American Access to Banking Act

This bill, called the American Access to Banking Act, aims to make it easier to start new banks and credit unions. It tells federal banking and credit union regulators to simplify application forms, reduce extra paperwork by using information they already have, and review how these new institutions can raise money while still protecting investors, including looking at limits that affect people who aren’t accredited investors. Agencies must also report on their progress within one year and then every year for five years.

The bill improves support for applicants by requiring a dedicated caseworker to guide them through the process and serve as the main contact. Agencies also have to help set up mentor relationships with recently approved institutions and post clear instructions on how to find or become a mentor within one year . Regulators must work with state officials and community groups, including rural banks, community development financial institutions, and minority depository institutions, and offer guidance, training materials, and regular workshops. They must submit a public engagement plan within two years and update it every five years, with a chance for public comment. The application process includes applying for federal deposit or share insurance and Federal Reserve membership .

Key points

• Who is affected: People starting new banks or credit unions; federal and state regulators; communities served by rural institutions, CDFIs, and minority depository institutions.
• What changes: Simpler applications, less duplicate paperwork, review of capital-raising rules, assigned caseworkers, mentorship lists, and more training and outreach .
• When: Agency progress reports start within one year and continue annually for five years; mentorship info posted within one year; engagement plans due in two years and then every five years, with public input .