Finance

Under the Community Reinvestment Act (CRA), NJ banks are evaluated on their:

AProfitability relative to competitors
BEfforts to meet the credit needs of all segments of their communities, including low- and moderate-income areas✓ Correct
CCompliance with RESPA disclosure requirements
DInvestment in federal securities

Explanation

CRA requires federal regulators to evaluate banks on how well they serve the credit needs of their entire communities, including low- and moderate-income neighborhoods, and this evaluation can affect bank expansion and merger approvals.

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