Loans and ACL (Tables)

3 Months Ended

Mar. 31, 2023

Aging Analysis of Past Due Loans and Leases

The following tables present loans and leases HFI by aging category. Government guaranteed loans are not placed on nonperforming status regardless of delinquency because collection of principal and interest is reasonably assured.


	Accruing
March 31, 2023 (Dollars in millions)	Current		30-89 Days Past Due		90 Days Or More Past Due(1)		Nonperforming		Total
Commercial:
Commercial and industrial	$	166,663	$	125	$	35	$	394	$	167,217
CRE	22,519		34		—		117		22,670
Commercial construction	5,947		3		—		1		5,951

Consumer:
Residential mortgage	55,057		491		674		233		56,455
Home equity	10,370		65		10		132		10,577
Indirect auto	26,498		511		—		270		27,279
Other consumer	27,523		164		10		45		27,742
Student	4,046		356		594		—		4,996
Credit card	4,692		56		38		—		4,786

Total	$	323,315	$	1,805	$	1,361	$	1,192	$	327,673
(1)Includes government guaranteed loans of $649 million in the residential mortgage portfolio and $590 million in the student portfolio.

	Accruing
December 31, 2022 (Dollars in millions)	Current		30-89 Days Past Due		90 Days Or More Past Due(1)		Nonperforming		Total
Commercial:
Commercial and industrial	$	163,604	$	256	$	49	$	398	$	164,307
CRE	22,568		25		1		82		22,676
Commercial construction	5,844		5		—		—		5,849

Consumer:
Residential mortgage	55,005		614		786		240		56,645
Home equity	10,661		68		12		135		10,876
Indirect auto	27,015		646		1		289		27,951
Other consumer	27,289		187		13		44		27,533
Student	4,179		402		706		—		5,287
Credit card	4,766		64		37		—		4,867

Total	$	320,931	$	2,267	$	1,605	$	1,188	$	325,991
(1)Includes government guaranteed loans of $759 million in the residential mortgage portfolio and $702 million in the student portfolio.

Schedule of Carrying Amounts by Risk Rating

The following tables present the amortized cost basis of loans by origination year and credit quality indicator:


March 31, 2023 (Dollars in millions)	Amortized Cost Basis by Origination Year												Revolving Credit		Loans Converted to Term		Other(1)
	2023		2022		2021		2020		2019		Prior								Total
Commercial:
Commercial and industrial:
Pass	$	9,673	$	41,280	$	19,702	$	10,213	$	7,556	$	13,686	$	59,715	$	—	$	(217)	$	161,608
Special mention	56		585		357		113		83		137		643		—		—		1,974
Substandard	65		745		375		166		452		440		998		—		—		3,241
Nonperforming	1		55		50		41		22		57		168		—		—		394
Total	9,795		42,665		20,484		10,533		8,113		14,320		61,524		—		(217)		167,217
Gross charge-offs	—		9		15		1		3		15		32		—		—		75
CRE:
Pass	1,042		5,649		3,269		2,302		3,426		3,902		834		—		(74)		20,350
Special mention	6		273		113		74		289		208		—		—		—		963
Substandard	38		223		47		33		526		372		1		—		—		1,240
Nonperforming	—		37		3		2		—		75		—		—		—		117
Total	1,086		6,182		3,432		2,411		4,241		4,557		835		—		(74)		22,670
Gross charge-offs	—		2		—		—		—		4		—		—		—		6
Commercial construction:
Pass	219		1,628		1,618		636		219		157		1,021		—		—		5,498
Special mention	37		84		36		176		—		—		1		—		—		334
Substandard	1		39		6		19		—		53		—		—		—		118
Nonperforming	—		—		—		—		1		—		—		—		—		1
Total	257		1,751		1,660		831		220		210		1,022		—		—		5,951








Consumer:
Residential mortgage:

Current	649		13,827		17,194		6,076		3,037		14,274		—		—		—		55,057
30 - 89 days past due	2		33		57		25		29		345		—		—		—		491
90 days or more past due	—		11		29		50		56		528		—		—		—		674
Nonperforming	—		6		11		9		12		195		—		—		—		233
Total	651		13,877		17,291		6,160		3,134		15,342		—		—		—		56,455
Gross charge-offs	—		—		1		—		—		—		—		—		—		1
Home equity:

Current													6,506		3,864		—		10,370
30 - 89 days past due													44		21		—		65
90 days or more past due													6		4		—		10
Nonperforming													46		86		—		132
Total	—		—		—		—		—		—		6,602		3,975		—		10,577
Gross charge-offs	—		—		—		—		—		—		2		—		—		2
Indirect auto:

Current	2,077		10,757		6,504		3,667		2,147		1,339		—		—		7		26,498
30 - 89 days past due	6		147		130		82		70		76		—		—		—		511

Nonperforming	—		57		71		49		48		45		—		—		—		270
Total	2,083		10,961		6,705		3,798		2,265		1,460		—		—		7		27,279
Gross charge-offs	—		39		34		17		16		21		—		—		—		127
Other consumer:

Current	2,915		10,324		5,181		2,777		1,563		1,690		3,053		20		—		27,523
30 - 89 days past due	4		71		36		20		16		12		4		1		—		164
90 days or more past due	—		8		1		—		—		—		1		—		—		10
Nonperforming	—		4		15		10		6		9		—		1		—		45
Total	2,919		10,407		5,233		2,807		1,585		1,711		3,058		22		—		27,742
Gross charge-offs	—		45		25		14		10		5		6		—		—		105
Student:
Current	—		—		—		16		66		3,964		—		—		—		4,046
30 - 89 days past due	—		—		—		—		1		355		—		—		—		356
90 days or more past due	—		—		—		—		1		593		—		—		—		594

Total	—		—		—		16		68		4,912		—		—		—		4,996
Gross charge-offs	—		—		—		—		—		5		—		—		—		5
Credit card:
Current													4,675		17		—		4,692
30 - 89 days past due													54		2		—		56
90 days or more past due													36		2		—		38

Total	—		—		—		—		—		—		4,765		21		—		4,786
Gross charge-offs	—		—		—		—		—		—		50		1		—		51
Total	$	16,791	$	85,843	$	54,805	$	26,556	$	19,626	$	42,512	$	77,806	$	4,018	$	(284)	$	327,673
Gross charge-offs	$	—	$	95	$	75	$	32	$	29	$	50	$	90	$	1	$	—	$	372


December 31, 2022 (Dollars in millions)	Amortized Cost Basis by Origination Year												Revolving Credit		Loans Converted to Term		Other(1)
	2022		2021		2020		2019		2018		Prior								Total
Commercial:
Commercial and industrial:
Pass	$	45,890	$	21,642	$	11,219	$	8,258	$	4,977	$	9,686	$	57,854	$	—	$	(199)	$	159,327
Special mention	243		302		143		160		61		88		721		—		—		1,718
Substandard	518		387		113		413		249		187		997		—		—		2,864
Nonperforming	47		53		10		28		46		27		187		—		—		398
Total	46,698		22,384		11,485		8,859		5,333		9,988		59,759		—		(199)		164,307
CRE:
Pass	6,141		3,595		2,220		3,846		2,092		2,265		757		—		(70)		20,846
Special mention	106		118		74		229		281		5		18		—		—		831
Substandard	106		99		35		422		121		134		—		—		—		917
Nonperforming	—		3		—		—		77		2		—		—		—		82
Total	6,353		3,815		2,329		4,497		2,571		2,406		775		—		(70)		22,676
Commercial construction:
Pass	1,501		1,500		825		290		212		71		1,056		—		—		5,455
Special mention	80		—		93		—		—		—		35		—		—		208
Substandard	114		—		18		1		53		—		—		—		—		186

Total	1,695		1,500		936		291		265		71		1,091		—		—		5,849






Consumer:
Residential mortgage:

Current	13,824		17,340		6,167		3,084		1,384		13,206		—		—		—		55,005
30 - 89 days past due	55		61		32		37		43		386		—		—		—		614
90 or more days past due	5		31		62		62		91		535		—		—		—		786
Nonperforming	4		6		10		12		17		191		—		—		—		240
Total	13,888		17,438		6,271		3,195		1,535		14,318		—		—		—		56,645
Home equity:

Current													6,843		3,818		—		10,661
30 - 89 days past due													48		20		—		68
90 days or more past due													9		3		—		12
Nonperforming													44		91		—		135
Total	—		—		—		—		—		—		6,944		3,932		—		10,876
Indirect auto:

Current	11,646		7,141		4,105		2,461		1,096		559		—		—		7		27,015
30 - 89 days past due	147		174		111		100		60		54		—		—		—		646
90 days or more past due	1		—		—		—		—		—		—		—		—		1
Nonperforming	41		77		56		56		34		25		—		—		—		289
Total	11,835		7,392		4,272		2,617		1,190		638		—		—		7		27,951
Other consumer:

Current	11,270		5,805		3,167		1,814		865		1,061		3,278		29		—		27,289
30 - 89 days past due	68		44		26		20		10		7		10		2		—		187
90 days or more past due	8		1		1		1		—		—		2		—		—		13
Nonperforming	4		11		8		9		2		8		2		—		—		44
Total	11,350		5,861		3,202		1,844		877		1,076		3,292		31		—		27,533
Student:
Current	—		—		17		71		57		4,034		—		—		—		4,179
30 - 89 days past due	—		—		—		1		1		400		—		—		—		402
90 days or more past due	—		—		—		1		1		704		—		—		—		706

Total	—		—		17		73		59		5,138		—		—		—		5,287
Credit card:
Current													4,750		16		—		4,766
30 - 89 days past due													63		1		—		64
90 days or more past due													36		1		—		37

Total	—		—		—		—		—		—		4,849		18		—		4,867
Total	$	91,819	$	58,390	$	28,512	$	21,376	$	11,830	$	33,635	$	76,710	$	3,981	$	(262)	$	325,991

(1)Includes certain deferred fees and costs and other adjustments.

Summary of Allowance for Credit Losses

The following tables present activity in the ACL:






























































(Dollars in millions)	Balance at Jan 1, 2022		Charge-Offs		Recoveries		Provision (Benefit)		Other(1)		Balance at Mar 31, 2022
Commercial:
Commercial and industrial	$	1,426	$	(31)	$	17	$	(93)	$	—	$	1,319
CRE	350		(1)		1		(67)		—		283
Commercial construction	52		(1)		1		1		—		53

Consumer:
Residential mortgage	308		(2)		6		(2)		—		310
Home equity	96		(1)		5		(12)		—		88
Indirect auto	1,022		(102)		23		14		—		957
Other consumer	714		(76)		21		38		—		697
Student	117		(6)		—		3		1		115
Credit card	350		(41)		9		30		—		348

ALLL	4,435		(261)		83		(88)		1		4,170
RUFC	260		—		—		(7)		—		253
ACL	$	4,695	$	(261)	$	83	$	(95)	$	1	$	4,423

(Dollars in millions)	Balance at Jan 1, 2023		Charge-Offs		Recoveries		Provision (Benefit)		Other(1)		Balance at Mar 31, 2023
Commercial:
Commercial and industrial	$	1,409	$	(75)	$	13	$	151	$	(1)	$	1,497
CRE	224		(6)		1		32		—		251
Commercial construction	46		—		1		40		—		87

Consumer:
Residential mortgage	399		(1)		2		13		(81)		332
Home equity	90		(2)		6		(7)		—		87
Indirect auto	981		(127)		26		100		13		993
Other consumer	770		(105)		17		98		(1)		779
Student	98		(5)		—		5		—		98
Credit card	360		(51)		9		40		(3)		355

ALLL	4,377		(372)		75		472		(73)		4,479
RUFC	272		—		—		10		—		282
ACL	$	4,649	$	(372)	$	75	$	482	$	(73)	$	4,761

(1)Includes the amounts for the ALLL for PCD acquisitions, the impact of adopting the Troubled Debt Restructurings and Vintage Disclosures accounting standard, and other activity.

Financing Receivable, Nonperforming

NPAs

The following table provides a summary of nonperforming loans and leases, excluding LHFS:


	March 31, 2023				December 31, 2022
	Recorded Investment				Recorded Investment
(Dollars in millions)	Without an ALLL		With an ALLL		Without an ALLL		With an ALLL
Commercial:
Commercial and industrial	$	68	$	326	$	120	$	278
CRE	11		106		75		7
Commercial construction	—		1		—		—

Consumer:
Residential mortgage	—		233		4		236
Home equity	1		131		2		171
Indirect auto	—		270		3		286
Other consumer	—		45		—		6


Total	$	80	$	1,112	$	204	$	984

Selected Information About Nonperforming Assets

The following table presents a summary of nonperforming assets and residential mortgage loans in the process of foreclosure:


(Dollars in millions)	Mar 31, 2023		Dec 31, 2022
Nonperforming loans and leases HFI	$	1,192	$	1,188

Foreclosed real estate	3		4
Other foreclosed property	66		58
Total nonperforming assets	$	1,261	$	1,250

Residential mortgage loans in the process of foreclosure	$	226	$	248

Summary Of Loan Modifications

The following table summarizes the period-end amortized cost basis of loans to borrowers experiencing financial difficulty that were modified during the period, disaggregated by class of financing receivable and type of modification granted. This table includes modification activity that occurred on or after January 1, 2023. The volume of payment delay modifications is expected to increase throughout 2023 as the cumulative period over which such modifications are evaluated gradually extends to a full 12-month rolling period:


March 31, 2023 (Dollars in millions)	Renewals		Term Extensions		Capitalizations		Payment Delays		Combination - Interest Rate Reduction and Term Extension		Combination - Capitalization and Term Extension		Combination - Capitalization, Interest Rate and Term Extension		Other		Total Modified Loans		Percentage of Total Class of Financing Receivable
Commercial:
Commercial and industrial	$	390	$	51	$	—	$	—	$	—	$	—	$	—	$	—	$	441	0.26	%
CRE	103		—		—		71		—		—		—		—		174		0.77
Commercial construction	1		—		—		—		—		—		—		—		1		0.02
Consumer:
Residential mortgage	—		29		32		25		1		92		20		4		203		0.36
Home equity	—		—		—		—		2		—		—		1		3		0.03
Indirect auto	—		5		—		5		5		—		—		6		21		0.08
Other consumer	—		5		—		—		1		—		—		1		7		0.03

Credit card	—		—		—		—		—		—		—		5		5		0.10
Total	$	494	$	90	$	32	$	101	$	9	$	92	$	20	$	17	$	855	0.26

Financing Receivable, Modified, Financial Effect

The following table describes the financial effect of the modifications made to borrowers experiencing financial difficulty:

For the Three Months Ended March 31, 2023

Loan Type

Financial Effect

Renewals

Commercial and industrial

Extended weighted average term by 4 months and increased the weighted average interest rate by 0.4%.

CRE

Extended weighted average term by 9 months and increased the weighted average interest rate by 0.1%.

Commercial construction

Extended weighted average term by 5 months.

Term Extensions

Commercial and industrial

Extended weighted average term by 3 months.

Residential mortgage

Extended weighted average term by 158 months.

Indirect auto

Extended weighted average term by 25 months.

Other Consumer

Extended weighted average term by 25 months.

Capitalizations

Residential mortgage

Capitalized $19 thousand on a weighted average basis into the outstanding balance of the loan.

Payment Delays

CRE

Provided 233 days of payment deferral on a weighted average basis.

Residential mortgage

Provided 195 days of payment deferral on a weighted average basis.

Indirect auto

Provided 129 days of payment deferral on a weighted average basis.

Combination - Interest Rate Adjustment and Term Extension

Residential mortgage

Extended weighted average term by 97 months and decreased the weighted average interest rate by 0.8%.

Home equity

Extended weighted average term by 318 months and decreased the weighted average interest rate by 2.3%.

Indirect auto

Extended weighted average term by 11 months and decreased the weighted average interest rate by 7%.

Other consumer

Extended weighted average term by 101 months and decreased the weighted average interest rate by 3%.

Combination - Capitalization and Term Extension

Residential mortgage

Extended weighted average term by 111 months and capitalized $31 thousand on a weighted average basis into the outstanding loan balance.

Combination - Capitalization, Interest Rate and Term Extension

Residential mortgage

Extended weighted average term by 82 months, decreased weighted average interest rate by 0.3% and capitalized $23 thousand on a weighted average basis into the outstanding loan balance.

Financing Receivable, Modified, Past Due

The following table summarizes the delinquency status of loans that were modified during the quarter:


	Payment Status (Amortized Cost Basis)
March 31, 2023 (Dollars in millions)	Current		30-89 Days Past Due		90 Days or More Past Due		Total
Commercial:
Commercial and industrial	$	406	$	1	$	34	$	441
CRE	174		—		—		174
Commercial construction	1		—		—		1
Consumer:
Residential mortgage	153		33		17		203
Home equity	3		—		—		3
Indirect auto	19		1		1		21
Other consumer	7		—		—		7

Credit card	3		1		1		5
Total	$	766	$	36	$	53	$	855
Total nonaccrual loans included above	$	131	$	10	$	39	$	180

Financing Receivable, Modified, Subsequent Default

The following table provides the amortized cost basis of financing receivables that were modified during the quarter that were in payment default:


March 31, 2023 (Dollars in millions)	Renewals		Term Extensions		Capitalizations		Payment Delays		Combination - Capitalization and Term Extension		Combination - Capitalization, Interest Rate and Term Extension		Other		Total
Commercial:
Commercial and industrial	$	34	$	—	$	—	$	—	$	—	$	—	$	—	34


Consumer:
Residential mortgage	—		2		1		5		6		2		1		17

Indirect auto	—		—		—		—		—		—		1		1


Credit card	—		—		—		—		—		—		1		1
Total	$	34	$	2	$	1	$	5	$	6	$	2	$	3	$	53

Schedule of Performing and Nonperforming TDRs

TDRs

The following table presents a summary of TDRs:


(Dollars in millions)	Dec 31, 2022
Performing TDRs:
Commercial:
Commercial and industrial	$	136
CRE	5
Commercial construction	1

Consumer:
Residential mortgage	1,252
Home equity	51
Indirect auto	462
Other consumer	31
Student	30
Credit card	18
Total performing TDRs	1,986
Nonperforming TDRs	214
Total TDRs	$	2,200
ALLL attributable to TDRs	$	152

Summary of Primary Reason Loan Modifications Were Classified as TDRs

The primary type of modification for newly designated TDRs is summarized in the tables below. New TDR balances represent the recorded investment at the end of the quarter in which the modification was made. The prior quarter balance represents recorded investment at the beginning of the quarter in which the modification was made. Rate modifications consist of TDRs made with below market interest rates, including those that also have modifications of loan structures.






















	As of / For the Three Months Ended March 31, 2022
		Type of Modification			Prior Quarter Loan Balance		Related ALLL at Period End
(Dollars in millions)		Rate	Structure
Newly designated TDRs:
Commercial			$	—	$	8	$	10	$	—




Consumer			148		191		329		15





Credit card			2		—		2		1
Re-modification of previously designated TDRs			21		11

Selected Information About Loans And Leases Unearned

The following table presents additional information about loans and leases:


(Dollars in millions)	Mar 31, 2023		Dec 31, 2022
Unearned income, discounts, and net deferred loan fees and costs	$	299	$	269