Bloomberg Law, May 5, 2022, Biden’s Bank Regulators Overhaul Low-Income Lending Rules (2)
Top U.S. banking regulators unveiled an update to anti-redlining rules after scrapping Trump-era rules that were criticized for giving priority to large-scale projects over targeted investments to low-income areas.
The proposal would make CRA evaluations more rigorous with new performance metrics. It would also get rid of the “satisfactory” rating and replace it with grades of “high satisfactory” or “low satisfactory.”
“It’s a floor, not a ceiling,” said Jesse Van Tol, the president and CEO of the National Community Reinvestment Coalition.
