Financial institutions interested in earning credit for
banking activities covered under the Community Reinvestment Act (CRA) will be
interested in an updated list of eligible underserved communities published by
banking regulators.
Learn more about this and other recent developments at
federal agencies in this regulatory roundup:
Agencies release list of CRA-eligible communities
Federal banking agencies released the 2024 list of
distressed or underserved nonmetropolitan middle-income geographies where banks
may earn CRA credit for revitalization or stabilization activities. These
eligibility designations reflect local economic conditions, including
unemployment, poverty, and population changes, according to the Federal
Reserve. Eligible activities may receive CRA credit consideration under the law’s
“community development” definition for 12 months after publication of the
current list. The agencies apply a one-year lag period for geographies included
in the 2023 list but are no longer designated as distressed or underserved in
the current list. The updated list and other details are available here.
The definition of “community
development” is among the long list of CRA elements subject to changes
approved by federal banking agencies earlier this year and covered in the Dodd
Frank Update report on “CRA
and Affordable Housing.”
FHFA releases historical credit score data
Fannie Mae and Freddie Mac
are making historical VantageScore 4.0 credit
scores available to approved users as a means to support the enterprises’
transition to updated credit score and credit report requirements,
according to the Federal Housing Finance Agency (FHFA). The historical
credit scores for each enterprise are associated
with single-family loans purchased by each enterprise between April
2013 and March 2023. This comprehensive data reflects the period
for which trended consumer credit data
is reliably available across the three nationwide consumer
reporting agencies, and is meant to help market participants better analyze and
understand the new credit score models validated and
approved for use by the enterprises. The historical credit scores are
available for download at the enterprises’ respective websites. Learn more
here.
FTC chair testifies before Congress regarding 2025 budget
Federal Trade Commission (FTC) Chair Lina Khan detailed the
agency’s efforts to protect consumers, workers, and small businesses while
testifying before the House Energy and Commerce Subcommittee on Innovation,
Data and Commerce regarding its fiscal year 2025 budget. Khan covered the FTC’s
work to promote data privacy and security; fight fraud,
junk fees, and related harms affecting all consumers,
including older adults, servicemembers, and historically underserved
communities, among other things. Find more information here.