Investments in a financial institution's local community and civic involvement has been a critical focal point for examiners over many years. Federal regulators have voiced support to improve regulatory implementation and enforcement of the Community Reinvestment Act (12 U.S.C. §§2901-2908) (CRA). Enacted in 1977, the CRA applies to FDIC-insured depository institutions, such as national banks, savings associations, and state-chartered commercial and savings banks, and is implemented by Federal regulations at 12 CFR parts 25, 228, 345, and 195. The CRA and its regulations are intended to encourage banks to assist in meeting credit needs of communities in which they operate, including low- and moderate-income neighborhoods and individuals.
The original CRA law has not been revised since the mid-1990s, despite minor enhancements periodically. As a result, Federal banking agencies are actively exploring a potential single metric to determine a bank’s lending and investment in relevant neighborhoods across the U.S.. Such metric would also consider sweeping changes to areas where banks are expected to lend. These prospective changes (and others) will modernize the CRA to enable banks with a larger digital presence and fewer branches to better meet regulatory expectations.
This CRA webinar covers key requirements of the CRA, recent regulatory updates, and prospective modifications to CRA implementation.
Among other things, this bank compliance webinar covers:
- Essential elements of developing and maintaining a strong CRA program
- Technical tools to surviving (and improving) CRA examinations
- Key criteria impacting CRA ratings and assessment areas
- Relevant examples for “lending”, “investment” and “service” under the CRA
- Challenges in transitioning from a “small” to an “intermediate small bank” (or large bank) status under the CRA and its regulations, and
- Prospective modernization of the CRA and forthcoming regulatory changes
This banking webinar is appropriate for:
- Bank executives, directors, and other senior officers
- Community Reinvestment Act (CRA) officers and other key personnel responsible for administering and monitoring a bank’s CRA program
- Key personnel interfacing with regulatory examination staff