Bank Failure Prevention Act of 2025

This bill, called the Bank Failure Prevention Act of 2025, sets firm deadlines for how bank regulators handle merger and acquisition applications. Within 30 days of getting an application, the Federal Reserve or other bank regulator must tell the applicant if the file is complete or what is missing; they can add 30 more days if the case is complex. After the applicant replies, the file counts as complete unless the regulator says the response has major problems and explains why within 30 days. Regulators cannot rely on outside comments to decide if a file is “complete”; they must base that on what the applicant provides .

Regulators must approve or deny an application within 90 days of when it was first submitted, even if the file isn’t yet considered complete. If they miss that deadline, the application is automatically approved. The applicant can ask for one extension of up to 30 days . A summary from the Library of Congress notes the same 90-day decision rule and the notification timeline for completeness.

Key points

• Who is affected: companies that own banks (bank holding companies), savings and loan holding companies, and banks seeking merger approval; plus the Federal Reserve and other bank regulators .
• What changes: clear 30-day notice on file completeness (with one 30-day extension for complex cases); “complete” status after the applicant responds unless the regulator flags major issues within 30 days; no use of third-party input to judge completeness; 90-day deadline to approve or deny from first submission, with automatic approval if missed and one applicant‑requested extension up to 30 days .