Community Bank Deposit Access Act of 2025
Sponsored By: Representative Hill, J. French [R-AR-2]
In Committee
Summary
Creates a limited safe harbor for custodial deposits at small insured banks. The bill would let certain custodial deposits not be treated as brokered deposits so long as they stay below a size cap and meet eligibility rules.
Your PRIA Score
Personalized for You
How does this bill affect your finances?
Sign up for a PRIA Policy Scan to see your personalized alignment score for this bill and every other piece of legislation we track. We analyze your financial profile against policy provisions to show you exactly what matters to your wallet.
Bill Overview
Analyzed Economic Effects
2 provisions identified: 1 benefits, 0 costs, 1 mixed.
Safe harbor for small bank custodial deposits
If enacted, eligible community banks could treat some custodial deposits as non-brokered funding. The total could be up to 20% of the bank’s total liabilities. To qualify, the bank must have under $10,000,000,000 in assets and be well capitalized with a rating of 1, 2, or 3, or have an approved waiver. The deposits must be held in a formal custodial or fiduciary role to provide or keep deposit insurance for a third party.
Interest limits on custodial deposits at some banks
If enacted, a bank that is not well capitalized could not pay above-market interest on custodial deposits accepted then. For local deposits, the cap would match similar rates in the bank’s normal market area. For deposits taken outside that area, the FDIC national rate would apply. This rule would apply only when the bank accepts the funds while not well capitalized.
Sponsors & CoSponsors
Sponsor
Hill, J. French [R-AR-2]
AR • R
Cosponsors
There are no cosponsors for this bill.
Roll Call Votes
No roll call votes available for this bill.
View on Congress.gov