Member Benefit: NCUA Summaries
NASCUS has issued two summaries this week based on NCUA activities.
Summaries require member log-in to review.
The OCC, Board, FDIC, FCA, and NCUA (collectively, the Agencies) are reorganizing, revising, and expanding the Interagency Questions and Answers Regarding Flood Insurance. This revised guidance will assist lenders in meeting their responsibilities under Federal flood insurance law and increase public understanding of the Agencies’ respective flood insurance regulations. Significant topics addressed by the revisions include guidance related to major amendments to the flood insurance laws with regard to the escrow of flood insurance premiums, the detached structure exemption, force placement procedures, and the acceptance of flood insurance policies issued by private insurers. With this issuance, the Agencies are consolidating the Questions and Answers proposed by the Agencies in July 2020 and the Questions and Answers proposed by the Agencies in March 2021 into one set of Interagency Questions and Answers Regarding Flood Insurance.
Read the NASCUS Summary Here
The newly consolidated guidance consists of 144 Questions and Answers (including 24 private flood insurance questions and answers). The full Q&A begins on page 153 covering a broad range of topics. Some key topics addressed by the revisions include guidance related to amendments to the flood insurance laws as they apply to the escrow of flood insurance premiums, certain exemptions for detached structures, procedures for the force placement of insurance, and the acceptance of flood insurance policies issued by private insurers.
NCUA has issued LTCU 22-CU-07 to address the increased use of financial technology by credit unions in their operations and clarify its expectations for credit unions contemplating the use of new or emerging distributed ledger technologies (DLT). This is NCUA’s second LTCU on this issue, as LTCU 21-CU-16 was issued December 2021.
The LTCU identifies the agency’s expectations related to DLTs and explains that credit unions may appropriately use DLT as an underlying technology. The following areas are considerations and NCUA’s expectations for FICUs, however, the NCUA notes this list should not be construed as all inclusive. Federally insured state-chartered credit unions should also look to their own state laws for permissibility prior to adopting DLT for existing operations.