Company: NWBI
Filing Date: 2025-02-25
Form Type: 10-K
Source: 0001471265-25-000016
Chunk: 310

Company: Northwest Bancshares, Inc.
Filing Date: 2025-02-25
Form: 10-K
Item: Item 8
Chunk 310
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3.(e)                                  Loans Receivable Our portfolio segments are based on the class of financing receivable. Additionally, the class of financing receivables are based on several factors including the method for monitoring and assessing credit risk and the risk characteristics of the financing receivables. Based on evaluation of the nature of our financing receivables, along with the nature and extent of exposure to credit risk arising from these receivables, our portfolio segments were determined to be Personal Banking and Commercial Banking loans.  •Personal Banking loans consist of the following classes of financing receivables:◦Residential mortgage loans - fixed and adjustable rate mortgage loans◦Home equity loans - first and second mortgage loans and home equity lines of credit◦Vehicle loans - direct and indirect automobile, motorcycle loans and recreational or power sport vehicles  ◦Consumer loans - unsecured lines of credit, credit card loans, and other consumer loans•Commercial Banking loans consist of the following classes of financing receivables:◦Commercial real estate - multi-family commercial real estate loans secured by multi-family residences, such as rental properties and loans secured by nonresidential properties such as hotels, commercial offices, medical buildings, manufacturing facilities and retail establishments, excluding owner-occupied loans, and including small business commercial real estate loans◦Commercial real estate - owner-occupied loans - commercial real estate loans secured by residential or non-residential properties ◦Commercial loans - other commercial loans, including small business commercial loans and equipment finance loansLoans are reported at amortized cost. Amortized cost is the principal balance outstanding, net of any deferred purchase premiums and discounts, deferred origination fees or costs and the allowance for credit losses. Accrued interest receivable totaled $40 million and $42 million at December 31, 2024 and December 31, 2023, respectively, and was reported in accrued interest receivable on the Consolidated Statements of Financial Condition. Accrued interest receivable is excluded from the amortized cost basis of loans and from the estimate of allowance for credit losses. Interest income on loans is credited to income as earned. Interest earned on loans for which no payments were received during the month is accrued at month end. Generally, accrued interest on loans more than 90 days delinquent is reversed and such loans are placed on nonaccrual status, except for credit card loans which are not placed in nonaccrual status based on delinquency. All loans are placed on nonaccrual