We are an existing client of Wilary Winn and have a high degree of confidence in the quality of their work. We had read many articles on how the new Current Expected Credit Loss (“CECL”) model would affect the calculation of the allowance for loan losses, including the potential financial effect it would have on our industry in general. We wanted to better understand the specific impact the standard would have on our credit union. We turned to our trusted partner Wilary Winn, which has developed credit loss estimate models in full accordance with the new CECL standard. Our goal was to remove some of the mystery and confusion surrounding what CECL is and how it will work.
Using our actual loan data, Wilary Winn produced thorough and comprehensive loan loss estimates under multiple potential macroeconomic scenarios. The product we received included a thorough description of their methodology and input assumptions, including how they related to the standard, helping us to better understand the reserves that would be required. This proved to be very educational for our management and Board and has prepared us for how to better plan for compliance with and implementation of the new CECL guidance.