Congress·In Committee·S. 427

TAILOR Act of 2025

Banking: Tailoring Regulations for Small Banks

A bill to require the Federal financial institutions regulatory agencies to take risk profiles and business models of institutions into account when taking regulatory actions, and for other purposes.

Feb 5, 2025·View on Congress.gov·Read full text

Next up: A senate committeeNo action in 18 months

A senate committee must act next: committee consideration.

Legislative Progress

Senate

House

President

Law

Unlikely to pass

While this bill has support from several Republicans, it faces a difficult path in a divided Congress where many members prefer stricter oversight of the financial industry.

Key Points

This bill requires federal agencies like the Federal Reserve and the FDIC to change how they write rules for banks. Instead of a one-size-fits-all approach, regulators would have to make sure the rules match the actual risk a bank poses to the economy.
Small community banks and credit unions would likely see the most benefit. The goal is to reduce the time and money these smaller institutions spend on paperwork and compliance, which could help them focus more on serving local customers and businesses.
The bill includes a look-back rule that requires regulators to review all banking rules passed in the last seven years. They would have to decide if those older rules should be simplified or reduced for banks that do not take big risks.
Banks that meet certain safety standards would be allowed to file shorter and simpler financial reports twice a year. This is intended to cut down on the administrative work required for banks that are already considered stable and well-managed.

Impact Analysis

Govbase has not yet run an impact analysis on this legislation.

Milestones

2 milestones2 actions

Feb 5, 2025Senate

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.

Feb 5, 2025

Introduced in Senate

The bill was officially filed and given a number. It now enters the legislative queue.

No votes or news coverage recorded for this bill yet.

Source Information

Document Type

Congressional Bill

Official Title

A bill to require the Federal financial institutions regulatory agencies to take risk profiles and business models of institutions into account when taking regulatory actions, and for other purposes.

Bill NumberS 427

Congress119th Congress

ChamberSenate

Latest ActionRead twice and referred to the Committee on Banking, Housing, and Urban Affairs.