Nano Banc of Irvine, California, closed; Sunwest Bank assumes all deposits
The FDIC said depositors keep insured access to their money after the state closed the $736 million bank and Sunwest Bank agreed to take over.
What we know
- The California Department of Financial Protection and Innovation closed Nano Banc of Irvine on September 25, 2026, and appointed the FDIC as receiver. [1] [2]
- Sunwest Bank of Sandy, Utah agreed to assume substantially all deposits and buy about $476 million of the failed bank's assets. [2]
- Nano Banc's sole branch is scheduled to reopen as a Sunwest Bank branch on Monday, September 28, 2026. [2]
- The FDIC preliminarily estimates the failure will cost its Deposit Insurance Fund about $114 million. [2]
- Not yet confirmed: The FDIC did not say why the state closed Nano Banc. It said its $114 million cost estimate is preliminary and is expected to change as the assets it is keeping are sold.
Nano Banc, based in Irvine, California, was closed on Friday by the California Department of Financial Protection and Innovation, the Federal Deposit Insurance Corporation said in a post on X and a press release. The state agency appointed the FDIC as receiver. [1][2]
The FDIC said it entered into a purchase and assumption agreement with Sunwest Bank of Sandy, Utah. Under the deal, Sunwest will assume substantially all of Nano Banc's deposits and acquire certain of its assets. [2]
As of June 30, 2026, Nano Banc reported total assets of $736 million and total deposits of $686 million, according to the FDIC. Sunwest will buy about $476 million of the failed bank's assets. The FDIC will keep the remaining assets and sell them later. [2]
The FDIC said Nano Banc's only branch will reopen as a Sunwest Bank branch during normal business hours on Monday, September 28, 2026. Depositors will automatically become Sunwest customers, and their deposits will remain FDIC-insured. The agency said customers do not need to change banks. [2]
The FDIC said customers have immediate access to their money. Over the weekend, they can write checks or use ATM or debit cards. Checks drawn on Nano Banc will keep being processed, and borrowers should keep making loan payments as usual, the agency said. [2]
The FDIC said it preliminarily estimates the failure will cost its Deposit Insurance Fund about $114 million. It said the figure is expected to change over time as retained assets are sold. Customers with questions can call the FDIC toll-free at 1-866-314-1744. [2]