TRUTH-IN-SAVINGS: The Fed withdrew a proposed commentary explaining how banks should calculate interest during leap years. Published May 28. Effective May 28.
INTEREST RATE RISK: The three banking agencies adopted a policy statement detailing the responsibilities of senior management and directors for handling interest rate risk. The policy replaces a proposed framework for measuring bank exposure to interest rate swings that was going to lead eventually to an interest rate risk capital standard. Expected to be published shortly. Effective upon publication.
INTERSTATE BRANCHING: The Fed and FDIC adopted a policy explaining who will supervise state-chartered banks that branch across state lines. Released May 23. Effective May 23.
FOREIGN BANKING: The Fed adopted a rule requiring the U.S. operations of foreign banks to select a home state regulator by June 30. Published May 15. Effective May 9.
SMALL BANK EXAMS: The OCC released risk-based exams for national banks with less than $1 billion in assets. Rather than scrutinize a small bank's risks and risk-management techniques, OCC examiners will focus on performance. Released April 29. Effective Sept. 30.
FOREIGN BANKS: The OCC abolished a requirement that foreign banks seeking to open federally chartered U.S. banks submit a separate application to the agency; instead, a bank may use the same form it submits to the Fed. Published May 2. Effective July 1.
SECURITIES OPTIONS: The Fed adopted a final rule freeing bank broker- dealers to extend credit on securities options. The SEC and exchanges will determine shortly what portion of the purchase price can be lent. Published May 3. Effective July 1.
CAPITAL DEFINITION: The Fed replaced the definition of capital stock and surplus used by banks when determining the maximum amount they can lend to affiliates. Capital stock and surplus now is defined as Tier 1 and Tier 2 capital plus loan-loss and lease-loss reserves. Published May 3. Effective July 1.