Thursday, November 3, 2022
Level1Analytics has been hard at work to make CECL easy for you. Our model allows for either of the following methods in calculating your Allowance for Credit Losses (ACL):
Based on historical losses adjusted for expected changes in credit quality over the Weighted Average Remaining Maturity (WARM) of the loans.
L1A's proprietary migration model calculates:
All loss estimates are done at the loan level and are based on monthly cash flows. Start now for your 1/1/23 implementation of ASC-326.
Our team is hands-on and knowledgeable, reach out to us for any consultation needs or questions.