Removing Barriers Blog

CUNA Urges Further CECL Delay in Light of COVID-19
Posted March 18, 2020 by dyi

Today, CUNA sent a letter to FASB urging it to delay the effective date of the CECL standard until at least January 2024.

We anticipate the challenges facing credit unions and their members will get worse before they get better, as it is clear we are in the early stages of this pandemic. Credit unions are open for business and serving their members. Their top priority right now is keeping their members, volunteers and employees safe and healthy, and remaining in a position to serve members and the community during and after the crisis.

At this time, it is critical that credit unions be able to focus on serving their members, who are facing mounting financial pressures due to COVID-19. While some credit unions are in the final stages of preparation, the vast majority are in the very early stages of gathering necessary data and beginning to make the numerous changes required under CECL. A one-year delay will help ensure our nation’s credit unions—the median of which is well under $50 million in assets—are prepared to comply.