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

v3.21.2

Outstanding Loans and Leases and Allowance for Credit Losses (Tables)	9 Months Ended
	Sep. 30, 2021
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 September 30, 2021 and December 31, 2020. 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) September 30, 2021 Consumer real estate             Residential mortgage $ 1,010  $ 276  $ 1,504  $ 2,790  $ 214,150  $ 216,940  Home equity 132  69  366  567  28,433  29,000  Credit card and other consumer Credit card 286  198  450  934  75,935  76,869  Direct/Indirect consumer (2) 119  31  16  166  99,679  99,845  Other consumer —  —  —  —  202  202  Total consumer 1,547  574  2,336  4,457  418,399  422,856  Consumer loans accounted for under the fair value option (3)           $ 616  616  Total consumer loans and leases 1,547  574  2,336  4,457  418,399  616  423,472  Commercial U.S. commercial 640  234  238  1,112  294,815  295,927  Non-U.S. commercial 77  48  130  255  102,595  102,850  Commercial real estate (4) 138  —  208  346  60,377  60,723  Commercial lease financing 32  33  15  80  14,964  15,044  U.S. small business commercial (5) 70  43  66  179  22,591  22,770  Total commercial 957  358  657  1,972  495,342  497,314  Commercial loans accounted for under the fair value option (3)           6,950  6,950  Total commercial loans and leases 957  358  657  1,972  495,342  6,950  504,264  Total loans and leases (6) $ 2,504  $ 932  $ 2,993  $ 6,429  $ 913,741  $ 7,566  $ 927,736  Percentage of outstandings 0.27  % 0.10  % 0.32  % 0.69  % 98.49  % 0.82  % 100.00  % (1)Consumer real estate loans 30-59 days past due includes fully-insured loans of $185 million and nonperforming loans of $116 million. Consumer real estate loans 60-89 days past due includes fully-insured loans of $97 million and nonperforming loans of $102 million. Consumer real estate loans 90 days or more past due includes fully-insured loans of $648 million. Consumer real estate loans current or less than 30 days past due includes $1.5 billion and direct/indirect consumer includes $29 million of nonperforming loans. For information on the Corporation's interest accrual policies and delinquency status for loan modifications related to the pandemic, see Note 1 – Summary of Significant Accounting Principles to the Consolidated Financial Statements of the Corporation’s 2020 Annual Report on Form 10-K. (2)Total outstandings primarily includes auto and specialty lending loans and leases of $47.2 billion, U.S. securities-based lending loans of $48.7 billion and non-U.S. consumer loans of $3.0 billion. (3)Consumer loans accounted for under the fair value option includes residential mortgage loans of $241 million and home equity loans of $375 million. Commercial loans accounted for under the fair value option includes U.S. commercial loans of $4.5 billion and non-U.S. commercial loans of $2.4 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 $56.6 billion and non-U.S. commercial real estate loans of $4.1 billion. (5)Includes Paycheck Protection Program loans. (6)Total outstandings includes loans and leases pledged as collateral of $12.8 billion. The Corporation also pledged $150.2 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, 2020 Consumer real estate             Residential mortgage $ 1,430  $ 297  $ 1,699  $ 3,426  $ 220,129  $ 223,555  Home equity 154  78  345  577  33,734  34,311  Credit card and other consumer           Credit card 445  341  903  1,689  77,019    78,708  Direct/Indirect consumer (2) 209  67  37  313  91,050    91,363  Other consumer  —  —  —  —  124    124  Total consumer 2,238  783  2,984  6,005  422,056  428,061  Consumer loans accounted for under the fair value option (3) $ 735  735  Total consumer loans and leases 2,238  783  2,984  6,005  422,056  735  428,796  Commercial               U.S. commercial 561  214  512  1,287  287,441    288,728  Non-U.S. commercial 61  44  11  116  90,344    90,460  Commercial real estate (4) 128  113  226  467  59,897    60,364  Commercial lease financing 86  20  57  163  16,935    17,098  U.S. small business commercial (5) 84  56  123  263  36,206    36,469  Total commercial 920  447  929  2,296  490,823    493,119  Commercial loans accounted for under the fair value option (3) 5,946  5,946  Total commercial loans and leases 920  447  929  2,296  490,823  5,946  499,065  Total loans and leases (6) $ 3,158  $ 1,230  $ 3,913  $ 8,301  $ 912,879  $ 6,681  $ 927,861  Percentage of outstandings 0.34  % 0.13  % 0.42  % 0.89  % 98.39  % 0.72  % 100.00  % (1)Consumer real estate loans 30-59 days past due includes fully-insured loans of $225 million and nonperforming loans of $126 million. Consumer real estate loans 60-89 days past due includes fully-insured loans of $103 million and nonperforming loans of $95 million. Consumer real estate loans 90 days or more past due includes fully-insured loans of $762 million. Consumer real estate loans current or less than 30 days past due includes $1.2 billion and direct/indirect consumer includes $66 million of nonperforming loans. For information on the Corporation's interest accrual policies and delinquency status for loan modifications related to the pandemic, see Note 1 – Summary of Significant Accounting Principles to the Consolidated Financial Statements of the Corporation’s 2020 Annual Report on Form 10-K. (2)Total outstandings primarily includes auto and specialty lending loans and leases of $46.4 billion, U.S. securities-based lending loans of $41.1 billion and non-U .S. consumer loans of $3.0 billion. (3)Consumer loans accounted for under the fair value option includes residential mortgage loans of $298 million and home equity loans of $437 million. Commercial loans accounted for under the fair value option includes U.S. commercial loans of $2.9 billion and non-U.S. commercial loans of $3.0 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 $57.2 billion and non-U.S. commercial real estate loans of $3.2 billion. (5)Includes Paycheck Protection Program loans. (6)Total outstandings includes loans and leases pledged as collateral of $15.5 billion. The Corporation also pledged $153.1 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 including nonperforming troubled debt restructurings (TDRs), and loans accruing past due 90 days or more at September 30, 2021 and December 31, 2020. 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 2020 Annual Report on Form 10-K. Credit Quality Nonperforming Loans and Leases Accruing Past Due 90 Days or More (1) (Dollars in millions) September 30 2021 December 31 2020 September 30 2021 December 31 2020 Residential mortgage (2) $ 2,296  $ 2,005  $ 648  $ 762  With no related allowance (3) 1,984  1,378  —  —  Home equity (2) 676  649  —  —  With no related allowance (3) 419  347  —  —  Credit Card n/a n/a 450  903  Direct/indirect consumer 45  71  8  33  Total consumer 3,017  2,725  1,106  1,698  U.S. commercial 909  1,243  84  228  Non-U.S. commercial 272  418  60  10  Commercial real estate 414  404  5  6  Commercial lease financing 70  87  11  25  U.S. small business commercial 32  75  64  115  Total commercial 1,697  2,227  224  384  Total nonperforming loans $ 4,714  $ 4,952  $ 1,330  $ 2,082  Percentage of outstanding loans and leases 0.51 % 0.54  % 0.14 % 0.23  % (1)For information on the Corporation's interest accrual policies and delinquency status for loan modifications related to the pandemic, see Note 1 – Summary of Significant Accounting Principles to the Consolidated Financial Statements of the Corporation’s 2020 Annual Report on Form 10-K. (2)Residential mortgage loans accruing past due 90 days or more are fully-insured loans. At September 30, 2021 and December 31, 2020 residential mortgage includes $466 million and $537 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 $182 million and $225 million of loans on which interest was still accruing. (3)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 for the Corporation's Consumer Real Estate, Credit Card and Other Consumer, and Commercial portfolio segments by class of financing receivables and year of origination for term loan balances at September 30, 2021, including revolving loans that converted to term loans without an additional credit decision after origination or through a TDR. Residential Mortgage – Credit Quality Indicators By Vintage Term Loans by Origination Year (Dollars in millions) Total as of September 30,  2021 2021 2020 2019 2018 2017 Prior Total Residential Mortgage Refreshed LTV       Less than or equal to 90 percent $ 201,127  $ 66,702  $ 48,549  $ 26,414  $ 8,448  $ 12,487  $ 38,527  Greater than 90 percent but less than or equal to 100 percent 2,388  1,327  704  169  31  24  133  Greater than 100 percent 801  451  155  57  16  14  108  Fully-insured loans 12,624  2,945  3,698  1,370  253  259  4,099  Total Residential Mortgage $ 216,940  $ 71,425  $ 53,106  $ 28,010  $ 8,748  $ 12,784  $ 42,867  Total Residential Mortgage Refreshed FICO score Less than 620 $ 2,499  $ 517  $ 480  $ 151  $ 123  $ 124  $ 1,104  Greater than or equal to 620 and less than 680 4,932  1,057  1,162  525  318  310  1,560  Greater than or equal to 680 and less than 740 23,689  6,536  5,973  2,935  1,225  1,563  5,457  Greater than or equal to 740 173,196  60,370  41,793  23,029  6,829  10,528  30,647  Fully-insured loans 12,624  2,945  3,698  1,370  253  259  4,099  Total Residential Mortgage $ 216,940  $ 71,425  $ 53,106  $ 28,010  $ 8,748  $ 12,784  $ 42,867  Home Equity - Credit Quality Indicators Total Home Equity Loans and Reverse Mortgages (1) Revolving Loans Revolving Loans Converted to Term Loans (Dollars in millions) September 30, 2021 Total Home Equity Refreshed LTV       Less than or equal to 90 percent $ 28,529  $ 1,789  $ 19,526  $ 7,214  Greater than 90 percent but less than or equal to 100 percent 192  83  47  62  Greater than 100 percent 279  105  70  104  Total Home Equity $ 29,000  $ 1,977  $ 19,643  $ 7,380  Total Home Equity Refreshed FICO score Less than 620 $ 930  $ 240  $ 214  $ 476  Greater than or equal to 620 and less than 680 1,483  230  497  756  Greater than or equal to 680 and less than 740 4,807  487  2,509  1,811  Greater than or equal to 740 21,780  1,020  16,423  4,337  Total Home Equity $ 29,000  $ 1,977  $ 19,643  $ 7,380  (1)Includes reverse mortgages of $1.3 billion and home equity loans of $646 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 September 30,  2021 Revolving Loans 2021 2020 2019 2018 2017 Prior Total Credit Card as of September 30,  2021 Revolving Loans Revolving Loans Converted to Term Loans (1) Refreshed FICO score     Less than 620 $ 677  $ 14  $ 117  $ 110  $ 139  $ 95  $ 122  $ 80  $ 2,846  $ 2,686  $ 160  Greater than or equal to 620 and less than 680 2,194  15  890  464  355  173  165  132  8,665  8,460  205  Greater than or equal to 680 and less than 740 8,083  63  3,544  1,869  1,290  565  390  362  26,939  26,740  199  Greater than or equal to 740 36,456  97  12,248  9,572  7,425  3,284  1,940  1,890  38,419  38,370  49  Other internal credit    metrics (2,3) 52,435  51,699  283  67  91  84  61  150  —  —  —  Total credit card and other    consumer $ 99,845  $ 51,888  $ 17,082  $ 12,082  $ 9,300  $ 4,201  $ 2,678  $ 2,614  $ 76,869  $ 76,256  $ 613  (1)Represents TDRs that were modified into term loans. (2)Other internal credit metrics may include delinquency status, geography or other factors. (3)Direct/indirect consumer includes $51.7 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 September 30, 2021. Commercial – Credit Quality Indicators By Vintage (1, 2) Term Loans Amortized Cost Basis by Origination Year (Dollars in millions) Total as of September 30,  2021 2021 2020 2019 2018 2017 Prior Revolving Loans U.S. Commercial Risk ratings         Pass rated $ 284,704  $ 39,184  $ 24,933  $ 25,500  $ 11,900  $ 11,207  $ 23,764  $ 148,216  Reservable criticized 11,223  461  1,082  1,491  1,730  583  1,191  4,685  Total U.S. Commercial $ 295,927  $ 39,645  $ 26,015  $ 26,991  $ 13,630  $ 11,790  $ 24,955  $ 152,901  Non-U.S. Commercial Risk ratings Pass rated $ 100,057  $ 17,768  $ 10,213  $ 7,795  $ 4,775  $ 3,633  $ 3,000  $ 52,873  Reservable criticized 2,793  188  341  616  378  200  285  785  Total Non-U.S. Commercial $ 102,850  $ 17,956  $ 10,554  $ 8,411  $ 5,153  $ 3,833  $ 3,285  $ 53,658  Commercial Real Estate Risk ratings Pass rated $ 52,861  $ 8,993  $ 7,653  $ 12,445  $ 7,021  $ 3,742  $ 7,669  $ 5,338  Reservable criticized 7,862  209  993  1,972  1,856  996  1,339  497  Total Commercial Real Estate $ 60,723  $ 9,202  $ 8,646  $ 14,417  $ 8,877  $ 4,738  $ 9,008  $ 5,835  Commercial Lease Financing Risk ratings Pass rated $ 14,640  $ 1,515  $ 2,641  $ 2,921  $ 2,203  $ 2,020  $ 3,340  $ —  Reservable criticized 404  27  11  96  71  52  147  —  Total Commercial Lease Financing $ 15,044  $ 1,542  $ 2,652  $ 3,017  $ 2,274  $ 2,072  $ 3,487  $ —  U.S. Small Business Commercial (3) Risk ratings Pass rated $ 15,149  $ 6,414  $ 4,524  $ 1,101  $ 800  $ 665  $ 1,504  $ 141  Reservable criticized 546  7  32  111  99  78  216  3  Total U.S. Small Business Commercial $ 15,695  $ 6,421  $ 4,556  $ 1,212  $ 899  $ 743  $ 1,720  $ 144   Total $ 490,239  $ 74,766  $ 52,423  $ 54,048  $ 30,833  $ 23,176  $ 42,455  $ 212,538  (1) Excludes $7.0 billion of loans accounted for under the fair value option at September 30, 2021. (2)     Includes $18 million of loans that converted from revolving to term loans. (3)     Excludes U.S. Small Business Card loans of $7.1 billion. Refreshed FICO scores for this portfolio are $188 million for less than 620; $572 million for greater than or equal to 620 and less than 680; $1.8 billion for greater than or equal to 680 and less than 740; and $4.5 billion greater than or equal to 740. 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 class of financing receivables and year of origination for term loan balances at December 31, 2020, including revolving loans that converted to term loans without an additional credit decision after origination or through a TDR. Residential Mortgage – Credit Quality Indicators By Vintage Term Loans by Origination Year (Dollars in millions) Total as of  December 31,  2020 2020 2019 2018 2017 2016 Prior Total Residential Mortgage Refreshed LTV Less than or equal to 90 percent $ 207,389  $ 68,907  $ 43,771  $ 14,658  $ 21,589  $ 22,967  $ 35,497  Greater than 90 percent but less than or equal to 100 percent 3,138  1,970  684  128  70  96  190  Greater than 100 percent 1,210  702  174  47  39  37  211  Fully-insured loans 11,818  3,826  2,014  370  342  1,970  3,296  Total Residential Mortgage $ 223,555  $ 75,405  $ 46,643  $ 15,203  $ 22,040  $ 25,070  $ 39,194  Total Residential Mortgage Refreshed FICO score Less than 620 $ 2,717  $ 823  $ 177  $ 139  $ 170  $ 150  $ 1,258  Greater than or equal to 620 and less than 680 5,462  1,804  666  468  385  368  1,771  Greater than or equal to 680 and less than 740 25,349  8,533  4,679  1,972  2,427  2,307  5,431  Greater than or equal to 740 178,209  60,419  39,107  12,254  18,716  20,275  27,438  Fully-insured loans 11,818  3,826  2,014  370  342  1,970  3,296  Total Residential Mortgage $ 223,555  $ 75,405  $ 46,643  $ 15,203  $ 22,040  $ 25,070  $ 39,194  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, 2020 Total Home Equity Refreshed LTV Less than or equal to 90 percent $ 33,447  $ 1,919  $ 22,639  $ 8,889  Greater than 90 percent but less than or equal to 100 percent 351  126  94  131  Greater than 100 percent 513  172  118  223  Total Home Equity $ 34,311  $ 2,217  $ 22,851  $ 9,243  Total Home Equity Refreshed FICO score Less than 620 $ 1,082  $ 250  $ 244  $ 588  Greater than or equal to 620 and less than 680 1,798  263  568  967  Greater than or equal to 680 and less than 740 5,762  556  2,905  2,301  Greater than or equal to 740 25,669  1,148  19,134  5,387  Total Home Equity $ 34,311  $ 2,217  $ 22,851  $ 9,243  (1)Includes reverse mortgages of $1.3 billion and home equity loans of $885 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, 2020 Revolving Loans 2020 2019 2018 2017 2016 Prior Total Credit Card as of December 31, 2020 Revolving Loans Revolving Loans Converted to Term Loans (1) Refreshed FICO score Less than 620 $ 959  $ 19  $ 111  $ 200  $ 175  $ 243  $ 148  $ 63  $ 4,018  $ 3,832  $ 186  Greater than or equal to 620 and less than 680 2,143  20  653  559  329  301  176  105  9,419  9,201  218  Greater than or equal to 680 and less than 740 7,431  80  2,848  2,015  1,033  739  400  316  27,585  27,392  193  Greater than or equal to 740 36,064  120  12,540  10,588  5,869  3,495  1,781  1,671  37,686  37,642  44  Other internal credit    metrics (2, 3) 44,766  44,098  74  115  84  67  52  276  —  —  —  Total credit card and other    consumer $ 91,363  $ 44,337  $ 16,226  $ 13,477  $ 7,490  $ 4,845  $ 2,557  $ 2,431  $ 78,708  $ 78,067  $ 641  (1)Represents TDRs that were modified into term loans. (2)Other internal credit metrics may include delinquency status, geography or other factors. (3)Direct/indirect consumer includes $44.1 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, 2020. Commercial – Credit Quality Indicators By Vintage (1, 2) Term Loans Amortized Cost Basis by Origination Year (Dollars in millions) Total as of December 31, 2020 2020 2019 2018 2017 2016 Prior Revolving Loans U.S. Commercial Risk ratings         Pass rated $ 268,812  $ 33,456  $ 33,305  $ 17,363  $ 14,102  $ 7,420  $ 21,784  $ 141,382  Reservable criticized 19,916  2,524  2,542  2,689  854  698  1,402  9,207  Total U.S. Commercial $ 288,728  $ 35,980  $ 35,847  $ 20,052  $ 14,956  $ 8,118  $ 23,186  $ 150,589  Non-U.S. Commercial Risk ratings Pass rated $ 85,914  $ 16,301  $ 11,396  $ 7,451  $ 5,037  $ 1,674  $ 2,194  $ 41,861  Reservable criticized 4,546  914  572  492  436  138  259  1,735  Total Non-U.S. Commercial $ 90,460  $ 17,215  $ 11,968  $ 7,943  $ 5,473  $ 1,812  $ 2,453  $ 43,596  Commercial Real Estate Risk ratings Pass rated $ 50,260  $ 8,429  $ 14,126  $ 8,228  $ 4,599  $ 3,299  $ 6,542  $ 5,037  Reservable criticized 10,104  933  2,558  2,115  1,582  606  1,436  874  Total Commercial Real Estate $ 60,364  $ 9,362  $ 16,684  $ 10,343  $ 6,181  $ 3,905  $ 7,978  $ 5,911  Commercial Lease Financing Risk ratings Pass rated $ 16,384  $ 3,083  $ 3,242  $ 2,956  $ 2,532  $ 1,703  $ 2,868  $ —  Reservable criticized 714  117  117  132  81  88  179  —  Total Commercial Lease Financing $ 17,098  $ 3,200  $ 3,359  $ 3,088  $ 2,613  $ 1,791  $ 3,047  $ —  U.S. Small Business Commercial (3) Risk ratings Pass rated $ 28,786  $ 24,539  $ 1,121  $ 837  $ 735  $ 527  $ 855  $ 172  Reservable criticized 1,148  76  239  210  175  113  322  13  Total U.S. Small Business Commercial $ 29,934  $ 24,615  $ 1,360  $ 1,047  $ 910  $ 640  $ 1,177  $ 185   Total $ 486,584  $ 90,372  $ 69,218  $ 42,473  $ 30,133  $ 16,266  $ 37,841  $ 200,281  (1) Excludes $5.9 billion of loans accounted for under the fair value option at December 31, 2020. (2)     Includes $58 million of loans that converted from revolving to term loans. (3)     Excludes U.S. Small Business Card loans of $6.5 billion. Refreshed FICO scores for this portfolio are $265 million for less than 620; $582 million for greater than or equal to 620 and less than 680; $1.7 billion for greater than or equal to 680 and less than 740; and $3.9 billion greater than or equal to 740.
Troubled Debt Restructurings on Financing Receivables	The table below presents the September 30, 2021 and 2020 unpaid principal balance, carrying value, and average pre- and post-modification interest rates of consumer real estate loans that were modified in TDRs during the three and nine months ended September 30, 2021 and 2020. The following Consumer Real Estate portfolio segment tables include loans that were initially classified as TDRs during the period and also loans that had previously been classified as TDRs and were modified again during the period. Consumer Real Estate – TDRs Entered into During the Three and Nine Months Ended September 30, 2021 and 2020 Unpaid Principal Balance Carrying Value Pre-Modification Interest Rate Post-Modification Interest Rate (1) Unpaid Principal Balance Carrying Value Pre-Modification Interest Rate Post-Modification Interest Rate (1) (Dollars in millions) Three Months Ended September 30, 2021 Nine Months Ended September 30, 2021 Residential mortgage $ 451  $ 399  3.52  % 3.49  % $ 832  $ 742  3.49  % 3.44  % Home equity 61  45  3.51  3.51  97  73  3.56  3.58  Total $ 512  $ 444  3.52  3.49  $ 929  $ 815  3.50  3.46  Three Months Ended September 30, 2020 Nine Months Ended September 30, 2020 Residential mortgage $ 103  $ 88  4.06  % 3.99  % $ 294  $ 244  4.07  % 3.90  % Home equity 12  10  4.25  4.08  56  45  3.85  3.73  Total $ 115  $ 98  4.08  4.00  $ 350  $ 289  4.03  3.87  (1)The post-modification interest rate reflects the interest rate applicable only to permanently completed modifications, which exclude loans that are in a trial modification period. The table below presents the September 30, 2021 and 2020 carrying value for consumer real estate loans that were modified in a TDR during the three and nine months ended September 30, 2021 and 2020, by type of modification. Consumer Real Estate – Modification Programs TDRs Entered into During the Three Months Ended September 30 Nine Months Ended September 30 (Dollars in millions) 2021 2020 2021 2020 Modifications under government programs $ —  $ —  $ 4  $ 8  Modifications under proprietary programs 417  50  740  136  Loans discharged in Chapter 7 bankruptcy (1) 9  15  29  44  Trial modifications 18  33  42  101  Total modifications $ 444  $ 98  $ 815  $ 289  (1)Includes loans discharged in Chapter 7 bankruptcy with no change in repayment terms that are classified as TDRs. The table below presents the carrying value of consumer real estate loans that entered into payment default during the three and nine months ended September 30, 2021 and 2020 that were modified in a TDR during the 12 months preceding payment default. A payment default for consumer real estate TDRs is recognized when a borrower has missed three monthly payments (not necessarily consecutively) since modification. Consumer Real Estate – TDRs Entering Payment Default that were Modified During the Preceding 12 Months Three Months Ended September 30 Nine Months Ended September 30 (Dollars in millions) 2021 2020 2021 2020 Modifications under government programs $ 1  $ 6  $ 3  $ 14  Modifications under proprietary programs 35  8  80  27  Loans discharged in Chapter 7 bankruptcy (1) 1  4  6  15  Trial modifications (2) 3  15  15  45  Total modifications $ 40  $ 33  $ 104  $ 101  (1)Includes loans discharged in Chapter 7 bankruptcy with no change in repayment terms that are classified as TDRs. (2)Includes trial modification offers to which the customer did not respond. The table below provides information on the Corporation’s Credit Card and Other Consumer TDR portfolio including the September 30, 2021 and 2020 unpaid principal balance, carrying value, and average pre- and post-modification interest rates of loans that were modified in TDRs during the three and nine months ended September 30, 2021 and 2020. Credit Card and Other Consumer – TDRs Entered into During the Three and Nine Months Ended September 30, 2021 and 2020   Unpaid Principal Balance Carrying Value (1) Pre-Modification Interest Rate Post-Modification Interest Rate Unpaid Principal Balance Carrying Value (1) Pre-Modification Interest Rate Post-Modification Interest Rate (Dollars in millions) Three Months Ended September 30, 2021 Nine Months Ended September 30, 2021 Credit card $ 66  $ 71  18.48  % 3.71  % $ 189  $ 200  18.47  % 4.26 % Direct/Indirect consumer 4  2  5.20  5.20  13  8  5.53  5.53  Total $ 70  $ 73  18.06  3.76  $ 202  $ 208  17.99  4.31  Three Months Ended September 30, 2020 Nine Months Ended September 30, 2020 Credit card $ 71  $ 77  18.19  % 6.86  % $ 203  $ 214  18.06  % 5.82  % Direct/Indirect consumer 35  29  6.02  6.02  50  37  5.87  5.87  Total $ 106  $ 106  14.85  6.63  $ 253  $ 251  16.29  5.83  (1)Includes accrued interest and fees. The table below presents the September 30, 2021 and 2020 carrying value for Credit Card and Other Consumer loans that were modified in a TDR during the three and nine months ended September 30, 2021 and 2020, by program type. Credit Card and Other Consumer – TDRs by Program Type TDRs Entered into During the Three Months Ended September 30 TDRs Entered into During the Nine Months Ended September 30 (Dollars in millions) 2021 2020 2021 2020 Internal programs $ 60  $ 80  $ 166  $ 178  External programs 11  19  37  59  Other 2  7  5  14  Total $ 73  $ 106  $ 208  $ 251
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 September 30, 2021 Allowance for loan and lease losses, July 1 $ 597  $ 6,835  $ 6,663  $ 14,095  Loans and leases charged off (15) (626) (165) (806) Recoveries of loans and leases previously charged off 56  256  31  343  Net charge-offs 41  (370) (134) (463) Provision for loan and lease losses (85) 175  (565) (475) Other 2  (1) (3) (2) Allowance for loan and lease losses, September 30 555  6,639  5,961  13,155  Reserve for unfunded lending commitments, July 1 107  —  1,580  1,687  Provision for unfunded lending commitments (9) —  (140) (149) Reserve for unfunded lending commitments, September 30 98  —  1,440  1,538  Allowance for credit losses, September 30 $ 653  $ 6,639  $ 7,401  $ 14,693  Three Months Ended September 30, 2020 Allowance for loan and lease losses, July 1 $ 833  $ 10,122  $ 8,434  $ 19,389  Loans and leases charged off (13) (810) (470) (1,293) Recoveries of loans and leases previously charged off 39  220  62  321  Net charge-offs 26  (590) (408) (972) Provision for loan and lease losses (6) 304  882  1,180  Other 2  —  (3) (1) Allowance for loan and lease losses, September 30 855  9,836  8,905  19,596  Reserve for unfunded lending commitments, July 1 141  —  1,561  1,702  Provision for unfunded lending commitments (3) —  212  209  Other —  —  (1) (1) Reserve for unfunded lending commitments, September 30 138  —  1,772  1,910  Allowance for credit losses, September 30 $ 993  $ 9,836  $ 10,677  $ 21,506  (Dollars in millions) Nine Months Ended September 30, 2021 Allowance for loan and lease losses, January 1 $ 858  $ 9,213  $ 8,731  $ 18,802  Loans and leases charged off (60) (2,402) (591) (3,053) Recoveries of loans and leases previously charged off 170  757  245  1,172  Net charge-offs 110  (1,645) (346) (1,881) Provision for loan and lease losses (414) (929) (2,423) (3,766) Other 1  —  (1) —  Allowance for loan and lease losses, September 30 555  6,639  5,961  13,155  Reserve for unfunded lending commitments, January 1 137  —  1,741  1,878  Provision for unfunded lending commitments (39) —  (300) (339) Other —  —  (1) (1) Reserve for unfunded lending commitments, September 30 98  —  1,440  1,538  Allowance for credit losses, September 30 $ 653  $ 6,639  $ 7,401  $ 14,693  Nine Months Ended September 30, 2020 Allowance for loan and lease losses, January 1 $ 440  $ 7,430  $ 4,488  $ 12,358  Loans and leases charged off (75) (2,916) (1,199) (4,190) Recoveries of loans and leases previously charged off 147  674  129  950  Net charge-offs 72  (2,242) (1,070) (3,240) Provision for loan and lease losses 336  4,648  5,496  10,480  Other 7  —  (9) (2) Allowance for loan and lease losses, September 30 855  9,836  8,905  19,596  Reserve for unfunded lending commitments, January 1 119  —  1,004  1,123  Provision for unfunded lending commitments 19  —  768  787  Reserve for unfunded lending commitments, September 30 138  —  1,772  1,910  Allowance for credit losses, September 30 $ 993  $ 9,836  $ 10,677  $ 21,506