Banking Services

The Times (editorial, April 22) is to be commended for keeping its eye on efforts in the U. S. Senate to essentially “gut” the federal Community Reinvestment Act, which is one of the few tools available to encourage banks to serve entire communities, rather than just the better-off communities. As important as it is to defeat the language in the Senate that weakens the CRA, it is my view that the status quo in the banking services industry is not good enough for low-end fixed-income families. For years, efforts have been made by Rep. Maxine Waters (D-Los Angeles) and Rep. Lucille Roybal-Allard (D-Los Angeles) and former congressman Esteban Torres (D-Los Angeles) to establish by federal law a “lifeline” or basic banking provision for low-cost checking services that all banks must offer customers.

The House Banking Committee, on a close vote, defeated basic banking earlier this year. The Clinton administration should now use all the authority it already has to promote basic banking even without new legislation. Banks are a virtual necessity of modern life. New federal laws even require recipients of government checks to set up banking accounts. Banking services should be affordable and break down, rather then build up, barriers to a more just society.

RICK TUTTLE

City Controller

Los Angeles