Come and Get Your Data for the SCALE Tool

In July 2021, the Federal Reserve provided a tool for community banks to consider when adopting Current Expected Credited Losses. The tool, Scaled CECL Allowance for Losses Estimator, or SCALE, was introduced during an Ask the Fed® session held on July 15, 2021. The SCALE tool uses publicly available data from Schedule RI-C of the quarterly call report to derive the initial proxy for expected lifetime loss rates. 

Now, the Federal Reserve is providing Schedule RI-C data that can be used with the SCALE tool. This data is now available on CECL Resource Center on the SCALE tab in the resources section or at RI-C - CECL Resource Center. The RI-C Data page also includes information on when data will be posted in the future, generally within 15 days after the financial data is finalized for each quarter. Check out the updated SCALE FAQs, which were updated with responses to several questions presented during the Ask the Fed® session in October.

We first introduced the SCALE Method in our September 2021 Supervision News Flash. Read the earlier article here.

Reach out to your Federal Reserve portfolio central point of contact with any questions regarding SCALE.