CREDIT QUALITY AND THE ALLOWANCE FOR CREDIT LOSSES (Tables)

3 Months Ended

Mar. 31, 2026

Receivables [Abstract]

Schedule of changes in the allowance for credit losses

The following table presents a summary of changes in the ACL for the three months ended March 31, 2026:

	Three Months Ended March 31, 2026
(dollars in millions)	Commercial	Retail	Total
Allowance for loan and lease losses, beginning of period	$1,058	$885	$1,943
Charge-offs	(91)	(92)	(183)
Recoveries	18	27	45
Net charge-offs	(73)	(65)	(138)
Provision expense (benefit) for loans and leases	130	23	153
Allowance for loan and lease losses, end of period	1,115	843	1,958
Allowance for unfunded lending commitments, beginning of period	194	46	240
Provision expense (benefit) for unfunded lending commitments	(5)	(8)	(13)
Allowance for unfunded lending commitments, end of period	189	38	227
Total allowance for credit losses, end of period	$1,304	$881	$2,185

The following table presents a summary of changes in the ACL for the three months ended March 31, 2025:

	Three Months Ended March 31, 2025
(dollars in millions)	Commercial	Retail	Total
Allowance for loan and lease losses, beginning of period	$1,140	$921	$2,061
Charge-offs	(85)	(149)	(234)
Recoveries	4	30	34
Net charge-offs	(81)	(119)	(200)
Provision expense (benefit) for loans and leases	89	64	153
Allowance for loan and lease losses, end of period	1,148	866	2,014
Allowance for unfunded lending commitments, beginning of period	155	43	198
Provision expense (benefit) for unfunded lending commitments	9	(9)	—
Allowance for unfunded lending commitments, end of period	164	34	198
Total allowance for credit losses, end of period	$1,312	$900	$2,212

The following tables present gross charge-offs by vintage date for the Company’s loan and lease portfolios:

	Three Months Ended March 31, 2026
	Term Loans and Leases by Origination Year						Revolving Loans
(dollars in millions)	2026	2025	2024	2023	2022	Prior to 2022	Within the Revolving Period	Converted to Term	Total
Commercial and industrial	$—	$1	$1	$18	$—	$1	$29	$—	$50
Commercial real estate	—	—	—	12	—	29	—	—	41
Total commercial	—	1	1	30	—	30	29	—	91
Residential mortgages	—	—	—	—	—	1	—	—	1
Home equity	—	—	—	—	—	1	5	—	6
Automobile	—	—	—	1	4	4	—	—	9
Education	—	1	1	2	4	14	—	—	22
Other retail	3	9	3	2	2	2	33	—	54
Total retail	3	10	4	5	10	22	38	—	92
Total loans and leases	$3	$11	$5	$35	$10	$52	$67	$—	$183

	Three Months Ended March 31, 2025
	Term Loans and Leases by Origination Year						Revolving Loans
(dollars in millions)	2025	2024	2023	2022	2021	Prior to 2021	Within the Revolving Period	Converted to Term	Total
Commercial and industrial	$—	$—	$1	$2	$22	$—	$9	$—	$34
Commercial real estate	—	—	—	8	—	43	—	—	51
Total commercial	—	—	1	10	22	43	9	—	85
Residential mortgages	—	—	—	—	—	1	—	—	1
Home equity	—	—	—	—	—	1	4	—	5
Automobile	—	—	2	7	7	4	—	—	20
Education	—	1	2	5	13	35	—	—	56
Other retail	4	15	8	4	2	2	32	—	67
Total retail	4	16	12	16	22	43	36	—	149
Total loans and leases	$4	$16	$13	$26	$44	$86	$45	$—	$234

Schedule of classes of loans and leases, amortized cost basis by credit quality indicator

The following table presents the amortized cost basis of commercial loans and leases by vintage date and internal risk rating as of March 31, 2026:

	Term Loans and Leases by Origination Year						Revolving Loans
(dollars in millions)	2026	2025	2024	2023	2022	Prior to 2022	Within the Revolving Period	Converted to Term	Total
Commercial and industrial
Pass	$1,785	$8,360	$3,783	$1,054	$1,953	$2,726	$28,106	$46	$47,813
Special Mention	—	27	5	32	80	200	452	4	800
Substandard Accrual	—	31	28	107	157	416	745	22	1,506
Nonaccrual	—	1	3	15	46	72	45	6	188
Total commercial and industrial	1,785	8,419	3,819	1,208	2,236	3,414	29,348	78	50,307
Commercial real estate
Pass	1,789	4,082	1,597	570	3,110	8,065	1,494	4	20,711
Special Mention	—	—	2	6	645	362	72	—	1,087
Substandard Accrual	—	3	58	31	462	1,117	28	106	1,805
Nonaccrual	—	—	—	3	190	483	1	2	679
Total commercial real estate	1,789	4,085	1,657	610	4,407	10,027	1,595	112	24,282
Total commercial
Pass	3,574	12,442	5,380	1,624	5,063	10,791	29,600	50	68,524
Special Mention	—	27	7	38	725	562	524	4	1,887
Substandard Accrual	—	34	86	138	619	1,533	773	128	3,311
Nonaccrual	—	1	3	18	236	555	46	8	867
Total commercial	$3,574	$12,504	$5,476	$1,818	$6,643	$13,441	$30,943	$190	$74,589

The following table presents the amortized cost basis of commercial loans and leases by vintage date and internal risk rating as of December 31, 2025:

	Term Loans and Leases by Origination Year						Revolving Loans
(dollars in millions)	2025	2024	2023	2022	2021	Prior to 2021	Within the Revolving Period	Converted to Term	Total
Commercial and industrial
Pass	$8,889	$3,985	$1,196	$2,415	$1,174	$1,966	$26,951	$77	$46,653
Special Mention	13	5	42	141	174	124	359	4	862
Substandard Accrual	13	16	104	132	145	258	752	20	1,440
Nonaccrual	—	4	15	57	17	72	107	5	277
Total commercial and industrial	8,915	4,010	1,357	2,745	1,510	2,420	28,169	106	49,232
Commercial real estate
Pass	4,769	1,827	722	3,712	3,680	4,805	1,346	4	20,865
Special Mention	—	2	7	729	294	166	73	—	1,271
Substandard Accrual	—	—	34	577	167	915	27	106	1,826
Nonaccrual	—	—	3	127	41	442	1	4	618
Total commercial real estate	4,769	1,829	766	5,145	4,182	6,328	1,447	114	24,580
Total commercial
Pass	13,658	5,812	1,918	6,127	4,854	6,771	28,297	81	67,518
Special Mention	13	7	49	870	468	290	432	4	2,133
Substandard Accrual	13	16	138	709	312	1,173	779	126	3,266
Nonaccrual	—	4	18	184	58	514	108	9	895
Total commercial	$13,684	$5,839	$2,123	$7,890	$5,692	$8,748	$29,616	$220	$73,812

The following table presents the amortized cost basis of retail loans by vintage date and current FICO score as of March 31, 2026:

	Term Loans by Origination Year						Revolving Loans
(dollars in millions)	2026	2025	2024	2023	2022	Prior to 2022	Within the Revolving Period	Converted to Term	Total
Residential mortgages
800+	$296	$2,433	$1,616	$1,263	$3,238	$10,967	$—	$—	$19,813
740-799	683	2,078	880	603	1,346	4,628	—	—	10,218
680-739	148	451	253	237	467	1,711	—	—	3,267
620-679	12	79	72	74	138	610	—	—	985
<620	—	11	18	135	140	803	—	—	1,107
No FICO available(1)	—	—	—	—	3	11	—	—	14
Total residential mortgages	1,139	5,052	2,839	2,312	5,332	18,730	—	—	35,404
Home equity
800+	—	—	3	4	7	70	6,895	193	7,172
740-799	—	1	2	3	4	50	6,200	219	6,479
680-739	—	—	3	3	4	36	3,498	200	3,744
620-679	—	—	—	1	2	19	908	156	1,086
<620	—	—	—	4	2	18	607	331	962
No FICO available(1)	—	1	—	—	2	3	—	—	6
Total home equity	—	2	8	15	21	196	18,108	1,099	19,449
Automobile
800+	—	—	—	41	186	287	—	—	514
740-799	—	—	—	49	195	247	—	—	491
680-739	—	—	—	45	152	165	—	—	362
620-679	—	—	—	27	90	97	—	—	214
<620	—	—	—	35	118	129	—	—	282
No FICO available(1)	—	—	—	—	—	—	—	—	—
Total automobile	—	—	—	197	741	925	—	—	1,863
Education
800+	65	360	257	289	501	2,686	—	—	4,158
740-799	89	442	251	248	357	1,238	—	—	2,625
680-739	34	183	118	113	149	466	—	—	1,063
620-679	3	35	39	40	47	156	—	—	320
<620	—	9	15	18	21	85	—	—	148
No FICO available(1)	—	—	—	—	—	26	—	—	26
Total education	191	1,029	680	708	1,075	4,657	—	—	8,340
Other retail
800+	8	109	46	28	31	16	506	—	744
740-799	10	106	61	36	33	26	797	—	1,069
680-739	9	73	46	31	28	26	729	1	943
620-679	6	42	22	17	23	16	264	—	390
<620	1	17	16	14	31	19	185	—	283
No FICO available(1)	11	2	—	—	—	1	579	—	593
Total other retail	45	349	191	126	146	104	3,060	1	4,022
Total retail
800+	369	2,902	1,922	1,625	3,963	14,026	7,401	193	32,401
740-799	782	2,627	1,194	939	1,935	6,189	6,997	219	20,882
680-739	191	707	420	429	800	2,404	4,227	201	9,379
620-679	21	156	133	159	300	898	1,172	156	2,995
<620	1	37	49	206	312	1,054	792	331	2,782
No FICO available(1)	11	3	—	—	5	41	579	—	639
Total retail	$1,375	$6,432	$3,718	$3,358	$7,315	$24,612	$21,168	$1,100	$69,078

(1) Represents loans for which an updated FICO score was unavailable (e.g., due to recent profile changes).

The following table presents the amortized cost basis of retail loans by vintage date and current FICO score as of December 31, 2025:

	Term Loans by Origination Year						Revolving Loans
(dollars in millions)	2025	2024	2023	2022	2021	Prior to 2021	Within the Revolving Period	Converted to Term	Total
Residential mortgages
800+	$2,075	$1,664	$1,290	$3,276	$4,919	$6,099	$—	$—	$19,323
740-799	2,377	960	656	1,375	2,004	2,759	—	—	10,131
680-739	621	324	239	483	646	1,136	—	—	3,449
620-679	74	74	80	141	169	491	—	—	1,029
<620	6	18	135	130	184	605	—	—	1,078
No FICO available(1)	—	—	—	3	1	10	—	—	14
Total residential mortgages	5,153	3,040	2,400	5,408	7,923	11,100	—	—	35,024
Home equity
800+	—	2	3	5	6	66	6,686	193	6,961
740-799	—	4	3	4	3	49	6,148	217	6,428
680-739	—	3	3	4	3	36	3,453	193	3,695
620-679	—	—	2	2	2	16	900	162	1,084
<620	—	—	4	2	2	14	554	321	897
No FICO available(1)	—	1	—	—	—	2	1	—	4
Total home equity	—	10	15	17	16	183	17,742	1,086	19,069
Automobile
800+	—	—	47	224	316	63	—	—	650
740-799	—	—	58	233	266	61	—	—	618
680-739	—	—	53	180	175	41	—	—	449
620-679	—	—	30	107	98	25	—	—	260
<620	—	—	39	133	127	34	—	—	333
No FICO available(1)	—	—	—	—	—	—	—	—	—
Total automobile	—	—	227	877	982	224	—	—	2,310
Education
800+	287	271	311	517	1,002	1,817	—	—	4,205
740-799	393	268	268	385	459	886	—	—	2,659
680-739	160	125	120	161	160	335	—	—	1,061
620-679	23	40	42	48	46	119	—	—	318
<620	5	13	17	25	23	61	—	—	144
No FICO available(1)	2	—	—	—	—	27	—	—	29
Total education	870	717	758	1,136	1,690	3,245	—	—	8,416
Other retail
800+	127	60	31	31	9	9	508	—	775
740-799	132	82	43	33	9	19	793	—	1,111
680-739	93	62	36	30	8	20	733	1	983
620-679	54	30	20	22	6	11	271	—	414
<620	16	21	17	29	8	10	190	—	291
No FICO available(1)	4	—	—	—	—	2	481	—	487
Total other retail	426	255	147	145	40	71	2,976	1	4,061
Total retail
800+	2,489	1,997	1,682	4,053	6,252	8,054	7,194	193	31,914
740-799	2,902	1,314	1,028	2,030	2,741	3,774	6,941	217	20,947
680-739	874	514	451	858	992	1,568	4,186	194	9,637
620-679	151	144	174	320	321	662	1,171	162	3,105
<620	27	52	212	319	344	724	744	321	2,743
No FICO available(1)	6	1	—	3	1	41	482	—	534
Total retail	$6,449	$4,022	$3,547	$7,583	$10,651	$14,823	$20,718	$1,087	$68,880

(1) Represents loans for which an updated FICO score was unavailable (e.g., due to recent profile changes).

Schedule of nonaccrual loans and leases and loans accruing and 90 days or more past due

The following tables present an aging analysis of accruing and nonaccrual loans and leases:

	March 31, 2026
		Days Past Due and Accruing
(dollars in millions)	Current	30-59	60-89	90+	Nonaccrual	Total	Nonaccrual with no related ACL
Commercial and industrial	$49,984	$122	$12	$1	$188	$50,307	$21
Commercial real estate	23,147	373	57	26	679	24,282	53
Total commercial	73,131	495	69	27	867	74,589	74
Residential mortgages	34,903	70	35	179	217	35,404	140
Home equity	18,987	105	33	—	324	19,449	204
Automobile	1,776	49	15	—	23	1,863	3
Education	8,266	33	18	2	21	8,340	6
Other retail	3,926	31	20	—	45	4,022	1
Total retail	67,858	288	121	181	630	69,078	354
Total	$140,989	$783	$190	$208	$1,497	$143,667	$428
Guaranteed residential mortgages(1)	$725	$28	$19	$179	$—	$951	$—

	December 31, 2025
		Days Past Due and Accruing
(dollars in millions)	Current	30-59	60-89	90+	Nonaccrual	Total	Nonaccrual with no related ACL
Commercial and industrial	$48,873	$63	$14	$5	$277	$49,232	$34
Commercial real estate	23,700	184	58	20	618	24,580	85
Total commercial	72,573	247	72	25	895	73,812	119
Residential mortgages	34,547	93	47	141	196	35,024	155
Home equity	18,626	95	28	1	319	19,069	215
Automobile	2,203	59	20	—	28	2,310	4
Education	8,342	36	16	2	20	8,416	2
Other retail	3,957	35	23	—	46	4,061	1
Total retail	67,675	318	134	144	609	68,880	377
Total	$140,248	$565	$206	$169	$1,504	$142,692	$496
Guaranteed residential mortgages(1)	$743	$53	$27	$141	$—	$964	$—

(1) Guaranteed residential mortgages represent loans fully or partially guaranteed or insured by the FHA, VA, and USDA, and are included in the amounts presented for Residential mortgages.

Troubled debt restructurings on financing receivables

The following tables present the period-end amortized cost of loans to borrowers experiencing financial difficulty that were modified during the three months ended March 31, 2026 and 2025, disaggregated by class of financing receivable and modification type. The modification type reflects the cumulative effect of all FDMs received during the indicated period.

	Three Months Ended March 31, 2026
(dollars in millions)	Interest Rate Reduction	Term Extension	Payment Delay	Interest Rate Reduction and Term Extension	Term Extension and Payment Delay	Total	Total as a % of Loan Class(1)
Commercial and industrial	$1	$78	$45	$1	$21	$146	0.29	%
Commercial real estate	—	131	36	—	33	200	0.82
Total commercial	1	209	81	1	54	346	0.46
Residential mortgages	—	12	6	3	1	22	0.06
Home equity	—	—	4	4	—	8	0.04
Education	2	—	—	—	—	2	0.02
Other retail	6	—	—	—	—	6	0.15
Total retail	8	12	10	7	1	38	0.06
Total	$9	$221	$91	$8	$55	$384	0.27	%

	Three Months Ended March 31, 2025
(dollars in millions)	Interest Rate Reduction	Term Extension	Payment Delay	Interest Rate Reduction and Term Extension	Term Extension and Payment Delay	Total	Total as a % of Loan Class(1)
Commercial and industrial	$32	$141	$2	$—	$1	$176	0.40	%
Commercial real estate	10	172	73	—	25	280	1.05
Total commercial	42	313	75	—	26	456	0.65
Residential mortgages	1	15	2	4	1	23	0.07
Home equity	1	—	2	1	—	4	0.02
Education	2	—	—	—	—	2	0.02
Other retail	6	—	—	—	—	6	0.14
Total retail	10	15	4	5	1	35	0.05
Total	$52	$328	$79	$5	$27	$491	0.36	%

(1) Represents the total amortized cost as of period-end divided by the period-end amortized cost of the corresponding loan class. Accrued interest receivable is excluded from amortized cost and is immaterial.

The following tables present the financial effect of loans to borrowers experiencing financial difficulty that were modified during the three months ended March 31, 2026 and 2025, disaggregated by class of financing receivable:

	Three Months Ended March 31, 2026
(dollars in millions)	Weighted-Average Interest Rate Reduction(1)		Weighted-Average Term Extension (in Months)(1)	Weighted-Average Payment Deferral(1)	Amount of Principal Forgiven(2)
Commercial and industrial	2.54	%	21	$1	$—
Commercial real estate	—		12	2	—
Residential mortgages	0.80		115	—	—
Home equity	2.90		188	—	—
Education	4.40		—	—	—
Other retail	19.42		—	—	4

	Three Months Ended March 31, 2025
(dollars in millions)	Weighted-Average Interest Rate Reduction(1)		Weighted-Average Term Extension (in Months)(1)	Weighted-Average Payment Deferral(1)	Amount of Principal Forgiven(2)
Commercial and industrial	0.81	%	10	$—	$—
Commercial real estate	0.75		10	1	—
Residential mortgages	0.98		111	—	—
Home equity	4.55		74	—	—
Education	4.96		—	—	—
Other retail	20.30		—	—	2

(1) Weighted based on period-end amortized cost.

(2) Amounts are recorded as charge-offs.

The following tables present an aging analysis of the period-end amortized cost of loans to borrowers experiencing financial difficulty that were modified during the twelve-month periods ended March 31, 2026 and 2025, disaggregated by class of financing receivable. A loan in a forbearance or repayment plan is reported as past due according to its contractual terms until contractually modified. Subsequent to modification, it is reported as past due based on its restructured terms.

	March 31, 2026
		Days Past Due and Accruing
(dollars in millions)	Current	30-59	60-89	90+	Nonaccrual	Total
Commercial and industrial	$402	$80	$—	$—	$26	$508
Commercial real estate	763	94	51	20	231	1,159
Total commercial	1,165	174	51	20	257	1,667
Residential mortgages	41	4	4	34	22	105
Home equity	8	—	—	—	28	36
Education	10	—	—	—	1	11
Other retail	14	2	1	—	1	18
Total retail	73	6	5	34	52	170
Total	$1,238	$180	$56	$54	$309	$1,837

	March 31, 2025
		Days Past Due and Accruing
(dollars in millions)	Current	30-59	60-89	90+	Nonaccrual	Total
Commercial and industrial	$311	$17	$—	$3	$51	$382
Commercial real estate	380	33	—	—	385	798
Total commercial	691	50	—	3	436	1,180
Residential mortgages	51	4	3	17	19	94
Home equity	9	—	1	—	12	22
Education	8	—	—	—	1	9
Other retail	13	2	1	—	1	17
Total retail	81	6	5	17	33	142
Total	$772	$56	$5	$20	$469	$1,322

Financing receivable, modified, subsequent default

The following tables present the period-end amortized cost of loans to borrowers experiencing financial difficulty that defaulted during the period presented and were modified within the previous 12 months preceding the default, disaggregated by class of financing receivable and modification type. The modification type reflects the cumulative effect of all FDMs at the time of default. A loan is considered to be in default if, subsequent to modification, it becomes 90 or more days past due or is placed on nonaccrual status.

	Three Months Ended March 31, 2026
(dollars in millions)	Interest Rate Reduction	Term Extension	Payment Delay	Interest Rate Reduction and Term Extension	Term Extension and Payment Delay	Interest Rate Reduction, Term Extension, and Payment Delay	Total
Commercial and industrial	$—	$—	$—	$—	$—	$—	$—
Commercial real estate	—	69	—	—	—	—	69
Total commercial	—	69	—	—	—	—	69
Residential mortgages	—	8	1	3	1	1	14
Home equity	—	—	—	—	—	—	—
Education	—	—	—	—	—	—	—
Other retail	1	—	—	—	—	—	1
Total retail	1	8	1	3	1	1	15
Total	$1	$77	$1	$3	$1	$1	$84

	Three Months Ended March 31, 2025
(dollars in millions)	Interest Rate Reduction	Term Extension	Payment Delay	Interest Rate Reduction and Term Extension	Total
Commercial and industrial	$—	$—	$—	$—	$—
Commercial real estate	—	71	—	—	71
Total commercial	—	71	—	—	71
Residential mortgages	—	5	1	2	8
Home equity	1	—	—	1	2
Education	—	—	—	—	—
Other retail	1	—	—	—	1
Total retail	2	5	1	3	11
Total	$2	$76	$1	$3	$82