The defects scandal came on top of disastrous performance last year by its US division, which handed out cheap loans in an effort to boost sales, but then found that many customers were unable to make their repayments.
JPMorgan has long been hampered by weakness in their large credit card division, but that business showed improving trends as it reported 5.62% of those loans were behind more than 30 days which is far better than the 6.28% seen just a quarter ago.