Banks Are Hiding Credit Losses (Here’s How) | Bill Moreland of BankRegData

Video Description

This episode of Monetary Matters is brought to you by VanEck. Learn more about the VanEck Semiconductor ETF (SMH): http://vaneck.com/SMHJack Learn more about the VanEck Fabless Semiconductor ETF (SMHX): http://vaneck.com/SMHXJack Bill Moreland of BankRegData joins Jack to share how many banks’ extensive use of loan modifications have caused reported delinquencies to appear lower than they might otherwise have been. While Moreland acknowledges that modifications play a vital role in securing repayment, he maintains that their popularity over the past 3 years indicates it is unusual and that some banks may be “manipulating the shit out of” the data. Moreland tells Jack about note-on-note financing - a practice wherein a bank sells a loan to a buyer and lends that buyer the funds to buy it - is further used to hide losses within bank balance sheets. Recorded on August 19, 2025. More info about BankRegData: https://www.bankregdata.com/main.asp Follow Jack Farley on Twitter https://x.com/JackFarley96 Follow Monetary Matters on: Apple Podcast https://rb.gy/s5qfyh Spotify https://rb.gy/x56dx5 YouTube https://rb.gy/dpwxez Timestamps 00:00 Intro 00:25 VanEck $SMHX Pre-roll 01:26 How Banks Hide Losses With Loan Modifications 15:46 VanEck $SMHX Mid-roll 18:20 The "Potemkin Village" of Credit 23:23 Bank of America 31:26 Wells Fargo 34:40 Credit Card Delinquencies 36:20 Discover (& Capital One) 39:36 Truist 42:52 Skyrocketing Loans to Nondepository Institutions 47:33 Note-On-Note Financing Spree 50:49 How JPMorgan Chase May Have Made $300 Million Nonperforming Loan Disappear 1:03:14 How Bank Failure Is Predicted By Modification Intensity (Formerly Troubled Debt Restructuring or TDR) 1:07:32 Flagstar 1:15:17 Is Bank Capital At Risk? 1:27:40 "They're Manipulating The $h1t Out Of The Data" 1:31:10 VanEck $SMHX End-roll #banks #economy #macroeconomics #credit #creditcard #commercialrealestate #commercialproperty #realestate #stockmarketcorrection #collapse #economiccrisis