Fifty-one of the 54 banks that received Community Reinvestment Act (CRA) ratings from the federal bank deposit insurer in May were deemed “satisfactory” under the federal anti-redlining statute, according to data released this week.
The Federal Deposit Insurance Corp. (FDIC) data showed that two banks out of 54 received CRA ratings of “outstanding,” while one was labeled “needs to improve.”
None on the list, released Monday, was deemed to be in “substantial noncompliance,” the data show.
The two banks rated “outstanding” in May included Stock Yards Bank & Trust Company, Louisville, Ky., and First Federal Bank of Kansas City, Lees Summit, Mo.
Receiving the “needs to improve” rating was Farmers Bank & Trust, Great Bend, Kan.
The FDIC notes that the CRA, enacted in 1977, requires the FDIC to assess a bank’s record of meeting the credit needs of its entire community, including those of low- and moderate-income neighborhoods, consistent with safe and sound operations.