COVID-19

The COVID-19 pandemic may have a lasting impact on credit unions’ financial and operational conditions. Examiners should consider the extraordinary and potential long-term nature of the COVID-19 economic issues confronting credit unions, understand it is a unique circumstance, and be flexible in their supervisory approach. Credit unions and examiners should also reference the NCUA’s Coronavirus (COVID-19): Information for Federally Insured Credit Unions and Members webpage for frequently asked questions that are updated periodically.

On March 27, 2020, the CARES Act was signed into law to provide direct economic relief to support individual incomes, employment, and businesses. This chapter of the Examiner’s Guide addresses the provisions of the CARES Act and the NCUA’s COVID-19 response as they relate to the examination process. Specifically, this chapter will cover the following sections.

• Credit Union Operations
• Credit Risk Management
• Paycheck Protection Program
• Economic Injury Disaster Loan Emergency Advance
• Small-Dollar Loans
• Payday Alternative Loans
• Loan Workouts
• Allowance for Loan and Lease Losses
• Liquidity
• Consumer Financial Protection
• Relief Related to COVID-19
• Exam Procedures
• Workpapers and Resources

Last updated on June 30, 2020