Community Bank Deposit Access Act of 2025

The definition of 'custodial deposit' now excludes deposits made in return for fees paid by the insured depository institution pursuant to an agreement with a third party, narrowing what qualifies as a custodial deposit.

The ERISA reference for plan administrators was moved from inline in subsection (iv) to a new standalone definition of 'plan' in subsection (C), with subsequent definitions re-lettered accordingly.

The eligible institution rating requirement changed from 'composite condition of outstanding or good' to 'composite rating of 1, 2, or 3 under the Uniform Financial Institutions Rating System (or an equivalent rating under a comparable rating system), making the standard more specific and numerical.

The interest rate restriction was moved from replacing subsection (e) to adding new subsection (k), and the definition of 'covered insured depository institution' was narrowed to only include institutions acting as eligible institutions that accept custodial deposits while not well capitalized, removing the broader application to all brokered deposits under subsections (c) or (d).

The prohibition on paying excessive interest rates now applies only to custodial deposits accepted while not well capitalized, rather than to all funds obtained through deposit brokers or custodial deposits accepted while not well capitalized.

A new Section 3 reduces the dollar amount under section 7(a)(3)(A) of the Federal Reserve Act by $4,000,000, effective September 1, 2036, adjusting the Federal Reserve discretionary surplus fund.