Bill would exempt custodial deposits from broker-deposit limits at healthy banks
Passed one chamberH.R. 5317Latest action
Sponsor: J. French Hill · Representative · AR
AIDecoded by AI · checked against the recordRead the official text
Official title: Community Bank Deposit Access Act of 2025
119th Congress
Topics: Jobs & the economy
Introduced:
Read the official bill on Congress.govIn plain words
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Healthy banks under $10 billion could accept custodial deposits without hitting broker-deposit limits.
40-second read · 4 questions answered below
What does this do?
This bill creates an exception to broker-deposit rules for "custodial deposits" held by banks, trust companies, or retirement plan administrators on behalf of others. Banks under $10 billion in assets that are well capitalized and have a good safety rating can accept these deposits without them counting against broker-deposit limits, up to 20% of total liabilities. If a bank's financial health declines, it can't offer unusually high interest rates on these deposits to attract more funds.
Who does it affect?
This mainly affects smaller and mid-sized community banks, plus people with retirement accounts or trust funds whose deposits may be held there.
Why does it matter?
The change loosens funding restrictions for financially sound smaller banks while keeping limits in place for weaker institutions.
AI-drafted summary. Check it against the official text before you act on it.
Read the official bill on Congress.govMake the call
Where does it stand?
- IntroducedSep 11, 2025
- House committee
- House vote
- SenateYou are here · May 21, 2026
- The president's desk
Right now: it passed the House, and the official record shows nothing new since. If the Senate changes it, it goes back to the House before reaching the president.
Latest action: — Received in the Senate and Read twice and referred to the Committee on Banking, Housing, and Urban Affairs.
Recorded votes
Roll-call votes recorded since January 3, 2025.
House · · Roll call 179
As recorded
- Question
- On Motion to and Pass, as Amended
- Result:
- Passed
- 393
- Nay
- 16
- 0
- 21
Republicans 203 yes, 14 not voting · Democrats 189 yes, 16 no, 7 not voting · Independent 1 yes
Official recordHow members voted
The official record lists how each member voted.Official record