FDIC – Coronavirus (COVID-19)

March 30, 2020August 31, 2020 by Duane Morris

CARES Act Impacts Banking and Finance Industry

The Coronavirus Aid, Relief and Economic Security (CARES) Act includes wide-ranging provisions that will have direct and indirect impacts on the banking and finance industry.

The unprecedented $2 trillion stimulus package includes, among other things, provisions for the removal of the cap on the FDIC’s guarantee of insured deposits; waiver by the OCC of single-borrower lending limits for national banks; reduction of the minimum leverage ratio for community banks; favorable accounting treatment for loan modifications; and authority for a guarantee program for the U.S. money market mutual fund industry.

To read the full text of this Duane Morris Alert, please visit the firm website.

March 13, 2020September 3, 2020 by Duane Morris

Due to COVID-19 Threats, Financial Regulators Require Pandemic Policies

Federal and state financial regulatory agencies are requiring banks and other financial institutions to have policies in place in response to the current COVID-19 pandemic.

On March 6, 2020, the federal bank regulatory agencies―including the Federal Reserve, the Federal Deposit Insurance Corporation (FDIC), the Consumer Financial Protection Bureau (CFPB) and the Office of the Comptroller of the Currency (OCC)―issued an Interagency Statement on Pandemic Planning, which requires financial institutions to have an adequate business continuity plan (BCP) to address the potential adverse effects of COVID-19 and other pandemics.

To read the full text of this Duane Morris Alert, please visit the firm website.