Company: WFC-PC
Filing Date: 2025-04-29
Form Type: 10-Q
Source: 0000072971-25-000129
Chunk: 133

Company: WELLS FARGO & COMPANY/MN
Filing Date: 2025-04-29
Form: 10-Q
Item: Item 5
Chunk 133
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996 Total, not government insured/guaranteed$1,536 2,001 (1)Represents residential mortgage loans whose repayments are insured or guaranteed by U.S. government agencies, such as the FHA or the VA.

Wells Fargo & Company79

Note 5:  Loans and Related Allowance for Credit Losses (continued)

LOAN MODIFICATIONS TO BORROWERS EXPERIENCING FINANCIAL DIFFICULTY.  We may agree to modify the contractual terms of a loan to a borrower experiencing financial difficulty.The following disclosures provide information on loan modifications in the form of principal forgiveness, interest rate reductions, other-than-insignificant (e.g., greater than three months) payment delays, term extensions or a combination of these modifications, as well as the financial effects of these modifications, and loan performance in the twelve months following the modification. Loans that both modify and are paid off or charged-off during the period are not included in the disclosures below. These disclosures do not include loans discharged by a bankruptcy court as the only concession, which were insignificant for the first quarter of both 2025 and 2024.For additional information on our loan modifications to borrowers experiencing financial difficulty, see Note 5 (Loans and Related Allowance for Credit Losses) in our 2024 Form 10-K.Table 5.15 presents the outstanding balance of modified commercial loans and the related financial effects of these modifications. At the time of modification, we may require that the borrower provide additional economic support, such as partial repayment, additional collateral, or guarantees.Table 5.15:  Commercial Loan Modifications and Financial EffectsQuarter ended March 31,($ in millions)20252024Commercial and industrial modifications:Term extension$392 169 All other modifications and combinations110 19 Total commercial and industrial modifications$502 188 Total commercial and industrial modifications as a % of loan class0.13 %0.05 Financial effects:Weighted average term extension (months)1812Commercial real estate modifications:Term extension$726 100 All other modifications and combinations9 2 Total commercial real estate modifications$735 102 Total commercial real estate modifications as a % of loan class0.55 %0.07 Financial effects:Weighted average term extension (months)2128

80Wells Fargo & Company

Commercial loans that received a modification in the past 12 months as of March 31, 2025 and 2024, and subsequently defaulted in