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DISCLOSURES ABOUT FAIR VALUE OF FINANCIAL INSTRUMENTS (Tables)

9 Months Ended

Sep. 30, 2025

Fair Value Disclosures [Abstract]

Estimated Fair Values of Financial Instruments

The estimated fair values of Customers’ financial instruments at September 30, 2025 and December 31, 2024 were as follows:

															Fair Value Measurements at September 30, 2025
(amounts in thousands)			Carrying Amount						Estimated Fair Value						Quoted Prices in Active Markets for Identical Assets (Level 1)						Significant Other Observable Inputs (Level 2)						Significant Unobservable Inputs (Level 3)
Assets:
Cash and cash equivalents			$	4,185,639					$	4,185,639					$	4,185,639					$	—					$	—
Debt securities, available for sale			1,979,832						1,979,832						—						1,697,993						281,839
Debt securities, held to maturity			801,324						757,130						—						456,455						300,675
Loans held for sale			30,897						30,897						—						2,229						28,668
Total loans and leases receivable, net of allowance for credit losses on loans and leases			16,120,441						15,831,500						—						1,486,978						14,344,522
FHLB, Federal Reserve Bank, and other restricted stock			103,290						103,290						—						103,290						—
Derivatives			12,631						12,631						—						12,613						18
Liabilities:
Deposits			$	20,405,023					$	20,431,102					$	17,325,220					$	3,105,882					$	—
FHLB advances			1,195,437						1,197,611						—						1,197,611						—
Other borrowings			99,173						87,336						—						87,336						—
Subordinated debt			182,718						174,181						—						174,181						—
Derivatives			17,430						17,430						—						17,430						—

															Fair Value Measurements at December 31, 2024
(amounts in thousands)			Carrying Amount						Estimated Fair Value						Quoted Prices in Active Markets for Identical Assets (Level 1)						Significant Other Observable Inputs (Level 2)						Significant Unobservable Inputs (Level 3)
Assets:
Cash and cash equivalents			$	3,785,931					$	3,785,931					$	3,785,931					$	—					$	—
Debt securities, available for sale			1,985,438						1,985,438						—						1,972,202						13,236
Debt securities, held to maturity			991,937						934,677						—						461,307						473,370
Loans held for sale			204,794						204,794						—						1,836						202,958
Total loans and leases receivable, net of allowance for credit losses on loans and leases			14,311,987						14,104,884						—						1,321,128						12,783,756
FHLB, Federal Reserve Bank, and other restricted stock			96,214						96,214						—						96,214						—
Derivatives			15,263						15,263						—						15,223						40
Liabilities:
Deposits			$	18,846,461					$	18,842,810					$	16,138,256					$	2,704,554					$	—
FHLB advances			1,128,352						1,103,324						—						1,103,324						—
Other borrowings			99,068						88,000						—						88,000						—
Subordinated debt			182,509						167,601						—						167,601						—
Derivatives			22,570						22,570						—						22,570						—

Summary of Financial Assets and Liabilities Measured at Fair Value on a Recurring and Nonrecurring Basis

For financial assets and liabilities measured at fair value on a recurring and nonrecurring basis, the fair value measurements by level within the fair value hierarchy used at September 30, 2025 and December 31, 2024 were as follows:

			September 30, 2025
			Fair Value Measurements at the End of the Reporting Period Using
(amounts in thousands)			Quoted Prices in Active Markets for Identical Assets (Level 1)						Significant Other Observable Inputs (Level 2)						Significant Unobservable Inputs (Level 3)						Total
Measured at Fair Value on a Recurring Basis:
Assets
Available for sale debt securities:
Asset-backed securities			$	—					$	—					$	281,839					$	281,839
Agency-guaranteed residential mortgage-backed securities			—						444,086						—						444,086
Agency-guaranteed residential collateralized mortgage obligations			—						482,614						—						482,614
Agency-guaranteed commercial collateralized mortgage obligations			—						94,789						—						94,789
Collateralized loan obligations			—						10,660						—						10,660
Corporate notes			—						299,432						—						299,432
Private label collateralized mortgage obligations			—						366,412						—						366,412
Derivatives			—						12,613						18						12,631
Loans held for sale – fair value option			—						2,229						240						2,469
Loans receivable, mortgage finance – fair value option			—						1,486,978						—						1,486,978
Loans receivable, installment – fair value option			—						—						111,636						111,636
Total assets – recurring fair value measurements			$	—					$	3,199,813					$	393,733					$	3,593,546
Liabilities
Derivatives			$	—					$	17,430					$	—					$	17,430
Measured at Fair Value on a Nonrecurring Basis:
Assets
Collateral-dependent loans			$	—					$	—					$	11,317					$	11,317
Other real estate owned			—						—						12,432						12,432
Total assets – nonrecurring fair value measurements			$	—					$	—					$	23,749					$	23,749

			December 31, 2024
			Fair Value Measurements at the End of the Reporting Period Using
(amounts in thousands)			Quoted Prices in Active Markets for Identical Assets (Level 1)						Significant Other Observable Inputs (Level 2)						Significant Unobservable Inputs (Level 3)						Total
Measured at Fair Value on a Recurring Basis:
Assets
Available for sale debt securities:
Asset-backed securities			$	—					$	—					$	13,236					$	13,236
Agency-guaranteed residential mortgage–backed securities			—						327,038						—						327,038
Agency-guaranteed residential collateralized mortgage obligations			—						226,746						—						226,746
Agency-guaranteed commercial collateralized mortgage obligations			—						93,075						—						93,075
Collateralized loan obligations			—						255,407						—						255,407
Commercial mortgage-backed securities			—						77,708						—						77,708
Corporate notes			—						516,330						—						516,330
Private label collateralized mortgage obligations			—						475,898						—						475,898
Derivatives			—						15,223						40						15,263
Loans held for sale – fair value option			—						1,836						162,055						163,891
Loans receivable, mortgage finance – fair value option			—						1,321,128						—						1,321,128
Total assets – recurring fair value measurements			$	—					$	3,310,389					$	175,331					$	3,485,720
Liabilities
Derivatives			$	—					$	22,570					$	—					$	22,570
Measured at Fair Value on a Nonrecurring Basis:
Assets
Collateral-dependent loans			$	—					$	—					$	18,048					$	18,048
Total assets – nonrecurring fair value measurements			$	—					$	—					$	18,048					$	18,048

Statement of Changes in Level 3 Assets Measured at Fair Value on a Recurring Basis

The changes in asset-backed securities (Level 3 assets) measured at fair value on a recurring basis for the three and nine months ended September 30, 2025 and 2024 are summarized in the tables below:

			Asset-backed securities
(amounts in thousands)			Three Months Ended September 30,
			2025						2024
Balance at July 1			$	228,698					$	21,862
Purchases			85,776						—
Principal payments and premium amortization			(34,242)						(5,704)
Increase in allowance for credit losses			(19)						(24)
Decrease in allowance for credit losses			407						84
Change in fair value recognized in OCI			1,219						607
Balance at September 30			$	281,839					$	16,825

			Asset-backed securities
(amounts in thousands)			Nine Months Ended September 30,
			2025						2024
Balance at January 1			$	13,236					$	34,949
Purchases			322,032						—
Principal payments and premium amortization			(55,241)						(19,652)
Increase in allowance for credit losses			(485)						(24)
Decrease in allowance for credit losses			651						200
Change in fair value recognized in OCI			1,646						1,352
Balance at September 30			$	281,839					$	16,825

The changes in other installment loans (Level 3 assets) classified as held for sale and held for investment, and measured at fair value on a recurring basis, based on an election made to account for the loans at fair value for the three and nine months ended September 30, 2025 and 2024 are summarized in the tables below:

			Other Installment Loans
(amounts in thousands)			Three Months Ended September 30,
			2025						2024
Balance at July 1			$	123,455					$	247,442
Originations			998						223,625
Sales			(856)						(200,041)
Principal payments			(11,949)						(53,928)
Change in fair value recognized in earnings			228						—
Balance at September 30			$	111,876					$	217,098

			Other Installment Loans
(amounts in thousands)			Nine Months Ended September 30,
			2025						2024
Balance at January 1			$	162,055					$	188,062
Originations			196,956						704,081
Sales			(176,777)						(518,271)
Principal payments			(72,636)						(156,774)
Change in fair value recognized in earnings			2,278						—
Balance at September 30			$	111,876					$	217,098

Summary of Financial Assets and Financial Liabilities Measured at Fair Value on Recurring and Nonrecurring Basis

The following tables summarize financial assets and financial liabilities measured at fair value as of September 30, 2025 and December 31, 2024 on a recurring and nonrecurring basis for which Customers utilized Level 3 inputs to measure fair value. The unobservable Level 3 inputs noted below contain a level of uncertainty that may differ from what is realized in an immediate settlement of the assets. Therefore, Customers may realize a value higher or lower than the current estimated fair value of the assets.

Quantitative Information about Level 3 Fair Value Measurements

(dollars in thousands)

Fair Value Estimate

Valuation Technique

Unobservable Input

Range  (Weighted Average)

September 30, 2025

Asset-backed securities

$

281,839

Discounted cash flow

Discount rate Annualized loss rate Constant prepayment rate

8% - 9% (8%) 4% - 12% (6%) 19% - 20% (19%)

Other real estate owned

12,432

Collateral appraisal (1)

Liquidation expenses (2)

6% - 7% (6%)

Quantitative Information about Level 3 Fair Value Measurements

(dollars in thousands)

Fair Value Estimate

Valuation Technique

Unobservable Input

Range  (Weighted Average)

December 31, 2024

Asset-backed securities

$

13,236

Discounted cash flow

Discount rate Annualized loss rate Constant prepayment rate

9% - 10% (10%) 5% - 10% (7%) 19% - 20% (19%)

(1)    Obtained from approved independent appraisers. Appraisals are current and in compliance with credit policy. Customers does not generally discount appraisals. Fair value is also estimated based on sale agreements or letters of intent with third parties.

(2)    Appraisals are adjusted by management for liquidation expenses. The range and weighted average of liquidation expense adjustments are presented as a percentage of the appraisal.

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- Definition

Tabular disclosure of financial instrument measured at fair value on recurring or nonrecurring basis. Includes, but is not limited to, instrument classified in shareholders' equity.

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