OCC provides stress test guidance and tool for community banks

The Office of the Comptroller of the Currency released guidance on Oct. 18 to national banks and federal savings associations with assets of $10 billion or less on using stress testing to assess risk in their loan portfolios. The OCC is also making a tool to provide community banks with a simple method to perform portfolio stress testing on income-producing CRE loans. Read on for details on the guidance and how this tool can help.