Bank Safety Act of 2024

HR 4206, the Bank Safety Act of 2024, requires large banks with over $100 billion in assets to include certain accounting adjustments (like unrealized gains or losses on investments) in their capital calculations for regulatory purposes. This directly affects major bank holding companies and large insured depository institutions, as defined by the bill. The key provision amends existing law to mandate this inclusion, excluding specific cash flow hedge adjustments. The rule must be implemented by federal banking agencies no later than December 31, 2024. This changes how these institutions measure their financial strength for regulatory capital requirements.