v3.26.1
Allowance for Credit Losses
 6 Months Ended
Jun. 30, 2026
Credit Loss [Abstract]  
Allowance for Credit Losses Allowance for credit losses
The Firm's allowance for credit losses represents management's estimate of expected credit losses over the remaining expected life of the Firm's financial assets measured at amortized cost and certain off-balance sheet lending-related commitments.
Refer to Note 13 of JPMorganChase's 2025 Form 10-K for a detailed discussion of the allowance for credit losses and the related accounting policies.

Allowance for credit losses and related information
The table below summarizes information about the allowances for credit losses and includes a breakdown of loans and lending-related commitments by impairment methodology. Refer to Note 10 of JPMorganChase’s 2025 Form 10-K and Note 9 of this Form 10-Q for further information on the allowance for credit losses on investment securities.
2026
2025
Six months ended June 30,
(in millions)
Consumer, excluding
credit card		Credit cardWholesaleTotalConsumer, excluding credit cardCredit cardWholesaleTotal
Allowance for loan losses
Beginning balance at January 1,$1,920 $15,557 $8,288 $25,765 $1,807 $14,600 $7,938 $24,345 
Gross charge-offs510 4,978 418 5,906 540 4,616 604 5,760 
Gross recoveries collected(223)(912)(89)(1,224)(248)(698)(72)(1,018)
Net charge-offs/(recoveries)287 4,066 329 4,682 292 3,918 532 4,742 
Provision for loan losses163 4,070 838 5,071 334 4,319 691 5,344 
Other— — (2)(2)— — 6 6 
Ending balance at June 30,$1,796 $15,561 $8,795 $26,152 $1,849 $15,001 $8,103 $24,953 
Allowance for lending-related commitments
Beginning balance at January 1,$83 $2,200 
(e)
$2,788 $5,071 $82 $— $2,019 $2,101 
Provision for lending-related commitments(8)— 94 86 1 — 830 831 
Other— — (6)(6)— — — — 
Ending balance at June 30,$75 $2,200 $2,876 $5,151 $83 $— $2,849 $2,932 
Total allowance for investment securitiesNANANA63 NANANA108 
Total allowance for credit losses(a)
$1,871 $17,761 $11,671 $31,366 $1,932 $15,001 $10,952 $27,993 
Allowance for loan losses by impairment methodology
Asset-specific(b)
$(621)$— $790 $169 $(683)$— $781 $98 
Portfolio-based2,417 15,561 8,005 25,983 2,532 15,001 7,322 24,855 
Total allowance for loan losses$1,796 $15,561 $8,795 $26,152 $1,849 $15,001 $8,103 $24,953 
Loans by impairment methodology
Asset-specific(b)
$3,377 $— $4,191 $7,568 $2,895 $— $4,519 $7,414 
Portfolio-based363,751 249,876 842,613 1,456,240 368,960 232,943 736,156 1,338,059 
Total retained loans$367,128 $249,876 $846,804 $1,463,808 $371,855 $232,943 $740,675 $1,345,473 
Collateral-dependent loans
Net charge-offs$2 $— $117 $119 $(5)$— $108 $103 
Loans measured at fair value of collateral less cost to sell3,377 — 1,812 5,189 2,754 — 1,763 4,517 
Allowance for lending-related commitments by impairment methodology
Asset-specific$— $— $160 $160 $— $— $167 $167 
Portfolio-based75 2,200 
(e)
2,716 4,991 83 — 2,682 2,765 
Total allowance for lending-related commitments(c)
$75 $2,200 $2,876 $5,151 $83 $— $2,849 $2,932 
Lending-related commitments by impairment methodology
Asset-specific$— $— $799 $799 $— $— $922 $922 
Portfolio-based(d)
24,397 24,874 
(f)
574,599 623,870 26,390 321 534,556 561,267 
Total lending-related commitments$24,397 $24,874 $575,398 $624,669 $26,390 $321 $535,478 $562,189 
On January 7, 2026, JPMorganChase announced that Chase will become the new issuer of Apple Card. The Firm entered into a forward purchase commitment on December 30, 2025 to acquire the Apple credit card portfolio (the “Apple Card transaction”), with an expected closing date approximately 24 months thereafter. Refer to Notes 4, 13, 27 and 28 of JPMorganChase’s 2025 Form 10-K for additional information.
(a)At June 30, 2026 and 2025, in addition to the allowance for credit losses in the table above, the Firm also had an allowance for credit losses of $165 million and $288 million, respectively, associated with certain accounts receivable in CIB.
(b)Includes collateral-dependent loans, including those for which foreclosure is deemed probable, and nonaccrual risk-rated loans.
(c)The allowance for lending-related commitments is reported in accounts payable and other liabilities on the Consolidated balance sheets.
(d)At June 30, 2026 and 2025, lending-related commitments excluded $24.7 billion and $20.7 billion, respectively, for the consumer, excluding credit card portfolio segment; $1.2 trillion and $1.0 trillion, respectively, for the credit card portfolio segment; and $47.4 billion and $24.2 billion, respectively, for the wholesale portfolio segment, which were not subject to the allowance for lending-related commitments.
(e)Represents the impact of the Apple Card transaction.
(f)Included approximately $24 billion related to the Apple Card transaction. Refer to Note 13 of the Firm's 2025 Form 10-K for additional information.
Discussion of changes in the allowance
The allowance for credit losses as of June 30, 2026 was $31.5 billion, reflecting a net addition of $303 million from December 31, 2025.
The net addition to the allowance for credit losses included:
• $473 million in wholesale, driven by a net increase in the loan portfolio and changes in the credit quality of certain exposures, partially offset by a reduction in the allowance with respect to certain accounts receivable and an update to loss assumptions on certain loans in Markets, and
•a net reduction of $128 million in consumer, predominantly driven by improvements in home prices in the first quarter of 2026.
The Firm's qualitative adjustments and its weighted-average macroeconomic outlook continued to include additional weight placed on the adverse scenarios to reflect ongoing uncertainties and downside risks related to the geopolitical and macroeconomic environment.
The Firm's allowance for credit losses is estimated using a weighted average of five internally developed macroeconomic scenarios. The adverse scenarios incorporate more punitive macroeconomic factors than the central case assumptions provided in the following table, resulting in:
•a weighted average U.S. unemployment rate peaking at 5.6% in the second quarter of 2027, and
•a weighted average U.S. real GDP level that is 2.1% lower than the central case at the end of the fourth quarter of 2027.
The following table presents the Firm’s central case assumptions for the periods presented:
Central case assumptions
at June 30, 2026
4Q262Q274Q27
U.S. unemployment rate(a)
4.2 %4.1 %4.1 %
YoY growth in U.S. real GDP(b)
1.7 %1.9 %2.0 %
Central case assumptions
at December 31, 2025
2Q264Q262Q27
U.S. unemployment rate(a)
4.6 %4.4 %4.2 %
YoY growth in U.S. real GDP(b)
2.0 %1.8 %1.9 %
(a)Reflects quarterly average of forecasted U.S. unemployment rate.
(b)The year over year growth in U.S. real GDP in the forecast horizon of the central scenario is calculated as the percentage change in U.S. real GDP levels from the prior year.
Subsequent changes to this forecast and related estimates will be reflected in the provision for credit losses in future periods.
Refer to Note 13 and Note 10 of JPMorganChase’s 2025 Form 10-K for a description of the policies, methodologies and judgments used to determine the Firm’s allowance for credit losses on loans, lending-related commitments, and investment securities.
Refer to Note 11 for additional information on the consumer and wholesale credit portfolios.