10/15/2012
Webinar on Troubled Debt Restructuring, Workouts, and Nonaccruals Now Online
During the webinar, NCUA experts and Crowe Horwath consultants discussed supervisory guidance recently issued to examination staff implementing the final rule on loan workouts and nonaccrual policy, as well as the regulatory reporting of troubled debt restructured loans.
At its May 24, 2012, open meeting, the NCUA Board approved a final rule amending Part 741 of NCUA’s rules to require federally insured credit unions to maintain written policies that address the management of loan workout arrangements and nonaccrual policies for loans, consistent with industry practice. The final rule includes guidelines—set forth as an Interpretive Ruling and Policy Statement and incorporated as Appendix C—to assist federally insured credit unions in complying with the rule, including the regulatory reporting of troubled debt restructured loans in Call Reports.
The rule also removed manual tracking procedures and eased reporting requirements for credit unions. The changes were designed to ensure that members who can no longer afford to make full payments on their original mortgages can keep their homes if they agree to certain modified terms with their credit union. The rule is available at 77 Fed. Reg. 31993 (May 31, 2012).
More than 1,600 people joined the webinar. An archived audio recording and a written transcript of the webinar is now publicly available on NCUA’s website at http://www.ncua.gov/News/Videos/Pages/default.aspx.
For technical questions related to accessing the webinar, contact NCUA’s OCIO Technical Support at 800-827-3255 or csdesk@ncua.gov.