OCC Renews Swap Margin Reporting Requirements
Published Date: 5/20/2026
Notice
Summary
The Office of the Comptroller of the Currency (OCC) is renewing its paperwork rules for banks and financial firms that handle big swap deals. They want to keep collecting info about margin and capital to keep things safe and sound, but they’re asking for public feedback by June 22, 2026. This update won’t cost extra but helps make sure the rules stay clear and fair.
Analyzed Economic Effects
7 provisions identified: 0 benefits, 6 costs, 1 mixed.
Initial margin model approval and notices
A covered swap entity must get prior OCC approval before using an initial margin model and must notify the OCC in writing 60 days before extending the model to new product types or making certain changes. The OCC must be satisfied before omission of risk factors or use of proxies, and entities must promptly notify the OCC of material model problems and take remedial actions.
OCC renews swap-data paperwork
The OCC has submitted for OMB review a renewal of the information collection titled "Margin and Capital Requirements for Covered Swap Entities" (OMB Control No. 1557-0251) and is asking for public comments by June 22, 2026. The OCC estimates 11 respondents, 88 total annual responses, and 4,895 total annual burden hours, with responses occurring one or three times per year.
Third‑party custody and rehypothecation limits
Covered swap entities must ensure initial margin collateral is held at a third-party custodian under a custody agreement that generally prohibits rehypothecation, repledging, or reuse of collateral; cash collateral may be held in a general deposit account only when used to buy specified assets and purchased within a reasonably necessary time window. Custody agreements must be legally enforceable in all relevant jurisdictions, including in bankruptcy.
Model documentation and internal controls
Covered swap entities must adequately document all material aspects of their initial margin models, maintain written internal authorization and escalation procedures for any change to margin calculations, and ensure independent review and approval of such changes.
Trading documentation and margin rights with counterparties
Covered swap entities must execute trading documentation with each counterparty that grants the contractual right to collect and post initial and variation margin as required and that specifies the methods, inputs, and procedures for valuing non‑cleared swaps for variation margin and resolving valuation disputes.
Record retention for netting agreements
If a covered swap entity relies on an "eligible master netting agreement" for margin calculations, it must conduct and document a legal review and retain those records for as long as the entity relies on the agreement. The requirement is part of the OCC's Margin and Capital Requirements rules in 12 CFR part 45.
Cross‑border substituted compliance process
In limited situations, a covered swap entity may ask regulators for substituted compliance to use a foreign regulatory framework for non‑cleared swaps; requests must include descriptions of the foreign regime, specific provisions, supervisory oversight, and supporting documentation, and can be made only if the entity is directly supervised by the foreign authorities.
Your PRIA Score
Personalized for You
How does this regulation affect your finances?
Sign up for a PRIA Policy Scan to see your personalized alignment score for this federal register document and every other regulation we track. We analyze your financial profile against policy provisions to show you exactly what matters to your wallet.
Key Dates
Department and Agencies
Related Federal Register Documents
2026-08143 — Streamlining Regulations Concerning Public Welfare Investments, Open Market Collateralized Loan Obligations, and Federal Savings Association Nondiscrimination Requirements
The Treasury’s Office of the Comptroller of the Currency wants to simplify some banking rules by removing outdated or confusing parts. This affects banks, especially federal savings associations and those dealing with certain loan investments. They’re asking for public feedback by May 27, 2026, aiming to cut red tape and make compliance easier without changing costs.
2025-21626 — Regulatory Capital Rule: Modifications to the Enhanced Supplementary Leverage Ratio Standards for U.S. Global Systemically Important Bank Holding Companies and Their Subsidiary Depository Institutions; Total Loss-Absorbing Capacity and Long-Term Debt Requirements for U.S. Global Systemically Important Bank Holding Companies
Big U.S. banks that are super important to the economy are getting new rules to keep them safer and stronger. These changes tweak how much money they must keep on hand and how they handle long-term debt, helping prevent financial trouble. The new rules kick in soon and could affect how these banks manage billions in assets and debt.
2026-12692 — Permitted Payment Stablecoin Issuer Anti-Money Laundering/Countering the Financing of Terrorism and Sanctions Compliance Risk Management
The government is setting new rules for companies that issue payment stablecoins to stop money laundering, terrorism funding, and illegal sanctions evasion. These rules affect stablecoin issuers under the OCC’s watch and require them to follow strict safety checks starting soon. Comments on these rules are open until July 24, 2026, so businesses should get ready to comply and share their thoughts!
2026-12364 — OCC Policy Statement on Minority Depository Institutions
The OCC just updated its rules for Minority Depository Institutions (MDIs), which are banks owned by socially and economically disadvantaged people. This update makes the rules clearer, matches the law better, and removes outdated info, so the policy stays useful for years. Current MDIs keep their status, and the changes took effect on June 16, 2026, with no new costs involved.
2026-11855 — Agency Information Collection Activities: Information Collection Revision; Comment Request; Licensing Manual
The Office of the Comptroller of the Currency (OCC) is updating its Licensing Manual and wants your feedback by August 11, 2026. This update aims to make paperwork easier and clearer for banks and financial institutions. No big costs are expected, but your comments will help shape the final rules and keep things running smoothly.
2026-11876 — Agency Information Collection Activities: Information Collection Renewal; Comment Request; Supervisory Guidance: Supervisory Review Process of Capital Adequacy (Pillar 2) Related to the Implementation of the Basel II Advanced Capital Framework
The Office of the Comptroller of the Currency (OCC) is asking for feedback to renew a paperwork process that helps banks check if they have enough money saved up, based on a global banking rule called Basel II. This renewal keeps things running smoothly without adding extra hassle. Banks and financial institutions should send their comments by August 11, 2026, to help shape the process and avoid surprises.
Previous / Next Documents
Previous: 2026-10046 — Foreign-Trade Zone (FTZ) 214, Notification of Proposed Production Activity; Patheon Manufacturing Services LLC; (Opdualag); Greenville, North Carolina
Patheon Manufacturing Services in Greenville, NC wants to make a cancer-fighting drug called Opdualag using special foreign materials without paying extra import taxes. This change could speed up production and save money by using Foreign-Trade Zone benefits. People have until June 29, 2026, to share their thoughts before the plan gets the green light.
Next: 2026-10051 — Certain Steel Nails From the United Arab Emirates: Final Results of Antidumping Duty Administrative Review; 2023-2024
The U.S. Department of Commerce found that two UAE companies sold steel nails in the U.S. at unfairly low prices from May 2023 to April 2024. Because of this, extra duties (taxes) will apply to their imports starting May 20, 2026. This means these companies will pay more when selling nails in the U.S., helping American businesses compete fairly.