Commercial Banks

Section 4 and 5 prohibit Federal banking agencies from considering reputational risk in supervision of depository institutions, which includes commercial banks. This removes a tool that could be used to restrict banking services to certain industries, thereby benefiting commercial banks by reducing regulatory constraints and potential enforcement actions based on reputational risk.

Section 2 raises the consolidated assets threshold for small bank holding companies from $3B to $25B, providing regulatory relief and reducing compliance burden for banks under that threshold.

Section 2(a)-(d) raises asset thresholds from $10B to $50B for CFPB supervision, Volcker Rule, qualified mortgage, and capital requirements, reducing regulatory burden on banks with assets between $10B and $50B.

Section 2 modifies the amount of reciprocal deposits that are not considered brokered deposits, allowing banks to hold more reciprocal deposits without being deemed broker-dependent, which benefits commercial banks by expanding their funding options and reducing regulatory burden. Section 3 adjusts the definition of agent institution to include CAMELS ratings 1-3, broadening eligibility. Section 5 reduces the dollar amount under section 7(a)(3)(A) of the Federal Reserve Act by $28 million, effec

Section 2(a) amends the Federal Deposit Insurance Act to provide examination relief for well-managed, well-capitalized insured depository institutions with $6B or less in assets, reducing regulatory burden via alternating limited-scope exams and combined examinations. Section 3(a) further reduces burden by minimizing examiner numbers, time, and scheduling flexibility. These provisions directly benefit commercial banks (and other depository institutions) by lowering compliance costs and oversight

Section 2 amends the Federal Deposit Insurance Act to raise the asset threshold for less frequent examinations from $3 billion to $6 billion for well-managed insured depository institutions, reducing regulatory burden and costs for commercial banks under $6B in assets.

Section 2(a) amends the Federal Deposit Insurance Act to exempt mergers resulting in institutions under $10B from monopoly and competition considerations, easing regulatory barriers for bank mergers. Section 2(b) does the same for bank holding companies, and Section 2(c) for savings and loan holding companies. This reduces antitrust scrutiny, benefiting commercial banks by facilitating consolidation.

Section 2(a)(1) increases the asset threshold for qualifying community banks from $10 billion to $15 billion, and Section 2(a)(2) reduces the leverage ratio requirement from 8-10% to 6-8%, both of which provide regulatory relief and benefit community banks.

Section 2(a) amends the Federal Deposit Insurance Act to create a limited exception for custodial deposits of eligible institutions (insured depository institutions with <$10B assets and well capitalized), ensuring such deposits are not considered brokered deposits. This benefits community banks by allowing them to accept custodial deposits without triggering brokered deposit restrictions, which can impose higher costs or limits. Section 2(b) adds interest rate restrictions but only applies to c

The bill contains multiple provisions that benefit commercial banks, including Title I (New Bank Formation and Local Community Access) which promotes new bank formation through phase-in capital standards, relaxed business plan requirements, and rural depository institution leverage ratio provisions; Title II (Tailoring Bank Regulation) which provides regulatory relief for small banks and community banks; Title V (Strengthening Local Bank Funding) which brings the discount window into the 21st ce

The bill provides a 3-year phase-in period for de novo financial institutions to comply with Federal capital standards (Section 2), allows deviations from approved business plans during that period (Section 3), sets a temporary 8% Community Bank Leverage Ratio for rural community banks with assets under $10B (Section 4), and expands agricultural loan authority for Federal savings associations (Section 5). These provisions directly benefit commercial banks, especially new and rural community bank

Section 3(a)(1) applies to 'regulated entities' defined in Section 2(8) as entities regulated by any financial regulatory agency, which includes commercial banks (regulated by Federal Reserve, FDIC, OCC). The bill permits them to test AI projects with reduced regulatory burden, providing a clear benefit.

Section 2 adjusts thresholds upward for various banking statutes (Bank Holding Company Act, Community Reinvestment Act, Dodd-Frank, etc.), raising asset-size limits that trigger regulatory requirements, thereby reducing regulatory burden on banks, especially community and mid-sized banks.

Section 2(a)(1) amends the Federal Deposit Insurance Act to provide deposit insurance for noninterest-bearing transaction accounts up to $10 million per depositor, which benefits commercial banks by increasing insured deposit coverage and reducing risk of uninsured losses, encouraging deposits and stability.

The bill removes reputational risk as a supervisory consideration for depository institutions (Sec. 4, Sec. 5), which benefits commercial banks by reducing regulatory scrutiny based on subjective negative publicity, allowing them to serve politically controversial but legal businesses without fear of supervisory reprisal.

The joint resolution disapproves the OCC rule relating to 'Business Combinations Under the Bank Merger Act' (89 Fed. Reg. 78207). Disapproval of a rule that likely imposed additional scrutiny or requirements on bank mergers benefits commercial banks by reducing regulatory barriers to mergers and acquisitions.

The joint resolution disapproves the CFPB rule on 'Overdraft Lending: Very Large Financial Institutions', which would have imposed restrictions on overdraft fees for large banks. By nullifying the rule, the bill benefits commercial banks by allowing them to continue current overdraft lending practices.

The joint resolution disapproves the CFPB rule on 'Overdraft Lending: Very Large Financial Institutions' (89 Fed. Reg. 106768). Overdraft fees are a significant revenue source for large commercial banks; blocking the rule prevents potential restrictions on overdraft lending practices, thus benefiting banks.

Section 3(a)(1) amends Chapter 53 of title 31, U.S.C., to require the Secretary of the Treasury to submit reports to Congress on Bank Secrecy Act (BSA) reports filed with FinCEN, including the number of reports by type, total retained, and protocols for agency access. This increases transparency and oversight of BSA reporting, which benefits commercial banks by providing clearer guidelines and potential reductions in unnecessary reporting burdens, aligning with the bill's goal of greater transpa

Section 2(a) amends the Bank Holding Company Act to set clear timelines for application processing and deem applications granted if not acted upon within 90 days, reducing regulatory delay and uncertainty for bank holding companies.

Section 2(b)(2)(F) requires consultation with the Comptroller of the Currency and FDIC, indicating regulatory oversight that could benefit banks by enhancing consumer protection and reducing fraud losses.

Section 3(a) requires updating the CAMELS rating system to establish clear, objective criteria and revise factors affecting each component, which would improve consistency and fairness in bank examinations, benefiting commercial banks by reducing subjective rating variability.

Section 2 requires federal financial institutions regulatory agencies to consider risk profiles and business models when taking regulatory actions and tailor regulations to limit regulatory impact, which benefits commercial banks by reducing compliance burdens. Section 3 mandates short-form call reports for banks eligible for the Community Bank Leverage Ratio, reducing reporting requirements. Section 4 requires a report on modernization of bank supervision, which could lead to more efficient sup

Section 2 requires the Federal Reserve Board to review and improve discount window operations, which provides liquidity to financial institutions, including commercial banks, especially during financial stress. This is a clear benefit (enhanced access to liquidity).

Section 2 amends the Federal Deposit Insurance Act to revise FDIC Board membership requirements, including term limits and adding a non-voting observer from the CFPB, which affects bank regulation and oversight.

Section 2(d) establishes a Financial Agent Mentor-Protege Program where large financial institutions (including commercial banks with assets ≥ $50B) can serve as mentors to small financial institutions (including those with assets ≤ $2B), providing capacity-building and outreach, which benefits commercial banks through potential business development and regulatory engagement.

Section 2 requires a review of exceptive relief for the Commercial Bank of Syria, which could lead to relief being continued or revised, potentially benefiting banks involved in Syria-related transactions. Section 4 directs the Export-Import Bank to review country limitation schedules for Syria, which could ease restrictions and benefit banks engaged in export financing.

Section 2(a) requires financial agencies (including the Bureau of Consumer Financial Protection, Department of the Treasury, FDIC, Federal Reserve, OCC, SEC, etc.) to include a guidance clarity statement on any guidance issued. This reduces the perceived binding effect of agency guidance, which benefits regulated entities like commercial banks by limiting enforcement based on non-binding guidance.

The bill directs Federal banking agencies to streamline application processes, review capital raising, improve communication, establish mentor-protege partnerships, and engage with stakeholders to promote formation of de novo regulated institutions, which benefits commercial banks by reducing barriers to entry and supporting new bank formation (Sections 2-5).

Section 2 requires the Federal Reserve to issue rules establishing methodologies and scenarios for stress testing of covered companies (bank holding companies) and prohibits material changes without notice and comment, providing regulatory clarity and potentially reducing compliance uncertainty for banks.

Section 2(b)(1) amends 31 U.S.C. § 5311 to require financial institutions to retain transaction records tied to customers, which imposes a compliance burden but also clarifies record-keeping purpose; overall, the bill reforms BSA to limit government access (Sec. 2(a)) and removes several reporting requirements (e.g., striking §§ 5313-5318A, 5324, 5326, 5331-5333, 5336), reducing regulatory burden on banks, thus a net benefit.

Section 1 amends the Bank Secrecy Act to exempt depository institutions from reporting requirements for cash reward payments by crime stopper organizations, reducing regulatory burden on banks.

Section 2(a) requires Federal banking agencies to study improving growth, capital adequacy, and profitability of rural depository institutions, which are a subset of commercial banks; the study aims to identify methods to improve their performance and regulatory barriers, indicating a potential benefit.

Section 2 amends the Economic Growth and Regulatory Paperwork Reduction Act of 1996 to require Federal financial institutions regulatory agencies to review cumulative impact of regulations, including assessing effects on availability of financial products and services to financial and nonfinancial firms, credit availability, and market liquidity, and to include recommendations to streamline or eliminate burdensome regulations. This could reduce regulatory burden on commercial banks, providing a

Section 2(a) requires Inspector General reviews of merger review procedures for Federal depository institution regulatory agencies, which oversee commercial banks; improving timeliness and efficiency could benefit banks by reducing merger approval delays.

Section 2(a)(3) amends the Federal Deposit Insurance Act to allow the FDIC to select a resolution method that is not the least costly to the Deposit Insurance Fund if it limits further concentration among global systemically important banking organizations, providing a benefit to large banks by potentially avoiding costly resolutions that would break them up or force sales to competitors.

The bill requires annual reports on bank charter applications, depository institution holding company applications, and deposit insurance applications, increasing transparency for commercial banks and potentially aiding their planning and regulatory compliance.

Section 2(a) and (b) direct federal banking agencies to study how bank-fintech partnerships can support new banking organization formation and community bank health, which could benefit commercial banks by fostering innovation and growth.