The Federal Reserve Board and the Federal Deposit Insurance Corporation have announced the updated asset-size thresholds for banks under the Community Reinvestment Act (CRA) for 2026. The CRA provides guidelines for how financial institutions are evaluated on their efforts to meet the credit needs of all segments of their communities, including those in low- and moderate-income areas, while maintaining safe and sound banking practices.
Each year, these asset-size thresholds are adjusted to reflect inflation as measured by the Consumer Price Index for Urban Wage Earners and Clerical Workers (CPI-W). For 2026, there was a 2.51 percent increase in the CPI-W for the period ending in November 2025. As a result, new thresholds have been set for what qualifies as a “small bank” or an “intermediate small bank” under CRA regulations.
According to the agencies, “The CRA regulations establish the framework and criteria by which the relevant agencies assess a financial institution’s record of meeting the credit needs of its entire community, including low- and moderate-income neighborhoods, consistent with safe and sound operations. Financial institutions are evaluated under different CRA examination procedures based upon their asset-size classification. The asset-size thresholds are adjusted annually based on the average change in the Consumer Price Index for Urban Wage Earners and Clerical Workers (CPI-W), which is a measure of inflation.”
These annual adjustments ensure that evaluation procedures remain aligned with current economic conditions.