What is the Community Reinvestment Act?

The Community Reinvestment Act (CRA) is a federal law designed to promote investment in low-income areas. This law requires banks and other financial institutions to invest and provide services to low and moderate-income communities. The CRA was initially established in 1977 and was amended in 1995. In Texas, the CRA applies to all financial institutions that accept deposits, including state and federally chartered banks, savings and loan associations, and savings banks. Banks are subject to periodic examination by the Office of the Comptroller of the Currency (OCC). During this examination, the OCC evaluates the bank’s record of helping meet the credit needs of the local community, including lending to low and moderate-income communities and businesses. The goal of the CRA is to ensure banks meet the needs of low-income communities and individuals. To meet this goal, the CRA requires banks to maintain branches in low-income communities, provide access to banking services, and invest in affordable housing and community development projects. Banks can also provide grants, training, and credit counseling to members of low-income communities. The CRA has had a positive impact in Texas. It has increased access to credit in low-income areas, encouraged economic development in these areas, and provided investment in affordable housing and community development projects. The CRA is an important law that helps to ensure all members of society have access to financial services and resources.

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What is the Community Reinvestment Act?

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