FASB to host CECL roundtable May 20
The Financial Accounting Standards Board (FASB) is hosting a roundtable on the current expected credit loss (CECL) standard May 20. The standard is set to take effect for credit unions in 2023; NAFCU continues to urge FASB to grant credit unions an exemption given their unique structure and potential impacts on capital and net worth classifications.
The roundtable is set to begin at 9 a.m. Eastern May 20 and will be livestreamed on FASB's website. During the discussion, FASB seeks to gather additional feedback on CECL implementation, including technical issues related to purchased financial assets with credit deterioration (PCD) and troubled debt restructurings.
NAFCU President and CEO Dan Berger met with FASB Chair Rich Jones in September to share the association's concerns about CECL's impact on the credit union industry. NCUA Board Member Rodney Hood, while serving as the agency's chairman, backed NAFCU's call for a credit union exemption from the standard.
The NCUA has proposed a three-year phase in of the day-one adverse impacts of CECL on federally-insured credit unions' net worth ratios, though NAFCU has advocated for a longer phase-in option and additional examination flexibility. In its 2021 supervisory priorities, the NCUA announced that examiners "will not be assessing credit unions' efforts to transition to the CECL standard until further notice" amid the coronavirus pandemic and temporary delay of the standards implementation.
In addition, lawmakers and others have cited concerns about the standard's implementation hindering recovery efforts. The Treasury Department has also said more study on CECL's impact on regulatory capital and financial institutions' lending practices is needed.
The association will continue to share with NCUA, FASB, Congress, and other stakeholders the impact CECL is having on credit unions and push for an exemption and additional relief to reduce regulatory burdens.
Add to Calendar 2020-12-14 14:00:00 2020-12-14 14:00:00 Understanding Current Expected Credit Losses (CECL) Hear directly from the Financial Accounting Standards Board (FASB) staff regarding the credit loss accounting standard – Current Expected Credit Losses (CECL). In addition to covering recent FASB staff Q&A documents, including the Weighted Average Remaining Maturity (WARM) method, the FASB staff will answer your questions. PROGRAM UNDERWRITTEN BY Key Takeaways Review FASB’s Post Implementation Review activities regarding CECL Understand the Weighted Average Remaining Maturity (WARM) method Learn more about other FASB Staff CECL Q&A documents Register Now For On-Demand AccessRegistration is complimentary, but you must register to attend.One registration gives your entire credit union access to the on-demand recording until December 14, 2021.Already registered? Go to the Online Training Center to view live. Who Should Attend? Chief Executive Officers (CEOs) Chief Financial Officers (CFOs) Accounting titles Education Credits CPA credit information is below; recommended 1.5 CPE credits. CPA Certification Credit Information Reviewer: Josie Collins, Associate Director of Education, NAFCU Learning Objectives: Review FASB’s Post Implementation Review activities regarding CECL. Understand the Weighted Average Remaining Maturity (WARM) method. Learn more about other FASB Staff CECL Q&A documents. Program Level: Basic Prerequisites Needed: None Advance Preparation Needed: None Delivery Method: Group Internet-Based Recommended CPE Credits: 1.5 credits Recommended Field of Study: Accounting – Technical National Association of Federal Credit Unions (NAFCU) is registered with the National Association of State Boards of Accountancy (NASBA) as a sponsor of continuing professional education on the National Registry of CPE Sponsors. Learn more. About Our Webinars Our webinars are streamed live from NAFCU headquarters near Washington, D.C. Your audio/video feed of the presenters includes presentation slides and downloadable handouts. You can easily submit your questions to the presenters at any time during the live broadcast, with no dialing over the phone! The audio and video stream directly through your computer. Web NAFCU email@example.com America/New_York public
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