The traditional lending limits applicable to U.S. banks have been tightened by the Dodd-Frank Act by requiring that derivatives and securities financing transactions be included in the calculation. Pursuant to this requirement, the supervisor of national banks has implemented the change with a requirement that national banks be in conformity by the end of 2012. Among other results, this may impose restrictions on many banks’ provision of credit to their customers if they are already close to the limit under existing requirements. Also, the new limits apply to U.S. branches of foreign banks, a fact not mentioned in the announcement.View full memo, "Dodd-Frank: Derivatives and Lending Limits for US and Foreign Banks"