Resolution Submissions Required for Covered Insured Depository Institutions
Key claim: The FDIC proposes to revise its resolution-submission rules for large insured depository institutions by raising the $50 billion asset threshold, streamlining content requirements, and eliminating credibility assessments and capabilities-testing expectations.
Abstract
(Proposed Rule · Federal Deposit Insurance Corporation) The FDIC is seeking comment on a proposal to revise its regulations that require resolution submissions by insured depository institutions (IDIs) with at least $50 billion in total assets. The proposed rule would modify the current rule by raising and automatically updating the dollar threshold that determines the scope of applicability; reducing the requirements regarding the content of resolution submissions provided to the FDIC, with a focus on information that most directly supports the FDIC’s resolution readiness in the event of material distress and failure of a covered IDI; and standardizing content requirements for covered IDIs. The proposed rule would also eliminate the FDIC’s credibility assessment of submissions provided by IDIs, as well as expectations for capabilities testing under the current rule.
Why this matters
Pending synthesis.