CUNA News
  • LOG IN
  • Create Account
  • Sign Out
  • My Account
  • LOG IN
  • Create Account
  • Sign Out
  • My Account
  • Credit Union Magazine
    • Buyers' Guide
    • Digital Edition
    • Credit Union Hero
    • Credit Union Rock Star
    • Subscribe
    • Advertise
    • Contact
  • Advertise
  • Topics
    • Community Service
    • Compliance
    • Credit Union Hero
    • Credit Union Rock Star
    • Credit Union System
    • Directors
    • Human Resources
    • Leadership
    • Lending
    • Marketing
    • Operations
    • Policy & Issues
    • Sales & Service
    • Technology
  • Awards
    • Nominate Credit Union Hero
    • Nominate Credit Union Rock Star
  • Podcasts
  • Videos
  • Jobs
  • Contact

News

Home » Interagency statement on Midwest flooding
Compliance

Interagency statement on Midwest flooding

July 8, 2019
No Comments

In March 2019, NCUA and federal and state banking agencies issued an interagency statement on supervisory practices regarding financial institutions affected by this year’s extensive flooding in the Midwest:

• Lending. Institutions should work constructively with borrowers in communities affected by flooding in the Midwest. Prudent efforts to adjust or alter terms on existing loans in affected areas should not be subject to examiner criticism.

Evaluate loan modifications individually to determine whether they represent troubled debt restructurings.

• Temporary facilities. The agencies understand that many financial institutions face staffing, power, telecommunications, and other challenges in re-opening facilities after the flooding in the Midwest.

In cases where operational challenges persist, the primary federal and/or state regulator will expedite, as appropriate, any request to operate temporary facilities to provide more convenient availability of services to those affected by flooding in the Midwest.

In most cases, a telephone notice to the primary federal and/or state regulator will suffice initially to start the approval process, with necessary written notification being submitted shortly thereafter.

• Regulatory reporting requirements. Institutions affected by flooding in the Midwest that expect to encounter difficulty meeting the agencies’ reporting requirements should contact their primary federal and/or state regulator to discuss their situation.

The agencies do not expect to assess penalties or take other supervisory action against institutions that take reasonable and prudent steps to comply with the regulatory reporting requirements if those institutions can’t fully satisfy those requirements due to the effects of flooding. 

• Investments. The agencies realize local government projects may be negatively affected by flooding in the Midwest. Institutions should monitor municipal securities and loans affected by this flooding.

Use appropriate monitoring and prudent efforts to stabilize such investments.

Click here for the full statement.

Refer to the “Interagency Supervisory Examiner Guidance for Institutions Affected by a Major Disaster” here [PDF].

Post a comment to this article

Report Abusive Comment

Credit Union Magazine: Rock Stars 2023

Rock Stars 2023

Credit Union Rock Stars are outstanding credit union professionals and directors from a wide range of disciplines who inspire and innovate to advance the missions of their credit unions. The 25 members of the 11th class of Rock Stars were selected for their exceptional creativity, innovation, and passion.
Digital Edition •  Subscribe

Trending

  • Meet the 2023 Credit Union Rock Stars

  • Senate Banking Committee passes cannabis banking bill

  • Senate committee to mark up SAFER Banking Act this week

Polls

Do you plan to use the FedNow instant payment service?

View Results
More

Champion for the Credit Union Movement

Credit Union National Association is the most influential financial services trade association and the only national association that advocates on behalf of all of America's credit unions. We work tirelessly to protect your best interests in Washington and all 50 states. We fuel your professional growth at every level and champion the credit union story at every turn.

More CUNA

  • Membership
  • Contact Us
  • Careers

Resources for

  • Credit Union Advocates
  • Leagues
  • Press
  • Providers

Our Affiliates

  • American Association of Credit Union Leagues (AACUL)
  • Credit Union Awareness
  • Credit Union House
  • CUNA Strategic Services
  • National Credit Union Foundation
GET CUNA UPDATES
© 2023 Credit Union National Association | ADA Compliance Notice & Legal
Email Us