FASB Formally OKs CECL Delay for Some Banks, Credit Unions
The Federal Accounting Standards Board voted on Oct. 16 to delay the new CECL (current expected credit loss) standard for some companies.
FASB Announces CECL Delay for More Companies
Following a vote last month, the Financial Accounting Standards Board yesterday formally issued its proposal to delay the deadline for many banks, credit unions and other smaller companies to delay implementing a new accounting standard that would dramatically change how lenders would treat loans.
Despite Partial CECL Delay, Industry Trade Groups Still Seek Further Study
Many banks and credit unions will have additional time to prepare for the new Current Expected Credit Loss accounting system after the Financial Accounting Standards Board recently voted to delay implementation for a select group.
CECL Expected to Have Little Impact on Community Banks’ Reserves
The banking industry has been deeply concerned over the impact CECL would have on total reserves and capital. But after first quarter earnings many New England community banks expect their reserves under CECL will be the same, if not smaller, than under the current incurred model.
Nine Months Out, Banks Moving Slowly on CECL Implementation
With less than one year to go, most public banks appear to still be in the formative stages of implementing a new nationwide accounting rule, while at the same time trying to assess its impact on their consolidated financial statements.
Sageworks Gauges Forecasting Durations For CECL
More than a third of bank and credit union executives said they felt comfortable with forecasting economic projections 12 months into the future in anticipation of FASB’s coming CECL rule, Sageworks recently said.
FASB Invites Feedback On Its Agenda
The Financial Accounting Standards Board (FASB) recently issued an invitation for stakeholders, including banks and credit unions, to comment on potential financial accounting and reporting topics it might add to its agenda.
