Discontinued — last reported Q3 '23
Allowance for credit losses
Capital One Financial Allowance for credit losses increased by 1.3% to $23.41B in Q4 2025 compared to the prior quarter. Year-over-year, this metric grew by 44.0%, from $16.26B to $23.41B. Over 5 years (FY 2020 to FY 2025), Allowance for credit losses shows an upward trend with a 8.5% CAGR. This increase may warrant attention — for this metric, lower values are generally preferred.
Analysis
How to read this metric
An increase often signals management's expectation of deteriorating credit quality or economic headwinds, while a decrease may suggest improved borrower health.
Detailed definition
A contra-asset account representing the bank's estimate of uncollectible amounts within its loan portfolio. This reserve...
Peer comparison
Required by accounting standards (e.g., CECL or IFRS 9) for all banks; essential for comparing risk-adjusted performance.
bank_allowance_for_credit_lossesHistorical Data
| Q2 '21 | Q3 '21 | Q4 '21 | Q1 '22 | Q2 '22 | Q3 '22 | Q4 '22 | Q1 '23 | Q2 '23 | Q3 '23 | Q4 '23 | Q1 '24 | Q2 '24 | Q3 '24 | Q4 '24 | Q1 '25 | Q2 '25 | Q3 '25 | Q4 '25 | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Value | $12.35B | $11.57B | $11.43B | $11.31B | $11.49B | $12.21B | $13.24B | $14.32B | $14.65B | $14.96B | $15.30B | $15.38B | $16.65B | $16.53B | $16.26B | $15.90B | $23.87B | $23.10B | $23.41B |
| QoQ Change | — | -6.3% | -1.2% | -1.1% | +1.6% | +6.2% | +8.4% | +8.1% | +2.3% | +2.1% | +2.3% | +0.5% | +8.3% | -0.7% | -1.7% | -2.2% | +50.2% | -3.2% | +1.3% |
| YoY Change | — | — | — | — | -6.9% | +5.5% | +15.8% | +26.6% | +27.5% | +22.5% | +15.5% | +7.4% | +13.7% | +10.6% | +6.3% | +3.4% | +43.4% | +39.7% | +44.0% |
Allowance for credit losses at Other Companies
Frequently Asked Questions
- What is Capital One Financial's allowance for credit losses?
- Capital One Financial (COF) reported allowance for credit losses of $23.41B in Q4 2025.
- How has Capital One Financial's allowance for credit losses changed year-over-year?
- Capital One Financial's allowance for credit losses increased by 44.0% year-over-year, from $16.26B to $23.41B.
- What is the long-term trend for Capital One Financial's allowance for credit losses?
- Over 5 years (2020 to 2025), Capital One Financial's allowance for credit losses has grown at a 8.5% compound annual growth rate (CAGR), from $15.56B to $23.41B.
- What does allowance for credit losses mean?
- The amount of money the bank has set aside to cover potential losses from loans that may not be repaid.