Outstanding Loans and Leases and Allowance for Credit Losses (Tables)

v3.24.2

Outstanding Loans and Leases and Allowance for Credit Losses (Tables)	6 Months Ended
	Jun. 30, 2024
Receivables [Abstract]
Schedule of Loans and Leases Outstanding	The following tables present total outstanding loans and leases and an aging analysis for the Consumer Real Estate, Credit Card and Other Consumer, and Commercial portfolio segments, by class of financing receivables, at June 30, 2024 and December 31, 2023. 30-59 Days  Past Due (1) 60-89 Days  Past Due (1) 90 Days or More Past Due (1) Total Past Due 30 Days or More Total  Current or  Less Than  30 Days  Past Due (1) Loans  Accounted  for Under  the Fair  Value  Option Total Outstandings (Dollars in millions) June 30, 2024 Consumer real estate             Residential mortgage $ 1,258  $ 229  $ 742  $ 2,229  $ 225,641  $ 227,870  Home equity 88  34  134  256  25,186  25,442  Credit card and other consumer Credit card 674  484  1,257  2,415  97,035  99,450  Direct/Indirect consumer (2) 310  100  86  496  103,338  103,834  Other consumer —  —  —  —  117  117  Total consumer 2,330  847  2,219  5,396  451,317  456,713  Consumer loans accounted for under the fair value option (3) $ 231  231  Total consumer loans and leases 2,330  847  2,219  5,396  451,317  231  456,944  Commercial U.S. commercial 434  127  215  776  368,363  369,139  Non-U.S. commercial 91  5  4  100  122,083  122,183  Commercial real estate (4) 286  158  758  1,202  69,082  70,284  Commercial lease financing 19  11  23  53  14,821  14,874  U.S. small business commercial 173  78  190  441  19,954  20,395  Total commercial 1,003  379  1,190  2,572  594,303  596,875  Commercial loans accounted for under the fair value option (3) 2,966  2,966  Total commercial loans and leases 1,003  379  1,190  2,572  594,303  2,966  599,841  Total loans and leases (5) $ 3,333  $ 1,226  $ 3,409  $ 7,968  $ 1,045,620  $ 3,197  $ 1,056,785  Percentage of outstandings 0.32  % 0.12  % 0.32  % 0.76  % 98.94  % 0.30  % 100.00  % (1)Consumer real estate loans 30-59 days past due includes fully-insured loans of $191 million and nonperforming loans of $192 million. Consumer real estate loans 60-89 days past due includes fully-insured loans of $63 million and nonperforming loans of $89 million. Consumer real estate loans 90 days or more past due includes fully-insured loans of $211 million and nonperforming loans of $665 million. Consumer real estate loans current or less than 30 days past due includes $1.6 billion, and direct/indirect consumer includes $47 million of nonperforming loans. (2)Total outstandings primarily includes auto and specialty lending loans and leases of $53.6 billion, U.S. securities-based lending loans of $46.7 billion and non-U.S. consumer loans of $2.8 billion. (3)Consumer loans accounted for under the fair value option includes residential mortgage loans of $63 million and home equity loans of $168 million. Commercial loans accounted for under the fair value option includes U.S. commercial loans of $2.0 billion and non-U.S. commercial loans of $945 million. For more information, see Note 14 – Fair Value Measurements and Note 15 – Fair Value Option. (4)Total outstandings includes U.S. commercial real estate loans of $64.4 billion and non-U.S. commercial real estate loans of $5.9 billion. (5)Total outstandings includes loans and leases pledged as collateral of $33.9 billion. The Corporation also pledged $316.6 billion of loans with no related outstanding borrowings to secure potential borrowing capacity with the Federal Reserve Bank and Federal Home Loan Bank. 30-59 Days Past Due (1) 60-89 Days  Past Due (1) 90 Days or More Past Due (1) Total Past Due 30 Days or More Total Current or Less Than 30 Days Past Due (1) Loans Accounted for Under the Fair Value Option Total Outstandings (Dollars in millions) December 31, 2023 Consumer real estate             Residential mortgage $ 1,177  $ 302  $ 829  $ 2,308  $ 226,095  $ 228,403  Home equity 90  38  161  289  25,238  25,527  Credit card and other consumer           Credit card 680  515  1,224  2,419  99,781    102,200  Direct/Indirect consumer (2) 306  99  91  496  102,972    103,468  Other consumer  —  —  —  —  124    124  Total consumer 2,253  954  2,305  5,512  454,210  459,722  Consumer loans accounted for under the fair value option (3) $ 243  243  Total consumer loans and leases 2,253  954  2,305  5,512  454,210  243  459,965  Commercial               U.S. commercial 477  96  225  798  358,133    358,931  Non-U.S. commercial 86  21  64  171  124,410    124,581  Commercial real estate (4) 247  133  505  885  71,993    72,878  Commercial lease financing 44  8  24  76  14,778    14,854  U.S. small business commercial 166  89  184  439  18,758    19,197  Total commercial 1,020  347  1,002  2,369  588,072    590,441  Commercial loans accounted for under the fair value option (3) 3,326  3,326  Total commercial loans and leases 1,020  347  1,002  2,369  588,072  3,326  593,767  Total loans and leases (5) $ 3,273  $ 1,301  $ 3,307  $ 7,881  $ 1,042,282  $ 3,569  $ 1,053,732  Percentage of outstandings 0.31  % 0.12  % 0.31  % 0.75  % 98.91  % 0.34  % 100.00  % (1)Consumer real estate loans 30-59 days past due includes fully-insured loans of $198 million and nonperforming loans of $150 million. Consumer real estate loans 60-89 days past due includes fully-insured loans of $77 million and nonperforming loans of $102 million. Consumer real estate loans 90 days or more past due includes fully-insured loans of $252 million and nonperforming loans of $738 million. Consumer real estate loans current or less than 30 days past due includes $1.6 billion, and direct/indirect consumer includes $39 million of nonperforming loans. (2)Total outstandings primarily includes auto and specialty lending loans and leases of $53.9 billion, U.S. securities-based lending loans of $46.0 billion and non-U.S. consumer loans of $2.8 billion. (3)Consumer loans accounted for under the fair value option includes residential mortgage loans of $66 million and home equity loans of $177 million. Commercial loans accounted for under the fair value option includes U.S. commercial loans of $2.2 billion and non-U.S. commercial loans of $1.2 billion. For more information, see Note 14 – Fair Value Measurements and Note 15 – Fair Value Option. (4)Total outstandings includes U.S. commercial real estate loans of $66.8 billion and non-U.S. commercial real estate loans of $6.1 billion. (5)Total outstandings includes loans and leases pledged as collateral of $33.7 billion. The Corporation also pledged $246.0 billion of loans with no related outstanding borrowings to secure potential borrowing capacity with the Federal Reserve Bank and Federal Home Loan Bank.
Schedule of Financing Receivables, Non Accrual Status	The following table presents the Corporation’s nonperforming loans and leases and loans accruing past due 90 days or more at June 30, 2024 and December 31, 2023. Nonperforming loans held-for-sale (LHFS) are excluded from nonperforming loans and leases as they are recorded at either fair value or the lower of cost or fair value. For more information on the criteria for classification as nonperforming, see Note 1 – Summary of Significant Accounting Principles to the Consolidated Financial Statements of the Corporation’s 2023 Annual Report on Form 10-K. Credit Quality Nonperforming Loans and Leases Accruing Past Due 90 Days or More (Dollars in millions) June 30 2024 December 31 2023 June 30 2024 December 31 2023 Residential mortgage (1) $ 2,097  $ 2,114  $ 211  $ 252  With no related allowance (2) 1,952  1,974  —  —  Home equity (1) 422  450  —  —  With no related allowance (2) 352  375  —  —  Credit Card             n/a             n/a 1,257  1,224  Direct/indirect consumer 152  148  6  2  Total consumer 2,671  2,712  1,474  1,478  U.S. commercial 700  636  68  51  Non-U.S. commercial 90  175  3  4  Commercial real estate 1,971  1,927  59  32  Commercial lease financing 19  19  7  7  U.S. small business commercial 22  16  189  184  Total commercial 2,802  2,773  326  278  Total nonperforming loans $ 5,473  $ 5,485  $ 1,800  $ 1,756  Percentage of outstanding loans and leases 0.52  % 0.52  % 0.17  % 0.17  % (1)Residential mortgage loans accruing past due 90 days or more are fully-insured loans. At June 30, 2024 and December 31, 2023 residential mortgage included $125 million and $156 million of loans on which interest had been curtailed by the Federal Housing Administration (FHA), and therefore were no longer accruing interest, although principal was still insured, and $86 million and $96 million of loans on which interest was still accruing. (2)Primarily relates to loans for which the estimated fair value of the underlying collateral less any costs to sell is greater than the amortized cost of the loans as of the reporting date. n/a = not applicable
Financing Receivable Credit Quality Indicators	The following tables present certain credit quality indicators and gross charge-offs for the Corporation's Consumer Real Estate, Credit Card and Other Consumer, and Commercial portfolio segments by year of origination, except for revolving loans and revolving loans that were modified into term loans, which are shown on an aggregate basis at June 30, 2024. Residential Mortgage – Credit Quality Indicators By Vintage Term Loans by Origination Year (Dollars in millions) Total as of June 30,  2024 2024 2023 2022 2021 2020 Prior Residential Mortgage Refreshed LTV       Less than or equal to 90 percent $ 214,338  $ 8,287  $ 14,200  $ 37,386  $ 74,005  $ 33,814  $ 46,646  Greater than 90 percent but less than or equal to 100 percent 2,118  337  620  786  258  45  72  Greater than 100 percent 920  200  272  302  82  23  41  Fully-insured loans 10,494  335  240  320  3,287  2,703  3,609  Total Residential Mortgage $ 227,870  $ 9,159  $ 15,332  $ 38,794  $ 77,632  $ 36,585  $ 50,368  Residential Mortgage Refreshed FICO score Less than 620 $ 2,449  $ 75  $ 139  $ 479  $ 626  $ 406  $ 724  Greater than or equal to 620 and less than 680 4,588  127  359  888  1,181  716  1,317  Greater than or equal to 680 and less than 740 22,503  847  1,827  4,165  6,511  3,541  5,612  Greater than or equal to 740 187,836  7,775  12,767  32,942  66,027  29,219  39,106  Fully-insured loans 10,494  335  240  320  3,287  2,703  3,609  Total Residential Mortgage $ 227,870  $ 9,159  $ 15,332  $ 38,794  $ 77,632  $ 36,585  $ 50,368  Gross charge-offs for the six months ended June 30, 2024 $ 13  $ —  $ 1  $ 2  $ 2  $ 1  $ 7  Home Equity - Credit Quality Indicators Total Home Equity Loans and Reverse Mortgages (1) Revolving Loans Revolving Loans Converted to Term Loans (Dollars in millions) June 30, 2024 Home Equity Refreshed LTV       Less than or equal to 90 percent $ 25,290  $ 959  $ 20,708  $ 3,623  Greater than 90 percent but less than or equal to 100 percent 78  20  51  7  Greater than 100 percent 74  27  34  13  Total Home Equity $ 25,442  $ 1,006  $ 20,793  $ 3,643  Home Equity Refreshed FICO score Less than 620 $ 645  $ 97  $ 282  $ 266  Greater than or equal to 620 and less than 680 1,087  111  620  356  Greater than or equal to 680 and less than 740 4,293  211  3,226  856  Greater than or equal to 740 19,417  587  16,665  2,165  Total Home Equity $ 25,442  $ 1,006  $ 20,793  $ 3,643  Gross charge-offs for the six months ended June 30, 2024 $ 6  $ —  $ 3  $ 3  (1)Includes reverse mortgages of $694 million and home equity loans of $312 million, which are no longer originated. Credit Card and Direct/Indirect Consumer – Credit Quality Indicators By Vintage Direct/Indirect Term Loans by Origination Year Credit Card (Dollars in millions) Total Direct/ Indirect as of June 30, 2024 Revolving Loans 2024 2023 2022 2021 2020 Prior Total Credit Card as of June 30, 2024 Revolving Loans Revolving Loans Converted to Term Loans (1) Refreshed FICO score     Less than 620 $ 1,354  $ 11  $ 93  $ 394  $ 441  $ 287  $ 66  $ 62  $ 5,450  $ 5,102  $ 348  Greater than or equal to 620 and less than 680 2,382  10  346  829  645  371  91  90  11,260  10,947  313  Greater than or equal to 680 and less than 740 8,022  43  1,465  2,719  2,028  1,160  326  281  33,696  33,424  272  Greater than or equal to 740 42,000  68  9,183  13,722  9,753  5,576  1,948  1,750  49,044  48,984  60  Other internal credit    metrics (2,3) 50,076  49,487  70  55  159  68  37  200  —  —  —  Total credit card and other    consumer $ 103,834  $ 49,619  $ 11,157  $ 17,719  $ 13,026  $ 7,462  $ 2,468  $ 2,383  $ 99,450  $ 98,457  $ 993  Gross charge-offs for the six    months ended June 30, 2024 $ 191  $ 3  $ 5  $ 70  $ 59  $ 29  $ 7  $ 18  $ 2,151  $ 2,063  $ 88  (1)Represents loans that were modified into term loans. (2)Other internal credit metrics may include delinquency status, geography or other factors. (3)Direct/indirect consumer includes $49.5 billion of securities-based lending, which is typically supported by highly liquid collateral with market value greater than or equal to the outstanding loan balance and therefore has minimal credit risk at June 30, 2024. Commercial – Credit Quality Indicators By Vintage (1) Term Loans Amortized Cost Basis by Origination Year (Dollars in millions) Total as of June 30, 2024 2024 2023 2022 2021 2020 Prior Revolving Loans U.S. Commercial Risk ratings         Pass rated $ 356,198  $ 19,304  $ 37,676  $ 37,500  $ 23,372  $ 11,968  $ 37,546  $ 188,832  Reservable criticized 12,941  23  664  1,222  949  413  1,628  8,042  Total U.S. Commercial $ 369,139  $ 19,327  $ 38,340  $ 38,722  $ 24,321  $ 12,381  $ 39,174  $ 196,874  Gross charge-offs for the six months ended    June 30, 2024 $ 174  $ 1  $ 12  $ 51  $ 6  $ 3  $ 6  $ 95  Non-U.S. Commercial Risk ratings Pass rated $ 120,532  $ 8,476  $ 15,338  $ 13,013  $ 13,995  $ 1,337  $ 7,228  $ 61,145  Reservable criticized 1,651  —  91  97  222  18  134  1,089  Total Non-U.S. Commercial $ 122,183  $ 8,476  $ 15,429  $ 13,110  $ 14,217  $ 1,355  $ 7,362  $ 62,234  Gross charge-offs for the six months ended    June 30, 2024 $ 1  $ —  $ —  $ —  $ —  $ —  $ —  $ 1  Commercial Real Estate Risk ratings Pass rated $ 61,996  $ 2,810  $ 4,905  $ 14,187  $ 11,244  $ 3,327  $ 14,965  $ 10,558  Reservable criticized 8,288  —  174  1,261  1,806  572  4,039  436  Total Commercial Real Estate $ 70,284  $ 2,810  $ 5,079  $ 15,448  $ 13,050  $ 3,899  $ 19,004  $ 10,994  Gross charge-offs for the six months ended    June 30, 2024 $ 582  $ —  $ —  $ 57  $ 7  $ 62  $ 435  $ 21  Commercial Lease Financing Risk ratings Pass rated $ 14,663  $ 1,699  $ 3,912  $ 2,706  $ 2,116  $ 1,293  $ 2,937  $ —  Reservable criticized 211  1  39  44  32  25  70  —  Total Commercial Lease Financing $ 14,874  $ 1,700  $ 3,951  $ 2,750  $ 2,148  $ 1,318  $ 3,007  $ —  Gross charge-offs for the six months ended    June 30, 2024 $ 1  $ —  $ —  $ —  $ 1  $ —  $ —  $ —  U.S. Small Business Commercial (2) Risk ratings Pass rated $ 9,380  $ 909  $ 1,911  $ 1,745  $ 1,410  $ 719  $ 2,248  $ 438  Reservable criticized 423  3  36  97  122  27  134  4  Total U.S. Small Business Commercial $ 9,803  $ 912  $ 1,947  $ 1,842  $ 1,532  $ 746  $ 2,382  $ 442  Gross charge-offs for the six months ended    June 30, 2024 $ 14  $ —  $ —  $ —  $ —  $ 4  $ 4  $ 6  Total $ 586,283  $ 33,225  $ 64,746  $ 71,872  $ 55,268  $ 19,699  $ 70,929  $ 270,544  Gross charge-offs for the six months ended    June 30, 2024 $ 772  $ 1  $ 12  $ 108  $ 14  $ 69  $ 445  $ 123  (1)Excludes $3.0 billion of loans accounted for under the fair value option at June 30, 2024. (2)Excludes U.S. Small Business Card loans of $10.6 billion. Refreshed FICO scores for this portfolio are $619 million for less than 620; $1.1 billion for greater than or equal to 620 and less than 680; $2.9 billion for greater than or equal to 680 and less than 740; and $5.9 billion greater than or equal to 740. Excludes U.S. Small Business Card loans gross charge-offs of $234 million. The following tables present certain credit quality indicators for the Corporation's Consumer Real Estate, Credit Card and Other Consumer, and Commercial portfolio segments by year of origination, except for revolving loans and revolving loans that were modified into term loans, which are shown on an aggregate basis at December 31, 2023. Residential Mortgage – Credit Quality Indicators By Vintage Term Loans by Origination Year (Dollars in millions) Total as of  December 31,  2023 2023 2022 2021 2020 2019 Prior Residential Mortgage Refreshed LTV Less than or equal to 90 percent $ 214,661  $ 15,224  $ 38,225  $ 76,229  $ 35,072  $ 17,432  $ 32,479  Greater than 90 percent but less than or equal to 100 percent 1,994  698  911  286  53  25  21  Greater than 100 percent 785  264  342  100  31  14  34  Fully-insured loans 10,963  540  350  3,415  2,834  847  2,977  Total Residential Mortgage $ 228,403  $ 16,726  $ 39,828  $ 80,030  $ 37,990  $ 18,318  $ 35,511  Residential Mortgage Refreshed FICO score Less than 620 $ 2,335  $ 115  $ 471  $ 589  $ 402  $ 136  $ 622  Greater than or equal to 620 and less than 680 4,671  359  919  1,235  777  296  1,085  Greater than or equal to 680 and less than 740 23,357  1,934  4,652  6,988  3,742  1,836  4,205  Greater than or equal to 740 187,077  13,778  33,436  67,803  30,235  15,203  26,622  Fully-insured loans 10,963  540  350  3,415  2,834  847  2,977  Total Residential Mortgage $ 228,403  $ 16,726  $ 39,828  $ 80,030  $ 37,990  $ 18,318  $ 35,511  Gross charge-offs for the year ended December 31, 2023 $ 67  $ —  $ 7  $ 12  $ 6  $ 2  $ 40  Home Equity - Credit Quality Indicators Total Home Equity Loans and Reverse Mortgages (1) Revolving Loans Revolving Loans Converted to Term Loans (Dollars in millions) December 31, 2023 Home Equity Refreshed LTV Less than or equal to 90 percent $ 25,378  $ 1,051  $ 20,380  $ 3,947  Greater than 90 percent but less than or equal to 100 percent 61  17  35  9  Greater than 100 percent 88  35  36  17  Total Home Equity $ 25,527  $ 1,103  $ 20,451  $ 3,973  Home Equity Refreshed FICO score Less than 620 $ 654  $ 123  $ 253  $ 278  Greater than or equal to 620 and less than 680 1,107  118  589  400  Greater than or equal to 680 and less than 740 4,340  240  3,156  944  Greater than or equal to 740 19,426  622  16,453  2,351  Total Home Equity $ 25,527  $ 1,103  $ 20,451  $ 3,973  Gross charge-offs for the year ended December 31, 2023 $ 36  $ 4  $ 21  $ 11  (1)Includes reverse mortgages of $763 million and home equity loans of $340 million, which are no longer originated. Credit Card and Direct/Indirect Consumer – Credit Quality Indicators By Vintage Direct/Indirect Term Loans by Origination Year Credit Card (Dollars in millions) Total Direct/Indirect as of December 31, 2023 Revolving Loans 2023 2022 2021 2020 2019 Prior Total Credit Card as of December 31, 2023 Revolving Loans Revolving Loans Converted to Term Loans (1) Refreshed FICO score Less than 620 $ 1,246  $ 11  $ 292  $ 428  $ 336  $ 85  $ 55  $ 39  $ 5,338  $ 5,030  $ 308  Greater than or equal to 620 and less than 680 2,506  11  937  799  501  121  73  64  11,623  11,345  278  Greater than or equal to 680 and less than 740 8,629  48  3,451  2,582  1,641  462  244  201  34,777  34,538  239  Greater than or equal to 740 41,656  74  16,761  11,802  7,643  2,707  1,417  1,252  50,462  50,410  52  Other internal credit    metrics (2, 3) 49,431  48,764  106  183  110  53  57  158  —  —  —  Total credit card and other    consumer $ 103,468  $ 48,908  $ 21,547  $ 15,794  $ 10,231  $ 3,428  $ 1,846  $ 1,714  $ 102,200  $ 101,323  $ 877  Gross charge-offs for the year    ended December 31, 2023 $ 233  $ 5  $ 32  $ 95  $ 53  $ 15  $ 10  $ 23  $ 3,133  $ 3,013  $ 120  (1)Represents loans that were modified into term loans. (2)Other internal credit metrics may include delinquency status, geography or other factors. (3)Direct/indirect consumer includes $48.8 billion of securities-based lending, which is typically supported by highly liquid collateral with market value greater than or equal to the outstanding loan balance and therefore has minimal credit risk at December 31, 2023. Commercial – Credit Quality Indicators By Vintage (1) Term Loans Amortized Cost Basis by Origination Year (Dollars in millions) Total as of December 31, 2023 2023 2022 2021 2020 2019 Prior Revolving Loans U.S. Commercial Risk ratings         Pass rated $ 347,563  $ 41,842  $ 43,290  $ 27,738  $ 13,495  $ 11,772  $ 29,923  $ 179,503  Reservable criticized 11,368  278  1,316  708  363  537  1,342  6,824  Total U.S. Commercial $ 358,931  $ 42,120  $ 44,606  $ 28,446  $ 13,858  $ 12,309  $ 31,265  $ 186,327  Gross charge-offs for the year ended    December 31, 2023 $ 191  $ 5  $ 38  $ 29  $ 4  $ 2  $ 27  $ 86  Non-U.S. Commercial Risk ratings Pass rated $ 122,931  $ 17,053  $ 15,810  $ 15,256  $ 2,405  $ 2,950  $ 5,485  $ 63,972  Reservable criticized 1,650  50  184  294  90  158  74  800  Total Non-U.S. Commercial $ 124,581  $ 17,103  $ 15,994  $ 15,550  $ 2,495  $ 3,108  $ 5,559  $ 64,772  Gross charge-offs for the year ended    December 31, 2023 $ 37  $ —  $ —  $ 8  $ 7  $ 1  $ —  $ 21  Commercial Real Estate Risk ratings Pass rated $ 64,150  $ 4,877  $ 16,147  $ 11,810  $ 4,026  $ 7,286  $ 10,127  $ 9,877  Reservable criticized 8,728  134  749  1,728  782  2,132  2,794  409  Total Commercial Real Estate $ 72,878  $ 5,011  $ 16,896  $ 13,538  $ 4,808  $ 9,418  $ 12,921  $ 10,286  Gross charge-offs for the year ended    December 31, 2023 $ 254  $ 2  $ —  $ 4  $ —  $ 59  $ 189  $ —  Commercial Lease Financing Risk ratings Pass rated $ 14,688  $ 4,188  $ 3,077  $ 2,373  $ 1,349  $ 1,174  $ 2,527  $ —  Reservable criticized 166  9  22  46  16  32  41  —  Total Commercial Lease Financing $ 14,854  $ 4,197  $ 3,099  $ 2,419  $ 1,365  $ 1,206  $ 2,568  $ —  Gross charge-offs for the year ended    December 31, 2023 $ 2  $ —  $ —  $ 1  $ 1  $ —  $ —  $ —  U.S. Small Business Commercial (2) Risk ratings Pass rated $ 9,031  $ 1,886  $ 1,830  $ 1,550  $ 836  $ 721  $ 1,780  $ 428  Reservable criticized 384  6  64  95  40  63  113  3  Total U.S. Small Business Commercial $ 9,415  $ 1,892  $ 1,894  $ 1,645  $ 876  $ 784  $ 1,893  $ 431  Gross charge-offs for the year ended    December 31, 2023 $ 43  $ 1  $ 2  $ 2  $ 19  $ 3  $ 4  $ 12   Total $ 580,659  $ 70,323  $ 82,489  $ 61,598  $ 23,402  $ 26,825  $ 54,206  $ 261,816  Gross charge-offs for the year ended    December 31, 2023 $ 527  $ 8  $ 40  $ 44  $ 31  $ 65  $ 220  $ 119  (1) Excludes $3.3 billion of loans accounted for under the fair value option at December 31, 2023. (2) Excludes U.S. Small Business Card loans of $9.8 billion. Refreshed FICO scores for this portfolio are $530 million for less than 620; $1.1 billion for greater than or equal to 620 and less than 680; $2.7 billion for greater than or equal to 680 and less than 740; and $5.5 billion greater than or equal to 740. Excludes U.S. Small Business Card loans gross charge-offs of $317 million.
Troubled Debt Restructurings on Financing Receivables	The table below provides the ending amortized cost of the Corporation’s modified consumer real estate loans for the three and six months ended June 30, 2024 and 2023. Consumer Real Estate - Modifications to Borrowers in Financial Difficulty Forbearance and Other Payment Plans Permanent Modification Total Forbearance and Other Payment Plans Permanent Modification Total (Dollars in millions) Three Months Ended June 30, 2024 Six Months Ended June 30, 2024 Residential Loans $ 22  $ 73  $ 95  $ 38  $ 126  $ 164  Home Equity —  10  10  —  18  18  Total $ 22  $ 83  $ 105  $ 38  $ 144  $ 182  Three Months Ended June 30, 2023 Six Months Ended June 30, 2023 Residential Loans $ 276  $ 44  $ 320  $ 348  $ 88  $ 436  Home Equity 41  9  50  53  18  71  Total $ 317  $ 53  $ 370  $ 401  $ 106  $ 507  The table below presents the financial effect of modified consumer real estate loans. Financial Effect of Modified Consumer Real Estate Loans Three Months Ended June 30 Six Months Ended June 30 2024 2023 2024 2023 Forbearance and Other Payment Plans Weighted-average duration Residential Mortgage 5 months 6 months 7 months 8 months Home Equity n/a 6 months n/a 9 months Permanent Modifications Weighted-average Term Extension Residential Mortgage 9.2 years 10.2 years 9.1 years 8.6 years Home Equity 18.4 years 16.9 years 17.4 years 15.2 years Weighted-average Interest Rate Reduction Residential Mortgage 1.34  % 1.62  % 1.32  % 1.57  % Home Equity 2.42  % 2.96  % 2.60  % 2.69  % n/a = not applicableThe table below provides aging information as of June 30, 2024 for consumer real estate loans that were modified over the last 12 months and as of June 30, 2023 for consumer real estate loans that were modified during the first half of 2023. Consumer Real Estate - Payment Status of Modifications to Borrowers in Financial Difficulty Current 30–89 Days Past Due 90+ Days Past Due Total (Dollars in millions) June 30, 2024 Residential mortgage $ 251  $ 71  $ 66  $ 388  Home equity 45  3  9  57  Total $ 296  $ 74  $ 75  $ 445  June 30, 2023 Residential mortgage $ 248  $ 105  $ 83  $ 436  Home equity 42  12  17  71  Total $ 290  $ 117  $ 100  $ 507  The table below provides the ending amortized cost of commercial loans modified during the three and six months ended June 30, 2024 and 2023. Commercial Loans - Modifications to Borrowers in Financial Difficulty Term Extension Forbearances Interest Rate Reduction Total Term Extension Forbearances Interest Rate Reduction Total (Dollars in millions) Three Months Ended June 30, 2024 Six Months Ended June 30, 2024 U.S. commercial $ 470 $ 3 $ — $ 473 $ 875 $ 9 $ — $ 884 Non-U.S. commercial 29 — — 29 29 — — 29 Commercial real estate 176 271 — 447 665 552 36 1,253 Total $ 675 $ 274 $ — $ 949 $ 1,569 $ 561 $ 36 $ 2,166 Three Months Ended June 30, 2023 Six Months Ended June 30, 2023 U.S. commercial $ 325 $ 5 $ — $ 330 $ 503 $ 64 $ — $ 567 Non-U.S. commercial 121 — — 121 132 — — 132 Commercial real estate 266 96 — 362 519 96 — 615 Total $ 712 $ 101 $ — $ 813 $ 1,154 $ 160 $ — $ 1,314 The table below provides aging information as of June 30, 2024 for commercial loans that were modified over the last 12 months and as of June 30, 2023 for commercial loans that were modified during the six months ended June 30, 2023. Commercial - Payment Status of Modified Loans to Borrowers in Financial Difficulty % of Total Class of Financing Receivable Current 30–89 Days Past Due 90+ Days Past Due Total Three Months Ended June 30, 2024 Six Months Ended June 30, 2024 (Dollars in millions) June 30, 2024 U.S. Commercial $ 1,191  $ 10  $ 12  $ 1,213 0.13  % 0.24  % Non-U.S. Commercial 177  —  —  177 0.02  0.02  Commercial Real Estate 1,322  91  268  1,681 0.64  1.78  Total $ 2,690  $ 101  $ 280  $ 3,071 0.17  0.39  Three Months Ended June 30, 2023 Six Months Ended June 30, 2023 June 30, 2023 U.S. Commercial $ 497  $ 41  $ 29  $ 567 0.09  % 0.16  % Non-U.S. Commercial 132  —  —  132 0.10  0.11  Commercial Real Estate 567  —  48  615 0.49  0.83  Total $ 1,196  $ 41  $ 77  $ 1,314 0.15  0.24
Changes in the Allowance for Credit Losses	The changes in the allowance for credit losses, including net charge-offs and provision for loan and lease losses, are detailed in the following table. Consumer Real Estate Credit Card and  Other Consumer Commercial Total (Dollars in millions) Three Months Ended June 30, 2024 Allowance for loan and lease losses, April 1 $ 355  $ 8,121  $ 4,737  $ 13,213  Loans and leases charged off (8) (1,267) (504) (1,779) Recoveries of loans and leases previously charged off 22  194  30  246  Net charge-offs 14  (1,073) (474) (1,533) Provision for loan and lease losses (22) 1,118  466  1,562  Other —  1  (5) (4) Allowance for loan and lease losses, June 30 347  8,167  4,724  13,238  Reserve for unfunded lending commitments, April 1 57  —  1,101  1,158  Provision for unfunded lending commitments (2) —  (52) (54) Reserve for unfunded lending commitments, June 30 55  —  1,049  1,104  Allowance for credit losses, June 30 $ 402  $ 8,167  $ 5,773  $ 14,342  Three Months Ended June 30, 2023 Allowance for loan and lease losses, April 1 403  6,958  5,153  12,514  Loans and leases charged off (15) (924) (186) (1,125) Recoveries of loans and leases previously charged off 29  190  37  256  Net charge-offs 14  (734) (149) (869) Provision for loan and lease losses 8  1,099  202  1,309  Other 2  —  (6) (4) Allowance for loan and lease losses, June 30 427  7,323  5,200  12,950  Reserve for unfunded lending commitments, April 1 93  —  1,344  1,437  Provision for unfunded lending commitments (7) —  (43) (50) Other —  —  1  1  Reserve for unfunded lending commitments, June 30 86  —  1,302  1,388  Allowance for credit losses, June 30 $ 513  $ 7,323  $ 6,502  $ 14,338  (Dollars in millions) Six Months Ended June 30, 2024 Allowance for loan and lease losses, January 1 $ 386  $ 8,134  $ 4,822  $ 13,342  Loans and leases charged off (19) (2,492) (1,006) (3,517) Recoveries of loans and leases previously charged off 43  381  62  486  Net charge-offs 24  (2,111) (944) (3,031) Provision for loan and lease losses (64) 2,144  852  2,932  Other 1  —  (6) (5) Allowance for loan and lease losses, June 30 347  8,167  4,724  13,238  Reserve for unfunded lending commitments, January 1 82  —  1,127  1,209  Provision for unfunded lending commitments (27) —  (78) (105) Reserve for unfunded lending commitments, June 30 55  —  1,049  1,104  Allowance for credit losses, June 30 $ 402  $ 8,167  $ 5,773  $ 14,342  Six Months Ended June 30, 2023 Allowance for loan and lease losses, December 31 $ 420  $ 6,817  $ 5,445  $ 12,682  January 1, 2023 adoption of credit loss standard (67) (109) (67) (243) Allowance for loan and lease losses, January 1 353  6,708  5,378  12,439  Loans and leases charged off (29) (1,785) (366) (2,180) Recoveries of loans and leases previously charged off 54  387  63  504  Net charge-offs 25  (1,398) (303) (1,676) Provision for loan and lease losses 42  2,012  155  2,209  Other 7  1  (30) (22) Allowance for loan and lease losses, June 30 427  7,323  5,200  12,950  Reserve for unfunded lending commitments, January 1 94  —  1,446  1,540  Provision for unfunded lending commitments (8) —  (145) (153) Other —  —  1  1  Reserve for unfunded lending commitments, June 30 86  —  1,302  1,388  Allowance for credit losses, June 30 $ 513  $ 7,323  $ 6,502  $ 14,338