OCC Bulletin 2023-30 | September 27, 2023

Lease Financing: Revised Comptroller’s Handbook Booklet and Rescissions

To

Chief Executive Officers of All National Banks, Federal Savings Associations, and Federal Branches and Agencies; Department and Division Heads; All Examining Personnel; and Other Interested Parties

Summary

The Office of the Comptroller of the Currency (OCC) today issued version 2.0 of the “Lease Financing” booklet of the Comptroller's Handbook. This booklet discusses risks and risk management practices associated with lease financing. This booklet also provides examiners with a framework for evaluating a bank’s¹ lease financing activities.

Rescissions

The revised booklet replaces version 1.2 of the booklet with the same title issued January 2017. Also rescinded is OCC Bulletin 2014-40, “Lease Financing: Comptroller's Handbook Revision and Rescission,” which transmitted version 1.0 of the booklet in August 2014.

Note for Community Banks

The “Lease Financing” booklet applies to the OCC’s supervision of community banks engaged in lease financing activities.

Highlights

The revised booklet

reflects changes to lease accounting standards since this booklet was last updated.
reflects OCC issuances published and rescinded since this booklet was last updated.
includes clarifying edits regarding supervisory guidance, sound risk management practices, and legal language.
revises certain content for general clarity.

Refer to the “Foreword” booklet of the Comptroller’s Handbook for an overview of the OCC’s process for updating and fully revising Comptroller’s Handbook booklets.

Further Information

Please contact Barry Mills, Director for Commercial Credit Risk Policy, at (202) 649-6670.

Grovetta N. Gardineer
Senior Deputy Comptroller for Bank Supervision Policy