v3.25.4
Outstanding Loans and Leases and Allowance for Credit Losses
 12 Months Ended
Dec. 31, 2025
Receivables [Abstract]  
Outstanding Loans and Leases and Allowance for Credit Losses Outstanding Loans and Leases and Allowance for Credit Losses
The following tables present total outstanding loans and leases and an aging analysis for the Consumer Real Estate, Credit Card and Other Consumer, and Commercial portfolio segments, by class of financing receivables, at December 31, 2025 and 2024.
30-59 Days
 Past Due (1)
60-89 Days
 Past Due (1)
90 Days or
More
Past Due (1)
Total Past
Due 30 Days
or More
Total
 Current or
 Less Than
 30 Days
 Past Due (1)
Loans
 Accounted
 for Under
 the Fair
 Value
 Option		Total
Outstandings
(Dollars in millions)December 31, 2025
Consumer real estate      
Residential mortgage$1,335 $304 $774 $2,413 $233,889 $236,302 
Home equity87 33 120 240 26,583 26,823 
Credit card and other consumer
Credit card711 542 1,351 2,604 103,423 106,027 
Direct/Indirect consumer (2)
324 114 109 547 113,583 114,130 
Other consumer— — — — 144 144 
Total consumer2,457 993 2,354 5,804 477,622 483,426 
Consumer loans accounted for under the fair value option (3)
$165 165 
Total consumer loans and leases2,457 993 2,354 5,804 477,622 165 483,591 
Commercial
U.S. commercial743 228 702 1,673 434,569 436,242 
Non-U.S. commercial78 10 59 147 154,898 155,045 
Commercial real estate (4)
190 41 909 1,140 67,608 68,748 
Commercial lease financing67 17 75 159 16,082 16,241 
U.S. small business commercial228 96 211 535 21,965 22,500 
Total commercial1,306 392 1,956 3,654 695,122 698,776 
Commercial loans accounted for under the fair value option (3)
3,333 3,333 
Total commercial loans and leases1,306 392 1,956 3,654 695,122 3,333 702,109 
Total loans and leases (5)
$3,763 $1,385 $4,310 $9,458 $1,172,744 $3,498 $1,185,700 
Percentage of outstandings 0.32 %0.12 %0.36 %0.80 %98.91 %0.29 %100.00 %
(1)Consumer real estate loans 30-59 days past due includes fully-insured loans of $179 million and nonperforming loans of $164 million. Consumer real estate loans 60-89 days past due includes fully-insured loans of $63 million and nonperforming loans of $105 million. Consumer real estate loans 90 days or more past due includes fully-insured loans of $207 million and nonperforming loans of $687 million. Consumer real estate loans current or less than 30 days past due includes $1.4 billion, and direct/indirect consumer includes $45 million of nonperforming loans.
(2)Total outstandings primarily includes auto and specialty lending loans and leases of $55.3 billion, U.S. securities-based lending loans of $55.0 billion and non-U.S. consumer loans of $3.0 billion.
(3)Consumer loans accounted for under the fair value option includes residential mortgage loans of $58 million and home equity loans of $107 million. Commercial loans accounted for under the fair value option includes U.S. commercial loans of $2.1 billion and non-U.S. commercial loans of $1.2 billion. For more information, see Note 20 – Fair Value Measurements and Note 21 – Fair Value Option.
(4)Total outstandings includes U.S. commercial real estate loans of $62.7 billion and non-U.S. commercial real estate loans of $6.0 billion.
(5)Total outstandings includes loans and leases pledged as collateral of $39.5 billion. The Corporation also pledged $313.7 billion of loans with no related outstanding borrowings to secure potential borrowing capacity with the Federal Reserve Bank and Federal Home Loan Bank.
30-59 Days
Past Due (1)
60-89 Days
 Past Due (1)
90 Days or
More
Past Due (1)
Total Past
Due 30 Days
or More
Total
Current or
Less Than
30 Days
Past Due (1)
Loans
Accounted
for Under
the Fair
Value Option		Total Outstandings
(Dollars in millions)December 31, 2024
Consumer real estate      
Residential mortgage$1,222 $288 $788 $2,298 $225,901 $228,199 
Home equity80 40 127 247 25,490 25,737 
Credit card and other consumer     
Credit card685 552 1,401 2,638 100,928  103,566 
Direct/Indirect consumer (2)
290 113 106 509 106,613  107,122 
Other consumer — — — — 151  151 
Total consumer2,277 993 2,422 5,692 459,083 464,775 
Consumer loans accounted for under the fair value option (3)
$221 221 
Total consumer loans and leases2,277 993 2,422 5,692 459,083 221 464,996 
Commercial       
U.S. commercial910 228 345 1,483 385,507  386,990 
Non-U.S. commercial65 17 4 86 137,432  137,518 
Commercial real estate (4)
640 121 990 1,751 63,979  65,730 
Commercial lease financing32 9 19 60 15,648  15,708 
U.S. small business commercial190 94 199 483 20,382  20,865 
Total commercial1,837 469 1,557 3,863 622,948  626,811 
Commercial loans accounted for under the fair value option (3)
4,028 4,028 
Total commercial loans and leases
1,837 469 1,557 3,863 622,948 4,028 630,839 
Total loans and leases (5)
$4,114 $1,462 $3,979 $9,555 $1,082,031 $4,249 $1,095,835 
Percentage of outstandings 0.38 %0.13 %0.36 %0.87 %98.74 %0.39 %100.00 %
(1)Consumer real estate loans 30-59 days past due includes fully-insured loans of $188 million and nonperforming loans of $174 million. Consumer real estate loans 60-89 days past due includes fully-insured loans of $71 million and nonperforming loans of $107 million. Consumer real estate loans 90 days or more past due includes fully-insured loans of $229 million and nonperforming loans of $686 million. Consumer real estate loans current or less than 30 days past due includes $1.5 billion, and direct/indirect consumer includes $54 million of nonperforming loans.
(2)Total outstandings primarily includes auto and specialty lending loans and leases of $54.9 billion, U.S. securities-based lending loans of $48.7 billion and non-U.S. consumer loans of $2.8 billion.
(3)Consumer loans accounted for under the fair value option includes residential mortgage loans of $59 million and home equity loans of $162 million. Commercial loans accounted for under the fair value option includes U.S. commercial loans of $2.8 billion and non-U.S. commercial loans of $1.3 billion. For more information, see Note 20 – Fair Value Measurements and Note 21 – Fair Value Option.
(4)Total outstandings includes U.S. commercial real estate loans of $59.6 billion and non-U.S. commercial real estate loans of $6.1 billion.
(5)Total outstandings includes loans and leases pledged as collateral of $26.8 billion. The Corporation also pledged $305.2 billion of loans with no related outstanding borrowings to secure potential borrowing capacity with the Federal Reserve Bank and Federal Home Loan Bank.
The Corporation has entered into long-term credit protection agreements with FNMA and FHLMC on loans totaling $7.2 billion and $8.0 billion at December 31, 2025 and 2024, providing full credit protection on residential mortgage loans that become severely delinquent. All of these loans are individually insured, and therefore the Corporation does not record an allowance for credit losses related to these loans.
Nonperforming Loans and Leases
Nonperforming loans were $5.8 billion and $6.0 billion at December 31, 2025 and 2024. Commercial nonperforming loans were $3.2 billion and $3.3 billion at December 31, 2025 and 2024, primarily comprised of commercial real estate and
U.S. commercial. Consumer nonperforming loans were $2.6 billion at both December 31, 2025 and 2024, primarily comprised of residential mortgage.
The following table presents the Corporation’s nonperforming loans and leases and loans accruing past due 90 days or more at December 31, 2025 and 2024. Nonperforming LHFS are excluded from nonperforming loans and leases, as they are recorded at either fair value or the lower of cost or fair value. For more information on the criteria for classification as nonperforming, see Note 1 – Summary of Significant Accounting Principles.
Credit Quality
Nonperforming Loans
and Leases		Accruing Past Due
90 Days or More
December 31
(Dollars in millions)2025202420252024
Residential mortgage (1)
$2,008 $2,052 $207 $229 
With no related allowance (2)
1,774 1,883 — — 
Home equity (1)
392 409 — — 
With no related allowance (2)
310 334 — — 
Credit Card            n/a            n/a1,351 1,401 
Direct/indirect consumer176 186 5 1 
Total consumer2,576 2,647 1,563 1,631 
U.S. commercial1,404 1,204 302 90 
Non-U.S. commercial80 8 9 4 
Commercial real estate1,596 2,068 10 6 
Commercial lease financing97 20 33 3 
U.S. small business commercial51 28 204 197 
Total commercial3,228 3,328 558 300 
Total nonperforming loans$5,804 $5,975 $2,121 $1,931 
Percentage of outstanding loans and leases
0.49 %0.55 %0.18 %0.18 %
(1)Residential mortgage loans accruing past due 90 days or more are fully-insured loans. At December 31, 2025 and 2024 residential mortgage included $104 million and $119 million of loans on which interest had been curtailed by the FHA, and therefore were no longer accruing interest, although principal was still insured, and $103 million and $110 million of loans on which interest was still accruing.
(2)Primarily relates to loans for which the estimated fair value of the underlying collateral less any costs to sell is greater than the amortized cost of the loans as of the reporting date.
n/a = not applicable
Credit Quality Indicators
The Corporation monitors credit quality within its Consumer Real Estate, Credit Card and Other Consumer, and Commercial portfolio segments based on primary credit quality indicators. For more information on the portfolio segments, see Note 1 – Summary of Significant Accounting Principles. Within the Consumer Real Estate portfolio segment, the primary credit quality indicators are refreshed LTV and refreshed Fair Isaac Corporation (FICO) score. Refreshed LTV measures the carrying value of the loan as a percentage of the value of the property securing the loan, refreshed quarterly. Home equity loans are evaluated using CLTV, which measures the carrying value of the Corporation’s loan and available line of credit combined with any outstanding senior liens against the property as a percentage of the value of the property securing the loan, refreshed quarterly. FICO score measures the creditworthiness of the borrower based on the financial obligations of the borrower and the borrower’s credit history. FICO scores are typically refreshed quarterly or more frequently. Certain borrowers (e.g., borrowers that have had debts discharged in a bankruptcy proceeding) may not have their FICO scores updated. FICO scores are also a
primary credit quality indicator for the Credit Card and Other Consumer portfolio segment and the business card portfolio within U.S. small business commercial. Within the Commercial portfolio segment, loans are evaluated using the internal classifications of pass rated or reservable criticized as the primary credit quality indicators. The term reservable criticized refers to those commercial loans that are internally classified or listed by the Corporation as Special Mention, Substandard or Doubtful, which are asset quality categories defined by regulatory authorities. These assets have an elevated level of risk and may have a high probability of default or total loss. Pass rated refers to all loans not considered reservable criticized. In addition to these primary credit quality indicators, the Corporation uses other credit quality indicators for certain types of loans.
The following tables present certain credit quality indicators and gross charge-offs for the Corporation's Consumer Real Estate, Credit Card and Other Consumer, and Commercial portfolio segments by year of origination, except for revolving loans and revolving loans that were modified into term loans, which are shown on an aggregate basis at December 31, 2025.
Residential Mortgage – Credit Quality Indicators By Vintage
Term Loans by Origination Year
(Dollars in millions)Total as of December 31,
 2025		20252024202320222021Prior
Residential Mortgage
Refreshed LTV
   
Less than or equal to 90 percent$223,761 $22,998 $14,267 $12,431 $37,042 $69,829 $67,194 
Greater than 90 percent but less than or equal to 100 percent
2,318 737 644 375 405 94 63 
Greater than 100 percent
1,147 453 341 126 137 50 40 
Fully-insured loans
9,076 157 198 167 277 2,890 5,387 
Total Residential Mortgage$236,302 $24,345 $15,450 $13,099 $37,861 $72,863 $72,684 
Residential Mortgage
Refreshed FICO score
Less than 620$3,076 $197 $242 $193 $533 $724 $1,187 
Greater than or equal to 620 and less than 6602,277 192 150 143 408 540 844 
Greater than or equal to 660 and less than 74025,065 2,488 1,854 1,507 4,253 6,668 8,295 
Greater than or equal to 740
196,808 21,311 13,006 11,089 32,390 62,041 56,971 
Fully-insured loans
9,076 157 198 167 277 2,890 5,387 
Total Residential Mortgage$236,302 $24,345 $15,450 $13,099 $37,861 $72,863 $72,684 
Gross charge-offs for the year ended December 31, 2025$24 $— $4 $6 $6 $2 $6 
Home Equity - Credit Quality Indicators
Total
Home Equity Loans and Reverse Mortgages (1)
Revolving LoansRevolving Loans Converted to Term Loans
(Dollars in millions)December 31, 2025
Home Equity
Refreshed LTV
   
Less than or equal to 90 percent$26,686 $687 $22,909 $3,090 
Greater than 90 percent but less than or equal to 100 percent
70 3 63 4 
Greater than 100 percent
67 7 51 9 
Total Home Equity$26,823 $697 $23,023 $3,103 
Home Equity
Refreshed FICO score
Less than 620$701 $67 $399 $235 
Greater than or equal to 620 and less than 660595 44 375 176 
Greater than or equal to 660 and less than 7405,036 173 4,057 806 
Greater than or equal to 740
20,491 413 18,192 1,886 
Total Home Equity$26,823 $697 $23,023 $3,103 
Gross charge-offs for the year ended December 31, 2025$16 $— $10 $6 
(1)Includes reverse mortgages of $457 million and home equity loans of $240 million, which are no longer originated.
Credit Card and Direct/Indirect Consumer – Credit Quality Indicators By Vintage
Direct/Indirect
Term Loans by Origination YearCredit Card
(Dollars in millions)Total Direct/
Indirect as of December 31,
2025		Revolving Loans20252024202320222021PriorTotal Credit Card as of December 31,
2025		Revolving Loans
Revolving Loans Converted to Term Loans (1)
Refreshed FICO score  
Less than 620$1,560 $8 $274 $386 $404 $306 $141 $41 $6,255 $5,872 $383 
Greater than or equal to 620 and less than 6601,251 4 352 327 266 186 85 31 5,883 5,640 243 
Greater than or equal to 660 and less than 7409,117 37 3,739 2,236 1,491 986 439 189 41,176 40,679 497 
Greater than or equal to 74043,475 49 18,136 11,534 6,744 4,107 1,865 1,040 52,713 52,632 81 
Other internal credit
   metrics (2,3)
58,727 57,999 222 66 31 174 39 196 — — — 
Total credit card and other
   consumer		$114,130 $58,097 $22,723 $14,549 $8,936 $5,759 $2,569 $1,497 $106,027 $104,823 $1,204 
Gross charge-offs for the year ended December 31, 2025$373 $6 $44 $110 $92 $64 $26 $31 $4,498 $4,338 $160 
(1)Represents loans that were modified into term loans.
(2)Other internal credit metrics may include delinquency status, geography or other factors.
(3)Direct/indirect consumer includes $58.0 billion of securities-based lending, which is typically supported by highly liquid collateral with market value greater than or equal to the outstanding loan balance and therefore has minimal credit risk at December 31, 2025.
Commercial – Credit Quality Indicators By Vintage (1)
Term Loans
Amortized Cost Basis by Origination Year
(Dollars in millions)Total as of
December 31,
2025		20252024202320222021PriorRevolving Loans
U.S. Commercial
Risk ratings    
Pass rated$424,708 $61,845 $39,127 $23,611 $26,931 $16,001 $36,627 $220,566 
Reservable criticized11,534 164 772 965 946 611 2,091 5,985 
Total U.S. Commercial
$436,242 $62,009 $39,899 $24,576 $27,877 $16,612 $38,718 $226,551 
Gross charge-offs for the year ended
   December 31, 2025		$536 $3 $13 $35 $101 $12 $34 $338 
Non-U.S. Commercial
Risk ratings
Pass rated$152,364 $25,753 $21,446 $9,613 $8,612 $9,223 $6,066 $71,651 
Reservable criticized2,681 120 117 478 311 63 114 1,478 
Total Non-U.S. Commercial
$155,045 $25,873 $21,563 $10,091 $8,923 $9,286 $6,180 $73,129 
Gross charge-offs for the year ended
   December 31, 2025		$33 $— $— $7 $— $8 $— $18 
Commercial Real Estate
Risk ratings
Pass rated$60,435 $11,693 $5,607 $4,418 $8,136 $6,175 $13,796 $10,610 
Reservable criticized8,313 5 249 366 2,294 1,986 2,874 539 
Total Commercial Real Estate
$68,748 $11,698 $5,856 $4,784 $10,430 $8,161 $16,670 $11,149 
Gross charge-offs for the year ended
   December 31, 2025		$520 $— $— $— $56 $102 $360 $2 
Commercial Lease Financing
Risk ratings
Pass rated$15,770 $3,916 $3,142 $2,763 $1,847 $1,625 $2,477 $— 
Reservable criticized471 13 91 131 119 36 81 — 
Total Commercial Lease Financing
$16,241 $3,929 $3,233 $2,894 $1,966 $1,661 $2,558 $— 
Gross charge-offs for the year ended
   December 31, 2025		$8 $— $2 $3 $2 $1 $— $— 
U.S. Small Business Commercial (2)
Risk ratings
Pass rated$11,001 $2,368 $1,908 $1,657 $1,471 $1,131 $1,670 $796 
Reservable criticized559 14 100 174 95 76 92 8 
Total U.S. Small Business Commercial
$11,560 $2,382 $2,008 $1,831 $1,566 $1,207 $1,762 $804 
Gross charge-offs for the year ended
   December 31, 2025		$32 $— $1 $2 $3 $2 $6 $18 
Total$687,836 $105,891 $72,559 $44,176 $50,762 $36,927 $65,888 $311,633 
Gross charge-offs for the year ended
   December 31, 2025		$1,129 $3 $16 $47 $162 $125 $400 $376 
(1)Excludes $3.3 billion of loans accounted for under the fair value option at December 31, 2025.
(2)Excludes U.S. Small Business Card loans of $10.9 billion. Refreshed FICO scores for this portfolio are $785 million for less than 620; $651 million for greater than or equal to 620 and less than 660; $3.6 billion for greater than or equal to 660 and less than 740; and $5.9 billion greater than or equal to 740. Excludes U.S. Small Business Card loans gross charge-offs of $555 million.
The following tables present certain credit quality indicators for the Corporation's Consumer Real Estate, Credit Card and Other Consumer, and Commercial portfolio segments by year of origination, except for revolving loans and revolving loans that were modified into term loans, which are shown on an aggregate basis at December 31, 2024.
Residential Mortgage – Credit Quality Indicators By Vintage
Term Loans by Origination Year
(Dollars in millions)Total as of
 December 31,
 2024		20242023202220212020Prior
Residential Mortgage
Refreshed LTV
Less than or equal to 90 percent$215,575 $18,115 $12,910 $36,748 $71,912 $32,504 $43,386 
Greater than 90 percent but less than or equal to 100 percent
1,848 724 463 471 122 31 37 
Greater than 100 percent
863 428 195 144 56 15 25 
Fully-insured loans
9,913 288 190 302 3,153 2,568 3,412 
Total Residential Mortgage$228,199 $19,555 $13,758 $37,665 $75,243 $35,118 $46,860 
Residential Mortgage
Refreshed FICO score
Less than 620$2,619 $172 $171 $484 $649 $427 $716 
Greater than or equal to 620 and less than 6602,187 170 145 396 515 366 595 
Greater than or equal to 660 and less than 74025,166 2,167 1,745 4,542 7,008 3,801 5,903 
Greater than or equal to 740188,314 16,758 11,507 31,941 63,918 27,956 36,234 
Fully-insured loans
9,913 288 190 302 3,153 2,568 3,412 
Total Residential Mortgage$228,199 $19,555 $13,758 $37,665 $75,243 $35,118 $46,860 
Gross charge-offs for the year ended December 31, 2024$21 $2 $3 $6 $2 $1 $7 
Home Equity - Credit Quality Indicators
Total
Home Equity Loans and Reverse Mortgages (1)
Revolving LoansRevolving Loans Converted to Term Loans
(Dollars in millions)December 31, 2024
Home Equity
Refreshed LTV
Less than or equal to 90 percent$25,638 $780 $21,450 $3,408 
Greater than 90 percent but less than or equal to 100 percent
51 4 42 5 
Greater than 100 percent
48 3 34 11 
Total Home Equity$25,737 $787 $21,526 $3,424 
Home Equity
Refreshed FICO score
Less than 620$645 $72 $320 $253 
Greater than or equal to 620 and less than 660577 46 339 192 
Greater than or equal to 660 and less than 7404,911 198 3,779 934 
Greater than or equal to 740
19,604 471 17,088 2,045 
Total Home Equity$25,737 $787 $21,526 $3,424 
Gross charge-offs for the year ended December 31, 2024$21 $6 $9 $6 
(1)Includes reverse mortgages of $500 million and home equity loans of $287 million, which are no longer originated.
Credit Card and Direct/Indirect Consumer – Credit Quality Indicators By Vintage
Direct/Indirect
Term Loans by Origination YearCredit Card
(Dollars in millions)Total Direct/Indirect as of December 31, 2024Revolving Loans20242023202220212020PriorTotal Credit Card as of December 31, 2024Revolving Loans
Revolving Loans Converted to Term Loans (1)
Refreshed FICO score
Less than 620$1,483 $10 $249 $452 $433 $243 $53 $43 $5,866 $5,511 $355 
Greater than or equal to 620 and less than 6601,219 4 352 363 282 150 38 30 5,746 5,537 209 
Greater than or equal to 660 and less than 7409,212 47 3,421 2,515 1,828 947 255 199 40,871 40,456 415 
Greater than or equal to 74043,141 67 17,889 11,240 7,635 3,908 1,319 1,083 51,083 51,019 64 
Other internal credit
   metrics (2, 3)
52,067 51,433 165 51 127 95 36 160 — — — 
Total credit card and other
   consumer		$107,122 $51,561 $22,076 $14,621 $10,305 $5,343 $1,701 $1,515 $103,566 $102,523 $1,043 
Gross charge-offs for the year
   ended December 31, 2024		$399 $5 $46 $144 $109 $51 $12 $32 $4,365 $4,188 $177 
(1)Represents loans that were modified into term loans.
(2)Other internal credit metrics may include delinquency status, geography or other factors.
(3)Direct/indirect consumer includes $51.4 billion of securities-based lending, which is typically supported by highly liquid collateral with market value greater than or equal to the outstanding loan balance and therefore has minimal credit risk at December 31, 2024.
Commercial – Credit Quality Indicators By Vintage (1)
Term Loans
Amortized Cost Basis by Origination Year
(Dollars in millions)Total as of December 31, 202420242023202220212020PriorRevolving Loans
U.S. Commercial
Risk ratings    
Pass rated$374,380 $49,587 $33,352 $34,015 $20,801 $10,172 $34,176 $192,277 
Reservable criticized12,610 157 901 1,035 799 340 1,996 7,382 
Total U.S. Commercial
$386,990 $49,744 $34,253 $35,050 $21,600 $10,512 $36,172 $199,659 
Gross charge-offs for the year ended
   December 31, 2024		$439 $3 $122 $80 $19 $4 $63 $148 
Non-U.S. Commercial
Risk ratings
Pass rated$135,720 $27,119 $14,268 $12,220 $11,750 $1,328 $6,777 $62,258 
Reservable criticized1,798 22 180 145 310 8 106 1,027 
Total Non-U.S. Commercial
$137,518 $27,141 $14,448 $12,365 $12,060 $1,336 $6,883 $63,285 
Gross charge-offs for the year ended
   December 31, 2024		$81 $— $41 $22 $16 $— $— $2 
Commercial Real Estate
Risk ratings
Pass rated$55,607 $5,422 $4,935 $10,755 $8,990 $2,911 $13,310 $9,284 
Reservable criticized10,123 41 211 3,252 2,100 588 3,372 559 
Total Commercial Real Estate
$65,730 $5,463 $5,146 $14,007 $11,090 $3,499 $16,682 $9,843 
Gross charge-offs for the year ended
   December 31, 2024		$894 $— $— $57 $83 $62 $663 $29 
Commercial Lease Financing
Risk ratings
Pass rated$15,417 $3,902 $3,675 $2,465 $1,921 $1,033 $2,421 $— 
Reservable criticized291 9 96 67 52 23 44 — 
Total Commercial Lease Financing
$15,708 $3,911 $3,771 $2,532 $1,973 $1,056 $2,465 $— 
Gross charge-offs for the year ended
   December 31, 2024		$2 $— $— $— $2 $— $— $— 
U.S. Small Business Commercial (2)
Risk ratings
Pass rated$9,806 $1,926 $1,887 $1,650 $1,302 $604 $1,992 $445 
Reservable criticized443 8 83 104 115 25 105 3 
Total U.S. Small Business Commercial
$10,249 $1,934 $1,970 $1,754 $1,417 $629 $2,097 $448 
Gross charge-offs for the year ended
   December 31, 2024		$30 $— $1 $2 $1 $6 $7 $13 
 Total $616,195 $88,193 $59,588 $65,708 $48,140 $17,032 $64,299 $273,235 
Gross charge-offs for the year ended
   December 31, 2024		$1,446 $3 $164 $161 $121 $72 $733 $192 
(1) Excludes $4.0 billion of loans accounted for under the fair value option at December 31, 2024.
(2) Excludes U.S. Small Business Card loans of $10.6 billion. Refreshed FICO scores for this portfolio are $699 million for less than 620; $600 million for greater than or equal to 620 and less than 660; $3.6 billion for greater than or equal to 660 and less than 740; and $5.8 billion greater than or equal to 740. Excludes U.S. Small Business Card loans gross charge-offs of $489 million.
During 2025, commercial reservable criticized utilized exposure decreased to $24.7 billion at December 31, 2025 from $26.5 billion (to 3.37 percent from 4.01 percent of total commercial reservable utilized exposure) at December 31, 2024, primarily driven by commercial real estate.
Loan Modifications to Borrowers in Financial Difficulty
As part of its credit risk management, the Corporation may modify a loan agreement with a borrower experiencing financial difficulties through a refinancing or restructuring of the borrower’s loan agreement (modification programs).
Consumer Real Estate
The following modification programs are offered for consumer real estate loans to borrowers experiencing financial difficulties, in addition to borrowers affected by natural disasters.
Forbearance and Other Payment Plans: Forbearance plans generally consist of the Corporation suspending the borrower’s payments for a defined period, with those payments then due over a defined period of time or at the conclusion of the forbearance period. The aging status of a loan is generally frozen when it enters into a forbearance plan. If a borrower is unable to fulfill their obligations under the forbearance plans, they may be offered a trial offer or permanent modification.
Trial Offer and Permanent Modifications: Trial offer for modification plans generally consist of the Corporation offering a borrower modified loan terms that reduce their contractual payments temporarily over a three-to-four-month trial period. If the customer successfully makes the modified payments during the trial period and formally accepts the modified terms, the modified loan terms become permanent. Some borrowers may enter into permanent modifications without a trial period. In a permanent modification, the borrower’s payment terms are typically modified in more than one manner, but generally include a term extension and an interest rate reduction. At times, the permanent modification may also include principal forgiveness and/or a deferral of past due principal and interest amounts to the end of the loan term. The combinations utilized are based on modifying the terms that give the borrower an improved ability to meet the contractual obligations. The term extensions granted for residential mortgage and home equity permanent modifications vary widely and can be up to 30 years, but mostly are in the range of 1 to 20 years. Principal forgiveness and payment deferrals were insignificant during 2025 and 2024.
The table below provides the ending amortized cost of the Corporation’s modified consumer real estate loans at December 31, 2025 and 2024.
Consumer Real Estate - Modifications to Borrowers in Financial Difficulty
Forbearance and Other Payment PlansPermanent ModificationTotalAs a % of Financing Receivables
(Dollars in millions)
Year Ended December 31, 2025
Residential Loans$44 $157 $201 0.09 %
Home Equity— 21 21 0.08 
Total$44 $178 $222 0.08 
Year Ended December 31, 2024
Residential Loans$46 $186 $232 0.10 %
Home Equity1 31 32 0.12 
Total$47 $217 $264 0.10 
The table below presents the financial effect of modified consumer real estate loans.
Financial Effect of Modified Consumer Real Estate Loans
Year Ended December 31
20252024
Forbearance and Other Payment Plans
Weighted-average duration
Residential Mortgage5 months7 months
Home Equityn/mn/m
Permanent Modifications
Weighted-average Term Extension
Residential Mortgage10.0 years9.6 years
Home Equity14.1 years17.7 years
Weighted-average Interest Rate Reduction
Residential Mortgage1.31 %1.25 %
Home Equity2.33 %2.61 %
n/m = not meaningful
For consumer real estate borrowers in financial difficulty that received a forbearance, trial or permanent modification, commitments to lend additional funds were not significant at December 31, 2025 and 2024.
The Corporation tracks the performance of modified loans to assess effectiveness of modification programs. During 2025 and 2024, defaults of residential and home equity loans that had been modified within 12 months were $110 million and
$128 million. The table below provides aging information as of December 31, 2025 and 2024 for consumer real estate loans that were modified over the last 12 months.

Consumer Real Estate - Payment Status of Modifications to Borrowers in Financial Difficulty
Current
30–89 Days
Past Due
90+ Days
Past Due
Total
(Dollars in millions)December 31, 2025
Residential mortgage$106 $45 $50 $201 
Home equity18 2 1 21 
Total$124 $47 $51 $222 
December 31, 2024
Residential mortgage$123 $54 $55 $232 
Home equity28 2 2 32 
Total$151 $56 $57 $264 
Consumer real estate foreclosed properties totaled $58 million and $60 million at December 31, 2025 and 2024. The carrying value of consumer real estate loans, including fully-insured loans, for which formal foreclosure proceedings were in process at December 31, 2025 and 2024, was $411 million and $464 million. During 2025 and 2024, the Corporation reclassified $51 million and $89 million of consumer real estate loans to foreclosed properties or, for properties acquired upon foreclosure of certain government-guaranteed loans (principally FHA-insured loans), to other assets. The reclassifications represent non-cash investing activities and, accordingly, are not reflected in the Consolidated Statement of Cash Flows.
Credit Card and Other Consumer
Credit card and other consumer loans are primarily modified by placing the customer on a fixed payment plan with a significantly reduced fixed interest rate, with terms ranging from 6 months to 72 months, most of which had a 60-month term at December 31, 2025. In certain circumstances, the Corporation will forgive a portion of the outstanding balance if the borrower makes payments up to a set amount. The Corporation makes modifications directly with borrowers for loans held by the Corporation (internal programs) as well as through third-party renegotiation agencies that provide solutions to customers’ entire unsecured debt structures (external programs). The December 31, 2025 amortized cost of credit card and other consumer loans that were modified through these programs during 2025 was $705 million compared to $650 million in 2024. These modifications represented 0.32 percent of outstanding credit card and other consumer loans for 2025 compared to 0.31 percent for 2024. During 2025, the financial effect of modifications resulted in a weighted-average interest rate reduction of 17.77 percent compared to 18.89 percent in 2024, and principal forgiveness of $101 million compared to $113 million in 2024.
The Corporation tracks the performance of modified loans to assess effectiveness of modification programs. During 2025 and 2024, defaults of credit card and other consumer loans that had been modified within 12 months were insignificant. At December 31, 2025, modified credit card and other consumer loans to borrowers experiencing financial difficulty over the last 12 months totaled $705 million, of which $602 million were current, $59 million were 30-89 days past due, and $44 million were greater than 90 days past due. At December 31, 2024, modified credit card and other consumer loans to borrowers experiencing financial difficulty totaled $650 million, of which $546 million were current, $58 million were 30-89 days past due, and $46 million were greater than 90 days past due.
Commercial Loans
Modifications of loans to commercial borrowers experiencing financial difficulty are designed to reduce the Corporation’s loss exposure while providing borrowers with an opportunity to work through financial difficulties, often to avoid foreclosure or bankruptcy. Each modification is unique, reflects the borrower’s individual circumstances and is designed to benefit the borrower while mitigating the Corporation’s risk exposure. Commercial modifications are primarily term extensions and payment forbearances. Payment forbearances involve the Corporation forbearing its contractual right to collect certain payments or payment in full (maturity forbearance) for a defined period of time. Reductions in interest rates and principal forgiveness occur infrequently for commercial borrowers. Principal forgiveness may occur in connection with foreclosure, short sales or other settlement agreements, leading to termination or sale of the loan. The following table provides the ending amortized cost of commercial loans modified during 2025 and 2024.
Commercial Loans - Modifications to Borrowers in Financial Difficulty
Term ExtensionForbearancesInterest Rate
Reduction		TotalAs a % of Financing Receivables
(Dollars in millions)Year Ended December 31, 2025
U.S. commercial$1,791$41$—$1,8320.42 %
Non-U.S. commercial239—320.02 
Commercial real estate1,394584—1,9782.88 
Total$3,208$634$—$3,8420.58 
Year Ended December 31, 2024
U.S. commercial$1,266$262$—$1,5280.39 %
Non-U.S. commercial27——270.02 
Commercial real estate1,8494441002,3933.64 
Total$3,142$706$100$3,9480.67 
Term extensions granted increased the weighted-average life of the impacted loans by 1.3 years during 2025 compared to 1.7 years in 2024. The weighted-average duration of loan payments deferred under the Corporation’s commercial loan forbearance program was 1.3 years and 9 months during 2025 and 2024. The deferral period for loan payments can vary, but are mostly in the range of 8 months to 2 years. Modifications of loans to troubled borrowers for Commercial Lease Financing and U.S. Small Business Commercial were not significant during 2025.
The Corporation tracks the performance of modified loans to assess effectiveness of modification programs. In 2025 and 2024, defaults of commercial loans that had been modified within 12 months were $296 million and $102 million. The table below provides aging information as of December 31, 2025 and 2024 for commercial loans that were modified over the last 12 months.

Commercial - Payment Status of Modified Loans to Borrowers in Financial Difficulty
Current
30–89 Days
Past Due
90+ Days
Past Due
Total
(Dollars in millions)December 31, 2025
U.S. Commercial$1,673 $13 $146 $1,832
Non-U.S. Commercial32 — — 32
Commercial Real Estate
1,403 17 558 1,978
Total$3,108 $30 $704 $3,842
December 31, 2024
U.S. Commercial$1,346 $70 $112 $1,528
Non-U.S. Commercial27 — — 27
Commercial Real Estate2,100 90 203 2,393
Total$3,473 $160 $315 $3,948
For 2025 and 2024, the Corporation had commitments to lend $966 million and $1.3 billion to commercial borrowers experiencing financial difficulty whose loans were modified during the period.
Loans Held-for-sale
The Corporation had LHFS of $5.2 billion and $9.5 billion at December 31, 2025 and 2024. Cash and non-cash proceeds from sales and paydowns of loans originally classified as LHFS were $35.6 billion, $32.3 billion and $16.3 billion for 2025, 2024 and 2023. Cash used for originations and purchases of LHFS totaled $30.4 billion, $36.2 billion and $15.6 billion for 2025, 2024 and 2023. Also included were non-cash net transfers into LHFS of $79 million, $0 and $632 million during 2025, 2024 and 2023, which are not reflected in the Consolidated Statement of Cash Flows.
Accrued Interest Receivable
Accrued interest receivable for loans and leases and LHFS was $4.2 billion and $4.3 billion at December 31, 2025 and 2024 and is reported in customer and other receivables on the Consolidated Balance Sheet.
Outstanding credit card loan balances include unpaid principal, interest and fees. Credit card loans are not classified as nonperforming but are charged off no later than the end of the month in which the account becomes 180 days past due, within 60 days after receipt of notification of death or bankruptcy, or upon confirmation of fraud. During 2025, the Corporation reversed $870 million of interest and fee income against the income statement line item in which it was originally recorded upon charge-off of the principal balance of the loan compared to $856 million in 2024.
For the outstanding residential mortgage, home equity, direct/indirect consumer and commercial loan balances classified as nonperforming during 2025 and 2024, interest and fee income reversed at the time the loans were classified as nonperforming was not significant. For more information on the Corporation's nonperforming loan policies, see Note 1 – Summary of Significant Accounting Principles
Allowance for Credit Losses
The allowance for credit losses is estimated using quantitative and qualitative methods that consider a variety of factors, such as historical loss experience, the current credit quality of the portfolio and an economic outlook over the life of the loan.
Qualitative reserves cover losses that are expected but, in the Corporation's assessment, may not adequately be reflected in the quantitative methods or the economic assumptions. The economic outlook is a significant factor and incorporates forward-looking information through the use of several macroeconomic scenarios in determining the weighted economic outlook over the forecasted life of the assets. These scenarios include key macroeconomic variables such as gross domestic product, unemployment rate, real estate prices and corporate bond spreads. The scenarios that are chosen each quarter and the weighting given to each scenario depend on a variety of factors including recent economic events, leading economic indicators, internal and third-party economist views, and industry trends. For more information on the Corporation's credit loss accounting policies including the allowance for credit losses, see Note 1 – Summary of Significant Accounting Principles.
The December 31, 2025 estimate for allowance for credit losses was based on various economic scenarios, including a baseline scenario derived from consensus estimates, an adverse scenario reflecting a moderate recession, a downside scenario reflecting continued inflation, a tail risk scenario similar to the severely adverse scenario used in stress testing and an upside scenario that considers the potential for improvement above the baseline scenario. The Corporation’s overall weighted economic outlook as of December 31, 2025 remained relatively stable as compared to the weighted economic outlook estimated as of December 31, 2024. The weighted economic outlook for the Corporation’s quantitative reserves assumes that the U.S. average unemployment rate will be approximately five percent in the fourth quarter of 2026 and will remain near this level through the fourth quarter of 2027. It also assumes U.S. real gross domestic product will grow at 1.4 percent and 1.8 percent year-over-year in the fourth quarters of 2026 and 2027.

The allowance for credit losses increased $44 million from December 31, 2024 to $14.4 billion at December 31, 2025. There were no significant changes to the qualitative reserves at December 31, 2025 compared to December 31, 2024. The change in the allowance for credit losses was comprised of a net decrease of $37 million in the allowance for loan and lease losses and an increase of $81 million in the reserve for unfunded lending commitments. The increase in the allowance for credit losses was attributed to increases in the commercial portfolio of $229 million and the consumer real estate portfolio of $128 million, partially offset by a decrease in the credit card and other consumer portfolios of $313 million.
The provision for credit losses decreased $146 million to $5.7 billion in 2025 compared to $5.8 billion in 2024 and $4.4 billion in 2023. The decline in provision for credit losses in 2025 was primarily driven by improved asset quality in credit card and commercial real estate, partially offset by loan growth. The increase in provision for credit losses in 2024 was primarily driven by credit card as well as small business loan growth, and asset quality deterioration in the commercial real estate office and credit card portfolios.
Net charge-offs decreased $400 million to $5.6 billion in 2025 compared to $6.0 billion in 2024. The decrease in net charge-offs in 2025 was driven by asset quality improvement in commercial real estate office.
Outstanding loans and leases excluding loans accounted for under the fair value option increased $90.6 billion in 2025 primarily driven by commercial, which increased $72.0 billion due to broad-based growth.
The changes in the allowance for credit losses, including net charge-offs and provision for loan and lease losses, are detailed in the following table.
Consumer
Real Estate		Credit Card and Other ConsumerCommercialTotal
(Dollars in millions)2025
Allowance for loan and lease losses, January 1$293 $8,277 $4,670 $13,240 
Loans and leases charged off(40)(5,127)(1,684)(6,851)
Recoveries of loans and leases previously charged off82 937 201 1,220 
Net charge-offs42 (4,190)(1,483)(5,631)
Provision for loan and lease losses77 3,879 1,639 5,595 
Other4 (2)(3)(1)
Allowance for loan and lease losses, December 31
416 7,964 4,823 13,203 
Reserve for unfunded lending commitments, January 157 — 1,039 1,096 
Provision for unfunded lending commitments5 — 75 80 
Other— — 1 1 
Reserve for unfunded lending commitments, December 31
62 — 1,115 1,177 
Allowance for credit losses, December 31
$478 $7,964 $5,938 $14,380 
2024
Allowance for loan and lease losses, January 1$386 $8,134 $4,822 $13,342 
Loans and leases charged off(42)(5,077)(1,935)(7,054)
Recoveries of loans and leases previously charged off83 798 142 1,023 
Net charge-offs41 (4,279)(1,793)(6,031)
Provision for loan and lease losses(135)4,421 1,649 5,935 
Other1 1 (8)(6)
Allowance for loan and lease losses, December 31
293 8,277 4,670 13,240 
Reserve for unfunded lending commitments, January 182 — 1,127 1,209 
Provision for unfunded lending commitments(26)— (88)(114)
Other1 — — 1 
Reserve for unfunded lending commitments, December 31
57 — 1,039 1,096 
Allowance for credit losses, December 31
$350 $8,277 $5,709 $14,336 
2023
Allowance for loan and lease losses, December 31$420 $6,817 $5,445 $12,682 
January 1, 2023 adoption of credit loss standard(67)(109)(67)(243)
Allowance for loan and lease losses, January 1353 6,708 5,378 12,439 
Loans and leases charged off(103)(3,870)(844)(4,817)
Recoveries of loans and leases previously charged off146 737 135 1,018 
Net charge-offs43 (3,133)(709)(3,799)
Provision for loan and lease losses(19)4,558 186 4,725 
Other9 1 (33)(23)
Allowance for loan and lease losses, December 31
386 8,134 4,822 13,342 
Reserve for unfunded lending commitments, January 194 — 1,446 1,540 
Provision for unfunded lending commitments(12)— (319)(331)
Reserve for unfunded lending commitments, December 31
82 — 1,127 1,209 
Allowance for credit losses, December 31
$468 $8,134 $5,949 $14,551