Related specific allowance (recovery)

  
Impaired Consumer LoansA loan is considered impaired when Citi believes it is probable that all amounts due according to the original contractual terms of the loan will not be collected. Impaired consumer loans include non-accrual loans, as well as smaller-balance homogeneous loans whose terms have been modified due to the borrower’s financial difficulties and where Citi has granted a concession to the borrower. These modifications may include interest rate reductions and/or principal forgiveness. Impaired consumer loans exclude smaller-balance homogeneous loans that have not been modified and are carried on a non-accrual basis.The following tables present information about impaired consumer loans and interest income recognized on impaired consumer loans:

|  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
| --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- |
|  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
|  | At and for the year ended December 31, 2021 |  |
| In millions of dollars | Recordedinvestment(1)(2) | Unpaidprincipal balance | Relatedspecific allowance(3)(4) | Averagecarrying value(5) |  |  | Interest incomerecognized(6) |  |  |  |
| Mortgage and real estate |   |   |  |   |  |  |  |  |  |  |
| Residential first mortgages | $ | 1,457  |  | $ | 1,531  |  | $ | 87  |  | $ | 1,548  |  |  |  | $ | 87  |  |  |  |  |
| Home equity loans | 188  |  | 342  |  | (1) |  | 335  |  |  |  | 9  |  |  |  |  |
| Credit cards | 1,582  |  | 1,609  |  | 594  |  | 1,795  |  |  |  | 116  |  |  |  |  |
| Personal, small business and other | 454  |  | 461  |  | 120  |  | 505  |  |  |  | 52  |  |  |  |  |
| Total | $ | 3,681  |  | $ | 3,943  |  | $ | 800  |  | $ | 4,183  |  |  |  | $ | 264  |  |  |  |  |



|  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
| --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- |
|  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
|   | At and for the year ended December 31, 2020 |
| In millions of dollars | Recordedinvestment(1)(2) | Unpaidprincipalbalance | Relatedspecific allowance(3) | Averagecarrying value(5) | Interest incomerecognized(6) |
| Mortgage and real estate |   |   |   |   |  |
| Residential first mortgages | $ | 1,787  |  | $ | 1,962  |  | $ | 157  |  | $ | 1,661  |  | $ | 68  |  |
| Home equity loans | 478  |  | 651  |  | 60  |  | 527  |  | 13  |  |
| Credit cards | 1,982  |  | 2,135  |  | 918  |  | 1,926  |  | 106  |  |
| Personal, small business and other | 552  |  | 552  |  | 210  |  | 463  |  | 63  |  |
| Total | $ | 4,799  |  | $ | 5,300  |  | $ | 1,345  |  | $ | 4,577  |  | $ | 250  |  |

  
(1)Recorded investment in a loan includes net deferred loan fees and costs, unamortized premium or discount and direct write-downs and includes accrued interest only on credit card loans.(2)For December 31, 2021, $190 million of residential first mortgages and $94 million of home equity loans do not have a specific allowance. For December 31, 2020, $211 million of residential first mortgages and $147 million of home equity loans do not have a specific allowance.(3)Included in the Allowance for credit losses on loans.(4)The negative allowance on home equity loans resulted from expected recoveries on previously written-off accounts.(5)Average carrying value represents the average recorded investment ending balance for the last four quarters and does not include the related specific allowance.(6)    Includes amounts recognized on both an accrual and cash basis.  
  
  
210
