Three of America’s largest banks are writing off a mixed $5.6 billion in unhealthy loans within the first quarter as US bank card debt climbs to a brand new report excessive.
In line with first-quarter earnings studies, JPMorgan Chase recorded $2.3 billion in web charge-offs, Citigroup posted $2.2 billion of web credit score losses, and Wells Fargo reported $1.106 billion of web charge-offs within the first three months of 2026.
JPMorgan mentioned firmwide credit score prices totaled $2.5 billion, together with the $2.3 billion in web charge-offs whereas Citigroup mentioned its U.S. Private Banking enterprise recorded a $2.1 billion provision for credit score losses, together with $1.742 billion of web credit score losses in U.S. branded playing cards and retail providers. Different Citi companies additionally added to the corporate’s whole web credit score losses.
Regardless of the unhealthy loans, JPMorgan Chase CEO Jamie Dimon says the US economic system is remaining resilient.
“The U.S. economic system remained resilient within the quarter, with shoppers nonetheless incomes and spending and companies nonetheless wholesome. A number of tailwinds are supporting this resiliency, together with elevated fiscal stimulus, the advantages of deregulation, AI-driven capital funding and the Fed’s asset purchases.
On the similar time, there’s an more and more complicated set of dangers – resembling geopolitical tensions and wars, vitality worth volatility, commerce uncertainty, massive world fiscal deficits and elevated asset costs.
Whereas we can not predict how these dangers and uncertainties will in the end play out, they’re important they usually reinforce why we put together the Agency for a variety of environments.”
Wells Fargo mentioned its $1.106 billion in web charge-offs got here as its provision for credit score losses reached $1.135 billion.
Moreover, information from the U.S. Federal Reserve reveals shopper bank card and different revolving loans in any respect business banks hit $1.083 trillion for the week ending April 1, 2026, up from $1.080 trillion every week earlier, marking a brand new excessive.
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