Biggest US Banks’ Capital Hike Chopped in Half in Latest Plan by Regulators
- Top banks face 9% increase in revised plan from 19% earlier
- Fed, FDIC, OCC to unveil changes to bank-capital overhaul
The Federal Deposit Insurance Corp. headquarters in Washington, DC.
Photographer: Al Drago/BloombergThe biggest US banks would face a 9% increase in capital requirements — a dramatic retreat from the original plan — after regulators agreed to sweeping changes to a proposed package of rules, according to people familiar with the matter.
The original plan by the Federal Reserve, Federal Deposit Insurance Corp. and the Office of the Comptroller of the Currency had called for a 19% jump in the capital that the eight US global systemically important banks, including Bank of America Corp. and JPMorgan Chase & Co., must hold as a cushion against unexpected losses and financial shocks.