Enacted by Congress in 1977, the Community Reinvestment Act (CRA) seeks to address inequities in access to credit, especially in low- and moderate-income (LMI) neighborhoods. The CRA requires regulated financial institutions to demonstrate that their deposit and credit services meet the convenience and needs of the local communities where they are chartered. In the New England region, the act further requires the Federal Reserve Bank of Boston to assess each state member bank's performance in its local communities under the CRA, consistent with safe and sound operation.
On October 24, 2023, Federal bank regulatory agencies—the Board of Governors of the Federal Reserve System (BOG), Federal Deposit Insurance Corporation (FDIC), and Office of the Comptroller of the Currency (OCC)—jointly issued a final rule to strengthen and modernize regulations implementing the CRA to better achieve the purposes of the law.
See the Community Reinvestment Act Final Rule for related materials including the press release, fact sheet, interagency summary of key objectives, Board member statements, and additional resources.
The sections below contain resources, tools, and examiner tips and best practices to assist state member banks with understanding the current regulatory requirements, assessing performance context factors, and enhancing the effectiveness and quality of their CRA programs. The goal of providing this information is to support state member banks with identifying needs and opportunities within their assessment areas and to streamline the CRA evaluation process.