated to nearly $257 million — an significant increase from the previous quarter. While some banks may be experiencing $10.9 billion bank mergers, many others are likely struggling — meaning this probably won't be the last bank to fail in 2026.

The broader implications of Metropolitan Capital's failure don't leave much room for optimism. Only two banks failed in 2025, and the fact that 2026 couldn't make it a full month without a closure doesn't exactly suggest the industry's on a path to higher levels of viability. However, the good news is that Metropolitan Capital's existing depositors — mainly commercial and investment clients — don't have much to worry about despite the major announcement. 

In a statement published by the State of Illinois, Acting Director of the IDFPR's Division of Banking, Susana Soriano, stated, "We want to be clear that no depositor will lose any money as a result of this action. [...] First Independence Bank is well-positioned to continue essential banking services for Metropolitan Capital Bank & Trust customers." Indeed, the FDIC has even assured Metropolitan Capital members that they can access their money and pay off debt as usual. The bank was expected to reopen under the First Independence name on February 2. Seeing as the average American has $16,000 in their checking account, this is surely a relief for consumers.