Bank regulators on Friday closed the Waukegan Savings Bank in the far North suburb.
Two branches are re-opening as First Midwest Bank.
Customers will automatically be switched over with deposits still insured by the Federal Deposit Insurance Corp.
Waukegan savings bank is the sixth bank to fail in Illinois this year, and the 40th bank to fail in the U.S.
More than 450 U.S. banks have collapsed since 2008 in the aftermath of the housing market's bust and ensuing recession.
Last year, there were 92 failures, down from the 157 banks that failed in 2010.Copyright © 2014, Los Angeles Times