Press Release: FDIC Issues List of Banks Examined for CRA Compliance
The Federal Deposit Insurance Corporation (FDIC) has recently released its list of state nonmember banks that were evaluated for compliance with the Community Reinvestment Act (CRA). This list covers evaluation ratings assigned to institutions in July 2023. The CRA is a law from 1977 that aims to encourage insured banks and thrifts to meet the credit needs of local communities, particularly low- and moderate-income neighborhoods, while ensuring safe and sound operations.
The disclosure of evaluation and rating for banks and thrifts undergoing CRA examinations has been mandated by Congress since 1990. This information is made publicly available to promote transparency and accountability. Individuals interested in obtaining a consolidated list of all state nonmember banks with their respective ratings since July 1, 1990, can request it from the FDIC’s Public Information Center or access it online.
FDIC’s List of Banks Examined for CRA Compliance
The recently released list includes the evaluation ratings of state nonmember banks that underwent CRA examinations in July 2023. This list is important for consumers and investors who want to understand the commitment of banks towards meeting the credit needs of their communities. By reviewing these ratings, individuals can make informed decisions about their banking relationships and support institutions that prioritize local community development.
To access the November 2023 List of Banks Examined for CRA Compliance, visit the FDIC’s website or contact their Public Information Center for a hard copy. The list contains detailed information about each bank’s evaluation rating, allowing stakeholders to assess their performance in fulfilling community credit needs.
Importance of Community Reinvestment Act (CRA)
The CRA was established to address the issue of redlining, a discriminatory practice where banks would avoid lending or investing in low-income or minority neighborhoods. The law requires banks to provide fair access to credit and financial services to all communities in which they operate.
The CRA has had a significant impact on increasing access to credit for underserved communities since its enactment. Banks and thrifts are now required to demonstrate their commitment to meet the credit needs of low- and moderate-income neighborhoods through various activities such as mortgage lending, small business lending, and community development investments.
Frequently Asked Questions about FDIC’s List of Banks Examined for CRA Compliance
1. What is the purpose of the CRA?
The Community Reinvestment Act (CRA) aims to ensure that insured banks and thrifts meet the credit needs of the communities they serve, especially low- and moderate-income neighborhoods, while maintaining safe and sound operations.
2. When was the CRA enacted?
The CRA was enacted in 1977.
3. Why does FDIC release a list of banks examined for CRA compliance?
The FDIC releases the list to promote transparency and inform the public about the evaluation ratings of state nonmember banks in fulfilling their CRA obligations.
4. How can I access the list of banks examined for CRA compliance?
You can access the list of banks examined for CRA compliance on the FDIC’s website or request a hard copy from their Public Information Center.
Conclusion
The release of the FDIC’s list of banks examined for CRA compliance provides valuable information for consumers, investors, and community members. By reviewing the evaluation ratings, individuals can assess the commitment of banks towards meeting the credit needs of their communities. The CRA plays a crucial role in promoting equal access to credit and financial services, ensuring that all neighborhoods have the opportunity to thrive. For more information about banking and financial services, visit [VisBanking](https://visbanking.com/).
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