Comptroller's Handbook: Allowances for Credit Losses

Overview

The booklet provides information regarding allowances for credit losses. It describes the scope of the current expected credit losses (CECL) methodology, risks associated with allowances for credit losses, and seven primary components used to estimate allowances for credit losses.

Applicability

This booklet applies to the OCC's supervision of national banks and federal savings associations. References to national banks in this booklet also generally apply to federal branches and agencies of foreign banking organizations. Refer to 12 USC 3102(b) and the "Federal Branches and Agencies Supervision" booklet of the Comptroller's Handbook for more information.