On February 7, Secretary of the Treasury Scott Bessent announced that he will appoint Rodney E. Hood as a Deputy Comptroller and designate him as the First Deputy Comptroller of the Office of the Comptroller of the Currency (OCC). This means Hood will also act as the Acting Comptroller of the Currency.

Hood replaces Michael Hsu, who was appointed by former President Biden on May 10, 2021, to serve as Acting Comptroller of the Currency. Hsu served for the entirety of his leadership term at the OCC as Acting Comptroller. It is unclear how long Hood is expected to serve as the Acting Comptroller, and whether he or someone else may ultimately be nominated by President Trump to serve as the Comptroller.

The OCC, an independent bureau within the Department of the Treasury, regulates and supervises national banks and federal savings associations. The Comptroller of the Currency is appointed by the President with Senate confirmation. The Treasury Secretary can appoint up to four Deputy Comptrollers and designate one as the First Deputy Comptroller, who acts as Comptroller during any vacancy. In addition to serving as the head of the OCC, the Comptroller of the Currency serves as one of the five board members of the Federal Deposit Insurance Corporation (FDIC).

Key Points:

  • Leadership and Experience: Secretary Bessent highlighted Hood’s strong leadership and extensive career experience, which are expected to bolster the OCC’s efforts in ensuring the safety and soundness of the banking system while promoting economic growth.
  • Commitment to Service: In the press release, Hood expressed his dedication to serving the American people and the banking system by fostering a regulatory structure that encourages innovation and financial inclusion, particularly for debanked and underserved communities.
  • Rodney E. Hood’s Background: Hood has a distinguished background, having been confirmed by the U.S. Senate in 2005 and 2019 to serve on the National Credit Union Administration (NCUA) Board. He was designated as Chairman of the NCUA Board by President Trump in 2019. While he was at the NCUA, he also served as Vice Chairman of the Federal Financial Institutions Examination Council (FFIEC) and as a voting member of the Federal Stability Oversight Council (FSOC). Hood has also held senior roles in retail finance, commercial banking, affordable housing, and community development at major financial institutions, including as a Community Reinvestment Act officer for one of the biggest banking institutions in the United States. Hood is a North Carolina native and holds a bachelor’s degree from the University of North Carolina at Chapel Hill.

Hood is expected to deal with a number of significant issues while serving as Acting Comptroller, as well as in his role as a member of the FDIC board. These include overhaul of the recently approved FDIC Bank Merger Act Policy Statement, continued viability of the industrial loan company charter, expansion of the national bank charter to promote new fintech charters and partnerships with fintech firms, overhaul of the interagency Community Reinvestment Act regulations, community bank initiatives, and numerous other issues over the months ahead.