Read this article: Record Year for Credit Union-Bank Deals in 2024
2024 was a record-breaking year for announcements of whole-bank acquisitions by credit unions.
Read this article: FHFA’s Guidelines for Enterprises: Risk Management and Valuation of Mortgage Servicing Rights (MSRs)
In January 2023, the FHFA directed Fannie Mae and Freddie Mac to establish and implement risk management policies and procedures for monitoring and valuing MSRs held by their seller/servicers.
Read this article: Mortgage Servicing Right (MSR) Value: The Impact of Float Income
A lesser-known driver of the increase in recent MSR values relates to earnings from float income.
Read this article: Mortgage Rates Fuel Rise in Mortgage Servicing Right (MSR) Values
The rise in mortgage rates that occurred in 2022 has led to a significant increase in the value of mortgage servicing rights (“MSRs”). However, the increases are not spread evenly across all vintages.
Read this article: Wilary Winn in the Wall Street Journal
Frank Wilary, Principal at Wilary Winn, recently spoke to the Wall Street Journal for their July 6, 2023, article discussing the impacts of rising interest rates on U.S. banks. Download…
Read this article: Recent Developments Related to the Accounting for Acquired Assets
FASB continues to work on refining the interaction between CECL and purchase accounting.
Read this article: States Push Back on Credit Unions Acquiring Banks
A growing number of states are blocking the ability of credit unions to buy banks amidst competitive concerns.
Read this article: TDR Accounting Not Required for CECL
In March 2022, FASB eliminated TDR accounting for financial institutions that have adopted CECL.
Read this article: Significant Improvements to Accounting for Acquired Assets
In February 2022, FASB decided to apply PCD accounting to assets obtained in mergers and acquisitions for institutions that have adopted CECL. This avoids the double counting of credit losses for performing loans. In addition, FASB indicated that revised accounting could be applied to the purchases of seasoned loans.
Read this article: Goodwill Amortization
FASB continues to deliberate on accounting for goodwill including testing it for impairment versus amortizing it over time. It appears it is leaning toward the required use of an amortization model.