Finance
The primary purpose of the Community Reinvestment Act (CRA) is to:
ARequire banks to lend only in wealthy neighborhoods
BEncourage financial institutions to meet the credit needs of all communities, including low- and moderate-income areas✓ Correct
CRegulate mortgage interest rates
DEliminate private mortgage insurance requirements
Explanation
The CRA encourages (and requires evaluation of) depository institutions to help meet the credit needs of their entire communities, including low- and moderate-income neighborhoods.
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