Coronavirus FAQs and resources

On March 11, 2020, the World Health Organization declared the coronavirus outbreak a global pandemic. NAFCU is closely monitoring the spread of COVID-19 – the disease caused by the coronavirus – and has a resource page available to help credit unions stay on top of recent developments. We also have blogged twice on this topic, first to review existing pandemic planning guidance and again after federal regulators issued updated guidance. As the issue is evolving rapidly, we have received many questions from credit unions so a forewarning, this is a rather long post, but we hope it helps navigate through some challenging times. Many answers here are based on NCUA’s most recent model bylaws, so credit unions will need to check either their specific bylaws or their state provisions if state chartered. There are not always clear answers, so NAFCU has also reached out to NCUA and the CFPB for guidance for credit unions.

Assisting Impacted Members

On March 9, 2020, federal financial regulators, including NCUA and the CFPB, issued a statement encouraging financial institutions to “work constructively with borrowers and other customers in [COVID-19] affected communities.” Additionally, the regulators indicated that “prudent efforts that are consistent with safe and sound lending practices should not be subject to examiner criticism.” This is similar to statements released by the regulators during the extended government shutdown in late 2018/early 2019.

Credit unions have a long history of working to help their members during challenging times. Some credit unions are currently reviewing how to offer similar programs as what they may have created for past extenuating circumstances like government shutdowns or natural disasters like hurricanes. Many credit unions operating in areas impacted by the coronavirus are considering measures to assist their members such as:

 

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