Comments Due to NAFCU: FASB - Troubled Debt Restructurings
NAFCU would like to highlight the following:
- The proposed update would eliminate the accounting guidance for TDRs for creditors that have adopted CECL.
- The proposed update would enhance existing disclosure requirements and introduce new requirements related to modifications of receivables made to borrowers experiencing financial difficulty.
- For credit unions that have already adopted CECL, the Financial Accounting Standards Board (FASB) will determine an effective date after considering stakeholder feedback on this proposed update. For credit unions that have not adopted CECL, the proposed update will be effective concurrent with the effective date of CECL, which is January 2023.
Comments due to NAFCU: December 9, 2021
Comments due to the FASB: December 23, 2021
NAFCU will send comments on behalf of its members to the FASB by their deadline (December 23, 2021).