CIT Bank is owned by CIT Group, a publicly traded financial services company

CIT Bank is a subsidiary of CIT Group, Inc., which trades on the New York Stock Exchange under the ticker symbol CIT. CIT Group is a holding company that owns and operates CIT Bank as well as other financial businesses. The bank itself does not have a single owner — it is owned by the thousands of shareholders who hold stock in CIT Group's parent company.

CIT Group was founded in 1908 and has operated as a diversified financial services company for over a century. Today, CIT Bank operates primarily as an online bank, offering deposit products like savings accounts, money market accounts, and certificates of deposit (CDs). The bank is regulated by the Office of the Comptroller of the Currency (OCC) and is a member of the Federal Deposit Insurance Corporation (FDIC).

Understanding who owns CIT Bank matters because it tells you who is responsible for the bank's operations and who stands behind your deposits. As a subsidiary of a publicly traded company, CIT Bank must meet strict regulatory standards and financial reporting requirements.

Key Takeaways

  • CIT Bank is owned by CIT Group, Inc., a publicly traded company whose shares are held by individual and institutional investors.
  • Your deposits at CIT Bank are insured by the FDIC up to $250,000 per account category, regardless of who owns the parent company.
  • CIT Group's financial health and regulatory standing affect the bank's ability to operate, but FDIC insurance protects your money if the bank fails.
  • CIT Bank has been operating since 1908 and is regulated by the Office of the Comptroller of the Currency, a federal banking regulator.

How CIT Group's ownership structure works

CIT Group is a publicly traded holding company, which means its shares are bought and sold on the open market. When you buy CIT Group stock, you own a small piece of the company and all of its subsidiaries, including CIT Bank. Institutional investors like mutual funds, pension funds, and insurance companies typically hold the largest stakes, but individual investors can also own shares.

The company is governed by a board of directors elected by shareholders. This board hires a chief executive officer and senior management team to run the day-to-day operations of CIT Bank and other business units. The board is responsible for ensuring the company operates legally and in the shareholders' interest.

CIT Group's ownership structure is common among large financial institutions. The parent company raises capital by issuing stock and debt, which it then uses to fund its subsidiaries' operations and growth. CIT Bank, as the main deposit-taking subsidiary, collects customer deposits and uses that money to make loans and invest in securities.

FDIC insurance protects your money regardless of ownership

The most important fact for your account is that FDIC insurance does not depend on who owns the bank. Your deposits at CIT Bank are insured up to $250,000 per account category by the Federal Deposit Insurance Corporation. This protection applies whether the bank is owned by a large holding company, a private investor, or a mutual company.

If CIT Bank were to fail, the FDIC would step in and either transfer your deposits to another bank or pay you directly up to the $250,000 limit. This has happened to hundreds of banks over the decades, and depositors have been made whole. The FDIC maintains a reserve fund specifically for this purpose, funded by insurance premiums paid by member banks.

Your account category matters for insurance purposes. A savings account, a money market account, and a CD at the same bank are each insured separately up to $250,000. If you have $250,000 in a savings account and $250,000 in a CD at CIT Bank, both are fully insured. Joint accounts are also insured separately, with each account holder covered up to $250,000.

CIT Group's financial performance and regulatory standing

CIT Group is a large financial services company with assets in the tens of billions of dollars. The company reports its financial results quarterly to the Securities and Exchange Commission (SEC), and this information is public. You can review CIT Group's financial statements, earnings reports, and regulatory filings on the SEC's website or on CIT Group's investor relations page.

The bank is also subject to regular examination by the OCC, which is part of the U.S. Department of the Treasury. The OCC conducts on-site inspections, reviews the bank's lending practices, capital levels, and risk management, and issues ratings based on its findings. These examinations are designed to ensure the bank operates safely and soundly.

CIT Group has weathered significant challenges in the past, including the 2008 financial crisis, but has remained in operation and continued to serve customers. The company's ability to raise capital, manage risk, and comply with regulations directly affects its long-term viability and the stability of CIT Bank.

What changed when CIT Group restructured

CIT Group has undergone significant changes over the years, including bankruptcy and restructuring. In 2009, during the financial crisis, CIT Group filed for bankruptcy protection but emerged later that year after a restructuring. This event did not affect customer deposits because of FDIC insurance, but it did result in changes to the company's ownership structure and operations.

After the restructuring, CIT Group refocused its business on core lending and deposit-taking activities. CIT Bank emerged as the primary consumer banking subsidiary, offering online deposit products. The company sold off or closed other business units that were not core to its strategy.

These changes are part of normal business evolution in the financial services industry. Companies restructure, sell divisions, and refocus on profitable areas. What matters for your account is that CIT Bank continues to operate as an FDIC-insured bank and meets all regulatory requirements.

How to verify CIT Bank's regulatory status

You can verify that CIT Bank is a legitimate, regulated bank by checking the FDIC's official bank search tool at fdic.gov/BankFind. Enter "CIT Bank" and you will see the bank's charter number, the date it was established, its regulatory agency (the OCC), and its current insurance status. This tool shows only banks that are currently insured by the FDIC.

You can also search for CIT Bank on the OCC's website to view its regulatory examination reports and ratings. The OCC publishes summary information about banks it supervises, though detailed examination reports are not always public. CIT Group's financial reports are available on the SEC's EDGAR database and on CIT Group's investor relations website.

If you ever have questions about whether your deposits are insured, you can contact the FDIC directly at 1-877-ASK-FDIC or use their online insurance coverage calculator. The FDIC can tell you exactly how much of your money is covered based on your account structure.

Frequently Asked Questions

If CIT Group goes bankrupt again, will I lose my money in CIT Bank?

No. FDIC insurance protects your deposits up to $250,000 per account category, regardless of what happens to the parent company. If CIT Bank fails, the FDIC will either move your deposits to another bank or pay you directly. This protection has been in place since 1933 and has protected depositors through multiple financial crises.

Can CIT Group sell CIT Bank to another company?

Yes, CIT Group could sell CIT Bank to another company. If that happened, your deposits would still be FDIC-insured and your account would continue to operate under the new owner. The new owner would be required to maintain the same regulatory standards and insurance coverage. You would be notified of any ownership change.

Who do I contact if I have a problem with my CIT Bank account?

Contact CIT Bank's customer service directly through their website or phone number. If you are not satisfied with CIT Bank's response, you can file a complaint with the OCC, which regulates the bank. The OCC has a complaint process for consumers who believe a bank has treated them unfairly.

Does CIT Group's stock price affect my account?

No. Your deposits are insured by the FDIC and are not affected by changes in CIT Group's stock price. Even if the stock price falls, your account balance and FDIC insurance remain unchanged. The stock price reflects investor expectations about the company's future profitability, not the safety of customer deposits.

Is CIT Bank the same as Citibank?

No. CIT Bank and Citibank are separate companies. Citibank is owned by Citigroup, Inc. CIT Bank is owned by CIT Group, Inc. They are unrelated companies with different ownership, management, and operations. Both are FDIC-insured banks, but they are distinct institutions.