- The banking agencies have issued the attached 2005 host state loan-to-deposit ratios used to determine compliance with Section 109 of the Riegle-Neal Interstate Banking and Branching Efficiency Act. These ratios update information published on August 26, 2004.
- Section 109 prohibits any bank from establishing or acquiring a branch outside its home state primarily for the purpose of deposit production. This prohibition applies to any bank branch controlled by an out-of-state bank holding company.
- As part of the test for compliance with Section 109, a banks statewide loan-to-deposit ratio is compared to the appropriate host state loan-to deposit ratio.
FDIC-Supervised Banks (Commercial and Savings)
Chief Executive Officer
Community Reinvestment Act
Section 109 Host State Loan-to-Deposit Ratios
Deirdre Foley, Senior Policy Analyst, at firstname.lastname@example.org or (202) 898-6612
FIL-70-2005 - PDF 38k (PDF Help)
FDIC Financial Institution Letters (FILs) may be accessed from the FDIC's Web site at www.fdic.gov/news/news/financial/2005/index.html.
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Paper copies of FDIC FILs may be obtained through the FDIC's Public Information Center, 801 17th Street, NW, Room 100, Washington, DC 20434 (1-877-275-3342 or (703) 562-2200).