Regulatory Relief Guidance to Help Financial Institutions and to Facilitate Recovery in Areas of Minnesota Affected by Severe Storms and Flooding
FIL-17-2009 April 20, 2009
The Federal Deposit Insurance Corporation (FDIC) has announced a series of steps intended to provide regulatory relief to financial institutions and to facilitate recovery in parts of western Minnesota affected by recent severe storms and flooding.
Severe storms and flooding that began on March 16, 2009, have caused significant property damage in parts of western Minnesota.
A federal disaster was declared on April 9, 2009, which was amended on April 10 to include individual assistance for the counties of Clay, Norman, Traverse, and Wilkin.
The FDIC is encouraging banks to work constructively with borrowers who are experiencing difficulties beyond their control because of damage caused by the severe storms and flooding.
Extending repayment terms, restructuring existing loans or easing terms for new loans, if done in a manner consistent with sound banking practices, can contribute to the health of the community and serve the long-term interests of the lending institution.
The FDIC will also consider regulatory relief from certain filing and publishing requirements.
FDIC-Supervised Banks (Commercial and Savings)