Bank Safety Analysis
Is Live Oak Banking Company Safe? Wilmington, North Carolina
Based on its Q2 2026 call report, Live Oak Banking Company meets every capital ratio test for well capitalized, its Texas ratio is 10.17%, and its deposits are FDIC insured up to $250,000 per depositor.
BankRegReports is independent of Live Oak Banking Company and never asks for online banking logins or passwords.
Short answer
On its Q2 2026 call report, Live Oak Banking Company's CET1 ratio is 10.46%, above the 6.5% well-capitalized threshold.
- CET1 ratio (Q2 2026): 10.46%
- Tier 1 leverage ratio (Q2 2026): 7.99%
- Texas ratio (Q2 2026): 10.17%
- Noncurrent loans ratio (Q2 2026): 4.01%
Live Oak Banking Company is an FDIC-insured commercial bank (FDIC Certificate #58665). FDIC insurance covers $250,000 per depositor, per insured bank, per ownership category.
Context: largest US bank failures · what these ratios mean · how we score.
Live Oak Banking Company is outside the pass range on 1 of 5 safety dimensions: asset quality. Capital and leverage are above their regulatory minimums. The failed band is a BankRegReports band, not a supervisory threshold. 2 risk screens are flagged: non-performing loan ratio and commercial real estate to capital. Analysis based on the Q2 2026 call report.
The largest change between Q1 2026 and Q2 2026 was in return on assets, which rose 0.16 percentage points to 1.04%. Live Oak Banking Company has the 1st lowest CET1 ratio of the 26 banks headquartered in North Carolina, at 10.46% as of Q2 2026. Live Oak Banking Company reported 10.46% on CET1 ratio for Q2 2026, 2.49 points below the 12.96% median for banks in the $10B-100B asset tier. From Q3 2023 to Q2 2026, Live Oak Banking Company's CET1 ratio ranged between 10.25% (Q3 2023) and 11.86% (Q1 2024) and its Texas ratio ranged between 5.23% (Q2 2024) and 10.17% (Q2 2026). Between Q2 2025 and Q2 2026, Live Oak Banking Company's CET1 ratio fell from 10.65% to 10.46%, nonperforming loan ratio (nonaccrual plus 90+ days past due) fell from 4.08% to 4.01%, Texas ratio rose from 6.12% to 10.17% and return on assets rose from 0.76% to 1.04%.
Data as of · sourced from FFIEC call reports. How we update
This bank has more than $10 billion in assets. The score covers every FDIC-insured bank in the latest run, but the model was trained on community and regional banks and its accuracy above roughly $10 billion in assets is not established, so a low score is not evidence of safety. The page therefore shows no score or tier for it.
Scorecard by dimension
Peer cohort: $10B to $100B (136 banks) · Industry averages as of Q2 2026.
CET1 of 10.46% sits comfortably above the 6.5% well-capitalized threshold under Prompt Corrective Action and the 7.0% level required once the capital conservation buffer is included.
Tier 1 leverage of 7.99% is above the 5% well-capitalized threshold.
Nonperforming loans at 4.01% are at a stress-band level above 3%.
Texas Ratio of 10.2% is well below the 100% historical failure threshold.
Efficiency ratio of 51.2% reflects competitive operating costs (lower is better).
Risk screens
Latest filing (Q2 2026), passing screens included.
| Screen | Value | Trigger | Result |
|---|---|---|---|
| CET1 capital ratio supervisory threshold | 10.46% | Flags below 7% | Within range |
| Texas ratio BankRegReports band | 10.17% | Watch at 50%, concern at 100% | Within range |
| Non-performing loan ratio BankRegReports band | 4.01% | Flags at 3% or above | Flagged |
| Uninsured deposit share BankRegReports band | 16.60% | Watch at 50%, concern at 70% | Within range |
| Loan-to-deposit ratio BankRegReports band | 89.53% | Flags at 100% or above | Within range |
| Commercial real estate to capital supervisory threshold | 228.46% | Watch at 200%, concern at 300% | Flagged |
| Held-to-maturity unrealized loss to equity BankRegReports band | 0.00% | Watch at 10%, concern at 25% | Within range |
Capital ratio: last 12 quarters
| Quarter | CET1 (%) |
|---|---|
| Q2 2026 | 10.46% |
| Q1 2026 | 10.61% |
| Q4 2025 | 10.46% |
| Q3 2025 | 10.48% |
| Q2 2025 | 10.65% |
| Q1 2025 | 10.64% |
| Q4 2024 | 10.96% |
| Q3 2024 | 11.17% |
| Q2 2024 | 11.84% |
| Q1 2024 | 11.86% |
| Q4 2023 | 10.40% |
| Q3 2023 | 10.25% |
Texas Ratio: last 12 quarters
| Quarter | Texas Ratio (%) |
|---|---|
| Q2 2026 | 10.17% |
| Q1 2026 | 10.05% |
| Q4 2025 | 8.88% |
| Q3 2025 | 7.49% |
| Q2 2025 | 6.12% |
| Q1 2025 | 9.52% |
| Q4 2024 | 8.26% |
| Q3 2024 | 5.83% |
| Q2 2024 | 5.23% |
| Q1 2024 | 5.91% |
| Q4 2023 | 6.07% |
| Q3 2023 | 5.72% |
Live Oak Banking Company by quarter
| Quarter end | CET1 | NPL ratio | Texas ratio | ROA |
|---|---|---|---|---|
| Jun 30, 2026 | 10.46% | 4.01% | 10.17% | 1.04% |
| Mar 31, 2026 | 10.61% | 4.00% | 10.05% | 0.89% |
| Dec 31, 2025 | 10.46% | 4.53% | 8.88% | 1.24% |
| Sep 30, 2025 | 10.48% | 4.33% | 7.49% | 0.84% |
| Jun 30, 2025 | 10.65% | 4.08% | 6.12% | 0.76% |
| Mar 31, 2025 | 10.64% | 4.43% | 9.52% | 0.40% |
| Dec 31, 2024 | 10.96% | 3.48% | 8.26% | 0.41% |
| Sep 30, 2024 | 11.17% | 2.69% | 5.83% | 0.50% |
| Jun 30, 2024 | 11.84% | 2.32% | 5.23% | 0.98% |
| Mar 31, 2024 | 11.86% | 2.21% | 5.91% | 0.99% |
| Dec 31, 2023 | 10.40% | 2.03% | 6.07% | 0.65% |
| Sep 30, 2023 | 10.25% | 1.65% | 5.72% | 1.50% |
Banks with a similar risk profile
3 banks in the same asset tier with the same overall verdict.
Frequently asked
Is Live Oak Banking Company FDIC insured?
Yes. Live Oak Banking Company is an FDIC-insured commercial bank (FDIC Certificate #58665). FDIC insurance covers $250,000 per depositor, per insured bank, per ownership category.
Is Live Oak Banking Company well capitalized?
On its Q2 2026 call report, Live Oak Banking Company's CET1 ratio is 10.46%, above the 6.5% well-capitalized threshold. The threshold comes from Prompt Corrective Action, which its primary federal regulator, the FDIC, applies.
What are Live Oak Banking Company's key safety ratios?
For Q2 2026, Live Oak Banking Company reports CET1 10.46%, leverage 7.99%, Texas ratio 10.17%, noncurrent loans 4.01%. The Texas ratio compares problem assets with tangible equity plus reserves; above 100% has historically signaled elevated failure risk.
What happens to my deposits if Live Oak Banking Company fails?
Insured deposits are protected up to $250,000 per depositor, per insured bank, per ownership category. If an insured bank fails, the FDIC pays insured depositors as soon as possible, usually the next business day.
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Free to use. It shows Live Oak Banking Company’s latest filed figures and updates each quarter.
Methodology & disclaimer
Based on the latest FFIEC call report. Model output is an estimate, not a credit rating, and this page is not investment advice. FDIC insurance covers deposits up to $250,000 per depositor per ownership category at any FDIC-insured bank, whatever its safety profile. See the methodology and full profile.
Regulator records: FDIC BankFind (cert 58665) · FFIEC NIC profile (RSSD 3650808)
Explore: Full Live Oak Banking Company profile · Other banks in NC · Metric glossary · How the call report works