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H.R. 3234 · Finance and Financial Sector
Keeping Deposits Local Act
Introduced May 7, 2025 · Received in the Senate and Read twice and referred to the Committee on Banking, Housing, and Urban Affairs.
What does this mean?

Banks and credit unions sometimes take a large deposit from one customer and spread it across a network of other banks, in smaller chunks, so that the whole amount stays covered by federal deposit insurance (the government guarantee that protects your money if a bank fails, normally up to $250,000 per account). This bill lets banks accept more of these spread-out "reciprocal" deposits, with bigger banks allowed to hold more of them based on their overall size. It also loosens the health requirements a bank must meet to use this system — currently a bank needs a top-tier safety rating from regulators, but under this bill banks with the three highest safety grades (out of six, where 1 is healthiest and 6 is worst) would qualify, not just the very healthiest ones.

Read the official CRS summary on Congress.gov →
Bill Lifecycle
Real action history from Congress.gov — where this bill is in the process, and every recorded step along the way.
Introduced in House
May 7, 2025
Referred to Committee
May 7, 2025
Passed House
May 20, 2026
Received in Senate
May 21, 2026
Full action history (15)
May 7, 2025Referred to the House Committee on Financial Services.
May 7, 2025Introduced in House
Sep 16, 2025Ordered to be Reported (Amended) by the Yeas and Nays: 51 - 0.
Sep 16, 2025Committee Consideration and Mark-up Session Held
Nov 4, 2025Placed on the Union Calendar, Calendar No. 314.
Nov 4, 2025Reported (Amended) by the Committee on Financial Services. H. Rept. 119-362.
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