Calyx Software, announced that its Path loan origination software (LOS) is now integrated with SimpleCECL from LoanScorecard
(Excerpted from The MReport.)
Calyx Software, announced that its Path loan origination software (LOS) is now integrated with SimpleCECL from LoanScorecard. SimpleCECL combines the proprietary credit and prepayment forecasting model and related analytics from Andrew Davidson & Co., Inc. (AD&Co) with LoanScorecard technology to provide loan-level analysis for Current Expected Credit Loss (CECL) and a calculation of the appropriate loan loss reserves to hold, based on the model’s projected lifetime losses for that loan.
Issued by the Financial Accounting Standards Board, CECL is the new “expected loss” accounting model for estimating the Allowance for Loan and Lease Losses. It replaces the current “incurred loss” model and goes into effect in 2020 for SEC-filing institutions and 2022 for all other financial institutions.
With this integration, financial institutions can seamlessly generate loan-level CECL analysis to ensure accuracy and compliance for all loans originated, including those with a policy exception, as well as an exact calculation for loan loss reserves under the new regulation—all without ever leaving the LOS.