WASHINGTON
--The Office of the Comptroller of the Currency (OCC) has outlined
measures to assist national banks and their customers affected by Hurricane
Ivan. The OCC regulates national banks.
The OCC recognizes that the effects of natural disasters on
individuals and businesses are often temporary, and that prudent efforts to
adjust or alter terms on existing loans in areas affected by the disasters and
related problems should not be subject to bank examiner criticism.
The OCC encourages national banks to consider various
alternatives that may include:
- extending the terms of loan
repayments;
- restructuring a borrowers debt
obligations; and,
- easing credit terms for new loans to
certain borrowers, consistent with prudent banking practice.
The OCC notes that these measures could help borrowers
recover their financial strength and
enable them to be in a better position to repay their
debts. These recovery efforts can
contribute
to the health of the local community and the long-term
interests of the national bank and its
customers.
In addition, the OCC has authorized national banks to close
offices affected by the hurricane
temporarily.
contact the OCC.
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The OCC charters, regulates and examines
approximately 2,000 national banks and 51 federal branches of foreign banks
in the U.S., accounting for more than 56 percent of the nations banking
assets. Its mission is to ensure a safe and sound and competitive national
banking system that supports the citizens, communities and economy of the
United States.
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