FED Extends and Revises FR Y-9C and FR 2886b Reports for Banks
FED is adopting a proposal to extend for three years, with revision, the financial statements for holding companies (FR Y-9 reports) and the consolidated report of condition and income for edge and agreement corporations (FR 2886b). The new revisions to these reports are effective as of March 31, 2021. FED is also finalizing certain revisions that were previously approved on an interim basis. These are revisions to the definition of “savings deposits” in the FR Y-9C and FR 2886b instructions associated with the amendments to the Regulation D (Reserve Requirements of Depository Institutions), collection of two new temporary data items on loan modifications consistent with section 4013(d)(2) of the Coronavirus Aid, Relief and Economic Security (CARES) Act, and collection of four new temporary data items related to the interim final rule implementing the Paycheck Protection Program Liquidity Facility (PPPLF). These changes became effective on June 30, 2020.
On July 07, 2020, FED had published a notice to temporarily revise the FR Y-9C to collect four new data items related to the Paycheck Protection Program (PPP) loans and the PPPLF. As part of this notice, FED had also temporarily revised FR Y-9C to collect two new data items related to section 4013 of the CARES Act. The comment period for the July 2020 notice ended on September 08, 2020. FED did not receive any comments on this proposal and the revisions will be implemented as proposed, with the new data items being collected through December 31, 2021. On October 08, 2020, FED had published a separate notice to propose a number of revisions to the FR Y-9C, FR Y-9LP, and FR Y-9SP related to the U.S. GAAP effective for reports with a March 31, 2021 as-of date, except for proposed revisions related to last-of-layer hedging, which were proposed to become effective following the adoption and implementation of a final standard by FASB.
For holding companies that have adopted Accounting Standards Codification (ASC) Topic 326 on credit losses, FED had proposed in the October 2020 notice to add new Memorandum item 7, “Provisions for credit losses on off-balance sheet credit exposures,” to Schedule HI-B, Part II, Changes in allowances for Credit Losses. As part of the GAAP-related changes, FED had also proposed new Memorandum item 8 to Schedule HI-B, Part II, “Changes in Allowances for Credit Losses,” to the FR Y-9C report. In this same October notice, FED had proposed to finalize, on an interim basis, revisions to the definition of “savings deposits” in the FR Y-9C and FR 2886b instructions that are associated with the amendments to the Regulation D published April 28, 2020. Another FED proposal in the October notice related to revisions to the General Instructions for FR Y-9C Schedule HC-E, Deposit Liabilities, and FR 2886b Schedule RC-E, Deposit Liabilities. The comment period for the October 2020 notice expired on December 07, 2020.
After considering the comments received during the consultation, FED is implementing revisions to the FR Y-9C and FR 2886b reports, with certain modifications from the proposal. The effective date of the proposed revisions to the FR Y-9C and FR 2886b instructions regarding the definition of “savings deposits” is December 31, 2020. The effective date for all other changes is March 31, 2021.
Related Links
Keywords: Americas, US, Banking, Reporting, FR Y-9C, FR 2886b, CARES Act, COVID-19, Paycheck Protection Program, Regulation D, Call Report, Credit Risk, FED
Featured Experts
Scott Dietz
Scott is a Director in the Regulatory and Accounting Solutions team responsible for providing accounting expertise across solutions, products, and services offered by Moody’s Analytics in the US. He has over 15 years of experience leading auditing, consulting and accounting policy initiatives for financial institutions.
Laurent Birade
Advises U.S. and Canadian financial institutions on risk and finance integration, CCAR/DFAST stress testing, IFRS9 and CECL credit loss reserving, and credit risk practices.
María Cañamero
Skilled market researcher; growth strategist; successful go-to-market campaign developer
Previous Article
MAS Outlines Measures to Target Accessibility for SMEs Under GSLSRelated Articles
BIS and Central Banks Experiment with GenAI to Assess Climate Risks
A recent report from the Bank for International Settlements (BIS) Innovation Hub details Project Gaia, a collaboration between the BIS Innovation Hub Eurosystem Center and certain central banks in Europe
Nearly 25% G-SIBs Commit to Adopting TNFD Nature-Related Disclosures
Nature-related risks are increasing in severity and frequency, affecting businesses, capital providers, financial systems, and economies.
Singapore to Mandate Climate Disclosures from FY2025
Singapore recently took a significant step toward turning climate ambition into action, with the introduction of mandatory climate-related disclosures for listed and large non-listed companies
SEC Finalizes Climate-Related Disclosures Rule
The U.S. Securities and Exchange Commission (SEC) has finalized the long-awaited rule that mandates climate-related disclosures for domestic and foreign publicly listed companies in the U.S.
EBA Proposes Standards Related to Standardized Credit Risk Approach
The European Banking Authority (EBA) has been taking significant steps toward implementing the Basel III framework and strengthening the regulatory framework for credit institutions in the EU
US Regulators Release Stress Test Scenarios for Banks
The U.S. regulators recently released baseline and severely adverse scenarios, along with other details, for stress testing the banks in 2024. The relevant U.S. banking regulators are the Federal Reserve Bank (FED), the Federal Deposit Insurance Corporation (FDIC), and the Office of the Comptroller of the Currency (OCC).
Asian Governments Aim for Interoperability in AI Governance Frameworks
The regulatory landscape for artificial intelligence (AI), including the generative kind, is evolving rapidly, with governments and regulators aiming to address the challenges and opportunities presented by this transformative technology.
EBA Proposes Operational Risk Standards Under Final Basel III Package
The European Union (EU) has been working on the final elements of Basel III standards, with endorsement of the Banking Package and the publication of the European Banking Authority (EBA) roadmap on Basel III implementation in December 2023.
EFRAG Proposes XBRL Taxonomy and Standard for Listed SMEs Under ESRS
The European Financial Reporting Advisory Group (EFRAG), which plays a crucial role in shaping corporate reporting standards in European Union (EU), is seeking comments, until May 21, 2024, on the Exposure Draft ESRS for listed SMEs.
ECB to Expand Climate Change Work in 2024-2025
Banking regulators worldwide are increasingly focusing on addressing, monitoring, and supervising the institutions' exposure to climate and environmental risks.