CECL delay grants mid-sized US banks a capital windfall

Synchrony, Huntingdon and Citizens among those to reap most CET1 relief

Regional, non-systemic US banks are the big beneficiaries of the Federal Reserve’s decision to delay the capital impact of the current expected credit loss (CECL) accounting standard by two years, Risk Quantum analysis shows.

Among US banks with over $100 billion in assets that disclosed estimates of how much their Common Equity Tier 1 (CET1) capital ratios would fall because of CECL, regional lenders Synchrony Financial, Huntington Bancshares and Citizens Bank topped the table.

At end-2019

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