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Illinois Department of Financial and Professional Regulation issues notice to title insurance licensees and registered agents
On March 30, the Illinois Department of Financial and Professional Regulation (Department) issued a notice encouraging title insurance licensees and registered agents to provide the Department with advance notice of any changes to their usual business practices. If a registered agent application has been submitted, it will be processed as quickly as possible.
On March 30, the Illinois Department of Financial Regulation, Division of Banking and Division of Financial Institutions, issued guidance to Illinois banks and credit unions regarding support for consumers and businesses impacted by Covid-19. Illinois banks and credit unions are encouraged to use their capital and liquidity buffers as they respond to financial challenges resulting from the Covid-19 pandemic, such as to lend and undertake other supportive actions in a safe and sound manner. Illinois banks and credit unions also are encouraged to: (i) provide affected borrowers with payment accommodations to work through short-term setbacks; (ii) respond to borrowers from industry sectors particularly vulnerable to the volatility of the current economic environment; and (iii) work with small businesses, hourly workers, and independent contractors that have less financial flexibility to weather the economic decline.
The guidance further encourages Illinois banks and credit unions to assist affected borrowers by, among other things, waiving certain fees (e.g., ATM fees, overdraft fees, late fees), increasing ATM daily cash withdrawal limits, increasing credit card limits for creditworthy borrowers, and providing new loans on favorable terms. Prudent efforts to help consumers and businesses will not be subject to examiner criticism.
The Minnesota Commerce Department released a statement encouraging financial institutions to work with customers affected by Covid-19. In particular, the Department encourages institutions to take various actions, including: waiving fees such as ATM, overdraft, and late fees; increasing ATM daily cash withdrawal limits; easing restrictions on cashing checks; increasing credit card limits for creditworthy borrowers; offering payment accommodations like forbearances; and easing terms for new loans to affected borrowers. Separately, the Department affirmed that it will consider these circumstances when reviewing an institution’s financial condition, and in working with institutions that encounter difficulty meeting regulatory reporting requirements or filing requirements for financial statements.
On its website, the Nebraska Department of Banking and Finance (Department) published a Request for Proclamation to Authorize Office Closure form. If a financial institution decides to close any or all of its offices for an emergency, it must notify the Department. If the closure will last longer than 48 hours, the financial institution must receive Department approval. Financial institutions are instructed to submit the form to the Department via e-mail to the institution’s review examiner, and the Department will respond as soon as possible.
On March 30, the Massachusetts Division of Banks (DOB) issued an update for licensees to clarify the filing deadlines for financial statements and call reports in light of the NMLS policy decision. The DOB is providing a 60-day extension to file financial statements, a 30-day extension to submit Call Reports and the MCR Standard Financial Condition Report, and a 60-day extension for Annual Reports.
On March 30, the Louisiana Commissioner of Financial Institutions issued an emergency declaration permitting shareholders or members of a financial institution to participate in annual meetings by means of remote communication and permitting institutions to hold virtual annual meetings. The declaration is effective until April 13 unless renewed.
The Montana Division of Banking and Financial Institutions announced that it is temporarily permitting non-depository licensees and their employees to work from home, whether the home is in Montana or another state. The permission also applies even if the home is not a licensed branch. Non-depository licensees include, among others, licensed mortgage loan originators, loan processors, and underwriters.
Special Alert: CARES Act “Paycheck Protection Program” offers relief and opportunities for small businesses and lenders
On March 27, President Trump signed the Coronavirus Aid, Relief, and Economic Security Act (CARES Act or the Act). The legislation’s first title, the “Keeping American Workers Paid and Employed Act,” provides a host of relief measures for small businesses, including $349 billion for Small Business Administration (SBA) loan forgiveness, guarantees, and subsidies. This Special Alert summarizes pertinent SBA-related provisions of the Paycheck Protection Program (PPP) and potential opportunities for both (i) small businesses, and (ii) existing and new SBA lenders to grow their small business lending portfolios. We will provide an update on the relief measures following the Treasury Department’s (Treasury) release of additional program details, which is expected imminently.
We will provide timely updates regarding any guidance published on this topic on our dedicated SBA page, which includes additional SBA resources you may find helpful. If you have any questions regarding the matters discussed in this Alert, please contact a Buckley attorney with whom you have worked in the past.
On March 27, the Texas Office of Consumer Creditor Commissioner updated a previous property tax lender advisory bulletin to include annual report deadline information. Recognizing that property tax lenders may need additional time to file annual reports, in light of disruptions caused by Covid-19, the March 31 deadline has been extended to April 30.
On March 27, Governor Jay Inslee issued guidance on conducting real estate and mortgage transactions. The guidance declares that in-person meetings with customers, except when necessary for a customer to view a property or sign necessary documents, are prohibited, as are open-houses. Property viewings, inspections, appraisals, and final walk-throughs shall be arranged by appointment and limited to no more than two people on site at any one time. Except for the limited exceptions authorized above, all new real estate listings shall be facilitated remotely.
- Hank Asbill to discuss "Critique of direct examination; Questions and answers" at the American Bar Association Section of Litigation Anatomy of a Trial: Murder Trial of Ziang Sung Wan
- Hank Asbill to discuss "What judges want from trial lawyers" at the American Bar Association Section of Litigation Anatomy of a Trial: Murder Trial of Ziang Sung Wan
- Benjamin W. Hutten to discuss "Understanding OFAC sanctions" at a NAFCU webinar
- Warren W. Traiger to discuss "Key takeaways from proposed CRA modernization" at the New York Bankers Association Technology, Compliance & Risk Management Forum
- Garylene D. Javier to discuss "Navigating workplace culture in 2020" at the DC Bar Conference