The Consumer Financial Protection Bureau (CFPB) is encouraging the entities it supervises to work with consumers who may be at financial risk because of Hurricane Harvey, including by limiting or waiving fees and extending or restructuring debt.
In an advisory statement released last week, the CFPB stated: “By providing flexibility and other assistance to consumers in communities under such stress, supervised entities can lessen negative impacts and hasten recovery. These efforts may also build goodwill and provide other benefits to the institutions undertaking them. When communities thrive, so do the financial institutions that serve them.”
Specifically, CFPB recommended offering penalty-free forbearance or repayment periods with clearly disclosed terms; limiting or waiving fees and charges, including overdraft fees, ATM fees or late fees; restructuring existing debt; and refinancing existing debt or extending new credit with terms favorable to the consumer.
CFPB also suggested easing documentation or credit-extension requirements; increasing capacity for customer service hotlines, particularly those that serve consumers in languages other than English; and increasing ATM daily cash withdrawal limits.