• Credit unions, small banks get extra year to comply with credit loss standard

    The FASB unanimously agreed to clarify an aspect of the board’s credit loss standard to ensure that community banks and credit unions have enough time to apply it properly. The accounting board wants to publish by the end of the year an amendment to U.S. GAAP that will align the implementation date for nonpublic entities’ annual financial statements with the implementation date for their interim financial statements.
  • Overnight Index Swap Rate joins list of U.S. GAAP’s hedge accounting benchmarks

    The FASB updated U.S. GAAP to add a new interest rate from the market for U.S. Treasury repurchase contracts to the list of accepted benchmark rates for hedge accounting. The update follows a decision by a panel sponsored by the Federal Reserve and the Treasury Department to introduce the Secured Overnight Financing Rate Overnight Index Swap Rate as an alternative to the London Interbank Offered Rate, which had historically been the most widely used benchmark interest rate in global capital markets until a price-fixing scandal was exposed in 2012.
  • Webcast to cover changes to insurance accounting

    The FASB plans to host a webinar to cover the changes it recently published to the accounting guidance for long-term insurance policies. The amended standard requires insurers to make regular assessments about whether they need to update assumptions about policyholders when they estimate future liabilities.