Posted by naraghi on September 30, 19101 at 21:37:54:
In Reply to: SAVE OUR COMMUNITIES posted by David on June 16, 1999 at 16:39:18:
: NAACP, Urban League Need Your Help to Fight Bank Discrimination!
: Before 1977, banks routinely denied loans to minorities and others who
: lived in poor neighborhoods. Because of this "red-lining" -- the
: process of denying people access to services or charging them different
: rates based on where they live -- some people found it impossible to get loans,
: even from banks where they had accounts!
: To combat this widespread lending discrimination, Congress
: passed the federal Community Reinvestment Act (CRA). The CRA requires
: banks to invest in the communities in which they do business by
: providing loans to people who live in those neighborhoods. If a bank
: fails to meet the credit needs of its community, the government can deny
: that bank permission to expand its business or merge with another
: financial institution.
: Since its enactment, the CRA has been incredibly successful in building
: stronger communities. Between 1993 and 1997, the number of home
: mortgage loans extended to African Americans increased by 62 percent,
: Hispanics by 58 percent, Asian Americans by 25 percent, Native Americans
: by 25 percent and low- and moderate-income borrowers by 38 percent.
: According to the Small Business Administration, loans to African
: American and Hispanic-owned firms increased by 154 percent and 144
: percent, respectively, between 1992 and 1997.
: Unfortunately, some members of Congress want to go back to the days
: when banks were free to discriminate against people because of where
: they lived. A bill that is supposed to modernize the financial services
: industry -- "The Financial Services Modernization
: Act of 1999" -- contains provisions that would drastically weaken
: the Community Reinvestment Act.
: The fate of the CRA will be decided before the July 4th Congressional recess.
: It's time to take action! Don't let Congress turn back the clock
: to the days of banking discrimination! Tell your members of
: Congress to oppose any effort to weaken the Community
: Reinvestment Act by sending a letter from the CivilRights.org web site at
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