PNC Bank 2014 Annual Report Download - page 96

Table 38: Consumer Real Estate Related Loan Modifications Re-Default by Vintage (a) (b)
Six Months Nine Months Twelve Months Fifteen Months
December 31, 2014
Dollars in thousands
Number of
Accounts
Re-defaulted
%of
Vintage
Re-defaulted
Number of
Accounts
Re-defaulted
%of
Vintage
Re-defaulted
Number of
Accounts
Re-defaulted
%of
Vintage
Re-defaulted
Number of
Accounts
Re-defaulted
%of
Vintage
Re-defaulted
Unpaid
Principal
Balance (c)
Permanent Modifications
Home Equity
Second Quarter 2014 16 2.8% $ 1,053
First Quarter 2014 19 2.7 29 4.2% 1,749
Fourth Quarter 2013 29 2.5 47 4.0 66 5.7% 4,539
Third Quarter 2013 30 2.6 44 3.7 60 5.1 65 5.5% 6,376
Second Quarter 2013 25 2.0 43 3.5 63 5.1 87 7.0 10,046
Residential Mortgages
Second Quarter 2014 29 7.9 4,538
First Quarter 2014 50 6.1 96 11.8 14,143
Fourth Quarter 2013 84 9.4 121 13.6 173 19.4 24,450
Third Quarter 2013 97 8.9 150 13.8 216 19.8 255 23.4 40,999
Second Quarter 2013 137 16.4 163 19.5 187 22.4 227 27.2 42,977
Non-Prime Mortgages
Second Quarter 2014 12 13.8 2,174
First Quarter 2014 29 16.4 42 23.7 6,383
Fourth Quarter 2013 18 9.9 35 19.2 40 22.0 5,817
Third Quarter 2013 23 13.7 26 15.5 38 22.6 47 28.0 6,119
Second Quarter 2013 24 18.8 35 27.3 41 32.0 43 33.6 8,927
Residential Construction
Second Quarter 2014 3 2.5 757
First Quarter 2014 3 2.2 3 2.2 469
Fourth Quarter 2013 1 0.7 3 2.2 4 2.9 2,354
Third Quarter 2013 1 0.7 1 0.7 1 0.7 1 0.7 50
Second Quarter 2013 1 0.5 2 1.1 4 2.1 6 3.2 1,166
Temporary Modifications
Home Equity
Second Quarter 2014 12 37.5% $ 779
First Quarter 2014 3 15.8 3 15.8% 249
Fourth Quarter 2013 10 19.6 12 23.5 13 25.5% 1,442
Third Quarter 2013 4 9.8 9 22.0 11 26.8 13 31.7% 925
Second Quarter 2013 11 14.9 18 24.3 18 24.3 17 23.0 1,757
(a) An account is considered in re-default if it is 60 days or more delinquent after modification. The data in this table represents loan modifications completed during the quarters ending
June 30, 2013 through June 30, 2014 and represents a vintage look at all quarterly accounts and the number of those modified accounts (for each quarterly vintage) 60 days or more
delinquent at six, nine, twelve, and fifteen months after modification. Account totals include active and inactive accounts that were delinquent when they achieved inactive status.
Accounts that are no longer 60 days or more delinquent, or were re-modified since prior period, are removed from re-default status in the period in which they are cured or re-
modified.
(b) Vintage refers to the quarter in which the modification occurred.
(c) Reflects December 31, 2014 unpaid principal balances of the re-defaulted accounts for the Second Quarter 2014 vintage at Six Months, for the First Quarter 2014 vintage at Nine
Months, for the Fourth Quarter 2013 vintage at Twelve Months, and for the Third Quarter 2013 and prior vintages at Fifteen Months.
In addition to temporary loan modifications, we may make available to a borrower a payment plan or a HAMP trial payment
period. Under a payment plan or a HAMP trial payment period, there is no change to the loan’s contractual terms so the borrower
remains legally responsible for payment of the loan under its original terms.
Payment plans may include extensions, re-ages and/or forbearance plans. All payment plans bring an account current once certain
requirements are achieved and are primarily intended to demonstrate a borrower’s renewed willingness and ability to re-pay. Due
to the short term nature of the payment plan, there is a minimal impact to the ALLL.
Under a HAMP trial payment period, we establish an alternate payment, generally at an amount less than the contractual payment
amount, for the borrower during this short time period. This allows a borrower to demonstrate successful payment performance
78 The PNC Financial Services Group, Inc. – Form 10-K