Office of the Comptroller of the Currency OCC

The National Currency Act of 1863, passed to finance the Civil War and create a uniform national currency, established the Office of the Comptroller of the Currency to charter and supervise a new system of national banks. That created the dual banking system that still exists: banks can choose a national charter supervised by the OCC or a state charter supervised by state regulators along with the Federal Reserve or the FDIC.

The OCC charters, regulates, and examines national banks and federal savings associations, along with federal branches of foreign banks. Its supervised institutions hold the majority of U.S. banking assets and include the largest banks in the country. Its examiners review banks' safety and soundness, compliance with consumer and anti-money-laundering laws, and risk management, and it can take enforcement actions, impose fines, and close failing national banks.

Although a bureau of the Treasury, the OCC is largely independent in its supervisory decisions. The Comptroller is appointed by the President and confirmed by the Senate for a five-year term and sits on the FDIC board. The OCC is funded by assessments on the banks it supervises rather than by appropriations. Its preemption of state banking laws, its stance toward fintech and crypto charters, and its debanking rules have been recurring sources of controversy.