Bill would let FDIC pick pricier option to block mega-bank takeovers
Placed on the calendarH.R. 6547Latest action
Sponsor: Mike Flood · Representative · NE
AIDecoded by AI · checked against the recordRead the official text
Official title: Least Cost Exception Act
119th Congress
Topics: Jobs & the economy
Introduced:
Read the official bill on Congress.govIn plain words
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The Least Cost Exception Act lets the FDIC choose a costlier bank-failure resolution to avoid selling to a G-SIB.
55-second read · 5 questions answered below
What does this do?
HR 6547 would allow the FDIC to bypass the usual "least-cost" rule when resolving a failed bank, specifically to avoid selling it to a global systemically important bank (G-SIB). To use this exception, the FDIC and Federal Reserve must agree, after consulting Treasury, that limiting concentration among mega-banks justifies the extra cost, and the FDIC must cap the added expense and report details to Congress within 30 days.
Who does it affect?
Bank regulators (FDIC, Federal Reserve, Treasury), large financial institutions like JPMorgan Chase or Bank of America, and taxpayers who back deposit insurance would all be affected.
Why does it matter?
The change would let regulators steer failed banks away from the largest mega-banks even when that costs the Deposit Insurance Fund more money, reshaping who can acquire failing competitors.
What does it cost, and who pays?
- FDIC must cap extra cost taken on
- Buyer repays cost gap over 5+ years
- Details reported to Congress in 30 days
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Where does it stand?
- IntroducedDec 10, 2025
- House committee
- House voteYou are here · Feb 2, 2026
- Senate
- The president's desk
Right now: it was placed on the , and the official record shows no floor action on it since. If the Senate changes it, it goes back to the House before reaching the president.
Latest action: — Placed on the Union Calendar, Calendar No. 405.