How Well Do You Know Your Loan Portfolio?

How Well Do You Know Your Loan Portfolio?

With a deeper understanding of their loan portfolios, financial institutions can minimize CECL’s impact on their income statement CECL implementation will require financial institutions to book loan loss allowances for the life of the loan at the time of origination, and if that changes over time a financial institution’s income can suffer. Starting in 2020, […]

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Will the Relief Act Offset CECL Implementation Costs and Capital Adjustments?

As financial institutions analyze Current Expected Credit Loss standard (CECL) data requirements and begin to run various modeling scenarios in order to ascertain the impact to capital when adopted, some institutions could face substantial adjustments. On the heels of preparing for the CECL accounting standard, the Economic Growth, Regulatory Relief, and Consumer Protection Act (Relief […]

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Are Your Processes positioning your Financial Institution for CECL Compliance?

Are Your Processes positioning your Financial Institution for CECL Compliance?

By 2020, financial institutions will have to comply with the Financial Accounting Standards Board’s (FASB) current expected loss standard, otherwise known as CECL. Instead of recognizing credit losses once incurred, financial institutions will have to calculate the expected loss over the life of each loan and book that loss allowance at the time of origination to meet […]

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