Fifty-three of the 57 banks receiving their Community Reinvestment Act (CRA) ratings this May were deemed to have turned in “satisfactory” performance for compliance with the anti-redlining law, according to information released Tuesday by the federal bank deposit insurer.
The other four banks included one bank rated “needs to improve” (Texas Exchange Bank, ssb, Crowley, Texas) and three rated “outstanding” (Metropolitan Bank in Oakland, Calif., Luther Burbank Savings in Santa Rosa, Calif., and HarborOne Bank in Brockton, Mass.).
The Federal Deposit Insurance Corp. (FDIC) notes that the CRA, enacted in 1977, is intended to encourage insured banks and thrifts to meet local credit needs, including those of low- and moderate-income neighborhoods, consistent with safe and sound operations.
The May ratings were released in the FDIC’s August 2021 list of banks examined for CRA compliance.