More ALLL Coverage

FASB Rejects Regional Bank Proposal, Reverses Course on Vintage Disclosures

FASB Rejects Regional Bank Proposal, Reverses Course on Vintage Disclosures

The Financial Accounting Standards Board (FASB) made two decisions that will limit changes to the CECL standard ahead of implementation ...
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CECL: Survey Results Show What Institutions Are Doing Now

CECL: Survey Results Show What Institutions Are Doing Now

How prepared are financial institutions when it comes to the current expected credit loss, or CECL? Find out Tuesday during ...
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JPMorgan Chase Gives Look at CECL Impact

JPMorgan Chase Gives Look at CECL Impact

JPMorgan Chase’s investor presentation last week gave one of the first looks, if not the first, at how a new ...
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Where Are Banking Peers in CECL Implementation? Find Out

Where Are Banking Peers in CECL Implementation? Find Out

If you’ve wondered how far along your financial institution peers are in implementing the current expected credit loss standard (CECL), ...
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cecl-disclosures

The top CECL changes to ALLL disclosures

The current expected credit loss (CECL) model requires financial institutions to overhaul many aspects of their accounting for the allowance ...
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Becoming CECL compliant with an ALLL workflow system

Becoming CECL compliant with an ALLL workflow system

While seeking to adapt in an ever-changing regulatory environment, bankers must adhere to heightened data requirements, new calculation procedures, and ...
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Latest Resources

ASC 450-20 (FAS 5)

CECL WARM Method – What to Know and How to Use It

In this webinar, hear from Abrigo Advisory Services members and CPAs Jared Mills and Baker Eddraa as they discuss in more detail the pros and cons of the remaining life methodology and guide institutions on when they should be using it for CECL.
Disclosure Reporting

Stress Testing: Why It Shouldn’t (and Won’t) Go Away

Recent discussions suggest easing of legislative requirements related to stress testing, but prudent stress testing is an important risk management tool for financial institutions. Stress testing, as part of overall best practices for mitigating financial institution risk, can provide the board and management with key decision-making information on capital allocation and other decisions driving the achievement of long-term goals.
Understand ALLL Today Process Graph

Remaining Life – A Viable CECL Methodology for Some Financial Institutions

One of the challenges is that many community financial institutions are looking for simpler, more practical methodologies for implementing CECL than those being used by larger, more complex banks and credit unions. This whitepaper explores one methodology, the remaining life method, that represents a streamlined option for some financial institutions to implement the new standard for accounting for credit losses.

Tip Of The Day

Begin to develop multiple scenarios for your ALLL. Not only will it prove examiner friendly, but it will provide you with additional insight into the impact of changing variables

Poll

What type of data do you anticipate leveraging for your CECL calculation?

  • 1-5 years of detailed loan level data
  • 5+ years of detailed loan level data
  • 1-5 years of aggregate (pool level) data
  • 5+ years of aggregate (pool level) data
  • I don't know the difference

ALLL.com Insiders

CFO Corner -- “ALLL” about CECL

CFO Corner — “ALLL” about CECL

In this occasional feature, CFOs from financial institutions share their approaches to the ALLL and to the CECL transition, as ...
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The biggest initial impact of CECL on financial institutions

The biggest initial impact of CECL on financial institutions

Most financial institutions understand CECL, and more specifically applying the CECL model to their loan portfolio, represents the most significant ...
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Validating ALLL models under CECL – What might change?

Validating ALLL models under CECL – What might change?

What does model validation mean for the allowance for loan and lease losses and what will it mean under CECL? ...
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