Charge-Off Rate on All Loans
Business and household loans banks wrote off, net of recoveries
Where the Charge-Off Rate on All Loans stands now
The Charge-Off Rate on All Loans was 0.55% in the second quarter of 2026. Since 1985 it has ranged from 0.19% in the third quarter of 2021 to 3.14% in the fourth quarter of 2009. It has been lower than a year earlier for five quarters in a row.
What it means for households: Bankruptcy Statistics Behind on payments? Bankruptcy: What to Know
How the Charge-Off Rate on All Loans has moved since 1985
Charge-Off Rate on All Loans: down since 2024
Net charge-off rate on all loans and leases, insured U.S.-chartered commercial banks, annualized percent, not seasonally adjusted: 0.55% in the second quarter of 2026, down from 0.60% a year earlier. Quarterly, 1985–2026.
What the Charge-Off Rate on All Loans measures
A higher rate is worse for households.
In our research, this measure and Charge-Off Rate on Single-Family Residential Mortgages have tended to move in the same quarters. How we tested this
Charge-Off Rate on All Loans by quarter, 1985 to 2026
| Quarter | Rate (%) | Change from a year earlier (percentage points) |
|---|---|---|
| Q2 2026 | 0.55 | −0.05 |
| Q1 2026 | 0.57 | −0.07 |
| Q4 2025 | 0.61 | −0.07 |
| Q3 2025 | 0.59 | −0.05 |
| Q2 2025 | 0.60 | −0.05 |
| Q1 2025 | 0.64 | +0.01 |
| Q4 2024 | 0.68 | +0.05 |
| Q3 2024 | 0.64 | +0.15 |
| Q2 2024 | 0.65 | +0.19 |
| Q1 2024 | 0.63 | +0.24 |
| Q4 2023 | 0.63 | +0.28 |
| Q3 2023 | 0.49 | +0.24 |
| Q2 2023 | 0.46 | +0.24 |
| Q1 2023 | 0.39 | +0.17 |
| Q4 2022 | 0.35 | +0.15 |
| Q3 2022 | 0.25 | +0.06 |
| Q2 2022 | 0.22 | −0.04 |
| Q1 2022 | 0.22 | −0.11 |
| Q4 2021 | 0.20 | −0.21 |
| Q3 2021 | 0.19 | −0.27 |
| Q2 2021 | 0.26 | −0.29 |
| Q1 2021 | 0.33 | −0.20 |
| Q4 2020 | 0.41 | −0.11 |
| Q3 2020 | 0.46 | −0.02 |
| Q2 2020 | 0.55 | +0.08 |
| Q1 2020 | 0.53 | +0.06 |
| Q4 2019 | 0.52 | +0.04 |
| Q3 2019 | 0.48 | +0.05 |
| Q2 2019 | 0.47 | +0.02 |
| Q1 2019 | 0.47 | 0.00 |
| Q4 2018 | 0.48 | −0.04 |
| Q3 2018 | 0.43 | −0.01 |
| Q2 2018 | 0.45 | 0.00 |
| Q1 2018 | 0.47 | 0.00 |
| Q4 2017 | 0.52 | +0.01 |
| Q3 2017 | 0.44 | +0.01 |
| Q2 2017 | 0.45 | +0.01 |
| Q1 2017 | 0.47 | +0.03 |
| Q4 2016 | 0.51 | +0.04 |
| Q3 2016 | 0.43 | +0.04 |
| Q2 2016 | 0.44 | +0.04 |
| Q1 2016 | 0.44 | +0.02 |
| Q4 2015 | 0.47 | −0.01 |
| Q3 2015 | 0.39 | −0.06 |
| Q2 2015 | 0.40 | −0.09 |
| Q1 2015 | 0.42 | −0.10 |
| Q4 2014 | 0.48 | −0.13 |
| Q3 2014 | 0.45 | −0.16 |
| Q2 2014 | 0.49 | −0.22 |
| Q1 2014 | 0.52 | −0.31 |
| Q4 2013 | 0.61 | −0.38 |
| Q3 2013 | 0.61 | −0.59 |
| Q2 2013 | 0.71 | −0.40 |
| Q1 2013 | 0.83 | −0.34 |
| Q4 2012 | 0.99 | −0.44 |
| Q3 2012 | 1.20 | −0.33 |
| Q2 2012 | 1.11 | −0.54 |
| Q1 2012 | 1.17 | −0.75 |
| Q4 2011 | 1.43 | −0.96 |
| Q3 2011 | 1.53 | −0.96 |
| Q2 2011 | 1.65 | −1.18 |
| Q1 2011 | 1.92 | −1.00 |
| Q4 2010 | 2.39 | −0.75 |
| Q3 2010 | 2.49 | −0.33 |
| Q2 2010 | 2.83 | +0.19 |
| Q1 2010 | 2.92 | +0.92 |
| Q4 2009 | 3.14 | +1.09 |
| Q3 2009 | 2.82 | +1.31 |
| Q2 2009 | 2.64 | +1.40 |
| Q1 2009 | 2.00 | +1.05 |
| Q4 2008 | 2.05 | +1.19 |
| Q3 2008 | 1.51 | +0.94 |
| Q2 2008 | 1.24 | +0.74 |
| Q1 2008 | 0.95 | +0.48 |
| Q4 2007 | 0.86 | +0.37 |
| Q3 2007 | 0.57 | +0.15 |
| Q2 2007 | 0.50 | +0.13 |
| Q1 2007 | 0.47 | +0.13 |
| Q4 2006 | 0.49 | −0.15 |
| Q3 2006 | 0.42 | −0.15 |
| Q2 2006 | 0.37 | −0.08 |
| Q1 2006 | 0.34 | −0.15 |
| Q4 2005 | 0.64 | +0.02 |
| Q3 2005 | 0.57 | +0.04 |
| Q2 2005 | 0.45 | −0.13 |
| Q1 2005 | 0.49 | −0.16 |
| Q4 2004 | 0.62 | −0.28 |
| Q3 2004 | 0.53 | −0.26 |
| Q2 2004 | 0.58 | −0.28 |
| Q1 2004 | 0.65 | −0.23 |
| Q4 2003 | 0.90 | −0.16 |
| Q3 2003 | 0.79 | −0.30 |
| Q2 2003 | 0.86 | −0.19 |
| Q1 2003 | 0.88 | −0.20 |
| Q4 2002 | 1.06 | −0.23 |
| Q3 2002 | 1.09 | +0.14 |
| Q2 2002 | 1.05 | +0.24 |
| Q1 2002 | 1.08 | +0.37 |
| Q4 2001 | 1.29 | +0.38 |
| Q3 2001 | 0.95 | +0.35 |
| Q2 2001 | 0.81 | +0.24 |
| Q1 2001 | 0.71 | +0.15 |
| Q4 2000 | 0.91 | +0.21 |
| Q3 2000 | 0.60 | +0.03 |
| Q2 2000 | 0.57 | +0.03 |
| Q1 2000 | 0.56 | −0.04 |
| Q4 1999 | 0.70 | 0.00 |
| Q3 1999 | 0.57 | −0.12 |
| Q2 1999 | 0.54 | −0.06 |
| Q1 1999 | 0.60 | −0.01 |
| Q4 1998 | 0.70 | +0.02 |
| Q3 1998 | 0.69 | +0.04 |
| Q2 1998 | 0.60 | −0.02 |
| Q1 1998 | 0.61 | +0.02 |
| Q4 1997 | 0.68 | +0.03 |
| Q3 1997 | 0.65 | +0.08 |
| Q2 1997 | 0.62 | +0.05 |
| Q1 1997 | 0.59 | +0.03 |
| Q4 1996 | 0.65 | +0.02 |
| Q3 1996 | 0.57 | +0.05 |
| Q2 1996 | 0.57 | +0.12 |
| Q1 1996 | 0.56 | +0.17 |
| Q4 1995 | 0.63 | +0.07 |
| Q3 1995 | 0.52 | +0.09 |
| Q2 1995 | 0.45 | −0.13 |
| Q1 1995 | 0.39 | −0.10 |
| Q4 1994 | 0.56 | −0.36 |
| Q3 1994 | 0.43 | −0.33 |
| Q2 1994 | 0.58 | −0.32 |
| Q1 1994 | 0.49 | −0.37 |
| Q4 1993 | 0.92 | −0.50 |
| Q3 1993 | 0.76 | −0.56 |
| Q2 1993 | 0.90 | −0.31 |
| Q1 1993 | 0.86 | −0.39 |
| Q4 1992 | 1.42 | −0.45 |
| Q3 1992 | 1.32 | −0.34 |
| Q2 1992 | 1.21 | −0.50 |
| Q1 1992 | 1.25 | +0.05 |
| Q4 1991 | 1.87 | +0.21 |
| Q3 1991 | 1.66 | +0.50 |
| Q2 1991 | 1.71 | +0.06 |
| Q1 1991 | 1.20 | −0.10 |
| Q4 1990 | 1.66 | −0.25 |
| Q3 1990 | 1.16 | +0.19 |
| Q2 1990 | 1.65 | +0.60 |
| Q1 1990 | 1.30 | +0.54 |
| Q4 1989 | 1.91 | +0.70 |
| Q3 1989 | 0.97 | −0.03 |
| Q2 1989 | 1.05 | −0.10 |
| Q1 1989 | 0.76 | −0.13 |
| Q4 1988 | 1.21 | −0.13 |
| Q3 1988 | 1.00 | +0.14 |
| Q2 1988 | 1.15 | +0.28 |
| Q1 1988 | 0.89 | +0.11 |
| Q4 1987 | 1.34 | −0.07 |
| Q3 1987 | 0.86 | −0.21 |
| Q2 1987 | 0.87 | −0.17 |
| Q1 1987 | 0.78 | −0.02 |
| Q4 1986 | 1.41 | +0.03 |
| Q3 1986 | 1.07 | +0.17 |
| Q2 1986 | 1.04 | +0.22 |
| Q1 1986 | 0.80 | +0.17 |
| Q4 1985 | 1.38 | — |
| Q3 1985 | 0.90 | — |
| Q2 1985 | 0.82 | — |
| Q1 1985 | 0.63 | — |
Quarterly · Board of Governors of the Federal Reserve System data retrieved via FRED (CORALACBN)
Counties with the highest default and legal scores
There's no county figure for this measure, so this list uses the default and legal part of our County Distress Index.
| Rank | County | Score (0–100) |
|---|---|---|
| 1 | Coahoma County, MS | 99 |
| 2 | Clayton County, GA | 98.8 |
| 3 | Petersburg city, VA | 98.8 |
| 4 | Russell County, AL | 98.2 |
| 5 | Dougherty County, GA | 98.2 |
| 6 | Dallas County, AL | 98.1 |
| 7 | Bibb County, GA | 97.8 |
| 8 | Lauderdale County, TN | 97.1 |
| 9 | Crittenden County, AR | 96.9 |
| 10 | Montgomery County, AL | 96.9 |
Questions about the Charge-Off Rate on All Loans
What is the current charge-off rate on all bank loans?
In the second quarter of 2026, insured U.S.-chartered commercial banks charged off 0.55% of their average loans and leases at an annual rate, net of recoveries, down from 0.6% in the second quarter of 2025. The figure is the Federal Reserve Board's unadjusted series, FRED code CORALACBN.
Is the rate the share of loans lost in one quarter?
No. The Board multiplies each quarter's net charge-off ratio by 400 to state it as an annual percentage rate. The quarter's own net write-offs are about one-quarter of the published figure.
Is this a bankruptcy rate?
No. It is a dollar ratio of loans banks wrote off, not a count of people or court filings. Bank regulators' policy sends loans to charge-off when they fall far enough past due as well as after a bankruptcy notice, and the Fed does not split charge-offs by cause.
Where does this data come from?
The Federal Reserve Board compiles it from the quarterly Call Reports that commercial banks file and publishes it about two months after each quarter ends, with no fixed release date. FRED republishes the unadjusted series as CORALACBN.
Sources and method for the Charge-Off Rate on All Loans
- Board of Governors of the Federal Reserve System data retrieved via FRED (CORALACBN) We use the quarterly figures as published, from the first quarter of 1985 through the second quarter of 2026, with no adjustment of our own. Board of Governors of the Federal Reserve System doesn’t adjust this rate for the season, so compare a quarter with the same quarter a year earlier. Board of Governors of the Federal Reserve System’s report
We write with assistance from AI tools. Figures come from the data and sources named on this page.