With implementation of the current expected credit loss model, or CECL, quickly approaching, banks and credit unions can benefit from resources and CECL training to help make the transition in their allowance for loan and lease loss calculations.
After all, the CECL model has been called the “biggest change in the history of bank accounting,” and it impacts all financial institutions. Smaller institutions with limited staff, in particular, can face challenges developing implementation plans, identifying critical data that must be archived and determining appropriate loss rate methods while they continue to handle daily operational tasks. Several in-person CECL training opportunities are available in the coming months, and numerous on-demand resources are also accessible to help bankers navigate the CECL transition.
Upcoming conference with CECL training
For example, one conference that will provide timely CECL training is the 2018 Lending & Risk Management Summit, taking place Sept. 24-26 in Chicago. Hosted by Sageworks, a financial information company, this event will have a panel discussion featuring CECL perspectives from an auditor, a banker, a consultant and a model validator, as well as other sessions addressing CECL transitions. Attendees will also have numerous opportunities to network with peers undertaking this important update to the accounting standard. As an added bonus to the learning experience, 10-13 CPE credits are available to those who attend. Interested individuals should get tickets soon, because registration fees increase after Aug. 24.
Other speakers at the Lending & Risk Management Summit, which will have separate sessions on SMB lending and business development optimization, include executives from Gartner and accounting firm BKD, as well as consulting firms CEIS Review, Grant Thornton, Clarity Advantage, Darling Consulting Group and Sageworks Advisory Services.
CECL transition training workshops
Several of these CECL Transition workshops have already sold out, but four workshops remain through Nov. 8. Already through these events, 166 bankers from 111 unique banks and credit unions have been educated on the standard — specifically on how to tackle CECL in a practical way at their own institutions. The CECL workshops share transition recommendations and offer hands-on case studies that allow participants to use Sageworks-provided equipment to see firsthand the best practices for making the change to the CECL model. Register here for remaining workshops (CPE credit available).
Strategic advisory CECL training
Sageworks Advisory Services can provide customized training as a part of CECL transition assistance offered by the group. The consultants can train users on model configuration and execution in their engagements and can provide a range of other CECL transition assistance services as well.
Free CECL training webinars
More banks and credit unions trust Sageworks ALLL for the allowance for loan and lease loss calculation than any other solution. As a result, many financial institutions also take advantage of CECL training resources available through Sageworks. These CECL training resources include:
The CECL Methodology Webinar Series: This 8-part series of webinars, originally attended by more than 2,000 people, remains available for on-demand viewing. It gives a CECL overview and covers CECL methodologies for consumer-focused loan pools, C&I loan pools, CRE loans, and it tackles forecasting, disclosures and off-balance-sheet credit exposures, among other topics.
CECL – Accounting for Acquired Loans: Originally attended by more than 300 bankers, this on-demand webinar provides a solid understanding of CECL’s ramifications on the current treatment, the transition planning and the go-forward day 1 decisioning for institutions with acquired loan portfolios.
Access even more CECL related webinars here.
Learn more about navigating the CECL transition.
Detailed CECL training papers
CECL training can also incorporate reading educational materials about the accounting standard at your own pace. In addition to resources provided by the FASB and banking associations, there are whitepapers on best practices for the CECL transition available through partners such as Sageworks. A CECL solution buyer’s guide, transition plans for credit unions and data prep guides are some of the whitepapers and materials available to learn more about the CECL transition.
There are only about 18 months until the banks with the earliest CECL effective dates are required to implement the new credit loss model. Taking advantage of CECL training now can ensure you have the knowledge and skills to make the change to the new accounting standard as smooth as possible for your bank or credit union.