The Banker's Relief Act

To require the appropriate Federal banking agencies to establish a 3-year phase-in period for de novo financial institutions to comply with Federal capital standards, to provide relief for de novo rural community banks, and for other purposes.

Introduction

The Banker's Relief Act aims to provide relief for the banking industry by establishing a 3-year phase-in period for de novo financial institutions to comply with Federal capital standards. This legislation also seeks to provide relief for de novo rural community banks and promote more de novo insured depository institutions in areas currently underserved.

Section 5(c) of the Home Owners’ Loan Act

"Sec. 5(c)."(1) In paragraph (1), by adding at the end the following:“Agricultural loans.—Secured or unsecured loans for agricultural purposes.”;(2) in paragraph (2)(A), by striking “business, or agricultural” and inserting “or business”.

Study on De Novo Insured Depository Institutions

The Federal banking agencies shall jointly carry out a study on the principal causes for the low number of de novo insured depository institutions in the 10-year period ending on the date of enactment of this Act; and ways to promote more de novo insured depository institutions in areas currently underserved by insured depository institutions.

Report to Congress

Not later than the end of the 1-year period beginning on the date of enactment of this Act, the Federal banking agencies shall jointly issue a report to Congress containing all findings and determinations made in carrying out the study required under subsection (a).

Definitions

In this Act, the terms “appropriate Federal banking agency”, “depository institution”, “depository institution holding company”, “Federal banking agency”, and “insured depository institution” have the meaning given those terms, respectively, under section 3 of the Federal Deposit Insurance Act.