WASHINGTON D.C. – The Federal Deposit Insurance Corporation (FDIC) isn’t known for street brawls, but their latest move is a clear signal they’re flexing their oversight muscle. Today, the FDIC dumped a list of state nonmember banks recently put under the microscope for Community Reinvestment Act (CRA) compliance, effectively naming names and letting the public see who’s walking the walk when it comes to lending in underserved communities.
The CRA, a 1977 law, isn’t about putting bankers in jail. It’s a mandate to ensure insured banks aren’t redlining low- and moderate-income neighborhoods, forcing them to actually *meet* the credit needs of all communities they serve, while still maintaining “safe and sound operations.” Sounds good on paper, but the Grimy Times knows too often these regulations are loopholes waiting to be exploited.
This isn’t a sudden crackdown, mind you. Congress, with the Financial Institutions Reform, Recovery, and Enforcement Act of 1989 (FIRREA), decided back in 1990 that the public deserved to know how banks were being rated on their CRA performance. The FDIC is simply complying with that law, publishing evaluations from June 2022. But the timing feels pointed, especially given the current economic climate and anxieties over equitable access to capital.
Want the full list of shame – or praise? The FDIC has a consolidated list available dating back to July 1, 1990, detailing every state nonmember bank evaluation and its corresponding rating. You can find it online, or if you’re old school, hit up the FDIC’s Public Information Center at 3501 Fairfax Drive, Room E-1002, Arlington, VA 22226. They’re reachable at 877-275-3342 or 703-562-2200. Be warned, wading through all that data isn’t for the faint of heart.
And if you’re curious about a *specific* bank’s performance, don’t bother calling us. The law requires banks to make their CRA evaluations available upon request. Or, again, hit up the FDIC’s Public Information Center. LaJuan Williams-Young at the FDIC (703-470-0201) is your contact if you have questions. The FDIC updated this information on September 2, 2022.
The Grimy Times will continue to dig deeper into these evaluations, looking for patterns of compliance – or, more likely, non-compliance – and holding these institutions accountable. This isn’t just about numbers; it’s about the real-world impact on communities struggling to get a fair shake. Stay tuned.
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