119th CONGRESS
1st Session
S. 2113


To amend the Federal Reserve Act to prohibit earnings on balances maintained at a Federal Reserve bank by or on behalf of a depository institution.

IN THE SENATE OF THE UNITED STATES

June 18, 2025

Mr. Paul introduced the following bill; which was read twice and referred to the Committee on Banking, Housing, and Urban Affairs

A BILL

To amend the Federal Reserve Act to prohibit earnings on balances maintained at a Federal Reserve bank by or on behalf of a depository institution.

Be it enacted by the Senate and House of Representatives of the United States of America in Congress assembled,

SECTION 1. Short title.

This Act may be cited as the “End the Fed’s Big Bank Bailout Act”.

SEC. 2. Prohibition on earnings.

Section 19(b) of the Federal Reserve Act (12 U.S.C. 461(b)) is amended by striking paragraph (12) and inserting the following:

“(12) EARNINGS ON BALANCES.—No Federal Reserve bank may pay earnings on balances maintained at a Federal Reserve bank by or on behalf of a depository institution.”.