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FDIC Scrubbing All Mentions of Reputational Risk

The Federal Deposit Insurance Corp. has begun removing all references to "reputational risk" from the agency's examination manuals and guidance, a senior regulator told attendees of an industry conference in Hollywood, Florida, on Monday. "We are flagging every instance referring to reputational risk, and presenting proposals to strike it in all areas," Lisa Arquette, a deputy director of the FDIC said during the opening panel of The Assembly Hollywood 2025 on Monday. "One of the FDIC's priorities is to ensure that law abiding customers do not lose access to bank accounts and banking services." Reputational risk refers to the tendency...

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