Question -

My former bank had a CRA worksheet which stated 4 revenue codes - if you choose #4 - the loan was for consumer purpose, or it was a CRA Loan Type 09 - which meant it could be used for construction loans (that were not community development).

When I look on BOL for CRA worksheet examples - they don't even show a Revenue Type 4. Is this a choice on the bank's part - to breakdown consumer and/or construction loans separately?

Please advise.

Thanks.

Revenue code 4 is for records that are not small business or small farm loans in the CRA software. So you are correct, an entry of "4" would indicate the record is a consumer loan.

You are allowed to collect and maintain information about loans other than small business and small farm and community development loans for potential inclusion in a CRA performance evaluation. The loan type and revenue type fields are for that purpose.

At my former bank - if we had a construction loan that was not community development - we could code it a 4 for revenue code, and a 09 for cra loan type.

I am trying to clarify, if the loan is a commercial loan to build a spec residential house, if we are to classify it as a revenue code 4 (as I am used to), or a revenue type 1 since it is a commercial loan.

It's a case of following directions for so long, that when asked why - you pause...lol.

Any thoughts?

Thank you.