Nov. 1, 2012 – NCUA has expanded its outreach efforts to assist credit unions and their members affected by Hurricane Sandy, giving credit unions the discretion to close or remain open as needed.
In announcing the move, NCUA noted that banks follow a different set of laws in this regard. On Monday, the Office of the Comptroller of the Currency issued a proclamation allowing affected banks to close.
On Tuesday, NCUA activated its disaster relief policy, which includes offering a toll-free consumer assistance hotline to answer financial questions related to Hurricane Sandy’s impact and making urgent-needs grants available up to $7,500 to affected low-income credit unions. The agency said Wednesday that it would expedite the approval process for those grants in response to President Obama’s request that federal agencies “cut the red tape” in offering assistance.
NCUA’s Region I and II offices are in direct contact with all credit unions affected by Hurricane Sandy and is offering assistance where needed. NCUA’s Region I office hosted a regulator emergency response coordination conference call Monday afternoon, which included the National Association of State Credit Union Supervisors.
NCUA will soon be making available on its website a list of all the credit unions that are affected/closed in affected regions. The agency says it intends to update the list regularly as credit unions re-open for business.
NCUA is reminding credit unions and their members that credit union member share accounts are insured up to $250,000 by the National Credit Union Share Insurance Fund, which is backed by the full faith and credit of the U.S. government.