The latest life-of-loan—or Weighted Average Remaining Maturity—factors are included in the March 2026 update of the simplified tool the federal regulator provides to smaller credit unions for estimating the allowance for credit losses on loans and leases, the agency said Monday.
In a release, the National Credit Union Administration (NCUA) said its simplified tool for estimating current expected credit losses (CECL) also includes the average three-year net charge-off rates (2023 to 2025) for each of the 13 loan portfolio categories on the NCUA Call Report.
“For credit unions currently using the Simplified CECL Tool, the March 2026 release facilitates calculating the credit loss expense on loans and leases for the period ending March 31,” NCUA said.
The tool is updated quarterly, NCUA said, to facilitate the smaller, non-complex credit unions in filing their quarterly call reports.
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