With wildfires forcing tens of thousands of California residents from their homes, the American Bankers Association Foundation offers resources for bank customers and employees on how to recover financially from disasters and on how to avoid scammers who prey on disaster victims and people seeking to donate to recovery efforts.
The California wildfires have destroyed at least 1,000 structures and displaced nearly 180,000 people, NBC News reported. Bank branches are among the structures destroyed but the overall effect of the disaster on California’s banking industry has yet to be assessed. Some bank employees have been affected and have had properties damaged by the fires, according to the California Bankers Association.
ABA President and CEO Rob Nichols has been in California this week attending a CBA conference just south of Los Angeles where he has been talking to bank leaders about the disaster. “With all of the fires still not yet contained, it’s hard to fully understand the scope of the destruction,” Nichols said. “The focus for now needs to be on protecting people and property, but it’s clear from talking with CBA members that the banking industry will be a critical part of recovery efforts.”
“Our thoughts and prayers are with the communities impacted by the wildfires burning in Los Angeles,” CBA President and CEO Kevin Gould said. “Circumstances surrounding these devastating fires are rapidly evolving. Banks are actively assessing risk to their offices, their employees, and the communities they serve and are taking decisive action when necessary. Banks have robust business continuity plans that anticipate various disaster scenarios and will deploy accordingly. Banking regulators have authorized banks to close offices and to reopen when it is safe to do so. Banks stand ready to support our customers and communities through this difficult moment and will be an active participant in recovery efforts.”
Disaster resources
The ABA Foundation offers two disaster recovery resources for banks to share with customers and employees. The first— “Recovering Financially After a Disaster” — is a webpage with resources and information to help individuals and families struggling financially to make housing payments, auto and student loan payments, or who need assistance rebuilding a business or are worried about future payments.
The second resource — “Steer Clear of Scams After Natural Disasters” — is a webpage with advice and links for avoiding scams targeting disaster victims and people wishing to donate to relief efforts. One common scam involves criminals who pose as government officials and promise to provide assistance in exchange for money or personal information. Another involves scammers who spoof agency phone numbers on caller IDs or pretend to represent charities.
Federal agencies also provide consumer resources to avoid disaster-related scams. The Cybersecurity and Infrastructure Security Agency issued an alert following Hurricane Milton and Hurricane Helene warning that fraudulent emails and social media messages — often containing malicious links or attachments — are common after major natural disasters. Also, the Federal Trade Commission, Department of Justice and Consumer Financial Protection Agency issued a joint statement on common scams that appear after disasters. The agencies encouraged consumers who may have encountered a scam to report it to the FTC at ReportFraud.ftc.gov.
In addition, House Financial Services Committee Ranking Member Maxine Waters (D-Calif.) today shared a list of local, state and federal assistance programs for households affected by the wildfires.
