July 1, 2020 - 8:17am
#1
Hello,
If your Credit Union offered loan deferrals or forebearances as a result of COVID-19 and the new mandates, is your Credit Union reserving anything for those loans in your allowance for loan and lease losses? We anticipate our deliquencies will increase in the third and fourth quarters as a result of the deferrals made but estimating that loss is difficult now as the loans are current due to the deferments. If your Credit Union has reserved something for the loans that were deferred, how did your Credit Union determine that reserve?
Thank you,
Karen
