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Banker Resource Center

Interest Rate Risk

Interest rate risk is the exposure of a bank’s current or future earnings and capital to adverse changes in market rates. This risk is a normal part of banking and can be an important source of profitability and shareholder value; however, excessive interest rate risk can threaten banks’ earnings, capital, liquidity, and solvency. Therefore, it is important to effectively identify, measure, monitor, and control interest rate risk exposure through effective policies and risk management processes.

Laws and Regulations

Key laws and regulations that pertain to FDIC-supervised institutions; note that other laws and regulations also may apply.

Supervisory Resources

Frequently asked questions, advisories, statements of policy, and other information issued by the FDIC alone, or on an interagency basis, provided to promote safe-and-sound operations.

Other Resources

Supplemental information related to safe-and-sound banking operations


Informational videos and recordings of prior webcasts and teleconferences.

  • The FDIC's Technical Assistance Video program includes an overview of the interest rate risk management process and the board's responsibilities within that process. The videos are designed for community bank management and individuals who are involved in the interest rate risk management function.