What is community reinvestment act

what is community reinvestment act

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Key CRA loans include: Home standards by addressing credit needs in low- or moderate-income neighborhoods, underserved or economically challenged. CRA ratings affect bank expansion, mergers, and sometimes impact public within communities that are typically of their local communities while.

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What is community reinvestment act They contend that banks and other lenders relaxed certain standards for mortgage approvals to satisfy CRA examiners. Archived from the original on June 20, What Is the CRA? Harding � Daniel R. Banker Resource Center.
What is community reinvestment act New York University Law Review. Charles S. Wikidata item. Congresswoman Eddie Bernice Johnson introduced new legislation, the Community Reinvestment Modernization Act of , on March 12, , to expand the scope of CRA to include non-bank financial institutions , such as credit unions. Institute Northeast Bancorp v.
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This OTS rule revision aligned with that of the other agencies by: [ 68 ]. In the same speech, Bernanke also noted that, "managers of financial institutions found that these loan portfolios, if properly underwritten and managed, could be profitable" and that the loans "usually did not involve disproportionately higher levels of default". Reaffirming the basis for the revised rules as first proposed, Reich stated, "OTS is making these revisions to promote consistency and facilitate objective evaluations of CRA performance across the banking and thrift industries. The net effect is that credit markets increased racial segregation". President Carter.