v3.26.1
Loans and Related Allowance for Credit Losses
 6 Months Ended
Jun. 30, 2026
Receivables [Abstract]  
Loans and Related Allowance for Credit Losses LOANS AND RELATED ALLOWANCE FOR CREDIT LOSSES
Loan Portfolio

Our loan portfolio consists of two portfolio segments – Commercial and Consumer. Each of these segments comprises multiple loan classes. Classes are characterized by similarities in risk attributes and the manner in which we monitor and assess credit risk.
CommercialConsumer
• Commercial and industrial
• Residential real estate
• Commercial real estate
• Home equity
• Automobile
• Credit card
• Other consumer
See Note 1 Accounting Policies for additional information on our loan classes. See Note 1 Accounting Policies in our 2025 Form 10-K for additional information on our loan related policies.

Credit Quality
We closely monitor economic conditions and loan performance trends to manage and evaluate our exposure to credit risk within the loan portfolio based on our defined loan classes. In doing so, we use several credit quality indicators, including, but not limited to, trends in delinquency rates, nonperforming status, analyses of PD and LGD ratings, updated credit scores and originated and updated LTV ratios.
We manage credit risk based on the risk profile of the borrower, repayment sources, underlying collateral and other support given current events, economic conditions and expectations. We refine our practices to address operating environment changes such as inflation levels, industry specific risks, interest rate levels, the level of consumer savings and deposit balances, and structural and secular changes such as those that arose from the pandemic. We offer loan modifications and collection programs to assist our customers and mitigate losses.
Table 49 presents the composition and delinquency status of our loan portfolio at June 30, 2026 and December 31, 2025. Loan delinquencies include government insured or guaranteed loans and loans accounted for under the fair value option.

Table 49: Analysis of Loan Portfolio (a) (b)
Accruing
Dollars in millionsCurrent or Less
Than 30 Days
Past Due		30-59
Days
Past Due		60-89
Days
Past Due		90 Days
or More
Past Due		Total
Past
Due (c) 		Nonperforming
Loans		Fair Value
Option
Nonaccrual
Loans (d)		Total Loans
(e)(f)
June 30, 2026
Commercial
Commercial and industrial$226,910 $123 $121 $76 $320   $685 $— $227,915 
Commercial real estate35,482 7 9 — 16   464 — 35,962 
Total commercial262,392 130 130 76 336   1,149 — 263,877 
Consumer
Residential real estate47,486 372 115 230 717 (c)325 181 48,709 
Home equity25,698 65 26 — 91 456 35 26,280 
Automobile
15,712 59 15 4 78   82 — 15,872 
Credit card7,179 37 28 56 121   11 — 7,311 
Other consumer
5,807 32 24 37 93 4 — 5,904 
Total consumer101,882 565 208 327 1,100   878 216 104,076 
Total$364,274 $695 $338 $403 $1,436   $2,027 $216 $367,953 
Percentage of total loans99.00 %0.19 %0.09 %0.11 %0.39 %0.55 %0.06 %100.00 %
December 31, 2025
Commercial
Commercial and industrial$201,772 $182 $103 $57 $342 $784 $— $202,898 
Commercial real estate28,879 14 98 — 112 574 — 29,565 
Total commercial230,651 196 201 57 454 1,358 — 232,463 
Consumer
Residential real estate42,687 243 101 209 553 (c)320 200 43,760 
Home equity25,365 70 30 — 100 439 37 25,941 
Automobile
16,411 74 18 5 97 83 — 16,591 
Credit card6,859 45 32 65 142 13 — 7,014 
Other consumer
5,610 32 21 44 97 5 — 5,712 
Total consumer96,932 464 202 323 989 860 237 99,018 
Total$327,583 $660 $403 $380 $1,443 $2,218 $237 $331,481 
Percentage of total loans98.82 %0.20 %0.12 %0.11 %0.44 %0.67 %0.07 %100.00 %
(a)Amounts in table represent loans held for investment and do not include any associated ALLL.
(b)The accrued interest associated with our loan portfolio totaled $1.5 billion and $1.3 billion at June 30, 2026 and December 31, 2025, respectively. These amounts are included in Other assets on the Consolidated Balance Sheet.
(c)Past due loan amounts include government insured or guaranteed residential real estate loans totaling $0.3 billion at both June 30, 2026 and December 31, 2025.
(d)Consumer loans accounted for under the fair value option for which we do not expect to collect substantially all principal and interest are subject to nonaccrual accounting and classification upon meeting any of our nonaccrual policy criteria. Given that these loans are not accounted for at amortized cost, they have been excluded from the nonperforming loan population.
(e)Includes unearned income, unamortized deferred fees and costs on originated loans and premiums or discounts on purchased loans totaling $1.7 billion and $1.1 billion at June 30, 2026 and December 31, 2025, respectively.
(f)Collateral dependent loans totaled $1.3 billion and $1.5 billion at June 30, 2026 and December 31, 2025, respectively.
At June 30, 2026, we pledged unpaid principal balances in the amounts of $68.7 billion of commercial and consumer loans to the FRB and $86.6 billion of secured real estate and other loans to the FHLB as collateral for the ability to borrow, if necessary. The comparable amounts at December 31, 2025 were $55.0 billion and $80.6 billion, respectively.
Nonperforming Assets
Nonperforming assets include nonperforming loans and leases, OREO, foreclosed and other assets. Nonperforming loans are those loans accounted for at amortized cost whose credit quality has deteriorated to the extent that full collection of contractual principal and interest is not probable. Interest income is generally not recognized on these loans. Loans accounted for under the fair value option are reported as performing loans; however, when nonaccrual criteria is met, interest income is not recognized on these loans. Additionally, certain government insured or guaranteed loans for which we expect to collect substantially all principal and interest are not reported as nonperforming loans and continue to accrue interest. See Note 1 Accounting Policies in our 2025 Form 10-K for additional information on our nonperforming loan and lease policies.
The following table presents our nonperforming assets as of June 30, 2026 and December 31, 2025:
Table 50: Nonperforming Assets
Dollars in millionsJune 30, 2026December 31, 2025
Nonperforming loans
Commercial$1,149 $1,358 
Consumer (a)878 860 
Total nonperforming loans (b)2,027 2,218 
OREO, foreclosed and other assets123 143 
Total nonperforming assets$2,150 $2,361 
Nonperforming loans to total loans0.55 %0.67 %
Nonperforming assets to total loans, OREO, foreclosed and other assets0.58 %0.71 %
Nonperforming assets to total assets0.35 %0.41 %
(a)Excludes most unsecured consumer loans and lines of credit, which are charged off after 120 to 180 days past due and are not placed on nonperforming status.
(b)Nonperforming loans for which there is no related ALLL totaled $0.7 billion and $0.6 billion at June 30, 2026 and December 31, 2025, respectively. This primarily includes loans with a fair value of collateral that exceeds the amortized cost basis.

Additional Credit Quality Indicators by Loan Class

Commercial Loan Classes
See Note 3 Loans and Related Allowance for Credit Losses in our 2025 Form 10-K for additional information related to these loan classes, including discussion around the credit quality indicators that we use to monitor and manage the credit risk associated with each loan class.
The following table presents credit quality indicators for our commercial loan classes:
Table 51: Commercial Credit Quality Indicators (a)
Term Loans by Origination Year
June 30, 2026
In millions
20262025202420232022PriorRevolving LoansRevolving Loans Converted to TermTotal
Commercial and industrial
Pass Rated$23,536 $31,025 $14,272 $9,541 $11,991 $15,825 $113,235 $79 $219,504 
Criticized112 577 911 564 890 675 4,637 45 8,411 
Total commercial and industrial loans23,648 31,602 15,183 10,105 12,881 16,500 117,872 124 227,915 
Gross charge-offs (b)8 (c)13 16 20 38 21 153 1 270 
Commercial real estate
Pass Rated4,939 4,555 2,663 2,707 5,355 9,184 762 — 30,165 
Criticized— 207 601 1,380 1,671 1,922 16 — 5,797 
Total commercial real estate loans4,939 4,762 3,264 4,087 7,026 11,106 778 — 35,962 
Gross charge-offs (b)— 9 — 15 — 16 3 — 43 
Total commercial loans$28,587 $36,364 $18,447 $14,192 $19,907 $27,606 $118,650 $124 $263,877 
Total commercial gross charge-offs (d)$8 $22 $16 $35 $38 $37 $156 $1 $313 
Term Loans by Origination Year
December 31, 2025
In millions
20252024202320222021PriorRevolving LoansRevolving Loans Converted to TermTotal
Commercial and industrial
Pass Rated$35,176 $16,478 $10,180 $13,815 $4,139 $12,757 $101,222 $125 $193,892 
Criticized559 896 574 1,181 333 510 4,838 115 9,006 
Total commercial and industrial loans35,735 17,374 10,754 14,996 4,472 13,267 106,060 240 202,898 
Gross charge-offs (b)45 (c)48 82 28 11 18 131 31 394 
Commercial real estate
Pass Rated3,169 2,395 3,080 5,215 1,324 7,686 610 — 23,479 
Criticized221 571 1,467 1,637 287 1,899 4 — 6,086 
Total commercial real estate loans3,390 2,966 4,547 6,852 1,611 9,585 614 — 29,565 
Gross charge-offs (b)5 1 1 — 7 100 — 2 116 
Total commercial loans$39,125 $20,340 $15,301 $21,848 $6,083 $22,852 $106,674 $240 $232,463 
Total commercial gross charge-offs$50 $49 $83 $28 $18 $118 $131 $33 $510 
(a)Loans in our commercial portfolio are classified as Pass Rated or Criticized based on the regulatory definitions, which are driven by the PD and LGD ratings that we assign. The Criticized classification includes loans that were rated special mention, substandard or doubtful as of June 30, 2026 and December 31, 2025.
(b)Gross charge-offs are presented on a year-to-date basis, as of the period end date.
(c)Includes charge-offs of deposit overdrafts.
(d)Acquired commercial gross charge-offs are excluded from the balance above and primarily represents the charge-off of certain loans previously charged off by FirstBank, which were written up upon acquisition to unpaid principal balance as required by purchase accounting.

Consumer Loan Classes
See Note 3 Loans and Related Allowance for Credit Losses in our 2025 Form 10-K for additional information related to these loan classes, including discussion around the credit quality indicators that we use to monitor and manage the credit risk associated with each loan class.
Residential Real Estate and Home Equity
The following table presents credit quality indicators for our residential real estate and home equity loan classes:
Table 52: Credit Quality Indicators for Residential Real Estate and Home Equity Loan Classes
Term Loans by Origination Year
June 30, 2026
In millions
20262025202420232022PriorRevolving LoansRevolving Loans Converted to TermTotal
Residential real estate
Current estimated LTV ratios
Greater than 100%$3 $42 $64 $61 $64 $133 $— $— $367 
Greater than or equal to 80% to 100%345 573 313 337 835 653 — — 3,056 
Less than 80%1,012 1,970 1,618 3,190 8,843 28,022 — — 44,655 
No LTV available1 — — — — 10 — — 11 
Government insured or guaranteed loans— 2 7 30 31 550 — — 620 
Total residential real estate loans$1,361 $2,587 $2,002 $3,618 $9,773 $29,368 $— $— $48,709 
Updated FICO scores
Greater than or equal to 780$782 $1,784 $1,391 $2,537 $7,774 $21,238 $— $— $35,506 
720 to 779465 553 403 573 1,296 4,320 — — 7,610 
660 to 71992 168 139 230 434 1,709 — — 2,772 
Less than 6609 43 37 128 166 986 — — 1,369 
No FICO score available (a)13 37 25 120 72 565 — — 832 
Government insured or guaranteed loans— 2 7 30 31 550 — — 620 
Total residential real estate loans$1,361 $2,587 $2,002 $3,618 $9,773 $29,368 $— $— $48,709 
Gross charge-offs (b) (c)$— $— $— $— $— $1 $— $— $1 
Home equity (d)
Current estimated LTV ratios
Greater than 100%$1 $2 $1 $1 $1 $22 $491 $423 $942 
Greater than or equal to 80% to 100%10 7 5 3 3 47 1,566 1,580 3,221 
Less than 80%48 22 17 20 15 3,584 7,911 10,477 22,094 
No LTV available13 — — — — 1 6 3 23 
Total home equity loans$72 $31 $23 $24 $19 $3,654 $9,974 $12,483 $26,280 
Updated FICO scores
Greater than or equal to 780$16 $17 $9 $8 $9 $2,375 $5,960 $5,916 $14,310 
720 to 7798 7 6 6 4 687 2,600 2,974 6,292 
660 to 7194 5 6 5 3 341 1,236 2,052 3,652 
Less than 660— 2 2 5 3 249 173 1,511 1,945 
No FICO score available (a)44 — — — — 2 5 30 81 
Total home equity loans$72 $31 $23 $24 $19 $3,654 $9,974 $12,483 $26,280 
Gross charge-offs (b) (c)$— $— $— $— $— $— $7 $13 $20 
(Continued from previous page)Term Loans by Origination Year
December 31, 2025
In millions
20252024202320222021PriorRevolving LoansRevolving Loans Converted to TermTotal
Residential real estate
Current estimated LTV ratios
Greater than 100% $7 $24 $74 $70 $55 $51 $— $— $281 
Greater than or equal to 80% to 100% 534 290 342 707 447 223 — — 2,543 
Less than 80%1,594 1,466 3,332 8,003 13,210 12,694 — — 40,299 
No LTV available— — — — 9 2 — — 11 
Government insured or guaranteed loans— 6 26 27 20 547 — — 626 
Total residential real estate loans$2,135 $1,786 $3,774 $8,807 $13,741 $13,517 $— $— $43,760 
Updated FICO scores
Greater than or equal to 780$1,337 $1,325 $2,748 $7,065 $11,095 $8,644 $— $— $32,214 
720 to 779661 354 568 1,206 1,837 2,225 — — 6,851 
660 to 719117 86 192 394 543 978 — — 2,310 
Less than 66019 15 134 109 181 751 — — 1,209 
No FICO score available (a)1 — 106 6 65 372 — — 550 
Government insured or guaranteed loans— 6 26 27 20 547 — — 626 
Total residential real estate loans$2,135 $1,786 $3,774 $8,807 $13,741 $13,517 $— $— $43,760 
Gross charge-offs (b)$— $1 $1 $3 $2 $1 $— $— $8 
Home equity (e)
Current estimated LTV ratios
Greater than 100%$— $— $— $— $1 $24 $422 $422 $869 
Greater than or equal to 80% to 100%— — — — 5 45 1,342 1,562 2,954 
Less than 80%— — — — 125 3,772 7,572 10,649 22,118 
Total home equity loans$— $— $— $— $131 $3,841 $9,336 $12,633 $25,941 
Updated FICO scores
Greater than or equal to 780$— $— $— $— $86 $2,465 $5,423 $5,967 $13,941 
720 to 779— — — — 29 737 2,504 3,063 6,333 
660 to 719— — — — 11 372 1,200 2,077 3,660 
Less than 660— — — — 5 265 207 1,496 1,973 
No FICO score available (a)— — — — — 2 2 30 34 
Total home equity loans$— $— $— $— $131 $3,841 $9,336 $12,633 $25,941 
Gross charge-offs (b)$— $— $— $— $— $— $13 $22 $35 
(a)Loans where FICO scores are not available or required generally refers to accounts for which we cannot obtain an updated FICO score (e.g., recent profile changes, bankruptcy event, deceased borrower) and/or loans titled with a business name. Management proactively assesses the risk and size of this loan category and, when necessary, takes actions to mitigate the credit risk.
(b)Gross charge-offs are presented on a year-to-date basis, as of the period end date.
(c)Acquired consumer gross charge-offs are excluded from the balance above and primarily represents the charge-off of certain loans previously charged off by FirstBank, which were written up upon acquisition to unpaid principal balance as required by purchase accounting.
(d)Amounts as of June 30, 2026 include home equity installment loans acquired from FirstBank, which are reflected in the table based on the date the loan was originated.
(e)New originations consisted only of revolving home equity lines of credit for vintage years 2022 through 2025.
Automobile, Credit Card and Other Consumer
The following table presents credit quality indicators for our automobile, credit card and other consumer loan classes:

Table 53: Credit Quality Indicators for Automobile, Credit Card and Other Consumer Loan Classes
Term Loans by Origination Year
June 30, 2026
In millions
20262025202420232022PriorRevolving LoansRevolving Loans Converted to TermTotal
Automobile
Updated FICO scores
Greater than or equal to 780$1,822 $3,255 $1,581 $755 $423 $256 $— $— $8,092 
720 to 779904 1,930 892 437 218 121 — — 4,502 
660 to 719316 834 504 284 135 77 — — 2,150 
Less than 66050 306 314 239 127 92 — — 1,128 
Total automobile loans$3,092 $6,325 $3,291 $1,715 $903 $546 $— $— $15,872 
Gross charge-offs (a)$— $18 $17 $14 $6 $5 $— $— $60 
Credit card
Updated FICO scores
Greater than or equal to 780$— $— $— $— $— $— $2,301 $1 $2,302 
720 to 779— — — — — — 1,990 6 1,996 
660 to 719— — — — — — 1,911 18 1,929 
Less than 660— — — — — — 918 50 968 
No FICO score available or required (b)— — — — — — 114 2 116 
Total credit card loans$— $— $— $— $— $— $7,234 $77 $7,311 
Gross charge-offs (a) (c)$— $— $— $— $— $— $133 $19 $152 
Other consumer
Updated FICO scores
Greater than or equal to 780$135 $248 $125 $80 $74 $280 $34 $— $976 
720 to 779152 250 124 62 41 97 61 — 787 
660 to 719120 171 98 43 24 43 67 — 566 
Less than 66019 54 40 20 12 20 37 — 202 
No FICO score available or required (b)2 5 5 2 1 1 — — 16 
Total loans using FICO credit metric428 728 392 207 152 441 199 — 2,547 
Other internal credit metrics1 — 2 29 7 689 2,620 9 3,357 
Total other consumer loans$429 $728 $394 $236 $159 $1,130 $2,819 $9 $5,904 
Gross charge-offs (a) (c)$43 (d)$12 $12 $6 $3 $6 $5 $— $87 
(Continued from previous page)Term Loans by Origination Year
December 31, 2025
In millions
20252024202320222021PriorRevolving LoansRevolving Loans Converted to TermTotal
Automobile
Updated FICO Scores
Greater than or equal to 780$4,241 $1,991 $1,022 $608 $387 $85 $— $— $8,334 
720 to 7792,394 1,216 609 322 178 52 — — 4,771 
660 to 719883 668 387 199 104 39 — — 2,280 
Less than 660236 352 292 167 100 59 — — 1,206 
Total automobile loans$7,754 $4,227 $2,310 $1,296 $769 $235 $— $— $16,591 
Gross charge-offs (a)$9 $38 $39 $20 $11 $13 $— $— $130 
Credit card
Updated FICO scores
Greater than or equal to 780$— $— $— $— $— $— $2,199 $1 $2,200 
720 to 779— — — — — — 1,903 6 1,909 
660 to 719— — — — — — 1,813 17 1,830 
Less than 660— — — — — — 922 55 977 
No FICO score available or required (b)— — — — — — 96 2 98 
Total credit card loans$— $— $— $— $— $— $6,933 $81 $7,014 
Gross charge-offs (a)$— $— $— $— $— $— $280 $40 $320 
Other consumer
Updated FICO scores
Greater than or equal to 780$301 $168 $108 $93 $39 $282 $34 $— $1,025 
720 to 779324 175 90 58 20 98 64 — 829 
660 to 719230 133 62 38 10 44 70 — 587 
Less than 66048 45 27 20 6 22 37 — 205 
No FICO score available or required (b)5 5 3 1 — — — — 14 
Total loans using FICO credit metric908 526 290 210 75 446 205 — 2,660 
Other internal credit metrics 6 5 18 7 10 703 2,296 7 3,052 
Total other consumer loans$914 $531 $308 $217 $85 $1,149 $2,501 $7 $5,712 
Gross charge-offs (a)$81 (d)$24 $24 $14 $5 $14 $10 $1 $173 
(a)Gross charge-offs are presented on a year-to-date basis, as of the period end date.
(b)Loans where FICO scores are not available or required generally refers to new accounts issued to borrowers with limited credit history, accounts for which we cannot obtain an updated FICO score (e.g., recent profile changes), cards issued with a business name and/or cards secured by collateral. Management proactively assesses the risk and size of this loan category and, when necessary, takes actions to mitigate the credit risk.
(c)Acquired consumer gross charge-offs are excluded from the balance above and primarily represents the charge-off of certain loans previously charged off by FirstBank, which were written up upon acquisition to unpaid principal balance as required by purchase accounting.
(d)Includes charge-offs of deposit overdrafts.
Loan Modifications to Borrowers Experiencing Financial Difficulty

FDMs result from our loss mitigation activities and include loan modifications that may result in interest rate reductions, term extensions, payment delays, repayment plans or combinations thereof. See Note 1 Accounting Policies in our 2025 Form 10-K for additional information on FDMs.
The following table presents the amortized cost basis, as of the period end date, of commercial FDMs granted during the three and six months ended June 30, 2026 and 2025:

Table 54: Commercial FDMs (a) (b)

Three months ended June 30
Dollars in millions
Term ExtensionPayment Delay Interest Rate Reduction and Term ExtensionPayment Delay and Term ExtensionInterest Rate Reduction, Payment Delay and Term ExtensionOtherTotal% of Loan Class
2026
Commercial and industrial$356 $116 $1 $1 $— $96 $570 0.25 %
Commercial real estate729 32 — — — — 761 2.12 %
Total commercial$1,085 $148 $1 $1 $— $96 $1,331 0.50 %
2025
Commercial and industrial$550 $37 $1 $17 $— $7 $612 0.32 %
Commercial real estate268 35 — — — — 303 0.97 %
Total commercial$818 $72 $1 $17 $— $7 $915 0.40 %

Six months ended June 30
Dollars in millions
Term ExtensionPayment Delay Interest Rate Reduction and Term ExtensionPayment Delay and Term ExtensionInterest Rate Reduction, Payment Delay and Term ExtensionOtherTotal% of Loan Class
2026
Commercial and industrial$579 $132 $2 $12 $— $96 $821 0.36 %
Commercial real estate955 50 — 44 — — 1,049 2.92 %
Total commercial$1,534 $182 $2 $56 $— $96 $1,870 0.71 %
2025
Commercial and industrial$788 $31 $2 $24 $14 $54 $913 0.48 %
Commercial real estate550 35 — — — 14 599 1.92 %
Total commercial$1,338 $66 $2 $24 $14 $68 $1,512 0.67 %
(a)The unfunded lending related commitments on FDMs granted during the six months ended June 30, 2026 and 2025 were $0.6 billion and $0.4 billion, respectively.
(b)Excludes the amortized cost basis of modified loans that were paid off, charged off or otherwise liquidated as of the period end date.
Table 55 presents the weighted average financial effect of commercial FDMs granted during the three and six months ended June 30, 2026 and 2025:

Table 55: Financial Effect of Commercial FDMs (a)
Three months ended June 30
Dollars in millions
20262025
Amortized cost basis (b)Financial effectAmortized cost basis (b)Financial effect
Weighted-average term extension (months)
Commercial and industrial$35816$56811
Commercial real estate$72914$26816
Interest rate reduction
Commercial and industrial$14.61%$15.50%
Weighted-average payment delay (months)
Commercial and industrial$1174$545
Commercial real estate$326$356
Six months ended June 30
Dollars in millions
20262025
Amortized cost basis (b)Financial effectAmortized cost basis (b)Financial effect
Weighted-average term extension (months)
Commercial and industrial$59315$82817
Commercial real estate$99915$55016
Interest rate reduction
Commercial and industrial$24.07%$161.17%
Weighted-average payment delay (months)
Commercial and industrial$1448$6912
Commercial real estate$947$356
(a)Excludes the financial effects of modifications for loans that were paid off, charged off or otherwise liquidated as of the period end date.
(b)The amortized cost basis presented in Table 55 includes combination modification categories in addition to the standalone modification categories presented in Table 54. Primarily due to this reason, the amortized cost basis presented in Table 55 may not agree to the amortized cost basis presented alongside the standalone modification categories in Table 54. Amortized cost basis is as of the period end date.
After we modify a loan, we continue to track its performance under its most recent modified terms. The following table presents the performance, as of the period end date, of commercial FDMs granted during the twelve months preceding June 30, 2026 and 2025:

Table 56: Delinquency Status of Commercial FDMs (a) (b)

Twelve months ended June 30
Dollars in millions		Current or Less Than 30 Days Past Due30-59 Days Past Due60-89 Days Past Due90 Days
or More
Past Due		Nonperforming
Loans 		Total
2026
Commercial
Commercial and industrial$1,703 $4 $— $— $242 $1,949 
Commercial real estate1,383 — — — 191 1,574 
Total commercial$3,086 $4 $— $— $433 $3,523 
2025
Commercial
Commercial and industrial$1,118 $9 $4 $— $106 $1,237 
Commercial real estate711 — — — 301 1,012 
Total commercial$1,829 $9 $4 $— $407 $2,249 
(a)Represents amortized cost basis.
(b)Loans in our Payment Delay category are reported as past due in accordance with their contractual terms. Once contractually modified, these loans are reported as past due in accordance with their restructured terms.
We generally consider FDMs to have subsequently defaulted when they become 60 days past due after the most recent date the loan was modified. Commercial loans that were both (i) classified as FDMs, and (ii) subsequently defaulted during the three and six months ended June 30, 2026 were $47 million and $70 million, respectively. Comparable amounts at June 30, 2025 were $61 million and $105 million, respectively.
The following table presents information about our consumer FDMs:

Table 57: Consumer FDMs (a)(b)
Three months ended June 30Six months ended June 30
Dollars in millions2026202520262025
Modifications by type (c)
Payment delay$59 $65 $93 $91 
Repayment plan15 18 29 35 
Other (d)12 12 23 22 
Total consumer$86 $95 $145 $148 
Percentage of portfolio segment 0.08 %0.10 %0.14 %0.15 %
Financial effects (c) (e)
Weighted-average payment delay (months) 8696
Twelve months ended June 30
Dollars in millions20262025
Delinquency status (f)
Current or less than 30 days past due$57 $56 
30-59 days past due4 4 
60-89 days past due3 4 
90 days or more past due6 7 
Nonperforming loans155 167 
Total$225 $238 
(a)Represents amortized cost basis.
(b)The unfunded lending related commitments on consumer FDMs granted were immaterial during the three and six months ended June 30, 2026 and 2025.
(c)Excludes the amortized cost basis and financial effect of modified loans that were paid off, charged-off or otherwise liquidated as of the period end date.
(d)Represents all other modifications and includes trial modifications and loans where we have received notification that a borrower has filed for Chapter 7 bankruptcy relief, but specific instructions as to the terms of the relief have not been formally ruled upon by the court.
(e)Repayment plans are excluded from financial effects because of varying terms offered in these plans. Credit card and unsecured lines of credit programs both offer short-term and fully-amortized repayment plans, impacting terms and interest rates. Home equity programs offer a fixed payment plan, establishing a modified monthly payment based primarily on the borrower’s financial situation and the current market environment.
(f)Loans in our Payment Delay category are reported as past due in accordance with their contractual terms. Once contractually modified, these loans are reported as past due in accordance with their restructured terms.

We generally consider FDMs to have subsequently defaulted when they become 60 days past due after the most recent date the loan
was modified. Consumer loans that were both (i) classified as FDMs, and (ii) subsequently defaulted during the three and six months ended June 30, 2026 were $31 million and $51 million, respectively. Comparable amounts at June 30, 2025 were $21 million and $48 million, respectively.
Allowance for Credit Losses

We maintain the ACL related to loans at levels that we believe to be appropriate to absorb expected credit losses in the portfolios as of the balance sheet date. See Note 1 Accounting Policies in our 2025 Form 10-K for a discussion of the methodologies used to determine this allowance. A rollforward of the ACL related to loans follows:

Table 58: Rollforward of Allowance for Credit Losses
Three months ended June 30Six months ended June 30
2026202520262025
In millionsCommercialConsumerTotalCommercialConsumerTotalCommercialConsumerTotalCommercialConsumerTotal
Allowance for loan and lease losses
Beginning balance$3,269 $1,394 $4,663 $3,205 $1,339 $4,544 $3,089 $1,321 $4,410 $3,148 $1,338 $4,486 
Acquisition PCD reserves— — — — — — 53 40 93 — — — 
Acquisition PSL reserves— — — — — — 184 45 229 — — — 
Beginning balance, adjusted3,269 1,394 4,663 3,205 1,339 4,544 3,326 1,406 4,732 3,148 1,338 4,486 
Charge-offs(165)(159)(324)(163)(161)(324)(313)(320)(633)(294)(342)(636)
Recoveries36 62 98 61 65 126 74 125 199 108 125 233 
Acquired loan charge-offs (a)— — — — — — (10)(35)(45)— — — 
Net (charge-offs)(129)(97)(226)(102)(96)(198)(249)(230)(479)(186)(217)(403)
Provision for credit losses 114 99 213 121 50 171 181 220 401 259 172 431 
Other— 2 2 6 — 6 (4)2 (2)9 — 9 
Ending balance$3,254 $1,398 $4,652 $3,230 $1,293 $4,523 $3,254 $1,398 $4,652 $3,230 $1,293 $4,523 
Allowance for unfunded lending related commitments (b)
Beginning balance$693 $139 $832 $528 $146 $674 $681 $137 $818 $580 $139 $719 
Provision for (recapture of) credit losses(23)3 (20)87 (3)84 (11)5 (6)34 4 38 
Other— (3)(3)1 — 1 — (3)(3)2 — 2 
Ending balance$670 $139 $809 $616 $143 $759 $670 $139 $809 $616 $143 $759 
Allowance for credit losses at June 30 (c)
$3,924 $1,537 $5,461 $3,846 $1,436 $5,282 $3,924 $1,537 $5,461 $3,846 $1,436 $5,282 
(a)Amounts for the six months ended June 30, 2026 include $45 million attributable to FirstBank, which represents the charge-off of certain loans previously charged off by FirstBank, which were written up upon acquisition to unpaid principal balance as required by purchase accounting.
(b)See Note 9 Commitments for additional information about the underlying commitments related to this allowance.
(c)Represents the ALLL plus allowance for unfunded lending related commitments and excludes allowances for investment securities and other financial assets, which together totaled $99 million and $88 million at June 30, 2026 and 2025, respectively.
The ACL related to loans totaled $5.5 billion at June 30, 2026 and $5.2 billion at December 31, 2025. The increase was primarily driven by portfolio activity, including the addition of FirstBank loans.