PLANO, Texas–Catalyst Corporate has launched a new product it said is specifically designed to help credit unions prepare for the adoption of new accounting requirement related to Current Expected Credit Loss, or CECL.
CECL will have a significant impact on how credit unions account for expected credit losses in the future, noted Catalyst Corporate.
“With CECL requirements set to take effect in January 2023, credit unions should be evaluating solutions and determining the most appropriate type of modeling now,” said Mark DeBree, managing principal of Catalyst Strategic Solutions. “Today’s rollout of CECLution will help credit unions get ready in a timely manner.”
According to Catalyst Corporate, CECLution is a robust, self-directed, online platform built upon the financial know-how of Catalyst Strategic Solutions, a wholly owned subsidiary of Catalyst Corporate.
“We’ve worked to provide a user-friendly platform that gives credit unions the flexibility to customize inputs that accommodate different assumptions,” DeBree said.
The Benefits
Based on the Weighted Average Remaining Maturity (WARM) method, CECLution offers several benefits, according to Catalyst:
- Captures and maintains credit union historical data
- Automatically integrates economic data
- Displays credit union and peer data
- Enables fully customizable Q-factors and carve-outs
- Preserves core assumptions for easy updates
- Saves and stores forecasts
‘Independent, Fast’
While CECLution is available to any credit union, it was created for those seeking an independent, fast and flexible option, rather than an in-house solution, DeBree noted.
“CECLution is provided on a subscription basis that permits credit unions unlimited access to the platform,” DeBree said.
For info: ceclution.org or call 800.301.6196.