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Loans and Related Allowance for Credit Losses
 9 Months Ended
Sep. 30, 2024
Receivables [Abstract]  
Loans and Related Allowance for Credit Losses LOANS AND RELATED ALLOWANCE FOR CREDIT LOSSES
Loan Portfolio

Our loan portfolio consists of two portfolio segments – Commercial and Consumer. Each of these segments comprises multiple loan classes. Classes are characterized by similarities in risk attributes and the manner in which we monitor and assess credit risk.
CommercialConsumer
• Commercial and industrial
• Residential real estate
• Commercial real estate
• Home equity
• Equipment lease financing
• Automobile
• Credit card
• Education
• Other consumer
See Note 1 Accounting Policies in our 2023 Form 10-K for additional information on our loan related policies.

Credit Quality
We closely monitor economic conditions and loan performance trends to manage and evaluate our exposure to credit risk within the loan portfolio based on our defined loan classes. In doing so, we use several credit quality indicators, including, but not limited to, trends in delinquency rates, nonperforming status, analyses of PD and LGD ratings, updated credit scores and originated and updated LTV ratios.
We manage credit risk based on the risk profile of the borrower, repayment sources, underlying collateral and other support given current events, economic conditions and expectations. We refine our practices to address operating environment changes such as inflation levels, industry specific risks, interest rate levels, the level of consumer savings and deposit balances, and structural and secular changes such as those arising from the pandemic. To mitigate losses and enhance customer support, we offer loan modifications and collection programs to assist our customers.
Table 40 presents the composition and delinquency status of our loan portfolio at September 30, 2024 and December 31, 2023. Loan delinquencies include government insured or guaranteed loans and loans accounted for under the fair value option.

Table 40: Analysis of Loan Portfolio (a) (b)
 Accruing    
Dollars in millionsCurrent or Less
Than 30 Days
Past Due		30-59
Days
Past Due		60-89
Days
Past Due		90 Days
or More
Past Due		Total
Past
Due (c) 		 Nonperforming
Loans		Fair Value
Option
Nonaccrual
Loans (d)		Total Loans
(e)(f)
September 30, 2024  
Commercial  
Commercial and industrial$177,926 $106 $40 $97 $243   $722 $178,891 
Commercial real estate34,102 9   9   993 35,104 
Equipment lease financing6,678 22 12 34   14 6,726 
Total commercial218,706 137 52 97 286   1,729 220,721 
Consumer 
Residential real estate45,719 238 85 179 502 (c)265 $486 46,972 
Home equity25,341 65 27 92 473 64 25,970 
Automobile
14,937 81 21 6 108   90 15,135 
Credit card6,639 55 39 79 173   15 6,827 
Education
1,611 26 16 40 82 (c)1,693 
Other consumer
4,025 12 12 8 32 6 4,063 
Total consumer98,272 477 200 312 989   849 550 100,660 
Total$316,978 $614 $252 $409 $1,275   $2,578 $550 $321,381 
Percentage of total loans98.63 %0.19 %0.08 %0.13 %0.40 %0.80 %0.17 %100.00 %
December 31, 2023
Commercial
Commercial and industrial$176,796 $104 $45 $76 $225 $559 $177,580 
Commercial real estate34,685 7  9 16 735 35,436 
Equipment lease financing6,480 41 8 49 13 6,542 
Total commercial217,961 152 53 85 290 1,307 219,558 
Consumer
Residential real estate46,159 282 101 192 575 (c)294 $516 47,544 
Home equity25,533 63 27 90 458 69 26,150 
Automobile
14,638 91 20 7 118 104 14,860 
Credit card6,991 54 39 86 179 10 7,180 
Education
1,850 27 19 49 95 (c)1,945 
Other consumer
4,227 16 11 10 37 7 4,271 
Total consumer99,398 533 217 344 1,094 873 585 101,950 
Total$317,359 $685 $270 $429 $1,384 $2,180 $585 $321,508 
Percentage of total loans98.71 %0.21 %0.08 %0.13 %0.43 %0.68 %0.18 %100.00 %
(a)Amounts in table represent loans held for investment and do not include any associated ALLL.
(b)The accrued interest associated with our loan portfolio totaled $1.4 billion and $1.5 billion at September 30, 2024 and December 31, 2023, respectively. These amounts are included in Other assets on the Consolidated Balance Sheet.
(c)Past due loan amounts include government insured or guaranteed residential real estate loans and education loans totaling $0.2 billion and $0.1 billion at September 30, 2024. Comparable amounts at December 31, 2023 were $0.3 billion and $0.1 billion, respectively.
(d)Consumer loans accounted for under the fair value option for which we do not expect to collect substantially all principal and interest are subject to nonaccrual accounting and classification upon meeting any of our nonaccrual policy criteria. Given that these loans are not accounted for at amortized cost, they have been excluded from the nonperforming loan population.
(e)Includes unearned income, unamortized deferred fees and costs on originated loans and premiums or discounts on purchased loans totaling $0.9 billion and $1.0 billion at September 30, 2024 and December 31, 2023, respectively.
(f)Collateral dependent loans totaled $1.9 billion and $1.4 billion at September 30, 2024 and December 31, 2023, respectively.
At September 30, 2024, we pledged unpaid principal balances in the amounts of $46.2 billion of commercial and other loans to the Federal Reserve Bank and $89.7 billion of residential real estate and other loans to the FHLB as collateral for the ability to borrow, if necessary. The comparable amounts at December 31, 2023 were $51.3 billion and $89.5 billion, respectively.
Nonperforming Assets
Nonperforming assets include nonperforming loans and leases, OREO and foreclosed assets. Nonperforming loans are those loans accounted for at amortized cost whose credit quality has deteriorated to the extent that full collection of contractual principal and interest is not probable. Interest income is not recognized on these loans. Loans accounted for under the fair value option are reported as performing loans; however, when nonaccrual criteria is met, interest income is not recognized on these loans. Additionally, certain
government insured or guaranteed loans for which we expect to collect substantially all principal and interest are not reported as nonperforming loans and continue to accrue interest. See Note 1 Accounting Policies in our 2023 Form 10-K for additional information on our nonperforming loan and lease policies.
The following table presents our nonperforming assets as of September 30, 2024 and December 31, 2023:
Table 41: Nonperforming Assets
Dollars in millionsSeptember 30, 2024December 31, 2023
Nonperforming loans
Commercial$1,729 $1,307 
Consumer (a)849 873 
Total nonperforming loans (b)2,578 2,180 
OREO and foreclosed assets31 36 
Total nonperforming assets$2,609 $2,216 
Nonperforming loans to total loans0.80 %0.68 %
Nonperforming assets to total loans, OREO and foreclosed assets0.81 %0.69 %
Nonperforming assets to total assets0.46 %0.39 %
(a)Excludes most unsecured consumer loans and lines of credit, which are charged off after 120 to 180 days past due and are not placed on nonperforming status.
(b)Nonperforming loans for which there is no related ALLL totaled $0.6 billion and $0.5 billion at September 30, 2024 and December 31, 2023, respectively. This primarily includes loans with a fair value of collateral that exceeds the amortized cost basis.

Additional Credit Quality Indicators by Loan Class

Commercial Loan Classes
See Note 3 Loans and Related Allowance for Credit Losses in our 2023 Form 10-K for additional information related to these loan classes, including discussion around the credit quality indicators that we use to monitor and manage the credit risk associated with each loan class.
The following table presents credit quality indicators for our commercial loan classes:
Table 42: Commercial Credit Quality Indicators (a)
 Term Loans by Origination Year  
September 30, 2024
In millions
20242023202220212020PriorRevolving LoansRevolving Loans Converted to TermTotal
Commercial and industrial
Pass Rated$16,786 $16,119 $18,362 $5,682 $4,954 $12,864 $92,692 $600 $168,059 
Criticized484 1,079 2,257 726 166 726 5,330 64 10,832 
Total commercial and industrial loans17,270 17,198 20,619 6,408 5,120 13,590 98,022 664 178,891 
Gross charge-offs (b)16 (c)23 43 22 4 4 86 52 250 
Commercial real estate
Pass Rated1,717 5,419 7,664 2,514 1,763 10,273 390 9 29,749 
Criticized98 253 1,901 498 453 2,082 19 51 5,355 
Total commercial real estate loans1,815 5,672 9,565 3,012 2,216 12,355 409 60 35,104 
Gross charge-offs (b) 5  2 1 263   271 
Equipment lease financing
Pass Rated1,267 1,318 1,206 544 538 1,496  6,369 
Criticized46 105 82 61 27 36 357 
Total equipment lease financing loans1,313 1,423 1,288 605 565 1,532  6,726 
Gross charge-offs (b) 5 8 4 3 5   25 
Total commercial loans$20,398 $24,293 $31,472 $10,025 $7,901 $27,477 $98,431 $724 $220,721 
Total commercial gross charge-offs$16 $33 $51 $28 $8 $272 $86 $52 $546 
 Term Loans by Origination Year  
December 31, 2023
In millions
20232022202120202019PriorRevolving LoansRevolving Loans Converted to TermTotal
Commercial and industrial
Pass Rated$23,019 $26,657 $7,562 $5,783 $4,110 $11,982 $88,467 $573 $168,153 
Criticized838 1,781 739 331 281 698 4,708 51 9,427 
Total commercial and industrial loans23,857 28,438 8,301 6,114 4,391 12,680 93,175 624 177,580 
Gross charge-offs (b)25 (c)32 33 8 3 26 105 12 244 
Commercial real estate
Pass Rated4,182 8,571 2,986 2,190 4,887 7,411 383 30,610 
Criticized155 1,300 455 490 622 1,753 51 4,826 
Total commercial real estate loans4,337 9,871 3,441 2,680 5,509 9,164 434 35,436 
Gross charge-offs (b)   12 31 137   180 
Equipment lease financing
Pass Rated1,522 1,424 689 690 452 1,378 6,155 
Criticized90 81 81 51 35 49 387 
Total equipment lease financing loans1,612 1,505 770 741 487 1,427 6,542 
Gross charge-offs (b)4 4 4 4 1 1   18 
Total commercial loans$29,806 $39,814 $12,512 $9,535 $10,387 $23,271 $93,609 $624 $219,558 
Total commercial gross charge-offs$29 $36 $37 $24 $35 $164 $105 $12 $442 
(a)Loans in our commercial portfolio are classified as Pass Rated or Criticized based on the regulatory definitions, which are driven by the PD and LGD ratings that we assign. The Criticized classification includes loans that were rated special mention, substandard or doubtful as of September 30, 2024 and December 31, 2023.
(b)Gross charge-offs are presented on a year-to-date basis, as of the period end date.
(c)Includes charge-offs of deposit overdrafts.

Consumer Loan Classes
See Note 3 Loans and Related Allowance for Credit Losses in our 2023 Form 10-K for additional information related to these loan classes, including discussion around the credit quality indicators that we use to monitor and manage the credit risk associated with each loan class.
Residential Real Estate and Home Equity
The following table presents credit quality indicators for our residential real estate and home equity loan classes:
Table 43: Credit Quality Indicators for Residential Real Estate and Home Equity Loan Classes
Term Loans by Origination Year
September 30, 2024
In millions
20242023202220212020PriorRevolving LoansRevolving Loans Converted to TermTotal
Residential real estate
Current estimated LTV ratios
Greater than 100%$5 $68 $113 $59 $23 $31 $299 
Greater than or equal to 80% to 100%608 633 963 581 176 134 3,095 
Less than 80%1,582 4,084 8,551 14,187 6,206 8,294 42,904 
No LTV available 36  11 3 50 
Government insured or guaranteed loans 17 22 16 67 502 624 
Total residential real estate loans$2,195 $4,838 $9,649 $14,854 $6,472 $8,964 $46,972 
Updated FICO scores
Greater than or equal to 780$1,302 $3,337 $7,639 $11,832 $4,726 $5,042 $33,878 
720 to 779775 960 1,484 2,152 1,081 1,609 8,061 
660 to 719114 273 411 618 342 816 2,574 
Less than 6603 116 85 148 102 703 1,157 
No FICO score available1 135 8 88 154 292 678 
Government insured or guaranteed loans 17 22 16 67 502 624 
Total residential real estate loans$2,195 $4,838 $9,649 $14,854 $6,472 $8,964 $46,972 
Gross charge-offs (a)     $2 $2 
Home equity (b)
Current estimated LTV ratios
Greater than 100%$1 $12 $15 $333 $328 $689 
Greater than or equal to 80% to 100%5 32 30 1,042 1,552 2,661 
Less than 80%145 1,720 2,958 6,922 10,875 22,620 
Total home equity loans$151 $1,764 $3,003 $8,297 $12,755 $25,970 
Updated FICO scores
Greater than or equal to 780$96 $1,177 $1,845 $4,626 $6,203 $13,947 
720 to 77937 368 606 2,225 3,265 6,501 
660 to 71915 157 302 1,198 2,039 3,711 
Less than 6603 60 243 241 1,202 1,749 
No FICO score available 2 7 7 46 62 
Total home equity loans$151 $1,764 $3,003 $8,297 $12,755 $25,970 
Gross charge-offs (a)     $1 $13 $13 $27 
(Continued from previous page)Term Loans by Origination Year
December 31, 2023
In millions
20232022202120202019PriorRevolving LoansRevolving Loans Converted to TermTotal
Residential real estate
Current estimated LTV ratios
Greater than 100% $15 $139 $79 $31 $10 $28 $302 
Greater than or equal to 80% to 100% 1,665 1,928 955 221 69 92 4,930 
Less than 80%3,585 7,977 14,421 6,514 2,154 6,935 41,586 
No LTV available56  13   4 73 
Government insured or guaranteed loans14 20 16 66 37 500 653 
Total residential real estate loans$5,335 $10,064 $15,484 $6,832 $2,270 $7,559 $47,544 
Updated FICO scores
Greater than or equal to 780$3,206 $7,797 $12,197 $5,035 $1,492 $4,004 $33,731 
720 to 7791,482 1,659 2,389 1,107 432 1,388 8,457 
660 to 719400 508 657 334 171 721 2,791 
Less than 66093 71 133 122 82 680 1,181 
No FICO score available140 9 92 168 56 266 731 
Government insured or guaranteed loans14 20 16 66 37 500 653 
Total residential real estate loans$5,335 $10,064 $15,484 $6,832 $2,270 $7,559 $47,544 
Gross charge-offs (a) $2 $1 $1  $4 $8 
Home equity (b)
Current estimated LTV ratios
Greater than 100%$1 $12 $6 $14 $306 $309 $648 
Greater than or equal to 80% to 100%4 40 17 22 1,116 1,743 2,942 
Less than 80%157 1,866 845 2,556 6,843 10,293 22,560 
Total home equity loans $162 $1,918 $868 $2,592 $8,265 $12,345 $26,150 
Updated FICO scores
Greater than or equal to 780$102 $1,254 $489 $1,605 $4,604 $6,083 $14,137 
720 to 77938 423 216 488 2,222 3,225 6,612 
660 to 71917 174 110 271 1,207 1,894 3,673 
Less than 6605 65 52 220 223 1,089 1,654 
No FICO score available 2 1 8 9 54 74 
Total home equity loans $162 $1,918 $868 $2,592 $8,265 $12,345 $26,150 
Gross charge-offs (a)     $4 $7 $10 $21 
(a)Gross charge-offs are presented on a year-to-date basis, as of the period end date.
(b)Beginning January 1, 2022, new originations consist of only revolving Home Equity Lines of Credit.
Automobile, Credit Card, Education and Other Consumer
The following table presents credit quality indicators for our automobile, credit card, education and other consumer loan classes:

Table 44: Credit Quality Indicators for Automobile, Credit Card, Education and Other Consumer Loan Classes
Term Loans by Origination Year
September 30, 2024
In millions
20242023202220212020PriorRevolving LoansRevolving Loans Converted to TermTotal
Automobile
Updated FICO scores
Greater than or equal to 780$2,590 $1,901 $1,227 $1,010 $304 $181 $7,213 
720 to 7791,533 1,309 747 494 164 132 4,379 
660 to 719720 756 417 266 104 106 2,369 
Less than 660145 354 238 188 101 148 1,174 
Total automobile loans$4,988 $4,320 $2,629 $1,958 $673 $567 $15,135 
Gross charge-offs (a)$4 $33 $21 $13 $9 $18 $98 
Credit card
Updated FICO scores
Greater than or equal to 780$2,000 $1 $2,001 
720 to 7791,864 5 1,869 
660 to 7191,836 15 1,851 
Less than 660946 55 1,001 
No FICO score available or required (b)102 3 105 
Total credit card loans$6,748 $79 $6,827 
Gross charge-offs (a)$240 $28 $268 
Education
Updated FICO scores
Greater than or equal to 780$10 $61 $83 $41 $34 $332 $561 
720 to 77914 39 40 21 15 123 252 
660 to 71910 15 15 6 5 51 102 
Less than 6602 3 4 1 1 21 32 
No FICO score available or required (b)13 6 4 3 1 1 28 
Total loans using FICO credit metric49 124 146 72 56 528 975 
Other internal credit metrics 718 718 
Total education loans$49 $124 $146 $72 $56 $1,246 $1,693 
Gross charge-offs (a)  $1 $1 $1 $10 $13 
Other consumer
Updated FICO scores
Greater than or equal to 780$189 $157 $75 $24 $8 $8 $37 $1 $499 
720 to 779232 171 89 28 10 9 74 1 614 
660 to 719163 105 87 29 11 9 80 1 485 
Less than 6609 33 39 18 8 7 41 1 156 
Total loans using FICO credit metric593 466 290 99 37 33 232 4 1,754 
Other internal credit metrics6 10 93 14 12 92 2,071 11 2,309 
Total other consumer loans$599 $476 $383 $113 $49 $125 $2,303 $15 $4,063 
Gross charge-offs (a)$55 (c)$19 $19 $11 $6 $8 $8 $1 $127 
(Continued from previous page)Term Loans by Origination Year
December 31, 2023
In millions
20232022202120202019PriorRevolving LoansRevolving Loans Converted to TermTotal
Automobile
Updated FICO Scores
Greater than or equal to 780$2,722 $1,650 $1,483 $535 $368 $88 $6,846 
720 to 7791,797 1,104 778 301 250 80 4,310 
660 to 7191,014 604 408 186 186 70 2,468 
Less than 660264 272 243 152 200 105 1,236 
Total automobile loans$5,797 $3,630 $2,912 $1,174 $1,004 $343 $14,860 
Gross charge-offs (a)$8 $24 $22 $17 $30 $20   $121 
Credit card
Updated FICO scores
Greater than or equal to 780$2,017 $1 $2,018 
720 to 7791,976 4 1,980 
660 to 7191,979 13 1,992 
Less than 6601,036 48 1,084 
No FICO score available or required (b)103 3 106 
Total credit card loans$7,111 $69 $7,180 
Gross charge-offs (a)      $290 $29 $319 
Education
Updated FICO scores
Greater than or equal to 780$35 $88 $45 $40 $51 $331 $590 
720 to 77932 47 24 19 24 131 277 
660 to 71920 17 8 6 8 54 113 
Less than 6604 3 2 1 2 21 33 
No FICO score available or required (b)15 5 4 2 1 27 
Total loans using FICO credit metric106 160 83 68 85 538 1,040 
Other internal credit metrics 905 905 
Total education loans$106 $160 $83 $68 $85 $1,443 $1,945 
Gross charge-offs (a)  $1 $1 $2 $13   $17 
Other consumer
Updated FICO scores
Greater than or equal to 780$241 $127 $47 $21 $14 $11 $39 $1 $501 
720 to 779286 157 54 26 17 11 80 1 632 
660 to 719147 140 57 27 21 11 87 2 492 
Less than 66019 52 31 17 14 8 43 1 185 
Total loans using FICO credit metric693 476 189 91 66 41 249 5 1,810 
Other internal credit metrics 19 97 33 48 71 34 2,149 10 2,461 
Total other consumer loans$712 $573 $222 $139 $137 $75 $2,398 $15 $4,271 
Gross charge-offs (a)$75 (c)$23 $18 $14 $14 $8 $11 $1 $164 
(a)Gross charge-offs are presented on a year-to-date basis, as of the period end date.
(b)Loans where FICO scores are not available or required generally refers to new accounts issued to borrowers with limited credit history, accounts for which we cannot obtain an updated FICO score (e.g., recent profile changes), cards issued with a business name and/or cards secured by collateral. Management proactively assesses the risk and size of this loan category and, when necessary, takes actions to mitigate the credit risk.
(c)Includes charge-offs of deposit overdrafts.
Loan Modifications to Borrowers Experiencing Financial Difficulty

Loan modifications to borrowers experiencing financial difficulty (FDMs) result from our loss mitigation activities and include principal forgiveness, interest rate reductions, term extensions, payment delays, repayment plans or combinations thereof. See Note 1 Accounting Policies in our 2023 Form 10-K for additional information on FDMs.
The following table presents the amortized cost basis, as of the period end date, of FDMs granted during the three and nine months ended September 30, 2024 and 2023:

Table 45: Loan Modifications Granted to Borrowers Experiencing Financial Difficulty (a) (b)
Three months ended September 30, 2024
Dollars in millions
Interest Rate ReductionTerm ExtensionPayment Delay Repayment Plan Payment Delay and Term ExtensionInterest Rate Reduction and Term ExtensionOther (c)Total% of Loan Class
Commercial
Commercial and industrial $372 $19 $6 $11 $2 $410 0.23 %
Commercial real estate253 87  14 354 1.01 %
Total commercial 625 106 6 11 16 764 0.35 %
Consumer
Residential real estate 28 1 4 33 0.07 %
Home equity3 $1  6 10 0.04 %
Credit card21 21 0.31 %
Education 1 1 0.06 %
Total consumer 1 31 22 1 10 65 0.06 %
Total $626 $137 $22 $6 $12 $26 $829 0.26 %
Three months ended September 30, 2023
Dollars in millions
Commercial
Commercial and industrial$15 $356 $37 $7 $83 $498 0.29 %
Commercial real estate307 16 323 0.90 %
Total commercial15 663 53  7  83 821 0.38 %
Consumer  
Residential real estate1 50 3 54 0.11 %
Home equity2 5 7 0.03 %
Credit card$20 20 0.28 %
Education 1 1 0.05 %
Other consumer110.02 %
Total consumer1 1 52 21   8 83 0.08 %
Total$16 $664 $105 $21 $7  $91 $904 0.28 %
Nine months ended September 30, 2024
Dollars in millions
Interest Rate ReductionTerm ExtensionPayment DelayRepayment PlanPayment Delay and Term ExtensionInterest Rate Reduction and Term ExtensionInterest Rate Reduction and Payment DelayOther (c)Total% of Loan Class
Commercial
Commercial and industrial$27 $927 $34 $157 $104 $15 $85 $1,349 0.75 %
Commercial real estate926 101 147 1,174 3.34 %
Total commercial27 1,853 135 304 104 15 85 2,523 1.14 %
Consumer
Residential real estate 1 67 3 8 79 0.17 %
Home equity10 $5  12 27 0.10 %
Credit card52 52 0.76 %
Education4 4 0.24 %
Other consumer110.02 %
Total consumer 5 77 58 3 20 163 0.16 %
Total$27 $1,858 $212 $58 $304 $107 $15 $105 $2,686 0.84 %
Nine months ended September 30, 2023
Dollars in millions
Commercial
Commercial and industrial$15 $704 $91 $20 $130 $960 0.55 %
Commercial real estate745 16 61 822 2.30 %
Total commercial15 1,449 107  20   191 1,782 0.82 %
Consumer
Residential real estate1 83 $3 6 93 0.20 %
Home equity6 $7 9 22 0.08 %
Credit card45 45 0.64 %
Education3 3 0.15 %
Other consumer1 1 0.02 %
Total consumer1 3 89 53  3  15 164 0.16 %
Total$16 $1,452 $196 $53 $20 $3  $206 $1,946 0.61 %
(a)The unfunded lending related commitments on FDMs granted were $0.5 billion and $0.3 billion during the nine months ended September 30, 2024 and 2023, respectively.
(b)Excludes the amortized cost basis of modified loans that were paid off, charged off or otherwise liquidated as of the period end date.
(c)Represents all other modifications, and includes trial modifications and loans where we have received notification that a borrower has filed for Chapter 7 bankruptcy relief, but specific instructions as to the terms of the relief have not been formally ruled upon by the court.
Table 46 presents the weighted average financial effect of FDMs granted during the three and nine months ended September 30, 2024 and 2023.

Table 46: Financial Effect of FDMs (a)
Three months ended September 30, 2024
Dollars in millions
Amortized cost basis (b)Financial Effect
Term Extension
Commercial and industrial$389
Extended contractual term by 11 months.
Commercial real estate$253
Extended contractual term by 17 months.
Residential real estate$1
Extended contractual term by 28 months.
Education$1
Extended contractual term by 12 months.
Interest Rate Reduction
Commercial and industrial$11
Reduced contractual interest rate by 1.52%.
Residential real estate$1
Reduced contractual interest rate by 1.48%.
Payment Delay
Commercial and industrial$25
Provided 3 months of payment deferral.
Commercial real estate$87
Provided 8 months of payment deferral.
Residential real estate$28
Provided 10 months of payment deferral.
Home equity$3
Provided 5 months of payment deferral.
Three months ended September 30, 2023
Dollars in millions
Amortized cost basis (b)Financial Effect
Term Extension
Commercial and industrial$363
Extended contractual term by 13 months.
Commercial real estate$307
Extended contractual term by 13 months.
Education$1
Extended contractual term by 15 months.
Interest Rate Reduction
Commercial and industrial$15
Reduced contractual interest rate by 0.25%.
Residential real estate$1
Reduced contractual interest rate by 0.72%.
Payment Delay
Commercial and industrial$44
Provided 6 months of payment deferral.
Commercial real estate$16
Provided 8 months of payment deferral.
Residential real estate$50
Provided 10 months of payment deferral.
Home equity$2
Provided 5 months of payment deferral.
Nine months ended September 30, 2024
Dollars in millions
Amortized cost basis (b)Financial Effect
Term Extension
Commercial and industrial$1,188
Extended contractual term by 14 months.
Commercial real estate$1,073
Extended contractual term by 15 months.
Residential real estate$4
Extended contractual term by 81 months.
Education$4
Extended contractual term by 12 months.
Interest Rate Reduction
Commercial and industrial$146
Reduced contractual interest rate by 1.45%.
Residential real estate$3
Reduced contractual interest rate by 0.83%.
Payment Delay
Commercial and industrial$206
Provided 8 months of payment deferral.
Commercial real estate$248
Provided 7 months of payment deferral.
Residential real estate$67
Provided 9 months of payment deferral.
Home equity$10
Provided 4 months of payment deferral.
Nine months ended September 30, 2023
Dollars in millions
Amortized cost basis (b)Financial Effect
Term Extension
Commercial and industrial$724
Extended contractual term by 12 months.
Commercial real estate$745
Extended contractual term by 16 months.
Residential real estate$3
Extended contractual term by 118 months.
Education$3
Extended contractual term by 16 months.
Interest Rate Reduction
Commercial and industrial$15
Reduced contractual interest rate by 0.25%.
Residential real estate$4
Reduced contractual interest rate by 1.13%.
Payment Delay
Commercial and industrial$111
Provided 6 months of payment deferral.
Commercial real estate$16
Provided 8 months of payment deferral.
Residential real estate$83
Provided 9 months of payment deferral.
Home equity$6
Provided 4 months of payment deferral.
(a)Excludes the financial effects of modifications for loans that were paid off, charged off or otherwise liquidated as of the period end date.
(b)The amortized cost basis presented in Table 46 includes combination modification categories in addition to the standalone modification categories presented in Table 45. Primarily due to this reason, the amortized cost basis presented in Table 46 may not agree to the amortized cost basis presented alongside the standalone modification categories in Table 45. Amortized cost basis is as of the period end date.

Repayment plans are excluded from Table 46. The terms of these programs, which are offered for certain consumer products, are as follows:
•Credit card and unsecured lines of credit
•Short-term programs are granted for periods of 6 and 12 months. These programs are structurally similar such that the interest rate is reduced to a standard rate of 4.99% and the minimum payment percentage is adjusted to 1.90% of the outstanding balance. At the end of the 6 or 12 months, the borrower is returned to the original contractual interest rate and minimum payment amount specified in the original lending agreement.
•Fully-amortized repayment plans are also granted, the most common of which being a 60 month program. In this program, we convert the borrower’s drawn and unpaid balances into a fully-amortized repayment plan consisting of an interest rate of 4.99% and an adjusted minimum payment percentage of 1.90% of the outstanding balance. This fully-amortized program is designed in a manner that allows the drawn and unpaid amounts to be recaptured at the end of the 60 months.
•Home equity loans and lines of credit
•Fixed payment plan programs establish a modified monthly payment that is informed by the borrower’s financial situation and the current market environment at the time of modification, among other factors. As such, we may change the borrower’s interest rate, modify the term of the loan, and/or defer payment to arrive at the modified monthly payment. Each of the aforementioned terms may increase or decrease, and may vary from loan to loan, based on the individual loan and borrower characteristics.
After we modify a loan, we continue to track its performance under its most recent modified terms. The following table presents the performance, as of the period end date, of FDMs granted during the twelve months preceding September 30, 2024.

Table 47: Payment Performance of FDMs Modified in the Last 12 Months (a) (b)
Twelve months ended September 30, 2024
Dollars in millions
Current or Less Than 30 Days Past Due30-59 Days Past Due60-89 Days Past Due90 Days
or More
Past Due		Nonperforming
Loans 		Total
Commercial
Commercial and industrial$1,213 $18 $1  $248 $1,480 
Commercial real estate874    462 1,336 
Total commercial2,087 18 1  710 2,816 
Consumer 
Residential real estate8 1   83 92 
Home equity5    27 32 
Credit card43 5 4 $7 1 60 
Education 4     4 
Other consumer    2 2 
Total consumer60 6 4 7 113 190 
Total$2,147 $24 $5 $7 $823 $3,006 
(a)Represents amortized cost basis.
(b)Loans in our Payment Delay category are reported as past due in accordance with their contractual terms. Once contractually modified, these loans are reported as past due in accordance with their restructured terms.
The following table presents the performance as of September 30, 2023 for FDMs granted since January 1, 2023:
Table 48: Payment Performance of FDMs (a) (b)
Nine months ended September 30, 2023
Dollars in millions
Current or Less Than 30 Days
Past Due		30-59 Days
Past Due		60-89 Days
Past Due		90 Days
or More
Past Due		Nonperforming
Loans 		Total
Commercial
Commercial and industrial$801   $3 $156 $960 
Commercial real estate755    67 822 
Total commercial1,556   3 223 1,782 
Consumer 
Residential real estate4 $1   88 93 
Home equity1    21 22 
Credit card31 4 $3 6 1 45 
Education 3     3 
Other consumer    1 1 
Total consumer39 5 3 6 111 164 
Total$1,595 $5 $3 $9 $334 $1,946 
(a)Represents amortized cost basis.
(b)Loans in our Payment Delay category are reported as past due in accordance with their contractual terms. Once contractually modified, these loans are reported as past due in accordance with their restructured terms.
We generally consider FDMs to have subsequently defaulted when they become 60 days past due after the most recent date the loan
was modified. The following table presents loans that were both (i) classified as FDMs, and (ii) subsequently defaulted during the period.
Table 49: Subsequently Defaulted FDMs (a)
Three months ended September 30, 2024
Dollars in millions
Term ExtensionPayment DelayRepayment Plan
Payment Delay and Term Extension
All Other Modifications (b)Total
Commercial
Commercial and industrial$35 $3 $3 $41 
Commercial real estate27 27 
Total commercial62 3  3  68 
Consumer 
Residential real estate14 $3 17 
Home equity1 2 3 
Credit card$8 8 
Total consumer 15 8  5 28 
Total$62 $18 $8 $3 $5 $96 

Nine months ended September 30, 2024
Dollars in millions
Term ExtensionPayment DelayRepayment Plan
Payment Delay and Term Extension
All Other Modifications (b)Total
Commercial
Commercial and industrial$61 $12 $3 $76 
Commercial real estate28 33 37 98 
Total commercial89 45  40  174 
Consumer 
Residential real estate33 $5 38 
Home equity2 $1 7 10 
Credit card24 24 
Total consumer 35 25  12 72 
Total$89 $80 $25 $40 $12 $246 
(a)Represents amortized cost basis.
(b)Includes the following modification categories: interest rate reduction, combination of interest rate reduction/payment delay, combination of interest rate reduction/term extension, and other.

Subsequently defaulted loans during the three and nine months ended September 30, 2023 were $36 million and $84 million, respectively.
Allowance for Credit Losses

We maintain the ACL related to loans at levels that we believe to be appropriate to absorb expected credit losses in the portfolios as of the balance sheet date. See Note 1 Accounting Policies in our 2023 Form 10-K for a discussion of the methodologies used to determine this allowance. A rollforward of the ACL related to loans follows:
Table 50: Rollforward of Allowance for Credit Losses
Three months ended September 30Nine months ended September 30
2024202320242023
In millionsCommercialConsumerTotalCommercialConsumerTotalCommercialConsumerTotalCommercialConsumerTotal
Allowance for loan and lease losses
Beginning balance$3,243 $1,393 $4,636 $3,142 $1,595 $4,737 $3,259 $1,532 $4,791 $3,114 $1,627 $4,741 
Adoption of ASU 2022-02 (a)   (35)(35)
Beginning balance, adjusted3,243 1,393 4,636 3,142 1,595 4,737 3,259 1,532 4,791 3,114 1,592 4,706 
Charge-offs(200)(176)(376)(72)(161)(233)(546)(535)(1,081)(327)(481)(808)
Recoveries28 62 90 49 63 112 103 187 290 110 188 298 
Net (charge-offs)(172)(114)(286)(23)(98)(121)(443)(348)(791)(217)(293)(510)
Provision for credit losses
151 84 235 105 48 153 408 178 586 325 246 571 
Other4  4 (2) (2)2 1 3  
Ending balance$3,226 $1,363 $4,589 $3,222 $1,545 $4,767 $3,226 $1,363 $4,589 $3,222 $1,545 $4,767 
Allowance for unfunded lending related commitments (b)
 Beginning balance$581 $136 $717 $555 $108 $663 $545 $118 $663 $613 $81 $694 
Provision for (recapture of) credit losses(2)9 7 (22)(1)(23)34 27 61 (80)26 (54)
Other
1 1 1 1 
Ending balance$580 $145 $725 $533 $107 $640 $580 $145 $725 $533 $107 $640 
Allowance for credit losses at September 30 (c)
$3,806 $1,508 $5,314 $3,755 $1,652 $5,407 $3,806 $1,508 $5,314 $3,755 $1,652 $5,407 
(a)Represents the impact of adopting ASU 2022-02 Financial Instruments - Credit Losses (Topic 326): Troubled Debt Restructurings and Vintage Disclosures on January 1, 2023. As a result of adoption, we eliminated the accounting guidance for TDRs, including the use of a discounted cash flow approach to measure the allowance for TDRs.
(b)See Note 8 Commitments for additional information about the underlying commitments related to this allowance.
(c)Represents the ALLL plus allowance for unfunded lending related commitments and excludes allowances for investment securities and other financial assets, which together totaled $111 million and $131 million at September 30, 2024 and 2023, respectively.
The ACL related to loans totaled $5.3 billion at September 30, 2024 and $5.5 billion at December 31, 2023. The reserve change was driven by improved macroeconomic factors as well as portfolio activity.