12 C.F.R. § 337.12 Frequency of examination.
Title 12 - Banks and Banking
(a) General. The Federal Deposit Insurance Corporation examines insured state nonmember banks pursuant to authority conferred by section 10 of the Federal Deposit Insurance Act (12 U.S.C. 1820). The FDIC is required to conduct a full-scope, on-site examination of every insured state nonmember bank at least once during each 12-month period. (b) 18-month rule for certain small institutions. The FDIC may conduct a full-scope, on-site examination of an insured state nonmember bank at least once during each 18-month period, rather than each 12-month period as provided in paragraph (a) of this section, if the following conditions are satisfied: (1) The bank has total assets of $250 million or less; (2) The bank is well capitalized as defined in §325.103(b)(1) of this chapter; (3) At the most recent FDIC or applicable State banking agency examination, the FDIC found the bank to be well managed; (4) At the most recent FDIC or applicable State banking agency examination, the FDIC assigned the insured state nonmember bank a composite rating of 1 or 2 under the Uniform Financial Institutions Rating System (copies are available at the addresses specified in §309.4 of this chapter); (5) The bank currently is not subject to a formal enforcement proceeding or order by the FDIC, OCC, or Federal Reserve System; and (6) No person acquired control of the bank during the preceding 12-month period in which a full-scope, on-site examination would have been required but for this section. (c) Authority to conduct more frequent examinations. This section does not limit the authority of the FDIC to examine any insured state nonmember bank as frequently as the agency deems necessary. [63 FR 16381, Apr. 2, 1998]
Title 12: Banks and Banking
PART 337—UNSAFE AND UNSOUND BANKING PRACTICES
§ 337.12 Frequency of examination.
