---
kind: "section"
citation: "12 C.F.R. § 238.10"
title: "12"
number: "238.10"
heading: "Categorization of banking organizations."
url: "https://uscodex.org/cfr/12/238.10"
---

# §238.10. Categorization of banking organizations.

- (a) **General.** A banking organization with average total consolidated assets of $100 billion or more must determine its category among the three categories described in [paragraphs (b) through (d)](#b..d) of this section at least quarterly.
- (b) **Category II.**
  - (1) **A banking organization is a Category II banking organization if the banking organization has—**
    - (i) $700 billion or more in average total consolidated assets; or
    - (ii)
      - (A) $75 billion or more in average cross-jurisdictional activity; and
      - (B) $100 billion or more in average total consolidated assets.
  - (2) After meeting the criteria in [paragraph (b)(1)](#b-1) of this section, a banking organization continues to be a Category II banking organization until the banking organization has:
    - (i)
      - (A) Less than $700 billion in total consolidated assets for each of the four most recent calendar quarters; and
      - (B) Less than $75 billion in cross-jurisdictional activity for each of the four most recent calendar quarters; or
    - (ii) Less than $100 billion in total consolidated assets for each of the four most recent calendar quarters.
- (c) **Category III.**
  - (1) **A banking organization is a Category III banking organization if the banking organization—**
    - (i) **Has—**
      - (A) $250 billion or more in average total consolidated assets; or
      - (B) $100 billion or more in average total consolidated assets and at least:

        (1) $75 billion in average total nonbank assets;

        (2) $75 billion in average weighted short-term wholesale funding; or

        (3) $75 billion in average off-balance sheet exposure; and

    - (ii) **Is not a Category II banking organization.**
  - (2) After meeting the criteria in [paragraph (c)(1)](#c-1) of this section, a banking organization continues to be a Category III banking organization until the banking organization:
    - (i) **Has—**
      - (A) Less than $250 billion in total consolidated assets for each of the four most recent calendar quarters;
      - (B) Less than $75 billion in total nonbank assets for each of the four most recent calendar quarters;
      - (C) Less than $75 billion in weighted short-term wholesale funding for each of the four most recent calendar quarters; and
      - (D) Less than $75 billion in off-balance sheet exposure for each of the four most recent calendar quarters; or
    - (ii) Has less than $100 billion in total consolidated assets for each of the four most recent calendar quarters; or
    - (iii) **Meets the criteria in paragraph (b)(1) of this section to be a Category II banking organization.**
- (d) **Category IV.**
  - (1) A banking organization with average total consolidated assets of $100 billion or more is a Category IV banking organization if the banking organization:
    - (i) Is not a Category II banking organization; and
    - (ii) **Is not a Category III banking organization.**
  - (2) After meeting the criteria in [paragraph (d)(1)](#d-1) of this section, a banking organization continues to be a Category IV banking organization until the banking organization:
    - (i) Has less than $100 billion in total consolidated assets for each of the four most recent calendar quarters;
    - (ii) Meets the criteria in [paragraph (b)(1)](#b-1) of this section to be a Category II banking organization; or
    - (iii) **Meets the criteria in paragraph (c)(1) of this section to be a Category III banking organization.**

## Notes

### Amendments

[84 FR 59077, Nov. 1, 2019]

### Authority

Authority: 5 U.S.C. 552, 559; 12 U.S.C. 1462, 1462a, 1463, 1464, 1467, 1467a, 1468, 5365; 1813, 1817, 1829e, 1831i, 1972, 15 U.S.C. 78 l.

### Source

Source: Reg. LL, 76 FR 56532, Sept. 13, 2011, unless otherwise noted.

### Amendments

[84 FR 59077, Nov. 1, 2019]