“Mike, that was me. And basically what I'm saying is you plateaued in terms of the delinquencies, which means the second-half is pretty well determined, as you know, because it's just a march from [36 to 90] to 180. And it'll be -- the charge off rate will be flattish. We're kind of back to normal 3.80% or so.”

In context

“, Mike, quarter-after-quarter, so that's where we're headed. And in terms of return on allocated capital, right now we're right around that 14%. We want to be 15% or higher for our shareholder. A lot of it is because we've accrued an awful lot of capital over the time -- over the course of time in advance of any potential capital changes. And the other final thing I'll just remind you is, we're a little different than some of the regional banks in that we've got an enormous global markets business. And that obviously makes an impact on the headline NIM number. Mike Mayo: Okay. And then just, I wasn't clear, you said net charge off in the second half should be less than the first half. And I wasn't sure if that related to cards or I wasn't sure what you meant by charge off. Brian Moynihan: Mike, that was me. And basically what I'm saying is you plateaued in terms of the delinquencies, which means the second-half is pretty well determined, as you know, because it's just a march from [36 to 90] (ph) to 180. And it'll be -- the charge off rate will be flattish. We're kind of back to normal 3.80% or so. We underwrite to actually have a higher charge off rate, quite frankly, in that intolerance, but that 3.80% is kind of where we see it since 3.80%. Mike Mayo: Okay, so credit card charge off should flatten or decline in the second-half relative to the first-half? Brian Moynihan: Exactly. Yes, remember, if you think about all the charge offs, that's not -- that's the dominant part of it on the consumer side by a lot. And then the commercial, we spoke to the question of CRE office, which has been dropped quarter to quarter. We expect the second-half to be better also. Mike Mayo: All right. Thank you. Brian Moynihan: Yes. Operator: We'll take our next question from Steven Chubak of Wolfe Research. Steven Chubak: Hi, good morning. Alastair Borthwick: Good morning, Steve. Steven Chubak: G”