Fed, FDIC extend living will deadline for 14 banks

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WASHINGTON — Federal regulators announced Monday they were extending the deadline by a year for 14 regional banks to submit their next filings of living wills.

The Federal Reserve Board and the Federal Deposit Insurance Corp. said in a joint statement that they were giving the banks an extension to Dec. 31, 2019, "to allow additional time for the agencies to provide feedback to the firms on their last submissions and for the firms to produce their next plan submissions."

The move comes as some regulators have indicated an interest in moving away from annual filings for living wills. Under a provision of the Dodd-Frank Act, large banks are required to submit plans detailing their own hypothetical failure.

As part of the deregulatory package passed by Congress in May to amend Dodd-Frank, the regulators also said that in the next 18 months the Fed would begin determining which banks with assets of $100 billion to $250 billion will be subject to the living will process going forward. Under the recent bill, banks with less than $100 billion are no longer subject to living will requirements.

“The agencies will announce further actions as a result of the new law at a later date,” the Fed and FDIC said.

The 14 regional banks subject to the filing extension announced Monday are: Ally Financial Inc., BB&T Corp., Citizens Financial Group, Fifth Third Bancorp, Huntington Bancshares Inc., KeyCorp, M&T Bank Corp., Northern Trust Corp., Regions Financial Corp., SunTrust Banks Inc., PNC Financial Services Group Inc. and U.S. Bancorp.

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Living wills Dodd-Frank Regulatory relief Regulatory reform Federal Reserve FDIC