12 CFR §25.65 Sanctions
§25.65 Sanctions. (a) In general. If the OCC determines that a bank is not reasonably helping to meet the credit needs of the communities served by the bank in the host state, and that the bank’s statewide loan-to-deposit ratio is less than 50 percent of the host state loan-to-deposit ratio, the OCC: (1) May order that…
Appendix A to Part 25 – Ratings
Appendix A to Part 25—Ratings (a) Ratings in general. (1) In assigning a rating, the OCC evaluates a bank’s performance under the applicable performance criteria in this part, in accordance with §§25.21 and 25.28. This includes consideration of low-cost education loans provided to low-income borrowers and activities in cooperation with minority- or women-owned financial institutions…
Appendix B to Part 25 – CRA Notice
Appendix B to Part 25—CRA Notice (a) Notice for main offices and, if an interstate bank, one branch office in each state. Community Reinvestment Act Notice Under the Federal Community Reinvestment Act (CRA), the Comptroller of the Currency evaluates our record of helping to meet the credit needs of this community consistent with safe and…
§__.11(c)(3) Special Purpose Institution Exclusivity
§§__.11(c)(3) & 195.11(c)(2) – 1 Q: Is the list of special purpose institutions exclusive? A1: No, there may be other examples of special purpose institutions. These institutions engage in specialized activities that do not involve granting credit to the public in the ordinary course of business. Special purpose institutions typically serve as correspondent banks, trust…
§__.11(c)(3) Special Purpose Institution Activities
§§__.11(c)(3) & 195.11(c)(2) – 2 Q: To be a special purpose institution, must an institution limit its activities in its charter? A2: No. A special purpose institution may, but is not required to, limit the scope of its activities in its charter, articles of association, or other corporate organizational documents. An institution that does not have legal…
§__.12(a) Affiliate Definition
§__.12(a) – 1 Q: Does the definition of “affiliate” include subsidiaries of an institution? A1: Yes, “affiliate” includes any company that controls, is controlled by, or is under common control with another company. An institution’s subsidiary is controlled by the institution and is, therefore, an affiliate. Source: Interagency Questions & Answers Regarding Community Reinvestment | July 2016
§__.12(f) Branch Definition
§__.12(f) – 1 Q: Do the definitions of “branch,” “automated teller machine (ATM)”, and “remote service facility (RSF)” include mobile branches, ATMs, and RSFs? A1: Yes. Staffed mobile offices that are authorized as branches are considered “Branches,” and mobile ATMs and RSFs are considered “ATMs” and “RSF.” §__.12(f) – 2 Q: Are loan production offices (LPO) branches for purposes of…
§__.12(g) Community Development v. Economic Development
§__.12(g) – 1 Q: Are community development activities limited to those that promote economic development? A1: No. Although the definition of “community development” includes activities that promote economic development by financing small businesses or farms, the rule does not limit community development loans and services and qualified investments to those activities. Community development also includes community- or tribal-based…
§__.12(g) Community Development Location
§__.12(g) – 2 Q: Must a community development activity occur inside a low- or moderate-income area, designated disaster area, or underserve or distressed nonmetropolitan middle-income area in order for an institution to receive CRA consideration for the activity? A2: No. Community development include activities, regardless of their location, that provide affordable housing for, or community services targeted to…
§__.12(g) Community Development in High-Cost Areas
§__.12(g) – 3 Q: Does the regulation provide flexibility in considering performance in high-cost areas? A3: Yes, the flexibility of the performance standards allows examiners to account in their evaluations for conditions in high-cost areas. Examiners consider lending and services to individuals and geographies of all income levels and businesses of all sizes and revenues. In addition the…