§__.12(h) Credit Cards and Community Development Lending

§__.12(h) – 4

Q: Do secured credit cards or other credit card programs targeted to low- or moderate-income individuals qualify as community development loans?

A4: No. Credit cards issued to low- or moderate-income individuals for household, family, or other personal expenditures, whether as part of a program targeted to such individuals or otherwise, do not qualify as community development loans because they do not have as their primary purpose any of the activities included in the definition of “community development.”

 

 

Source: Interagency Questions & Answers Regarding Community Reinvestment | July 2016

Last modified April 28, 2023