Statement of Policy on Bank Merger Transactions: Rescission and Reinstatement

Summary:

The Federal Deposit Insurance Corporation (FDIC) Board of Directors today approved the rescission of the agency’s 2024 Statement of Policy on Bank Merger Transactions (2024 Statement of Policy) and the reinstatement of the Statement of Policy on Bank Merger Transactions (Bank Merger Statement of Policy) that was in effect prior to 2024. As noted in the March 11, 2025 Federal Register notice proposal to rescind the 2024 Statement of Policy, the agency plans to conduct a broader reevaluation of its bank merger review process. 

Statement of Applicability: The contents of, and material referenced in, this FIL apply to all FDIC-insured financial institutions.

Highlights:

• On March 11, 2025, the FDIC published a notice in the Federal Register soliciting comments on a proposal to rescind the 2024 Statement of Policy published in the Federal Register in September of 2024 and reinstate the Bank Merger Statement of Policy. 
• Having considered the comments received on the proposal, the FDIC is publishing a final notice in the Federal Register rescinding the 2024 Statement of Policy and reinstating the Bank Merger Statement of Policy.
• The reinstated Bank Merger Statement of Policy is effective thirty days from the date of publication in the Federal Register. 
• The Bank Merger Statement of Policy will remain in effect pending the FDIC’s review of all aspects of the regulatory framework governing the evaluation of merger transactions. The FDIC will consider comments received in connection with the proposal, and expects to seek additional public comment, in connection with its future review of bank merger policy.