Regulatory Relief Following Hurricane Ida (NY & NJ)

Friday, September 10, 2021 at 9:29AM
Banking Spectrum in Banking News, New Jersey, New York

The FDIC has announced a series of steps intended to provide regulatory relief to financial institutions and facilitate recovery in areas of New Jersey and New York affected by remnants of Hurricane Ida.

• The FDIC is encouraging banks to work constructively with borrowers experiencing difficulties beyond their control because of damage caused by Hurricane Ida.
• Banks that extend repayment terms, restructure existing loans, or ease terms for new loans in a manner consistent with sound banking practices can contribute to the health of the local community and serve the long-term interests of the lending institution.
• Banks may receive favorable Community Reinvestment Act consideration for community development loans, investments, and services in support of disaster recovery.
• The FDIC also will consider regulatory relief from certain filing and publishing requirements.

A copy of the Guidance can be found on the FDIC’s website.

Article originally appeared on Banking Spectrum (https://www.bankingspectrum.com/).