Temporary Regulatory Relief in Response to COVID-19 – Prompt Corrective Action
|Subject:||Prompt corrective action; coronavirus response|
|Status:||Interim final rule; request for comments|
The NCUA Board (Board) is making two temporary changes to its prompt corrective action (PCA) regulations to help ensure that federally insured credit unions (FICUs) remain operational and liquid during the COVID-19 pandemic. The first amends these regulations to temporarily enable the Board to issue an order applicable to all FICUs to waive the earnings-retention requirement for any FICU that is classified as adequately capitalized. The second modifies these regulations with respect to the specific documentation required for net worth restoration plans (NWRPs) for FICUs that become undercapitalized. These temporary modifications will be in place until March 31, 2022. This rule is substantially similar to an interim final rule that the Board published on May 28, 2020.
|Comments due date:||June 18, 2021|
April 19, 2021
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