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The NCUA issued an update on its efforts to assist credit unions throughout the coronavirus pandemic, including how credit unions can support members, answering frequently asked questions, and giving an update on examinations and supervision during this time.

"Credit unions' top priority will always be the safety, health and well-being of their employees, members and local communities, and we appreciate the NCUA’s commitment to providing needed compliance relief in light of COVID-19 so credit unions can continue to help their members," said NAFCU President and CEO Dan Berger. "Many credit unions are already proactively helping their members weather the COVID-19 storm, and our industry will always be there to assist its membership when they need it most.

"We will continue to work with the NCUA to provide additional flexibility and guidance, specifically related to in-person annual meeting requirements, as the health and safety of credit union employees and members remains paramount," Berger added.

"We plan to take every step to ensure that our agency’s critical mission of protecting the safety and soundness of the credit union industry will continue to be executed as effectively and efficiently as possible," the NCUA said in its Letter to Credit Unions. The agency has mandated its headquarter and regional office staff to telework through March 30.

For examinations, "the NCUA is limiting examination and supervision work over the next couple of weeks to offsite procedures only, with a few exceptions for exigent circumstances. We will be evaluating this posture regularly and extending it as necessary."

The agency also said examiners will work with credit unions "to facilitate the secure exchange of information needed to conduct offsite examination and supervision work, and will be mindful of the impact of information requests on any credit unions experiencing operational and staffing challenges associated with responding to COVID-19."

FAQs provided in the statement further address:

• federal credit unions' (FCUs) planning of annual meetings;
• impact on FCUs' boards if annual meetings and elections are delayed;
• flexibilities for FCU monthly board meetings;
• an FCU's ability to restrict access or close facilities;
• impact on the NCUA's examination and supervision program;
• technology available to share exam documents with examiners;
• disruptions to filing quarterly call report data on time; and
• options for credit unions to manage liquidity during the coronavirus pandemic.

In addition, the Financial Crimes Enforcement Network (FinCEN) is encouraging financial institutions to communicate with FinCEN and their respective regulator if there are concerns about filing required Bank Secrecy Act (BSA) reports amid the pandemic.

Those concerned about potential delays in filing should call FinCEN's Regulatory Support Section at 1-800-949-2732 and select option 6, or email FRC@fincen.gov. FinCEN's alert also includes emerging trends in malicious or fraudulent transactions, including scams related to imposters, investments, products, and insider trading. In addition, FinCEN references advisory FIN-2017-A007 for descriptions of benefits and charities fraud and encourages financial institutions to enter “COVID-19” in related SAR filings.

Another important update for credit unions, after NAFCU had asked the Fed to remove the transaction limit under Regulation D, the association can confirm that, due to the Federal Reserve’s announcement that it is eliminating reserve requirements, credit unions now have additional incentives to avoid the monthly transfer limit found in Regulation D.

While Regulation D’s transfer limit has not been eliminated outright, credit unions can work around it by reclassifying share or money market accounts as transaction accounts without incurring new reserve requirements. However, such an election must be consistent with how the credit union reports the accounts on its call reports.

NAFCU will continue to work closely with regulators, Congress, and the administration to obtain more guidance and relief for credit unions during this pandemic.