Credit Losses on Financial Instruments (Tables)

6 Months Ended

Jun. 30, 2021

Credit Loss [Abstract]

Financing Receivable, Allowance for Credit Loss

The following table presents the activity of our allowance for credit losses by accounts receivable portfolio for the six months ended June 30, 2021:

	Business		Mass Markets	Total
	(Dollars in millions)
Beginning balance at January 1, 2021(1)	$	109	82	191
Provision for expected losses	21		32	53
Write-offs charged against the allowance	(35)		(82)	(117)
Recoveries collected	8		17	25
Ending balance at June 30, 2021	$	103	49	152

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(1)As described in Note 11—Segment Information, we completed an internal reorganization in January 2021. As a result of this change, allowance for credit losses previously included in the Consumer and Business portfolio of $70 million related to consumer and $12 million related to our small business group, respectively, were reclassified to the Mass Markets allowance for credit losses on January 1, 2021.