What are Federal Reserve Regulations

Federal Reserve regulations are rules put in place by the Federal Reserve Board to regulate the practices of banking and lending institutions, usually in response to laws enacted by the legislature. The primary purpose of most Federal Reserve regulations is to protect individual consumers against banking and lending practices that are deceptive, can potentially cause financial harm or violate individual privacy rights.

BREAKING DOWN Federal Reserve Regulations

Because many of the Federal Reserve regulations have lengthy official titles, they are more often referred to by their assigned regulation letter, such as Regulation D, T or Z. These letters are assigned in alphabetical order as new regulations are enacted, with newer regulations having to resort to a double-digit format such as AA, BB, etc. A summary of Federal Reserve regulations is as follows:

  • A: Extensions of Credit by Federal Reserve Banks
  • B: Equal Credit Opportunity
    • Prohibits lenders from discriminating against borrowers
  • C: Home Mortgage Disclosure
    • Requires mortgage lenders to disclose information about their lending patterns to the federal government
  • D: Reserve Requirements of Depository Institutions
  • E: Electronic Funds Transfer
  • F: Limitations on Interbank Liabilities
  • G: Securities Credit by Persons other than Banks, BrokersĀ or Dealers
  • H: Membership of State Banking Institutions in the Federal Reserve System
  • I: Issue and Cancellation of Capital Stock of Federal Reserve Banks
    • Establishes stock-subscription requirements for member banks
  • J: Collection of Checks and Other Items by Federal Reserve Banks and Funds Transfers through Fedwire
  • K: International Banking Operations
    • Oversees international operations of U.S. banks and foreign banks in the U.S.
  • L: Management Official Interlocks
    • Places restrictions on the management relationships officials may have with multiple depository institutions
  • M: Consumer Leasing
  • N: Relations with Foreign Banks and Bankers
  • O: Loans to Executive Officers, Directors and Principal Shareholders of Member Banks
  • P: Privacy of Consumer Information
  • Q: Prohibition Against Payment of Interest on Demand Deposits
  • R: Relationships with Dealers in Securities under Section 32 of the Banking Act of 1933
  • S: Reimbursement to Financial Institutions for Assembling or Providing Financial Records
  • T: Credit by Brokers and Dealers
  • U: Credit by Banks for Purchasing or Carrying Margin Stocks
  • V: Loan Guarantees for Defense Production
    • Facilitates the extension of credit for national defense production when necessary
  • W: Transactions between Member Banks and Their Affiliates
    • Implements Sections 23A and 23B of the Federal Reserve Act
  • Y: Bank Holding Companies and Change in Bank Control
  • Z: Truth in Lending
  • AA: Unfair or Deceptive Acts or Practices
  • BB: Community Reinvestment
    • Implements the Community Reinvestment Act
  • CC: Availability of Funds and Collection of Checks
  • DD: Truth in Savings
  • EE: Netting Eligibility for Financial Institutions
  • FF: Obtaining and Using Medical Information in Connection with Credit