Pacific Capital Bancorp Inc. plans to sell its tax division — its most profitable line — after regulators blocked the company from making new tax loans in the coming year.

The $7.9 billion-asset company in Santa Barbara, Calif., announced last week that it has a letter of intent to sell its e-filing financial services division, which offers refund anticipation loans and refund transfer tax products, to an unidentified private-equity firm for an undisclosed amount.

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.