Use a serial comma if you need it

Before

Restructured nonaccrual loans may be returned to accrual status based on a current, well documented evaluation of the credit, which would include analysis of the borrower’s financial condition, prospects for repayment under the modified terms and alternate sources of repayment such as the value of loan collateral.

We describe our application of this accounting guidance, the process used to determine fair values and the fair value hierarchy in Note 1.

As of December 31, 2012, ABC Bank operated 400 full service retail banking branches in 8 states, a telephone banking call center services group and 1300 automated teller machines in 12 states.

Before, with commentary

[I understand that many people prefer “lions, tigers and bears” to “lions, tigers, and bears.” Frequently, that works. But sometimes omitting the serial comma gives you a sentence you did not expect. Consider the examples below.]

Restructured nonaccrual loans may be returned to accrual status based on a current, well documented evaluation of the credit, which would include analysis of the borrower’s financial condition, prospects for repayment under the modified terms and alternate sources of repayment such as the value of loan collateral. [Without the comma, this could be read to say “prospects for . . . alternate sources of repayment,” which is not the intent.]

We describe our application of this accounting guidance, the process used to determine fair values and the fair value hierarchy in Note 1. [Without the comma, this could be read to say “the process used to determine . . . the fair value hierarchy,” which is not the intent.]

As of December 31, 2012, ABC Bank operated 400 full service retail banking branches in 8 states, a telephone banking call center services group and 1300 automated teller machines in 12 states. [Without the comma, this suggests that the telephone banking call center services group—not just the ATMs—operates in 12 states.]

After

Restructured nonaccrual loans may be returned to accrual status based on a current, well documented evaluation of the credit, which would include analysis of the borrower’s financial condition, prospects for repayment under the modified terms, and alternate sources of repayment, such as the value of loan collateral.

We describe our application of this accounting guidance, the process used to determine fair values, and the fair value hierarchy in Note 1.

As of December 31, 2012, ABC Bank operated 400 full service retail banking branches in 8 states, a telephone banking call center services group, and 1300 automated teller machines in 12 states.