What are resolution plans or living wills?

Resolution plans, also known as living wills, are documents that large banks must submit to regulators detailing how they would be wound down in an orderly manner without taxpayer bailouts or systemic disruption.

What is the new asset threshold proposed by the FDIC?

The FDIC proposes raising the minimum asset size for resolution plan submissions from $50 billion to $100 billion.

When was this proposal announced?

The FDIC announced the proposal on June 25, 2026.

FDIC Proposes Easing Large Bank Resolution Rules

The Federal Deposit Insurance Corporation (FDIC) on June 25, 2026, proposed a rule to reduce the amount of information that large banks must include in their insured depository institution resolution plans, known as living wills. The proposal also seeks to raise the minimum asset size threshold for banks required to submit such plans from $50 billion to $100 billion.

The FDIC board voted 3-2 along party lines to approve the proposal, with Republican members supporting and Democratic members opposing. The change would affect banks with $100 billion or more in assets, reducing the frequency and detail of submissions.

FDIC Chairman Jelena McWilliams said the proposal aims to streamline requirements and reduce regulatory burden while maintaining financial stability. Critics argue it weakens safeguards put in place after the 2008 financial crisis.

The public will have 60 days to comment on the proposal before the FDIC considers a final rule.