“Outstanding” ratings for their compliance with anti-redlining laws in December were earned by seven banks, the federal insurer of bank deposits said Monday – but the agency also said three banks earned ratings of “needs to improve.”
The Federal Deposit Insurance Corp. (FDIC) said the other 46 banks earned ratings of “satisfactory” for their compliance with regulations implementing the Community Reinvestment Act (CRA). The law requires that ratings of banks be made public.
According to the FDIC, banks earning the “outstanding” CRA rating were:
- State Bank of Bement, Bement, Ill.;
- Decorah Bank & Trust Co., Decorah, Iowa;
- Comenity Bank, Wilmington, Del.;
- Northwest Bank, Warren, Pa.;
- Comenity Capital Bank, Draper, Utah;
- Sallie Mae Bank, Salt Lake City, Utah;
- Pioneer Federal Savings and Loan Association, Deer Lodge, Mont.
“Outstanding” is the highest rating the FDIC gives to banks for their compliance with the anti-redlining regulations. Banks that earn the higher rating also receive a less frequent CRA exam schedule, under agency rules.
Meanwhile, the FDIC also reported that First Palmetto Bank (Camden, S.C.), Penn Community Bank (Doylestown, Pa.), and Parke Bank (Sewell, N.J.) each earned the “needs to improve” rating. The agency’s listings do not say why the banks earned the lower compliance rating.
The lowest CRA compliance rating is “substantial noncompliance,” which the FDIC bestowed on no bank this month.
FDIC Issues List of Banks Examined for CRA Compliance – March