Stephen Lynch (D-MA)
Failing Bank Acquisition Fairness Act
A Democratic bill with 1 Democratic cosponsor · See the cosponsor
Last activity — Received in the Senate and Read twice and referred to the Committee on Banking, Housing, and Urban Affairs.
In the other chamber's committee
Passed one chamber and has been handed to a committee in the other.
The committee decides whether it goes any further, and most bills that reach a committee never leave it. A committee that simply does nothing kills a bill without anyone ever voting against it, so no news from here is usually the news.
Its path through Congress
- Introduced
- Passed House voice vote
- In Senate committee
The House by voice vote (members called out yes or no together): no member's position on it was recorded.
What this bill would do
The Failing Bank Acquisition Fairness Act aims to restrict how certain exceptions to concentration limits are used during bank mergers involving failed or distressed institutions. It requires responsible agencies to prove, through clear and convincing evidence, that a merger is necessary to prevent significant economic disruption or financial instability. The Act also mandates that such exceptions only be used if no "qualified bid" from a different company has been received. Additionally, it establishes new congressional notification and public disclosure requirements for these waivers. Finally, the bill includes a provision to reduce a specific dollar amount within the Federal Reserve Act.
Yes· 3 of 4
- Scored +5
Does this make what the government does easier for the public to see?
The bill mandates that reports regarding concentration limit waivers be made available to the public on agency websites.
- Scored +2
Does this give people more protection from unfair business practices?
The bill increases transparency and competition in bank acquisition processes.
- Scored +1
Would households on low incomes be better off under this?
Increased competition in bank resolutions can help maintain financial stability for all depositors.
The opposite
- Scored -1
Does this reduce what the federal government owes?
The bill reduces a specific dollar amount under the Federal Reserve Act by $2,000,000.
Who it would affect, and how
Potential Positive Impacts for People
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Increased Accountability for Financial Regulators: Under Section 3, when a waiving agency uses a concentration limit exception, they must jointly submit a written report to House and Senate committees. This report must include a justification for the waiver, an analysis of economic necessity, and a description of alternative bids considered.
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Greater Transparency for the Public: Section 3(b) requires that the written reports regarding these waivers be made publicly available on the respective websites of the waiving agency and the Federal Deposit Insurance Corporation.
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Encouragement of Competitive Bidding: By defining a "qualified bid" in Section 2, the Act ensures that agencies look for bids from companies that are well capitalized and well managed before resorting to concentration limit exceptions.
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Protection of the Deposit Insurance Fund: Section 4 limits the consideration of "bad faith bids" when agencies are determining the least costly way to resolve an institution, specifically excluding bids that would result in violations of concentration limits.
Potential Negative Impacts for People
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Increased Burden of Proof for Regulators: According to Section 2, agencies can no longer grant concentration limit exceptions easily; they must now determine, based on "clear and convincing evidence," that the merger is necessary to prevent significant economic disruption or adverse effects on financial stability.
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Reduction in Available Funds: Section 5 reduces the dollar amount specified under section 7(a)(3)(A) of the Federal Reserve Act by $2,000,000, effective September 1, 2036.
Groups and Interests Ranking
Every group the model scored this bill for, from -10 to +10. Tap or hover a score for the reason it gave.
- Governance And Ideology
- Does this make what the government does easier for the public to see? — The bill mandates that reports regarding concentration limit waivers be made available to the public on agency websites.
- Demographic And Interest Groups
- Would households on low incomes be better off under this? — Increased competition in bank resolutions can help maintain financial stability for all depositors. Would middle-income households be better off under this? — Greater competition in bank mergers may lead to better outcomes for depositors.
- Economy And Finance
- Does this give people more protection from unfair business practices? — The bill increases transparency and competition in bank acquisition processes. Does this reduce what the federal government owes? — The bill reduces a specific dollar amount under the Federal Reserve Act by $2,000,000.
- 7/15/2026
- Received in the Senate and Read twice and referred to the Committee on Banking, Housing, and Urban Affairs.
- 7/14/2026
- Motion to reconsider laid on the table Agreed to without objection.
- Passed/agreed to in House: On motion to suspend the rules and pass the bill, as amended Agreed to by voice vote.
- On motion to suspend the rules and pass the bill, as amended Agreed to by voice vote. (text: CR H4438-4440)
- DEBATE - The House proceeded with forty minutes of debate on H.R. 6556.
- Considered under suspension of the rules. (consideration: CR H4438-4441)
- Mr. Hill (AR) moved to suspend the rules and pass the bill, as amended.
- 2/2/2026
- Reported (Amended) by the Committee on Financial Services. H. Rept. 119-475.
- Placed on the Union Calendar, Calendar No. 406.
- 12/17/2025
- Committee Consideration and Mark-up Session Held
- Ordered to be Reported (Amended) by the Yeas and Nays: 51 - 0.
- 12/16/2025
- Committee Consideration and Mark-up Session Held
- 1 Cosponsor added.
- 12/10/2025
- Referred to the House Committee on Financial Services.
- Introduced in House
Josh GottheimerDemocrat · New Jersey