CRA Rule Roleback: What Comes Next

March 28, 2025 Statement

Today, federal bank regulators announced their intent to rescind the Community Reinvestment Act (CRA) final rule issued in October 2023 and to reinstate the old framework. The final rule had been held up by litigation since early 2024.

The Community Opportunity Alliance strongly supported the updated CRA rule because it brought long-overdue reforms: greater accountability, clearer benchmarks, and more substantial incentives for investment in the low- and moderate-income communities we serve. Reversing course now would not only undercut those improvements but also leave behind the very people and places CRA was designed to support.

It’s possible the Trump Administration will propose a new CRA regulation at some point. If it does, the Alliance will coordinate with you, our members, national partners, and peer organizations to respond and advocate for the organizations and communities we serve.

Rescinding the 2023 rule is a significant step backward in modernizing and strengthening CRA, a cornerstone of community development investment. The 2023 rule included long-overdue updates aimed to keep financial institutions more accountable for serving low- and moderate-income communities.

We will keep you informed as more details become available, and we remain committed to a strong, modern CRA that drives real investment where it’s needed most.