Newsroom
NAFCU urges FASB to accelerate TDR elimination date
NAFCU Regulatory Affairs Counsel James Akin last Thursday sent a letter to the Financial Accounting Standards Board (FASB) sharing the association’s response to the Proposed Accounting Standards Board Update, eliminating accounting guidance for troubled debt restructurings (TDR) and enhancing certain disclosure requirements.
While NAFCU generally supports FASB’s proposal to eliminate the accounting guidance for TDRs, the association strongly urges FASB to “accelerate the effective date of TDR elimination as optional for non-public entities as early as the annual period beginning after December 15, 2021,” wrote Akin. Non-public entities have successfully maintained sufficient loan loss allowance levels without TDR accounting guidance and will likely be able to continue doing so moving forward.
Akin also discusses the redundancy of TDR accounting guidance, sharing financial institutions’ track records of success in voluntarily disclosing information in the absence of TDR guidance during the pandemic. Regarding the current expected credit losses (CECL), NAFCU urges FASB to eliminate the adoption of CECL, citing major credit union concerns with the accounting standard. The association has previously called on FASB to exempt all non-public filers, including credit unions, from compliance with the CECL standard.
NAFCU also supports the adoption of narrowly tailored disclosures that provide meaningful information to users of financial statements without introducing unnecessary cost and burdensome complexity to the accounting process.
NAFCU continues to encourage FASB to eliminate TDR guidance and will keep credit unions updated on the process. Read the full letter here.
Share This
Related Resources
Add to Calendar 2024-05-03 14:00:00 2024-05-03 14:00:00 Plan Sponsor Attitudes Toward Retirement Plan Management and Fiduciary Outsourcing About the Webinar In January 2024, Pentegra conducted a survey of retirement plan sponsors and their perspectives on retirement plan management and fiduciary outsourcing. The survey measured how sponsors are using fiduciary outsourcing to help better manage their retirement plans. It also captured their perspectives on what outsourcing does to help them better position their plans and drive improved retirement plan outcomes. Key Takeaways: What is the full scope of your responsibilities as a plan sponsor? What is fiduciary outsourcing and how does it work? How does fiduciary outsourcing help reduce workloads and minimize risk? How can a credit union best position its plan to drive improved outcomes? Register Here Web NAFCU digital@nafcu.org America/New_York public
Plan Sponsor Attitudes Toward Retirement Plan Management and Fiduciary Outsourcing
preferred partner
Pentegra
Webinar
Turning Lemons into Lemonade: Capitalizing in a Post-Banking Crisis Era
Strategy
preferred partner
Allied Solutions
Blog Post
Add to Calendar 2024-05-03 09:00:00 2024-05-03 09:00:00 Blind Spots in the Boardroom Listen On: Key Takeaways: [04:19] For a board to change its practices first it needs to be committed to different outcomes. It takes about 30 times for a board to start to be in a new conversation before they start to get their brain rewired to embody the change [07:24] In merger conversations we lose sight of what is important for the member. We need to look at what the continuing organization will look like and what is the leadership the membership and continuing organization need and deserve. [12:39] An educated board and executive team are a sharper team. When you have sharper leaders in the organization good things come from that. [24:22] If we are not taking care of that relationship with the CEO then we are strategically hampered. With a good CEO evaluation, the board is higher performing, the CEO is more attentive to being high performing, and the relationship is high performing and more genitive. Web NAFCU digital@nafcu.org America/New_York public
Blind Spots in the Boardroom
preferred partner
DDJ Myers
Podcast
Ensuring Safety and Soundness with AI
Management, Consumer Lending, FinTech
preferred partner
Upstart
Blog Post
Get daily updates.
Subscribe to NAFCU today.