Stabilizing Vulnerable Banks Act
Source: Congress.gov ·
293 words in original text
What This Bill Does
This bill removes an exemption that certain large banks currently have from stricter government oversight rules. The bill reverses a previous law that allowed the largest bank holding companies to avoid enhanced supervision and prudential standards (financial safety rules).
Who It Affects
Bank holding companies (parent companies that own banks) with total consolidated assets between $50 billion and $250 billion.
Key Provisions
- The bill repeals Section 401 of the Economic Growth, Regulatory Relief, and Consumer Protection Act, which currently exempts certain large bank holding companies from enhanced supervision and prudential standards (Sec. 2(a))
- The bill restores the laws that were changed by Section 401, meaning those stricter oversight rules would apply again to banks in this size range (Sec. 2(a))
- The bill removes the reference to Section 401 from the table of contents in the Economic Growth, Regulatory Relief, and Consumer Protection Act (Sec. 2(b))
What Changes
Large bank holding companies with assets between $50 billion and $250 billion would no longer be exempt from enhanced supervision and prudential standards. They would have to follow the stricter financial safety rules that applied before the exemption was created.
Important Definitions
None defined in the bill text.
Important: This plain English summary was generated by AI and is provided for informational purposes only.
It is not legal advice. Always consult the official bill text on Congress.gov
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