State bank Hear it!

State bank Definition

☆ State bank

noun

a bank chartered by a state of the U.S. and subject to its regulations

state bank Finance Definition
A bank that is organized under state laws, not federal laws. State banks have their deposits guaranteed by the Federal Deposit Insurance Corporation (FDIC), and have the option of joining the Federal Reserve System. If they don’t use that option, they still can purchase services from the Fed, such as check processing and clearing. For a consumer, there is little detectable difference between a state-chartered bank and a federally chartered bank.