Prohibition on Interest on Excess Reserves (IOER) Act of 2025
January 3, 2025
Track this bill to get notified when it advances a stage. One tap to stop, anytime.
Where This Stands
Currently in_committee. The next step in the legislative lifecycle is Floor Vote.
Version history
Only one version on file - nothing to compare yet. As later stages (committee substitute, engrossed, enrolled) are captured, the redline appears here.
View official text →The Frame
The bill would eliminate a primary tool used by the Federal Reserve to manage interest rates and bank liquidity, which could fundamentally change how commercial banks earn interest on their deposits held at the central bank.
Potentially affected actors named in the source documents. Mention is not a position.
Federal Reserve
The bill would remove a specific monetary policy tool used by the Federal Reserve to influence interest rates.
Depository institutions
These institutions would no longer receive interest payments from the Federal Reserve on their excess reserve balances.
Current stage: in_committee.
Floor Vote.
Summary
Why It Matters
The bill would eliminate a primary tool used by the Federal Reserve to manage interest rates and bank liquidity, which could fundamentally change how commercial banks earn interest on their deposits held at the central bank.
Frequently Asked Questions
What is IOER?
What does this bill do?
What is the current status of the bill?
Key Facts
- The bill is titled the 'Prohibition on IOER Act of 2025'.
- The bill is classified as an HR (House of Representatives) bill.
- The bill has been referred to the House Committee on Financial Services for review.
News Coverage
Sponsors
Discoveries
Patterns POLISCOPE noticed across the record. These are observations to investigate, not conclusions.
Monetary Policy Tool Removal
The bill represents a legislative attempt to strip the Federal Reserve of a key interest rate management tool established in the post-2008 era.
Connected Entities
Analysis Score
0–100- Significance65How much this matters to a regular citizen
- Controversy75Intensity of disagreement among stakeholders
- Entertainment10Compellingness for a non-policy-wonk reader
- Buzz20Current news / social attention level
Publisher tools