# ASC 860-30-35: Transfers and Servicing — Secured Borrowing and Collateral — 35 Subsequent Measurement

Source: FASB Accounting Standards Codification, Basic View

[Read online](https://asc.understandingaccounting.org/asc/860/30/#35-subsequent-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): 2026-09-10T02:07:12.876Z to 2026-09-10T02:07:12.876Z

Record version: sha256:a6bb6c6228a4f0fb51fa8a531258f781b0b5780db9993a85eaf58cd9e1b2da2c

Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f

Effective as of: not established by retrieval timestamps.


## ASC 860-30-35: 35 Subsequent Measurement

[Read section](https://asc.understandingaccounting.org/asc/860/30/#35-subsequent-measurement)

SEC content: no

##### [860-30-35-1](https://asc.understandingaccounting.org/asc/860/30/#860-30-35-1)

Pending content: no

Source downloaded (UTC): 2026-09-10T02:07:12.876Z to 2026-09-10T02:07:12.876Z

Record version: sha256:dab243f5ffae661300c60bf35af3f4b127086292de75de61ca4172518d619498

Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f

Effective as of: not established by retrieval timestamps.


This Section provides subsequent measurement guidance for the following assets and liabilities related to [transfers](https://asc.understandingaccounting.org/glossary/t/#transfer "The conveyance of a noncash financial asset by and to someone other than the issuer of that financial asset. A transfer includes the following: Selling a receivable Putting a receivable into a securitization trust Posting a receivable as collateral. A transfer excludes the following: The origination of a receivable Settlement of a receivable The restructuring of a receivable into a security in a troubled debt restructuring.") that are accounted for as secured borrowings:

1.  a
    
    Pledged assets required to be reclassified
    
2.  b
    
    Obligation to return transferred [collateral](https://asc.understandingaccounting.org/glossary/c/#collateral "Personal or real property in which a security interest has been given.").

#### Pledged Assets Required to Be Reclassified

##### [860-30-35-2](https://asc.understandingaccounting.org/asc/860/30/#860-30-35-2)

Pending content: no

Source downloaded (UTC): 2026-09-10T02:07:12.876Z to 2026-09-10T02:07:12.876Z

Record version: sha256:b179183f09fa3dbec736410ab3b86cd9c912c4bbf54221e7d48e6744f9c751d9

Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f

Effective as of: not established by retrieval timestamps.


A [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.") that has transferred collateral that must be reclassified in accordance with paragraph [860-30-25-5(a)](https://asc.understandingaccounting.org/asc/860/30/#860-30-25-5) (for example, as securities pledged to creditors) shall not change its measurement of that collateral. The transferor shall follow the same measurement principles as before the transfer. For example, securities reclassified from the available-for-sale category to securities pledged to creditors should continue to be measured at fair value, with changes in fair value reported in comprehensive income, while debt securities reclassified from the held-to-maturity category to securities pledged to creditors should continue to be measured at amortized cost. See Topic 320 for guidance related to measurement of investments in securities classified as available for sale and held to maturity.

#### Obligation to Return Transferred Collateral

##### [860-30-35-3](https://asc.understandingaccounting.org/asc/860/30/#860-30-35-3)

Pending content: no

Source downloaded (UTC): 2026-09-10T02:07:12.876Z to 2026-09-10T02:07:12.876Z

Record version: sha256:3f19599a3413be4bdda22d6ff727b8fa952bd218317fbd3047f4a19f8cc532b1

Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f

Effective as of: not established by retrieval timestamps.


This Section does not provide specific guidance on the subsequent measurement of the obligation to return transferred collateral. The liability to return the collateral shall be measured in accordance with other relevant accounting guidance. Paragraph [942-405-35-1](https://asc.understandingaccounting.org/asc/405/942/#405-942-35-1) requires that a bank or savings institution that, as [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."), sells transferred collateral subsequently measure that liability like a short sale at fair value.