Asset Quality ranking · Michigan · Call report data as of September 30, 2026
Michigan Banks: Highest Auto Loan Charge-Offs
First Bank, Upper Michigan has the highest auto loan net charge-off rate of the 5 ranked banks headquartered in Michigan, at 1.23% as of September 30, 2026. The median among the 5 ranked Michigan banks is 0.15%, against 0.39% for all US banks. That top value sits far outside the middle half of ranked banks (0.05% to 0.16%). A rate this far from the middle usually comes from a few large problem loans or from lending to borrowers with lower credit scores, so read it beside the bank's dollar amounts and its trend.
This list ranks Michigan banks by auto loan net charge-off rate. For the largest banks headquartered in Michigan, see largest banks in Michigan.
- No. 1 in Michigan
- First Bank, Upper Michigan
- Its Auto charge-off rate
- 1.23%
- Michigan median
- 0.15%
- Banks ranked
- 5
Ranked among banks headquartered in Michigan, numbered 1 to 5 within the state from the same population as the national list. Browse every bank in the Michigan bank directory.
Top 5 Michigan banks by auto loan net charge-off rate
Highest first. Select a column heading to sort. The gap column shows each bank's distance from the Michigan median of 0.15%. Missing values show as a dash and sort last.
| 1 | First Bank, Upper Michigan Gladstone, MI | 1.23% | $648.3M $100M to $1B |
| 2 | Independent Bank Grand Rapids, MI | 0.16% | $5.74B $1B to $10B |
| 3 | Isabella Bank Mount Pleasant, MI | 0.15% | $2.19B $1B to $10B |
| 4 | Eaton Community Bank Charlotte, MI | 0.05% | $551.9M $100M to $1B |
| 5 | Superior National Bank Hancock, MI | 0.00% | $1.05B $1B to $10B |
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Definition and formula
The auto loan net charge-off rate is automobile loans written off as uncollectible, less recoveries on loans written off earlier, as an annualized percent of average automobile loans.
Auto loan net charge-off rate = (Automobile loan charge-offs - Automobile loan recoveries), annualized / Average automobile loans
The glossary entry for Auto Loans explains each term, the call report items behind it and a worked example.
Which banks are ranked
This list ranks the 5 banks headquartered in Michigan that meet every rule below, using each bank's latest FFIEC call report (data as of September 30, 2026).
- Banks with at least $100M in total assets, so a ratio on a very small balance sheet cannot lead the list.
- Banks with at least $25M in automobile loans, so a rate on a few loans cannot lead the list.
- Lending institutions only: charters with loans under 5% of assets, mostly trust and custody banks, are not ranked.
- Charters the regulator has closed, merged or converted are excluded.
- Each bank charter ranks on its own; holding companies are not combined.
What moves the auto loan net charge-off rate
Auto charge-offs rise when borrowers fall behind and the repossessed vehicle sells for less than the loan balance, so used-car prices matter as much as borrower credit. Lenders that buy loans through dealers, lend to borrowers with lower credit scores or offer long terms run higher rates. The rate is net of what the bank recovers from selling repossessed cars, so a fall in used-car prices can raise it even when delinquency is flat.
Frequently asked questions
Which bank in Michigan has the highest auto loan net charge-off rate?
First Bank, Upper Michigan has the highest auto loan net charge-off rate of the 5 ranked banks headquartered in Michigan, at 1.23% as of September 30, 2026, according to its FFIEC call report. Independent Bank ranks second at 0.16%. The median is 0.15%.
What is the median auto loan net charge-off rate among ranked US banks?
As of Q3 2026, auto loan net charge-off rate for the middle half of the 199 ranked US banks ran from 0.10% to 0.72%, and the median was 0.39%. Compare a bank with peers of the same size and business model rather than with the top of this list. See the Auto Loans glossary entry.
How is the auto loan net charge-off rate calculated?
Auto loan net charge-off rate = (Automobile loan charge-offs - Automobile loan recoveries), annualized / Average automobile loans. Each bank charter is ranked on its own; holding companies are not combined. See the Auto Loans glossary entry.
The same ranking in other states
Other Michigan rankings
More asset quality rankings
Source: FFIEC call reports for the quarter ended September 30, 2026, refreshed as each quarter's filings are processed. See data updates for the current freshness window. Next update: Q4 2026 Call Reports are due February 1, 2027; we expect them on the platform by mid-February 2027.
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