Failing Bank Acquisition Fairness Act

HR 3914, the Failing Bank Acquisition Fairness Act, modifies rules for approving bank acquisitions when a bank is failing. It directly affects bank regulators (like the FDIC and Federal Reserve) and financial institutions bidding to acquire failing banks. The key change requires regulators to only ignore market concentration limits (rules preventing one bank from controlling too much of the market) if no other bids for the failing bank would comply with those limits. This means multiple competing bids must exist before regulators can approve an acquisition that would exceed standard market share rules. The bill applies specifically to acquisitions of banks in default or receiving FDIC assistance under Section 13(c).