The tax reform law passed late last year, which significantly cut the corporate tax rate, has been widely popular among banks, but a one-time hit to the value of their deferred tax assets was felt far and wide.
The Federal Reserve Board on Thursday proposed to give banks more insight into portfolio performance under its stress testing models in an effort to help banks better understand the Fed’s methodology.
Timothy Zimmerman, who once called CECL a dangerous proposal, now sees a justification for the FASB standard. And he is urging bankers to start working on plans to comply with the change.
Amid all the bad news this year among taxi-medallion lenders, banks are trying to renegotiate loan terms behind the scenes, and regulatory changes could prop up collateral values and the competitiveness of taxis.
Reader reactions to criticism of Jamie Dimon, the House GOP ganging up on Richard Cordray, a bank's decision to part with Excel to measure credit losses, and more.
First Commonwealth in Pennsylvania is turning to a third party’s specialized software as the CECL standard makes forecasting credit losses more complicated. Other banks could follow.
