On June 23, 2025, the Federal Reserve Board announced that reputational risk will no longer be a component of examination programs in its supervision of banks. While this change is meant to streamline the process, the Fed still expects banks to manage risks effectively and will not affect how banks handle their own reputational risk.

The Board said that it has started the process of reviewing and removing references to reputation and reputational risk from its supervisory materials, including examination manuals. Furthermore, the Board will provide training for examiners to guarantee that this change is applied uniformly across banks under its supervision and will collaborate with other federal banking regulatory agencies to encourage consistent practices when needed.

Read the FRB’s announcement 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.

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