Callahan & Associates' Blog
By Michael J. Sacher
More By Michael J. Sacher
For the past few years, FASB has been discussing the adoption of the "expected loss model" for the Allowance for Loan Losses. In past articles and webinars, we’ve discussed this concept in general and the implications of such a model on credit unions. On December 20, 2012 FASB issued a Proposed Accounting Standards Update on this topic which finally defines the actual accounting framework and clearly differentiates this proposal from the current accounting standard.
It is very likely that this proposed standard will have a profound impact on credit unions. The following illustrate just a few of these impacts.
Credit Union CFOs should carefully review the proposed standard which can be obtained at www.fasb.org. The document is lengthy (154 pages) and contains illustrations on various loan portfolio segments. Importantly, FASB has raised 24 questions within the document and will be accepting responses and comments from the public until April 30, 2013.
Join Mike Sacher and Callahan & Associates on January 16, 2013 for a detailed analysis of this proposed standard as well as an overview of other allowance related matters.
View All Posts In Your Turn
Dec 26, 2012
No comments have been posted yet. Be the first one.
Submit your email address to receive daily industry updates and web-only features.
Find An Executive | Build A Peer Group
Tweets by @creditunionscom
P: 800-446-7453 | F: 800-878-4712
1001 Connecticut Ave. NW Suite 1001
Washington, DC 20036