Bank Profits Jump 12% in Q2 but Credit Is Slipping at Nearly Half of U.S. Banks, BlastPoint Finds

August 27, 2026—BlastPoint's Banking Scorecard, updated with second-quarter 2026 FDIC call report data, scores every active FDIC-insured bank individually — and the bank-level readings diverge sharply from the industry's record aggregates.

BlastPoint's Banking Scorecard, refreshed today with second-quarter 2026 FDIC data on all 4,221 active U.S. banks reporting this quarter, shows credit quality slipping at nearly half of institutions even as industry profits jumped 12 percent.

The free public scorecard combines eight quarters of FDIC call report data into per-bank scorecards, peer comparisons by asset group and state, quarterly trend analysis, and side-by-side battlecards, at bankingscorecard.blastpoint.com.

WHY IT MATTERS

The FDIC's Quarterly Banking Profile, released August 25, reported one of the industry's strongest quarters in years: $90.1 billion in net income, a 1.37 percent return on assets, and improving asset-quality ratios. Those aggregates are dominated by the largest balance sheets. Scored bank by bank, the same call report data shows the typical institution moving the other way on credit — a divergence that stays invisible until each bank is measured against its own peers.

"The industry-level numbers say banking is fine. The bank-level numbers say nearly half of institutions have a credit trend their board should be asking about," said Tomer Borenstein, Co-Founder & Chief Technology Officer of BlastPoint. "The distance between those two sentences is why we built the Scorecard — so any banker can see which side of it their institution is on, in about 90 seconds."

KEY FINDINGS

Analysis of the 4,221 active FDIC-insured banks on the scorecard reveals:

The noncurrent-loan rate rose year-over-year at 2,036 of 4,213 banks — 48 percent of all institutions — while industry-level asset-quality ratios improved.

The median bank's noncurrent rate climbed from 0.40 percent to 0.46 percent over the past year.

2,117 of 4,212 banks — half the industry — hold a smaller share of noninterest-bearing deposits than a year ago, the cheap-funding erosion that pressures community-bank checking franchises.

Banks with $100M-$1B in assets run a typical net interest margin of 3.99 percent, 1.05 points above the 2.94 percent at banks over $250B — yet typical return on assets is nearly flat, between 1.2 and 1.4 percent, across every size group above $100M, because the largest banks recover the difference on fee income and scale.

Loan growth was broad-based: up 1.8 percent from the prior quarter and 6.8 percent from a year earlier industry-wide with domestic deposits growing for the eighth consecutive quarter.

HOW THE BANKING SCORECARD WORKS

The scorecard ingests quarterly FDIC call report data for every active FDIC-insured commercial bank and savings institution, computes each bank's core ratios across eight quarters, and ranks every metric against three peer groups: banks of similar asset size, banks in the same state, and the nation. Twelve behavioral signals flag institutions whose trends diverge from their peer group.

Size-group figures use BlastPoint's asset groupings (under $100M, $100M-$1B, $1B-$10B, $10B-$250B, and $250B+), and "typical" values are outlier-adjusted group means, so a single atypical business model does not distort a group reading. Merged, closed, and failed institutions are excluded each quarter. A full methodology guide is published at bankingscorecard.blastpoint.com/guide. 

WHAT BANK LEADERS CAN DO

The scorecard is free and public for bankers, analysts, regulators, and journalists:

1. Look up any bank by name or FDIC certificate number and see its quarter, scored against peers.
2. Compare any two institutions side by side with battlecards, or browse state and asset-group leaderboards.
3. Share a direct link to any bank's scorecard, and subscribe for updates when new quarterly data lands.