What Is ACORNs Relationship To The Community Reinvestment Act?
ACORN advocated for the passage of Community Reinvestment Act (CRA), which was enacted in response to redlining – the practice of denying low-income and minority neighborhoods access to credit – and required banks and thrifts to meet the legitimate needs for credit in all the communities they served. While CRA has been credited with incentivizing banks to lend in underserved communities, it has not forced banks and thrifts to engage in reckless lending practices, according to Ellen Seidman, former director of the Office of Thrift Supervision.
