However we define a bank’s assessment areas in the future, the regulations need to be designed and implemented in a way that encourages banks to direct their community investment activities productively. Tailoring The third guiding principle is that the CRA regulations should be tailored to banks of different sizes and business models.
We should set standards that are flexible enough to evaluate the CRA performance of a $ million bank no less effectively than a $ trillion bank. Banks seek clearer, simpler rules that result in more CRA activity with less burden.