v3.25.2
Loans, Leases and Allowance for Credit Losses
 6 Months Ended
Jun. 30, 2025
Receivables [Abstract]  
Loans, Leases and Allowance for Credit Losses
3. LOANS HELD FOR SALE
The Company purchases and originates residential mortgage loans that are held for sale or securitization primarily through its AmeriHome mortgage banking business channel.
The following is a summary of loans HFS by type:
June 30, 2025December 31, 2024
(in millions)
Government-insured or guaranteed:
EBO (1)$74 $— 
Non-EBO1,296 764 
Total government-insured or guaranteed1,370 764 
Agency-conforming1,627 1,502 
Non-agency25 20 
Total loans HFS$3,022 $2,286 
(1)    EBO loans are delinquent FHA, VA, or USDA loans purchased from GNMA pools under the terms of the GNMA MBS program that can be repooled when loans are brought current either through the borrower's reperformance or through completion of a loan modification.
The following is a summary of the net gain on loan purchase, origination, and sale activities on residential mortgage loans to be sold or securitized:
Three Months Ended June 30,Six Months Ended June 30,
2025202420252024
(in millions)
Mortgage servicing rights capitalized upon sale of loans$284.4 $214.7 $544.8 $403.4 
Net proceeds from sale of loans (1)(262.8)(190.6)(477.7)(351.3)
Provision for and change in estimate of liability for losses under representations and warranties, net0.6 1.0 1.1 4.2 
Change in fair value of loans HFS and trading securities5.9 1.4 33.1 (5.3)
Change in fair value of derivatives:
Unrealized (loss) gain on derivatives(13.2)1.8 (73.2)17.1 
Realized gain (loss) on derivatives8.7 4.7 31.7 (3.4)
Total change in fair value of derivatives(4.5)6.5 (41.5)13.7 
Net gain on residential mortgage loans HFS$23.6 $33.0 $59.8 $64.7 
Loan acquisition and origination fees15.8 13.8 29.1 27.4 
Net gain on loan origination and sale activities$39.4 $46.8 $88.9 $92.1 
(1)     Represents the difference between cash proceeds received upon settlement and loan basis.
4. LOANS, LEASES AND ALLOWANCE FOR CREDIT LOSSES
The composition of the Company's HFI loan portfolio is as follows:
June 30, 2025December 31, 2024
(in millions)
Warehouse lending$8,574 $8,207 
Municipal & nonprofit1,634 1,620 
Tech & innovation3,609 3,383 
Equity fund resources857 884 
Other commercial and industrial10,474 9,175 
CRE - owner occupied1,598 1,675 
Hotel franchise finance3,929 3,815 
Other CRE - non-owner occupied6,552 6,342 
Residential13,166 12,961 
Residential - EBO929 972 
Construction and land development4,478 4,468 
Other139 174 
Total loans HFI55,939 53,676 
Allowance for credit losses(395)(374)
Total loans HFI, net of allowance$55,544 $53,302 
Loans classified as HFI are stated at the amount of unpaid principal, adjusted for net deferred fees and costs, premiums and discounts on acquired and purchased loans, and an ACL. Net deferred fees of $117 million and $106 million reduced the carrying value of loans as of June 30, 2025 and December 31, 2024, respectively. Net unamortized purchase premiums on acquired and purchased loans of $178 million and $175 million increased the carrying value of loans as of June 30, 2025 and December 31, 2024.
Nonaccrual and Past Due Loans
Loans are placed on nonaccrual status when management determines that the full repayment of principal and collection of interest according to contractual terms is no longer likely, generally when the loan becomes 90 days or more past due.
The following tables present nonperforming loan balances by loan portfolio segment:
June 30, 2025
Nonaccrual with No Allowance for Credit LossNonaccrual with an Allowance for Credit LossTotal NonaccrualLoans Past Due 90 Days or More and Still Accruing
(in millions)
Municipal & nonprofit$— $5 $5 $— 
Tech & innovation— 34 34 — 
Equity fund resources— 1 1 — 
Other commercial and industrial13 29 42 — 
CRE - owner occupied3 — 3 — 
Other CRE - non-owner occupied1 180 181 — 
Residential— 17 17 51 
Residential - EBO— — — 326 
Construction and land development73 69 142 — 
Other2 — 2 — 
Total$92 $335 $427 $377 
Loans contractually delinquent by 90 days or more and still accruing totaled $377 million at June 30, 2025 and consisted of government guaranteed EBO and certain other residential loans.
Additionally, the recorded investment of consumer mortgage loans secured by residential real estate properties for which formal foreclosure proceedings are in process totaled $104 million and $99 million at June 30, 2025 and December 31, 2024, respectively.
December 31, 2024
Nonaccrual with No Allowance for Credit LossNonaccrual with an Allowance for Credit LossTotal NonaccrualLoans Past Due 90 Days or More and Still Accruing
(in millions)
Municipal & nonprofit$— $5 $5 $— 
Tech & innovation3 57 60 — 
Equity fund resources— 1 1 — 
Other commercial and industrial11 6 17 — 
CRE - owner occupied5 — 5 — 
Other CRE - non-owner occupied172 71 243 — 
Residential— 88 88 — 
Residential - EBO— — — 326 
Construction and land development55 1 56 — 
Other1 — 1 — 
Total$247 $229 $476 $326 
Loans contractually delinquent by 90 days or more and still accruing totaled $326 million at December 31, 2024 and consisted of government guaranteed EBO residential loans.
The reduction in interest income associated with loans on nonaccrual status was approximately $8.0 million and $6.9 million for the three months ended June 30, 2025 and 2024, respectively, and $16.0 million and $11.8 million for the six months ended June 30, 2025 and 2024, respectively.
The following table presents an aging analysis of past due loans by loan portfolio segment:
June 30, 2025
Current30-59 Days
Past Due		60-89 Days
Past Due		Over 90 days
Past Due		Total
Past Due		Total NonaccrualTotal
(in millions)
Warehouse lending$8,574 $— $— $— $— $— $8,574 
Municipal & nonprofit1,629 — — — — 5 1,634 
Tech & innovation3,571 4 — — 4 34 3,609 
Equity fund resources856 — — — — 1 857 
Other commercial and industrial10,430 2 — — 2 42 10,474 
CRE - owner occupied1,593 2 — — 2 3 1,598 
Hotel franchise finance3,929 — — — — — 3,929 
Other CRE - non-owner occupied6,286 85 — — 85 181 6,552 
Residential13,017 59 22 51 132 17 13,166 
Residential - EBO435 107 61 326 494 — 929 
Construction and land development4,336 — — — — 142 4,478 
Other136 1 — — 1 2 139 
Total loans$54,792 $260 $83 $377 $720 $427 $55,939 
December 31, 2024
Current30-59 Days
Past Due		60-89 Days
Past Due		Over 90 days
Past Due		Total
Past Due		Total NonaccrualTotal
(in millions)
Warehouse lending$8,207 $— $— $— $— $— $8,207 
Municipal & nonprofit1,615 — — — — 5 1,620 
Tech & innovation3,320 3 — — 3 60 3,383 
Equity fund resources883 — — — — 1 884 
Other commercial and industrial9,157 1 — — 1 17 9,175 
CRE - owner occupied1,670 — — — — 5 1,675 
Hotel franchise finance3,785 — 30 — 30 — 3,815 
Other CRE - non-owner occupied6,097 — 2 — 2 243 6,342 
Residential12,818 45 10 — 55 88 12,961 
Residential - EBO463 107 76 326 509 — 972 
Construction and land development4,412 — — — — 56 4,468 
Other172 1 — — 1 1 174 
Total loans$52,599 $157 $118 $326 $601 $476 $53,676 
Credit Quality Indicators
The Company categorizes loans into risk categories based on relevant information about the ability of borrowers to service their debt such as current financial information, historical payment experience, credit documentation, public information, and current economic trends, among other factors. The Company analyzes loans individually to classify the loans as to credit risk. The following tables present risk ratings by loan portfolio segment and origination year. The origination year is the year of origination or renewal.
Term Loan Amortized Cost Basis by Origination YearRevolving Loans Amortized Cost BasisTotal
As of and for the six months ended June 30, 202520252024202320222021Prior
(in millions)
Warehouse lending
Pass$71 $128 $522 $284 $— $228 $7,341 $8,574 
Special mention— — — — — — — — 
Classified— — — — — — — — 
Total$71 $128 $522 $284 $— $228 $7,341 $8,574 
Current period gross charge-offs$— $— $— $— $— $— $— $— 
Municipal & nonprofit
Pass$26 $194 $97 $202 $138 $972 $— $1,629 
Special mention— — — — — — — — 
Classified— — — — — 5 — 5 
Total$26 $194 $97 $202 $138 $977 $— $1,634 
Current period gross charge-offs$— $— $— $— $— $— $— $— 
Tech & innovation
Pass$642 $1,128 $334 $194 $95 $51 $1,047 $3,491 
Special mention7 4 23 11 — — 1 46 
Classified2 21 13 34 — — 2 72 
Total$651 $1,153 $370 $239 $95 $51 $1,050 $3,609 
Current period gross charge-offs$1.5 $6.5 $2.4 $11.2 $0.2 $— $— $21.8 
Equity fund resources
Pass$70 $4 $2 $— $3 $5 $772 $856 
Special mention— — — — — — — — 
Classified— 1 — — — — — 1 
Total$70 $5 $2 $— $3 $5 $772 $857 
Current period gross charge-offs$— $— $— $— $— $— $— $— 
Other commercial and industrial
Pass$1,119 $1,803 $782 $525 $218 $203 $5,443 $10,093 
Special mention— 8 1 6 1 1 82 99 
Classified1 12 198 50 18 2 1 282 
Total$1,120 $1,823 $981 $581 $237 $206 $5,526 $10,474 
Current period gross charge-offs$— $— $0.7 $6.1 $— $0.3 $0.5 $7.6 
CRE - owner occupied
Pass$144 $219 $159 $310 $278 $433 $27 $1,570 
Special mention— — — — — 7 — 7 
Classified— 2 — 13 3 3 — 21 
Total$144 $221 $159 $323 $281 $443 $27 $1,598 
Current period gross charge-offs$— $— $— $0.3 $— $0.2 $— $0.5 
Hotel franchise finance
Pass$543 $1,053 $478 $992 $278 $287 $128 $3,759 
Special mention— — — — 80 — — 80 
Classified— 45 — 45 — — — 90 
Total$543 $1,098 $478 $1,037 $358 $287 $128 $3,929 
Current period gross charge-offs$— $— $— $— $— $— $— $— 
Term Loan Amortized Cost Basis by Origination YearRevolving Loans Amortized Cost BasisTotal
As of and for the six months ended June 30, 202520252024202320222021Prior
(in millions)
Other CRE - non-owner occupied
Pass$595 $956 $1,138 $1,838 $531 $423 $529 $6,010 
Special mention12 64 98 — — — — 174 
Classified18 42 68 209 28 3 — 368 
Total$625 $1,062 $1,304 $2,047 $559 $426 $529 $6,552 
Current period gross charge-offs$— $— $20.2 $10.5 $0.5 $0.8 $— $32.0 
Residential
Pass$472 $712 $211 $3,249 $7,287 $1,153 $31 $13,115 
Special mention— — — — — — — — 
Classified— — 3 26 18 — — 47 
Cumulative fair value hedging adjustment— — — — — — — 4 
Total$472 $712 $214 $3,275 $7,305 $1,153 $31 $13,166 
Current period gross charge-offs$— $— $— $— $— $— $— $— 
Residential - EBO
Pass$— $47 $27 $13 $182 $660 $— $929 
Special mention— — — — — — — — 
Classified— — — — — — — — 
Total$— $47 $27 $13 $182 $660 $— $929 
Current period gross charge-offs$— $— $— $— $— $— $— $— 
Construction and land development
Pass$654 $742 $502 $798 $35 $1 $1,555 $4,287 
Special mention10 — — 27 — — — 37 
Classified— — 39 114 1 — — 154 
Total$664 $742 $541 $939 $36 $1 $1,555 $4,478 
Current period gross charge-offs$— $— $0.3 $— $— $— $— $0.3 
Other
Pass$5 $15 $— $7 $2 $83 $24 $136 
Special mention— — — — — 1 — 1 
Classified— — — — — 2 — 2 
Total$5 $15 $— $7 $2 $86 $24 $139 
Current period gross charge-offs$— $— $— $0.1 $— $0.4 $0.1 $0.6 
Total by Risk Category
Pass$4,341 $7,001 $4,252 $8,412 $9,047 $4,499 $16,897 $54,449 
Special mention29 76 122 44 81 9 83 444 
Classified21 123 321 491 68 15 3 1,042 
Cumulative fair value hedging adjustment— — — — — — — 4 
Total$4,391 $7,200 $4,695 $8,947 $9,196 $4,523 $16,983 $55,939 
Current period gross charge-offs$1.5 $6.5 $23.6 $28.2 $0.7 $1.7 $0.6 $62.8 
Term Loan Amortized Cost Basis by Origination YearRevolving Loans Amortized Cost BasisTotal
As of December 31, 2024 and gross charge-offs for the six months ended June 30, 202420242023202220212020Prior
(in millions)
Warehouse lending
Pass$205 $545 $264 $— $278 $— $6,915 $8,207 
Special mention— — — — — — — — 
Classified— — — — — — — — 
Total$205 $545 $264 $— $278 $— $6,915 $8,207 
Current period gross charge-offs$— $— $— $— $— $— $— $— 
Municipal & nonprofit
Pass$175 $89 $195 $144 $160 $833 $1 $1,597 
Special mention— — 7 — 11 — — 18 
Classified— — — — — 5 — 5 
Total$175 $89 $202 $144 $171 $838 $1 $1,620 
Current period gross charge-offs$— $— $— $— $— $— $— $— 
Tech & innovation
Pass$1,378 $475 $301 $89 $— $61 $903 $3,207 
Special mention26 15 16 11 — — 7 75 
Classified30 7 45 3 — — 16 101 
Total$1,434 $497 $362 $103 $— $61 $926 $3,383 
Current period gross charge-offs$— $1.5 $— $— $— $— $— $1.5 
Equity fund resources
Pass$6 $78 $24 $32 $2 $— $741 $883 
Special mention— — — — — — — — 
Classified1 — — — — — — 1 
Total$7 $78 $24 $32 $2 $— $741 $884 
Current period gross charge-offs$— $— $— $— $— $— $— $— 
Other commercial and industrial
Pass$2,217 $973 $801 $324 $75 $155 $4,456 $9,001 
Special mention1 — 38 1 — — 3 43 
Classified11 86 10 18 2 4 — 131 
Total$2,229 $1,059 $849 $343 $77 $159 $4,459 $9,175 
Current period gross charge-offs$— $0.1 $0.6 $4.5 $— $0.2 $0.6 $6.0 
CRE - owner occupied
Pass$231 $159 $323 $298 $146 $465 $29 $1,651 
Special mention2 — 1 1 — 1 — 5 
Classified— — 12 3 — 4 — 19 
Total$233 $159 $336 $302 $146 $470 $29 $1,675 
Current period gross charge-offs$— $— $— $— $— $— $— $— 
Hotel franchise finance
Pass$1,036 $522 $1,204 $405 $33 $342 $132 $3,674 
Special mention98 — 14 — — — — 112 
Classified— — 29 — — — — 29 
Total$1,134 $522 $1,247 $405 $33 $342 $132 $3,815 
Current period gross charge-offs$— $— $— $1.4 $— $1.5 $— $2.9 
Other CRE - non-owner occupied
Pass$1,056 $1,388 $1,589 $557 $250 $264 $588 $5,692 
Special mention75 — 59 — 2 2 — 138 
Classified34 244 173 48 12 1 — 512 
Total$1,165 $1,632 $1,821 $605 $264 $267 $588 $6,342 
Current period gross charge-offs$— $— $— $22.6 $— $— $— $22.6 
Term Loan Amortized Cost Basis by Origination YearRevolving Loans Amortized Cost BasisTotal
As of December 31, 2024 and gross charge-offs for the six months ended June 30, 202420242023202220212020Prior
(in millions)
Residential
Pass$659 $231 $3,331 $7,519 $762 $421 $28 $12,951 
Special mention— — — — — — — — 
Classified— 2 41 33 4 8 — 88 
Cumulative fair value hedging adjustment— — — — — — — (78)
Total$659 $233 $3,372 $7,552 $766 $429 $28 $12,961 
Current period gross charge-offs$— $— $— $— $— $— $— $— 
Residential - EBO
Pass$1 $15 $12 $200 $447 $297 $— $972 
Special mention— — — — — — — — 
Classified— — — — — — — — 
Total$1 $15 $12 $200 $447 $297 $— $972 
Current period gross charge-offs$— $— $— $— $— $— $— $— 
Construction and land development
Pass$798 $525 $1,526 $62 $2 $— $1,487 $4,400 
Special mention— — — — — — — — 
Classified— 38 30 — — — — 68 
Total$798 $563 $1,556 $62 $2 $— $1,487 $4,468 
Current period gross charge-offs$— $— $— $— $— $— $— $— 
Other
Pass$24 $— $8 $2 $13 $72 $52 $171 
Special mention— — — — — 1 — 1 
Classified1 — — — — 1 — 2 
Total$25 $— $8 $2 $13 $74 $52 $174 
Current period gross charge-offs$— $— $— $— $— $0.1 $— $0.1 
Total by Risk Category
Pass$7,786 $5,000 $9,578 $9,632 $2,168 $2,910 $15,332 $52,406 
Special mention202 15 135 13 13 4 10 392 
Classified77 377 340 105 18 23 16 956 
Cumulative fair value hedging adjustment— — — — — — — (78)
Total$8,065 $5,392 $10,053 $9,750 $2,199 $2,937 $15,358 $53,676 
Current period gross charge-offs$— $1.6 $0.6 $28.5 $— $1.8 $0.6 $33.1 
Restructurings for Borrowers Experiencing Financial Difficulty
The following tables present the amortized cost basis of loans HFI that were modified during the period by loan portfolio segment:
Amortized Cost Basis at June 30, 2025
Term ExtensionInterest Rate ReductionPayment DelayTotal% of Total Class of Financing Receivable
Three Months Ended (dollars in millions)
Other commercial and industrial$— $— $1 $1 0.0 %
Total$— $— $1 $1 0.0 %
Amortized Cost Basis at June 30, 2025
Term ExtensionInterest Rate ReductionPayment DelayTotal% of Total Class of Financing Receivable
Six Months Ended (dollars in millions)
Tech & innovation$5 $1 $18 $24 0.7 %
Other commercial and industrial— — 84 84 0.8 
Other CRE - non-owner occupied35 — 56 91 1.4 
Construction and land development— — 39 39 0.9 
Total$40 $1 $197 $238 0.4 %
Amortized Cost Basis at June 30, 2024
Term ExtensionInterest Rate ReductionPayment DelayTotal% of Total Class of Financing Receivable
Three Months Ended (dollars in millions)
Other CRE - non-owner occupied$— $— $70 $70 1.1 %
Total$— $— $70 $70 0.1 %
Amortized Cost Basis at June 30, 2024
Term ExtensionInterest Rate ReductionPayment DelayTotal% of Total Class of Financing Receivable
Six Months Ended (dollars in millions)
Tech & innovation$— $— $29 $29 0.9 %
Other commercial and industrial8 — — 8 0.1 
CRE - owner occupied31 — — 31 1.8 
Other CRE - non-owner occupied— — 70 70 1.1 
Construction and land development39 — — 39 0.8 
Total$78 $— $99 $177 0.3 %
The performance of these modified loans is monitored for 12 months following the modification. As of June 30, 2025, modified loans of $135 million were current with contractual payments and $103 million were on nonaccrual status. As of December 31, 2024, modified loans of $128 million were current with contractual payments and $169 million were on nonaccrual status.
In the normal course of business, the Company also modifies EBO loans, which are delinquent FHA, VA, or USDA insured or guaranteed loans repurchased under the terms of the GNMA MBS program and can be repooled or resold when loans are brought current either through the borrower's reperformance or completion of a loan modification. During the three and six months ended June 30, 2025, the Company completed modifications of EBO loans with an amortized cost of $142 million and $287 million, respectively. During the three and six months ended June 30, 2024, the Company completed modifications of EBO loans with an amortized cost of $103 million and $190 million, respectively. These modifications consisted of term extensions, payment delays, and interest rate reductions. Certain of these loans were repooled or resold after modification and are no longer included in the pool of loan modifications being monitored for future performance. As of June 30, 2025, modified EBO loans consisted of $35 million in loans that were current to 89 days delinquent and $19 million in loans 90 days or more delinquent. As of December 31, 2024, modified EBO loans consisted of $29 million in loans that were current to 89 days delinquent and $11 million in loans 90 days or more delinquent.
Collateral-Dependent Loans
The following table presents the amortized cost basis of collateral-dependent loans by loan portfolio segment:
June 30, 2025December 31, 2024
Real Estate CollateralOther CollateralTotalReal Estate CollateralOther CollateralTotal
(in millions)
Municipal & nonprofit$— $— $— $— $5 $5 
Tech & innovation— 4 4 — 5 5 
Other commercial and industrial— 10 10 — 11 11 
CRE - owner occupied3 — 3 16 — 16 
Hotel franchise finance— — — 29 — 29 
Other CRE - non-owner occupied181 — 181 474 — 474 
Construction and land development142 — 142 67 — 67 
Total$326 $14 $340 $586 $21 $607 
The Company did not identify any significant changes in the extent to which collateral secures its collateral dependent loans, whether in the form of general deterioration or from other factors during the period ended June 30, 2025.
Allowance for Credit Losses
The ACL consists of the ACL on funded loans HFI and an ACL on unfunded loan commitments. The ACL on HTM securities is estimated separately from loans, see "Note 2. Investment Securities" of these Notes to Unaudited Consolidated Financial Statements for further discussion. Management considers the level of ACL to be a reasonable and supportable estimate of expected credit losses inherent within the Company's HFI loan portfolio as of June 30, 2025.
The below tables reflect the activity in the ACL on loans HFI by loan portfolio segment, which includes an estimate of future recoveries:
Three Months Ended June 30, 2025
Balance,
March 31, 2025		Provision for (Recovery of) Credit LossesCharge-offsRecoveriesBalance,
June 30, 2025
(in millions)
Warehouse lending$6.3 $(0.4)$— $— $5.9 
Municipal & nonprofit14.8 (3.5)— — 11.3 
Tech & innovation44.9 10.4 9.7 (0.1)45.7 
Equity fund resources1.4 0.8 — — 2.2 
Other commercial and industrial91.7 23.7 6.7 (0.5)109.2 
CRE - owner occupied3.7 0.7 0.5 — 3.9 
Hotel franchise finance33.2 2.8 — — 36.0 
Other CRE - non-owner occupied138.1 (0.7)17.5 (5.1)125.0 
Residential19.7 0.2 — — 19.9 
Residential - EBO— — — — — 
Construction and land development32.0 1.9 0.3 — 33.6 
Other2.8 (0.2)0.6 — 2.0 
Total$388.6 $35.7 $35.3 $(5.7)$394.7 
Six Months Ended June 30, 2025
Balance,
December 31, 2024		Provision for (Recovery of) Credit LossesCharge-offsRecoveriesBalance,
June 30, 2025
(in millions)
Warehouse lending$6.4 $(0.5)$— $— $5.9 
Municipal & nonprofit14.7 (3.4)— — 11.3 
Tech & innovation55.9 10.6 21.8 (1.0)45.7 
Equity fund resources1.6 0.6 — — 2.2 
Other commercial and industrial77.8 38.4 7.6 (0.6)109.2 
CRE - owner occupied3.4 0.9 0.5 (0.1)3.9 
Hotel franchise finance35.3 0.1 — (0.6)36.0 
Other CRE - non-owner occupied134.4 17.5 32.0 (5.1)125.0 
Residential19.7 0.2 — — 19.9 
Residential - EBO— — — — — 
Construction and land development21.3 12.6 0.3 — 33.6 
Other3.3 (0.7)0.6 — 2.0 
Total$373.8 $76.3 $62.8 $(7.4)$394.7 
Three Months Ended June 30, 2024
Balance,
March 31, 2024		Provision for (Recovery of) Credit LossesCharge-offsRecoveriesBalance,
June 30, 2024
(in millions)
Warehouse lending$7.3 $(0.8)$— $— $6.5 
Municipal & nonprofit13.9 0.1 — — 14.0 
Tech & innovation48.0 (1.5)1.5 — 45.0 
Equity fund resources1.2 0.5 — — 1.7 
Other commercial and industrial67.1 20.8 3.7 (0.1)84.3 
CRE - owner occupied6.2 (1.2)— — 5.0 
Hotel franchise finance35.8 3.8 — — 39.6 
Other CRE - non-owner occupied104.7 17.4 17.6 — 104.5 
Residential22.1 (3.3)— — 18.8 
Residential - EBO— — — — — 
Construction and land development31.9 (2.0)— — 29.9 
Other2.1 0.5 0.1 — 2.5 
Total$340.3 $34.3 $22.9 $(0.1)$351.8 
Six Months Ended June 30, 2024
Balance,
December 31, 2023		Provision for (Recovery of) Credit LossesCharge-offsRecoveriesBalance,
June 30, 2024
(in millions)
Warehouse lending$5.8 $0.7 $— $— $6.5 
Municipal & nonprofit14.7 (0.7)— — 14.0 
Tech & innovation42.1 4.4 1.5 — 45.0 
Equity fund resources1.3 0.4 — — 1.7 
Other commercial and industrial81.4 8.4 6.0 (0.5)84.3 
CRE - owner occupied6.0 (1.0)— — 5.0 
Hotel franchise finance33.4 9.1 2.9 — 39.6 
Other CRE - non-owner occupied96.0 31.1 22.6 — 104.5 
Residential23.1 (4.3)— — 18.8 
Residential - EBO— — — — — 
Construction and land development30.4 (0.5)— — 29.9 
Other2.5 0.1 0.1 — 2.5 
Total$336.7 $47.7 $33.1 $(0.5)$351.8 
Accrued interest receivable of $274 million and $272 million at June 30, 2025 and December 31, 2024, respectively, was excluded from the estimate of credit losses. However, accrued interest receivable related to the Company's Residential-EBO loan portfolio segment was included in the estimate of credit losses and had an allowance of $1.4 million and $1.5 million as of June 30, 2025 and December 31, 2024, respectively. Accrued interest receivable, net of any allowance, is included in Other assets on the Consolidated Balance Sheet.
In addition to the ACL on funded loans HFI, the Company maintains a separate ACL related to off-balance sheet credit exposures, including unfunded loan commitments. This allowance is included in Other liabilities on the Consolidated Balance Sheet.
The below table reflects the activity in the ACL on unfunded loan commitments:
Three Months Ended June 30,Six Months Ended June 30,
2025202420252024
(in millions)
Balance, beginning of period$35.1 $33.1 $39.5 $31.6 
 (Recovery of) provision for credit losses 4.1 2.8 (0.3)4.3 
Balance, end of period $39.2 $35.9 $39.2 $35.9 
The following tables disaggregate the Company's ACL on funded loans HFI and loan balances by measurement methodology:
June 30, 2025
LoansAllowance
Collectively Evaluated for Credit LossIndividually Evaluated for Credit LossTotalCollectively Evaluated for Credit LossIndividually Evaluated for Credit LossTotal
(in millions)
Warehouse lending$8,574 $— $8,574 $5.9 $— $5.9 
Municipal & nonprofit1,629 5 1,634 10.8 0.5 11.3 
Tech & innovation3,576 33 3,609 40.0 5.7 45.7 
Equity fund resources857 — 857 2.2 — 2.2 
Other commercial and industrial10,433 41 10,474 101.2 8.0 109.2 
CRE - owner occupied1,595 3 1,598 3.9 — 3.9 
Hotel franchise finance3,929 — 3,929 36.0 — 36.0 
Other CRE - non-owner occupied6,371 181 6,552 93.1 31.9 125.0 
Residential13,166 — 13,166 19.9 — 19.9 
Residential EBO929 — 929 — — — 
Construction and land development4,335 143 4,478 29.0 4.6 33.6 
Other137 2 139 2.0 — 2.0 
Total$55,531 $408 $55,939 $344.0 $50.7 $394.7 
December 31, 2024
LoansAllowance
Collectively Evaluated for Credit LossIndividually Evaluated for Credit LossTotalCollectively Evaluated for Credit LossIndividually Evaluated for Credit LossTotal
(in millions)
Warehouse lending$8,207 $— $8,207 $6.4 $— $6.4 
Municipal & nonprofit1,615 5 1,620 14.1 0.6 14.7 
Tech & innovation3,283 100 3,383 33.6 22.3 55.9 
Equity fund resources884 — 884 1.6 — 1.6 
Other commercial and industrial9,047 128 9,175 75.5 2.3 77.8 
CRE - owner occupied1,658 17 1,675 3.4 — 3.4 
Hotel franchise finance3,786 29 3,815 35.3 — 35.3 
Other CRE - non-owner occupied5,830 512 6,342 90.3 44.1 134.4 
Residential12,961 — 12,961 19.7 — 19.7 
Residential EBO972 — 972 — — — 
Construction and land development4,401 67 4,468 21.3 — 21.3 
Other173 1 174 3.3 — 3.3 
Total$52,817 $859 $53,676 $304.5 $69.3 $373.8 
Loan Purchases and Sales
Loan purchases during the three and six months ended June 30, 2025 totaled $755 million and $1.1 billion, respectively, which primarily consisted of residential and commercial and industrial loan purchases. Loan purchases during the three and six months ended June 30, 2024 totaled $126 million and $515 million, respectively, which primarily consisted of commercial and industrial loans. There were no loans purchased with more-than-insignificant deterioration in credit quality during the three and six months ended June 30, 2025 and 2024.
In the normal course of business, the Company also repurchases guaranteed or insured loans under the terms of the GNMA MBS program which can be repooled when loans are brought current either through the borrower's reperformance or completion of a loan modification and have demonstrated sustained performance for a period of time. The Company repurchased $175 million and $302 million of such EBO loans during the three and six months ended June 30, 2025, respectively. The Company repurchased $104 million and $182 million of such EBO loans during the three and six months ended June 30, 2024, respectively. Prior to repurchase, these loans are classified as loans eligible for repurchase, which is included as a component of Other assets on the Consolidated Balance Sheet.
During the three and six months ended June 30, 2025, the Company sold loans with a carrying value of approximately $161 million and $379 million, respectively, and recognized a net loss of $0.2 million and $2.8 million, respectively, and net charge-offs of $1.7 million for both the three and six months ended June 30, 2025. During the three and six months ended June 30, 2024, the Company sold loans with a carrying value of approximately $151 million and $388 million, respectively. The Company recognized a charge-off of $1.6 million and a net loss of $0.7 million on these loan sales during the three months ended June 30, 2024. During the six months ended June 30, 2024, the Company recognized a charge-off of $3.0 million and a net loss of $5.8 million on these loan sales.