Banking regulators update “small bank” definitions

Bank Regulatory Federal Issues CRA FDIC Federal Reserve

On December 20, the Fed and the FDIC announced changes to the 2024 asset-size thresholds used to define “intermediate small bank” and “small bank” under the CRA. To qualify as an “intermediate small bank,” a bank must have assets of at least $391 million as of December 31 in both prior two calendar years, and less than $1.564 billion as of December 31 in either of the prior two calendar years. To qualify as a “small bank,” a bank must have had assets of less than $1.564 billion as of December 31 in either of the prior two calendar years. These increases are based on a 4.06% increase in the applicable consumer price index and the thresholds will take effect beginning January 1, 2024.