Meeting Community Reinvestment Act (CRA) requirements is crucial for banks because it ensures they are actively contributing to the communities they serve, particularly in low- and moderate-income areas. Employees can be invaluable assets in this endeavor by fostering community relationships and driving meaningful projects that align with CRA goals. Moreover, CRA participation can enhance employee engagement and retention, as employees often find greater job satisfaction and purpose in roles that contribute to positive community impact. This alignment of corporate and personal values not only boosts morale but also fosters a more committed and motivated workforce, ultimately benefiting the bank’s overall CRA performance and reputation. 

How to Encourage Employees to Participate

Banks can encourage employees to participate in CRA activities by aligning these initiatives with employee interests and offering various incentives. Allowing employees to choose causes they are passionate about enhances motivation and engagement, while monetary compensation and paid volunteer time off make participation more feasible. Recognition programs, such as employee of the month awards, and incorporating CRA involvement into career development plans provide further incentives. Establishing employee resource groups focused on community engagement fosters teamwork and a sense of community, while training sessions and partnerships with community development nonprofits offer structured volunteer opportunities. Mentorship programs can guide newer employees in community service activities, and including CRA employee service in performance metrics incentivizes involvement as part of professional responsibilities. These strategies not only promote active participation but also enhance employee satisfaction and retention.

List of CRA Opportunities for Employees

1. Host Financial Education Workshops

Providing consumer financial education resources enables the curation of a financially literate customer base from the ground up — educating students, engaging adult consumers, and strengthening commercial partnerships. Hosting financial education workshops is a powerful way to engage your employees in meaningful community service. These workshops can cover essential topics such as budgeting, savings, credit management, and retirement planning that meet the needs of your community.  To ensure CRA credit for these activities, the bank should document that the majority of individuals trained meet CRA income qualifications, such as low- or moderate-income or students from schools where the majority of students are eligible for USDA free and reduced-lunch programs. 

2. Offer Workplace Banking Programs

Employees across the country are stressed about their finances, and financial institutions are uniquely positioned to benefit employers and engage employees by providing financial education at the workplace. Encourage employees to volunteer in workplace banking programs designed to educate their peers and local businesses about financial management. These provide resources to help employees understand their finances better, ultimately fostering a more financially literate workforce.  To ensure CRA credit for workplace banking activities, the bank should partner with businesses where the majority of employees are low- or moderate-income or could also offer banking services to small businesses, startups, and entrepreneurs. 

3. Support Consumer Financial Education

Consumers need help making financial decisions big and small, from saving for college or retirement to building emergency funds and purchasing a new home. Empower your employees to boost their financial knowledge so they can help educate your consumers and build trust within your community. Employees can volunteer to assist with in-person or virtual financial education workshops that aim to improve financial literacy among consumers, enabling them to make better financial decisions, specifically to consumers who are low- or moderate-income or otherwise CRA-qualified 

4. Identify Relevant Volunteer Opportunities

The Office of the Comptroller of the Currency (OCC) provides a comprehensive list of CRA-qualifying activities. This list can serve as a guide for identifying relevant volunteer opportunities that align with your organization’s goals and capabilities. Encourage employees to get involved by highlighting the personal and professional benefits of volunteering, including improved community well-being and personal growth. Consider organizing team-based volunteer events to foster camaraderie and collective impact. 

5. Provide Training and Resources

Equip your employees with the necessary training and resources to effectively participate in volunteer activities. Utilize mid-funnel resources and webinars, such as our School Sponsorship Programs or this CSR Trends & Engaging Communities under the CRA Final Rule webinar to enhance their understanding and skills. 

How to Integrate Financial Education into Your CRA Program

Integrating financial education into your CRA program can significantly enhance its impact by empowering community members with essential knowledge and skills. Begin by partnering with local schools, nonprofits, and community organizations that align with CRA requirements to identify the specific financial literacy needs of the community. Develop tailored workshops and seminars covering topics such as budgeting, saving, credit management, and homeownership. Utilize bank employees as instructors, leveraging their financial expertise and fostering deeper community engagement. Additionally, create accessible online resources and tools for ongoing learning. Regularly evaluate and adjust the curriculum based on feedback and changing community needs to ensure its effectiveness and relevance. By embedding financial education into your CRA program, you not only comply with regulatory requirements but also promote long-term financial stability and growth within the community.

Measuring CRA Impact

Measuring the impact of CRA initiatives involves tracking employee participation, utilizing tools for assessing community impact, and adhering to reporting requirements and best practices. Employee participation metrics such as the number of volunteers, total hours served, and the number of low- or moderate-income participants, to gauge engagement and effectiveness. Tools like Social Return on Investment (SROI) analysis and Geographic Information Systems (GIS) help quantify and visualize the social, environmental, and economic benefits of CRA activities. Reporting requirements necessitate detailed documentation of activities and outcomes, while best practices include transparent data collection, standardized reporting formats, and integrating storytelling to highlight the human impact. Together, these strategies ensure a comprehensive understanding and effective communication of CRA efforts. 

How EVERFI Can Help

By engaging in these activities and using this Guide to the Community Reinvestment Act, your organization can play a pivotal role in enhancing financial literacy and economic inclusion, ultimately contributing to the overall health and prosperity of the community. 

Ready to make a difference in your community? To get in touch with EVERFI from Blackbaud, click here. Together, we can promote financial inclusion and empower our communities.