Illinois Shuts Down Metropolitan Capital Bank & Trust in First U.S. Bank Failure of 2026
Chicago’s Metropolitan Capital Bank & Trust became the first U.S. financial institution to collapse this year after the Illinois Department of Financial and Professional Regulation (IDFPR) shuttered it on Friday. The closure stemmed from unsafe banking practices and a critically weakened capital position.
The Federal Deposit Insurance Corporation (FDIC) was appointed receiver and swiftly brokered a Purchase and Assumption Agreement with Detroit-based First Independence Bank. All deposits—except those held by Cede & Co.—will transfer to the assuming institution, with the FDIC continuing full deposit insurance coverage.
Metropolitan’s main office will reopen under First Independence Bank’s branding during normal business hours on Monday. The FDIC’s intervention ensures seamless continuity for depositors, who automatically become clients of the acquiring bank.
