Regulatory Capital: Revisions to the Community Bank Leverage Ratio Framework

Key Points

• 1The rule changes how the government measures whether community banks have enough financial reserves to stay safe
• 2Smaller banks with less than $10 billion in assets would be affected by these new requirements
• 3The changes could make it easier or harder for community banks to meet safety standards, depending on their current finances
• 4Banks and the public have until January 31, 2026 to submit comments on whether these proposed changes are good ideas
• 5The goal is to balance protecting customers' savings while not placing too heavy a burden on smaller financial institutions

Key Dates