August 19, 2026, Crain’s Cleveland Business, Proposed CRA revamp could spur disinvestment in Cleveland
“There is a reason banks nationwide maintain a percentage of branches in LMI areas at about 25%,” said Jesse Van Tol, CEO for the National Community Reinvestment Coalition. “The entire reason is the CRA.”
Sally Martin O’Toole, Cleveland’s director of building and housing, said she expects lenders to pay less attention to LMI areas absent of CRA policies holding them accountable.
“Proposed CRA rule changes threaten to undermine the fabric that preserves equity in lending and investment in low- and moderate-income census tracts,” she said. “This would mean the creation of fewer affordable housing units and less accountability for fair lending practices.”
Upward of 98% of examined banks pass their CRA exams. Yet, stakeholders tend to feel that there is an ongoing lack of investment in LMI communities across the country. That’s why housing advocates want to see the CRA optimized to be more effective and not modernized in a way that benefits lenders more than the communities they
