Community Reinvestment Act

The Community Reinvestment Act (CRA) is intended to encourage depository institutions to help meet the credit needs of the communities in which they operate, including low- and moderate-income neighborhoods, consistent with safe and sound banking operations. Congress enacted it in 1977.

The CRA requires that each insured depository institution's record in helping meet the credit needs of its entire community be evaluated periodically. That record is taken into account in considering an institution's application for deposit facilities, including mergers and acquisitions. CRA examinations are conducted by the federal agencies that are responsible for supervising depositiory institutions: the Board of Governors of the Federal Reserve System (FRB), the Federal Deposit Insurance Corporation (FDIC), the Office of the Comptroller of the Currency (OCC), and the Office of Thrift Supervision (OTS).

The Sargent Shriver National Center on Poverty Law has prepared a report, CRA and Sustainability, that describes how to use the Community Reinvestment Act as a tool to help make running a financial education program sustainable.

The National Community Reinvestment Coalition is the national trade association for groups working on CRA issues.

The following agencies regulate CRA issues: the Federal Deposit Insurance Corporation, Federal Reserve, Office of the Comptroller of the Currency, and Office of Thrift Supervision.