Current Expected Credit Losses (CECL) – Expected Loss Estimator (ELE) ToolCECL
On Thursday June 16, 2022, at 2:00 p.m. ET, staff from the Federal Reserve hosted an Ask the Fed® webinar on the ELE tool for determining expected credit losses under CECL.
The ELE tool takes a financial institution’s loan-level data and assumptions as entered in by financial institution management and automates the Weighted-Average Remaining Maturity (WARM) method. This session walks through the spreadsheet-based tool intended to assist community financial institutions in implementing CECL.
The Ask the Fed® session and the ELE spreadsheet-based tool are available on the CECL Resource Center ELE page.
News and Updates
- FASB Proposes Expanded Disclosures and Improved Accounting Related To The Credit Losses Standard November 23, 2021
- Federal Reserve Board of Governors COVID-19 Supervisory and Regulatory FAQS February 16, 2021
- Agencies Issue Final Rule for Transitions of CECL Allowances August 26, 2020
- Financial institutions using CARES Act deferrals won’t violate GAAP, SEC says April 3, 2020
- Agencies Issue Interim Rule for Transitions of CECL Impact March 30, 2020
- FDIC Chairman Urges FASB to Delay Certain Accounting Rules Amid Pandemic March 19, 2020
- Senate Clears 2020 Spending Bills; Orders CECL Review December 19, 2019
- FASB Issues Narrow-Scope Improvements to Credit Losses Standard November 26, 2019
- FASB Announces Upcoming CECL Implementation Workshops October 23, 2019
- Agencies Seek Comment on Allowances for Credit Losses and Credit Risk Review Systems October 17, 2019
- FASB Unanimously Affirms Decision to Delay CECL Effective Dates October 16, 2019
- FASB Seeks Public Comment on Proposal to Delay Effective Dates for Private and Certain Public Companies and Organizations August 15, 2019
- FASB Staff Issues Q&A to Help Organizations Estimate Expected Credit Losses on Financial Assets July 17, 2019
- FASB Proposes Targeted Transition Relief to Institutions Applying the Credit Losses Standard February 18, 2019
- FASB Issues Staff Q&A on WARM CECL methodology for community banks January 10, 2019
Supervisory Guidance
- Interagency Policy Statement on Allowances for Credit Losses May 8, 2020
- Frequently Asked Questions on the Current Expected Credit Losses Methodology (CECL)
- Interagency Guidance on the New Accounting Standard on Financial Instruments – Credit Losses
- Joint Statement on Interaction of the Regulatory Capital Rule: Revised Transition of the CECL Methodology for Allowances with CARES Act
Webinars and Tools
- Ask the Fed: CECL Expected Loss Estimator (ELE) Tool June 16, 2022
- Ask the Fed CECL Scaled CECL Allowance for Losses Estimator SCALE Method July 15, 2021
- New Transition Provisions to Delay the Impact of CECL on Regulatory Capital
- Ask the Regulators: Applying Model Risk Management to CECL Models at Large Banks September 3, 2019
- Ask the Regulators: Weighted-Average Remaining Maturity (WARM) Method April 2019
- Ask the Regulators: Practical Methods Smaller, Less Complex Community Banks Can Use as a Starting Point for CECL March 2018
Research and Analysis
- New Accounting Framework Faces Its First Test: CECL During the Pandemic December 3, 2021
- US Department of the Treasury- The CECL Accounting Standard and Financial Institution Regulatory Capital Study September 15, 2020
- Banking: Current Expected Credit Loss (CECL) Congressional Research Service, October 2018
- Benefits and Challenges of the "CECL" Approach Federal Reserve Bank of Boston, March 2019
- CECL and the Credit Cycle Board of Governors of the Federal Reserve System, June 1, 2019
- The Impact of the Current Expected Credit Loss Standard (CECL) on the Timing and Comparability of Reserves Federal Reserve Board of Governors, March 2018
- Gauging CECL Cyclicality Moody’s Analytics, March 2018