US FDIC and OCC propose a rule prohibiting supervisory actions based on reputation risk, ensuring institutions are not penalized for lawful activities or views – feedback by 6 Dec 2025

The proposed rule would prohibit these agencies from criticizing or taking adverse action against financial institutions based on reputation risk, and from instructing or encouraging institutions to close accounts or modify relationships due to a person or entity’s political, social, cultural, or religious views, or lawful business activities perceived as presenting reputation risk…