HR-4801 — Unleashing AI Innovation in Financial Services Act

YourVoice.Now Summary

Your MoneyCorporate BenefitsTransparency & Accountability

Banks and lenders could get federal rules waived to test AI — and must tell you when you deal with a test.

Your Money

Notice to customers — firms must say when AI is being tested

Each agency's rules must make firms tell customers or investors when they deal directly with an AI test. The notice must describe the test and the rule that was waived.

Consumer protections during AI tests — specific rules can be set aside

A waived rule could be one that protects customers. The consumer bureau is one of the seven regulators that can grant a waiver. The firm must still meet the law behind the rule another way.

Corporate Benefits

Rules waived for financial firms — while they test AI tools

Banks, credit unions, brokers, and lenders could ask their regulator to waive one rule for an AI test. In return, the firm must offer another way to meet the law behind that rule.

Automatic approval — applications not decided in time are granted

Regulators would have 120 days to decide, and could take one more 120-day period. If they miss that deadline, the application counts as approved.

Shield from other regulators — they cannot enforce the waived rule

Once a test is approved, other regulators mostly cannot enforce the waived rule. They may act only if they helped approve the test and the plan says so.

Transparency & Accountability

Yearly reports to Congress — each agency reports for eight years

Reports start two years after the law takes effect. Each of the seven regulators must send one each year. They go to the House and Senate committees that watch over banks.

Public comment on the new rules — 60 days required

Each agency has 180 days to write the rules that set this program up. Those rules must be published with a 60-day window for public comment.

End date for every AI test — no open-ended waivers

Agency rules must require each approved test to have a set end date. They must also spell out how a firm can ask to extend that date.

Names of firms in the tests — reports must leave them out

The yearly reports cannot name the firms taking part. They also leave out private business details. Part of a report may be classified.

More about this bill

Your bank, credit union, broker, or lender could get a federal rule set aside while it tests artificial intelligence (AI). Firms would have to tell you when you deal directly with one of those tests. The notice must say what the test does and which rule was waived. Nothing here changes a fee, a rate, or a benefit on its own. What changes is which rules apply to the company handling your money. Each of the seven federal financial regulators would set up an "AI Innovation Lab" office. Starting one year after the law takes effect, a firm could apply to waive or change one rule. It must propose another way to meet the law behind that rule. It must also show the test would not harm consumers, markets, or deposit insurance funds. Regulators would have 120 days to answer, with one 120-day extension. If they miss that deadline, the application counts as approved. Once approved, the waived rule can be enforced only as the approved plan describes. Some powers stay put. Regulators keep full authority over fraud, market manipulation, and unsafe practices. They can go to court to stop a test that puts consumers, markets, or national security at risk. They can also order a halt when harm cannot be undone. Each agency must write rules to set this up within 180 days. The public gets 60 days to comment on them. Every approved test must have an end date. Each agency then reports to Congress once a year for eight years, without naming the firms involved. Insurance is not part of the program.

Congressional Summary

Unleashing AI Innovation in Financial Services Act This bill allows regulated financial entities to test artificial intelligence (AI) projects under waived or modified regulations upon the approval of an application by the appropriate federal financial regulatory agency. These agencies must establish AI innovation labs to enable such projects. Under the bill, regulated entities may engage in AI test projects associated with financial products, services, or activities. Regulated entities must apply to the appropriate agency with a description and proposed duration of the AI test project, propose an alternative compliance strategy, and explain how the AI test project serves the public interest and does not present certain risks. The alternative compliance strategy must include several elements, such as (1) identifying a regulation issued by an agency that the regulated entity requests to be waived or modified and (2) proposing an alternative method of compliance with the regulation's underlying statute. Upon approval, the agency may only enforce such a regulation according to the agreement. The bill also provides for agency review of such applications, establishes procedures for entities that are subject to regulation by multiple agencies, and allows agencies to file for injunctive relief if an AI test project presents certain risks or dangers.

Legislative Subjects

Advanced technology and technological innovationsAdvisory bodiesBanking and financial institutions regulationComputers and information technologyData collection, sharing, protectionFinancial services and investmentsLicensing and registrationsPerformance measurementResearch and development

Details

Congress: 119th
Chamber: House
Status: summarized
Action: Reported to House
Action Date: 2026-06-24
Date Added: 2026-07-25
Source: Congress.gov →

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