On October 10, the Office of the Comptroller of the Currency (OCC) released an update to the Bank Accounting Advisory Series (BAAS).
The BAAS covers a variety of topics and promotes consistent application of accounting standards among national banks and federal savings associations. The update includes recent answers to frequently asked questions from the industry and examiners covering areas such as acquired loans, other real estate owned, transfers of servicing and fair value accounting. According to the OCC, “the BAAS does not represent official rules or regulations of the OCC. Rather, it represents the OCC’s Office of the Chief Accountant’s interpretations of generally accepted accounting principles and regulatory guidance based on the facts and circumstances presented.” National banks and federal savings associations that deviate from these stated interpretations “may be required to justify those departures to the OCC.”
The OCC plans to update the BAAS at least annually.
The OCC BAAS of September 2013 is available here.