Banks in Mississippi's capital take steps to address pain of water crisis

Regions Financial is trying to make life a little less stressful for its customers in flood-ravaged Jackson, Mississippi. 

The $161 billion-asset Regions, which operates more than 30 Jackson-area branches, according to the Federal Deposit Insurance Corp., announced Friday it will "for a limited time" waive ATM fees and offer payment deferrals for credit card and commercial borrowers. Regions, which is based in Birmingham, Alabama, will also waive check-cashing fees for customers presenting checks issued by the Federal Emergency Management Agency.

"We are committed to serving and supporting the people and businesses in Metro Jackson and all of Mississippi currently struggling with the lack of reliable and safe water," Robert Leard, Regions' market president for Metro Jackson, said in a press release. "During times like this, it is especially important for us to pull together and ensure resources are available to those who need them most." 

Meanwhile, the $47.7 billion-asset Cadence Bank in Tupelo, Mississippi, said its focus would be on ensuring the continuity of its banking services "so we can continue to serve our customers while also keeping our employees safe by ensuring every location has clean drinking water," Diane Kernell, its chief communications officer, said in a statement to American Banker. Cadence has 19 Jackson-area branches, according to the FDIC. 

Houston Cofield/Bloomberg

Jackson, Mississippi's capital, had grappled with water-quality issues long before heavy rains pushed the Pearl River past the flood stage earlier this week. Those floodwaters knocked one of the city's two treatment plants offline, leaving residents with no water to drink and no pressure for showers or toilets. Though officials reported significant progress in repairing the O.B. Curtis Water Plant, Jackson remained under a boil-water advisory Friday afternoon. 

President Biden issued a disaster declaration for Mississippi on Wednesday. 

Banks and credit unions typically respond to natural disasters by making sure people can still access their finances. After Hurricane Ida struck the Gulf Coast region in September 2021, banks were quick to offer help to customers and to bankers. Merchant and Marine Bank in Pascagoula, Mississippi, reached out to banks hit by the storm with offers of latex gloves, bleach, paper towels and bathroom tissue. 

In addition to fee waivers and payment forbearance, Regions donated $25,000 to a Jackson-area United Way to help fund disaster recovery efforts. 

"We hope [the grant] will make a meaningful difference for people and families as we pull through this challenging time together," Leard said.