JPMorgan added $50 million to its consumer loan-loss allowance in the third quarter, down 91% from a year earlier, even as it increased corporate loan reserves by $500 million to nearly $11.5 billion. Wells Fargo also slowed consumer provisions, while Citigroup’s consumer reserves rose by $207 million.
JPMorgan added $50 million to its allowance for auto, home, credit card and other consumer loan losses, down from $575 million in the same period a year earlier. Wells Fargo also slowed provisions, while Citigroup’s consumer reserves rose by $207 million.
JPMorgan increased total reserves for corporate lending by $500 million in the past three months, to nearly $11.5 billion. Chief financial officer Jeremy Barnum said the divergence was mostly driven by business activity: auto lending slowed while corporate lending increased.
JPMorgan’s net income rose by $912 million year over year to $15.3 billion. Wells Fargo’s earnings rose 6%; Citigroup’s increased 16% excluding a one-time loss in the year-ago quarter. Investment-banking fees at Citigroup, JPMorgan and Wells Fargo fell 13%, 8% and 3%, respectively, from the prior three-month period.
