How To Update CRA Practices For New Requirements

Discover the new CRA requirements from May 5 proposal. Learn how to prepare your institution.

On May 5, the regulators issued a joint proposal to update the Community Reinvestment Act (CRA) implementation rules. You likely have many questions about the changes and their impact on your institution.

The proposed rules:

• Strengthen the achievement of the statute’s purpose
• Adapt to changes in the banking industry
• Provide greater clarity and consistency
• Tailor standards to bank size, business models, and local conditions
• Refine data collection and reporting requirements
• Promote transparency and public engagement
• Confirm that CRA and fair lending responsibilities are mutually reinforcing
• Create a consistent regulatory approach

You need to understand the proposed rule changes to know what to expect when implementing them once the final rule is issued.

• What are the proposed CRA rule changes?
• What is the overall evaluation framework?
• How will the proposed changes affect financial institutions of different sizes?
• When will the proposed changes likely be effective?