119-s2995

[Congressional Bills 119th Congress]
[From the U.S. Government Publishing Office]
[S. 2995 Introduced in Senate

    (IS) ]

<DOC>

119th CONGRESS
 1st Session
 S. 2995

 To require the Federal financial regulators to issue guidance 
 encouraging financial institutions to work with consumers and 
 businesses affected by a Federal Government shutdown, and for other 
 purposes.

_______________________________________________________________________

 IN THE SENATE OF THE UNITED STATES

 October 9, 2025

 Mr. Van Hollen (for himself, Ms. Alsobrooks, Mr. Kaine, Mr. Warner, 
Mrs. Gillibrand, Mr. Booker, and Mr. Merkley) introduced the following 
 bill; which was read twice and referred to the Committee on Banking, 
 Housing, and Urban Affairs

_______________________________________________________________________

 A BILL

 To require the Federal financial regulators to issue guidance 
 encouraging financial institutions to work with consumers and 
 businesses affected by a Federal Government shutdown, and for other 
 purposes.

 Be it enacted by the Senate and House of Representatives of the 
United States of America in Congress assembled,

SECTION 1. SHORT TITLE.

 This Act may be cited as the ``Shutdown Guidance for Financial 
Institutions Act''.

SEC. 2. SHUTDOWN GUIDANCE FOR FINANCIAL INSTITUTIONS.

    (a) 

=== Definitions. ===
-In this section:

    (1) Consumer affected by a shutdown.--The term ``consumer 
 affected by a shutdown'' means an individual who is an employee 
 of--
        (A) the Federal Government, and who is furloughed 
 or excepted from a furlough during a shutdown;
        (B) the District of Columbia, and who is not 
 receiving pay because of a shutdown; or
            (C) a Federal contractor or other business, and who 
 has experienced a substantial reduction in pay due to 
 the shutdown.

    (2) Consumers and businesses affected by a shutdown.--The 
 term ``consumers and businesses affected by a shutdown'' 
 means--
        (A) a consumer affected by a shutdown; and
        (B) a Federal contractor (as defined under 

section 7101 of title 41, United States Code) or other business 
 that has experienced a substantial reduction in income 
 due to the shutdown.

    (3) Federal contractor.--The term ``Federal contractor'' 
 has the meaning given the term ``contractor'' in 

section 7101 
 of title 41, United States Code.

    (4) Federal financial regulators.--The term ``Federal 
 financial regulators'' means the Board of Governors of the 
 Federal Reserve System, the Bureau of Consumer Financial 
 Protection, the Comptroller of the Currency, the Federal 
 Deposit Insurance Corporation, and the National Credit Union 
 Administration.

    (5) Shutdown.--The term ``shutdown'' means any period in 
 which there is more than a 24-hour lapse in appropriations as a 
 result of a failure to enact a regular appropriations bill or 
 continuing resolution.

    (b) Guidance.--Not later than the end of the 180-day period 
beginning on the date of enactment of this Act, the Federal financial 
regulators jointly, in consultation with State banking regulators and 
other appropriate Federal and State agencies, shall issue shutdown 
guidance to the financial institutions they regulate encouraging the 
financial institutions to--

    (1) work with consumers and businesses affected by a 
 shutdown;

    (2) recognize that consumers and businesses affected by a 
 shutdown may lose access to credit and face temporary hardship 
 in making payments on debts such as mortgages, student loans, 
 car loans, business loans, or credit cards;

    (3) consider prudent efforts to modify terms on existing 
 loans or extend new credit to help consumers and businesses 
 affected by a shutdown, consistent with safe-and-sound lending 
 practices; and

    (4) take steps to prevent adverse information being 
 reported in a manner that harms consumers affected by a 
 shutdown, including by preventing modified credit arrangements 
 intended to help consumers fulfill their financial obligations 
 from being reported to, and coded by, consumer reporting 
 agencies on a consumer report in a manner that hurts the 
 creditworthiness of the consumer.
            (c) Notice of Guidance During a Shutdown.--Not later than the end 
of the 24-hour period beginning at the start of a shutdown, the Federal 
financial regulators jointly shall issue a press release to alert 
financial institutions, consumers, and businesses to the existence and 
content of the guidance issued under to subsection

    (b) .
            (d) Post-Shutdown Report to Congress and Updated Guidance.--

    (1) In general.--Not later than the end of the 90-day 
 period beginning on the date on which a shutdown ends, the 
 Federal financial regulators jointly shall submit to Congress a 
 report that contains an analysis of the effectiveness of the 
 guidance issued pursuant to subsection

    (b) .

    (2) Updated guidance.--Not later than the end of the 180-
 day period beginning on the date on which a report is issued 
 under paragraph

    (1) , the Federal financial regulators shall 
 update the guidance required under subsection

    (b) if any 
 shortcomings are identified in the report.
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