An Example of Why Data Matters In CECL
Example: A bank has a significant concentration of its commercial real estate loans risk rated a 4. Those loans will have a range of debt service coverage ratios (DSCRs). Some...
08 September, 2018
June 2018
How the new CRE Focus Emerged
The Federal Reserve was the first to sound the alarm about a new potential issue with commercial real estate concentrations, according to the Government Accountability Office. The Fed told the...
08 September, 2018
CECL Issues – Unpacking the Biggest CECL Challenge
Lack of data is by far the biggest obstacle for banks as they begin figuring out how to implement the new current expected credit loss (CECL) accounting standard, which will...
08 September, 2018
Exam Trends – Concentration Risk Management Remains an Exam Focus: Stress Tests Are Vital
Make no mistake about it: If your bank has commercial real estate (CRE) concentrations that are at or above the suggested regulatory guidelines, examiners will expect to see a current comprehensive...
23 August, 2018
Read Between the Lines
Jelena McWilliams officially took over the helm of the Federal Deposit Insurance Corp. in June. Her resume includes stints as chief counsel of the Senate Banking Committee, an attorney at...
01 June, 2018