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Reserves For Losses (Tables)
 3 Months Ended
Mar. 31, 2015
Reserves For Losses Tables [Abstract]  
Changes in the Card Member receivable reserve for losses

The following table presents changes in the Card Member receivables reserve for losses for the three months ended March 31:

(Millions)  20152014
Balance, January 1  $465$386
Provisions(a)  174215
Net write-offs(b)  (199)(170)
Other(c)  (11)(17)
Balance, March 31  $429$414

  • Provisions for principal and fee reserve components.
  • Consists of principal and fee components, less recoveries of $99 million and $92 million, including net write-offs from TDRs of $31 million and $2 million, for the three months ended March 31, 2015 and 2014, respectively.
  • Beginning in the first quarter 2014, reserves for card-related fraud losses of $(7) million are included in Other liabilities. Also includes foreign currency translation adjustments of $(7) million and nil for the three months ended March 31, 2015 and 2014, respectively, and other items of $(4) million and $(10) million for the three months ended March 31, 2015 and 2014, respectively.
Card Member receivables and related reserves evaluated separately and collectively for impairment

The following table presents Card Member receivables evaluated individually and collectively for impairment and related reserves as of March 31, 2015 and December 31, 2014:

(Millions)  20152014
Card Member receivables evaluated individually for impairment(a)$28$48
Related reserves (a)$17$35
Card Member receivables evaluated collectively for impairment$43,675$44,803
Related reserves (b)$412$430

  • Represents receivables modified as a TDR and related reserves.
  • The reserves include the quantitative results of analytical models that are specific to individual pools of receivables, and reserves for internal and external qualitative risk factors that apply to receivables that are collectively evaluated for impairment.
Changes in the Card Member loans reserve for losses

The following table presents changes in the Card Member loans reserve for losses for the three months ended March 31:

(Millions)  20152014
Balance, January 1  $1,201$1,261
Provisions(a)  235250
Net write-offs
Principal(b)(259)(280)
Interest and fees(b)  (43)(42)
Other(c)  (4)2
Balance, March 31  $1,130$1,191

  • Provisions for principal, interest and fee reserve components.
  • Consists of principal write-offs, less recoveries of $103 million and $107 million, including net write-offs/(recoveries) from TDRs of $16 million and $(2) million, for the three months ended March 31, 2015 and 2014, respectively. Recoveries of interest and fees were de minimis.
  • Beginning in the first quarter 2014, reserves for card related fraud losses of $(6) million are included in Other liabilities. Also includes foreign currency translation adjustments of $(7) million and $(1) million for the three months ended March 31, 2015 and 2014, respectively, and other items of $3 million and $9 million for the three months ended March 31, 2015 and 2014, respectively.

Card Member loans and related reserves evaluated separately and collectively for impairment

The following table presents Card Member loans evaluated individually and collectively for impairment and related reserves as of March 31, 2015 and December 31, 2014:

(Millions)  20152014
Card Member loans evaluated individually for impairment(a)$305$286
Related reserves (a)$65$67
Card Member loans evaluated collectively for impairment(b)$66,530$70,099
Related reserves (b)$1,065$1,134

  • Represents loans modified as a TDR and related reserves.
  • Represents current loans and loans less than 90 days past due, loans over 90 days past due and accruing interest, and non-accrual loans. The reserves include the quantitative results of analytical models that are specific to individual pools of loans, and reserves for internal and external qualitative risk factors that apply to loans that are collectively evaluated for impairment.