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CRA proposal may strain banks' relationships with nonprofits
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Banks currently can satisfy their CRA obligations by lending to or investing in organizations that work in areas like affordable housing or community development.
They can also give grants or donations to nonprofits with similar missions and obtain CRA credit for those contributions.
The proposal also limits grants that qualify for CRA credit to community development programs in the bank's geographic area.
"The rule before [was] extremely flexible on what counted as a community development grant," Wylie said.
"This is going to impact the funds that community nonprofits have available in the housing and community development space," Wylie said.