A regional bank with a broader customer reach
Valley National Bank is an active national bank recorded in Passaic, New Jersey, with FDIC certificate 9396 and charter number 15790. It ranks 44th in this series’ fixed June 30, 2026 inventory of domestic insured banks and savings institutions. The October 2 FDIC institution index, checked October 5, supports its legal identity and active status; asset rank is not a measure of financial strength. [1][3]
Valley National Bancorp, traded under VLY, is the separate holding company. A September 28 announcement describes its principal bank subsidiary as having more than 220 branches and commercial offices across eight states while serving clients nationwide. Its range spans consumer banking, commercial lending and wealth services. The parent’s consolidated financial results and the insured bank’s regulatory report cover different reporting entities. [4][5]
The June bank balance sheet
The insured bank reported the following June 30, 2026 balances. Figures are rounded from FDIC amounts in thousands of U.S. dollars. Net loans and leases are a balance-sheet measure after the applicable allowance, and net income covers the first six months, not the second quarter alone. [2]
Net loans were approximately 95.5% of bank deposits, calculated from the reported balances. This gives context to the importance of deposit generation, but does not establish adequacy: cash, securities, deposit concentration, maturities and contingent borrowing capacity also matter. The parent separately reported $66.318 billion of assets and $54.119 billion of deposits. Those figures should not be substituted for the bank values below. [2][4]
Scroll horizontally to see all columns.
| Bank measure | June 30, 2026 value |
|---|---|
| Assets | $66.228 billion |
| Deposits | $54.339 billion |
| Net loans and leases | $51.886 billion |
| Equity capital | $8.384 billion |
| Net income, six months ended June 30 | $349.4 million |
Commercial real estate remains central despite a changing mix
At the parent level, total loans reached $52.467 billion at June 30. Commercial real estate, including construction and owner-occupied property, accounted for $30.349 billion, or about 57.8% calculated from the disclosed balances. Commercial and industrial loans were $11.961 billion, residential mortgages $5.983 billion and consumer loans $4.174 billion. The consumer book included $2.150 billion of automobile loans. [4]
The commercial-property book was not moving uniformly. Non-owner-occupied loans declined by $357.2 million during the quarter as targeted runoff exceeded limited new originations. Owner-occupied and selected multifamily originations contributed to overall property-loan growth; management identified healthcare borrowers as an important source of owner-occupied demand. A building used by the borrowing business has a different repayment relationship from investment property supported primarily by rent, although both remain exposed to collateral values and refinancing conditions. [4]
Valley’s disclosed CRE concentration ratio fell to about 317% from 329%. That company-defined ratio excludes owner-occupied loans and divides the remaining relevant CRE balances by total risk-based capital. Management attributed the decline largely to organic capital accretion and a $200 million increase in Tier 2 capital. A lower concentration ratio therefore did not mean total commercial-property loans fell. [4]
Deposit growth has a price and a composition
Parent deposits grew by $1.3 billion during the second quarter. Time deposits increased by $1.5 billion and non-interest-bearing deposits by $298.6 million, partly offset by a $506.1 million decline in savings, NOW and money-market balances. Indirect customer deposits, consisting of brokered time and money-market deposits, reached $5.3 billion. Approximately 23% of total deposits were non-interest-bearing and 24% were time deposits. [4]
This mix explains why deposit growth and funding-cost relief are separate questions. Retail certificates can add funding while creating scheduled repricing dates; commercial operating accounts can support deeper relationships but still move with a customer’s cash needs. Valley’s average total deposit cost was 2.28%, slightly above 2.27% in the first quarter but below 2.67% a year earlier. The release supports those historical comparisons, not a guarantee that new balances will persist. [4]
Tax-equivalent net interest margin increased to 3.20% from 3.17% sequentially, while reported margin was 3.19%. Management linked the improvement to higher loan balances and yields on new lending and purchased securities, with some offset from funding and subordinated-debt costs. Tax-equivalent presentation adjusts for tax-exempt income and is distinct from the reported measure. [4]
Earnings improved while problem-loan indicators rose
Valley National Bancorp reported second-quarter net income of $170.9 million, compared with $163.9 million in the first quarter and $133.2 million a year earlier. Yet non-accrual loans rose to $462.6 million, or 0.88% of loans, from $432.6 million and 0.85% in March. Accruing loans at least 30 days past due increased to $180.2 million from $127.9 million. Better earnings therefore coexisted with deterioration in some credit indicators. [4]
Three commercial-property loans migrating into non-accrual status were the main explanation for that increase. They totaled $49.6 million after $1.3 million of partial . Quarterly net loan charge-offs were $22.0 million, up from $17.5 million sequentially but below $37.8 million a year earlier. , non-accrual status and charge-offs describe different stages of credit stress; a change in one cannot be treated as a complete measure of the others. [4]
Parent capital was 10.71% at June 30, compared with 10.91% in March. That is a risk-weighted regulatory capital ratio, not the share of deposits covered by cash. Together, loan migration, realized losses, lending growth and capital composition provide a more informative picture than any single ratio. These are dated parent observations, not a current supervisory assessment of the bank. [4]
Fees and operating changes sit alongside the lending business
Non-interest income was $73.7 million in the second quarter, up $4.9 million sequentially. Capital-markets and wealth-management/trust fees contributed to the increase; management cited loan participations and syndications and tax-credit advisory activity. These services provide revenue beyond the spread between loan yields and funding cost, while retaining sensitivity to customer transactions and market activity. [4]
Non-interest expense increased to $311.1 million. Higher professional, consulting and managed-services costs tied to operational transformation were partly offset by lower compensation expense. The release describes resource reallocation and technology spending, but does not demonstrate completed productivity gains or lower operational risk. Digital modernization can change both cost structure and service delivery, making implementation results more important than the stated program alone. [4]
The proposed Bluevine deal connects funding with technology
On September 28, Valley National Bancorp agreed to acquire Bluevine Inc. for approximately $340 million, expected to comprise 75% cash and 25% Valley common stock, subject to contractual adjustments. Closing was expected in early 2027, with regulatory approvals and other conditions outstanding. This profile treats it as a proposed transaction as of October 5, not a completed acquisition. [5]
The announcement identifies $2.1 billion of platform-generated deposits, approximately 175,000 active small-business customers as of June 2026, and roughly 180 research-and-development professionals and engineers. About 99% of the deposits were described as coming from non-borrowers. These are the companies’ disclosed platform metrics. They are not an additional $2.1 billion already included in Valley’s June deposit growth. Bluevine is a fintech rather than a bank; the announcement identifies Coastal Community Bank as its banking-services provider. [5]
The strategic logic is to pair Valley’s balance sheet and broader services with a nationwide digital customer-acquisition channel. The companies forecast roughly 8% accretion to estimated 2028 earnings per share, including synergies, and approximately 5% tangible-book-value dilution at closing. Those are forward-looking deal assumptions. Deposit retention, integration cost, customer migration and delivery of the technology plan could materially change the result. [5]
The evidence boundary
This profile combines a June insured-bank snapshot, the parent’s July quarterly release and a September proposed transaction. It does not collapse those reporting dates or entities into one current balance sheet. The later acquisition announcement establishes intent and disclosed terms, while the June financial statements establish historical actuals.
Subsequent quarterly disclosures and transaction updates would clarify the persistence of commercial deposit inflows, performance of the changing property-loan mix, credit migration and acquisition status. No confidential examination findings, comprehensive litigation review, guaranteed deposit retention or completed Bluevine integration is implied.
Sources
- FDIC institutions: legal identity and active status; October 2 index reviewed October 5, 2026Official sourceBack to text: ↑
- FDIC bank financials: June 30, 2026; dollar amounts reported in thousandsOfficial sourceBack to text: ↑1↑2
- FDIC June 30, 2026 asset inventory; domestic charter classes selected for this seriesOfficial sourceBack to text: ↑
- Valley National Bancorp: second-quarter 2026 results, July 23, 2026SourceBack to text: ↑1↑2↑3↑4↑5↑6↑7↑8↑9↑10↑11↑12↑13↑14
- Valley National Bancorp and Bluevine: proposed acquisition announcement, September 28, 2026SourceBack to text: ↑1↑2↑3↑4↑5