Palatka's Bank Under the Water

Palatka's First Federal hit with regulatory order
First Federal Bank of North Florida, based in Palatka, was ordered by the Office of Thrift Supervision to merge or be acquired by another bank within 20 days. The order was issued on March 1.

Regulators say the bank is undercapitalized and that action is needed to resolve problems at the least-possible loss to the FDIC's deposit insurance fund.

First Federal was founded in 1922 as the Palatka Building and Loan Association. Outside of Palatka Florida, the bank has branches in St. Augustine, Hastings, Welaka, Interlachen and Crescent City.