CECL: A New Era of Credit Loss Estimation The Current Expected Credit Loss (CECL) standard represents one of the most significant changes to bank accounting in decades. Unlike the incurred…
Read Article
The Role of Internal Controls Internal controls are more than an accounting exercise. For community banks, they are the foundation of trust and the guardrails of financial health. Strong controls…
Read Article
For years, community banks have differentiated themselves from their regional and national competitors by emphasizing personal service, relationship building and local expertise. But in today’s digital age, that may no…
Read Article
A well-designed loan risk-rating system is a critical component of a bank’s risk management program. These systems help management accurately and consistently identify and monitor credit risk in a bank’s…
Read Article
All banks are now subject to the Current Expected Credit Loss (CECL) model, requiring them to recognize an immediate allowance for expected credit losses over an asset’s life. First introduced…
Read Article
In 2022, the Financial Accounting Standards Board (FASB) issued Accounting Standards Update (ASU) No. 2022-02, Financial Instruments — Credit Losses (Topic 326): Troubled Debt Restructurings and Vintage Disclosures. The ASU…
Read Article
