- Part 363 of the FDIC's regulations requires assessments of internal control over financial reporting by both management and independent auditors for insured institutions with $1 billion or more in total assets.
- Section 404 of the Sarbanes-Oxley Act imposes similar internal control requirements on public companies. On May 24, 2007, the Public Company Accounting Oversight Board (PCAOB) adopted Auditing Standard No. 5 (AS 5).
- Generally, auditors of public institutions that are accelerated filers will follow AS 5 for Section 404 purposes for fiscal years ending on or after November 15, 2007.
- Generally, auditors of public institutions that are non- accelerated filers will follow AS 5 for Section 404 purposes for fiscal years ending on or after December 15, 2008.
- In response to questions it has received, the FDIC has determined that auditors' internal control reports issued under AS 5 satisfy the requirements of Part 363.
- For non-public institutions, auditors may follow the American Institute of Certified Public Accountants' (AICPA) attestation standards, known as "AT 501," when reporting on internal controls.
- Auditors of public institutions that are non-accelerated filers need only follow AT 501 to satisfy Part 363 until AS 5 takes effect for non-accelerated filers in 2008.
- For Part 363 purposes, the scope of financial reporting includes financial statements prepared for regulatory reporting.
FDIC-Insured Institutions With $500 Million or More
Chief Executive Officer
Chief Financial Officer
Board of Directors
Federal Deposit Insurance Act Section 36
Part 363 of the FDIC's Regulations
Guidance on Part 363 Internal Control Attestation Standards for Independent Accountants
Guidance on Part 363 Internal Control Attestation Standards for Independent Accountants - PDF (PDF Help)
FDIC Regional Accountant or Harrison Greene,
Senior Policy Analyst, Division of Supervision and
Consumer Protection, on 202-898-8905 or
FIL-5-2008 - PDF (PDF Help)
FDIC financial institution letters (FILs) may be
accessed from the FDIC's Web site at
To receive FILs electronically, please visit
Paper copies of FDIC financial institution letters
may be obtained through the FDIC's Public
Information Center, 3501 Fairfax Drive, E-1002,
Arlington, VA 22226 (1-877-275-3342 or 703-562-