KANZA Bank’s Statement on Bank Closures in California and New York
Wichita, KS (March 13, 2023) - KANZA Bank remains financially strong and stable. Customer accounts are safe and secure. We take pride in our strong relationships with our customers and are invested in the economic growth and prosperity of the areas we serve.
KANZA Bank maintains strong capital levels and strong levels of loan loss reserve, allowing us to successfully withstand economic shocks. Our history of strong liquidity means we will continue to have the funds to meet the needs of our customers.
The recent bank closures in California and New York are outliers and are not reflective of the norm for community banks across the United States and Kansas. The California bank had significant concentrations of tech and venture capital clients while the New York bank had a significant concentration of cryptocurrency clients – KANZA Bank is well diversified. The recent closures are the first bank closures in nearly three years, which is a testament to the resiliency of banks and their ability to support the economy and the communities they serve.
The Federal Deposit Insurance Corporation (FDIC) insures funds in bank deposit accounts up to $250,000. FDIC insurance is not funded by taxpayer dollars but is funded by premiums paid by the banking industry. The Federal Reserve and the FDIC have taken additional steps to ensure that the U.S. banking system continues to perform its vital roles of protecting deposits and providing access to credit to households and businesses in a manner that promotes strong and sustainable economic growth. Customers can calculate their FDIC Insurance by using the FDIC’s online calculator at https://edie.fdic.gov/calculator.html or by stopping by one of our branches.