Puerto Rico Financial Institutions Receive Relief from Hurricane Fiona’s Devastation
Regulatory Relief for Affected Banks and Borrowers
In the wake of Hurricane Fiona, the Federal Deposit Insurance Corporation (FDIC) has announced a series of measures to provide regulatory relief and facilitate recovery in areas affected by the disaster.
Constructive Work with Borrowers
The FDIC encourages banks to work constructively with borrowers experiencing difficulties due to hurricane damage. Banks can contribute to the health of the local community and serve their long-term interests by:
- Extending repayment terms
- Restructuring existing loans
- Easing terms for new loans, all in a manner consistent with sound banking practices
Favorable Community Reinvestment Act Consideration
Banks may receive favorable consideration under the Community Reinvestment Act (CRA) for community development loans, investments, and services supporting disaster recovery. The FDIC will also consider regulatory relief from certain filing and publishing requirements for institutions affected by Hurricane Fiona.
Affected Municipalities in Puerto Rico
The following municipalities in Puerto Rico have been impacted by Hurricane Fiona:
- Adjuntas
- Aguas Buenas
- Aibonito
- Arroyo
- Barranquitas
- Bayamón
- Caguas
- Canóvanas
- Carolina
- Cataño
- Cayey
- Ceiba
- Ciales
- Cidra
- Coamo
- Comerío
- Corozal
- Dorado
- Fajardo
- Florida
- Guayama
- Guayanilla
- Guaynabo
- Gurabo
- Humacao
- Jayuya
- Juana Díaz
- Juncos
- Lares
- Las Piedras
- Luquillo
- Maricao
- Maunabo
- Morovis
- Naguabo
- Naranjito
- Orocovis
- Patillas
- Peñuelas
- Ponce
- Río Grande
- Salinas
- San Juan
- San Lorenzo
- Santa Isabel
- Toa Alta
- Toa Baja
- Trujillo Alto
- Utuado
- Vega Alta
- Vega Baja
- Vieques
- Villalba
- Yabucoa
- Yauco
Consumer Relief Measures
For consumers with principal dwelling-secured loans, Regulation Z provides an option to waive or modify the three-day rescission period when a “bona fide personal financial emergency” exists. Banks experiencing disaster-related difficulties in complying with publishing and other requirements are encouraged to contact the New York Regional Office for assistance.
Expedited Requests for Temporary Banking Facilities
The FDIC will expedite requests to operate temporary banking facilities by institutions whose offices have been damaged or that desire to provide more convenient availability of services to those affected by Hurricane Fiona.