v3.25.2
Loans, Leases and Allowance for Credit Losses (Tables)
 6 Months Ended
Jun. 30, 2025
Receivables [Abstract]  
Schedule of Held for Investment Loan Portfolio Composition of 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 $53,302 
Summary of Recorded Investment in Nonaccrual Loans and Loans Past Due 90 Days Still Accruing Interest by Loan Class
Loans are placed on nonaccrual status when management determines that the full repayment of principal and collection of interest according to contractual terms is no longer likely, generally when the loan becomes 90 days or more past due.
The following tables present nonperforming loan balances by loan portfolio segment:
June 30, 2025
Nonaccrual with No Allowance for Credit LossNonaccrual with an Allowance for Credit LossTotal NonaccrualLoans Past Due 90 Days or More and Still Accruing
(in millions)
Municipal & nonprofit$— $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 $377 
December 31, 2024
Nonaccrual with No Allowance for Credit LossNonaccrual with an Allowance for Credit LossTotal NonaccrualLoans Past Due 90 Days or More and Still Accruing
(in millions)
Municipal & nonprofit$— $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 
Aging of Loan Portfolio by Loan Portfolio Segment
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 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 $33.1 
Amortized Cost Basis of Loans Modified
The following tables present the amortized cost basis of loans HFI that were modified during the period by loan portfolio segment:
Amortized Cost Basis at June 30, 2025
Term ExtensionInterest Rate ReductionPayment DelayTotal% of Total Class of Financing Receivable
Three Months Ended (dollars in millions)
Other commercial and industrial$— $— $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 $177 0.3 %
Collateral-Dependent Loans
The following table presents the amortized cost basis of collateral-dependent loans by loan portfolio segment:
June 30, 2025December 31, 2024
Real Estate CollateralOther CollateralTotalReal Estate CollateralOther CollateralTotal
(in millions)
Municipal & nonprofit$— $— $— $— $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 
Allowances for Credit Losses
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 
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