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How Philadelphia’s Mortgage Lending is Being Impacted

Under the Community Reinvestment Act (CRA), Federal Reserve banks can earn credits for home loans made in low and middle-income neighborhoods. A 2014 change to this law is now affecting many communities in Philadelphia. Here are just a few effects that have been noticed thus far.

Drawing New Boundary Lines

Changes to the CRA generally come as a result of Census Bureau information. In 2014, the Office of Management and Budget (OMB) used 2010 census data to divide Montgomery, Bucks, and Chester counties from Philadelphia and Delaware counties.

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