Non-Current Assets

Allowance for loan losses

Wells Fargo & Company Allowance for loan losses increased by 0.5% to $13.86B in Q1 2026 compared to the prior quarter. Year-over-year, this metric declined by 1.2%, from $14.03B to $13.86B. Over 4 years (FY 2021 to FY 2025), Allowance for loan losses shows an upward trend with a 2.5% CAGR. This increase may warrant attention — for this metric, lower values are generally preferred.

Analysis

StatementBalance Sheet Statement
SectionNon-Current Assets
CategoryRisk
SignalLower is better
VolatilityModerate
First reportedQ3 2021
Last reportedQ1 2026

How to read this metric

An increase suggests management expects higher future defaults, while a decrease may signal improved credit quality or a more optimistic economic outlook.

Detailed definition

This is a contra-asset account that represents the bank's estimate of the portion of its loan portfolio that will not be...

Peer comparison

Banks with higher-risk loan portfolios typically maintain higher allowance ratios relative to total loans.

Metric ID: non_current_assets_financing_receivable_and_net_investme_ef2fe4

Historical Data

19 periods
 Q3 '21Q4 '21Q1 '22Q2 '22Q3 '22Q4 '22Q1 '23Q2 '23Q3 '23Q4 '23Q1 '24Q2 '24Q3 '24Q4 '24Q1 '25Q2 '25Q3 '25Q4 '25Q1 '26
Value$13.52B$12.49B$11.50B$11.79B$12.57B$12.99B$13.12B$14.26B$14.55B$14.61B$14.42B$14.36B$14.33B$14.18B$14.03B$13.96B$13.74B$13.80B$13.86B
QoQ Change-7.6%-7.9%+2.5%+6.7%+3.3%+1.0%+8.7%+2.1%+0.4%-1.3%-0.4%-0.2%-1.0%-1.1%-0.5%-1.6%+0.4%+0.5%
YoY Change-7.0%+4.0%+14.0%+21.0%+15.8%+12.5%+9.9%+0.7%-1.5%-2.9%-2.7%-2.8%-4.1%-2.7%-1.2%
Range$11.50B$14.61B
CAGR+0.6%
Avg YoY Growth+3.5%
Median YoY Growth-1.2%
Current Streak2 quarters growth

Frequently Asked Questions

What is Wells Fargo & Company's allowance for loan losses?
Wells Fargo & Company (WFC) reported allowance for loan losses of $13.86B in Q1 2026.
How has Wells Fargo & Company's allowance for loan losses changed year-over-year?
Wells Fargo & Company's allowance for loan losses decreased by 1.2% year-over-year, from $14.03B to $13.86B.
What is the long-term trend for Wells Fargo & Company's allowance for loan losses?
Over 4 years (2021 to 2025), Wells Fargo & Company's allowance for loan losses has grown at a 2.5% compound annual growth rate (CAGR), from $12.49B to $13.80B.
What does allowance for loan losses mean?
The reserve set aside to cover expected losses on the loan portfolio.