Banking Agencies Seek Comment on Expanded Exam Cycle for Certain Institutions
WASHINGTON -- Federal bank and thrift regulators recently requested public comment on proposed interim rules expanding the range of small institutions eligible for an extended 18-month on-site examination cycle.
The proposed interim rules would allow well-capitalized and well-managed banks and savings associations with up to $500 million in total assets and a composite CAMEL rating of 1 or 2 to qualify for an 18-month examination cycle, rather than the usual 12 months. They would also revise these provisions for U.S. branches and agencies of foreign banks.
The proposed interim rules are effective upon publication in the Federal Register, which is expected shortly, and implement section 605 of the Financial Services Regulatory Relief Act of 2006 and related provisions from the International Banking Act.
The Federal Reserve Board, FDIC, the Office of the Comptroller of the Currency, and the Office of Thrift Supervision are seeking comments for 30 days.