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Loans Receivable and Allowance for Credit Losses (Tables)

9 Months Ended

Sep. 30, 2021

Loans and Leases Receivable Disclosure [Abstract]

Schedule of composition of loans held-for-investment

The following table presents the composition of the Company’s loans held-for-investment as of September 30, 2021 and December 31, 2020:



($ in thousands)	September 30, 2021		December 31, 2020
Commercial:
C&I (1)	$	13,831,649	$	13,631,726
CRE:
CRE	11,818,065		11,174,611
Multifamily residential	3,340,378		3,033,998
Construction and land	376,921		599,692
Total CRE	15,535,364		14,808,301
Total commercial	29,367,013		28,440,027
Consumer:
Residential mortgage:
Single-family residential	9,021,801		8,185,953
HELOCs	1,963,622		1,601,716
Total residential mortgage	10,985,423		9,787,669
Other consumer	129,269		163,259
Total consumer	11,114,692		9,950,928
Total loans held-for-investment (2)	$	40,481,705	$	38,390,955
Allowance for loan losses	(560,404)		(619,983)
Loans held-for-investment, net (2)	$	39,921,301	$	37,770,972

(1)Includes Paycheck Protection Program (“PPP”) loans of $807.3 million and $1.57 billion as of September 30, 2021 and December 31, 2020, respectively.

(2)Includes net deferred loan fees, unearned fees, unamortized premiums and unaccreted discounts of $(54.3) million and $(58.8) million as of September 30, 2021 and December 31, 2020, respectively. Net origination fees related to PPP loans were $(13.5) million and $(12.7) million as of September 30, 2021 and December 31, 2020, respectively.

Schedule of loans held-for-investment by loan portfolio segments, internal risk ratings and vintage year

The following tables summarize the Company’s loans held-for-investment as of September 30, 2021 and December 31, 2020, presented by loan portfolio segments, internal risk ratings and vintage year. The vintage year is the year of origination, renewal or major modification.



($ in thousands)	September 30, 2021
	Term Loans												Revolving Loans Amortized Cost Basis		Revolving Loans Converted to Term Loans Amortized Cost Basis		Total


	Amortized Cost Basis by Origination Year
	2021		2020		2019		2018		2017		Prior
Commercial:
C&I:
Pass	$	3,136,513	$	1,454,547	$	787,238	$	279,254	$	175,669	$	244,616	$	7,069,657	$	29,053	$	13,176,547
Criticized (accrual)	75,943		168,029		110,500		13,700		1,475		4,489		183,809		—		557,945
Criticized (nonaccrual)	5,171		338		17,889		20,148		12,538		1,356		39,717		—		97,157


Total C&I	3,217,627		1,622,914		915,627		313,102		189,682		250,461		7,293,183		29,053		13,831,649
CRE:
CRE:
Pass	1,956,957		2,181,275		2,288,701		1,965,724		1,181,060		1,869,183		148,077		6,427		11,597,404
Criticized (accrual)	77,286		8,095		9,206		31,093		25,136		55,609		—		—		206,425
Criticized (nonaccrual)	4,425		—		—		4,648		4,752		411		—		—		14,236


Subtotal CRE	2,038,668		2,189,370		2,297,907		2,001,465		1,210,948		1,925,203		148,077		6,427		11,818,065
Multifamily residential:
Pass	611,439		752,178		692,580		432,959		316,412		451,180		19,420		—		3,276,168
Criticized (accrual)	—		—		725		23,512		7,121		31,729		—		—		63,087
Criticized (nonaccrual)	—		—		—		—		—		1,123		—		—		1,123


Subtotal multifamily residential	611,439		752,178		693,305		456,471		323,533		484,032		19,420		—		3,340,378
Construction and land:
Pass	102,619		99,857		111,607		16,986		—		1,252		—		—		332,321
Criticized (accrual)	3,398		—		—		22,156		—		19,046		—		—		44,600
Criticized (nonaccrual)	—		—		—		—		—		—		—		—		—
Subtotal construction and land	106,017		99,857		111,607		39,142		—		20,298		—		—		376,921
Total CRE	2,756,124		3,041,405		3,102,819		2,497,078		1,534,481		2,429,533		167,497		6,427		15,535,364
Total commercial	5,973,751		4,664,319		4,018,446		2,810,180		1,724,163		2,679,994		7,460,680		35,480		29,367,013
Consumer:
Residential mortgage:
Single-family residential:
Pass (1)	2,131,943		2,214,125		1,465,612		1,169,483		825,120		1,203,031		—		—		9,009,314
Criticized (accrual)	—		—		374		490		1,633		1,214		—		—		3,711
Criticized (nonaccrual) (1)	—		397		2,178		1,712		1,168		3,321		—		—		8,776
Subtotal single-family residential	2,131,943		2,214,522		1,468,164		1,171,685		827,921		1,207,566		—		—		9,021,801
HELOCs:
Pass	20		1,799		258		1,295		3,343		12,578		1,710,540		223,057		1,952,890
Criticized (accrual)	7		—		—		200		—		222		2		1,570		2,001
Criticized (nonaccrual)	—		—		151		188		3,523		1,579		—		3,290		8,731
Subtotal HELOCs	27		1,799		409		1,683		6,866		14,379		1,710,542		227,917		1,963,622
Total residential mortgage	2,131,970		2,216,321		1,468,573		1,173,368		834,787		1,221,945		1,710,542		227,917		10,985,423
Other consumer:
Pass	16,737		5,382		—		—		1,741		51,529		51,389		—		126,778
Criticized (accrual)	—		—		—		—		—		—		—		—		—
Criticized (nonaccrual)	—		—		—		—		2,491		—		—		—		2,491
Total other consumer	16,737		5,382		—		—		4,232		51,529		51,389		—		129,269
Total consumer	2,148,707		2,221,703		1,468,573		1,173,368		839,019		1,273,474		1,761,931		227,917		11,114,692
Total	$	8,122,458	$	6,886,022	$	5,487,019	$	3,983,548	$	2,563,182	$	3,953,468	$	9,222,611	$	263,397	$	40,481,705



($ in thousands)	December 31, 2020
	Term Loans												Revolving Loans Amortized Cost Basis		Revolving Loans Converted to Term Loans Amortized Cost Basis		Total


	Amortized Cost Basis by Origination Year
	2020		2019		2018		2017		2016		Prior
Commercial:
C&I:
Pass	$	3,912,147	$	1,477,740	$	483,725	$	245,594	$	69,482	$	245,615	$	6,431,003	$	29,487	$	12,894,793
Criticized (accrual)	120,183		74,601		56,785		19,426		1,487		5,872		324,640		—		602,994
Criticized (nonaccrual)	2,125		25,267		22,240		18,787		4,964		1,592		58,964		—		133,939


Total C&I	4,034,455		1,577,608		562,750		283,807		75,933		253,079		6,814,607		29,487		13,631,726
CRE:
CRE:
Pass	2,296,649		2,402,136		2,310,748		1,328,251		732,694		1,529,681		173,267		19,064		10,792,490
Criticized (accrual)	47,459		63,654		43,447		98,259		2,094		80,662		—		—		335,575
Criticized (nonaccrual)	—		—		42,067		1,115		—		3,364		—		—		46,546


Subtotal CRE	2,344,108		2,465,790		2,396,262		1,427,625		734,788		1,613,707		173,267		19,064		11,174,611
Multifamily residential:
Pass	783,671		783,589		479,959		411,945		181,213		348,751		5,895		—		2,995,023
Criticized (accrual)	—		735		22,330		6,101		264		5,877		—		—		35,307
Criticized (nonaccrual)	—		—		1,475		—		—		2,193		—		—		3,668


Subtotal multifamily residential	783,671		784,324		503,764		418,046		181,477		356,821		5,895		—		3,033,998
Construction and land:
Pass	224,924		172,707		156,712		—		20,897		1,028		—		—		576,268
Criticized (accrual)	3,524		—		—		—		—		19,900		—		—		23,424
Criticized (nonaccrual)	—		—		—		—		—		—		—		—		—
Subtotal construction and land	228,448		172,707		156,712		—		20,897		20,928		—		—		599,692
Total CRE	3,356,227		3,422,821		3,056,738		1,845,671		937,162		1,991,456		179,162		19,064		14,808,301
Total commercial	7,390,682		5,000,429		3,619,488		2,129,478		1,013,095		2,244,535		6,993,769		48,551		28,440,027
Consumer:
Residential mortgage:
Single-family residential:
Pass (1)	2,385,853		1,813,200		1,501,660		1,021,707		523,170		921,714		—		—		8,167,304
Criticized (accrual)	—		1,429		—		—		119		1,034		—		—		2,582
Criticized (nonaccrual) (1)	—		226		812		1,789		1,994		11,246		—		—		16,067
Subtotal single-family residential	2,385,853		1,814,855		1,502,472		1,023,496		525,283		933,994		—		—		8,185,953
HELOCs:
Pass	1,131		880		2,879		5,363		8,433		13,475		1,328,919		225,810		1,586,890
Criticized (accrual)	—		—		200		—		996		—		1,328		606		3,130
Criticized (nonaccrual)	—		151		285		4,617		164		1,962		—		4,517		11,696
Subtotal HELOCs	1,131		1,031		3,364		9,980		9,593		15,437		1,330,247		230,933		1,601,716
Total residential mortgage	2,386,984		1,815,886		1,505,836		1,033,476		534,876		949,431		1,330,247		230,933		9,787,669
Other consumer:
Pass	9,531		—		—		1,830		—		83,255		66,136		—		160,752
Criticized (accrual)	16		—		—		—		—		—		—		—		16
Criticized (nonaccrual)	—		—		—		2,491		—		—		—		—		2,491
Total other consumer	9,547		—		—		4,321		—		83,255		66,136		—		163,259
Total consumer	2,396,531		1,815,886		1,505,836		1,037,797		534,876		1,032,686		1,396,383		230,933		9,950,928
Total	$	9,787,213	$	6,816,315	$	5,125,324	$	3,167,275	$	1,547,971	$	3,277,221	$	8,390,152	$	279,484	$	38,390,955

(1)As of September 30, 2021 and December 31, 2020, $647 thousand and $747 thousand of nonaccrual loans whose payments were guaranteed by the Federal Housing Administration, respectively, were classified with a “Pass” rating.

Schedule of aging analysis of loans

The following tables present the aging analysis of total loans held-for-investment as of September 30, 2021 and December 31, 2020:



($ in thousands)	September 30, 2021
	Current Accruing Loans (1)		Accruing Loans 30-59 Days Past Due		Accruing Loans 60-89 Days Past Due		Total Accruing Past Due Loans		Total Nonaccrual Loans		Total Loans
Commercial:
C&I	$	13,717,788	$	6,597	$	10,107	$	16,704	$	97,157	$	13,831,649
CRE:
CRE	11,803,236		438		155		593		14,236		11,818,065
Multifamily residential	3,337,341		1,914		—		1,914		1,123		3,340,378
Construction and land	376,921		—		—		—		—		376,921
Total CRE	15,517,498		2,352		155		2,507		15,359		15,535,364
Total commercial	29,235,286		8,949		10,262		19,211		112,516		29,367,013
Consumer:
Residential mortgage:
Single-family residential	8,995,226		13,442		3,711		17,153		9,422		9,021,801
HELOCs	1,950,594		2,298		1,999		4,297		8,731		1,963,622
Total residential mortgage	10,945,820		15,740		5,710		21,450		18,153		10,985,423
Other consumer	126,594		180		4		184		2,491		129,269
Total consumer	11,072,414		15,920		5,714		21,634		20,644		11,114,692
Total	$	40,307,700	$	24,869	$	15,976	$	40,845	$	133,160	$	40,481,705



($ in thousands)	December 31, 2020
	Current Accruing Loans (1)		Accruing Loans 30-59 Days Past Due		Accruing Loans 60-89 Days Past Due		Total Accruing Past Due Loans		Total Nonaccrual Loans		Total Loans
Commercial:
C&I	$	13,488,070	$	8,993	$	724	$	9,717	$	133,939	$	13,631,726
CRE:
CRE	11,127,690		375		—		375		46,546		11,174,611
Multifamily residential	3,028,512		1,818		—		1,818		3,668		3,033,998
Construction and land	579,792		19,900		—		19,900		—		599,692
Total CRE	14,735,994		22,093		—		22,093		50,214		14,808,301
Total commercial	28,224,064		31,086		724		31,810		184,153		28,440,027
Consumer:
Residential mortgage:
Single-family residential	8,156,645		9,911		2,583		12,494		16,814		8,185,953
HELOCs	1,583,968		2,922		3,130		6,052		11,696		1,601,716
Total residential mortgage	9,740,613		12,833		5,713		18,546		28,510		9,787,669
Other consumer	160,534		217		17		234		2,491		163,259
Total consumer	9,901,147		13,050		5,730		18,780		31,001		9,950,928
Total	$	38,125,211	$	44,136	$	6,454	$	50,590	$	215,154	$	38,390,955

(1)As of September 30, 2021 and December 31, 2020, loans in payment deferral programs offered in response to the COVID-19 pandemic that are performing according to their modified terms are generally not considered delinquent, and are included in the “Current Accruing Loans” column.

Schedule of amortized cost of loans on nonaccrual status with no related allowance for loan losses

The following table presents the amortized cost of loans on nonaccrual status for which there was no related allowance for loan losses as of both September 30, 2021 and December 31, 2020. Nonaccrual loans may not have an allowance for credit losses if the loss expectation is zero because the loan balances are supported by the collateral value.



($ in thousands)	September 30, 2021		December 31, 2020

Commercial:
C&I	$	15,270	$	62,040
CRE:
CRE	13,826		45,537
Multifamily residential	—		2,519

Total CRE	13,826		48,056
Total commercial	29,096		110,096
Consumer:
Residential mortgage:
Single-family residential	1,534		6,013
HELOCs	5,608		8,076
Total residential mortgage	7,142		14,089
Other consumer	—		2,491
Total consumer	7,142		16,580
Total nonaccrual loans with no related allowance for loan losses	$	36,238	$	126,676

Summary of additions and post-modification to troubled debt restructurings

The following tables present the additions to TDRs for the three and nine months ended September 30, 2021 and 2020:



($ in thousands)	Loans Modified as TDRs During the Three Months Ended September 30,
	2021							2020
	Number of Loans	Pre- Modification Outstanding Recorded Investment		Post- Modification Outstanding Recorded Investment (1)		Financial Impact (2)		Number of Loans	Pre- Modification Outstanding Recorded Investment		Post- Modification Outstanding Recorded Investment (1)		Financial Impact (2)
Commercial:
C&I	7	$	26,248	$	27,111	$	5,688	6	$	43,378	$	35,568	$	12,108
CRE:
CRE	—	—		—		—		2	21,429		21,242		21
Multifamily residential	1	1,101		1,118		—		1	1,220		1,226		—

Total CRE	1	1,101		1,118		—		3	22,649		22,468		21
Total commercial	8	27,349		28,229		5,688		9	66,027		58,036		12,129







Total	8	$	27,349	$	28,229	$	5,688	9	$	66,027	$	58,036	$	12,129



($ in thousands)	Loans Modified as TDRs During the Nine Months Ended September 30,
	2021							2020
	Number of Loans	Pre- Modification Outstanding Recorded Investment		Post- Modification Outstanding Recorded Investment (1)		Financial Impact (2)		Number of Loans	Pre- Modification Outstanding Recorded Investment		Post- Modification Outstanding Recorded Investment (1)		Financial Impact (2)
Commercial:
C&I	11	$	46,144	$	45,954	$	7,662	11	$	93,235	$	79,713	$	12,507
CRE:
CRE	—	—		—		—		2	21,429		21,242		21
Multifamily residential	1	1,101		1,118		—		1	1,220		1,226		—

Total CRE	1	1,101		1,118		—		3	22,649		22,468		21
Total commercial	12	47,245		47,072		7,662		14	115,884		102,181		12,528







Total	12	$	47,245	$	47,072	$	7,662	14	$	115,884	$	102,181	$	12,528

(1)Includes subsequent payments after modification and reflects the balance as of September 30, 2021 and 2020.

(2)Includes charge-offs and specific reserves recorded since the modification date.

The following tables present the TDR post-modification outstanding balances for the three and nine months ended September 30, 2021 and 2020 by modification type:



($ in thousands)	Modification Type During the Three Months Ended September 30,
	2021								2020
	Principal (1)		Principal and Interest		Interest Deferments		Interest Rate Reduction		Total		Principal (1)		Principal and Interest (2)		Interest Deferments		Interest Rate Reduction		Total
Commercial:
C&I	$	27,111	$	—	$	—	$	—	$	27,111	$	19,025	$	—	$	16,543	$	—	$	35,568
CRE:
CRE	—		—		—		—		—		21,242		—		—		—		21,242
Multifamily residential	1,118		—		—		—		1,118		1,226		—		—		—		1,226

Total CRE	1,118		—		—				1,118		22,468		—		—		—		22,468
Total commercial	28,229		—		—		—		28,229		41,493		—		16,543		—		58,036







Total	$	28,229	$	—	$	—	$	—	$	28,229	$	41,493	$	—	$	16,543	$	—	$	58,036



($ in thousands)	Modification Type During the Nine Months Ended September 30,
	2021								2020
	Principal (1)		Principal and Interest		Interest Deferments		Interest Rate Reduction		Total		Principal (1)		Principal and Interest (2)		Interest Deferments		Interest Rate Reduction		Total
Commercial:
C&I	$	28,780	$	—	$	—	$	17,174	$	45,954	$	36,043	$	10,819	$	32,851	$	—	$	79,713
CRE:
CRE	—		—		—		—		—		21,242		—		—		—		21,242
Multifamily residential	1,118		—		—		—		1,118		1,226		—		—		—		1,226

Total CRE	1,118		—		—		—		1,118		22,468		—		—		—		22,468
Total commercial	29,898		—		—		17,174		47,072		58,511		10,819		32,851		—		102,181







Total	$	29,898	$	—	$	—	$	17,174	$	47,072	$	58,511	$	10,819	$	32,851	$	—	$	102,181

(1)Includes forbearance payments, term extensions and principal deferments that modify the terms of the loan from principal and interest payments to interest payments only.

(2)Include principal and interest deferments or reductions.

Summary of TDR loans subsequently defaulted

The following table presents the information on loans that entered into payment default during the three and nine months ended September 30, 2021 and 2020 that were modified in as TDRs during the 12 months preceding payment default:



($ in thousands)	Loans Modified as TDRs that Subsequently Defaulted
	Three Months Ended September 30,						Nine Months Ended September 30,
	2021			2020			2021			2020
	Loan Count	Recorded Investment		Loan Count	Recorded Investment		Loan Count	Recorded Investment		Loan Count	Recorded Investment
Commercial:
C&I	—	$	—	—	$	—	1	$	11,431	1	$	16,309













Total	—	$	—	—	$	—	1	$	11,431	1	$	16,309

Key credit risk characteristics and macroeconomic variables

The following table provides key credit risk characteristics and macroeconomic variables that the Company uses to estimate the expected credit losses by portfolio segment:

Portfolio Segment

Risk Characteristics

Macroeconomic Variables

C&I

Age (1), size and spread at origination, and internal risk rating

Volatility Index (“VIX”) and BBB yield to 10-year U.S. Treasury spread (“BBB Spread”) (1)

CRE, Multifamily residential, and Construction and land

Delinquency status, maturity date, collateral value, property type, and geographic location

Unemployment rate, Gross Domestic Product (“GDP”), and U.S. Treasury rates

Single-family residential and HELOCs

FICO score, delinquency status, maturity date, collateral value, and geographic location

Unemployment rate, GDP, and home price index

Other consumer

Historical loss experience

Immaterial (2)

(1)Due to model enhancements, risk characteristic related to “time-to-maturity” was changed to “age”; while macroeconomic variables related to “unemployment rate and two- and ten-year U.S. Treasury spread” were changed to “VIX and BBB Spread” during the three months ended September 30, 2021.

(2)Macroeconomic variables are included in the qualitative estimate.

Summary of activity in the allowance for credit losses

The following tables summarize the activity in the allowance for loan losses by portfolio segments for the three and nine months ended September 30, 2021 and 2020:



($ in thousands)		Three Months Ended September 30, 2021
		Commercial								Consumer						Total
		C&I		CRE						Residential Mortgage				Other Consumer
				CRE		Multifamily Residential		Construction and Land		Single- Family Residential		HELOCs
Allowance for loan losses, beginning of period		$	362,528	$	161,962	$	21,925	$	15,643	$	16,530	$	2,938	$	4,198	$	585,724
(Reversal of) provision for credit losses on loans	(a)	(23,365)		2,129		(2,660)		9,058		2,537		435		130		(11,736)
Gross charge-offs		(1,154)		(14,229)		—		(2,674)		(912)		—		(10)		(18,979)
Gross recoveries		4,203		187		652		267		137		19		—		5,465
Total net recoveries (charge-offs)		3,049		(14,042)		652		(2,407)		(775)		19		(10)		(13,514)
Foreign currency translation adjustment		(70)		—		—		—		—		—		—		(70)
Allowance for loan losses, end of period		$	342,142	$	150,049	$	19,917	$	22,294	$	18,292	$	3,392	$	4,318	$	560,404



($ in thousands)		Three Months Ended September 30, 2020
		Commercial								Consumer						Total
		C&I		CRE						Residential Mortgage				Other Consumer
				CRE		Multifamily Residential		Construction and Land		Single- Family Residential		HELOCs
Allowance for loan losses, beginning of period		$	380,723	$	176,040	$	25,058	$	18,551	$	25,314	$	3,867	$	2,518	$	632,071

Provision for (reversal of) credit losses on loans	(a)	31,691		(8,301)		(1,916)		(8,180)		(2,692)		(637)		(76)		9,889

Gross charge-offs		(25,111)		(1,414)		—		—		—		—		(124)		(26,649)
Gross recoveries		1,218		485		665		30		—		43		—		2,441
Total net (charge-offs) recoveries		(23,893)		(929)		665		30		—		43		(124)		(24,208)
Foreign currency translation adjustment		500		—		—		—		—		—		—		500
Allowance for loan losses, end of period		$	389,021	$	166,810	$	23,807	$	10,401	$	22,622	$	3,273	$	2,318	$	618,252



($ in thousands)		Nine Months Ended September 30, 2021
		Commercial								Consumer						Total
		C&I		CRE						Residential Mortgage				Other Consumer
				CRE		Multifamily Residential		Construction and Land		Single- Family Residential		HELOCs
Allowance for loan losses, beginning of period		$	398,040	$	163,791	$	27,573	$	10,239	$	15,520	$	2,690	$	2,130	$	619,983
(Reversal of) provision for credit losses on loans	(a)	(42,112)		11,227		(9,436)		14,407		3,522		707		2,226		(19,459)
Gross charge-offs		(20,162)		(25,558)		(130)		(2,954)		(1,046)		(45)		(43)		(49,938)
Gross recoveries		6,301		589		1,910		602		296		40		5		9,743
Total net (charge-offs) recoveries		(13,861)		(24,969)		1,780		(2,352)		(750)		(5)		(38)		(40,195)
Foreign currency translation adjustment		75		—		—		—		—		—		—		75
Allowance for loan losses, end of period		$	342,142	$	150,049	$	19,917	$	22,294	$	18,292	$	3,392	$	4,318	$	560,404



($ in thousands)		Nine Months Ended September 30, 2020
		Commercial								Consumer						Total
		C&I		CRE						Residential Mortgage				Other Consumer
				CRE		Multifamily Residential		Construction and Land		Single- Family Residential		HELOCs
Allowance for loan losses, beginning of period		$	238,376	$	40,509	$	22,826	$	19,404	$	28,527	$	5,265	$	3,380	$	358,287
Impact of ASU 2016-13 adoption		74,237		72,169		(8,112)		(9,889)		(3,670)		(1,798)		2,221		125,158
Allowance for loan losses, January 1, 2020		312,613		112,678		14,714		9,515		24,857		3,467		5,601		483,445
Provision for (reversal of) credit losses on loans	(a)	130,171		46,449		7,273		828		(2,659)		(20)		(3,197)		178,845

Gross charge-offs		(57,466)		(2,688)		—		—		—		(221)		(180)		(60,555)
Gross recoveries		3,395		10,371		1,820		58		424		47		94		16,209
Total net (charge-offs) recoveries		(54,071)		7,683		1,820		58		424		(174)		(86)		(44,346)
Foreign currency translation adjustment		308		—		—		—		—		—		—		308
Allowance for loan losses, end of period		$	389,021	$	166,810	$	23,807	$	10,401	$	22,622	$	3,273	$	2,318	$	618,252

The following table summarizes the activities in the allowance for unfunded credit commitments for the three and nine months ended September 30, 2021 and 2020:



($ in thousands)		Three Months Ended September 30,				Nine Months Ended September 30,
		2021		2020		2021		2020
Unfunded credit facilities
Allowance for unfunded credit commitments, beginning of period		$	26,300	$	28,972	$	33,577	$	11,158
Impact of ASU 2016-13 adoption		—		—		—		10,457
Provision for (reversal of) credit losses on unfunded credit commitments	(b)	1,736		111		(5,541)		7,468
Allowance for unfunded credit commitments, end of period		$	28,036	$	29,083	$	28,036	$	29,083

(Reversal of) provision for credit losses	(a) + (b)	$	(10,000)	$	10,000	$	(25,000)	$	186,313

Schedule of carrying value of loans purchased for the held-for-investment portfolio, loans sold and loans transferred from held-for-investment to held-for-sale at lower of cost or fair value

The following tables provide information about the carrying value of loans transferred, loans sold and purchased for the held-for-investment portfolio, during the three and nine months ended September 30, 2021 and 2020:



($ in thousands)	Three Months Ended September 30, 2021
	Commercial						Consumer			Total
	C&I		CRE				Residential Mortgage
			CRE		Construction and Land			Single-Family Residential
Loans transferred from held-for-investment to held-for-sale (1)	$	117,196	$	24,120	$	17,226		$	5,238		$	163,780

Sales (2)(3)(4)	$	118,851	$	24,120	$	19,900		$	6,959		$	169,830
Purchases (5)	$	65,354	$	—	$	—		$	137,937		$	203,291



($ in thousands)	Three Months Ended September 30, 2020
	Commercial				Consumer			Total
	C&I		CRE			Residential Mortgage
			Multifamily Residential			Single-Family Residential
Loans transferred from held-for-investment to held-for-sale (1)	$	89,394	$	—		$	—		$	89,394

Sales (2)(3)(4)	$	92,237	$	—		$	31,847		$	124,084
Purchases (5)	$	—	$	838		$	17,294		$	18,132



($ in thousands)	Nine Months Ended September 30, 2021
	Commercial								Consumer
			CRE						Residential Mortgage
	C&I		CRE		Multifamily Residential		Construction and Land		Single-Family Residential		Total
Loans transferred from held-for-investment to held-for-sale (1)	$	327,781	$	61,171	$	—	$	17,226	$	5,238	$	411,416

Sales (2)(3)(4)	$	329,233	$	61,171	$	—	$	19,900	$	17,123	$	427,427
Purchases (5)	$	310,447	$	—	$	370	$	—	$	434,900	$	745,717



($ in thousands)	Nine Months Ended September 30, 2020
	Commercial						Consumer
			CRE				Residential Mortgage
	C&I		CRE		Multifamily Residential			Single-Family Residential		Total
Loans transferred from held-for-investment to held-for-sale (1)	$	246,052	$	7,250	$	—		$	—		$	253,302

Sales (2)(3)(4)	$	248,895	$	7,250	$	—		$	50,197		$	306,342
Purchases (5)	$	143,086	$	—	$	2,358		$	18,378		$	163,822

(1)Includes write-downs of $3.6 million and $4.9 million to the allowance for loan losses related to loans transferred from held-for-investment to held-for-sale for the three and nine months ended September 30, 2021, respectively. There were $2.8 million of write-downs for each of the three and nine months ended September 30, 2020.

(2)Includes originated loans sold of $143.3 million and $341.9 million for the three and nine months ended September 30, 2021, respectively, and $112.3 million and $294.6 million for the three and nine months ended September 30, 2020, respectively. Originated loans sold consisted primarily of C&I and CRE loans during the three and nine months ended September 30, 2021. In comparison, originated loans sold consisted primarily of C&I and single-family residential loans for the three and nine months ended September 30, 2020.

(3)Includes $26.5 million and $85.5 million of purchased loans sold in the secondary market for the three and nine months ended September 30, 2021, respectively. There were $11.8 million of purchased loans sold in the secondary market for each of the three and nine months ended September 30, 2020.

(4)Net gains on sales of loans were $3.3 million and $6.6 million for the three and nine months ended September 30, 2021, respectively, and $361 thousand and $1.4 million for the three and nine months ended September 30, 2020, respectively.

(5)C&I loan purchases were comprised primarily of syndicated C&I term loans.