A Practical CECL Action Plan for Credit Unions

Most credit unions aren’t required to implement the new current expected credit loss (CECL) standard until fiscal years that start after Dec. 15, 2022, so many institutions view the new accounting rule as less pressing than growth initiatives or other regulatory requirements.

Nevertheless, credit unions are heeding the advice of the NCUA, which has directed credit unions to take advance steps to ensure effective implementation of this major change in estimating losses. These steps begin with education and continue with the evaluation of methodologies. This action plan will walk through key components of team coordination, loan-level data, procedural changes, auditor/regulator expectations, and more.

Looking for Banker’s Toolbox? You are in the Right Place!

Banker’s Toolbox is now Abrigo, giving you a single source for all your enterprise risk management needs. Use the login button here, or the link in the top navigation, to log in to Banker’s Toolbox Community Online.

Make yourself at home!