Community Financial Institution [Banks & Banking] Law and Legal Definition

Pursuant to 12 USCS § 1422 (10) [Title 12. Banks and Banking; Chapter 11. Federal Home Loan Banks],

“(A) In general. The term community financial institution means a member-- (i) the deposits of which are insured under the Federal Deposit Insurance Act; and (ii) that has, as of the date of the transaction at issue, less than $ 1,000,000,000 in average total assets, based on an average of total assets over the 3 years preceding that date.

(B) Adjustments. The $ 1,000,000,000 limit referred to in subparagraph (A)(ii) shall be adjusted annually by the Director, based on the annual percentage increase, if any, in the Consumer Price Index for all urban consumers, as published by the Department of Labor.”