We examine the impact of COVID-19 on consumer credit incorporating scenarios assumptions.
The impacts of COVID-19 are not uniform across the nation. Quantifying these differences is critical to making better informed business decisions.
The COVID-19 pandemic is dramatically impacting consumer credit portfolios.
Presentation slides form our webinar examining, consumer credit conditions under scenarios for Credit Unions.
Moody’s Analytics analyzed a range of plausible outcomes of quantitative expected losses under CECL, incorporating COVID-19 impacts across commercial and industrial (C&I), commercial real estate (CRE), and retail loans.
We discuss the major implications of the COVID-19 recession on consumer credit performance over the next two years at the national, state, credit score band, and asset class level.
CECL was scheduled to go into effect at the beginning of 2020 until COVID-19 disrupted businesses. Moody's Analytics analyzed a range of plausible outcomes of quantitative expected losses under CECL, incorporating COVID-19 impacts across commercial and industrial (C&I), commercial real estate (CRE), and retail loans.
Where do we stand today and how can financial institutions prepare for this changing climate landscape?
Join Scott Hoyt and David Fieldhouse, as they discuss the current and anticipated trends in household credit conditions based on Moody's Analytics forecasts of Equifax data.
Recent CECL impact disclosures point directly to credit cards as the largest driver of the allowance. We can confirm those recent disclosures by looking at the consumer default volumes chart in Figure 1,which clearly point to the credit card segment as being one of the largest contributors of loss today.
Some recent public disclosures by institutions indicate that some lenders are evaluating electing fair value accounting, also known as the fair value option, or FVO, in lieu of applying the Current Expected Credit Losses standard.