Regulatory Relief Guidance to Help Financial Institutions and to Facilitate Recovery in Areas of California Affected by Major Fires
FIL-93-2007 October 26, 2007
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 areas of California damaged by recent fires.
Major wild fires have caused significant property damage to areas of California.
The counties of Los Angeles, Orange, Riverside, San Bernardino, San Diego, Santa Barbara and Ventura have been declared federal disaster areas.
The FDIC is encouraging financial institutions to work constructively with borrowers who are experiencing difficulties beyond their control because of damage caused by fires.
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 for banks in the affected areas.
FDIC-Supervised Banks (Commercial and Savings)