NBA Urges Changes to CRA Proposal

The NBA recently submitted comments in response to the proposed changes to the Community Reinvestment Act (CRA). 

Specifically, the NBA’s letter called for:

• Reducing the burden on small banks
• Increasing community development activity transparency
• Eliminating the proposed large bank retail lending assessment areas
• Modifying the retail lending test
• Updating small business and farm definitions
• Extending CRA requirements to credit unions and other financial service providers
• Lengthening the implementation period. 

The NBA also joined the American Bankers Association (ABA) and 50 other state banking associations in a comment letter. The groups noted several proposed changes are contrary to the objectives of regulatory modernization.