Our loan portfolio consists of loans held for investment, including loans held in our consolidated trusts, and loans held for sale. We further divide our loans held for investment into three portfolio segments: Credit Card, Consumer Banking and Commercial Banking. Credit card loans consist of domestic and international credit card loans. Consumer banking loans consist of auto and retail banking loans. Commercial banking loans consist of commercial and multifamily real estate as well as commercial and industrial loans. The information presented in the tables in this note excludes loans held for sale, which are carried at either fair value (if we elect the fair value option) or at the lower of cost or fair value.

Accrued interest receivable of $2.2 billion as of both March 31, 2024 and December 31, 2023, is not included in the tables in this note. The table below presents the composition and aging analysis of our loans held for investment portfolio as of March 31, 2024 and December 31, 2023. The delinquency aging includes all past due loans, both performing and nonperforming.

Table 4.1: Loan Portfolio Composition and Aging Analysis


	March 31, 2024
			Delinquent Loans
(Dollars in millions)	Current		30-59 Days		60-89 Days		> 90 Days		Total Delinquent Loans		Total Loans
Credit Card:
Domestic credit card	$	137,416	$	1,735	$	1,371	$	3,339	$	6,445	$	143,861
International card businesses	6,401		113		75		144		332		6,733
Total credit card	143,817		1,848		1,446		3,483		6,777		150,594
Consumer Banking:
Auto	69,431		2,769		1,244		357		4,370		73,801
Retail banking	1,269		11		3		15		29		1,298
Total consumer banking	70,700		2,780		1,247		372		4,399		75,099
Commercial Banking:
Commercial and multifamily real estate	34,050		0		94		128		222		34,272
Commercial and industrial	55,019		3		29		138		170		55,189
Total commercial banking	89,069		3		123		266		392		89,461
Total loans(1)	$	303,586	$	4,631	$	2,816	$	4,121	$	11,568	$	315,154
% of Total loans	96.33%		1.47%		0.89%		1.31%		3.67%		100.00%


	December 31, 2023
			Delinquent Loans
(Dollars in millions)	Current		30-59 Days		60-89 Days		> 90 Days		Total Delinquent Loans		Total Loans
Credit Card:
Domestic credit card	$	140,860	$	1,968	$	1,471	$	3,367	$	6,806	$	147,666
International card businesses	6,552		116		76		137		329		6,881
Total credit card	147,412		2,084		1,547		3,504		7,135		154,547
Consumer Banking:
Auto	68,768		3,268		1,555		484		5,307		74,075
Retail banking	1,329		15		3		15		33		1,362
Total consumer banking	70,097		3,283		1,558		499		5,340		75,437


	December 31, 2023
			Delinquent Loans
(Dollars in millions)	Current		30-59 Days		60-89 Days		> 90 Days		Total Delinquent Loans		Total Loans
Commercial Banking:
Commercial and multifamily real estate	34,325		0		14		107		121		34,446
Commercial and industrial	55,861		0		0		181		181		56,042
Total commercial banking	90,186		0		14		288		302		90,488
Total loans(1)	$	307,695	$	5,367	$	3,119	$	4,291	$	12,777	$	320,472
% of Total loans	96.01%		1.68%		0.97%		1.34%		3.99%		100.00%

__________

The following table presents our loans held for investment that are 90 days or more past due that continue to accrue interest, loans that are classified as nonperforming and loans that are classified as nonperforming without an allowance as of March 31, 2024 and December 31, 2023. Nonperforming loans generally include loans that have been placed on nonaccrual status.


	March 31, 2024									December 31, 2023
(Dollars in millions)	> 90 Days and Accruing			Nonperforming Loans(1)			Nonperforming Loans Without an Allowance			> 90 Days and Accruing			Nonperforming Loans(1)			Nonperforming Loans Without an Allowance
Credit Card:
Domestic credit card	$	3,339		N/A			$	0		$	3,367		N/A			$	0
International card businesses	140			$	9		0			132			$	9		0
Total credit card	3,479			9			0			3,499			9			0
Consumer Banking:
Auto	0			585			0			0			712			0
Retail banking	0			41			21			0			46			19
Total consumer banking	0			626			21			0			758			19
Commercial Banking:
Commercial and multifamily real estate	5			541			369			0			425			335
Commercial and industrial	18			607			347			55			336			193
Total commercial banking	23			1,148			716			55			761			528
Total	$	3,502		$	1,783		$	737		$	3,554		$	1,528		$	547
% of Total loans held for investment	1.11		%	0.57		%	0.23		%	1.11		%	0.48		%	0.17		%

__________

Our credit card loan portfolio is highly diversified across millions of accounts and numerous geographies without significant individual exposure. We therefore generally manage credit risk based on portfolios with common risk characteristics. The risk in our credit card loan portfolio correlates to broad economic trends, such as the U.S. unemployment rate and U.S. Real Gross Domestic Product (“GDP”) growth rate, as well as consumers’ financial condition, all of which can have a material effect on credit performance. The key indicator we assess in monitoring the credit quality and risk of our credit card loan portfolio is delinquency trends, including an analysis of loan migration between delinquency categories over time.


	March 31, 2024						December 31, 2023
(Dollars in millions)	Revolving Loans		Revolving Loans Converted to Term		Total		Revolving Loans		Revolving Loans Converted to Term		Total
Credit Card:
Domestic credit card:
Current	$	137,043	$	373	$	137,416	$	140,521	$	339	$	140,860
30-59 days	1,709		26		1,735		1,940		28		1,968
60-89 days	1,352		19		1,371		1,454		17		1,471
Greater than 90 days	3,313		26		3,339		3,339		28		3,367
Total domestic credit card	143,417		444		143,861		147,254		412		147,666

International card businesses:
Current	6,368		33		6,401		6,521		31		6,552
30-59 days	108		5		113		112		4		116
60-89 days	71		4		75		72		4		76
Greater than 90 days	139		5		144		132		5		137
Total international card businesses	6,686		47		6,733		6,837		44		6,881
Total credit card	$	150,103	$	491	$	150,594	$	154,091	$	456	$	154,547

Our consumer banking loan portfolio consists of auto and retail banking loans. Similar to our credit card loan portfolio, the risk in our consumer banking loan portfolio correlates to broad economic trends as well as consumers’ financial condition, all of which can have a material effect on credit performance. The key indicator we consider when assessing the credit quality and risk of our auto loan portfolio is borrower credit scores as they measure the creditworthiness of borrowers. Delinquency trends are the key indicator we assess in monitoring the credit quality and risk of our retail banking loan portfolio.

The table below presents our consumer banking portfolio of loans held for investment by credit quality indicator as of March 31, 2024 and December 31, 2023. We present our auto loan portfolio by Fair Isaac Corporation (“FICO”) scores at origination and our retail banking loan portfolio by delinquency status, which includes all past due loans, both performing and nonperforming.


	March 31, 2024
	Term Loans by Vintage Year
(Dollars in millions)	2024		2023		2022		2021		2020		Prior		Total Term Loans		Revolving Loans		Revolving Loans Converted to Term		Total

Auto—At origination FICO scores:(1)
Greater than 660	$	4,180	$	11,141	$	11,433	$	8,457	$	2,654	$	1,132	$	38,997	$	0	$	0	$	38,997
621-660	1,367		4,526		4,030		2,974		1,148		600		14,645		0		0		14,645
620 or below	1,865		6,228		5,036		3,807		2,024		1,199		20,159		0		0		20,159
Total auto	7,412		21,895		20,499		15,238		5,826		2,931		73,801		0		0		73,801

Retail banking—Delinquency status:
Current	69		77		92		56		62		554		910		355		4		1,269
30-59 days	0		0		0		1		0		2		3		8		0		11
60-89 days	0		0		0		0		0		1		1		2		0		3
Greater than 90 days	0		0		0		0		1		7		8		5		2		15
Total retail banking	69		77		92		57		63		564		922		370		6		1,298
Total consumer banking	$	7,481	$	21,972	$	20,591	$	15,295	$	5,889	$	3,495	$	74,723	$	370	$	6	$	75,099


	December 31, 2023
	Term Loans by Vintage Year
(Dollars in millions)	2023		2022		2021		2020		2019		Prior		Total Term Loans		Revolving Loans		Revolving Loans Converted to Term		Total

Auto—At origination FICO scores:(1)
Greater than 660	$	12,219	$	12,593	$	9,505	$	3,124	$	1,213	$	309	$	38,963	$	0	$	0	$	38,963
621-660	4,863		4,432		3,346		1,337		592		192		14,762		0		0		14,762
620 or below	6,647		5,539		4,283		2,349		1,131		401		20,350		0		0		20,350
Total auto	23,729		22,564		17,134		6,810		2,936		902		74,075		0		0		74,075

Retail banking—Delinquency status:
Current	98		157		57		65		117		468		962		363		4		1,329
30-59 days	1		0		1		1		0		1		4		11		0		15
60-89 days	0		0		0		0		0		1		1		2		0		3
Greater than 90 days	0		0		0		0		0		8		8		6		1		15
Total retail banking	99		157		58		66		117		478		975		382		5		1,362
Total consumer banking	$	23,828	$	22,721	$	17,192	$	6,876	$	3,053	$	1,380	$	75,050	$	382	$	5	$	75,437

__________

(1)Amounts represent period-end loans held for investment in each credit score category. Auto credit scores generally represent average FICO scores obtained from three credit bureaus at the time of application and are not refreshed thereafter. Balances for which no credit score is available or the credit score is invalid are included in the 620 or below category.

The key credit quality indicator for our commercial loan portfolios is our internal risk ratings. We assign internal risk ratings to loans based on relevant information about the ability of the borrowers to repay their debt. In determining the risk rating of a particular loan, some of the factors considered are the borrower’s current financial condition, historical and projected future credit performance, prospects for support from financially responsible guarantors, the estimated realizable value of any collateral and current economic trends. The scale based on our internal risk rating system is as follows:

•Criticized performing: Loans in which the financial condition of the obligor is stressed, affecting earnings, cash flows or collateral values. The borrower currently has adequate capacity to meet near-term obligations; however, the stress, left unabated, may result in deterioration of the repayment prospects at some future date.

•Criticized nonperforming: Loans that are not adequately protected by the current net worth and paying capacity of the obligor or the collateral pledged, if any. Loans classified as criticized nonperforming have a well-defined weakness, or weaknesses, which jeopardize the full repayment of the debt. These loans are characterized by the distinct possibility that we will sustain a credit loss if the deficiencies are not corrected and are generally placed on nonaccrual status.

We use our internal risk rating system for regulatory reporting, determining the frequency of credit exposure reviews, and evaluating and determining the allowance for credit losses. Generally, loans that are designated as criticized performing and criticized nonperforming are reviewed quarterly by management to determine if they are appropriately classified/rated and whether any impairment exists. Noncriticized loans are also generally reviewed, at least annually, to determine the appropriate risk rating. In addition, we evaluate the risk rating during the renewal process of any loan or if a loan becomes past due.


	March 31, 2024
	Term Loans by Vintage Year
(Dollars in millions)	2024		2023		2022		2021		2020		Prior		Total Term Loans		Revolving Loans		Revolving Loans Converted to Term		Total
Internal risk rating:(1)
Commercial and multifamily real estate
Noncriticized	$	646	$	2,794	$	4,392	$	2,573	$	994	$	5,280	$	16,679	$	13,046	$	25	$	29,750
Criticized performing	53		59		1,501		685		220		1,331		3,849		130		2		3,981
Criticized nonperforming	12		60		45		118		0		299		534		7		0		541
Total commercial and multifamily real estate	711		2,913		5,938		3,376		1,214		6,910		21,062		13,183		27		34,272
Commercial and industrial
Noncriticized	1,037		6,784		11,627		6,701		3,341		7,339		36,829		14,096		129		51,054
Criticized performing	42		328		638		672		126		437		2,243		1,284		1		3,528
Criticized nonperforming	0		12		96		41		178		221		548		59		0		607
Total commercial and industrial	1,079		7,124		12,361		7,414		3,645		7,997		39,620		15,439		130		55,189
Total commercial banking	$	1,790	$	10,037	$	18,299	$	10,790	$	4,859	$	14,907	$	60,682	$	28,622	$	157	$	89,461


	December 31, 2023
	Term Loans by Vintage Year
(Dollars in millions)	2023		2022		2021		2020		2019		Prior		Total Term Loans		Revolving Loans		Revolving Loans Converted to Term		Total
Internal risk rating:(1)
Commercial and multifamily real estate
Noncriticized	$	3,068	$	4,665	$	2,773	$	1,019	$	2,104	$	3,670	$	17,299	$	12,565	$	25	$	29,889
Criticized performing	148		1,494		706		284		463		904		3,999		133		0		4,132
Criticized nonperforming	65		26		124		0		47		163		425		0		0		425
Total commercial and multifamily real estate	3,281		6,185		3,603		1,303		2,614		4,737		21,723		12,698		25		34,446
Commercial and industrial
Noncriticized	6,909		11,935		6,994		3,566		2,359		5,117		36,880		14,822		167		51,869
Criticized performing	353		706		655		237		348		349		2,648		1,189		0		3,837
Criticized nonperforming	13		53		30		18		123		68		305		31		0		336
Total commercial and industrial	7,275		12,694		7,679		3,821		2,830		5,534		39,833		16,042		167		56,042
Total commercial banking	$	10,556	$	18,879	$	11,282	$	5,124	$	5,444	$	10,271	$	61,556	$	28,740	$	192	$	90,488

__________

As part of our loss mitigation efforts, we may provide short-term (one to twelve months) or long-term (greater than twelve months) modifications to a borrower experiencing financial difficulty to improve long-term collectability of the loan and to avoid the need for repossession or foreclosure of collateral.

Table 4.6: Financial Difficulty Modifications to Borrowers


	Three Months Ended March 31, 2024
	Credit Card									Consumer Banking									Commercial Banking
(Dollars in millions)	Domestic Card			International Card Businesses			Total Credit Card			Auto			Retail Banking			Total Consumer Banking			Commercial and Multifamily Real Estate			Commercial and Industrial			Total Commercial Banking			Total
Interest rate reduction	$	216		$	54		$	270		—			—			—			—			—			—			$	270
Term extension	—			—			—			$	6		$	2		$	8		$	316		$	135		$	451		459
Principal balance reduction	—			—			—			9			—			9			—			—			—			9

Interest rate reduction and term extension	5			—			5			274			—			274			28			—			28			307

Other(1)	—			—			—			1			—			1			91			46			137			138
Total loans modified	$	221		$	54		$	275		$	290		$	2		$	292		$	435		$	181		$	616		$	1,183
% of total class of receivables	0.15		%	0.80		%	0.18		%	0.39		%	0.14		%	0.39		%	1.27		%	0.33		%	0.69		%	0.38		%


	Three Months Ended March 31, 2023
	Credit Card									Consumer Banking									Commercial Banking
(Dollars in millions)	Domestic Card			International Card Businesses			Total Credit Card			Auto			Retail Banking			Total Consumer Banking			Commercial and Multifamily Real Estate			Commercial and Industrial			Total Commercial Banking			Total
Interest rate reduction	$	150		$	38		$	188		—			—			—			—			—			—			$	188
Term extension	—			—			—			$	42		$	3		$	45		$	129		$	66		$	195		240
Principal balance reduction	—			—			—			7			—			7			—			—			—			7
Principal balance reduction and term extension	—			—			—			—			—			—			—			17			17			17
Interest rate reduction and term extension	—			—			—			202			—			202			—			—			—			202

Other(1)	—			—			—			1			—			1			—			132			132			133
Total loans modified	$	150		$	38		$	188		$	252		$	3		$	255		$	129		$	215		$	344		$	787
% of total class of receivables	0.11		%	0.62		%	0.14		%	0.33		%	0.18		%	0.33		%	0.35		%	0.38		%	0.37		%	0.25		%

__________

Table 4.7: Financial Effects of Financial Difficulty Modifications to Borrowers


	Three Months Ended March 31, 2024
	Credit Card		Consumer Banking			Commercial Banking
	Domestic Card	International Card Businesses		Auto	Retail Banking		Commercial and Multifamily Real Estate	Commercial and Industrial
Weighted-average interest rate reduction	19.99%	26.12%		8.65%	—%		0.79%	—%
Payment delay duration (in months)	12	—		6	10		6	12
Principal balance reduction	—	—		—	—		—	$15


	Three Months Ended March 31, 2023
	Credit Card		Consumer Banking		Commercial Banking
	Domestic Card	International Card Businesses	Auto	Retail Banking	Commercial and Multifamily Real Estate	Commercial and Industrial
Weighted-average interest rate reduction	19.02%	25.74%	8.75%	—%	—%	—%
Payment delay duration (in months)	—	—	6	14	8	7
Principal balance reduction	—	—	—	—	—	$3

We monitor loan performance trends, including FDMs, to assess and manage our exposure to credit risk. See “Part II—Item 8. Financial Statements and Supplementary Data—Note 1—Summary of Significant Accounting Policies” in our 2023 Form 10-K for additional information on how the allowance for modified loans is calculated for each portfolio segment. FDMs are accumulated and the performance of each loan that received an FDM is reported on a rolling twelve month basis.

For the interim reporting period ended March 31, 2024, the delinquency status as of this date is shown in the table below for FDMs entered into over the preceding 12 month period. For the interim reporting period ended March 31, 2023, the delinquency status as of this date is shown in the table below for FDMs entered into during the first three months of 2023.


	March 31, 2024
			Delinquent Loans
(Dollars in millions)	Current		30-59 Days		60-89 Days		> 90 Days		Total Delinquent Loans		Total Loans
Credit Card:
Domestic credit card	$	407	$	67	$	56	$	116	$	239	$	646
International card businesses	53		10		10		33		53		106
Total credit card	460		77		66		149		292		752
Consumer Banking:
Auto	626		93		54		19		166		792
Retail banking	9		0		1		0		1		10
Total consumer banking	635		93		55		19		167		802
Commercial Banking:
Commercial and multifamily real estate	556		0		0		22		22		578
Commercial and industrial	842		0		27		31		58		900
Total commercial banking	1,398		0		27		53		80		1,478
Total	$	2,493	$	170	$	148	$	221	$	539	$	3,032


	March 31, 2023
			Delinquent Loans
(Dollars in millions)	Current		30-59 Days		60-89 Days		> 90 Days		Total Delinquent Loans		Total Loans
Credit Card:
Domestic credit card	$	62	$	36	$	23	$	29	$	88	$	150
International card businesses	11		5		4		18		27		38
Total credit card	73		41		27		47		115		188
Consumer Banking:
Auto	224		18		7		3		28		252
Retail banking	2		0		0		1		1		3
Total consumer banking	226		18		7		4		29		255
Commercial Banking:
Commercial and multifamily real estate	99		30		0		0		30		129
Commercial and industrial	129		0		0		86		86		215
Total commercial banking	228		30		0		86		116		344
Total	$	527	$	89	$	34	$	137	$	260	$	787

FDMs may subsequently enter default. A default occurs if a FDM is either 90 days or more delinquent, has been charged off, or has been reclassified from accrual to nonaccrual status. Loans that entered a modification program in any stage of delinquency are included in the aging table above. Loans that entered a modification program while in default are not considered to have subsequently defaulted for purposes of this disclosure. The allowance for any FDMs that have subsequently defaulted is measured using the same methodology as the allowance for loans held for investment. See “Part II—Item 8.—Financial Statements and Supplementary Data—Note 1—Summary of Significant Accounting Policies” in our 2023 Form 10-K for additional information.

Table 4.9 Subsequent Defaults of Financial Difficulty Modifications to Borrowers


	Three Months Ended March 31, 2024
(Dollars in millions)	Interest Rate Reduction		Term Extension		Interest Rate Reduction and Term Extension		Total Loans
Credit Card:
Domestic credit card	$	74	$	0	$	1	$	75
International card businesses	17		0		0		17
Total credit card	91		0		1		92
Consumer Banking:
Auto	0		3		103		106

Total consumer banking	0		3		103		106
Commercial Banking:
Commercial and multifamily real estate	0		0		0		0
Commercial and industrial	0		67		0		67
Total commercial banking	0		67		0		67
Total	$	91	$	70	$	104	$	265

We pledged loan collateral of $7.4 billion as of both March 31, 2024 and December 31, 2023 and also to secure a portion of our FHLB borrowing capacity of $36.7 billion and $32.1 billion as of March 31, 2024 and December 31, 2023, respectively. We also pledged loan collateral of $74.1 billion and $78.3 billion to secure our Federal Reserve Discount Window borrowing capacity of $38.8 billion and $41.4 billion as of March 31, 2024 and December 31, 2023, respectively. In addition to loans pledged, we have securitized a portion of our credit card and auto loan portfolios. See “Note 6—Variable Interest Entities and Securitizations” for additional information.