U.S Code last checked for updates: Jun 15, 2024
§ 2903.
Financial institutions; evaluation
In general
In connection with its examination of a financial institution, the appropriate Federal financial supervisory agency shall—
assess the institution’s record of meeting the credit needs of its entire community, including low- and moderate-income neighborhoods, consistent with the safe and sound operation of such institution; and
take such record into account in its evaluation of an application for a deposit facility by such institution.
Majority-owned institutions
Financial holding company requirement
In general
An election by a bank holding company to become a financial holding company under section 1843 of this title shall not be effective if—
the Board finds that, as of the date the declaration of such election and the certification is filed by such holding company under section 1843(l)(1)(C) 1
 See References in Text note below.
of this title, not all of the subsidiary insured depository institutions of the bank holding company had achieved a rating of “satisfactory record of meeting community credit needs”, or better, at the most recent examination of each such institution; and
the Board notifies the company of such finding before the end of the 30-day period beginning on such date.
Limited exclusions for newly acquired insured depository institutions
Any insured depository institution acquired by a bank holding company during the 12-month period preceding the date of the submission to the Board of the declaration and certification under section 1843(l)(1)(C) 1 of this title may be excluded for purposes of paragraph (1) during the 12-month period beginning on the date of such acquisition if—
the bank holding company has submitted an affirmative plan to the appropriate Federal financial supervisory agency to take such action as may be necessary in order for such institution to achieve a rating of “satisfactory record of meeting community credit needs”, or better, at the next examination of the institution; and
the plan has been accepted by such agency.
For purposes of this subsection, the following definitions shall apply:
Bank holding company; financial holding company
Insured depository institution
Low-cost education loans
(Pub. L. 95–128, title VIII, § 804, Oct. 12, 1977, 91 Stat. 1148; Pub. L. 102–550, title IX, § 909(1), Oct. 28, 1992, 106 Stat. 3874; Pub. L. 106–102, title I, § 103(b), Nov. 12, 1999, 113 Stat. 1350; Pub. L. 110–315, title X, § 1031(a), Aug. 14, 2008, 122 Stat. 3488.)
cite as: 12 USC 2903