The number of active trial and permanent Home Affordable Modification Program (HAMP) modifications in the Chicago region is now at its lowest since regional data has been reported, new data show (see our previous analyses). There were 34,576 active modifications in the Chicago region in July 2010, compared to 36,208 in November 2009, the first month Treasury released data by metro area.

As bank regulators take a close look at modernizing the provisions of the Community Reinvestment Act (CRA) through a series of hearings and public comment period (you have until August 31 to submit comments), we’re walking you through some key reasons why CRA must be updated. We’ve gone over how assessment areas don’t fully capture where a bank does business and why a broader scope of financial institutions must be covered by CRA. Today we’ll explain how CRA doesn’t meaningfully measure how banks are providing retail banking services to low- and moderate-income people.

Are you:

• A financial institution trying to understand the financial needs of a certain market?
• A government agency trying to decide where best to allocate scarce resources?
• A nonprofit organization looking to better serve your clients?
• An organization in need of rigorous research, program evaluation, or data and policy analysis that connects broad financial policies to community realities?

The predatory subprime lending crisis devastated families and communities across Chicago and the nation, particularly low-wealth communities and communities of color.

A crucial tool to fight discriminatory and predatory lending is the Home Mortgage Disclosure Act (HMDA). HMDA requires mortgage lenders to provide detailed reports of their lending to regulators and the public. Woodstock Institute uses HMDA data to track discriminatory lending practices, study patterns of community investment, and hold individual banks accountable for their lending practices.