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Wisconsin Department of Financial Institutions clarifies that credit unions are exempt from state prohibition on mass gatherings
On March 18, the Wisconsin Department of Financial Institution issued a notice to credit unions to clarify that all financial institutions are exempt from the state’s emergency order prohibiting mass gatherings of 10 people or more. However, credit unions were urged to follow the new mass gathering guidance from the Wisconsin Department of Health Services when determining whether annual member meetings should be rescheduled.
Michigan Department of Insurance and Financial Services issues message to consumers addressing financial concerns
On March 17, Michigan Department of Insurance and Financial Services Director Anita Fox published a letter to consumers seeking to address financial concerns stemming from the Covid-19 crisis and emergency measures. In the letter, Fox assured consumers that Michigan’s financial institutions are well-positioned to sustain the impacts of the crisis, and reminded consumers that deposits in state’s banks and credit unions are federally insured. Fox also recommended that consumers take advantage of remote banking capabilities and contact their financial institution with any questions pertaining to in-person operations or concerns involving extensions of credit.
Iowa Division of Credit Unions issues update on notifications to close or limit services
On March 17, the Iowa Division of Credit Unions issued an update pertaining to advanced notice for credit unions to limit services or close branches. In response to the Covid-19 crisis, the superintendent announced the standard requirement to notify the division 60 days prior to closures or limitations of services would be relaxed to entail a notification via written email “in a timeframe as practicable as possible.” The update further explained that while no formal form is required, the credit union must provide details pertaining to closures or service limitations, and how it has communicated these changes to its members.
Texas regulator authorizes credit union branch closures
On March 17, the Texas Credit Union Department issued an emergency declaration authorizing state-chartered credit unions to close their branches in order to protect public health. The department noted that credit unions should continue to ensure that financial needs of members are met during branch closures, and waived approval requirements for closures related to Covid-19.
Wisconsin Department of Financial Institutions will conduct credit union exams remotely
On March 17, Wisconsin Department of Financial Institution notified credit unions that all examinations would be conducted remotely, instead of onsite. Institutions with examinations scheduled in March or April will be contacted by the department directly.
Kansas Department of Credit Unions issues guidance on postponement of annual meetings
On March 16, the Kansas Department of Credit Unions issued a bulletin providing that credit union boards of directors have the discretion to postpone the annual meeting indefinitely based on the Kansas governor’s state of disaster emergency declaration. The board should contact legal counsel to determine the appropriate procedures to be implemented for such meetings.
Iowa Division of Credit Unions issues update on annual meeting requirements
On March 16, the Iowa Division of Credit Unions issued an update enabling greater flexibility for holding annual meetings in 2020. The update stipulates that as long as the credit union in question held an annual meeting in 2019, it would have the full 2020 calendar to hold its next meeting. The update also mentioned the potential for waiving the annual meeting requirement altogether, but explained no such waiver was yet necessary.
Nebraska issues guidance to credit unions regarding annual meetings
On March 16, the Nebraska Department of Banking and Finance (Department) issued guidance authorizing Nebraska state-chartered credit unions to postpone their annual meetings of members if their meetings are to be held in March, April, May, or June 2020. Board of directors of credit unions are instructed to reschedule the postponed annual meeting so that it is held in July or August 2020 and provide members with 30 days prior written or electronic notice of the rescheduled meeting. Records related to the rescheduling must be kept for the Department’s review.
Minnesota Commerce Department instructs credit unions on annual meeting scheduling
On March 16, the Minnesota Commerce Department issued guidance for credit unions considering delaying or rescheduling their annual meetings because of Covid-19. The Department instructs credit unions to consult their bylaws for requirements on meeting timing, noting that Bylaws adopted prior to 2018 will require that annual meetings be scheduled prior to May 31. The guidance continues to instruct credit unions to provide as much notice as possible to members regarding date changes as possible and to notify the Department if a decision to reschedule must be made in the best interests of members and employees that does not comply with bylaws.
Vermont Department of Financial Regulation issues guidance to Vermont chartered banks and credit unions
On March 16, the Vermont Department of Financial Regulation issued guidance to Vermont chartered banks and credit unions regarding working with affected customers. Financial institutions are encouraged to, among other things, waive certain fees (e.g., ATM, overdraft, late payment fees), ease restrictions on cashing out-of-state and non-member checks, increase credit card limits for credit worthy borrowers, and offer payment accommodations. Prudent efforts to modify the terms on existing loans for affected customers will not be subject to examiner criticism and, generally, the department supports and will not criticize efforts to accommodate customers in a safe and sound manner. The guidance also addresses: (i) financial condition review, supervisory response, and regulatory relief; (ii) regulatory reporting requirements; and (iii) alternative service options.