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Patriot Bank, Bank of Houston pass community reinvestment exams

March 06, 2013

Two Houston banks scored "satisfactory" marks on the Federal Deposit Insurance Corp.'s exam on compliance with the Community Reinvesment Act, which purports to measure how well banks serve various segments of the population. But it's not too difficult - it's a standard, pre-Dodd Frank compliance test that banks have gone through for several years, said Dan Bass, Houston managing director of Performance Trust Capital Partners LLC. The banks "know the rules as far as what they need to be doing to show that they're serving all areas of the community, not just the high-net-worth areas," Bass told me in a quick phone call early Tuesday, adding that the test takes into account a population's mix of income and geography. "Basically, you define your market share and show that you're not discriminating against one type of client base."

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