An updated Comptroller’s Handbook booklet on allowances for credit losses (ACL) was issued Friday by the national bank regulator, which rescinded previous guidance.
The update is version 2.0 of the “Allowances for Credit Losses” booklet of the handbook, published by the Office of the Comptroller of the Currency (OCC), the agency said in Bulletin 2026-33. It provides examiners information regarding ACL under Accounting Standards Codification (ASC) Topic 326, “Financial Instruments – Credit Losses.”
The OCC, in Bulletin 2026-33, says the revised booklet:
- reflects that the adoption date of the current expected credit losses methodology under ASC Topic 326 has passed for all banks.
- reflects the April 2023 revisions to the “Interagency Policy Statement on Allowances for Credit Losses.”
- reflects changes that have occurred since April 2021, such as amendments to U.S. generally accepted accounting principles, new and rescinded OCC and interagency issuances, changes in regulations, and changes in the OCC’s organizational structure.
- includes other updates for general clarity or context.
Items rescinded, it says, are Version 1.0 of the “Allowances for Credit Losses” booklet; OCC Bulletin 2021-20, “Allowances for Credit Losses: New Comptroller’s Handbook Booklet,” which transmitted version 1.0 of this booklet; the “Allowance for Loan and Lease Losses” booklet of the Comptroller’s Handbook; and the July 1996 cover letter that transmitted the “Allowance for Loan and Lease Losses” booklet.
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