Banks must submit reports according to regulations for a variety of topics, including mortgage loans, interest incomes, and debt and equity securities, among others. The reports are intended to help the Federal Reserve evaluate the financial security of financial institutions in the United States.
After the Great Recession hit the U.S., the government instituted a number of new regulations and reporting procedures to prevent it occurring again in the future. Many fault the banking industry with the Great Recession, as they inflated the value of many items, such as houses, in the U.S. economy. When the values were leveled due to economic factors, it was revealed that there were many errors in the way that banks provided loans.