On February 12, Sen. Bernie Moreno (R-OH) and Rep. Warren Davidson (R-OH) introduced the American Lending Fairness Act of 2026 in the U.S. Congress to address state lending restrictions on out-of-state state-chartered banks and credit unions. The bill would limit the effect of a state’s interest rate limitations to institutions chartered by that state, thus allowing out-of-state, state-chartered banks and credit unions to export rates even to a state that had limited the rates that institutions chartered by that state could impose. This, in effect, returns to the position established by an FDIC legal opinion issued shortly after DIDMCA’s enactment. The announcement stated that the bill directly responds to a 2025 10th Circuit decision reversing a district court’s injunction of a Colorado law that applies Colorado interest rate limits to loans made by out-of-state lenders (covered by this Orrick Insight here). The bill also repeals Section 525 of DIDMCA, which is the provision that had allowed states to “opt out.”