OCC Grants Clean Bill of Health to 13 Banks in Latest Community Lending Audit
By PYMNTS
AI summary of the source article
The Office of the Comptroller of the Currency (OCC) released its latest Community Reinvestment Act (CRA) compliance evaluations, rating three banks as 'outstanding' and 10 as 'satisfactory.' No examined institutions received 'needs to improve' or 'substantial noncompliance' ratings. Enacted in 1977 to address discriminatory lending in minority neighborhoods, the CRA evaluates how well institutions meet community credit needs, including low- and moderate-income areas. The OCC supervises national banks, federal savings associations, and insured federal branches of foreign banks, while the Federal Reserve and FDIC oversee other state-chartered institutions.
Why it matters
Under the CRA, regulators assess an institution's track record of meeting community credit needs, including in low- and moderate-income neighborhoods, to combat discriminatory lending practices.
Key facts
- The OCC rated three banks 'outstanding' and 10 banks 'satisfactory' for Community Reinvestment Act compliance in September evaluations.
- Zero evaluated banks received 'needs to improve' or 'substantial noncompliance' ratings from the regulator.
- First Federal Bank of Louisiana, First National Bank at St. James, and MidCountry Bank received the 'outstanding' ratings.