Federal Reserve, FDIC, and OCC Ease Regulatory Burden for Community Banks with Expanded Exam Cycle Eligibility

Federal bank regulatory agencies, including the Federal Reserve, Federal Deposit Insurance Corporation (FDIC), and Office of the Comptroller of the Currency (OCC), have issued an interim final rule. This rule increases the total asset threshold from $3 billion to $6 billion for certain supervised institutions to qualify for an extended 18-month on-site examination cycle. The measure aims to reduce the regulatory burden on low-risk community banks.