Abrigo

DECEMBER 22, 2023

The most-read lending & credit blogs in 2023 Probability of default, CECL model validation, and stress testing were among Abrigo's top blogs on ALM, CECL, and portfolio risk this year. Abrigo's blog covered these and other subjects in 35 credit and lending-specific posts this year.

Credit Risk 88

Credit Risk Credit Unions Dashboards CECL 88

Abrigo

APRIL 20, 2017

The FASBs Current Expected Credit Loss (CECL) model presents unique challenges for banking professionals. To help institutions prepare, Sageworks launched a CECL webinar series covering data, segmentation, methodology and forecasting requirements broken down by loan type. Can we use our current PD model?

CECL 60

CECL Credit Unions Default 60

Abrigo

JULY 30, 2020

Now, the question for a financial institution is, what are reasonable default and loss estimates for a prolonged economic impact due to the global pandemic?” Portfolio Risk & CECL. CECL Accounting. CECL Models. Portfolio Risk & CECL. Portfolio Risk & CECL. Hammond said. Asset/Liability.

CECL 99

CECL Credit Unions Credit Risk Default 99

Abrigo

AUGUST 21, 2017

Compared to existing ALLL requirements, Accounting Standards Update 2016-13 (CECL) will require more inputs, assumptions, analysis and documentation, making the option to automate the process significantly more attractive for many institutions.

CECL 60

CECL Default Credit Unions 60

Abrigo

AUGUST 5, 2020

Solid collateral valuation is critical to estimate loss given default. Portfolio Risk & CECL. CECL Accounting. CECL Models. Portfolio Risk & CECL. Portfolio Risk & CECL. Wear also recommends financial institutions carefully address how collateral coverage is evaluated. Asset/Liability.

Credit Risk 78

Credit Risk CECL Credit Unions Default 78

Abrigo

JANUARY 9, 2017

With the 2016 release of the Financial Accounting Standards Board’s (FASB) guidance on the Current Expected Credit Loss ( CECL model ), banking professionals and consultants have been theorizing about the impact the standard will have on current bank processes.

CECL 60

CECL Default 60

Abrigo

OCTOBER 28, 2020

Mortgage loans have very low historical default rates, but given the fixed-rate and longer-term characteristics, they require a return to compensate for the time-value of money. Portfolio Risk & CECL. Portfolio Risk & CECL. Credit card loans carry a higher rate presumably due to larger losses on credit extensions.

CECL 78

CECL Credit Risk Default 78

Abrigo

FEBRUARY 23, 2022

It may also use predictive scoring – similar to a probability of default model – to quantify a forward-looking assessment of credit risk objectively. Portfolio Risk & CECL. Looking to Accelerate Digitalization? Keep up with best practices with our new podcast for bankers. keep me informed. Listen to the podcast. Learn More.

Small Businesses 78

Small Businesses Credit Unions Credit Risk CECL 78

Abrigo

AUGUST 4, 2017

The above question is being asked by financial managers at banks and credit unions as the implementation of the FASB’s current expected credit loss model ( CECL ) approaches. Excel was introduced to the market in 1987 and soon became the default spreadsheet tool. What do we do with all of these spreadsheets?

CECL 60

CECL Credit Unions Default 60

FICO Blog

DECEMBER 8, 2022

Credit risk management veterans who responsible for consumer loan portfolio risk management through the Great Recession can recall managing the challenge of responding to swiftly changing borrower payment behavior and the resulting portfolio delinquency and default rate volatility during that time. chevron_left Blog Home. FICO Admin.

CECL 52

CECL Credit and Collections Credit Risk Default 52

Abrigo

MAY 2, 2024

In this blog, we will explore best practices and strategies for small business lending. By the end of this blog, you'll have a comprehensive understanding of how to optimize small business lending within your financial institution.

Small Businesses 88

Small Businesses Credit Risk Credit Unions CECL 88

FICO Blog

DECEMBER 8, 2022

The introductory blog to this series notes that consumer behavior varies under stress based on borrower credit risk resilience as measured by FICO® Resilience Index, even within narrow FICO Score bands. Default rates by FICO® Auto Score 8 and FICO® Resilience Index 2 – stressed economy (Oct 2007 to Oct 2009). FICO Admin.

Default 52

Default CECL Credit Risk 52

Abrigo

SEPTEMBER 16, 2020

Between dealing with the operational impacts of the coronavirus pandemic , ongoing implementation or planning for the current expected credit loss accounting standard (CECL), and routine financial matters, no one wants to spend a lot of time developing the budget. Asset/Liability. Learn More. Asset Liability Modeling. Asset/Liability.

CECL 78

CECL Credit Unions Default 78

Abrigo

SEPTEMBER 16, 2020

Between dealing with the operational impacts of the coronavirus pandemic , ongoing implementation or planning for the current expected credit loss accounting standard (CECL), and routine financial matters, no one wants to spend a lot of time developing the budget. Asset/Liability. Learn More. Asset Liability Modeling. Asset/Liability.

CECL 78

CECL Credit Unions Default 78

Abrigo

OCTOBER 23, 2015

Behringer noted that capitalization rates affect rent expectations for investors, which can impact not just the potential loss given default (LGD) but also the probability of default (PD) for an institution’s borrowers. It should be similar to the way most people look at the stress tests for their heart, he said. “How

Credit Unions 60

Credit Unions CECL Default Credit Risk 60

Abrigo

JANUARY 12, 2016

For example, if a borrower has been given a higher risk rating, the relationship manager will want to collect financial statements more regularly to make sure the borrower is not at risk of default. They will also want to verify that appraisals are being completed regularly to assess the ability of repayment with collateral.

Credit Unions 60

Credit Unions CECL Credit and Collections Default 60

Abrigo

OCTOBER 21, 2020

This post by Hayley Collier , Trepp's Marketing Communication Specialist, was originally published on Trepp's blog and can be found here. McBride explained that the data ran through this model allowed for a forecast of the loan level probability of default, loss given default and expected losses on these loans. CRE Lending.

CECL 125

CECL Credit Risk Default 125