On September 10, 2026, the FDIC, Federal Reserve Board, and OCC issued a joint interim final rule increasing the number of community banks eligible for an 18-month exam cycle. The total asset threshold was increased from $3 billion to $6 billion for certain supervised institutions to qualify for an extended 18-month on-site exam cycle.

According to the FDIC’s press release, extending the exam cycle for these small non-complex firms from 12 months to 18 months appropriately reduces burden, including time and resources spent, for these low-risk institutions. To qualify for the extended exam cycle, institutions must meet certain criteria, including being well managed and well capitalized. The interim final rule extends the cycle for small, relatively low-risk banks while maintaining offsite monitoring between scheduled exams.

The interim final rule will be effective immediately upon publication in the Federal Register, and comments will be accepted for 30 days.

Read the Agencies’ joint press release here.

Adam Witmer

Adam Witmer is a speaker, author, and founder of the Compliance Cohort. Adam has taught hundreds of seminars and training sessions to thousands of bankers throughout the United States and teaches on all areas of regulatory compliance. Adam has written five e-books that he never published, hit a grizzly bear while driving in a National Park, and is an award winning photographer and musician (though he no longer takes photos nor plays any instruments). In his spare time, Adam can be found kayaking on the lake, doing taekwondo with his kids, working on his (project) house, or spending time with his family.

Website

Become a Free Member