Illinois Administrative Code › Title 38 - FINANCIAL INSTITUTIONS › Part 345 - BANK COMMUNITY REINVESTMENT › Subpart B - STANDARDS OF ASSESSING PERFORMANCE › Section 345.240 - Service Test

Current through Register Vol. 48, No. 28, July 12, 2024
a) Scope of test.
				The service test evaluates a bank's record of helping to meet the credit needs
				of its assessment area by analyzing both the availability and effectiveness of
				a bank's systems for delivering retail banking services and the extent and
				innovativeness of its community development services.
b) Area benefited. Community development
				services must benefit a bank's assessment area or a broader Statewide or
				regional area that includes the bank's assessment area.
c) Affiliate service. At a bank's option, the
				Secretary will consider, in its assessment of a bank's service performance, a
				community development service provided by an affiliate of the bank, if the
				community development service is not claimed by any other institution and in
				this regard the bank shall monitor and keep records of whether such claims
				exist.
d) Performance criteria -
				retail banking services. The Secretary evaluates the availability and
				effectiveness of a bank's systems for delivering retail banking services,
				considering the assessment factors in Section 345.200 and pursuant to the
				following criteria:
1) The current
				distribution of the bank's branches among low-, moderate-, middle-, and
				upper-income geographies;
2) In the
				context of its current distribution of the bank's branches, the bank's record
				of opening and closing branches, particularly branches located in low- or
				moderate-income geographies or primarily serving low- or moderate-income
				individuals;
3) The availability
				and effectiveness of alternative systems for delivering retail banking services
				(e.g.
,
RSFs, surcharge-free RSFs within its network, RSFs not
				owned or operated by or exclusively for the bank, banking by telephone or
				computer, loan production offices, bank-at-work or bank-by-mail programs) in
				low- and moderate-income geographies and to low- and moderate-income
				individuals;
4) The range of
				services provided in low-, moderate-, middle-, and upper-income geographies and
				the degree to which the services are tailored to meet the needs of those
				geographies; and
5) The bank's
				record of effectively marketing its retail banking services to unbanked or
				underbanked persons and offering retail banking services targeted to meet the
				needs of unbanked and underbanked persons. In determining whether a bank offers
				retail banking products and services targeted to meet the needs of unbanked and
				underbanked persons, the Department shall consider:
A) whether the bank offers accounts
				substantially and materially similar to BankOn certified accounts; or
B) whether the bank offers financial services
				and products to users of alternative financial products or services, provided
				that, that the bank has affirmatively and reasonably demonstrated that:
i) the bank offers such accounts or such
				financial services and products in conjunction with focused and sustained
				marketing efforts reasonably designed to reach unbanked and underbanked
				persons;
ii) unbanked and
				underbanked persons may reasonably conveniently obtain or use such accounts or
				such financial services and products; and
iii) the bank offers such accounts or such
				financial services and products at a cost to the unbanked and underbanked
				persons that is significantly lower than would otherwise be incurred by the
				users of alternative financial products or services.