Financial Accounting News

U.S. Banking Agencies Seek Comment on Policy for Applying CECL

Oct. 17, 2019, 4:03 PM

The Federal Reserve and other U.S. banking agencies are seeking public comment on a policy statement for how banks implement the Financial Accounting Standards Board’s approach known as current expected credit losses, or CECL.

Financial regulators are proposing interagency policy for how banks should handle FASB’s new accounting methodology, four agencies said in a statement Oct. 17.

The Fed, the Office of the Comptroller of the Currency, the Federal Deposit Insurance Corp. and the National Credit Union Administration said the aim is to “promote consistency.”

They are also seeking comment on proposed guidance that presents “principles for establishing a system...

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