8/16/2012 FDIC extends transition period for loan definitions in large-bank reports
American Bankers AssociationThe FDIC yesterday extended from to Oct. 1, 2012, to April 1, 2013, the transition period during which institutions subject to the large-bank pricing system may continue using either their existing internal methodologies or supervisory guidance to identify and report subprime and leveraged loans on the Call Report and Thrift Financial Report.
The FDIC noted that on March 6 it issued a proposal to revise the definitions of subprime and leveraged loans, and the comment period ended May 29. “[A]dditional time is needed [for the FDIC] to complete its review of the comments to the notice of proposed rulemaking and to finalize the subprime and leveraged loan definitions,” the agency said in a notice.
“Therefore, to allow more time [for] this review, and to give institutions additional time to adapt reporting systems to the new definitions once they are finalized, the FDIC has decided to allow large institutions to continue to use the transition guidance to identify and report subprime and leveraged loans originated or purchased prior to April 1, 2013,” it explained.