Finance

Under the federal Community Reinvestment Act (CRA), banks and savings institutions are required to:

AOffer mortgages at below-market rates to low-income borrowers
BMeet the credit needs of the communities they serve, including low- and moderate-income neighborhoods✓ Correct
CMaintain a minimum percentage of their loan portfolio in FHA loans
DReport all loan denials to the Oregon Division of Financial Regulation

Explanation

The Community Reinvestment Act (1977) requires FDIC-insured depository institutions to meet the credit needs of all segments of their communities, including low- and moderate-income (LMI) neighborhoods. Banks receive CRA ratings that are publicly available and considered in applications for mergers, acquisitions, and new branch openings.

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