InfoBytes Blog
Filter
Subscribe to our InfoBytes Blog weekly newsletter and other publications for news affecting the financial services industry.
North Carolina Office of Commissioner of Banks communicates on operational changes
On March 17, the North Carolina Office of Commissioner of Banks issued a communication to banks advising them that the OCOB needs to be informed of any changes in operations or services offered.
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.
Minnesota Commerce Department provides “work from home” guidance to regulated institutions
On March 17, the Minnesota Commerce Department issued guidance to mortgage originators and servicers outlining the process for temporarily or permanently closing branch offices in Minnesota. For permanent closures, a licensee should file a surrender through NMLS. For temporary closures, the licensee should notify the Department. In addition, if the licensee has individual MLOs working from a home office, they must not have consumers come to the unlicensed location, and the company’s data security standards should be maintained. No physical records should be maintained at the unlicensed location.
Similar “work from home” guidance was provided to industrial loan and thrift companies, licensed non-depository financial institutions, and regulated lenders.
Nebraska publishes a statement about working with customers affected by Covid-19
On March 17, the Nebraska Department of Banking and Finance (Department) published a statement for financial institutions working with customers affected by Covid-19 along with regulatory assistance. The statement addresses: (i) establishing emergency branch locations with notice; (ii) clearing back room operations; (iii) moving examinations offsite; (iv) digital applications, audits, and correspondence when working with the Department; (v) using ACH for payments sent to the Department; (vi) delaying credit union annual meetings; and (vii) audit turn around times. The statement also encourages financial institutions to work with affected customers, and provides examples of efforts to be considered by financial institutions. The statement also addresses regulatory reporting requirements and financial condition review, supervisory response, and regulatory relief.
Nevada regulator requests institutions to work with customers affected by Covid-19
On March 17, the Nevada Financial Institutions Division issued a letter requesting every licensee to develop a plan to outline efforts to “manage the current environment.” Efforts may include, among other things: waiving fees such as late fees, lowering interest rates, halting collection or repossession efforts, and offering payment accommodations such as forbearances to avoid delinquencies, repossessions, and negative credit reporting.
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.
Missouri Division of Finance asks banks to communicate schedule/service changes
On March 17, the Missouri Division of Finance communicated with state-chartered banks, requesting that the MDF be notified of any changes affecting schedules or services offered. If the closure of an entire facility for more than 24 hours is necessary, banks are instructed to ensure that the community has alternative means to access banking services.
Maine Bureau of Financial Institutions issues guidance on temporary office closures
On March 16, the Maine Department of Professional and Financial Regulation, Bureau of Financial Institutions, issued guidance encouraging financial institutions to reduce disruptions to their customers, provide alternative service options when practical, and reopen affected facilities when safe to do so. The guidance notes that Maine law permits a financial institution to temporarily close its branch and office locations for cause if a conspicuous notice of the closing is posted at all points of public access to the closed offices. Notice of a financial institution’s facilities and the availability of any alternative service options should be provided to the bureau as soon as practical.