Mid-sized US banks set aside less for credit losses in Q4
Aggregate provision for credit losses at Truist, Capital One, PNC and US Bancorp more than doubled in 2020
Most large, non-systemic US lenders held off freeing their credit loss reserves in Q4 2020, citing continued uncertainty on the outlook of the US economy and unemployment. Still, the amounts they socked away over the three months to end-December were far lower than those in preceding quarters.
Truist, Capital One and US Bancorp continued to take provisions for credit losses (PCL) in the fourth quarter, adding $177 million, $264 million and $441 million, respectively. These set-asides were 58%
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