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Financial Institution Letter

Meeting the Financial Needs of Customers Affected by Hurricane Michael and its Aftermath

Regulatory Relief

Summary:

The FDIC encourages depository institutions to consider all reasonable and prudent steps to assist customers in communities affected by recent storms. The FDIC realizes that although the effects of natural disasters on local businesses and individuals can be devastating, they often are transitory. The FDIC recognizes that efforts to work with borrowers in the affected communities can be consistent with safe-and-sound banking practices and in the public interest.

Statement of Applicability to Institutions Under $1 Billion in Total Assets: This Financial Institution Letter applies to all FDIC-supervised institutions, including community banks.

Highlights:

  • The FDIC encourages depository institutions to consider all reasonable and prudent steps to assist customers in communities affected by recent storms.
  • When consistent with safe-and-sound banking practices, these efforts may include waiving fees, increasing ATM cash limits, easing credit card limits, allowing loan customers to defer or skip payments, and delaying the submission of delinquency notices to credit bureaus.
  • The FDIC encourages depository institutions to use non- documentary verification methods permitted by the Customer Identification Program requirement of the Bank Secrecy Act for affected customers who cannot provide standard identification documents.
  • Prudent efforts by depository institutions to meet customers' cash and financial needs generally will not be subject to examiner criticism.
  • Refer to the attached Frequently Asked Questions for Bank Customers in Areas Affected by Hurricane Michael for more information.
  • Depository institutions can advise customers to contact the FDIC toll free at 1-800-ASK-FDIC or 1-877-275-3342 with questions about deposit insurance or accessing bank accounts.

Suggested Distribution:

  • FDIC-Supervised Banks (Commercial and Savings) in North Carolina, South Carolina, and Virginia

Suggested Routing:

  • Chief Executive Officer Chief Loan Officer Compliance Officer

Note:

FDIC financial institution letters (FILs) may be accessed from the FDIC's website at www.fdic.gov/news/financial-institution-letters/2018/.

To receive FILs electronically, please visit www.fdic.gov/about/subscriptions/index.html

Paper copies of FDIC financial institution letters may be obtained through the FDIC's Public Information Center, 3501 Fairfax Drive, E-1002, Arlington, VA 22226 (877-275-3342 or 703-562-2200).

FIL-59-2018
Attachment(s)

Last Updated: October 10, 2018