COF's NII Increases in 4Q25 Despite Rate Cuts: What Drove the Rise?

Key Takeaways COF's 4Q25 NII rose 54% y/y to $12.47 billion, even as interest rates declined.Capital One's credit card business led gains, with period-end card loans held for investment up 72% y/y.COF benefited from Discover loan additions and lower interest-bearing deposit costs despite NIM pressure.Despite declining interest rates, Capital One Financial Corporation’s (COF) net interest income (NII) increased 54% year over year to $12.47 billion in fourth-quarter 2025. The rise was primarily driven by loan ...