FDIC Promises Faster, More Consistent Bank Examinations

Responding to industry feedback, the Federal Deposit Insurance Corp. has promised to improve examination consistency and reduce on-site exam times by 25%.

Last May the FDIC asked 784 institutions about the exam process. Overall, 72% said they were satisfied with their exams, despite some gripes. Half of the 460 banks responding said exams took too long, and more than one-third said they were not given enough advance notice of reviews.

The results are similar to preliminary figures that the FDIC released late last year. In narrative comments, bankers said the FDIC needs to cooperate better with the industry and to ask for fewer documents during reviews.

The final survey said the agency has begun cross-training examiners on safety and soundness and on compliance, has revised its compliance manual, has provided computer programs to examiners to increase efficiency, and has boosted pre-review planning.

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