Company: USB-PA
Filing Date: 2025-08-07
Form Type: 10-Q
Source: 0000036104-25-000055
Chunk: 83

Company: US BANCORP \DE\
Filing Date: 2025-08-07
Form: 10-Q
Item: Item 8
Chunk 83
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. Bancorp47

Loan modifications included in the table above exclude trial period arrangements offered to customers and secured loans to consumer borrowers that have had debt discharged through bankruptcy where the borrower has not reaffirmed the debt during the periods presented. At June 30, 2025 the balance of loans modified in trial period arrangements was $173 million, while the balance of secured loans to consumer borrowers that have had debt discharged through bankruptcy was not material. The following table summarizes the effects of loan modifications made to borrowers on loans modified:Three Months Ended June 30Weighted-Average Interest Rate Reduction Weighted-Average Months of Term Extension2025Commercial(a)5.4 %14Commercial real estate— 4Residential mortgages1.3 95Credit card16.0 —Other retail4.6 12Loans purchased from GNMA mortgage pools.4 1002024Commercial(a)20.6 %5Commercial real estate2.2 8Residential mortgages.5 86Credit card16.3 —Other retail7.6 5Loans purchased from GNMA mortgage pools.5 119Six Months Ended June 30Weighted-Average  Interest Rate  ReductionWeighted-Average  Months of Term  Extension2025Commercial(a)7.7 %12Commercial real estate2.1 5Residential mortgages1.4 94Credit card16.1 —Other retail5.0 19Loans purchased from GNMA mortgage pools.4 992024Commercial(a)20.0 %7Commercial real estate2.2 9Residential mortgages.7 85Credit card16.3 —Other retail8.4 4Loans purchased from GNMA mortgage pools.5 116Note:  The weighted-average payment deferral for all portfolio classes was less than $1 million for the three and six months ended June 30, 2025 and 2024. Forbearance payments are required to be paid at the end of the original term loan. (a)The weighted-average interest rate reduction was primarily driven by commercial cards.For the commercial lending segment, modifications generally result in the Company working with borrowers on a case-by-case basis. Commercial and commercial real estate modifications generally include extensions of the maturity date and may be accompanied by an increase or decrease to the interest rate. In addition, the Company may work with the borrower in identifying other changes that mitigate loss to the Company, which may include additional collateral or guarantees to support the loan. To