Current Expected Credit Loss (CECL) Accounting: Radical Changes Ahead
- Date:August 09, 2018
- Author(s):
- Brian Riley
- Research Topic(s):
- Credit
- PAID CONTENT
Overview
Prepare for changes in credit card loss accounting as conservative requirements go live in December 2019.
A new Financial Accounting Standards Board (FASB) rule requires credit card issuers to shift from Allowance for Loan and Lease Loss (ALLL) measure to account modeling, which will increase credit loss expenses and further diminish credit card profitability.
Learn More About This Report & Javelin
Related content
DFAST: Tight Credit Card Risk Controls Ensure Bank Liquidity
Top financial institutions are prepared to navigate a severe economic shift, based on the results of the 2025 Dodd-Frank stress tests. Credit card losses continue to be the most si...
From Hype to Impact: How AI is Transforming Credit
Advances in artificial intelligence have generated a high level of excitement and marketing spending as financial organizations seek to rebrand their technologies with “AI” and dev...
Amex and Chase Face Off on Premium Credit Cards, but the Backstory Is More Interesting
Moves by American Express and Chase to revamp their signature card reward products will bring the issuers into greater competition for the most affluent cardholders and carry rever...
Make informed decisions in a digital financial world