Company: HBAN
Filing Date: 2025-07-29
Form Type: 10-Q
Source: 0000049196-25-000063
Chunk: 203

Company: HUNTINGTON BANCSHARES INC /MD/
Filing Date: 2025-07-29
Form: 10-Q
Item: Part I, Item 8
Chunk 203
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 Inflation starts out at 3.8%, with improvement expected through the remainder of 2025 and into 2026, before ending 2026 at 1.8%. GDP starts out at 0.4%, with improvement through the end of 2026, ending at 1.9%.

The economic scenarios used included elevated levels of economic uncertainty, such as the impact of specific challenges in the commercial real estate Industry, recent inflation levels, the impacts of U.S. trade policies, the U.S. labor market, the expected path of interest rate changes by the Federal Reserve, and the impact of significant conflicts on-going around the world. Given the uncertainty associated with key economic scenario assumptions, the June 30, 2025 ACL included a general reserve that consists of various risk profile components to address uncertainty not measured within the quantitative transaction reserve. 

7. MORTGAGE LOAN SALES AND SERVICING RIGHTS 

Residential Mortgage PortfolioThe following table summarizes activity relating to residential mortgage loans sold with servicing retained.Three Months EndedSix Months Ended(dollar amounts in millions)June 30, 2025June 30, 2024June 30, 2025June 30, 2024Residential mortgage loans sold with servicing retained$1,168 $983 $2,177 $1,794 Pretax gains resulting from above loan sales (1)23 19 42 32 Total servicing, late, and other ancillary fees (1)26 25 53 51 (1)Included in mortgage banking income.The following table summarizes the changes in MSRs recorded using the fair value method.Three Months EndedSix Months Ended(dollar amounts in millions)June 30, 2025June 30, 2024June 30, 2025June 30, 2024Fair value, beginning of period$564 $534 $573 $515 New servicing assets created20 11 40 21 Change in fair value during the period due to:Time decay (1)(7)(7)(14)(13)Payoffs (2)(10)(7)(17)(12)Changes in valuation inputs or assumptions (3)— 12 (15)32 Fair value, end of period$567 $543 $567 $543 Related loans serviced for third parties, unpaid principal balance, end of period$33,925 $33,404 $33,925 $33