Joint Release
Board of Governors of the Federal Reserve
System
Federal Deposit Insurance Corporation
Office of the Comptroller of the Currency
For immediate release November 21, 2017
Media Contacts:
Federal Reserve Eric Kollig (202) 452-2955
FDIC Barbara Hagenbaugh (202) 898-6993
OCC Stephanie Collins (202) 649-6870
FDIC: PR-89-2017
Last Updated 11/21/2017 communications@fdic.gov
Federal Banking Agencies Finalize Extension of Certain Capital Rule Transitions
The federal banking agencies on Tuesday finalized a rule for certain banking organizations by extending
the existing capital requirements for mortgage servicing assets and certain other items. The rule is being
finalized to prevent different rules from taking effect while the agencies consider a broader simplification
of the capital rules.
As part of the recent review of regulations under the Economic Growth and Regulatory Paperwork
Reduction Act, the agencies announced that they intended to simplify the capital rules to reduce
regulatory burden, particularly for community banks. Subsequently, in September, the agencies released
a proposal that would simplify the capital rules' treatment of mortgage servicing assets and other items for
some banking organizations. However, prior to that rule being finalized, the current transitional treatment
for many of these items was scheduled to be replaced with a different treatment on January 1, 2018.
The final rule from the agencies is substantively similar to the proposal issued by the agencies to extend
the existing capital requirements for certain banking organizations for a targeted set of items: mortgage
servicing assets, certain deferred tax assets, investments in the capital instruments of unconsolidated
financial institutions, and minority interest.
The final rule would apply only to banking organizations that are not subject to the agencies' "advanced
approaches" capital rules, which are generally firms with less than $250 billion in total consolidated assets
and less than $10 billion in total foreign exposure. Banking organizations that are subject to the advanced
approaches rules are not affected by this rule.
The rule will be effective on January 1, 2018.
###
Attachment:
Final Rule
Board of Governors of the Federal Reserve
System
Federal Deposit Insurance Corporation
Office of the Comptroller of the Currency
For immediate release November 21, 2017
Media Contacts:
Federal Reserve Eric Kollig (202) 452-2955
FDIC Barbara Hagenbaugh (202) 898-6993
OCC Stephanie Collins (202) 649-6870
FDIC: PR-89-2017
Last Updated 11/21/2017 communications@fdic.gov
Federal Banking Agencies Finalize Extension of Certain Capital Rule Transitions
The federal banking agencies on Tuesday finalized a rule for certain banking organizations by extending
the existing capital requirements for mortgage servicing assets and certain other items. The rule is being
finalized to prevent different rules from taking effect while the agencies consider a broader simplification
of the capital rules.
As part of the recent review of regulations under the Economic Growth and Regulatory Paperwork
Reduction Act, the agencies announced that they intended to simplify the capital rules to reduce
regulatory burden, particularly for community banks. Subsequently, in September, the agencies released
a proposal that would simplify the capital rules' treatment of mortgage servicing assets and other items for
some banking organizations. However, prior to that rule being finalized, the current transitional treatment
for many of these items was scheduled to be replaced with a different treatment on January 1, 2018.
The final rule from the agencies is substantively similar to the proposal issued by the agencies to extend
the existing capital requirements for certain banking organizations for a targeted set of items: mortgage
servicing assets, certain deferred tax assets, investments in the capital instruments of unconsolidated
financial institutions, and minority interest.
The final rule would apply only to banking organizations that are not subject to the agencies' "advanced
approaches" capital rules, which are generally firms with less than $250 billion in total consolidated assets
and less than $10 billion in total foreign exposure. Banking organizations that are subject to the advanced
approaches rules are not affected by this rule.
The rule will be effective on January 1, 2018.
###
Attachment:
Final Rule