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NAFCU regulatory affairs staff today will monitor the Financial Accounting Standards Board's (FASB) open meeting for an update on its current expected credit losses (CECL) standard. Credit unions are still waiting for substantive guidance on the CECL standard and NAFCU strongly believes that the industry should not be included within its scope.

Today's meeting begins at 9 a.m. Eastern and is available to view via livestream.

Last month, FASB discussed three options to clarify implementation concerns brought up during a June FASB Transition Resource Group meeting on CECL – attended by NAFCU.

FASB last week issued a request for feedback on its proposed update to the current CECL effective date for non-public business entities, including credit unions. This change would make clear that the implementation of the accounting standard is only required for fiscal years after Dec. 15, 2021.

The proposal would also clarify that receivables from operating leases are not within the scope of the CECL standard.

NAFCU members can offer input on this proposal via the association's Regulatory Alert.

As credit unions begin putting a model in place to ensure smooth data collection for the CECL standard, NAFCU encourages the industry to make use of its study and webinars to help.