TIER Act of 2025
House Committee Advances TIER Act, Raising Bank Oversight Thresholds to Shield Mid-Size Lenders
Legislative Progress
Key Points
- Raises the size cutoffs for tougher bank rules. For example, the $250 billion line moves to $370 billion, $100 billion to $150 billion, $50 billion to $75 billion, and $10 billion to $15 billion.
- Means fewer mid-size banks would face the heaviest checks, like regular financial tests and detailed emergency plans. This could lower costs for those banks and might make lending a bit easier.
- Could also reduce watchdog eyes on some banks. If a fast-growing bank runs into trouble, there may be more risk to customers, workers, and local economies.
- Locks in updates every 5 years. The cutoffs will automatically rise with the overall economy, so banks do not cross lines just because of inflation.
- Tells federal banking agencies to review and adjust similar cutoffs on the same schedule and publish the new numbers.
Impact Analysis
Personal Impact
How this policy affects specific groups of people
Milestones
Placed on the Union Calendar, Calendar No. 457.
The bill is now on the schedule for the full chamber to consider. It's in line for debate and a vote.
Reported (Amended) by the Committee on Financial Services. H. Rept. 119-532.
Ordered to be Reported (Amended) by the Yeas and Nays: 33 - 19.
The committee approved this bill and is sending it to the full chamber for a vote. This is a significant step — most bills never get this far.
Committee Consideration and Mark-up Session Held
Committee Consideration and Mark-up Session Held
Votes
No votes have been recorded for this legislation yet.
Related News
3 articles
House committee advances ABA-backed bills
The House Financial Services Committee advanced the Tailoring and Indexing Enhanced Regulations (TIER) Act (H.R. 6553). The bill, led by Rep. Andy Barr, would index various asset-based thresholds for bank regulations to nominal GDP, focusing on relief for mid-size and regional banks.
4 Regulatory Developments Coming in 2025
Community bankers are tracking several regulatory shifts in 2025, including legislative efforts like the TIER Act that seek to modernize bank oversight by indexing asset thresholds to economic growth, preventing 'regulatory bracket creep' for growing institutions.
House Financial Services Committee Advances 20 Bills to Reduce Regulatory Burden
House Republicans advanced a slate of bills including the TIER Act, which would raise the asset thresholds that trigger stricter Federal Reserve oversight. Supporters argue it reflects economic reality, while critics warn it could weaken safeguards for regional banks.
Source Information
Document Type
Congressional Bill
Official Title
TIER Act of 2025
Sponsor
Cosponsors
(7)Analysis generated by AI. Always verify with official sources.