TRUST Act of 2025
Key claim: The TRUST Act of 2025 would raise the asset threshold allowing well-capitalized, well-managed insured depository institutions to receive less frequent federal examinations from under $3 billion to under $6 billion.
Abstract
(HR4478 · 119th Congress) Tailored Regulatory Updates for Supervisory Testing Act of 2025 or the TRUST Act of 2025 This bill permits additional small insured depository institutions that are considered well-capitalized and well-managed (per their most recent examination) to qualify for less frequent examinations conducted by federal financial regulators. Specifically, the bill raises the maximum asset level that qualifies an institution for less frequent examinations from less than $3 billion to less than $6 billion. Latest action (2026-05-13): Received in the Senate and Read twice and referred to the Committee on Banking, Housing, and Urban Affairs.
Why this matters
The examination-cycle threshold determines how many community and mid-sized banks receive an 18-month rather than 12-month full-scope federal exam, directly affecting supervisory burden and compliance costs. Doubling the ceiling from $3B to $6B would expand relief to a materially larger set of insured depositories, part of a broader pattern of raising asset-size thresholds that trigger heightened supervision.