Community Reinvestment Act Policy Form

Summary

This model Community Reinvestment Act Policy Form has been prepared for financial institutions subject to the federal Community Reinvestment Act (CRA). This template contains practical guidance and optional clauses. The CRA Policy must be drafted with Federal regulators and the CRA's purpose at the forefront of the policy. The CRA requires Federal financial institution regulators to assess the record of each financial institution in fulfilling its obligation to the community. The Federal financial institution regulators are: the Office of the Comptroller of the Currency (OCC); the Board of Governors of the Federal Reserve System; and the Federal Deposit Insurance Corporation (FDIC). The purpose is to encourage banks to meet the credit needs of the communities where they operate, including help to rebuild and revitalize low- and moderate-income (LMI) communities, through sound lending and good business judgment that benefits the banks and the communities they serve. The CRA does not apply to credit unions insured by the National Credit Union Share Insurance Fund (NCUSIF) or nonbank entities supervised by the Consumer Financial Protection Bureau (CFPB). For a full listing of key materials necessary to develop consumer-related bank policies and procedures central to regulated depository institution operations, see Developing Bank Policies and Procedures Resource Kit. For a full listing of key content covering financial services regulation related topics, see Financial Services Regulations Fundamentals Resource Kit. For information on the CRA and Financial Inclusion, see First Analysis: Federal Banking Agencies Revise Community Reinvestment Act (CRA) Regulation and Community Reinvestment Act and Financial Inclusion.