Community Reinvestment Act (CRA) - Understanding High Risk Lending and Compliance Issues

Why Should You Attend:

Community banks are subject to rules and regulations regarding community reinvestment overseen by the Federal Deposit Insurance Corporation (FDIC) under law, regulations, and related acts. The scope of this webinar will be on the Federal Deposit Insurance Act (FDIA), risk exposure in community banking under the Community Reinvestment Act (CRA).

The FDIC will insure deposits at the community bank and in doing so also assesses the underlying risk to the FDIC as well as whether the community bank is serving the credit needs of the local community and applying effective risk management. CRA compliance standards relative to the FDIC is subject to understanding the credit needs of the entire community, which includes low-income and middle-income families.

The webinar will enable community bank managers and credit managers to understand that extending credit line lending as well as mortgage lending to high-risk community applicants is important under CRA compliance standards overseen by the appropriate FDIC supervisory agency. The webinar will also cover Value-At-Risk (VAR) loans.

Learning Objectives:

• Understand the role of community bank and its role within the community.
• Understand the impact on the community from effective community bank lending.
• Understand why community bank lending is important for achieving goals underlying successful community reinvestment.
• Understand the basics of risk management for community bank lending.
• Get more familiar with industry best practices and become more knowledgeable of issues including the needs of low-income and moderate-income families and the credit financing difficulties faced by each demographic within the community.
• Learn why knowledge of compliance standards are important to determining your effectiveness in community banking operations.

Areas Covered in the Webinar:

• The FDIC framework for assessing bank records
• The credit needs of low-income and moderate-income families
• The importance of inclusive lending practices throughout the community
• The risk assessment and risk management process
• Understand the process of community bank lending and community reinvestment
• Best practices of community bank lending
• Understand related areas of the Federal Deposit Insurance Act (FDIA)
• Understand community development
• Understand the needs of underserved non-metro communities as designated by the FDIC, etc.
• Understand population demographics, community reinvestment, and community banking risk
• Understand the purpose for community development loans
• Understand the purpose of community investment service

Who Will Benefit:

• Credit Management Professionals
• Bank Managers
• Investment Professionals
• Bank Staff
• Chamber of Commerce Executives
• Business Directors
• Vice Presidents, Directors, and Managers of Human Resources
• Employment Managers
• Chief Talent Officers
• CEOs, CFOs, CTOs, CIOs, CPAs
• Recruiters/ Consultants / Third Party Hiring Agencies
• Customer Relationship Managers
• Loan Officers
• Bank Loan Officers
• Credit Loan Officers
• Company/ Business Owners
• Non-Profit Managers/ Supervisors
• Public Agency Managers
• Banking Compliance Personnel and Risk Managers
• Firms of all sizes that deal in community banking
• Any CO involved with community relations/human resources

Instructor Profile:

Vidia S. Ramdeen, MPA is CEO of Minerva Consulting and Ricochet Alternative Asset Management. He has worked within the finance industry in various roles for over 10 years and is consulted to examine policy and provide expert research. In addition, he has worked within local government and has spearheaded internal auditing initiatives. Mr. Ramdeen has received grant funding for previous projects in government and has formal training in the grant writing process. He has been a reviewer for academic journals including the Academy of Management; and is a research writer and management, strategy, innovation and cyber security expert.

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