ICBA Tells Agencies CECL Concerns Remain

Dec 17, 2019

ICBA told federal regulators it remains concerned with the Current Expected Credit Loss accounting standard and supports efforts to limit its impact on community banks.

In a letter to the banking agencies, ICBA said it supports the Financial Accounting Standards Board's decision to delay implementation for smaller community banks until 2023 while it backs stop-and-study legislation.

ICBA also reminded the agencies that the standard confirms that community banks can use spreadsheet calculations and asked regulators to add a section specifically on scalability. ICBA meanwhile thanked the banking agencies for providing a clear understanding of regulator expectations, though it requested more examples specific to community bank implementation.