Bank Run 2014 -- FDIC Insured Bank of Albuquerque Preps for Disaster

A 'Bank Run' is a situation that occurs when a large number of bank or other financial institution's customers withdraw their deposits simultaneously due to concerns about the bank's solvency. As more people withdraw their funds, the probability of default increases, thereby prompting more people to withdraw their deposits. In extreme cases, the bank's reserves may not be sufficient to cover the withdrawals. A bank run is typically the result of panic, rather than a true insolvency on the part of the bank; however, the bank does risk default as more and more individuals withdraw funds - what began as panic can turn into a true default situation. Also called a "run."



The FDIC Insured Bank of Albuquerque is prepping for disaster. Kind of an odd thing for a bank to do. You may want to contact your bank and ask if they have similar plans and then perhaps pull your money our before.

SOURCE: https://www.bankofalbuquerque.com/en/...

FULL TEXT:
DISASTER PREPAREDNESS DRILL

February 15 and 16

Recent natural disasters such as the Moore tornado, flooding in Colorado, and Hurricane Sandy have demonstrated to all of us in the banking industry the need to be prepared for unforeseen events. Accordingly, we will be performing a disaster preparedness drill that may impact the availability of some banking systems, including mobile banking, online banking and more.

The drill will begin at 8 p.m. Central Standard Time on Saturday, February 15 and run throughout Sunday, February 16. Our ATM network will be fully operational all weekend for deposits, balance inquiries, and cash withdrawals. ExpressBank will also be available, but will have limited functionality and will likely experience higher than normal call volumes and extended wait times over the course of the weekend.

To minimize impact to you the weekend of the test, you might consider making any transfers, deposits, or online bill payments earlier in the week before the test begins.

Throughout the weekend we will be posting updates on Facebook and Twitter and encourage you to follow us there to stay informed and up-to- date.

This drill is part of our ongoing disaster preparedness efforts to make sure that Bank of Albuquerque is ready to face the worst of what nature has to offer. We apologize for any inconvenience this may cause you, and we appreciate your business. If you have any questions or require additional information, please contact our ExpressBank at (800) 583-0709.

We appreciate your patience and understanding.