Regulators have strengthened an order against Second Federal Savings and Loan in Chicago, directing the $251 million-asset thrift to hold more capital than usually expected of institutions.

In an amended order dated Oct. 13, the Office of Thrift Supervision said Second Federal must immediately have a leverage ratio of at least 7% and Tier 1 risk-based capital ratio of at least 11%. These targets are higher than the usual thresholds for being considered well capitalized (5% for the leverage ratio and 6% for Tier 1 risk-based capital).

Subscribe Now

Access to authoritative analysis and perspective and our data-driven report series.

14-Day Free Trial

No credit card required. Complete access to articles, breaking news and industry data.