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Loans and Allowances for Credit Losses
 9 Months Ended
Sep. 30, 2022
Loans and Leases Receivable, Net Amount [Abstract]  
Loans [Text Block]
Loans

Loans are either secured or unsecured based on the type of loan and the financial condition of the borrower. Repayment is generally expected from cash flow or proceeds from the sale of selected assets of the borrower. BOK Financial is exposed to risk of loss on loans due to the borrower’s difficulties, which may arise from any number of factors, including problems within the respective industry or local economic conditions. Access to collateral, in the event of borrower default, is reasonably assured through adherence to applicable lending laws and through sound lending standards and credit review procedures. Accounting policies for all loans, excluding residential mortgage loans guaranteed by U.S. government agencies, are as follows.

Interest is accrued at the applicable interest rate on the principal amount outstanding. Loans are placed on nonaccruing status when, in the opinion of management, full collection of principal or interest is uncertain. Internally risk graded loans are individually evaluated for nonaccruing status quarterly. Non-risk graded loans are generally placed on nonaccruing status when more than 90 days past due or within 60 days of being notified of the borrower's bankruptcy filing. Interest previously accrued but not collected is charged against interest income when the loan is placed on nonaccruing status. Accrued but not paid interest receivable is included in Receivables in the Consolidated Balance Sheets. Payments on nonaccruing loans are applied to principal or recognized as interest income, according to management’s judgment as to the collectability of principal. Loans may be returned to accruing status when, in the opinion of management, full collection of principal and interest, including principal previously charged off, is probable based on improvements in the borrower’s financial condition or a sustained period of performance.

For loans acquired with no evidence of credit deterioration, discounts are accreted on either an individual basis for loans with unique characteristics or on a pool basis for groups of homogeneous loans. Accretion is discontinued when a loan with an individually attributed discount is placed on nonaccruing status.

Loans to borrowers experiencing financial difficulties may be modified in TDRs. Primarily all TDRs are classified as nonaccruing, excluding loans guaranteed by U.S. government agencies. Modifications generally consist of extension of payment terms or interest rate concessions and may result either voluntarily through negotiations with the borrower or involuntarily through court order. Payment deferrals up to six months are generally considered to be short-term modifications. Generally, principal and accrued but unpaid interest is not voluntarily forgiven.

Performing loans may be renewed under the current collateral value, debt service ratio and other underwriting standards. Nonaccruing loans may be renewed and will remain classified as nonaccruing. 

Occasionally, loans, other than residential mortgage loans, may be held for sale in order to manage credit concentration. These loans are carried at the lower of cost or fair value with gains or losses recognized in Other gains (losses), net in the Consolidated Statements of Earnings.

All loans are charged off when the loan balance or a portion of the loan balance is no longer supported by the paying capacity of the borrower or when the required cash flow is reduced in a TDR. The charge-off amount is determined through a quarterly evaluation of available cash resources and collateral values. Internally risk graded loans are evaluated quarterly, and charge-offs are taken in the quarter in which the loss is identified. Non-risk graded loans that are past due between 60 days and 180 days, based on the loan product type, are charged off. Loans to borrowers whose personal obligation has been discharged through Chapter 7 bankruptcy proceedings are charged off within 60 days of notice of the bankruptcy filing, regardless of payment status.

Loan origination and commitment fees and direct loan acquisition and origination costs are deferred and amortized as an adjustment to yield over the life of the loan or over the commitment period, as applicable. Amortization does not anticipate loan prepayments. Net unamortized fees are recognized in full at time of payoff.
Qualifying residential mortgage loans guaranteed by U.S. government agencies have been sold into GNMA pools. Under certain performance conditions specified in government programs, the Company may have the right, but not the obligation to repurchase loans from GNMA pools. These loans no longer qualify for sale accounting and are recognized in the Consolidated Balance Sheets. We do not expect to receive all principal and interest based on the loan's contractual terms. A portion of the principal balance continues to be guaranteed; however, interest accrues at a curtailed rate as specified in the programs. The carrying value of these loans is reduced based on an estimate of the expected cash flows discounted at the original note rate plus a liquidity spread. Guaranteed loans may be modified in TDRs in accordance with U.S. government agency guidelines. Interest continues to accrue based on the modified rate. Guaranteed loans may either be resold into GNMA pools after a performance period specified by the programs or foreclosed and conveyed to the guarantors.

Loans are disaggregated into portfolio segments and further disaggregated into classes. The portfolio segment is the level at which the Company develops and documents a systematic method for determining its allowance for credit losses. Classes are a further disaggregation of portfolio segments based on the risk characteristics of the loans and the Company’s method for monitoring and assessing credit risk. 

Portfolio segments of the loan portfolio are as follows (in thousands):
 September 30, 2022December 31, 2021
Fixed
Rate		Variable
Rate		Non-accrualTotalFixed
Rate		Variable
Rate		Non-accrualTotal
Commercial$3,333,460 $10,198,556 $75,670 $13,607,686 $3,360,117 $9,072,244 $74,104 $12,506,465 
Commercial real estate
888,066 3,577,874 7,971 4,473,911 929,015 2,888,048 14,262 3,831,325 
Paycheck protection program20,233 — — 20,233 276,341 — — 276,341 
Loans to individuals2,055,244 1,586,224 47,159 3,688,627 2,037,792 1,508,064 45,693 3,591,549 
Total$6,297,003 $15,362,654 $130,800 $21,790,457 $6,603,265 $13,468,356 $134,059 $20,205,680 


Credit Commitments
 
Commitments to extend credit are agreements to lend to a customer as long as there is no violation of conditions established in the contract. Commitments generally have fixed expiration dates or other termination clauses and may require payment of a fee. At September 30, 2022, outstanding commitments totaled $14.6 billion. Because some commitments are expected to expire before being drawn upon, the total commitment amounts do not necessarily represent future cash requirements. BOK Financial uses the same credit policies in making commitments as it does loans.

The amount of collateral obtained, if deemed necessary, is based upon management’s credit evaluation of the borrower.

Standby letters of credit are conditional commitments issued to guarantee the performance of a customer to a third party. Because the credit risk involved in issuing standby letters of credit is essentially the same as that involved in extending loan commitments, BOK Financial uses the same credit policies in evaluating the creditworthiness of the customer. Additionally, BOK Financial uses the same evaluation process in obtaining collateral on standby letters of credit as it does for loan commitments. The term of these standby letters of credit is defined in each commitment and typically corresponds with the underlying loan commitment. At September 30, 2022, outstanding standby letters of credit totaled $725 million. 

Allowances for Credit Losses and Accrual for Off-balance Sheet Credit Risk from Unfunded Loans Commitments

The allowance for loan losses and accrual for off-balance sheet credit risk from unfunded loan commitments represent the portion of the amortized cost basis of loans that we do not expect to collect over the asset’s contractual life, considering past events, current conditions, and reasonable and supportable forecasts of future economic conditions. The appropriateness of the allowance for credit losses, including industry and product adjustments, is assessed quarterly by a senior management Allowance Committee. This review is based on an on-going evaluation of the estimated expected credit losses in the portfolio and on unused commitments to provide financing. A well-documented methodology has been developed and is applied by an independent Credit Administration department to assure consistency across the Company.

The allowance for loan losses consists of specific allowances attributed to certain individual loans, generally nonaccruing loans, with dissimilar risk characteristics that have not yet been charged down to amounts we expect to recover and general allowances for estimated credit losses on pools of loans that share similar risk characteristics.
When full collection of principal or interest is uncertain, the loan’s risk characteristics have changed, and we exclude the loan from the general allowance pool, typically designating it as nonaccruing. For these loans, a specific allowance reflects the expected credit loss.

We measure specific allowances for loans excluded from the general allowance pool by an evaluation of estimated future cash flows discounted at the loan's initial effective interest rate or the fair value of collateral for certain collateral dependent loans. For a non-collateral dependent loan, the specific allowance is the amount by which the loan’s amortized cost basis exceeds its net realizable value. We measure the specific allowance for collateral dependent loans as the amount by which the loan’s amortized cost basis exceeds its fair value. When repayment is expected to be provided substantially through the sale of collateral, we deduct estimated selling costs from the collateral’s fair value. Generally, for real property held as collateral for loans, third party appraisals that conform to Uniform Standards of Professional Appraisal Practice serve as the basis for the fair value of real property held as collateral. These appraised values are on an “as-is” basis and generally are not adjusted by the Company. We obtain updated appraisals at least annually or more frequently if market conditions indicate collateral values may have declined. For energy loans, our internal staff of engineers generally determines collateral value of mineral rights based on projected cash flows from proven oil and gas reserves under existing economic and operating conditions. For real property held as collateral for other loans, third party appraisals that conform to Uniform Standards of Professional Appraisal Practice generally serve as the basis for the fair value. These appraised values are on an “as-is” basis and generally are not adjusted by the Company. We obtain updated appraisals at least annually or more frequently if market conditions indicate collateral values may have declined. Our special assets staff generally determines the value of other collateral based on projected liquidation cash flows under current market conditions. We evaluate collateral values and available cash resources quarterly. Historical statistics may be used to estimate specific allowances in limited situations, such as when a collateral dependent loan is removed from the general allowance pool near the end of a reporting period until an appraisal of collateral value is received or a full assessment of future cash flows is completed.

General allowances estimate expected credit losses on pools of loans sharing similar risk characteristics that are expected to occur over the loan’s estimated remaining life. The loan’s estimated remaining life represents the contractual term adjusted for amortization, estimates of prepayments, and borrower-owned extension options. Approximately 90 percent of the committed dollars in the loan portfolio is risk graded loans with general allowance model inputs that include probability of default, loss given default, and exposure at default. Probability of default is based on the migration of loans from performing to nonperforming using historical life of loan analysis periods. Loss given default is based on the aggregate losses incurred, net of estimated recoveries. Exposure at default represents an estimate of the outstanding amount of credit exposure at the time a default may occur.

Charge-off migration is used to calculate the general allowance for the majority of non-risk graded loans to individuals. The expected credit loss on less than 10 percent of the committed dollars in the portfolio is calculated using charge-off migration.

The expected credit loss on approximately 1 percent of the committed dollars in the portfolio is calculated using a non-modeled approach. Specifically, the calculation applies a long-term net charge-off rate to the loan balances, adjusted for the weighted average remaining maturity of each portfolio.
    
In estimating the expected credit losses for general allowances on performing risk-graded loans, each portfolio class is assigned relevant economic loss drivers which best explain variations in portfolio net loss rates. The probability of default estimates for each portfolio class are adjusted for current and forecasted economic conditions. The result is applied to the exposure at default and loss given default to calculate the lifetime expected credit loss estimate. Selection of relevant economic loss drivers is re-evaluated periodically and involves statistical analysis as well as management judgment. The unemployment rate factors significantly in the allowance for loan losses calculation, affecting commercial and loans to individuals segments. Other primary factors impacting the commercial portfolio include BBB corporate spreads, real gross domestic product growth rate, and energy commodity prices. The primary commercial real estate variables are vacancy rate and BBB corporate spreads. In addition to the unemployment rate, the forecast for loans to individuals is tied to a home price index. The forecasts may include regional economic factors when localized conditions diverge from national conditions.

An Economic Forecast Committee, consisting of senior management with members largely independent of the allowance process develops a twelve-month forward-looking forecast for the relevant economic loss drivers. Management develops these forecasts based on external data as well as a view of future economic conditions which may include adjustments for regional conditions. The forecast includes three economic scenarios and probability weights for each scenario. The base forecast represents management's view of the most likely outcome, while the downside forecast reflects reasonably possible worsening economic conditions, and the upside forecast projects reasonably possible improving conditions.
At the end of the one-year reasonable and supportable forecast period, we transition from shorter-term expected losses to long-term loss averages for the loan’s estimated remaining life. The difference between short-term loss forecasts and long-term loss averages is run-off over the reversion horizon, up to three years, depending on the forecasted economic scenarios.

General allowances also consider the estimated impact of factors that are not captured in the modeled results or historical experience. These factors may increase or decrease modeled results by amounts determined by the Allowance Committee. Factors not captured in modeled results or historical experience may include for example, new lines of business, market conditions that have not been previously encountered, observed changes in credit risk that are not yet reflected in macro-economic factors, or economic conditions that impact loss given default assumptions.

The accrual for off-balance sheet credit risk is maintained at a level that is appropriate to cover estimated losses associated with credit instruments that are not currently recognized as assets such as loan commitments, standby letters of credit or guarantees that are not unconditionally cancelable by the bank. This accrual is included in other liabilities in the Consolidated Balance Sheets. The appropriateness of the accrual is determined in the same manner as the allowance for loan losses, with the added consideration of commitment usage over the remaining life for those loans that the bank can not unconditionally cancel.

A provision for credit losses is charged against or credited to earnings in amounts necessary to maintain an appropriate Allowance for Credit Losses. Recoveries of loans previously charged off are added to the allowance when received.

The activity in the allowance for loan losses and the allowance for off-balance sheet credit losses related to loan commitments and standby letters of credit is summarized as follows (in thousands):
Three Months Ended
September 30, 2022
 CommercialCommercial Real EstatePaycheck Protection ProgramLoans to IndividualsTotal
Allowance for loan losses:    
Beginning balance$137,562 $62,997 $— $40,555 $241,114 
Provision for loan losses3,158 (4,415)— 2,368 1,111 
Loans charged off(75)— — (1,691)(1,766)
Recoveries of loans previously charged off
721 7 — 581 1,309 
Ending balance$141,366 $58,589 $— $41,813 $241,768 
Allowance for off-balance sheet credit risk from unfunded loan commitments:
Beginning balance$15,839 $24,670 $— $1,741 $42,250 
Provision for off-balance sheet credit risk
939 12,826 — 295 14,060 
Ending balance$16,778 $37,496 $— $2,036 $56,310 
Nine Months Ended
September 30, 2022
 CommercialCommercial Real EstatePaycheck Protection ProgramLoans to IndividualsTotal
Allowance for loan losses:     
Beginning balance$162,056 $58,553 $— $35,812 $256,421 
Provision for loan losses(17,428)138 — 8,276 (9,014)
Loans charged off(6,162)(269)— (4,508)(10,939)
Recoveries2,900 167 — 2,233 5,300 
Ending balance$141,366 $58,589 $— $41,813 $241,768 
Allowance for off-balance sheet credit risk from unfunded loan commitments:
Beginning balance$13,812 $17,442 $— $1,723 $32,977 
Provision for off-balance sheet credit losses
2,966 20,054 — 313 23,333 
Ending balance$16,778 $37,496 $— $2,036 $56,310 
Three Months Ended
September 30, 2021
 CommercialCommercial Real EstatePaycheck Protection ProgramLoans to IndividualsTotal
Allowance for loan losses:    
Beginning balance$198,303 $70,540 $— $43,047 $311,890 
Provision for loan losses(15,996)(9,418)— (1,981)(27,395)
Loans charged off(6,979)(1,422)— (1,183)(9,584)
Recoveries of loans previously charged off
832 228 — 709 1,769 
Ending balance$176,160 $59,928 $— $40,592 $276,680 
Allowance for off-balance sheet credit risk from unfunded loan commitments:
Beginning balance$10,094 $12,348 $— $1,845 $24,287 
Provision for off-balance sheet credit risk
2,772 2,294 — (114)4,952 
Ending balance$12,866 $14,642 $— $1,731 $29,239 
Nine Months Ended
September 30, 2021
CommercialCommercial Real EstatePaycheck Protection ProgramLoans to IndividualsTotal
Allowance for loan losses:
Beginning balance$254,934 $86,558 $— $47,148 $388,640 
Provision for loan losses(44,331)(24,579)— (5,319)(74,229)
Loans charged off(38,826)(2,485)— (3,482)(44,793)
Recoveries of loans previously charged off4,383 434 — 2,245 7,062 
Ending balance$176,160 $59,928 $— $40,592 $276,680 
Allowance for off-balance sheet credit risk from unfunded loan commitments:
Beginning balance$14,422 $20,571 $— $1,928 $36,921 
Provision for off-balance sheet credit risk(1,556)(5,929)— (197)(7,682)
Ending balance$12,866 $14,642 $— $1,731 $29,239 
A $15.0 million provision for credit losses was necessary for the third quarter of 2022, primarily related to strong loan growth in loans and unfunded commitments during the quarter. The level of uncertainty in the current economic outlook increased, resulting in an increase in the probability weighting of the downside scenario and key economic factors were slightly less favorable to economic growth across all scenarios. These changes were offset by a decrease in expected losses on commercial real estate, energy, healthcare and services loans and continued improvement in credit quality metrics.

The allowance for loan losses and recorded investment of the related loans by portfolio segment for each measurement method at September 30, 2022 is as follows (in thousands):
 Collectively Measured
for General Allowances		Individually Measured
for Specific Allowances		Total
 Recorded InvestmentRelated AllowanceRecorded InvestmentRelated AllowanceRecorded InvestmentRelated
Allowance
Commercial$13,532,016 $125,253 $75,670 $16,113 $13,607,686 $141,366 
Commercial real estate4,465,940 57,654 7,971 935 4,473,911 58,589 
Paycheck protection program20,233 — — — 20,233 — 
Loans to individuals3,641,468 41,813 47,159 — 3,688,627 41,813 
Total$21,659,657 $224,720 $130,800 $17,048 $21,790,457 $241,768 

The allowance for loan losses and recorded investment of the related loans by portfolio segment for each measurement method at December 31, 2021 is as follows (in thousands):

 Collectively Measured
for General Allowances		Individually Measured
for Specific Allowances		Total
 Recorded InvestmentRelated AllowanceRecorded InvestmentRelated AllowanceRecorded InvestmentRelated
Allowance
Commercial$12,432,361 $158,063 $74,104 $3,993 $12,506,465 $162,056 
Commercial real estate3,817,063 56,204 14,262 2,349 3,831,325 58,553 
Paycheck protection program276,341 — — — 276,341 — 
Loans to individuals3,545,856 35,812 45,693 — 3,591,549 35,812 
Total$20,071,621 $250,079 $134,059 $6,342 $20,205,680 $256,421 
Credit Quality Indicators

The Company utilizes risk grading as primary credit quality indicators as it influences the probability of default which is a key attribute in the expected credit losses calculation. Substantially all commercial as well as commercial real estate loans and certain loans to individuals are risk graded based on a quarterly evaluation of the borrowers’ ability to repay the loans. Certain commercial loans and most loans to individuals are small, homogeneous pools that are not risk-graded. The credit quality of these loans is based on past due days in accordance with regulatory guidelines.

We have included in the credit quality indicator “pass” loans that are in compliance with the original terms of the agreement and currently exhibit no factors that cause management to have doubts about the borrowers’ ability to remain in compliance with the original terms of the agreement, which is consistent with the regulatory guideline of “pass.” This also includes past due residential mortgages that are guaranteed by agencies of the U.S. government that continue to accrue interest based on criteria of the guarantors’ programs.

Other loans especially mentioned ("Special Mention") are currently performing in compliance with the original terms of the agreement but may have a potential weakness that deserves management’s close attention, consistent with regulatory guidelines. Non-graded loans 30 to 59 days past due are categorized as Special Mention.

The risk grading process identifies certain loans that have a well-defined weakness (for example, inadequate debt service coverage or liquidity or marginal capitalization; repayment may depend on collateral or other risk mitigation) that may jeopardize liquidation of the debt and represent a greater risk due to deterioration in the financial condition of the borrower. This is consistent with the regulatory guideline for “substandard.” Because the borrowers are still performing in accordance with the original terms of the loan agreements, these loans remain on accruing status. Non-graded loans 60 to 89 days past due are categorized as Accruing Substandard.

Nonaccruing loans represent loans for which full collection of principal and interest is uncertain. This includes certain loans considered “substandard” and all loans considered “doubtful” by regulatory guidelines. Non-graded loans 90 or more days past due are categorized as Nonaccrual.

Probability of default is lowest for pass graded loans and increases for each credit quality indicator, Special Mention, and Accruing Substandard.

Vintage represents the year of origination, except for revolving loans which are considered in aggregate. Loans that were once revolving but have converted to term loans without additional underwriting appear in a separate vintage column.
The following table summarizes the Company’s loan portfolio at September 30, 2022 by the risk grade categories and vintage (in thousands): 
Origination Year
20222021202020192018PriorRevolving LoansRevolving Loans Converted to Term LoansTotal
Commercial:
Energy
Pass$165,547 $87,788 $31,140 $13,509 $6,153 $5,091 $3,023,546 $— $3,332,774 
Accruing Substandard— — — 1,046 482 688 22,909 9,525 34,650 
Nonaccrual— — — — — 292 3,872 — 4,164 
Total energy165,547 87,788 31,140 14,555 6,635 6,071 3,050,327 9,525 3,371,588 
Healthcare
Pass734,327 603,595 515,393 462,765 464,154 748,312 229,326 22 3,757,894 
Special Mention— — — — — 20,452 4 — 20,456 
Accruing Substandard— — — — — 6,835 — — 6,835 
Nonaccrual— — — 26,652 6,488 8,298 — — 41,438 
Total healthcare734,327 603,595 515,393 489,417 470,642 783,897 229,330 22 3,826,623 
Services
Pass600,374 512,773 300,490 199,238 161,527 754,204 689,197 683 3,218,486 
Special Mention313 396 295 769 940 39 999 — 3,751 
Accruing Substandard— — — 2,636 50 2,867 25,666 154 31,373 
Nonaccrual— 2,172 — — — 4,059 21,084 — 27,315 
Total services600,687 515,341 300,785 202,643 162,517 761,169 736,946 837 3,280,925 
General business
Pass579,329 433,284 205,796 197,961 143,995 306,131 1,227,059 1,883 3,095,438 
Special Mention— 878 — — 1,889 1,153 8,314 — 12,234 
Accruing Substandard— 2,024 75 4,269 2,365 9,265 88 39 18,125 
Nonaccrual— — 1,073 14 953 7 677 29 2,753 
Total general business579,329 436,186 206,944 202,244 149,202 316,556 1,236,138 1,951 3,128,550 
Total commercial2,079,890 1,642,910 1,054,262 908,859 788,996 1,867,693 5,252,741 12,335 13,607,686 
Commercial real estate:
Pass854,039 1,146,736 616,509 717,579 276,614 686,543 138,168 — 4,436,188 
Special Mention— — — — — 26,652 — — 26,652 
Accruing Substandard— — — — — 3,100 — — 3,100 
Nonaccrual— — — 7,571 — 400 — — 7,971 
Total commercial real estate854,039 1,146,736 616,509 725,150 276,614 716,695 138,168 — 4,473,911 
Origination Year
20222021202020192018PriorRevolving LoansRevolving Loans Converted to Term LoansTotal
Paycheck protection program:
Pass— 9,042 11,191 — — — — — 20,233 
Total paycheck protection program— 9,042 11,191 — — — — — 20,233 
Loans to individuals:
Residential mortgage
Pass280,323 376,110 402,088 67,906 42,603 278,129 350,036 23,185 1,820,380 
Special Mention— 59 189 16 11 261 629 37 1,202 
Accruing Substandard— — — 17 — 81 51 39 188 
Nonaccrual33 1,557 2,750 358 1,936 20,564 2,049 819 30,066 
Total residential mortgage280,356 377,726 405,027 68,297 44,550 299,035 352,765 24,080 1,851,836 
Residential mortgage guaranteed by U.S. government agencies
Pass— 2,235 8,876 11,995 18,851 203,552 — — 245,509 
Nonaccrual— — 299 1,467 2,631 12,560 — — 16,957 
Total residential mortgage guaranteed by U.S. government agencies— 2,235 9,175 13,462 21,482 216,112 — — 262,466 
Personal:
Pass181,102 208,625 156,718 170,232 71,133 206,780 578,456 357 1,573,403 
Special Mention26 129 25 6 12 4 1 — 203 
Accruing Substandard— 423 — 160 — — — — 583 
Nonaccrual10 37 14 23 7 20 25 — 136 
Total personal181,138 209,214 156,757 170,421 71,152 206,804 578,482 357 1,574,325 
Total loans to individuals461,494 589,175 570,959 252,180 137,184 721,951 931,247 24,437 3,688,627 
Total loans$3,395,423 $3,387,863 $2,252,921 $1,886,189 $1,202,794 $3,306,339 $6,322,156 $36,772 $21,790,457 
The following table summarizes the Company’s loan portfolio at December 31, 2021 by the risk grade categories and vintage (in thousands): 
Origination Year
20212020201920182017PriorRevolving LoansRevolving Loans Converted to Term LoansTotal
Commercial:
Energy
Pass$252,133 $29,556 $15,914 $13,548 $4,741 $6,765 $2,540,525 $— $2,863,182 
Special Mention558 771 — — — — 750 — 2,079 
Accruing Substandard
10,650 22,611 1,185 814 — 716 74,556 — 110,532 
Nonaccrual— 20,487 — — — 714 9,890 — 31,091 
Total energy263,341 73,425 17,099 14,362 4,741 8,195 2,625,721 — 3,006,884 
Healthcare
Pass563,800 589,193 516,558 498,998 319,096 688,136 160,154 26 3,335,961 
Special Mention6,835 — 15,583 — 11,135 — 5 — 33,558 
Accruing Substandard
— — 27,135 543 — 1,981 — — 29,659 
Nonaccrual— — — 6,542 — 8,711 509 — 15,762 
Total healthcare570,635 589,193 559,276 506,083 330,231 698,828 160,668 26 3,414,940 
Services
Pass696,149 405,057 289,375 275,010 225,404 795,029 607,958 375 3,294,357 
Special Mention434 405 1,830 1,047 3,290 47 17,210 192 24,455 
Accruing Substandard
43 530 4,166 10,714 1,785 2,366 11,607 — 31,211 
Nonaccrual— — — 230 13,918 2,519 503 — 17,170 
Total services696,626 405,992 295,371 287,001 244,397 799,961 637,278 567 3,367,193 
General business
Pass584,438 211,892 264,462 177,384 168,977 215,014 1,047,420 2,284 2,671,871 
Special Mention218 223 60 1,435 3,842 — 5,875 — 11,653 
Accruing Substandard
265 1,066 1,634 7,697 8,336 3,024 1,821 — 23,843 
Nonaccrual— 2,444 4,562 1,046 762 518 730 19 10,081 
Total general business584,921 215,625 270,718 187,562 181,917 218,556 1,055,846 2,303 2,717,448 
Total commercial2,115,523 1,284,235 1,142,464 995,008 761,286 1,725,540 4,479,513 2,896 12,506,465 
Commercial real estate:
Pass717,400 711,231 871,283 403,115 279,058 664,684 117,847 31 3,764,649 
Special Mention— — — 6,660 10,898 9,244 — — 26,802 
Accruing Substandard
— — — 13,352 4,480 7,780 — — 25,612 
Nonaccrual— — 8,076 — — 6,186 — — 14,262 
Total commercial real estate717,400 711,231 879,359 423,127 294,436 687,894 117,847 31 3,831,325 
Origination Year
20212020201920182017PriorRevolving LoansRevolving Loans Converted to Term LoansTotal
Paycheck protection program:
Pass237,357 38,984 — — — — — — 276,341 
Total paycheck protection program237,357 38,984 — — — — — — 276,341 
Loans to individuals:
Residential mortgage
Pass386,092 452,537 84,001 60,390 68,150 295,632 320,638 21,463 1,688,903 
Special Mention— — 156 — 19 411 282 159 1,027 
Accruing Substandard98 — — — 127 41 400 — 666 
Nonaccrual1,516 1,809 383 1,968 629 22,289 2,177 803 31,574 
Total residential mortgage387,706 454,346 84,540 62,358 68,925 318,373 323,497 22,425 1,722,170 
Residential mortgage guaranteed by U.S. government agencies
Pass699 11,380 20,650 27,970 32,742 246,871 — — 340,312 
Nonaccrual— — 1,259 821 635 11,146 — — 13,861 
Total residential mortgage guaranteed by U.S. government agencies699 11,380 21,909 28,791 33,377 258,017 — — 354,173 
Personal:
Pass218,960 180,577 177,389 70,249 92,592 135,041 638,713 728 1,514,249 
Special Mention— 9 34 3 — 47 — — 93 
Accruing Substandard
435 5 165 — — 1 — — 606 
Nonaccrual110 14 10 24 35 40 25 — 258 
Total personal219,505 180,605 177,598 70,276 92,627 135,129 638,738 728 1,515,206 
Total loans to individuals607,910 646,331 284,047 161,425 194,929 711,519 962,235 23,153 3,591,549 
Total loans$3,678,190 $2,680,781 $2,305,870 $1,579,560 $1,250,651 $3,124,953 $5,559,595 $26,080 $20,205,680 
Nonaccruing Loans

A summary of nonaccruing loans at September 30, 2022 follows (in thousands): 
As of September 30, 2022
 TotalWith No
Allowance		With AllowanceRelated Allowance
Commercial:    
Energy$4,164 $4,164 $— $— 
Healthcare41,438 34,951 6,487 946 
Services27,315 1,307 26,008 15,167 
General business2,753 2,753 — — 
Total commercial75,670 43,175 32,495 16,113 
Commercial real estate7,971 400 7,571 935 
Loans to individuals:    
Residential mortgage30,066 30,066 — — 
Residential mortgage guaranteed by U.S. government agencies
16,957 16,957 — — 
Personal136 136 — — 
Total loans to individuals47,159 47,159 — — 
Total$130,800 $90,734 $40,066 $17,048 


A summary of nonaccruing loans at December 31, 2021 follows (in thousands): 
As of December 31, 2021
 TotalWith No
Allowance		With AllowanceRelated Allowance
Commercial:    
Energy$31,091 $31,091 $— $— 
Healthcare15,762 9,679 6,083 53 
Services17,170 13,686 3,484 2,584 
General business10,081 7,690 2,391 1,357 
Total commercial74,104 62,146 11,958 3,994 
Commercial real estate14,262 6,186 8,076 2,349 
Loans to individuals:    
Residential mortgage31,574 31,574 — — 
Residential mortgage guaranteed by U.S. government agencies
13,861 13,861 — — 
Personal258 258 — — 
Total loans to individuals45,693 45,693 — — 
Total$134,059 $114,025 $20,034 $6,343 
Troubled Debt Restructurings

At September 30, 2022 the Company had $240 million in TDRs, of which $176 million were accruing residential mortgage loans guaranteed by U.S. government agencies and $20 million were nonaccruing residential mortgage loans with no specific allowance necessary. Of the approximately $127 million of TDRs that are performing in accordance with the modified terms, $84 million are government guaranteed loans.

At December 31, 2021, the Company had $284 million in TDRs, of which $211 million were accruing residential mortgage loans guaranteed by U.S. government agencies. Of the approximately $152 million of TDRs that were performing in accordance with the modified terms, $84 million are government guaranteed loans.

TDRs generally consist of interest rate concessions, payment stream concessions or a combination of concessions to distressed borrowers. During the three and nine months ended September 30, 2022, $5.4 million and $32 million of loans were restructured and $22 thousand and $101 thousand of loans designated as TDRs were charged off. During the three and nine months ended September 30, 2021, $18 million and $81 million of loans were restructured and $712 thousand and $994 thousand of loans designated as TDRs were charged off.

Past Due Loans

Past due status for all loan classes is based on the actual number of days since the last payment was due according to the contractual terms of the loans, as modified for short-term payment deferral forbearance.

A summary of loans currently performing and past due as of September 30, 2022 is as follows (in thousands):
  Past Due Past Due 90 Days or More and Accruing
 Current30 to 59
Days		60 to 89 Days90 Days
or More		Total
Commercial:    
Energy$3,371,588 $— $— $— $3,371,588 $— 
Healthcare3,811,313 524 — 14,786 3,826,623 — 
Services3,277,632 1,832 154 1,307 3,280,925 — 
General business3,127,305 590 547 108 3,128,550 — 
Total commercial13,587,838 2,946 701 16,201 13,607,686 — 
Commercial real estate4,473,593 — — 318 4,473,911 101 
Paycheck protection program20,211 — 3 19 20,233 19 
Loans to individuals:    
Residential mortgage1,840,017 5,203 1,397 5,219 1,851,836 — 
Residential mortgage guaranteed by U.S. government agencies
121,966 40,778 18,248 81,474 262,466 73,028 
Personal1,572,650 1,649 — 26 1,574,325 — 
Total loans to individuals3,534,633 47,630 19,645 86,719 3,688,627 73,028 
Total$21,616,275 $50,576 $20,349 $103,257 $21,790,457 $73,148 
A summary of loans currently performing and past due as of December 31, 2021 is as follows (in thousands):
  Past Due Past Due 90 Days or More and Accruing
 Current30 to 59
Days		60 to 89 Days90 Days
or More		Total
Commercial:    
Energy$3,002,623 $545 $3,716 $— $3,006,884 $— 
Healthcare3,412,072 2,359 — 509 3,414,940 — 
Services3,352,639 920 4,620 9,014 3,367,193 — 
General business2,705,596 6,080 997 4,775 2,717,448 199 
Total commercial12,472,930 9,904 9,333 14,298 12,506,465 199 
Commercial real estate3,827,962 — 206 3,157 3,831,325 — 
Paycheck protection program276,341 — — — 276,341 74 
Loans to individuals:    
Residential mortgage1,707,654 6,263 1,556 6,697 1,722,170 — 
Residential mortgage guaranteed by U.S. government agencies
181,022 26,869 16,751 129,531 354,173 118,819 
Personal1,514,938 66 24 178 1,515,206 40 
Total loans to individuals3,403,614 33,198 18,331 136,406 3,591,549 118,859 
Total$19,980,847 $43,102 $27,870 $153,861 $20,205,680 $119,132