American Banker, April 3, 2018: 5 takeaways from Treasury’s call to action on CRA
Bank regulators are gearing up to modernize their policy on Community Reinvestment Act enforcement, but the CRA reform effort appeared to benefit from a jump-start Tuesday thanks to the Treasury Department.
Industry representatives, analysts and consumer advocates all praised the Treasury report recommending a slew of CRA reforms that could serve as a jumping off point for regulators that seemed poised for another attempt at updating their decades-old policy.
Despite hope that policymakers are serious about bringing CRA enforcement in line with modern technology, including the growth of mobile banking, regulators have tried to update the law before, to no avail. Still, the Treasury report — which included recommendations to redefine CRA assessment areas and provide flexibility on CRA exams, among others — appeared to spark optimism.