Robert Barba and Marissa Fajt report in the American Banker:

“The Federal Deposit Insurance Corp. dusted off a tool it had not used in more than a quarter century to resolve New Frontier Bank in Greeley, Colo., which failed Friday.

After no buyer emerged for the $2 billion-asset New Frontier, the FDIC established a deposit insurance national bank — a last resort in which the Deposit Insurance Fund sidesteps a mass payout by giving the failed institution’s depositors 30 days to shop for a new bank.”

Maybe we should try something like that with Citi or B of A.