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Habersham Bank seized by regulators
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One of the oldest financial institutions in Northeast Georgia, Habersham Bank, was seized Friday by federal regulators.

The bank was founded in 1904 in Clarkesville and operates eight branches, including ones in Clarkesville, Flowery Branch, Cleveland and Cornelia, according to the bank's website.

Assets from the failed bank were taken over at 5 p.m. by the Orangeburg, S.C.-based SCBT National Association, according to the Federal Deposit Insurance Corp.

Habersham Bank branches will reopen Saturday during normal businesses hours as branches of Habersham Bank, a division of SCBT. Employees from SCBT will be on hand to help in the transition, according to an SCBT release.

SCBT is the same bank that acquired Cornelia-based Community Bank & Trust last year.

Depositors at Habersham Bank are now depositors of SCBT and will be able to access their money through checks, online banking or ATM and debit cards.

All deposits are secure and insured by the FDIC, according to an FDIC official.

"There are no concerns whatsoever from a depositors perspective," said Michele Heller, FDIC spokeswoman. "... This bank is acquiring all deposits of this institution. So depositors will be insured. All of their money is safe."

As of Dec. 31, Habersham Bank had approximately $388 million in total assets, of which $340 million was in deposits.

Also as part of the agreement, the FDIC and SCBT will share the bank's debt of $270.7 million.

Habersham Bank is the fifth FDIC-insured bank to fail this year in Georgia and the 19th in the nation.

Customers who have questions can call the FDIC at 866-806-6128.

 

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