# ASC 860-20-30: Transfers and Servicing — Sales of Financial Assets — 30 Initial Measurement Source: FASB Accounting Standards Codification, Basic View [Read online](https://asc.understandingaccounting.org/asc/860/20/#30-initial-measurement) Study and research edition. Verify current requirements with the official source. Summaries, enrichment, and tags are machine-generated study aids. Paragraph html preserves source markup; snippet is abbreviated. Pending content is not necessarily effective. Tables and mathematical or amendment markup are retained as HTML where Markdown would lose structure. Source downloaded (UTC): 2026-09-10T02:06:31.009Z to 2026-09-10T02:06:31.009Z Record version: sha256:9461de76621084096b569effeb6e1c8db083589ecdd43ff15f5fa44b301c9317 Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. ## ASC 860-20-30: 30 Initial Measurement [Read section](https://asc.understandingaccounting.org/asc/860/20/#30-initial-measurement) SEC content: no ##### [860-20-30-1](https://asc.understandingaccounting.org/asc/860/20/#860-20-30-1) Pending content: no Source downloaded (UTC): 2026-09-10T02:06:31.009Z to 2026-09-10T02:06:31.009Z Record version: sha256:25256a755c64d9370d5d1885589d85c87c630f2cf2a649bcbd607d7f2fbe29f6 Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. The [transferor](https://asc.understandingaccounting.org/glossary/t/#transferor "An entity that transfers a financial asset, an interest in a financial asset, or a group of financial assets that it controls to another entity.") shall initially measure at fair value any asset obtained (or liability incurred) and recognized under paragraph [860-20-25-1](https://asc.understandingaccounting.org/asc/860/20/#860-20-25-1). ##### [860-20-30-2](https://asc.understandingaccounting.org/asc/860/20/#860-20-30-2) Pending content: yes Source downloaded (UTC): 2026-09-10T02:06:31.009Z to 2026-09-10T02:06:31.009Z Record version: sha256:4e92b463735ff53af85f3e36197d5a9498ce0db5da0c8aaa76cf40a8a740740b Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. The [transferee](https://asc.understandingaccounting.org/glossary/t/#transferee "An entity that receives a financial asset, an interest in a financial asset, or a group of financial assets from a transferor.") shall initially measure, at fair value, any asset or liability recognized under paragraph [860-20-25-3](https://asc.understandingaccounting.org/asc/860/20/#860-20-25-3), unless it is a [purchased financial asset with credit deterioration](https://asc.understandingaccounting.org/glossary/p/#purchased-financial-assets-with-credit-deterioration "Acquired individual financial assets (or acquired groups of financial assets with similar risk characteristics) that as of the date of acquisition have experienced a more-than-insignificant deterioration in credit quality since origination, as determined by an acquirer's assessment. See paragraph 326-20-55-5 for more information on the meaning of similar risk characteristics for assets measured on an amortized cost basis.") or is a beneficial interest that meets the criteria in paragraph [325-40-30-1A](https://asc.understandingaccounting.org/asc/325/40/#325-40-30-1A), in which case the transferee shall apply the guidance in Topic 326 on measurement of credit losses to determine the initial amortized cost basis. Transition date:(P) December 16, 2026; (N) December 16, 2026Transition guidance: [326-10-65-7](https://asc.understandingaccounting.org/asc/326/10/#326-10-65-7)The [transferee](https://asc.understandingaccounting.org/glossary/t/#transferee "An entity that receives a financial asset, an interest in a financial asset, or a group of financial assets from a transferor.") shall initially measure, at fair value, any asset or liability recognized under paragraph [860-20-25-3](https://asc.understandingaccounting.org/asc/860/20/#860-20-25-3), unless it is a [purchased financial asset with credit deterioration](https://asc.understandingaccounting.org/glossary/p/#purchased-financial-assets-with-credit-deterioration "Acquired individual financial assets (or acquired groups of financial assets with similar risk characteristics) that as of the date of acquisition have experienced a more-than-insignificant deterioration in credit quality since origination, as determined by an acquirer's assessment. See paragraph 326-20-55-5 for more information on the meaning of similar risk characteristics for assets measured on an amortized cost basis."), a beneficial interest that meets the criteria in paragraph [325-40-30-1A](https://asc.understandingaccounting.org/asc/325/40/#325-40-30-1A), or a [purchased seasoned loan](https://asc.understandingaccounting.org/glossary/p/#purchased-seasoned-loans "(P) December 16, 2026; (N) December 16, 2026 326-10-65-7 Paragraphs 326-20-30-16326-20-30-17326-20-30-18 define the term purchased seasoned loans."), in which case the transferee shall apply the guidance in Topic 326 on measurement of credit losses to determine the initial amortized cost basis. #### Regaining Control of Financial Assets Sold ##### [860-20-30-3](https://asc.understandingaccounting.org/asc/860/20/#860-20-30-3) Pending content: no Source downloaded (UTC): 2026-09-10T02:06:31.009Z to 2026-09-10T02:06:31.009Z Record version: sha256:c12624b8cc4c8961c6fa2bdee7ce6141e226e789095eb0f79d64d09b629aa6db Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. The transferor shall initially measure [transferred financial assets](https://asc.understandingaccounting.org/glossary/t/#transferred-financial-assets "Transfers of any of the following: An entire financial asset A group of entire financial assets A participating interest in an entire financial asset.") and liabilities that are rerecognized under paragraph [860-20-25-10(a)](https://asc.understandingaccounting.org/asc/860/20/#860-20-25-10) as a result of regaining control of the [financial assets](https://asc.understandingaccounting.org/glossary/f/#financial-asset "Cash, evidence of an ownership interest in an entity, or a contract that conveys to one entity a right to do either of the following: Receive cash or another financial instrument from a second entity Exchange other financial instruments on potentially favorable terms with the second entity.") sold at fair value on the date of the change as if the transferor purchased the transferred financial assets and assumed the liabilities on that date. ##### [860-20-30-4](https://asc.understandingaccounting.org/asc/860/20/#860-20-30-4) Pending content: no Source downloaded (UTC): 2026-09-10T02:06:31.009Z to 2026-09-10T02:06:31.009Z Record version: sha256:3122e8e00f84b293b1f30a29461822532b4934368655c6cf48999745d03aaeb9 Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. [Paragraph superseded by Accounting Standards Update No. 2009-16](https://asc.understandingaccounting.org/updates/asu-2009-16/).