v3.26.3
LOANS AND ALLOWANCE FOR CREDIT LOSSES
 9 Months Ended
Sep. 30, 2026
Receivables [Abstract]  
LOANS AND ALLOWANCE FOR CREDIT LOSSES LOANS AND ALLOWANCE FOR CREDIT LOSSES
Loan and Lease Portfolio Composition

The Company's LHFI are generally reported at their outstanding principal balances net of any cumulative charge-offs, unamortized deferred fees and costs and unamortized premiums or discounts. Certain LHFI are accounted for at fair value under the FVO. Certain loans are pledged as collateral for borrowings, securitizations, or SPEs. These pledged loans totaled $70.1 billion at September 30, 2026 and $50.1 billion at December 31, 2025.

LHFS includes loans the Company has the intent to sell or securitize in an off-balance sheet securitization and loans that the Company no longer intends to hold to maturity or for the foreseeable future. For a discussion on the composition and valuation of LHFS at fair value, see Note 14 to these Condensed Consolidated Financial Statements.

At September 30, 2026 and December 31, 2025, accrued interest receivable on the Company's loans was $833 million and $588 million, respectively.

The following presents the composition of loans and leases HFI by portfolio and by rate type as of the dates indicated:
September 30, 2026December 31, 2025
(dollars in millions)AmountAmount
Commercial LHFI:
CRE loans$22,957 $8,136 
C&I loans32,173 7,821 
Multifamily loans16,936 9,602 
Other commercial
9,908 8,249 
Total commercial LHFI$81,974 $33,808 
Consumer loans secured by real estate:
Residential mortgages12,387 4,039 
Home equity loans and lines of credit2,810 1,797 
Total consumer loans secured by real estate$15,197 $5,836 
Consumer loans not secured by real estate:
RICs and auto loans44,034 42,736 
Personal unsecured loans506 493 
Other consumer
44 18 
Total consumer loans$59,781 $49,083 
Total LHFI (1)
$141,755 $82,891 
Fixed rate$83,794 $59,079 
Variable rate57,961 23,812 
Total LHFI (1)
$141,755 $82,891 
(1)     Total LHFI includes unamortized deferred loan fees and origination costs and unamortized purchase premiums, and discounts. These items resulted in a net negative adjustment to the loan balances of $865 million and a positive adjustment of $607 million as of September 30, 2026 and December 31, 2025, respectively. Total LHFI is also shown net of cumulative partial charge offs.

On July 20, 2026, the Company sold approximately $124 million of non-performing auto loans classified as HFS at June 30, 2026 to an unaffiliated third party, resulting in a reduction to the ACL of approximately $31 million ACL release, offset by a loss on sale of loans of approximately $24 million in the second quarter of 2026. On September 24, 2026, the Company sold approximately $294 million of personal unsecured loans to an unaffiliated third party, resulting in a loss on sale of loans of approximately $21 million, offset by a reduction to the ACL of approximately $19 million in the third quarter of 2026.
NOTE 3. LOANS AND ALLOWANCE FOR CREDIT LOSSES (continued)

Portfolio segments and classes

The Company discloses information about the credit quality of its loans and leases at disaggregated levels, specifically defined as “portfolio segments” and “classes,” based on management’s systematic methodology for determining the ACL. The Company utilizes similar categorization compared to the financial statement categorization of loans to model and calculate the ACL and track the credit quality, delinquency and impairment status of the underlying loan populations. In disaggregating its financing receivables portfolio, the Company’s methodology begins with the commercial and consumer portfolio segments.

The commercial portfolio segmentation reflects line of business distinctions. The CRE line of business includes C&I owner-occupied real estate and specialized lending for investment real estate. C&I includes non-real estate-related commercial loans. "Multifamily" represents loans for multifamily residential housing units. “Other commercial” includes loans to global customer relationships in Latin America which are not defined as commercial or consumer for regulatory purposes as well as the Company's CEVF portfolio.

The Company's portfolio classes are substantially the same as its financial statement categorization of loans for consumer loan populations. “Residential mortgages” includes mortgages on residential property, including single family and 1-4 family units. "Home equity loans and lines of credit" include all organic home equity contracts and purchased home equity portfolios. "RICs and auto loans" includes the Company's direct automobile loan portfolios but excludes RV and marine RICs. "Personal unsecured loans" includes personal revolving loans and credit cards. “Other consumer” includes an acquired portfolio of marine RICs and RV contracts.
NOTE 3. LOANS AND ALLOWANCE FOR CREDIT LOSSES (continued)

ACL Rollforward by Portfolio Segment

The ACL is comprised of the ALLL and the reserve for unfunded lending commitments. The activity in the ACL by portfolio segment was as follows for the periods indicated:
Three months ended September 30, 2026
Three months ended September 30, 2025
(in millions)CommercialConsumerTotalCommercialConsumerTotal
ALLL, beginning of period$461 $5,358 $5,819 $523 $5,834 $6,357 
Day 1 allowance on purchased loans at acquisition (1)
770 86 856 — — — 
Credit loss expense/(benefit)
70 500 570 (7)379 372 
Charge-offs (62)(1,136)(1,198)(37)(1,163)(1,200)
Recoveries9 641 650 11 609 620 
Charge-offs, net of recoveries$(53)$(495)$(548)$(26)$(554)$(580)
ALLL, end of period$1,248 $5,449 $6,697 $490 $5,659 $6,149 
Reserve for unfunded lending commitments, beginning of period
$25 $9 $34 $43 $11 $54 
Credit loss (benefit) on unfunded lending commitments
31 — 31 (3)(1)(4)
Reserve for unfunded lending commitments, end of period$56 $9 $65 $40 $10 $50 
Total ACL, end of period$1,304 $5,458 $6,762 $530 $5,669 $6,199 
Nine months ended September 30, 2026
Nine months ended September 30, 2025
(in millions)CommercialConsumerTotalCommercialConsumerTotal
ALLL, beginning of period$472 $5,528 $6,000 $566 $5,996 $6,562 
Day 1 allowance on purchased loans at acquisition (1) (2)
770 125 895 — — — 
Credit loss expense / (benefit)
93 1,175 1,268 3 1,162 1,165 
Charge-offs (112)(3,323)(3,435)(118)(3,359)(3,477)
Recoveries25 1,944 1,969 39 1,860 1,899 
Charge-offs, net of recoveries$(87)$(1,379)$(1,466)$(79)$(1,499)$(1,578)
ALLL, end of period$1,248 $5,449 $6,697 $490 $5,659 $6,149 
Reserve for unfunded lending commitments, beginning of period $43 $10 $53 $46 $2 $48 
Credit loss expense/ (benefit) on unfunded lending commitments
13 (1)12 (6)8 2 
Reserve for unfunded lending commitments, end of period$56 $9 $65 $40 $10 $50 
Total ACL, end of period$1,304 $5,458 $6,762 $530 $5,669 $6,199 
(1) Purchased loans comprise PSL and PCD loans.
(2) Includes Day 1 allowance repurchase of previously securitized loans during the first quarter of 2026.
PCD and PSL Loans

During the nine-month period ended September 30, 2026, the Company completed a clean-up call of an existing off-balance sheet securitization, which resulted in the repurchase of approximately $205 million of gross RICs for which a total reserve of $39 million was recorded at the acquisition date. The clean-up call included the purchase of approximately $23 million in PCD loans for which a reserve of $10 million was recorded at the acquisition date.

In addition, the following table presents the carrying value of PCD and PSL loans resulting from the Webster transaction at acquisition date:
(in millions)PCDPSLTotal
UPB (1)
$2,371 $55,663 $58,034 
Noncredit discount (premium)112 1,335 1,447 
Amortized cost basis, excluding allowance2,259 54,328 56,587 
ACL at acquisition(1)
323 533 856 
Amortized cost basis, net of allowance1,936 53,795 55,731 
(1) UPB and ACL at acquisition do not include amounts charged off by Webster prior to the acquisition of $229 million.
The credit risk in the Company’s loan portfolios is driven by credit and collateral quality and is affected by borrower-specific and economy-wide factors. In general, there is an inverse relationship between the credit quality of loans and projections of impairment losses, so that loans with better credit quality require a lower expected loss reserve. The Company manages this risk through its underwriting, pricing strategies, credit policy standards, and servicing guidelines and practices, as well as the application of geographic and other concentration limits.

The Company estimates CECL based on prospective information as well as account-level models based on historical data. Unemployment, HPI, CRE price index and used vehicle index growth rates, along with loan level characteristics, are the key inputs used in the models for prediction of the likelihood that the borrower will default in the forecasted period (the PD) and the loss in the event of default (the LGD). GDP is also a key input used in the models for the prediction of the likelihood that a borrower will default. The Company has determined the reasonable and supportable period to be three years, at which time the economic forecasts generally tend to revert to historical averages. The Company also utilizes qualitative adjustments to capture any additional risks that may not be captured in either the economic forecasts or in the historical data, including consideration of several factors such as the interpretation of economic trends and uncertainties, changes in the nature and volume of loan portfolios, trends in delinquency and collateral values, and concentration risk.
The Company generally uses a third-party vendor's consensus baseline macroeconomic scenario for the quantitative estimate and additional positive and negative macroeconomic scenarios to make qualitative adjustments for macroeconomic uncertainty and considers adjustments to macroeconomic inputs and outputs based on market volatility. The baseline scenario was based on the latest consensus forecasts available, which assume an increasing unemployment rate (which is a key driver of losses) and other macroeconomic uncertainties due to tariffs and other trade policies of the U.S. and its global trading partners. Additional downward risks continue to exist due to uncertainties related to increasing consumer indebtedness, restricted job growth undermining consumer spending and growth, broader global trade dynamics, ongoing geopolitical tensions and conflicts that may affect economic activity, consumer confidence, financial markets and energy prices and inflationary challenges. The Company's scenario framework incorporates a range of economic outcomes, including downside scenarios, to capture uncertainty associated with evolving macroeconomic and geopolitical conditions. Using the weighted average of a range of economic forecast scenarios, we estimated at September 30, 2026 that the unemployment rate is expected to be approximately 4.6% at the end of 2026. In comparison, at December 31, 2025, management estimated the unemployment rate to be 5.5% at the end of 2026. Additionally, the weighted used vehicle index, where a higher number corresponds to a higher used car price at auction, was estimated at September 30, 2026 to be approximately 211 at the end of 2026, compared to our estimate at December 31, 2025 to be approximately 215 at the end of 2026. The scenarios used by the Company are periodically reassessed over a reasonable and supportable time horizon, with weightings assigned by management and approved through the established governance process.
The Company's ACL was $6.8 billion at September 30, 2026, a net increase of $709 million from December 31, 2025. The increase in the ACL was primarily attributable to the acquisition of Webster as disclosed in Note 1. The ACL for the consumer portfolio segment decreased by $80 million primarily attributable to changes in portfolio composition in RIC and auto loans and lower exposure in the personal unsecured portfolio. The ACL for the commercial portfolio segment increased by $789 million at September 30, 2026, compared to December 31, 2025
NOTE 3. LOANS AND ALLOWANCE FOR CREDIT LOSSES (continued)

Non-accrual loans by Class of Financing Receivable

The amortized cost basis of financing receivables that are non-accrual and other non-performing assets disaggregated by class of financing receivables (as well as the amount of non-accrual loans for which no related allowance is recorded) are as follows at the dates indicated:
Non-accrual loans and other non-performing assets as of:(1)
Non-accrual loans with no related allowance
(in millions)September 30, 2026December 31, 2025September 30, 2026December 31, 2025
Non-accrual loans:
Commercial:
CRE$330 $188 $144 $79 
C&I517 48 87 26 
Multifamily507 310 245 89 
Other commercial6 4 — — 
Total commercial loans$1,360 $550 $476 $194 
Consumer:
Residential mortgages65 59 10 1 
Home equity loans and lines of credit57 57 18 11 
RICs and auto loans2,364 2,683 170 168 
Other consumer8 19 — — 
Total consumer loans$2,494 $2,818 $198 $180 
Total non-accrual loans$3,854 $3,368 $674 $374 
OREO22 42 — — 
Repossessed vehicles241 250 — — 
Foreclosed and other repossessed assets2 1 — — 
Total OREO and other repossessed assets$265 $293 $— $— 
Total non-performing assets$4,119 $3,661 $674 $374 
(1) Interest income recognized on a cash basis on nonaccrual loans was $81 million and $248 million for the three months and nine months ended September 30, 2026, respectively, and $77 million and $212 million for the three months and nine months ended September 30, 2025, respectively.
NOTE 3. LOANS AND ALLOWANCE FOR CREDIT LOSSES (continued)

Age Analysis of Past Due Loans

The Company generally considers an account delinquent when an obligor fails to pay substantially all (defined as 90%) of the scheduled payment by the due date. When an account is deferred, the loan is returned to accrual status during the deferral period and accrued interest related to the loan is evaluated for collectability.

The amortized cost of past due loans and accruing loans 90 days or greater past due disaggregated by class of financing receivables is summarized as follows at the dates indicated:
As of:September 30, 2026
(in millions)30-89
Days Past
Due		90
Days or Greater		Total
Past Due		CurrentTotal
Financing
Receivables		Amortized Cost
> 90 Days and
Accruing
Commercial:
CRE (1)
$182 $185 $367 $22,915 $23,282 $— 
C&I (2)
62 155 217 32,103 32,320 — 
Multifamily(4)
80 252 332 16,619 16,951 — 
Other commercial40 7 47 9,861 9,908 3 
Consumer:
Residential mortgages (3)
105 61 166 13,707 13,873 — 
Home equity loans and lines of credit31 45 76 2,734 2,810 — 
RICs and auto loans5,780 528 6,308 37,726 44,034 — 
Personal unsecured loans10 9 19 487 506 8 
Other consumer3 — 3 41 44 — 
Total$6,293 $1,242 $7,535 $136,193 $143,728 $11 
(1) CRE loans include $325 million of LHFS at September 30, 2026.
(2) C&I loans include $147 million of LHFS at September 30, 2026.
(3) Residential mortgages include $1.5 billion of LHFS at September 30, 2026.
(4) Multifamily loans include $15 million of LHFS at September 30, 2026.

As of:December 31, 2025
(in millions)30-89
Days Past
Due		90
Days or Greater		Total
Past Due		CurrentTotal
Financing
Receivables		Recorded
Investment
> 90 Days and Accruing
Commercial:
CRE(1)
$53 $107 $160 $8,208 $8,368 $— 
C&I (2)
64 13 77 7,885 7,962 — 
Multifamily 74 159 233 9,369 9,602 — 
Other commercial66 3 69 8,180 8,249 — 
Consumer:   
Residential mortgages (3)
78 59 137 5,115 5,252 — 
Home equity loans and lines of credit28 46 74 1,723 1,797 — 
RICs and auto loans6,072 673 6,745 35,991 42,736 — 
Personal unsecured loans22 18 40 452 492 9 
Other consumer1 — 1 18 19 — 
Total$6,458 $1,078 $7,536 $76,941 $84,477 $9 
(1)CRE loans include $232 million of LHFS at December 31, 2025.
(2)C&I loans included $141 million of LHFS at December 31, 2025.
(3) Residential mortgages included $1.2 billion of LHFS at December 31, 2025.
NOTE 3. LOANS AND ALLOWANCE FOR CREDIT LOSSES (continued)

Commercial Lending Asset Quality Indicators

The Company's Risk Department performs a credit analysis and classifies certain loans over an internal threshold based on the commercial lending classifications described below:

PASS. Asset is well-protected by the current net worth and paying capacity of the obligor or guarantors, if any, or by the fair value less costs to acquire and sell any underlying collateral in a timely manner.

SPECIAL MENTION. Asset has potential weaknesses that deserve management’s close attention, which, if left uncorrected, may result in deterioration of the repayment prospects for an asset at some future date. Special mention assets are not adversely classified.

SUBSTANDARD. Asset is inadequately protected by the current net worth and paying capacity of the obligor or by the collateral pledged, if any. A well-defined weakness or weaknesses exist that jeopardize the liquidation of the debt. The loans are characterized by the distinct possibility that the Company will sustain some loss if deficiencies are not corrected.

DOUBTFUL. Exhibits the inherent weaknesses of a substandard credit. Additional characteristics exist that make collection or liquidation in full highly questionable and improbable, on the basis of currently known facts, conditions and values. Possibility of loss is extremely high, but because of certain important and reasonable specific pending factors which may work to the advantage and strengthening of the credit, an estimated loss cannot yet be determined.

LOSS. Credit is considered uncollectible and of such little value that it does not warrant consideration as an active asset. There may be some recovery or salvage value, but there is doubt as to whether, how much or when the recovery would occur.
NOTE 3. LOANS AND ALLOWANCE FOR CREDIT LOSSES (continued)

Each commercial loan is evaluated to determine its risk rating at least annually. The indicators represent the rating for loans as of the date presented based on the most recent assessment performed. Amortized cost basis of loans in the commercial portfolio segment by credit quality indicator, class of financing receivable, and year of origination are summarized as follows:
September 30, 2026
Commercial Loan Portfolio (2)
(dollars in millions)Amortized Cost by Origination Year
Regulatory Rating:
2026(1)
2025202420232022PriorTotal
CRE
Pass$3,485 $4,003 $3,118 $2,506 $3,032 $4,763 $20,907 
Special mention76 22 64 176 494 37 869 
Substandard1 12 55 190 509 739 1,506 
Total CRE$3,562 $4,037 $3,237 $2,872 $4,035 $5,539 $23,282 
Current period gross write-offs - CRE$— $— $— $2 $— $3 $5 
C&I
Pass$9,490 $5,640 $3,863 $2,183 $2,416 $5,532 $29,124 
Special mention6 46 46 61 189 220 568 
Substandard33 124 127 254 651 673 1,862 
N/A(3)
165 273 189 78 48 13 766 
Total C&I$9,694 $6,083 $4,225 $2,576 $3,304 $6,438 $32,320 
Current period gross write-offs - C&I$1 $8 $12 $7 $8 $20 $56 
Multifamily
Pass$1,892 $1,549 $663 $1,598 $3,756 $5,438 $14,896 
Special mention— 54 33 77 114 114 392 
Substandard— 14 2 261 617 769 1,663 
Total multifamily$1,892 $1,617 $698 $1,936 $4,487 $6,321 $16,951 
Current period gross write-offs - Multifamily$— $— $— $8 $— $37 $45 
Remaining commercial
Pass$4,263 $2,144 $1,293 $603 $582 $949 $9,834 
Special mention— 6 11 6 2 1 26 
Substandard3 8 3 10 18 6 48 
Total remaining commercial$4,266 $2,158 $1,307 $619 $602 $956 $9,908 
Current period gross write-offs - Remaining commercial$— $— $— $— $— $6 $6 
Total commercial loans
Pass$19,130 $13,336 $8,937 $6,890 $9,786 $16,682 $74,761 
Special mention82 128 154 320 799 372 1,855 
Substandard37 158 187 715 1,795 2,187 5,079 
N/A(3)
165 273 189 78 48 13 766 
Total commercial loans$19,414 $13,895 $9,467 $8,003 $12,428 $19,254 $82,461 
Current period gross write-offs - Total commercial$1 $8 $12 $17 $8 $66 $112 
(1)Loans originated during the nine months ended September 30, 2026.
(2)Includes $487 million of LHFS at September 30, 2026.
(3)Not subject to internal risk rating process.
NOTE 3. LOANS AND ALLOWANCE FOR CREDIT LOSSES (continued)

December 31, 2025
Commercial Loan Portfolio (2)
(dollars in millions)Amortized Cost by Origination Year
Regulatory Rating:
2025(1)
2024202320222021PriorTotal
CRE
Pass$593 $1,033 $1,292 $1,602 $513 $1,168 $6,201 
Special mention10 — 157 770 193 199 1,329 
Substandard— — 28 387 102 289 806 
Doubtful— — — — — 32 32 
Total CRE$603 $1,033 $1,477 $2,759 $808 $1,688 $8,368 
Current period gross write-offs - CRE$— $— $— $— $9 $49 $58 
C&I
Pass$777 $903 $465 $1,031 $556 $2,335 $6,067 
Special mention64 20 90 42 99 168 483 
Substandard— 45 68 109 77 255 554 
N/A(3)
352 262 119 90 30 5 858 
Total C&I$1,193 $1,230 $742 $1,272 $762 $2,763 $7,962 
Current period gross write-offs - C&I$3 $14 $13 $14 $5 $15 $64 
Multifamily
Pass$832 $63 $488 $2,944 $1,385 $2,299 $8,011 
Special mention— — 139 126 61 127 453 
Substandard— — 120 411 223 384 1,138 
Total multifamily$832 $63 $747 $3,481 $1,669 $2,810 $9,602 
Current period gross write-offs - Multifamily$— $— $— $3 $1 $11 $15 
Remaining commercial
Pass$4,278 $1,341 $788 $625 $341 $872 $8,245 
Substandard— 1 — 1 1 1 4 
Total remaining commercial$4,278 $1,342 $788 $626 $342 $873 $8,249 
Current period gross write-offs - Remaining commercial$— $— $— $— $— $7 $7 
Total commercial loans
Pass$6,480 $3,340 $3,033 $6,202 $2,795 $6,674 $28,524 
Special mention74 20 386 938 353 494 2,265 
Substandard— 46 216 908 403 929 2,502 
Doubtful— — — — — 32 32 
N/A(3)
352 262 119 90 30 5 858 
Total commercial loans$6,906 $3,668 $3,754 $8,138 $3,581 $8,134 $34,181 
Current period gross write-offs - Total commercial$3 $14 $13 $17 $15 $82 $144 
(1)Loans originated during the year ended December 31, 2025.
(2)Includes $373 million of LHFS at December 31, 2025.
(3)Not subject to internal risk rating process.
NOTE 3. LOANS AND ALLOWANCE FOR CREDIT LOSSES (continued)

Consumer Lending Asset Quality Indicators-Credit Score

Consumer financing receivables for which either an internal or external credit score is a core component of the allowance model are summarized by credit score determined at origination as follows:

RICs and Auto Loans

As of September 30, 2026
RICs and auto loans
(dollars in millions)
Amortized Cost by Origination Year (3)
Credit Score Range
2026(1)
2025202420232022PriorTotalPercent
No FICO (2)
$1,187 $846 $500 $215 $137 $52 $2,937 6.7 %
<6005,854 4,947 2,991 1,578 892 424 16,686 37.8 %
600-6392,452 2,380 1,684 903 536 194 8,149 18.5 %
640-6791,369 1,370 1,193 570 340 114 4,956 11.3 %
680-719940 822 802 425 233 119 3,341 7.6 %
720-759580 458 524 277 169 109 2,117 4.8 %
>=760
2,514 1,073 1,249 430 333 249 5,848 13.3 %
Total$14,896 $11,896 $8,943 $4,398 $2,640 $1,261 $44,034 100.0 %
Current period gross write-offs - RICs and auto loans$156 $1,095 $951 $573 $325 $162 $3,262 
(1)    Loans originated during the nine months ended September 30, 2026.
(2)     Consists primarily of loans for which credit scores are not available or are not considered in the ALLL model.
(3)    Excludes LHFS.

As of December 31, 2025
RICs and auto loans
(dollars in millions)
Amortized Cost by Origination Year (3)
Credit Score Range
2025(1)
2024202320222021PriorTotalPercent
No FICO (2)
$1,295 $787 $338 $238 $88 $44 $2,790 6.5 %
<6006,495 4,231 2,372 1,493 614 348 15,553 36.4 %
600-6393,189 2,411 1,374 900 303 126 8,303 19.4 %
640-6791,867 1,711 864 571 176 70 5,259 12.3 %
680-7191,130 1,148 645 395 172 85 3,575 8.4 %
720-759616 739 418 293 166 75 2,307 5.4 %
>=7601,364 1,707 666 616 436 160 4,949 11.6 %
Total$15,956 $12,734 $6,677 $4,506 $1,955 $908 $42,736 100.0 %
Current period gross write-offs - RICs and auto loans$436 $1,606 $1,143 $776 $271 $164 $4,396 
(1)    Loans originated during the year ended December 31, 2025.
(2)     Consists primarily of loans for which credit scores are not available or are not considered in the ALLL model.
(3)    Excludes LHFS.
NOTE 3. LOANS AND ALLOWANCE FOR CREDIT LOSSES (continued)

Personal Unsecured Loans

As of September 30, 2026
Personal Unsecured loans
(dollars in millions)
Amortized Cost by Origination Year(3)
Credit Score Range
2026(1)
2025202420232022PriorTotalPercent
No FICO (2)
$24 $3 $4 $1 $— $2 $34 6.7 %
<600— — — — — 4 4 0.8 %
600-6391 1 1 1 1 4 9 1.8 %
640-6793 4 4 5 5 28 49 9.7 %
680-7196 11 11 14 12 59 113 22.3 %
720-75910 15 13 15 16 60 129 25.5 %
>=760
18 22 17 16 16 79 168 33.2 %
Total$62 $56 $50 $52 $50 $236 $506 100.0 %
Current period gross write-offs - personal unsecured loans$— $7 $13 $13 $7 $10 $50 
(1)    Loans originated during the nine months ended September 30, 2026.
(2)     Consists primarily of loans for which credit scores are not available or are not considered in the ALLL model.
(3)    Excludes LHFS.

As of December 31, 2025
Personal Unsecured loans
(dollars in millions)
Amortized Cost by Origination Year(3)
Credit Score Range
2025(1)
2024202320222021PriorTotalPercent
No FICO (2)
$13 $— $— $— $— $— $13 2.6 %
<600— — — — — 3 3 0.6 %
600-6391 1 1 1 — 5 9 1.8 %
640-6793 5 7 7 2 27 51 10.4 %
680-71911 16 20 16 5 57 125 25.4 %
720-75916 17 21 22 7 57 140 28.5 %
>=76026 20 17 19 7 62 151 30.6 %
Total$70 $59 $66 $65 $21 $211 $492 100.0 %
Current period gross write-offs - personal unsecured loans$7 $38 $68 $31 $6 $15 $165 
(1)    Loans originated during the year ended December 31, 2025.
(2)     Consists primarily of loans for which credit scores are not available or are not considered in the ALLL model.
(3)    Excludes LHFS.
NOTE 3. LOANS AND ALLOWANCE FOR CREDIT LOSSES (continued)

Consumer Lending Asset Quality Indicators-FICO and LTV Ratio

For both residential and home equity loans, loss severity assumptions are incorporated in the loan and lease loss reserve models to estimate loan balances that will ultimately charge off. These assumptions are based on recent loss experience within various current LTV bands within these portfolios. LTVs are refreshed quarterly by applying Federal Housing Finance Agency Home price index changes at a state-by-state level to the last known appraised value of the property to estimate the current LTV. The Company's CECL loss calculation incorporates the refreshed LTV information to update the distribution of defaulted loans by LTV as well as the associated LGD for each LTV band. Reappraisals on a recurring basis at the individual property level are not considered cost-effective or necessary; however, reappraisals are performed on certain higher risk accounts to support line management activities, default servicing decisions, or when other situations arise for which, the Company believes the additional expense is warranted.

FICO scores are refreshed quarterly, where possible. The indicators disclosed represent the credit scores for loans as of the date presented based on the most recent assessment performed.

Residential mortgage and home equity financing receivables by LTV and FICO range are summarized as follows:
As of September 30, 2026
Amortized Cost by Origination Year (3)
(in millions)
Residential mortgages
2026
2025
202420232022PriorGrand TotalRevolving Loans
LTV ratios (2)
No LTV available (1)
$— $— $— $5 $74 $252 $331 $— 
<= 70%176 362 199 85 500 4,729 6,051 — 
70.01% - 110%587 1,024 719 420 1,097 2,157 6,004 — 
Greater than 110%— — — — — 1 1 — 
Total residential mortgages$763 $1,386 $918 $510 $1,671 $7,139 $12,387 $— 
FICO scores
No FICO score available$— $— $— $5 $74 $251 $330 $— 
<600— — — — 12 174 186 — 
600-6792 4 2 4 28 384 424 — 
680-759201 331 248 157 521 2,075 3,533 — 
>=760560 1,051 668 344 1,036 4,255 7,914 — 
Total residential mortgages$763 $1,386 $918 $510 $1,671 $7,139 $12,387 $— 
Current period gross write-offs - residential mortgages$— $— $— $— $— $2 $2 
Home equity
LTV ratios
No LTV available (1)
$1 $3 $2 $3 $3 $89 $101 $69 
<= 70%62 92 75 81 127 1,762 2,199 1,933 
70.01% - 110%19 40 34 43 87 284 507 408 
Greater than 110%— — — — — 3 3 3 
Total home equity$82 $135 $111 $127 $217 $2,138 $2,810 $2,413 
FICO scores
No FICO score available$— $1 $— $— $1 $41 $43 $25 
<600— — — — 1 109 110 98 
600-6793 5 6 6 7 220 247 218 
680-75929 48 46 49 75 694 941 797 
>=76050 81 59 72 133 1,074 1,469 1,275 
Total home equity$82 $135 $111 $127 $217 $2,138 $2,810 $2,413 
Current period gross write-offs - home equity$— $— $— $— $— $6 $6 
(1) Balances in the "No LTV available" or "No FICO score available" ranges primarily represent loans serviced by others, in run-off portfolios or for which a current LTV or FICO score is unavailable.
(2) The ALLL model considers LTV for financing receivables in first lien position and CLTV for financing receivables in second lien position for the Company.
(3) Excludes LHFS.
NOTE 3. LOANS AND ALLOWANCE FOR CREDIT LOSSES (continued)

As of December 31, 2025
Amortized Cost by Origination Year (4)
(in millions)
Residential mortgages
2025(1)
2024(1)
2023(1)
20222021PriorGrand TotalRevolving Loans
LTV ratios (2)
No LTV available (1)
$— $— $— $— $— $2 $2 $— 
<= 70%— — — 214 970 2,824 4,008 — 
70.01% - 110%— — — 27 — 2 29 — 
Greater than 110%— — — — — — — — 
Total residential mortgages$— $— $— $241 $970 $2,828 $4,039 $— 
No FICO score available$— $— $— $— $— $2 $2 $— 
<600— — — 12 23 153 188 — 
600-679— — — 22 48 217 287 — 
680-759— — — 58 198 689 945 — 
>=760— — — 149 701 1,767 2,617 — 
Total residential mortgages$— $— $— $241 $970 $2,828 $4,039 $— 
Current period gross write-offs - residential mortgages$— $— $— $— $— $— $— 
Home equity
LTV ratios
No LTV available (1)
$— $— $— $1 $3 $44 $48 $30 
<= 70%— — — 37 144 1,561 1,742 1,681 
70.01% - 110%— — — 3 1 2 6 5 
Greater than 110%— — — — — 1 1 1 
Total home equity$— $— $— $41 $148 $1,608 $1,797 $1,717 
FICO scores
No FICO score available$— $— $— $— $2 $42 $44 $26 
<600— — — 1 7 123 131 114 
600-679— — — 3 12 188 203 189 
680-759— — — 13 47 492 552 539 
>=760— — — 24 80 763 867 849 
Total home equity$— $— $— $41 $148 $1,608 $1,797 $1,717 
Current period gross write-offs - home equity$— $— $— $— $— $2 $2 
(1) Prior to the acquisition of Webster, the Company ceased origination of new residential mortgage and home equity loans in 2022.
(2) Balances in the "No LTV available" or "No FICO score available" ranges primarily represent loans serviced by others, in run-off portfolios or for which a current LTV or FICO score is unavailable.
(3) The ALLL model considers LTV for financing receivables in first lien position and CLTV for financing receivables in second lien position for the Company.
(4) Excludes LHFS.
NOTE 3. LOANS AND ALLOWANCE FOR CREDIT LOSSES (continued)
NOTE 3. LOANS AND ALLOWANCE FOR CREDIT LOSSES (continued)

The following table shows the amortized cost basis at the end of the reporting period for loans modified during the reporting period to borrowers experiencing financial difficulty, disaggregated by class of financing receivable and type of modification granted.

Amortized Cost
Three months ended
Three months ended
September 30, 2026September 30, 2025
(dollars in millions):Payment Deferral OnlyAll Other ModificationsTotal% of Total Class of Financing ReceivablePayment Deferral OnlyAll Other ModificationsTotal% of Total Class of Financing Receivable
Commercial:
CRE$420 $— $420 1.80 %$278 $54 $332 3.80 %
C&I111 316 427 1.32 %16 11 27 0.35 %
Multifamily65 17 82 0.48 %117 68 185 1.86 %
Consumer:
Residential mortgages— 1 1 0.01 %— 2 2 0.02 %
Home equity loans and lines of credit — — — — %— 1 1 0.05 %
RICs and auto loans410 38 448 1.02 %406 42 448 1.04 %
Total$1,006 $372 $1,378 0.96 %$817 $178 $995 1.15 %
Amortized Cost
Nine months ended
Nine months ended
September 30, 2026September 30, 2025
(dollars in millions):Payment Deferral OnlyAll Other ModificationsTotal% of Total Class of Financing ReceivablePayment Deferral OnlyAll Other ModificationsTotal% of Total Class of Financing Receivable
Commercial:
CRE$974 $189 $1,163 5.00 %$671 $160 $831 9.51 %
C&I112 356 468 1.45 %24 29 53 0.67 %
Multifamily244 55 299 1.76 %142 74 216 2.17 %
Consumer:
Residential mortgages— 7 7 0.05 %— 2 2 0.03 %
Home equity loans and lines of credit— 3 3 0.11 %— 2 2 0.12 %
RICs and auto loans1,040 86 1,126 2.56 %913 86 999 2.33 %
Total$2,370 $696 $3,066 2.13 %$1,750 $353 $2,103 2.44 %
NOTE 3. LOANS AND ALLOWANCE FOR CREDIT LOSSES (continued)