ABA Applauds Today's Regulatory Actions on Indexing, Bank Capital and Bank Signage

“Today the FDIC took an important step toward a more stable and predictable regulatory framework by finalizing a rule that indexes certain key bank thresholds so they remain aligned with growth. ABA encourages other regulators and Congress to adopt approaches that prevent regulatory drift and keep supervisory attention focused where it is most needed. We also applaud the banking agencies’ proposal to lower the Community Bank Leverage Ratio to 8% — something ABA has been advocating for many years — as an important change that will allow a much broader range of community banks to utilize this simplified capital framework. The CBLR adjustment will allow community banks to do even more to support their local economies. These actions taken together will ensure bank regulations are more consistent, right-sized and appropriately tailored to their objectives.

"Likewise, the agencies’ final rule on the enhanced supplementary leverage ratio for large institutions is a sensible change that will reduce bank funding costs and drive economic growth without compromising safety and soundness. We look forward to working with the prudential regulators on other much-needed capital reforms including adjustments to the Tier 1 leverage ratio and TLAC. Taken together, these changes will help ensure that our banking system remains dynamic and competitive and that regulatory resources remain aligned with actual risk.
 
“Finally, we welcome the FDIC's final rule on bank signage, which pushes the compliance date to January 2027 for digital and ATM signage. As the number of players in the financial services marketplace increases, it's important for Americans to understand which financial institutions are FDIC insured, and which are not. This extension will help prevent unnecessary burden for banks and enhance clarity for bank customers as the FDIC considers further changes. We look forward to working with the FDIC and other prudential regulators to implement all of these actions and give banks of all sizes the chance to compete, succeed and thrive."

Background:
Below is a selection of some of ABA’s recent advocacy efforts on the policy issues addressed by regulators today.

• Joint Letter to the FDIC on Signage Proposal (10/20/25)
• ABA Welcomes Treasury and Fed Support for Regulatory Changes to Help America’s Community Banks (10/9/25)
• Joint Letter Requesting a Push Back of Key Signage Compliance Dates (9/22/25)
• ABA Testifies Before Congress on Strengthening Bank Resilience and Modernizing Regulation (9/9/25)
• Joint ABA and State Bankers Associations Letter to the FDIC on Adjusting and Indexing Certain Regulatory Thresholds (9/24/25)
• Letter to the Agencies on the Enhanced Supplementary Leverage Ratio Standards (8/26/25)
• Joint Comments on Indexing of Supervisory Asset Thresholds (6/30/25)
• ABA Viewpoint: Toward a smarter framework for bank asset thresholds (6/30/25)
• ABA Statement on Enhanced Supplementary Leverage Ratio Proposal (6/25/25)
• ABA Viewpoint: The best way to index supervisory thresholds (4/30/25)
• ABA Viewpoint: A new front for the Trump administration in the war on inflation (1/20/25)