First Merchants Bank: Tier 1 Leverage Ratio
Data as of · sourced from FFIEC call reports. How we update
First Merchants Bank reported a tier 1 leverage ratio of 9.96% as of Q2 2026, ranking #2,456 of 3,634 U.S. banks (32nd percentile). The Tier 1 Leverage Ratio measures Tier 1 capital against unweighted average assets, a simpler backstop that prevents banks from gaming the risk-based capital rules.
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What is the Tier 1 Leverage Ratio?
The Tier 1 Leverage Ratio measures Tier 1 capital against average total assets. Unlike the risk-based capital ratios, it does not weight assets by their risk. It is the simple backstop that prevents banks from gaming the risk-based system.
Most US community banks report leverage ratios between 8% and 12%. Ratios below 5% warrant attention. The bank is heavily levered and thinly capitalized in absolute terms regardless of asset mix. The metric is most useful as a comparison to CET1: a wide gap (e.g., 15% CET1 vs 6% leverage) indicates an asset mix tilted toward low-risk-weighted securities or government-backed loans.
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What is First Merchants Bank's Tier 1 Leverage Ratio?
First Merchants Bank's Tier 1 Leverage Ratio was 9.96% as of Q2 2026, ranking #2456 of 3,634 U.S. banks.
What is the Tier 1 Leverage Ratio?
The Tier 1 Leverage Ratio measures Tier 1 capital against average total assets. Unlike the risk-based capital ratios, it does not weight assets by their risk. It is the simple backstop that prevents banks from gaming the risk-based system.
More First Merchants Bank metrics
Source: FFIEC call reports, standardized by BankRegReports. Values are point-in-time as filed. See the full First Merchants Bank profile or how this data updates. The figures come from the bank's call report.
Regulator records: FDIC BankFind (cert 4365) · FFIEC NIC profile (RSSD 17147)