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Code · BILL · 116th Congress · S. 821 (Introduced in Senate) — To amend the Federal Reserve Act to prohibit certain member banks from using discount window lending programs, and fo... · Sec. 3

Sec. 3. Advances to individual member banks

241 words·~1 min read·/bill/116/s/821/is/section-3

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Section 10B of the Federal Reserve Act ( 12 U.S.C. 347b ) is amended by adding at the end the following: In this subsection, the term traditional underwriting and credit considerations — includes a good-faith determination by a member bank that the member bank lacks sufficient familiarity with a line of business or geographic region to do business with a person in that line of business or geographic region; and does not include reputational risks. No member bank with more than $10,000,000,000 in total consolidated assets may use a discount window lending program if the member bank refuses to do business with any person licensed under section 923 of title 18, United States Code, who is in compliance with the law, based on concerns other than traditional underwriting and credit considerations. .
Section 8(a)(2)(A) of the Federal Deposit Insurance Act ( 12 U.S.C. 1818(a)(2)(A) ) is amended— in clause (ii), by striking or at the end; in clause (iii), by striking the comma at the end and inserting ; or ; and by adding at the end the following: an insured depository institution with more than $10,000,000,000 in total consolidated assets that refuses to do with any person licensed under section 923 of title 18, United States Code, who is in compliance with the law, based on concerns other than traditional underwriting and credit considerations, as defined in section 10B(c) of the Federal Reserve Act ( 12 U.S.C. 347b(c) ). .
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