Archive Links

Consumer Archive
CU System Archive
Market Archive
Products Archive
Washington Archive

News Now

Washington
FASB Credit Impairment Allowance Comments Due Friday
WASHINGTON (5/29/13)--Credit unions and other interested parties have until this Friday to comment on a Financial Accounting Standards Board (FASB) proposal that could substantially increase the credit impairment allowance for credit unions.

Under an accounting standards update regarding financial reporting of expected credit losses on loans and other financial assets held by financial institutions, including credit unions, FASB proposed a model that would utilize a single "expected loss" measurement for the recognition of credit losses. That model would replace the multiple existing impairment models in U.S. generally accepted accounting principles that generally use an "incurred loss" approach.

Under the proposal, the reporting entity would be required to estimate the cash flows that it does not expect to collect, using all available information, including historical experience and forecasts about the future.

CUNA is developing a comprehensive letter to FASB strongly opposing the proposal and issued a Comment Call to credit unions in January.

Use the resource link to access the Comment Call, which includes a detailed summary of the FASB plan.
Other Resources

CUNA Comment Call
RSS print
News Now LiveWire
St. Louis treasurer taps #creditunion to serve unbanked #NewsNow http://t.co/lWtcezJOej
16 hours ago
.@CUNAMutualGroup has committed $35K to @trustdotcoop over the next year to suppor the future of #creditunions.
17 hours ago
.@madison_mag gets the cooperative scoop from @SummitDoMore's @kimsponem http://t.co/RxSCeSegie
17 hours ago
.@VantageWestCU emeritus chairman Whittaker inducted into @DCUC_HQ Hall of Fame http://t.co/dpeP4ME49U
19 hours ago
Australian newspaper covers Gen Y tips from @ServusCU at @WOCCU conference http://t.co/xqmLfZVwaI
19 hours ago