Bill Dawson, a partner in Deloitte's restructuring services practice, said: "Bank has struggled in a highly competitive segment of the retail industry and has been loss-making for a number of years."
He added that additional sale discounts will be implemented later this week.
"The company has already been approached by several parties who have expressed an interest in the business and the administrators are trading as a going concern with a view to progressing these options and seeking further interested parties for some or all of the business."
Bank was founded by Andy Scott - a former Macclesfield Town footballer - in 1994 and largely sells branded fashion items aimed at the youth market.
JD bought the chain from private equity owners Phoenix Equity Partners and management for £18.5 million in 2007.
In November it disposed of the business to HMV owner Hilco, a retail turnaround business, under terms which were not disclosed.
JD's fashion division, which includes the more successful Scotts brand, recently slumped to a half-year loss of £8.2 million despite continued efforts to revive Bank, including through the appointment of a new management team.
Bank has been offering discounts of up to 70% as it attempts to attract shoppers in the face of fierce competition.
The company's collapse comes a week after parcel courier firm City Link went into administration, costing the jobs of 2,400 workers.
More than 1,500 jobs at fashion chain Bank have been put at risk after the loss-making business went into administration today.
Bury-based Bank, which operates 84 stores primarily in the Midlands, North of England and Scotland, was part of JD Sports Fashion until November.
Deloitte was appointed as administrator today after a review of the business determined that a solvent turnaround would not be possible.
All stores are open as normal and no redundancies have been made while Deloitte considers potential interest in the business from several parties.
Shoppers are expected to hit the UK high street in force as retailers hope for their most profitable day ahead of Christmas.
The high street traditionally experiences its busiest day two days before the Christmas shut down.
Bosses at the Manchester Arndale shopping centre said they expected about 220,000 visitors and customers were spending more money this Christmas.
Lloyds Banking Group and Royal Bank of Scotland have narrowly passed a Bank of England test to see how lenders would cope with severe economic stress.
The test, using the position of banks and building societies at the end of 2013, found both RBS and Lloyds would be susceptible to such a crisis.
However, improvements and changes to their plans this year meant only the Co-op was required to submit a new plan.
The Co-operative Bank has been ordered to shore up its balance sheet by axing £5.5 billion in loans after it failed a Bank of England stress test.
The Bank found that a severe downturn with house prices plunging 35% would wipe out the Co-op's capital because of the effect on its risky commercial property and sub-prime home loans.
The former chief executive of JJB Sports has been jailed for four years for pocketing £1 million in a "very greedy" fraud.Read the full story ›
Tatton MP and Chancellor George Osborne say he has a grand plan for the North of England - he calls it 'The Northern Powerhouse' - but do voters here plan to keep him in his powerhouse in Westminster come May?
The Conservative Party hopes Mr Obsorne's commitment to invest more in rail, road, arts and science in the North West will be rewarded with more North West MPs at next year's General Election.
But are voters in the key marginals convinced?
Our political reporter Daniel Hewitt has been to Bolton West, the region's most marginal constituency, to gage opinion.
Tune in to Party People tonight on ITV at 23:40 for reaction from MP's Nigel Evans, Julie Hilling and Andrew Stunnel.
Work has been completed on the first property to be refurbished as part of Liverpool's pioneering Homes for a Pound scheme.
Jayalal Madde, 49, was the very first applicant to be allocated a house last year under the city council's pilot scheme to sell 20 of its properties for just £1. He will be giving Mayor Joe Anderson a guided tour of his house on Cairns Street in Granby ahead of moving into the property in time for Christmas.
Three years ago it was facing possible closure, but today Vauxhall's Ellesmere Port plant has produced its five millionth car. 50 years after the plant opened, some of its 18 hundred staff applauded the red Astra off the production line. They'll soon be building the new model which should secure the plant's future.
The 5 millionth car to be produced at Vauxhall's Ellesmere Port plant in its 50th year of production.