CA SB1176

Requires the Department of Financial Protection and Innovation to analyze whether nonbank lenders licensed by the department are meeting credit needs of underserved communities compared to depository institutions subject to the federal Community Reinvestment Act.

Mandates analysis of mortgage lending data from the Home Mortgage Disclosure Act, including application rates, approval rates, interest rates, and closing costs stratified by income and race/ethnicity.

Requires the department to seek information from regulators in other states with Community Reinvestment Act-modeled laws and analyze whether those laws increased lending to underserved communities compared to states without similar laws.

Directs the department to review its statutory authority, regulations, and examination processes to determine whether it has adequate authority to examine licensees on how well they meet financial services needs of underserved communities.

Requires the department to post all analysis findings and recommendations on its website and submit summary reports to the Senate Banking and Financial Institutions Committee and Assembly Banking and Finance Committee.