August 25, 2014
Citizens Union Bank (CUB) has once again received an “Outstanding” CRA Rating from the FDIC (Federal Deposit Insurance Corporation)! If you are not a banker, you are probably wondering what the heck is CRA, and why we are so happy about getting that rating. Well, here is an abbreviated description of what CRA is all about.
CRA stands for the Federal “Community Reinvestment Act”. The Act was put into place way back in 1977, and it is where bank regulators evaluate each bank’s record of helping to meet the credit needs of the communities they serve and operate in, including low- and moderate-income neighborhoods, consistent with safe and sound banking operations.
Banks (not Credit Unions) are evaluated on information about the banks, the communities they serve, and how they rate against their competitors and peers. Regulators usually spend about two to three weeks reviewing each bank’s loans and the community service they provide, while also talking to a variety of people within the communities about all the bank does. An overall CRA rating is then assigned to each bank using a four-tiered rating system of Outstanding, Satisfactory, Needs to Improve, or Substantial Noncompliance.
According to CUB CEO David Bowling, “The reason we are so proud here at CUB is that very few banks receive an overall “Outstanding” rating. Not only that, but CUB has received an “Outstanding” rating continually since 1994! We feel that demonstrates our ongoing commitment to meeting the needs of all people in the communities we serve. Even through slow economic times, we continued to do the right thing in our communities. We think that’s something to be proud of!”
If you have any questions about CRA or our rating, you can contact our CRA Officer, Scarlett Upchurch, at 866-633-4450, or stop by our Main Office, at 1854 Midland Trail to see her.
Citizens Union Bank is a regional community bank originally established in 1888 and headquartered in Shelbyville, KY. CUB currently employees 180 people in 14 locations throughout Jefferson, Shelby, Oldham, Bullitt, Hardin, Larue and Spencer Counties in Kentucky.