Steps to Help Rebuild Areas Affected by the Storm in the Northeast
The Federal Deposit Insurance Corporation (FDIC) has announced a series of steps intended to facilitate the process of rebuilding areas damaged by the storm in Maine, New Hampshire, Vermont and New York.
As noted in the attached guidelines, the FDIC is encouraging state-chartered banks to work constructively with borrowers who are experiencing difficulties due to conditions beyond their control. The guidelines suggest that extending repayment terms, restructuring existing loans or easing terms for new loans, if done in a manner consistent with sound banking practices, can both contribute to the health of the community and serve the long-term interests of the lending institution. The guidelines also address other types of regulatory relief.
For guidance on these and related matters, please contact the New York Regional Office at (212) 704-1200 or the Boston Regional Office at (781) 320-1600.