TRUST Act of 2025
Banking: Reducing Inspection Frequency for Small Banks
Stalled
No legislative action in over 90 days.
Legislative Progress
Key Points
- The TRUST Act of 2025 changes how often the government inspects smaller banks. Currently, banks with more than $3 billion in assets usually get checked every year. This bill would raise that limit to $6 billion, allowing more banks to qualify for less frequent check-ins.
- Under this plan, if a bank has less than $6 billion in total assets and is considered 'well-managed,' federal regulators would only have to perform a full inspection once every 18 months. This gives these banks an extra six months between deep dives into their records and operations.
- The goal of the bill is to reduce the amount of time and money local and community banks spend on government paperwork. Supporters believe that if a bank is already proven to be safe and stable, the government does not need to audit them as often.
- This change specifically affects 'insured depository institutions,' which are the typical banks where regular people keep their savings and checking accounts. It aims to let these smaller banks focus more on lending to their communities rather than preparing for frequent government visits.
Impact Analysis
Govbase has not yet run an impact analysis on this legislation.
Milestones
Received in the Senate and Read twice and referred to the Committee on Banking, Housing, and Urban Affairs.
Sent to a congressional committee for expert review. The committee decides whether this bill moves forward.
Motion to reconsider laid on the table Agreed to without objection.
On motion to suspend the rules and pass the bill Agreed to by voice vote. (text: CR H3358)
The House fast-tracked this bill — limited debate, no amendments allowed, but needs two-thirds support to pass.
Passed/agreed to in House: On motion to suspend the rules and pass the bill Agreed to by voice vote.
The House fast-tracked this bill — limited debate, no amendments allowed, but needs two-thirds support to pass.
DEBATE - The House proceeded with forty minutes of debate on H.R. 4478.
Votes
No votes have been recorded for this legislation yet.
News
No related news coverage found for this legislation yet.
Source Information
Document Type
Congressional Bill
Official Title
TRUST Act of 2025
Data Sources
Sponsor
Cosponsors
(1)Analysis generated by AI. Always verify with official sources.