Saturday, June 17, 2017

The former Seaway Bank still has business

As the formerly Black-owned bank known as Seaway National Bank or Seaway Bank & Trust Company heads into its second month as a division of the North Carolina based Self-Help FCU we see in the news that there is a lawsuit that involved Seaway Bank.

The excerpt is from an article written by Crain's Steve Daniels who covered the many stories regarding the late Seaway Bank.
Seaway Bank & Trust is no more, but its ghost haunts another South Side lender, Urban Partnership Bank.

A lawsuit Seaway filed in early 2016 against UPB after a deal to buy $90 million in mainly South Side mortgages from UPB went sour still is pending despite Seaway's failure earlier this year.

That’s because the Federal Deposit Insurance Corp., which sold off most of Seaway’s assets and liabilities when the bank failed, took over the case and is continuing to press it.

UPB had a deal to sell 849 mortgages to Seaway, going so far as to take a $6.5 million down payment in late 2015. The two banks soon thereafter disagreed on terms, and Seaway backed out. But UPB wouldn't refund the money.
I suggest you read the whole article before coming to your own conclusions.

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