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Financial Protection and Credit Relief During Federal Government Shutdowns.

This law mandates federal financial regulators to issue guidelines encouraging banks and credit unions to assist individuals and businesses affected by a government shutdown. The goal is to ensure that federal employees, contractors, and related businesses facing temporary loss of income can receive loan modifications and protection for their credit scores. This aims to mitigate the financial hardship caused by payment delays during the crisis.
Key points
Banks will be encouraged to offer flexible payment terms for debts (mortgages, student loans, car loans) to individuals who lose income due to a government shutdown.
Financial regulators must issue a public alert within 24 hours of a shutdown starting, informing institutions and the public about the available guidance.
Financial institutions must prevent modified loan arrangements, intended to help consumers, from being reported to credit agencies in a way that damages the consumer's creditworthiness.
article Official text account_balance Process page
Introduced
Citizen Poll
No votes cast
Additional Information
Print number: 119_S_2995
Sponsor: Sen. Van Hollen, Chris [D-MD]
Process start date: 2025-10-09
Lustra uses Artificial Intelligence. Verify details in source documents.
Summarized by: gemini-2.5-flash-preview-09-2025
Source data: api.congress.gov
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OFFICIAL LEGAL TITLE

Shutdown Guidance for Financial Institutions Act

FREQUENTLY ASKED QUESTIONS

What is the official ID of this bill?

The official print number for this legislation is 119_S_2995.

Which chamber initiated this legislation?

This legislation was initiated in the Senate.

When did the legislative process begin?

The process officially started on 2025-10-09.

What are the main provisions?

Key points include:

  • Banks will be encouraged to offer flexible payment terms for debts (mortgages, student loans, car loans) to individuals who lose income due to a government shutdown.
  • Financial regulators must issue a public alert within 24 hours of a shutdown starting, informing institutions and the public about the available guidance.
  • Financial institutions must prevent modified loan arrangements, intended to help consumers, from being reported to credit agencies in a way that damages the consumer's creditworthiness.
What is the specific legal status?

The current status is Introduced.

Where can I read the full text of this legislation?

The full official text is available at: View full text

Who is the primary sponsor?

The primary sponsor is Sen. Van Hollen, Chris [D-MD].

What is the latest detailed status?

The latest detailed status is: Introduced in Senate

Is this summary verified?

Yes. This content was analyzed by AI and verified by the Lustra Judge System on 2025-12-23.

CATEGORIES

Economy Labor