CFR > Title 12 - Banks and Banking > CHAPTER I—COMPTROLLER OF THE CURRENCY, DEPARTMENT OF THE TREASURY > PART 3—MINIMUM CAPITAL RATIOS; ISSUANCE OF DIRECTIVES > SUBPART C—Establishment of Minimum Capital Ratios for an Individual Bank (§3.9 to §3.13) > 3.10—Applicability.

3.10—Applicability.

The OCC may require higher minimum capital ratios for an individual bank in view of its circumstances. For example, higher capital ratios may be appropriate for:
(a) A newly chartered bank;
(b) A bank receiving special supervisory attention;
(c) A bank that has, or is expected to have, losses resulting in capital inadequacy;
(d) A bank with significant exposure due to the risks from concentrations of credit, certain risks arising from nontraditional activities, or management's overall inability to monitor and control financial and operating risks presented by concentrations of credit and nontraditional activities;
(e) A bank with significant exposure to declines in the economic value of its capital due to changes in interest rates;
(f) A bank with significant exposure due to fiduciary or operational risk;
(g) A bank exposed to a high degree of asset depreciation, or a low level of liquid assets in relation to short term liabilities;
(h) A bank exposed to a high volume or, or particularly severe, problem loans;
(i) A bank that is growing rapidly, either internally or through acquisitions; or
(j) A bank that may be adversely affected by the activities or condition of its holding company, affiliate(s), or other persons or institutions including chain banking organizations, with which it has significant business relationships.

Code of Federal Regulations

[60 FR 39493, Aug. 2, 1995]