The Trump Administration has been systematically dismantling long-standing civil rights laws, and now they are focusing on weakening the Community Reinvestment Act (CRA). The CRA was originally passed as one of the civil rights laws of the 1960s and 70s in response to systemic redlining, discrimination, and disinvestment. The CRA requires banks to lend and provide services equitably, and support community development in the places where they do business.
The OCC is proposing changes that threaten the very heart of the CRA and put at risk the work we all do to serve and empower lower-income communities of color. Right now, we need to make our voices heard, which means comments are critical. The OCC is accepting comments for the next 60 days on its proposed changes - until the deadline of April 8th. Write a comment, ask allies, members, friends, family to comment. Tell them what is wrong with the proposal and what we want.
We must fight for the right priorities. Click here to see our priorities and stay tuned for more information on how to submit comments. Comments are due April 8th!
The CRA is the reason why banks make loans to lower-income homebuyers, open or maintain branches in lower-income neighborhoods, invest time, resources, and money into community-based organizations and local projects for affordable housing, economic development, and more. With changes in the banking industry, persistent discrimination and racial disparities, and threats of displacement, the CRA need updating. However, the proposed changes to the CRA are not coming from the people impacted by redlining and disinvestment. They are driven by former banker turned Comptroller Joseph Otting of the Office of the Comptroller of the Currency (OCC). Even worse, the FDIC is joining them, allowing up to 70% of their banks to opt out, and the Federal Reserve Board is not supporting this flawed plan. This creates a confusing, bifurcated system with two of the three federal bank regulators offering proposals for the largest banks that threaten the very heart of this important law, while doing little to nothing to address its shortcomings.
Now is the time to fight back! Comments matter. Read more to learn about how the CRA helps you and your community, ways it needs to be strengthened, and why the OCC’s approach is the wrong one. The comment period is just 60 days, which gives us very little time to respond.