Collaboration with LeaseQuery allows Fiserv accounting software users to streamline lease accounting processes and address FASB standard
Fiserv, a leading global provider of payments and financial services technology solutions, is enabling financial institutions to advance their lease accounting processes and address industry standards through a new agreement with LeaseQuery. This collaboration will provide users of Prologue™ Financials accounting software from Fiserv with access to purpose-built lease accounting software from LeaseQuery.
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@Fiserv is enabling financial institutions to advance their #leaseaccounting processes and address industry standards through a new agreement with @LeaseQuery
Historically, operating leases have been considered off-balance sheet transactions, often tracked manually in spreadsheets. This changed when the Financial Accounting Standards Board (FASB) issued ASC 842, a new standard for lease accounting that requires financial institutions to recognize operating leases for retail branches and office space upon commencement of the lease. As a result, financial institutions could see a 60% to 70% average increase in lease liabilities on their balance sheet, according to the recent Lease Liabilities Index Report from LeaseQuery.
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“While some financial institutions with a small number of operating leases may be able to continue to track those leases in spreadsheets, this will be a labor-intensive and impractical process for most institutions,” said Aldor Delp, senior vice president and general manager, Digital Efficiency Group at Fiserv. “The continually changing accounting environment is a catalyst for automation, which can improve not only the efficiency of the lease accounting process, but also its accuracy.”
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