The Federal Reserve is mulling over some new rules for 35 of the nation’s biggest banks, including one that would require them to submit their annual capital plans for review. And they want to hear from you!
The Fed is proposing that any bank with more than $50 billion in assets would report to the them each year with their plans in case of an economic crisis, reports CNN.
“Institutions would be expected to have credible plans to have sufficient capital so that they can continue to lend to households and businesses, even under adverse conditions,” the Fed said Friday in a press release.
As the rules go now, 19 banks with $100 billion plus in assets have to show their plans to the Fed. The new statutes would require banks to provide evidence that they will have a buffer of 5% of their capital in case of hard times.
You can weigh in until Aug. 5, via the Federal Register’s website at www.regulations.gov. Find the list of proposed rules under ID number FRS-2011-0150.