Current Expected Credit Losses (CECL) Policy

Updated 09/09/2022

This policy summarizes the requirements under the Financial Accounting Standards Board ASU 2016-13 (Measurement of Credit Losses on Financial Instruments known as Current Expected Credit Loss) for estimating allowances for credit losses. It is effective for all banks regardless of asset size in the fiscal year beginning after December 15, 2022. The following are the key takeaways of the changes:

  1. Updated to remove references to TDR’s in accordance with FASB ASU 2022-02 accounting standards (all updates are highlighted).

 

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