meta_id 3332104

On July 16, 2026, the Office of the Comptroller of the Currency (OCC) issued version 2.0 of the "Allowances for Credit Losses" booklet of the Comptroller's Handbook. The booklet provides guidance to examiners regarding allowances for credit losses (ACL) under Accounting Standards Codification (ASC) Topic 326, "Financial Instruments—Credit Losses." The revised booklet reflects significant developments in accounting and regulatory guidance since the previous version was issued in April 2021. Key updates include the confirmation that the adoption date of the current expected credit losses (CECL) methodology under ASC Topic 326 has passed for all banks, incorporation of the April 2023 revisions to the "Interagency Policy Statement on Allowances for Credit Losses," and amendments to U.S. generally accepted accounting principles. The booklet also reflects changes in OCC regulations, organizational structure, and new or rescinded OCC and interagency issuances. The revised guidance applies to national banks, federal savings associations, and federal branches and agencies of foreign banking organizations of all sizes, with emphasis on ranges of practices tailored to varying sizes, complexities, and risk profiles. The OCC rescinded version 1.0 of the "Allowances for Credit Losses" booklet, OCC Bulletin 2021-20 which transmitted that version, the "Allowance for Loan and Lease Losses" booklet, and the July 1996 cover letter that transmitted the earlier booklet. The Comptroller's Handbook is designed to inform examiners about supervisory subject matter, guide consistent and high-quality bank supervision, and provide transparency into the OCC's supervisory process. For further information, contact the Credit Risk Division at (202) 649-6220 or the Office of the Chief Accountant at (202) 649-6280.