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Credit Squeeze May Loom As New Accounting Rule Takes Root At Banks

PYMNTS

In finance, accounting is everything. Accounting for everything, especially when it comes to credit — in other words, taking stock and measure of where lending activities have been concentrated, where risk is and where losses may loom — is as much art as science. Yet the higher the reserves, the less credit is made available.

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Credit Squeeze May Loom As CECL Takes Root At Banks

PYMNTS

In finance, accounting is everything. Accounting for everything, especially when it comes to credit — in other words, taking stock and measure of where lending activities have been concentrated, where risk is and where losses may loom — is as much art as science. Yet the higher the reserves, the less credit is made available.

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