Model Validation Service

Introducing ARCSys CECL Validation model

Utilizing another CECL vendor or running CECL in-house? Let our talented team of accountants and statisticians use their expert CECL knowledge to validate your model.

We’re more than just another validation service provider, ARCSys Validates by recalculation. As a result, our unique service is dynamic and specialized to you! With full use of our data warehouse, we also provide support for your recalculation of all significant CECL factors.

Because ARCSys utilizes our CECL calculation engine, we have the unique ability to test your calculation based directly on your data inputs and assumptions using multiple models, giving you a comfort level beyond simple testing and review. Our process is a more complete validation that supports all parts of your model by reperforming calculations.

Our Process

Data input, processing, and analysis


Design and development of pooling structures


Review vendor SSAE 18 compliance


Review institution’s internal control procedures


Comprehensive model testing


Review or perform back-testing, sensitivity testing, and benchmarking


Review institution’s internal reporting procedures


Continued monitoring of model reasonableness and compliance

How We Are Different From Other Validators

We recalculate all of your CECL data points

Our fee structure reduces in future years

You get access to a full BI data warehouse including third party data

You get access to your calculations throughout the year to reference

You get a statistical analysis report of your data set

You get our team’s industry-leading experience and expertise

Why ARCSys?

Put the CECL Dream Team behind you

  • Leverage our data warehouse analytics to support your modeling
  • Recalculate your allowance using the ARCSys CECL models
  • Validate your charge-off, prepayment, and LGD rates

Ready to Get Started?

Talk to Us