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Loans
 9 Months Ended
Sep. 30, 2025
Receivables [Abstract]  
Loans
Loans
Loans includes (i) loans held for investment that are accounted for at amortized cost net of allowance for loan losses or at fair value under the fair value option and (ii) loans held for sale that are accounted for at the lower of cost or fair value. Interest on loans is recognized over the life of the loan and is recorded on an accrual basis.
The table below presents information about loans.
$ in millionsAmortized
Cost		Fair ValueHeld For SaleTotal
As of September 2025    
Loan Type    
Corporate$30,139 $430 $1,235 $31,804 
Commercial real estate32,805 423 724 33,952 
Residential real estate26,702 3,445 – 30,147 
Securities-based
18,469 – – 18,469 
Other collateralized
88,141 1,149 474 89,764 
Credit cards20,017 – – 20,017 
Other2,614 51 69 2,734 
Total loans, gross218,887 5,498 2,502 226,887 
Allowance for loan losses(4,508)– – (4,508)
Total loans$214,379 $5,498 $2,502 $222,379 
As of December 2024    
Loan Type    
Corporate$28,689 $467 $816 $29,972 
Commercial real estate28,899 424 466 29,789 
Residential real estate22,243 3,726 – 25,969 
Securities-based
16,477 – – 16,477 
Other collateralized
74,008 783 316 75,107 
Credit cards19,615 – 1,788 21,403 
Other1,950 60 139 2,149 
Total loans, gross191,881 5,460 3,525 200,866 
Allowance for loan losses(4,666)– – (4,666)
Total loans$187,215 $5,460 $3,525 $196,200 
Beginning in the first quarter of 2025, as a result of a decrease in the balance of installment loans (due to the sales of GreenSky and the seller financing loan portfolio in 2024), the remaining installment loans originated by the firm are included in other loans. Previously, such loans were disclosed separately in the table above. The carrying value of installment loans was $30 million as of September 2025 and $70 million as of December 2024. Prior period amounts have been conformed to the current presentation.
In the table above:
•Loans held for investment that are accounted for at amortized cost include net deferred fees and costs, and unamortized premiums and discounts, which are amortized over the life of the loan. These amounts were less than 1% of loans accounted for at amortized cost as of both September 2025 and December 2024.
•Substantially all loans had floating interest rates as of both September 2025 and December 2024.
•During 2024, the firm sold the seller financing loan portfolio. The net carrying value of such loans at the time of the sale was not material.
•During 2024, the firm completed the sale of the GreenSky loan portfolio of $3.69 billion.

•Credit cards accounted for as held for sale consisted of the GM co-branded credit card portfolio as of December 2024. During the third quarter of 2025, the firm sold the GM credit card program to another issuer. The net carrying value of this loan portfolio at the time of the sale was $1.54 billion.
The following is a description of the loan types in the table above:
•Corporate. Corporate loans includes term loans, revolving lines of credit, letter of credit facilities and bridge loans, and are principally used for operating and general corporate purposes, or in connection with acquisitions. Corporate loans are secured (typically by a senior lien on the assets of the borrower) or unsecured, depending on the loan purpose, the risk profile of the borrower and other factors.
•Commercial Real Estate. Commercial real estate loans includes originated loans that are directly or indirectly secured by hotels, retail stores, multifamily housing complexes and commercial and industrial properties. Commercial real estate loans also includes loans extended to clients who warehouse assets that are directly or indirectly backed by commercial real estate. In addition, commercial real estate includes loans purchased by the firm.
•Residential Real Estate. Residential real estate loans primarily includes loans extended to wealth management clients and to clients who warehouse assets that are directly or indirectly secured by residential real estate. In addition, residential real estate includes loans purchased by the firm.
•Securities-Based. Securities-based loans includes loans that are secured by stocks, bonds, mutual funds, and exchange-traded funds. These loans are primarily extended to the firm’s wealth management clients and used for purposes other than purchasing, carrying or trading margin stocks. Securities-based loans require borrowers to post additional collateral on a daily basis (daily margin requirement) based on changes in the underlying collateral’s fair value.

•Other Collateralized. Other collateralized loans includes loans that are backed by specific collateral (other than securities-based loans where there is a daily margin requirement and real estate loans). Such loans include loans to investment funds (managed by third parties) that are collateralized by capital commitments of the funds’ investors or assets held by the fund. Other collateralized loans also includes loans extended to clients who warehouse assets (that are directly or indirectly secured by corporate loans, consumer loans and other assets), as well as other secured loans extended to the firm’s wealth management and corporate clients.
•Credit Cards. Credit card loans are loans made pursuant to revolving lines of credit issued to consumers by the firm.
•Other. Other loans primarily includes unsecured loans extended to wealth management clients and unsecured consumer loans purchased by the firm.
See Note 4 for an overview of the firm’s fair value measurement policies, valuation techniques and significant inputs used to determine the fair value of loans, and Note 5 for information about loans within the fair value hierarchy.
Credit Quality
Risk Assessment. The firm’s risk assessment process includes evaluating the credit quality of its loans by Risk. For corporate loans and a majority of securities-based, real estate, other collateralized and other loans, the firm performs credit analyses which incorporate initial and ongoing evaluations of the capacity and willingness of a borrower to meet its financial obligations. These credit evaluations are performed on an annual basis or more frequently if deemed necessary as a result of events or changes in circumstances. The firm determines an internal credit rating for the borrower by considering the results of the credit evaluations and assumptions with respect to the nature of and outlook for the borrower’s industry and the economic environment. For collateralized loans, the firm also takes into consideration collateral received or other credit support arrangements when determining an internal credit rating. For credit card loans and for loans that are not assigned an internal credit rating, including U.S. residential mortgage loans extended to wealth management clients, the firm reviews certain key metrics, including, but not limited to, the Fair Isaac Corporation (FICO) credit scores, loan to value ratios, delinquency status, collateral value and other risk factors.

The table below presents gross loans by an internally determined public rating agency equivalent or other credit metrics and the concentration of secured and unsecured loans.
$ in millions
Investment-Grade
Non-Investment- GradeOther Metrics/UnratedTotal
As of September 2025   
Accounting Method   
Amortized cost$133,188 $50,735 $34,964 $218,887 
Fair value722 1,448 3,328 5,498 
Held for sale930 1,529 43 2,502 
Total$134,840 $53,712 $38,335 $226,887 
Loan Type    
Corporate$9,155 $22,649 $– $31,804 
Real estate:   
Commercial21,974 11,978 – 33,952 
Residential14,071 3,028 13,048 30,147 
Securities-based
13,884 418 4,167 18,469 
Other collateralized
73,321 15,421 1,022 89,764 
Credit cards– – 20,017 20,017 
Other2,435 218 81 2,734 
Total$134,840 $53,712 $38,335 $226,887 
Secured94%91%47%85%
Unsecured6%9%53%15%
Total100%100%100%100%
As of December 2024   
Accounting Method   
Amortized cost$113,986 $45,595 $32,300 $191,881 
Fair value505 856 4,099 5,460 
Held for sale869 745 1,911 3,525 
Total$115,360 $47,196 $38,310 $200,866 
Loan Type    
Corporate$8,601 $21,370 $1 $29,972 
Real estate:   
Commercial18,175 11,514 100 29,789 
Residential10,227 3,375 12,367 25,969 
Securities-based
12,662 320 3,495 16,477 
Other collateralized
63,896 10,442 769 75,107 
Credit cards– – 21,403 21,403 
Other1,799 175 175 2,149 
Total$115,360 $47,196 $38,310 $200,866 
Secured93%90%43%83%
Unsecured7%10%57%17%
Total100%100%100%100%

In the table above:
•Substantially all residential real estate loans included in the other metrics/unrated category consists of loans extended to wealth management clients. As of both September 2025 and December 2024, substantially all of such loans had a loan-to-value ratio of less than 80% and were performing in accordance with the contractual terms. Additionally, as of both September 2025 and December 2024, the vast majority of such loans had a FICO credit score of greater than 740.
•The vast majority of securities-based loans included in the other metrics/unrated category had a loan-to-value ratio of less than 80% and were performing in accordance with the contractual terms as of both September 2025 and December 2024.
•For credit card loans included in the other metrics/unrated category, the evaluation of credit quality incorporates the borrower’s FICO credit score. FICO credit scores are periodically refreshed by the firm to assess the updated creditworthiness of the borrower. See “Vintage” below for information about credit card loans by FICO credit scores.
The firm also assigns a regulatory risk rating to its loans based on the definitions provided by the U.S. federal bank regulatory agencies. Total loans included 95% of loans as of September 2025 and 93% of loans as of December 2024 that were rated pass/non-criticized.




Vintage. The tables below present gross loans accounted for at amortized cost (excluding credit card loans) by an internally determined public rating agency equivalent or other credit metrics and origination year for term loans.
 As of September 2025
$ in millionsInvestment-
 Grade		Non-Investment-
 Grade		 Other Metrics/
 Unrated		Total
2025$985 $3,127 $– $4,112 
20241,236 1,724 – 2,960 
2023560 916 – 1,476 
20221,031 1,186 – 2,217 
2021131 1,830 – 1,961 
2020 or earlier520 1,963 – 2,483 
Revolving4,354 10,490 – 14,844 
Revolving converted to term– 86 – 86 
Corporate8,817 21,322 – 30,139 
20252,335 1,993 – 4,328 
20243,223 1,472 – 4,695 
20231,003 900 – 1,903 
2022799 1,374 – 2,173 
2021405 1,741 – 2,146 
2020 or earlier864 1,324 – 2,188 
Revolving12,509 2,526 – 15,035 
Revolving converted to term201 136 – 337 
Commercial real estate21,339 11,466 – 32,805 
2025900 303 1,766 2,969 
2024883 42 1,526 2,451 
2023102 99 1,270 1,471 
202286 42 2,411 2,539 
202119 107 2,476 2,602 
2020 or earlier– 19 315 334 
Revolving11,920 2,416 – 14,336 
Residential real estate13,910 3,028 9,764 26,702 
20255 – – 5 
20241,964 39 – 2,003 
202338 – – 38 
20225 – – 5 
Revolving11,872 379 4,167 16,418 
Securities-based 13,884 418 4,167 18,469 
20254,966 3,165 124 8,255 
20244,231 2,596 86 6,913 
20233,065 819 101 3,985 
2022885 122 29 1,036 
2021441 692 53 1,186 
2020 or earlier636 64 46 746 
Revolving58,035 6,825 577 65,437 
Revolving converted to term581 2 – 583 
Other collateralized 72,840 14,285 1,016 88,141 
2025564 43 – 607 
2024256 31 – 287 
202381 13 – 94 
202230 1 – 31 
202117 – – 17 
2020 or earlier– 3 – 3 
Revolving1,450 125 – 1,575 
Other2,398 216 – 2,614 
Total$133,188 $50,735 $14,947 $198,870 
Percentage of total67%26%7%100%
 As of December 2024
$ in millionsInvestment-
 Grade		Non-Investment-
 Grade		Other Metrics/
 Unrated		Total
2024$1,447 $2,545 $– $3,992 
20231,522 1,446 – 2,968 
2022727 2,084 1 2,812 
2021215 2,244 – 2,459 
2020102 1,287 – 1,389 
2019 or earlier376 1,910 – 2,286 
Revolving4,001 8,696 – 12,697 
Revolving converted to term– 86 – 86 
Corporate8,390 20,298 1 28,689 
20242,988 1,669 27 4,684 
20231,079 1,252 – 2,331 
20221,018 1,664 – 2,682 
2021624 1,901 – 2,525 
2020273 766 – 1,039 
2019 or earlier972 738 18 1,728 
Revolving10,355 2,944 5 13,304 
Revolving converted to term201 405 – 606 
Commercial real estate17,510 11,339 50 28,899 
2024713 584 1,746 3,043 
2023224 9 1,414 1,647 
202287 46 2,537 2,670 
202121 122 2,598 2,741 
2020– 6 41 47 
2019 or earlier– 19 306 325 
Revolving9,182 2,588 – 11,770 
Residential real estate10,227 3,374 8,642 22,243 
20241,528 78 16 1,622 
202335 – – 35 
20225 – – 5 
2019 or earlier– 22 – 22 
Revolving11,094 220 3,479 14,793 
Securities-based
12,662 320 3,495 16,477 
20245,033 2,009 151 7,193 
20233,816 1,279 150 5,245 
2022910 144 42 1,096 
2021546 739 72 1,357 
2020854 566 26 1,446 
2019 or earlier196 45 25 266 
Revolving51,373 5,211 15 56,599 
Revolving converted to term710 96 – 806 
Other collateralized 63,438 10,089 481 74,008 
2024257 73 – 330 
2023113 10 – 123 
202236 6 – 42 
202116 – 16 32 
2020– 2 – 2 
Revolving1,337 84 – 1,421 
Other1,759 175 16 1,950 
Total$113,986 $45,595 $12,685 $172,266 
Percentage of total
66%27%7%100%







The table below presents gross credit card loans (which consist of revolving lines of credit) accounted for at amortized cost by refreshed FICO credit scores.
 
As of
$ in millions
September 2025
December 2024
Refreshed FICO credit score
Greater than or equal to 660
$13,251 66%$13,090 67%
Less than 6606,766 34%6,525 33%
Total$20,017 100%$19,615 100%
Credit Concentrations. The table below presents the concentration of gross loans by region.
$ in millionsCarrying
 Value		AmericasEMEAAsiaTotal
As of September 2025     
Corporate$31,804 65%26%9%100%
Commercial real estate33,952 76%19%5%100%
Residential real estate30,147 93%5%2%100%
Securities-based
18,469 75%25%– 100%
Other collateralized
89,764 81%17%2%100%
Credit cards20,017 100%– – 100%
Other2,734 97%3%– 100%
Total$226,887 81%16%3%100%
As of December 2024    
Corporate$29,972 66%26%8%100%
Commercial real estate29,789 78%18%4%100%
Residential real estate25,969 94%5%1%100%
Securities-based
16,477 76%24%– 100%
Other collateralized
75,107 86%12%2%100%
Credit cards21,403 100%– – 100%
Other2,149 96%4%– 100%
Total$200,866 83%14%3%100%
In the table above:
•EMEA represents Europe, Middle East and Africa.
•The top five industry concentrations for corporate loans as of September 2025 were 26% for technology, media & telecommunications, 18% for diversified industrials, 14% for real estate, 10% for consumer & retail and 9% for financial institutions.
•The top five industry concentrations for corporate loans as of December 2024 were 24% for technology, media & telecommunications, 16% for diversified industrials, 14% for real estate, 9% for financial institutions and 9% for healthcare.

Nonaccrual, Past Due and Modified Loans. Loans accounted for at amortized cost (other than credit card loans) are placed on nonaccrual status when it is probable that the firm will not collect all principal and interest due under the contractual terms, regardless of the delinquency status or if a loan is past due for 90 days or more, unless the loan is both well collateralized and in the process of collection. At that time, all accrued but uncollected interest is reversed against interest income and interest subsequently collected is recognized on a cash basis to the extent the loan balance is deemed collectible. Otherwise, all cash received is used to reduce the outstanding loan balance. A loan is considered past due when a principal or interest payment has not been made according to its contractual terms. Credit card loans are not placed on nonaccrual status and accrue interest until the loan is paid in full or is charged off.
The table below presents information about past due loans.
$ in millions30-89 days90 days
 or more		Total
As of September 2025   
Corporate$60 $83 $143 
Commercial real estate24 294 318 
Residential real estate23 20 43 
Securities-based
7 – 7 
Other collateralized
58 10 68 
Credit cards427 421 848 
Other– 13 13 
Total$599 $841 $1,440 
Total divided by gross loans at amortized cost0.7%
As of December 2024   
Corporate$– $15 $15 
Commercial real estate186 286 472 
Residential real estate3 18 21 
Securities-based
6 – 6 
Other collateralized
– 5 5 
Credit cards417 456 873 
Total$612 $780 $1,392 
Total divided by gross loans at amortized cost0.7%

The table below presents information about nonaccrual loans.
 
As of
SeptemberDecember
$ in millions20252024
Corporate$1,863 $1,977 
Commercial real estate1,095 800 
Residential real estate90 104 
Securities-based
– 2 
Other collateralized
126 757 
Other25 12 
Total$3,199 $3,652 
Total divided by gross loans at amortized cost1.5%1.9%
In the table above:
•Nonaccrual loans included $126 million as of September 2025 and $322 million as of December 2024 of loans that were 30 days or more past due.
•Loans that were 90 days or more past due and still accruing were not material as of both September 2025 and December 2024.
•Allowance for loan losses as a percentage of total nonaccrual loans was 140.9% as of September 2025 and 127.8% as of December 2024.
•Commercial real estate, residential real estate, securities-based and other collateralized loans are collateral dependent loans and the repayment of such loans is generally expected to be provided by the operation or sale of the underlying collateral. The allowance for credit losses for such nonaccrual loans is determined by considering the fair value of the collateral less estimated costs to sell, if applicable. See Note 4 for further information about fair value measurements.
The firm may modify the terms of a loan agreement for a borrower experiencing financial difficulty. Such modifications may include, among other things, forbearance of interest or principal, payment extensions or interest rate reductions.

The table below presents the carrying value of loans, as of both September 2025 and September 2024, that were modified during each of the three and nine months ended September 2025 and September 2024.
Three MonthsNine Months
Ended SeptemberEnded September
$ in millions2025202420252024
Modified loans
$366 $500 $788 $1,115 
In the table above:
•Loan modifications during each of the three and nine months ended September 2025 and September 2024 were primarily in the form of term and payment extensions. The impact of these modifications was not material for each of the three and nine months ended September 2025 and September 2024.
•Substantially all of the modified loans were related to corporate loans, commercial real estate loans and credit cards. Such modified loans represented less than 2% of corporate loans (at amortized cost), and approximately 1% of both commercial real estate loans (at amortized cost) and credit card loans (at amortized cost).
•Lending commitments related to modified loans were $168 million as of September 2025 and were $132 million as of September 2024.
•During both the nine months ended September 2025 and September 2024, loans that defaulted after being modified were not material. Substantially all of the modified loans were performing in accordance with the modified contractual terms as of both September 2025 and September 2024.

Allowance for Credit Losses
The firm’s allowance for credit losses consists of the allowance for losses on loans and lending commitments accounted for at amortized cost. Loans and lending commitments accounted for at fair value or accounted for at the lower of cost or fair value are not subject to an allowance for credit losses.
To determine the allowance for credit losses, the firm classifies its loans and lending commitments accounted for at amortized cost into wholesale and consumer portfolios. These portfolios represent the level at which the firm has developed and documented its methodology to determine the allowance for credit losses. The allowance for credit losses is measured on a collective basis for loans that exhibit similar risk characteristics using a modeled approach and on an asset-specific basis for loans that do not share similar risk characteristics.
The allowance for credit losses takes into account the weighted average of a range of forecasts of future economic conditions over the expected life of the loans and lending commitments. The expected life of each loan or lending commitment is determined based on the contractual term adjusted for extension options or demand features, or is modeled in the case of revolving credit card loans. The forecasts include multiple economic scenarios over a three-year period. For loans with expected lives beyond three years, the model reverts to historical loss information based on a non-linear modeled approach. The forecasted economic scenarios consider a number of risk factors relevant to the wholesale and consumer portfolios described below. The firm applies judgment in weighing individual scenarios each quarter based on a variety of factors, including the firm’s internally derived economic outlook, market consensus, recent macroeconomic conditions and industry trends.
The allowance for credit losses also includes qualitative components which allow management to reflect the uncertain nature of economic forecasting, capture uncertainty regarding model inputs, and account for model imprecision and concentration risk. The qualitative factors considered by management include, among others, changes and trends in loan portfolios, uncertainties associated with the macroeconomic and geopolitical environments, credit concentrations, changes in volume and severity of past due and criticized loans, idiosyncratic events and deterioration within an industry or region.

Management’s estimate of credit losses entails judgment about the expected life of the loan and loan collectability at the reporting dates, and there are uncertainties inherent in those judgments. The allowance for credit losses is subject to a governance process that involves senior management within Risk and Controllers. Personnel within Risk are responsible for forecasting the economic variables that underlie the economic scenarios that are used in the modeling of expected credit losses. While management uses the best information available to determine this estimate, future adjustments to the allowance may be necessary based on, among other things, changes in the economic environment or variances between actual results and the original assumptions used.
The table below presents gross loans and lending commitments accounted for at amortized cost by portfolio.
As of
September 2025December 2024
$ in millionsLoansLending
 Commitments
LoansLending
 Commitments
Wholesale
Corporate$30,139 $178,529 $28,689 $156,562 
Commercial real estate32,805 7,151 28,899 4,969 
Residential real estate26,702 2,451 22,243 1,742 
Securities-based
18,469 766 16,477 1,542 
Other collateralized
88,141 42,435 74,008 33,136 
Other2,614 1,127 1,950 872 
Consumer
Credit cards20,017 70,187 19,615 63,781 
Total$218,887 $302,646 $191,881 $262,604 
In the table above, wholesale loans included $3.20 billion as of September 2025 and $3.65 billion as of December 2024 of nonaccrual loans for which the allowance for credit losses was measured on an asset-specific basis. The allowance for credit losses on these loans was $831 million as of September 2025 and $735 million as of December 2024. These loans included $636 million as of September 2025 and $585 million as of December 2024 of loans which did not require a reserve as the loan was deemed to be recoverable.
See Note 18 for further information about lending commitments.

The following is a description of the methodology used to calculate the allowance for credit losses:
Wholesale. The allowance for credit losses for wholesale loans and lending commitments that exhibit similar risk characteristics is measured using a modeled approach. These models determine the probability of default and loss given default based on various risk factors, including internal credit ratings, industry default and loss data, expected life, macroeconomic indicators, the borrower’s capacity to meet its financial obligations, the borrower’s country of risk and industry, loan seniority and collateral type. For lending commitments, the methodology also considers the probability of drawdowns or funding. In addition, for loans backed by real estate, risk factors include the loan-to-value ratio, debt service ratio and home price index. The most significant inputs to the forecast model for wholesale loans and lending commitments include unemployment rates, GDP, credit spreads, commercial and industrial delinquency rates, short- and long-term interest rates, and oil prices.
The allowance for loan losses for wholesale loans that do not share similar risk characteristics, such as nonaccrual loans, is calculated using the present value of expected future cash flows discounted at the loan’s effective interest rate, the observable market price of the loan, or, in the case of collateral dependent loans, the fair value of the collateral less estimated costs to sell, if applicable. Wholesale loans are charged off against the allowance for loan losses when such loans are determined to be uncollectible. Such determination is based on several factors, which may include the expected outcome of loan restructuring efforts and the valuation of the underlying collateral.
Consumer. The allowance for credit losses for consumer loans that exhibit similar risk characteristics is calculated using a modeled approach which classifies consumer loans into pools based on borrower-related and exposure-related characteristics that differentiate a pool’s risk characteristics from other pools. The factors considered in determining a pool are generally consistent with the risk characteristics used for internal credit risk measurement and management and include key metrics, such as FICO credit scores, delinquency status, loan vintage and macroeconomic indicators. The most significant inputs to the forecast model for consumer loans include unemployment rates and delinquency rates. The expected life of revolving credit card loans is determined by modeling expected future draws and the timing and amount of repayments allocated to the funded balance. The firm does not recognize an allowance for credit losses on credit card lending commitments as they are cancellable by the firm.
Credit card loans are charged off when they are 180 days past due.


Allowance for Credit Losses Rollforward
The table below presents information about the allowance for credit losses.
$ in millionsWholesale Consumer Total
Three Months Ended September 2025  
Allowance for loan losses   
Beginning balance$2,070 $2,467 $4,537 
Charge-offs
(50)(320)(370)
Recoveries
21 45 66 
Net (charge-offs)/recoveries(29)(275)(304)
Provision7 286 293 
Other(18)– (18)
Ending balance$2,030 $2,478 $4,508 
Allowance ratio1.0%12.4%2.1%
Net charge-off ratio0.1%5.6%0.6%
Allowance for losses on lending commitments
Beginning balance$749 $– $749 
Provision49 – 49 
Other2 – 2 
Ending balance$800 $– $800 
Three Months Ended September 2024  
Allowance for loan losses   
Beginning balance$2,420 $2,388 $4,808 
Charge-offs
(61)(337)(398)
Recoveries
72 27 99 
Net (charge-offs)/recoveries11 (310)(299)
Provision(97)452 355 
Other(32)(80)(112)
Ending balance$2,302 $2,450 $4,752 
Allowance ratio1.4%13.5%2.5%
Net charge-off ratio–6.9%0.7%
Allowance for losses on lending commitments
Beginning balance$652 $– $652 
Provision44 – 44 
Other1 – 1 
Ending balance$697 $– $697 
Nine Months Ended September 2025
Allowance for loan losses
Beginning balance$2,099 $2,567 $4,666 
Charge-offs(116)(1,006)(1,122)
Recoveries31 121 152 
Net (charge-offs)/recoveries(85)(885)(970)
Provision108 796 904 
Other(92)– (92)
Ending balance$2,030 $2,478 $4,508 
Allowance ratio1.0%12.4%2.1%
Net charge-off ratio0.1%6.1%0.6%
Allowance for losses on lending commitments
Beginning balance$674 $– $674 
Provision121 – 121 
Other5 – 5 
Ending balance$800 $– $800 
Nine Months Ended September 2024
Allowance for loan losses
Beginning balance$2,576 $2,474 $5,050 
Charge-offs(117)(1,110)(1,227)
Recoveries114 75 189 
Net (charge-offs)/recoveries(3)(1,035)(1,038)
Provision(212)1,091 879 
Other(59)(80)(139)
Ending balance$2,302 $2,450 $4,752 
Allowance ratio1.4%13.5%2.5%
Net charge-off ratio– 7.9%0.8%
Allowance for losses on lending commitments
Beginning balance$620 $– $620 
Provision76 – 76 
Other1 – 1 
Ending balance$697 $– $697 
In the table above:
•Other (within allowance for loan losses) primarily represented the reduction to the allowance related to loans transferred to held for sale.
•The allowance ratio is calculated by dividing the allowance for loan losses by gross loans accounted for at amortized cost.
•The net charge-off ratio is calculated by dividing annualized net (charge-offs)/recoveries by average gross loans accounted for at amortized cost.
Forecast Model Inputs as of September 2025
When modeling expected credit losses, the firm employs a weighted, multi-scenario forecast, which includes baseline, favorable and adverse economic scenarios. As of September 2025, this multi-scenario forecast was weighted towards the baseline and adverse economic scenarios.
The table below presents the forecasted U.S. unemployment and U.S. GDP growth rates used in the baseline economic scenario of the forecast model.
As of September 2025
U.S. unemployment rate 
Forecast for the quarter ended: 
December 2025
4.7%
June 2026
4.6%
December 2026
4.4%
U.S. GDP rate 
Forecast for the year: 
20251.7%
20261.4%
20271.8%
In the table above:
•U.S. unemployment rate represents the rate forecasted as of the respective quarter-end.
•U.S. GDP rate represents the year-over-year growth rate forecasted for the respective years.
The adverse economic scenario of the forecast model reflects a global recession, resulting in an economic contraction and rising unemployment rates. In this scenario, the U.S. unemployment rate peaks at 7.4% (during the fourth quarter of 2026) and the maximum decline in quarterly U.S. GDP relative to the third quarter of 2025 is 3.0% (which occurs during the third quarter of 2026).
In the multi-scenario forecast, the weighted average peak U.S. unemployment rate is 5.4% (during the fourth quarter of 2026) and the largest difference in quarterly U.S. GDP between the baseline scenario and the weighted average is 1.5% (which occurs during the first quarter of 2027).
While the U.S. unemployment and U.S. GDP growth rates are significant inputs to the forecast model, the model contemplates a variety of other inputs across a range of scenarios to provide a forecast of future economic conditions. Given the complex nature of the forecasting process, no single economic variable can be viewed in isolation and independently of other inputs.
Allowance for Credit Losses Commentary
Three Months Ended September 2025. The allowance for credit losses as of September 2025 was essentially unchanged compared with June 2025.
Nine Months Ended September 2025. The allowance for credit losses as of September 2025 was essentially unchanged compared with December 2024.
Charge-offs for the nine months ended September 2025 for wholesale loans were primarily related to corporate loans (principally related to term loans originated in 2021).
Three Months Ended September 2024. The allowance for credit losses decreased by $11 million during the three months ended September 2024, reflecting a reserve release relating to recoveries on previously impaired loans in the wholesale portfolio and a reserve reduction associated with the transfer of the seller financing loan portfolio to held for sale, partially offset by growth in the credit card portfolio.
Charge-offs for the three months ended September 2024 for wholesale loans were not material and charge-offs for consumer loans were related to credit cards.
Nine Months Ended September 2024. The allowance for credit losses decreased by $221 million during the nine months ended September 2024, primarily reflecting a reserve release relating to the wholesale portfolio.
Charge-offs for the nine months ended September 2024 for wholesale loans were primarily related to corporate loans (principally related to term loans originated in 2022) and charge-offs for consumer loans were primarily related to credit cards.

Estimated Fair Value
The table below presents the estimated fair value of loans that are not accounted for at fair value and in what level of the fair value hierarchy they would have been classified if they had been included in the firm’s fair value hierarchy.
 Carrying ValueEstimated Fair Value
$ in millionsLevel 2Level 3Total
As of September 2025    
Amortized cost$214,379 $110,254 $106,095 $216,349 
Held for sale$2,502 $1,772 $758 $2,530 
As of December 2024    
Amortized cost$187,215 $99,790 $89,540 $189,330 
Held for sale$3,525 $2,928 $600 $3,528 
See Note 4 for an overview of the firm’s fair value measurement policies, valuation techniques and significant inputs used to determine the fair value of loans, and Note 5 for information about loans within the fair value hierarchy.