Federal Regulators Announce Joint CRA Overhaul
July 21, 2021
Federal banking regulators are planning a joint overhaul of rules governing the Community Reinvestment Act.
WASHINGTON, DC (July 21, 2021) – Three federal agencies, the Federal Reserve, Federal Deposit Insurance Corporation (FDIC), and the Office of the Comptroller of the Currency (OCC) regulate the Community Reinvestment Act (CRA), a 1977 law that encourages federally-regulated banks and depository institutions to make loans and invest in the communities they serve including low and moderate-income neighborhoods. Federal regulators currently consider bank investments in SBICs and RBICs a “qualifying activity” for CRA credit. SBIA filed formal comments earlier this year in response to a request for stakeholder input.
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The Small Business Investor Alliance (SBIA) is the premier organization of lower middle market private equity funds and investors. SBIA works on behalf of its members as a tireless advocate for policies that promote competitive markets and robust domestic investment for growing small businesses. SBIA has been playing a pivotal role in promoting the growth and vitality of the private equity industry for over 60 years. For more information, visit www.SBIA.org or call (202) 628-5055.