$50 Billion Threshold in the Dodd- Frank Act: Key Findings [December 14, 2017]   [open pdf - 124KB]

"This Insight presents the key findings from the newly issued CRS Report R45036, Bank Systemic Risk Regulation: The $50 Billion Threshold in the Dodd-Frank Act. [...] The 2007-2009 financial crisis highlighted the problem of 'too big to fail' (TBTF) financial institutions--the concept that the failure of a large financial firm could trigger financial instability, which in several cases prompted extraordinary federal assistance to prevent their failure. One pillar of the Dodd-Frank Act's (P.L. 111-203's) response to addressing financial stability and ending TBTF was a new enhanced prudential regulatory regime that applies to all banks with more than $50 billion in assets and to certain other financial institutions. Under this regime, the Federal Reserve is required to apply a number of safety and soundness requirements to large banks that are more stringent than those applied to smaller banks."