Bill · H.R. 146· House(119-HR-146)
Prohibition on IOER Act of 2025
- Introduced
- 1/3/2025
- Last activity
- 1/3/2025 — Referred to the House Committee on Financial Services.
- Sponsored by
- Warren Davidson
- Cosponsors
- None
- Introduced
- In Committee
What this bill would do
This bill, known as the "Prohibition on IOER Act of 2025," aims to amend the Federal Reserve Act. The primary goal is to prohibit Federal reserve banks from paying interest on excess reserves. It specifically targets the earnings paid on balances maintained at a Federal reserve bank by or on behalf of a depository institution. The legislation includes changes to the heading and specific subparagraphs of the existing law.
Yes
Does this reduce what the federal government spends?+5
Prohibiting the payment of interest on excess reserves reduces the interest expenses paid out by Federal Reserve banks.
The opposite
Would business owners be better off under this?-5
Depository institutions, which are a type of business, will lose the interest income they currently earn on excess reserves.
Who it would affect, and how
Potential Positive Impacts for People
- There are no specific positive impacts or benefits for individuals or groups of people explicitly mentioned in the provided text.
Potential Negative Impacts for People
- There are no specific negative impacts or burdens for individuals or groups of people explicitly mentioned in the provided text.
Groups and Interests Ranking
Every group the model scored this bill for, from -10 to +10. Hover a score for the reason it gave.
- Demographic And Interest Groups
- Good For Business Owners-5
- Economy And Finance
- Reduces Government Spending+5
- 1/3/2025
- Referred to the House Committee on Financial Services.
- Introduced in House