article thumbnail

More banks predict larger impact from CECL model

Abrigo

The attention on the FASB’s current expected credit loss (CECL) model has only increased in recent months, as the industry braces for the release of final guidance before the end of 2015. The CECL model will require banks and credit unions to consider expected losses rather than incurred losses.

CECL 60
article thumbnail

Stress Testing: Are the Results Guiding Your CECL Decision-Making?

Abrigo

Stress Testing | 6 minute read Key Takeaways Stress testing is a useful tool to help guide CECL decisions. Charge offs were close to zero for most banks since 2013, according to call report data from S&P Market Intelligence. Top-down testing uses pool orientation and segmentation to make decisions. The top-down approach.

CECL 60
Insiders

Sign Up for our Newsletter

This site is protected by reCAPTCHA and the Google Privacy Policy and Terms of Service apply.

article thumbnail

FDIC: Community banks outperform industry in third quarter

Abrigo

Compared to the second quarter of 2014 and the third quarter of 2013, loan growth continues to increase. This total represents an increase of almost 24% over the third quarter of 2013. billion from the third quarter of 2013. In addition, the pending FASB CECL model is expected to be released in the first half of 2015.

CECL 83
article thumbnail

Return of the TDR: How to Prepare for Coronavirus-Related Loan Restructurings

Abrigo

Streamline the ALLL while bridging to CECL. CECL & TDRs. Financial institutions that will soon be estimating losses under the current expected credit loss standard, or CECL, haven’t had to think much about TDRs so far, as they’ve been relatively non-existent, but that may change, Camp says. CECL Accounting.

CECL 78
article thumbnail

What is the FASB’s process for issuing standards?

Abrigo

The Financial Accounting Standards Board (FASB) continues to receive attention surrounding their proposed current expected credit loss (CECL) model , as final guidance is expected to be released late 2014 or early 2015. To learn more about FASB’s CECL model, download the whitepaper, FASB’s CECL Model: How to Prepare Now.

CECL 83
article thumbnail

10 Top Banking Podcasts You Should be Listening to

Abrigo

Breaking Banks Breaking Banks , billed as the #1 global fintech podcast and radio show, began in 2013 and is hosted by media firm Provoke.fm. CECL Models. Portfolio Risk & CECL. Portfolio Risk & CECL. Weekly episodes highlight innovators and industry players driving innovation in the financial services industry.

article thumbnail

The Risk Your Asset/Liability Management Process Might Be Missing

Abrigo

FDIC FIL-46-2013 October 8, 2013. However, back when the FDIC sent that 2013 letter mentioned above to financial institutions, the effective federal funds rate was 0.09%. Portfolio Risk & CECL. Portfolio Risk & CECL. ALM seen as checking the box. Learn More. Asset/Liability. Lending & Credit Risk.

CECL 60