Bank of America, National Association
Analysis
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Edited by General
Bank of America is the second-largest financial institution in the US based on asset size. Its customers have access to a full range of banking services through its extensive branch and ATM network.
Advantages
- Customers have access to approximately 15,000 ATMs.
- The bank's mobile app is highly regarded, and Erica, its AI-driven virtual assistant makes tracking expenses easier.
- Overdraft fees at $10 but customers maintaining a positive balance can usually avoid fees.
- Customers maintaining over $100,000 in Bank of America or Merrill Lynch accounts can get a cash-back rewards credit card that yields as high as 2.625% cash back.
Disadvantages
- Under the stewardship of Brian Moynihan, Bank of America has continued to fund the climate crisis and provides very little funding to renewable energy projects.
- Rates on Bank of America savings and checking accounts are ordinarily not competitive.
Financial Details
Bank of America, National Association Ratio Analysis
The following ratios and data are available to help you better understand the financial condition of Bank of America, National Association. The data is provided by the FDIC. All banks listed on BestCashCow.com are FDIC-insured. No depositor has ever lost deposits that have been within the FDIC insurance limits.
Texas Ratio
| Bank of America, National Association | U.S. Bank Average |
|---|---|
| 3.21% | 4.48% |
The Texas Ratio compares the bank’s non performing assets (non-performing loans and real estate owned) with its tangible common equity and its loan loss reserves. A lower Texas ratio indicates better coverage of problem loans. The closer the Texas Ratio is to 1-to-1 or 100%, the less capital and reserves a bank has to absorb its loan losses.
As of June 30, 2024, Bank of America, National Association had $7,830,000,000 in non-current loans and $268,000,000 in owned real estate. To cover these potential losses it had $239,356,000,000 in equity and $13,209,000,000 in loans loss reserves. That gives it a Texas Ratio of 3.21%.
Return on Equity
| Bank of America, National Association | U.S. Bank Average |
|---|---|
| 11.12% | 10.46% |
Bank of America, National Association has a Return on Equity of 11.12% versus the BestCashCow average of 10.46%. Return on equity measures how efficiently a bank is making money from its capital. A bank with a consistently high ROE can be considered well run. A bank with a consistently low ROE can be considered poorly run.
Capitalization
| Bank of America, National Association | U.S. Bank Average |
|---|---|
| 11.15% | 10.84% |
Bank of America, National Association has a Capitalization of 11.15% versus the BestCashCow average of 10.84. Capitalization measures how much equity capital a bank has to underpin loans and other assets on its balance sheet. The higher the capitalization number the more secure a bank is considered.
Bank of America, National Association Balance Sheet Analysis
As of June 30, 2024, Bank of America, National Association had assets of $2,550,584,000,000, loans of $1,041,322,000,000, and deposits of $2,018,886,000,000. Long-term increases in deposits shows a bank's ability to raise funds to grow its loans and assets. Loan and asset growth may rise or fall depending on a bank's strategy for growth. Sharp rises and falls in assets, deposits, and loans can be problematic, indicating a loosening of lending standards, or financial distress leading to reduced lending. A big change in these figured can also be from a bank acquisition or merger.
Summary Balance Sheet
June 30, 2024| ASSETS | |
|---|---|
| Cash & Balances due from depository institutions | $ 308.64 billion |
| Interest-bearing balances | $ 285.51 billion |
| Total securities | $ 849.97 billion |
| Federal funds sold and reverse repurchase | $ 53.00 billion |
| Net loans and leases | $ 1,041.32 billion |
| Loan loss allowance | $ 13.21 billion |
| Trading account assets | $ 105.41 billion |
| Bank premises and fixed assets | N.A. |
| Other real estate owned | $ 268.00 million |
| Goodwill and other intangibles | $ 58.51 billion |
| All other assets | $ 104.30 billion |
| Total Assets | $ 2,147.48 billion |
| LIABILITIES | |
|---|---|
| Total deposits | $ 2,018.89 billion |
| Interest-bearing deposits | $ 1,432.81 billion |
| Deposits held in domestic offices | $ 1,901.77 billion |
| % insured (estimated) | 45.70% |
| Federal funds purchased and repurchase agreements | $ 146.12 billion |
| Trading liabilities | $ 30.87 billion |
| Other borrowed funds | $ 18.69 billion |
| Subordinated debt | $ 1,424.00 million |
| All other liabilities | $ 41.98 billion |
| Total Liabilities | $ 2,147.48 billion |
| Shareholders’ Equity | N.A. |
Summary Income Statement
June 30, 2024| INCOME AND EXPENSES | |
|---|---|
| Total Interest Income | $ 54.14 billion |
| Total Interest Expense | $ 25.28 billion |
| Net interest income | $ 28.87 billion |
| Provision for loan and lease losses | $ 2.87 billion |
| Total non interest income | $ 12.27 billion |
| Total non interest expense | $ 23.69 billion |
| Pre-tax Net Operating Income | $ 12.92 billion |
Bank Loan Profile?
The top three loan types in Bank of America, National Association’s loan portfolio are Commercial and Industrial Loans, 1-4 Family Residential Loans, and Credit Card Loans.
Compared to other banks in North Carolina, Bank of America, National Association has a significantly higher percent of 1-4 Family Residential Loans, Multifamily Mortgages, Credit Card Loans, Consumer Auto Loans, Small Business Loans, Construction and Development Loans, Commercial Real Estate, Commercial and Industrial Loans, Farm Loans on its balance sheet, potentially indicating a specialty in that lending area.
Note: Percentages may not sum to 100% due to rounding and double categorization of some loan types. All data from the FDIC. Additional information about this table.
| % Loans |
% Comparison to Other Banks |
|||
|---|---|---|---|---|
| Low | Med | High | ||
| 1-4 Family Residential Loans | 23.30 | ✓ | ||
| Multifamily Mortgages |
0.56 | ✓ | ||
| Credit Card Loans | 8.24 | ✓ | ||
| Consumer Auto Loans | 3.58 | ✓ | ||
| Small Business Loans | 0.32 | ✓ | ||
| Construction and Development Loans | 0.93 | ✓ | ||
| Commercial Real Estate | 5.59 | ✓ | ||
| Commercial and Industrial Loans | 31.88 | ✓ | ||
| Farm Loans | 0.27 | ✓ | ||
Best Rate
Savings Fees
| Fee Type | |
|---|---|
| Non Sufficient Funds | $0.00 |
| Maintenance | $0.00 |
| Out-of-network ATM | $0.00 |
| Excessive Transaction | $0.00 |
| Incoming Wires | $0.00 |
Climate Strategy
Bank of America had adopted a 2021 Environmental and Social Risk Policy policy designed to phase out funding of coal and Arctic petroleum projects. In December 2023, its new policy backtracked on those commitments.
Bank of America, National Association Reviews
Treasure
July 24, 2023
BOFA is a den of people thieves camouflaged as bank operatives. There’s a soon to be uncovered carrel of money laundry there. They took all my money and don’t want to release it to me for no particular reason. I need my money back bastards!!!
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