XML 88 R53.htm IDEA: XBRL DOCUMENT v3.20.4
ALLOWANCE FOR CREDIT LOSSES (Tables)
12 Months Ended
Dec. 31, 2020
Loans and Leases Receivable Disclosure [Abstract]  
Schedule of allowance for credit losses and investment in loans by portfolio segment
In millions of dollars202020192018
Allowance for credit losses on loans (ACLL) at beginning of year$12,783 $12,315 $12,355 
Adjustments to opening balance:
     Financial instruments—credit losses (CECL)(1)
4,201 — — 
   Variable post-charge-off third-party collection costs(1)
(443)— — 
Adjusted ACLL at beginning of year$16,541 $12,315 $12,355 
Gross credit losses on loans$(9,263)$(9,341)$(8,665)
Gross recoveries on loans1,652 1,573 1,552 
Net credit losses on loans (NCLs)$(7,611)$(7,768)$(7,113)
NCLs$7,611 $7,768 $7,113 
Net reserve builds for loans7,635 364 394 
Net specific reserve builds (releases) for loans676 86 (153)
Total provision for credit losses on loans (PCLL)$15,922 $8,218 $7,354 
Initial allowance for credit losses on newly purchased credit-deteriorated assets during the period4 — — 
Other, net (see table below)100 18 (281)
ACLL at end of year$24,956 $12,783 $12,315 
Allowance for credit losses on unfunded lending commitments (ACLUC) at beginning of year(2)
$1,456 $1,367 $1,258 
Adjustment to opening balance for CECL adoption(1)
(194)— — 
Provision (release) for credit losses on unfunded lending commitments1,446 92 113 
Other, net(3)
(53)(3)(4)
ACLUC at end of year(2)
$2,655 $1,456 $1,367 
Total allowance for credit losses on loans, leases and unfunded lending commitments$27,611 $14,239 $13,682 

Other, net details
In millions of dollars202020192018
Sales or transfers of various consumer loan portfolios to HFS
Transfer of real estate loan portfolios$(4)$(42)$(91)
Transfer of other loan portfolios(110)
Sales or transfers of various consumer loan portfolios to HFS$(4)$(42)$(201)
FX translation97 60 (60)
Other7 — (20)
Other, net$100 $18 $(281)

(1)See “Accounting Changes” in Note 1 to the Consolidated Financial Statements for additional details.
(2)Represents additional credit loss reserves for unfunded lending commitments and letters of credit recorded in Other liabilities on the Consolidated Balance Sheet.
(3)2020 includes a non-provision transfer of $68 million, representing reserves on performance guarantees. The reserves on these contracts have been reclassified out of the allowance for credit losses on unfunded lending commitments and into Other liabilities on the Consolidated Balance Sheet beginning in 2020.
Allowance for Credit Losses on Loans and End-of-Period Loans at December 31, 2020
In millions of dollarsCorporateConsumerTotal
ACLL at beginning of year$2,886 $9,897 $12,783 
Adjustments to opening balance:
     Financial instruments—credit losses (CECL)(1)
(721)4,922 4,201 
   Variable post-charge-off third-party collection costs(1)
 (443)(443)
Adjusted ACLL at beginning of year$2,165 $14,376 $16,541 
Charge-offs$(1,072)$(8,191)$(9,263)
Recoveries86 1,566 1,652 
Replenishment of net charge-offs986 6,625 7,611 
Net reserve builds (releases)2,890 4,745 7,635 
Net specific reserve builds (releases)282 394 676 
Initial allowance for credit losses on newly purchased credit-deteriorated assets
during the year
 4 4 
Other65 35 100 
Ending balance$5,402 $19,554 $24,956 
Allowance for credit losses on loans   
Collectively evaluated$4,887 $18,207 $23,094 
Individually evaluated515 1,345 1,860 
Purchased credit deteriorated 2 2 
Total allowance for credit losses on loans$5,402 $19,554 $24,956 
Loans, net of unearned income
Collectively evaluated$376,677 $283,885 $660,562 
Individually evaluated3,527 4,799 8,326 
Purchased credit deteriorated 141 141 
Held at fair value6,840 14 6,854 
Total loans, net of unearned income$387,044 $288,839 $675,883 

(1)See “Accounting Changes” in Note 1 to the Consolidated Financial Statements for additional details.

Allowance for Credit Losses on Loans and End-of-Period Loans at December 31, 2019
In millions of dollarsCorporateConsumerTotal
ACLL at beginning of year$2,811 $9,504 $12,315 
Charge-offs(487)(8,854)(9,341)
Recoveries95 1,478 1,573 
Replenishment of net charge-offs392 7,376 7,768 
Net reserve builds (releases)96 268 364 
Net specific reserve builds (releases)(21)107 86 
Other— 18 18 
Ending balance$2,886 $9,897 $12,783 
Allowance for credit losses on loans   
Collectively evaluated$2,587 $8,706 $11,293 
Individually evaluated299 1,190 1,489 
Purchased credit deteriorated— 
Total allowance for credit losses on loans$2,886 $9,897 $12,783 
Loans, net of unearned income
Collectively evaluated$383,828 $304,794 $688,622 
Individually evaluated2,040 4,608 6,648 
Purchased credit deteriorated— 128 128 
Held at fair value4,067 18 4,085 
Total loans, net of unearned income$389,935 $309,548 $699,483 
Allowance for Credit Losses on Loans at December 31, 2018
In millions of dollarsCorporateConsumerTotal
ACLL at beginning of year$2,943 $9,412 $12,355 
Charge-offs(343)(8,322)(8,665)
Recoveries138 1,414 1,552 
Replenishment of net charge-offs205 6,908 7,113 
Net reserve builds (releases)42 352 394 
Net specific reserve builds (releases)(151)(2)(153)
Other$(23)$(258)$(281)
Ending balance$2,811 $9,504 $12,315 
Schedule of allowance for credit losses on held-to-maturity securities
Allowance for Credit Losses on HTM Debt Securities
Year ended December 31, 2020
In millions of dollarsMortgage-backedState and municipalForeign governmentAsset-backedTotal HTM
Allowance for credit losses on HTM debt securities at beginning
of year
$ $ $ $ $ 
Adjustment to opening balance for CECL adoption 61 4 5 70 
Net credit losses (NCLs)$ $ $ $ $ 
NCLs$ $ $ $ $ 
Net reserve builds (releases)(2)10 (2)1 7 
Net specific reserve builds (releases)     
Total provision for credit losses on HTM debt securities$(2)$10 $(2)$1 $7 
Other, net$5 $3 $4 $(3)$9 
Initial allowance for credit losses on newly purchased credit-deteriorated securities during the year     
Allowance for credit losses on HTM debt securities at end of year$3 $74 $6 $3 $86 
Schedule of allowance for credit losses on other assets
Allowance for Credit Losses on Other Assets
Year ended December 31, 2020
In millions of dollarsCash and due from banksDeposits with banksSecurities borrowed and purchased under agreements
to resell
Brokerage receivables
All other assets(1)
Total
Allowance for credit losses at beginning of year$ $ $ $ $ $ 
Adjustment to opening balance for CECL adoption6 14 2 1 3 26 
Net credit losses (NCLs)$ $ $ $ $ $ 
NCLs$ $ $ $ $ $ 
Net reserve builds (releases)(6)5 8 (1)1 7 
Total provision for credit losses$(6)$5 $8 $(1)$1 $7 
Other, net$ $1 $ $ $21 $22 
Allowance for credit losses on other assets at end of year$ $20 $10 $ $25 $55 

(1)Primarily accounts receivable.