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Action required FDIC and OCC Jul 19, 2026

FDIC, OCC final rule prohibiting use of reputation risk in supervision

On April 7, 2026, the FDIC and OCC issued a final rule removing reputation risk from supervision. The agencies later removed additional references to reputation risk from interagency documents on June 2, 2026.

On April 7, 2026, the FDIC and OCC issued a final rule removing reputation risk from supervision. The agencies later removed additional references to reputation risk from interagency documents on June 2, 2026.

What changed

The agencies finalized a rule that prohibits use of reputation risk as a supervisory standard and then cleaned up related references in supporting materials. This changed the formal supervisory vocabulary and framing used in examinations.

Compliance perspective

Banks should expect examination discussions to focus more directly on measurable safety and soundness, BSA, consumer, and operational issues rather than reputation-based framing. Internal issue tracking and board materials may also need terminology updates.

Key date

Effective date: April 7, 2026.

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