BUSINESS + ECONOMY

Zions Bank reaching out to consumers to assure trustworthiness

Mar 13, 2023, 1:34 PM | Updated: Mar 15, 2023, 9:49 am

Zions Bank corporation's new tech campus...

Zions Bancorporation held a ribbon-cutting opening ceremony for its new technology campus in Midvale. Photo credit: Zions Bancorporation.

🔊 Sound up for live interview at 10:05 with Zions Bankcorporation’s Chairman and CEO, Harris Simmons. 👇
 

 

SALT LAKE CITY — Zions Bank reached out to their clients on Monday to reassure them in light of two recent bank failures.

Recently, the Silicon Valley Bank collapsed due to not having enough funds to pay depositors, resulting in the closure of the bank. Shortly after, Signature Bank, in New York City also closed its doors.

“As you undoubtedly know, the past few days have been stressful and highly eventful in the banking world,” began Zions Bank’s statement to its customers. 

“The failure of two large banks, Silicon Valley Bank (SVB) in Santa Clara, California, and Signature Bank, in New York City, have rattled the markets as well as many people’s nerves,” the statement continued. 

Zions wrote that both banks have characteristics that made them unstable including rising interest rates.

Setting the bank apart

Additionally, one thing that leaders at Zions Bank say sets them apart is their deposits.

In comparison, Zions holds depositors’ money in 1.4 million accounts. Silicon Valley Bank was about 22 times the size of the average balance in a Zions account. 

According to the statement from Zions Bank, these accounts “overwhelmingly tend to be smaller in size and operational in nature.”

Consequently,  Silicon Valley Bank is allegedly more susceptible to outflows they experienced last week. 

President and CEO of Zions Bank, Scott Anderson President turned consumers’ attention to an analyst at Bloomberg. According to Anderson, the analyst wrote, “In the wake of SVB and Signature’s swift demise, it’s important to view deposit granularity, or having lower balances per deposit, as a sign of more funding stability, with Zions and Regions leading peers on this measure.”

Anderson went on highlight Zions’ available liquidity. More specifically, he said the bank has access to tens of billions of dollars of readily available with no need to sell securities. 

Finally, Anderson thanked those who Bank with Zions Bank saying, “We appreciate the longstanding relationships we’ve built with such a large number of families, small and medium-sized businesses, and many others like you over our 150-year history.  

Related reading:

We want to hear from you.

Have a story idea or tip? Send it to the KSL NewsRadio team here.

Business + Economy

Ahead of the NHL to Utah party on Wednesday, Utahns crowded the plaza of the Delta Center and waite...

Simone Seikaly, Eric Cabrera, Emma Keddington, Adam Small

Utahns showing up for the NHL in Utah

Ahead of the NHL to Utah party, Utahns crowded the plaza of the Delta Center and waited in long lines for the party to start.

13 hours ago

ftc building shown, a new rule would bar noncompete agreements for most...

CHRISTOPHER RUGABER AP Economics Writer

New federal rule would bar ‘noncompete’ agreements for most employees

The Federal Trade Commission voted Tuesday 3-2 to ban measures known as noncompete agreements.

23 hours ago

A photovoltaic panel shines in the sun at the Appaloosa Solar 1 project near Cedar City. Rocky Moun...

Derrick Jones

Rocky Mountain Power withdraws from renewable energy partnership

Rocky Mountain Power has pulled out of a partnership with many Utah communities whose goal is to use 100% renewable energy by 2030.

23 hours ago

The Delta Center ice prior to Ryan Smith, co-founder and chairman of Smith Entertainment Group, Ash...

Heather Peterson

NHL expected to bring new customers to downtown Salt Lake City businesses

With a new National Hockey League team coming to town, the downtown economy is expecting a boost in profits. 

1 day ago

ftc building shown, a new rule would bar noncompete agreements for most...

CHRISTOPHER RUGABER, Associated Press

New federal rule would bar ‘noncompete’ agreements for most employees

FTC officials asserted that noncompete agreements harm workers by reducing their ability to switch jobs for higher pay.

2 days ago

FILE: Mountain America Credit Union 660 South. 200 East, in Salt Lake City. A new report from USA T...

Don Brinkerhoff

Utah-based credit union named a top five large business employer

Mountain America Credit Union employees helped land the company among the top five large businesses in America.

2 days ago

Sponsored Articles

a doctor putting her hand on the chest of her patient...

Intermountain Health

Intermountain nurse-midwives launch new gynecology access clinic

An access clinic launched by Intermountain nurse-midwives provides women with comprehensive gynecology care.

Young couple hugging while a realtor in a suit hands them keys in a new home...

Utah Association of Realtors

Buying a home this spring? Avoid these 5 costly pitfalls

By avoiding these pitfalls when buying a home this spring, you can ensure your investment will be long-lasting and secure.

a person dressed up as a nordic viking in a dragon boat resembling the bear lake monster...

Bear Lake Convention and Visitors Bureau

The Legend of the Bear Lake Monster

The Bear Lake monster has captivated people in the region for centuries, with tales that range from the believable to the bizarre.

...

Live Nation Concerts

All the artists coming to Utah First Credit Union Amphitheatre (formerly USANA Amp) this summer

Summer concerts are more than just entertainment; they’re a celebration of life, love, and connection.

Mother and cute toddler child in a little fancy wooden cottage, reading a book, drinking tea and en...

Visit Bear Lake

How to find the best winter lodging in Bear Lake, Utah

Winter lodging in Bear Lake can be more limited than in the summer, but with some careful planning you can easily book your next winter trip.

Happy family in winter clothing at the ski resort, winter time, watching at mountains in front of t...

Visit Bear Lake

Ski more for less: Affordable ski resorts near Bear Lake, Utah

Plan your perfect ski getaway in Bear Lake this winter, with pristine slopes, affordable tickets, and breathtaking scenery.

Zions Bank reaching out to consumers to assure trustworthiness