THE IMPACT OF CECL AND REVISED DATES PROPOSED BY THE FASB FOR SMALL BANKS TO IMPLEMENT IT
THE FINANCIAL CRISIS AND BIRTH OF CECL The 2007-2008 financial crisis triggered a cascade of credit losses for banks. It showed just how inadequate the longstanding method of Allowance for Loan and Lease Losses (ALLL) was for the adjustment of reserve levels of financial institutions. Taking note, on June 16, 2016, the Financial Accounting Standards Board (FASB) formulated Current Expected Credit Loss (CECL) to replace the ALLL standard. The CECL standard brought along with […]
