The annual CRA asset-size thresholds for covered financial institutions were announced on December 20, 2018 applicable for 2019. The cutoff adjustments are based on the change in the CPI (Consumer Price Index) for each 12-month period ending in November, rounded to the nearest million. As a result of the 2.59% increase in the CPI, the levels have changed.
Effective January 1, 2019, the new CRA rules for various size institutions are:
- Small Institutions “Small bank” and “small savings institution” means a bank with assets of $1.284 billion or less as of December 31 either of the two prior calendar years. This is up from $1.252 billion in 2018.
- Intermediate Institutions “Intermediate small bank” or “intermediate small savings association” means a small institution with assets of at least $321 million and less than $1.284 billion as of December 31 either of two prior calendar years.
- Large Institutions “Large institution” means a bank with assets of greater than $1.284 billion either of the two prior calendar years.
Also, don’t overlook that many census tracts have changed designations in 2018, such as from middle-income to moderate-income.
Does your Bank now meet any of these new thresholds? Contact TCA today at [email protected] or 800-934-7347 to consult with a CRA expert, because it’s a whole new compliance ballgame for your Bank.
