Company: FMCCN
Filing Date: 2025-05-01
Form Type: 10-Q
Source: 0001026214-25-000060
Chunk: 166

Company: FEDERAL HOME LOAN MORTGAGE CORP
Filing Date: 2025-05-01
Form: 10-Q
Item: Item 1
Chunk 166
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1Q 2025 Form 10-Q60

Financial Statements                         Notes to the Condensed Consolidated Financial Statements | Note 5

NOTE 5

Allowance for Credit Losses

The table below summarizes changes in our allowance for credit losses.Table 5.1 - Details of the Allowance for Credit Losses1Q 20251Q 2024 (In millions) Single-FamilyMultifamilyTotalSingle-FamilyMultifamilyTotalBeginning balance$6,691 $548 $7,239 $6,402 $447 $6,849 Provision (benefit) for credit losses228 52 280 120 61 181 Charge-offs(191)(1)(192)(123)— (123)Recoveries collected27 1 28 26 — 26 Other(1)96 — 96 83 — 83 Ending balance$6,851 $600 $7,451 $6,508 $508 $7,016 Components of the ending balance of the allowance for credit losses:Mortgage loans held-for-investment$6,543 $431 $6,974 $6,189 $381 $6,570 Other(2)308 169 477 319 127 446 Total ending balance$6,851 $600 $7,451 $6,508 $508 $7,016 (1)Primarily includes capitalization of past due interest related to non-accrual loans that received payment deferral plans and loan modifications.(2)Includes allowance for credit losses related to advances of pre-foreclosure costs and off-balance sheet credit exposures.

n    1Q 2025 vs. 1Q 2024 - The provision for credit losses for 1Q 2025 was primarily driven by a credit reserve build in Single-Family attributable to new acquisitions. The provision for credit losses for 1Q 2024 was primarily driven by a credit reserve build in Single-Family attributable to new acquisitions and increasing mortgage rates.

Freddie Mac 1Q 2025 Form 10-Q61

Financial Statements                         Notes to the Condensed Consolidated Financial Statements | Note 6

NOTE 6 

Investment Securities

The table below summarizes the fair values of our investments in debt securities by classification.Table 6.1 - Investment Securities(In millions)March