Regulation O

AAA

DEFINITION of 'Regulation O'

One of the regulations set forth by the Federal Reserve. Regulation O places limits and stipulations on the credit extension that a member bank can offer to its executive officers, principal shareholders and directors. This regulation also implements certain reporting requirements as set forth in previous financial legislation.

INVESTOPEDIA EXPLAINS 'Regulation O'

Regulation O has put into effect the requirements for reporting as laid out in two previous financial laws: the Financial Institutions Regulatory and Interest Rate Control Act of 1978 as well as the Garn-St. Germain Depository Institutions Act of 1982. Any bank with federal insurance must include a full report of all credit extended to its officers and key shareholders in every quarterly report.

RELATED TERMS
  1. Regulation 9

    A regulation that permits national banks to open and operate ...
  2. Regulation AA

    A regulation designed to address practices by banks that are ...
  3. Regulation B

    A regulation intended to prevent discrimination against applicants ...
  4. Regulation C

    A regulation that implements the Home Mortgage Disclosure Act ...
  5. Regulation CC

    One of the banking regulations set forth by the Federal Reserve. ...
  6. Garn-St. Germain Depository Institutions ...

    A law enacted by Congress in 1982 to enable banks and other savings ...
Related Articles
  1. Credit & Loans

    The Evolution Of Banking

  2. Personal Finance

    How The U.S. Government Formulates Monetary ...

  3. Forex Education

    Get To Know The Major Central Banks

  4. Personal Finance

    How The Federal Reserve Was Formed

Hot Definitions
  1. Turkey

    Slang for an investment that yields disappointing results or turns out worse than expected. Failed business deals, securities ...
  2. Conduit Issuer

    An organization, usually a government agency, that issues municipal securities to raise capital for revenue-generating projects ...
  3. Financing Entity

    The party in a financing arrangement that provides money, property, or another asset to an intermediate entity or financed ...
  4. Hyperinflation

    Extremely rapid or out of control inflation. There is no precise numerical definition to hyperinflation. Hyperinflation is ...
  5. Gross Rate Of Return

    The total rate of return on an investment before the deduction of any fees or expenses. The gross rate of return is quoted ...
  6. Debit Spread

    Two options with different market prices that an investor trades on the same underlying security. The higher priced option ...
Trading Center