WASHINGTON, D.C. (BNO NEWS) — Federal regulators on Friday closed American National Bank in Wilmington, Ohio, marking the 31st bank failure of 2010.

The American National Bank was closed by the Office of the Comptroller of the Currency after its regular closing time on Friday. The Federal Deposit Insurance Corporation (FDIC) was appointed as receiver following its closure, who immediately entered into a purchase and assumption agreement with The National Bank and Trust Company in Wilmington to assume all of the failed bank’s deposits.

Most, if not all customers, should see no or little service disruptions despite the closure of the institution. On Monday, the sole branch of the bank will reopen during its normal business hours as branches of The National Bank and Trust Company.

All of the failed bank’s services, including checks, ATM and debit cards, will remain active. “Checks drawn on the bank will continue to be processed,” the FDIC said in a statement. “Loan customers should continue to make their payments as usual.”

As of December 31, 2009, the American National Bank had approximately $70.3 million in total assets and $66.8 million in total deposits. The National Bank and Trust Company did not pay the FDIC a premium to assume all of the bank’s deposits, the FDIC said. “In addition to assuming all of the deposits of the failed bank, Home Bank agreed to purchase essentially all of the failed bank’s assets.”

The FDIC and The National Bank and Trust Company entered into a loss-share transaction on approximately $49.8 million of American National Bank’s assets. The National Bank and Trust Company will share in the losses on the asset pools covered under the loss-share agreement. The loss-share transaction is projected to maximize returns on the assets covered by keeping them in the private sector. The transaction also is expected to minimize disruptions for loan customers.

The FDIC said it estimates that the cost to the Deposit Insurance Fund (DIF) will be $17.1 million. It said The National Bank and Trust Company’s acquisition of the deposits was the “least costly” resolution compared to other alternatives.

Friday’s closure was not only the 31st U.S. bank failure of 2010 but was also Ohio’s first bank failure since late 2009. Regulators last closed the AmTrust Bank in Cleveland on December 4, 2009.

Customers who have questions about the transaction can call the FDIC toll-free at 1-800-823-3215. The phone number will be operational on Friday until 9:00 p.m., Eastern Daylight Time (EDT); on Saturday from 9:00 a.m. to 6:00 p.m., EDT; on Sunday from noon to 6:00 p.m., EDT; and thereafter from 8:00 a.m. to 8:00 p.m., EDT.