Top US banks released $18.5bn of credit reserves in 2021
JP Morgan reversed over $6bn of PCLs, the most of the group
Wall Street’s largest lenders added more than $18.5 billion to their earnings last year by releasing reserves held to protect against future credit losses.
Improvements in borrower creditworthiness freed top US banks to release billions from their provisions for credit losses (PCLs) back into income, a sign the coronavirus crisis is loosening its grip on the sector.
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