CSBS Strongly Supports the FDIC’s Proposed State Bank Parity Rule

September 17, 2026 / Source: CSBS

Washington, D.C. – Today, the FDIC issued a proposed rule that would ensure that out-of-state, state-chartered banks can continue to engage in interstate activities under the same standards that apply to national banks. The proposal would align FDIC regulations with the intent of the Riegle-Neal Act and the realities of modern banking, where institutions increasingly serve customers without maintaining a physical branch in every state. 

Statement by CSBS President and CEO Brandon Milhorn:

“CSBS strongly supports this rulemaking and appreciates Chairman Hill’s leadership on an issue that is increasingly important to maintain parity between state-chartered and national banks. By modernizing the application of the interstate banking framework, the FDIC proposal would help preserve competitive balance within the dual banking system and ensure that charter choice is driven by business needs and supervisory quality rather than outdated regulatory distinctions.”