The Fiscal Accountability for Interest on Reserves Act would remove a provision of federal law that allows the Federal Reserve to pay interest on bank reserves held at the Fed. Specifically, the bill amends the Federal Reserve Act by eliminating the authority for the central bank to offer earnings on these reserve balances. The legislation would take effect 180 days after it becomes law. This change would affect banks that currently receive interest payments on deposits held with the Federal Reserve, potentially reducing their income from those reserves. The bill was introduced in July 2025 and referred to the House Committee on Financial Services, which typically reviews banking and monetary policy matters.
Take Action
Your position
Add a comment
to comment on this bill.
Annotate the text
Highlight any passage on the Summary or Full Text tab to attach a note. Annotations appear on the Annotations tab.