The Board of Governors of the Federal Reserve have ordered the NBRS Financial, based in the northeastern Maryland community of Rising Sun to find a buyer or take other steps to boost capital in the next 60 days after it failed to come up with a plan.
The bank was formerly known as the National Bank of Rising Sun. The bank is barred from accepting new depositors, renewing certificates of deposit at above-market rates for the area, or making asset sales without the permission of the Federal Reserve. The bank had been under scrutiny from federal and state regulators.
NBRS has struggled with loans for a several years and is now being led by an acting president.
The other locally owned bank in Cecil County, Cecil Bank, based in Elkton, has also been under close scrutiny by the Federal Reserve Bank of Richmond and state regulators as it works to build up its capital. That bank also underwent a change in leadership.
Founded in 1873 and originally chartered as The Evans and Wood Bank, The National Bank of Rising Sun charter was organized in 1880.
The name remained the same until a state charter was applied for and approved in June 2002, when the institution became NBRS Financial.
NBRS Financial is one of only two banks in the state of Maryland to stay open and solvent during the years of the Great Depression.
More than 100 years after its original charter, NBRS Financial opened its first branch in Havre de Grace, Maryland.
Since 1999, NBRS Financial has expanded to with six branches in Rising Sun, Conowingo, Havre de Grace, Aberdeen, Elkton and Peach Bottom, Pa
Click on the link below for a copy of the order:
