Flood: Keep Your Head Above Water

The Flood Hazard Insurance rules have been in place for some time now. Banks should know how to comply. But examiners are still finding violations. In fact, flood hazard determination violations make the top ten list. The agencies, like Mother Nature, are losing patience and believe that it is time to hold institutions accountable. Pending enforcement guidelines for civil money penalties will apply to all situations where violations are found - including portfolios that the institution is servicing. Expect to see civil money penalties for violations in the immediate future.

Copyright © 2001 Compliance Action. Originally appeared in Compliance Action, Vol. 6, No. 7, 7/01