Search Results for keywords:"CFI asset cap"

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Search Results: keywords:"CFI asset cap"

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  • 2021-01267 — Notice of Annual Adjustment of the Cap on Average Total Assets That Defines Community Financial Institutions
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    Type:Notice
    Citation:86 FR 6650
    Reading Time:about 3 minutes

    The Federal Housing Finance Agency (FHFA) has updated the cap on average total assets that determines if a Federal Home Loan Bank member qualifies as a "community financial institution" (CFI) to $1,239,000,000. This adjustment is based on the 1.2% increase in the Consumer Price Index for all urban consumers (CPI-U) from November 2019 to November 2020, as published by the Department of Labor. The changes took effect on January 1, 2021. The aim of the adjustment is to reflect inflation and ensure that the cap is in line with current economic conditions.

    Simple Explanation

    The Federal Housing Finance Agency decided to change the rules about which banks are considered small enough to get special help by saying they can only have a little more than a billion dollars in total. They made this decision to keep things fair because prices for stuff have gone up a bit.

  • 2025-00720 — Notice of Annual Adjustment of the Cap on Average Total Assets That Defines Community Financial Institutions
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    Type:Notice
    Citation:90 FR 3865
    Reading Time:about 3 minutes

    The Federal Housing Finance Agency (FHFA) has announced an adjustment to the cap on average total assets to determine if a Federal Home Loan Bank member qualifies as a "community financial institution" (CFI). This cap has been set at $1.5 billion, reflecting a 2.7% increase based on changes in the Consumer Price Index for all urban consumers (CPI-U) from November 2023 to November 2024. This adjustment, effective from January 1, 2025, allows CFI status to be determined using unadjusted CPI-U data, as it is less prone to revisions than adjusted data.

    Simple Explanation

    The Federal Housing Finance Agency has decided that a special kind of bank, called a "community financial institution," can have up to $1.5 billion in total assets, which is a little more than before because prices have gone up. This change starts on January 1, 2025.