Cover Page
Cover Page - shares | 6 Months Ended | |
Jun. 30, 2023 | Jul. 31, 2023 | |
Document Information [Line Items] | ||
Entity Registrant Name | US BANCORP \DE\ | |
Document Type | 10-Q | |
Document Period End Date | Jun. 30, 2023 | |
Entity Filer Category | Large Accelerated Filer | |
Entity Shell Company | false | |
Entity Current Reporting Status | Yes | |
Entity Smaller Reporting Company | false | |
Entity Emerging Growth Company | false | |
Document Transition Report | false | |
Document Quarterly Report | true | |
Entity File Number | 1-6880 | |
Entity Incorporation, State or Country Code | DE | |
Entity Tax Identification Number | 41-0255900 | |
Entity Interactive Data Current | Yes | |
Entity Address, Postal Zip Code | 55402 | |
Entity Address, City or Town | Minneapolis | |
Entity Address, State or Province | MN | |
Entity Address, Address Line One | 800 Nicollet Mall | |
City Area Code | 651 | |
Local Phone Number | 466-3000 | |
Entity Common Stock, Shares Outstanding | 1,532,965,462 | |
Amendment Flag | false | |
Document Fiscal Year Focus | 2023 | |
Document Fiscal Period Focus | Q2 | |
Entity Central Index Key | 0000036104 | |
Current Fiscal Year End Date | --12-31 | |
Common Stock [Member] | ||
Document Information [Line Items] | ||
Trading Symbol | USB | |
Title of 12(b) Security | Common Stock | |
Security Exchange Name | NYSE | |
Series A Preferred Stock [Member] | ||
Document Information [Line Items] | ||
Trading Symbol | USB PrA | |
Title of 12(b) Security | Depositary Shares | |
Security Exchange Name | NYSE | |
Series B Preferred Stock [Member] | ||
Document Information [Line Items] | ||
Trading Symbol | USB PrH | |
Title of 12(b) Security | Depositary Shares | |
Security Exchange Name | NYSE | |
Series K Preferred Stock [Member] | ||
Document Information [Line Items] | ||
Trading Symbol | USB PrP | |
Title of 12(b) Security | Depositary Shares | |
Security Exchange Name | NYSE | |
Series L Preferred Stock [Member] | ||
Document Information [Line Items] | ||
Trading Symbol | USB PrQ | |
Title of 12(b) Security | Depositary Shares | |
Security Exchange Name | NYSE | |
Series M Preferred Stock [Member] | ||
Document Information [Line Items] | ||
Trading Symbol | USB PrR | |
Title of 12(b) Security | Depositary Shares | |
Security Exchange Name | NYSE | |
Series O Preferred Stock [Member] | ||
Document Information [Line Items] | ||
Trading Symbol | USB PrS | |
Title of 12(b) Security | Depositary Shares | |
Security Exchange Name | NYSE | |
Series X [Member] | ||
Document Information [Line Items] | ||
Trading Symbol | USB/24B | |
Title of 12(b) Security | Medium-Term Notes | |
Security Exchange Name | NYSE |
Consolidated Balance Sheet
Consolidated Balance Sheet - USD ($) $ in Millions | Jun. 30, 2023 | Dec. 31, 2022 | ||
Assets | ||||
Cash and due from banks | $ 70,642 | $ 53,542 | ||
Held-to-maturity (fair value $76,285 and $77,874, respectively) | 86,938 | [1] | 88,740 | |
Available-for-sale ($327 and $858 pledged as collateral, respectively) | [3] | 69,221 | [1],[2] | 72,910 |
Loans held for sale (including $2,280 and $1,849 of mortgage loans carried at fair value, respectively) | 2,361 | 2,200 | ||
Loans | ||||
Total loans | 379,428 | 388,213 | ||
Less allowance for loan losses | (7,164) | (6,936) | ||
Net loans | 372,264 | 381,277 | ||
Premises and equipment | 3,695 | 3,858 | ||
Goodwill | 12,486 | 12,373 | ||
Other intangible assets | 6,634 | 7,155 | ||
Other assets (including $2,422 and $702 of trading securities at fair value pledged as collateral, respectively) | [3] | 56,584 | 52,750 | |
Total assets | 680,825 | 674,805 | ||
Deposits | ||||
Noninterest-bearing | 104,996 | 137,743 | ||
Interest-bearing | 416,604 | 387,233 | ||
Total deposits | 521,600 | 524,976 | ||
Short-term borrowings | 32,334 | 31,216 | ||
Long-term debt | 45,283 | 39,829 | ||
Other liabilities | 28,124 | 27,552 | ||
Total liabilities | 627,341 | 623,573 | ||
Shareholders' equity | ||||
Preferred stock | [4] | 6,808 | 6,808 | |
Common stock, par value $0.01 a share - authorized: 4,000,000,000 shares; issued: 6/30/23 and 12/31/22—2,125,725,742 shares | 21 | 21 | ||
Capital surplus | 8,742 | 8,712 | ||
Retained earnings | 73,355 | 71,901 | ||
Less cost of common stock in treasury: 6/30/23—592,774,984 shares; 12/31/22—594,747,484 shares | (25,189) | (25,269) | ||
Accumulated other comprehensive income (loss) | (10,718) | (11,407) | ||
Total U.S. Bancorp shareholders' equity | 53,019 | 50,766 | ||
Noncontrolling interests | 465 | 466 | ||
Total equity | 53,484 | 51,232 | ||
Total liabilities and equity | 680,825 | 674,805 | ||
Commercial | ||||
Loans | ||||
Total loans | 136,775 | 135,690 | ||
Commercial real estate | ||||
Loans | ||||
Total loans | 54,357 | 55,487 | ||
Residential mortgages | ||||
Loans | ||||
Total loans | [5] | 114,449 | 115,845 | |
Credit card | ||||
Loans | ||||
Total loans | 26,626 | 26,295 | ||
Other retail | ||||
Loans | ||||
Total loans | $ 47,221 | $ 54,896 | ||
[1]The weighted-average maturity of total held-to-maturity investment securities was 9.2 years at December 31, 2022, with a corresponding weighted-average yield of 2.18 percent. The weighted-average maturity of total available-for-sale investment securities was 7.4 years at December 31, 2022, with a corresponding weighted-average yield of 2.94 percent.[2]Amortized cost excludes portfolio level basis adjustments of $(1) million.[3]Includes only collateral pledged by the Company where counterparties have the right to sell or pledge the collateral.[4]The par value of all shares issued and outstanding at June 30, 2023 and December 31, 2022, was $1.00 per share.[5]At June 30, 2023, $556 million of loans 30–89 days past due and $2.1 billion of loans 90 days or more past due purchased and that could be purchased from Government National Mortgage Association (“GNMA”) mortgage pools under delinquent loan repurchase options whose repayments are insured by the Federal Housing Administration or guaranteed by the United States Department of Veterans Affairs, were classified as current, compared with $647 million and $2.2 billion at December 31, 2022, respectively. |
Consolidated Balance Sheet (Par
Consolidated Balance Sheet (Parenthetical) - USD ($) $ in Millions | Jun. 30, 2023 | Dec. 31, 2022 | |
Held-to-maturity securities, Fair Value | $ 76,285 | [1] | $ 77,874 |
Mortgage loans, carried at fair value | $ 2,280 | $ 1,849 | |
Common stock, par value | $ 0.01 | $ 0.01 | |
Common stock, share-authorized (actual number of shares) | 4,000,000,000 | 4,000,000,000 | |
Common stock, shares issued (actual number of shares) | 2,125,725,742 | 2,125,725,742 | |
Treasury stock, shares (actual number of shares) | 592,774,984 | 594,747,484 | |
Available-for-Sale Securities [Member] | Asset Pledged as Collateral with Right [Member] | |||
Securities, pledged as collateral | $ 327 | $ 858 | |
Trading Assets, Excluding Debt and Equity Securities [Member] | Asset Pledged as Collateral with Right [Member] | |||
Securities, pledged as collateral | $ 2,422 | $ 702 | |
[1]The weighted-average maturity of total held-to-maturity investment securities was 9.2 years at December 31, 2022, with a corresponding weighted-average yield of 2.18 percent. The weighted-average maturity of total available-for-sale investment securities was 7.4 years at December 31, 2022, with a corresponding weighted-average yield of 2.94 percent. |
Consolidated Statement of Incom
Consolidated Statement of Income - USD ($) shares in Millions, $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2023 | Jun. 30, 2022 | Jun. 30, 2023 | Jun. 30, 2022 | |
Interest Income | ||||
Loans | $ 5,605 | $ 2,869 | $ 10,882 | $ 5,468 |
Loans held for sale | 38 | 54 | 69 | 114 |
Investment securities | 1,077 | 806 | 2,151 | 1,523 |
Other interest income | 806 | 96 | 1,388 | 138 |
Total interest income | 7,526 | 3,825 | 14,490 | 7,243 |
Interest Expense | ||||
Deposits | 1,939 | 177 | 3,444 | 257 |
Short-term borrowings | 740 | 57 | 1,189 | 78 |
Long-term debt | 432 | 156 | 808 | 300 |
Total interest expense | 3,111 | 390 | 5,441 | 635 |
Net interest income | 4,415 | 3,435 | 9,049 | 6,608 |
Provision for credit losses | 821 | 311 | 1,248 | 423 |
Net interest income after provision for credit losses | 3,594 | 3,124 | 7,801 | 6,185 |
Noninterest Income | ||||
Card revenue | 422 | 399 | 782 | 737 |
Corporate payment products revenue | 190 | 172 | 379 | 330 |
Merchant processing services | 436 | 425 | 823 | 788 |
Trust and investment management fees | 621 | 566 | 1,211 | 1,066 |
Service charges | 324 | 334 | 648 | 667 |
Commercial products revenue | 358 | 290 | 692 | 556 |
Mortgage banking revenue | 131 | 142 | 259 | 342 |
Investment products fees | 68 | 59 | 136 | 121 |
Securities gains (losses), net | 3 | 19 | (29) | 37 |
Other | 173 | 142 | 332 | 300 |
Total noninterest income | 2,726 | 2,548 | 5,233 | 4,944 |
Noninterest Expense | ||||
Compensation and employee benefits | 2,646 | 2,246 | 5,292 | 4,495 |
Net occupancy and equipment | 316 | 265 | 637 | 534 |
Professional services | 141 | 111 | 275 | 225 |
Marketing and business development | 122 | 106 | 244 | 186 |
Technology and communications | 522 | 419 | 1,025 | 840 |
Other intangibles | 159 | 40 | 319 | 87 |
Merger and integration charges | 310 | 197 | 554 | 197 |
Other | 353 | 340 | 778 | 662 |
Total noninterest expense | 4,569 | 3,724 | 9,124 | 7,226 |
Income before income taxes | 1,751 | 1,948 | 3,910 | 3,903 |
Applicable income taxes | 382 | 414 | 837 | 811 |
Net income (loss) | 1,369 | 1,534 | 3,073 | 3,092 |
Net (income) loss attributable to noncontrolling interests | (8) | (3) | (14) | (4) |
Net income (loss) attributable to U.S. Bancorp | 1,361 | 1,531 | 3,059 | 3,088 |
Net income applicable to U.S. Bancorp common shareholders | $ 1,281 | $ 1,464 | $ 2,873 | $ 2,930 |
Earnings per common share | $ 0.84 | $ 0.99 | $ 1.87 | $ 1.97 |
Diluted earnings per common share | $ 0.84 | $ 0.99 | $ 1.87 | $ 1.97 |
Average common shares outstanding | 1,533 | 1,486 | 1,532 | 1,485 |
Average diluted common shares outstanding | 1,533 | 1,487 | 1,533 | 1,486 |
Consolidated Statement of Compr
Consolidated Statement of Comprehensive Income - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | |||
Jun. 30, 2023 | Jun. 30, 2022 | Jun. 30, 2023 | Jun. 30, 2022 | ||
Statement of Comprehensive Income [Abstract] | |||||
Net income | $ 1,369 | $ 1,534 | $ 3,073 | $ 3,092 | |
Other Comprehensive Income (Loss) | |||||
Changes in unrealized gains (losses) on investment securities available-for-sale | (460) | (4,761) | 845 | (11,515) | |
Changes in unrealized gains (losses) on derivative hedges | (465) | 98 | (261) | 98 | |
Foreign currency translation | [1] | 19 | (3) | 18 | (3) |
Changes in unrealized gains (losses) on retirement plans | 1 | ||||
Reclassification to earnings of realized (gains) losses | 147 | 84 | 305 | 151 | |
Income taxes related to other comprehensive income (loss) | 194 | 1,159 | (219) | 2,851 | |
Total other comprehensive income (loss) | (565) | (3,423) | 689 | (8,418) | |
Comprehensive income (loss) | 804 | (1,889) | 3,762 | (5,326) | |
Comprehensive (income) loss attributable to noncontrolling interests | (8) | (3) | (14) | (4) | |
Comprehensive income (loss) attributable to U.S. Bancorp | $ 796 | $ (1,892) | $ 3,748 | $ (5,330) | |
[1]Represents the impact of changes in foreign currency exchange rates on the Company’s investment in foreign operations and related hedges. |
Consolidated Statement of Share
Consolidated Statement of Shareholders' Equity - USD ($) shares in Millions, $ in Millions | Total | Cumulative Effect, Period of Adoption, Adjustment [Member] | [3] | Common Stock [Member] | Preferred Stock [Member] | Capital Surplus [Member] | Retained Earnings [Member] | Retained Earnings [Member] Cumulative Effect, Period of Adoption, Adjustment [Member] | [3] | Treasury Stock [Member] | Accumulated Other Comprehensive Income (Loss) [Member] | Total U.S. Bancorp Shareholders' Equity [Member] | Total U.S. Bancorp Shareholders' Equity [Member] Cumulative Effect, Period of Adoption, Adjustment [Member] | [3] | Noncontrolling Interests [Member] | |
Beginning Balance at Dec. 31, 2021 | $ 55,387 | $ 21 | $ 6,371 | $ 8,539 | $ 69,201 | $ (27,271) | $ (1,943) | $ 54,918 | $ 469 | |||||||
Shares, Beginning Balance at Dec. 31, 2021 | 1,484 | |||||||||||||||
Net income (loss) | 3,092 | 3,088 | 3,088 | 4 | ||||||||||||
Other comprehensive income (loss) | (8,418) | (8,418) | (8,418) | |||||||||||||
Preferred stock dividends | [1] | (143) | (143) | (143) | ||||||||||||
Common stock dividends | (1,374) | (1,374) | (1,374) | |||||||||||||
Issuance of preferred stock | 437 | 437 | 437 | |||||||||||||
Issuance of common and treasury stock | 17 | (119) | 136 | 17 | ||||||||||||
Issuance of common and treasury stock, shares | 3 | |||||||||||||||
Purchase of treasury stock | (55) | (55) | (55) | |||||||||||||
Purchase of treasury stock, shares | (1) | |||||||||||||||
Distributions to noncontrolling interests | (4) | (4) | ||||||||||||||
Net other changes in noncontrolling interests | (5) | (5) | ||||||||||||||
Stock option and restricted stock grants | 135 | 135 | 135 | |||||||||||||
Shares, Ending Balance at Jun. 30, 2022 | 1,486 | |||||||||||||||
Ending Balance at Jun. 30, 2022 | 49,069 | $ 21 | 6,808 | 8,555 | 70,772 | (27,190) | (10,361) | 48,605 | 464 | |||||||
Beginning Balance at Mar. 31, 2022 | 51,668 | $ 21 | 6,808 | 8,515 | 69,987 | (27,193) | (6,938) | 51,200 | 468 | |||||||
Shares, Beginning Balance at Mar. 31, 2022 | 1,486 | |||||||||||||||
Net income (loss) | 1,534 | 1,531 | 1,531 | 3 | ||||||||||||
Other comprehensive income (loss) | (3,423) | (3,423) | (3,423) | |||||||||||||
Preferred stock dividends | [2] | (59) | (59) | (59) | ||||||||||||
Common stock dividends | (687) | (687) | (687) | |||||||||||||
Issuance of common and treasury stock | 1 | (3) | 4 | 1 | ||||||||||||
Purchase of treasury stock | (1) | (1) | (1) | |||||||||||||
Distributions to noncontrolling interests | (2) | (2) | ||||||||||||||
Net other changes in noncontrolling interests | (5) | (5) | ||||||||||||||
Stock option and restricted stock grants | 43 | 43 | 43 | |||||||||||||
Shares, Ending Balance at Jun. 30, 2022 | 1,486 | |||||||||||||||
Ending Balance at Jun. 30, 2022 | 49,069 | $ 21 | 6,808 | 8,555 | 70,772 | (27,190) | (10,361) | 48,605 | 464 | |||||||
Beginning Balance at Dec. 31, 2022 | 51,232 | $ 46 | $ 21 | 6,808 | 8,712 | 71,901 | $ 46 | (25,269) | (11,407) | 50,766 | $ 46 | 466 | ||||
Shares, Beginning Balance at Dec. 31, 2022 | 1,531 | |||||||||||||||
Net income (loss) | 3,073 | 3,059 | 3,059 | 14 | ||||||||||||
Other comprehensive income (loss) | 689 | 689 | 689 | |||||||||||||
Preferred stock dividends | [4] | (171) | (171) | (171) | ||||||||||||
Common stock dividends | (1,480) | (1,480) | (1,480) | |||||||||||||
Issuance of common and treasury stock | 8 | (116) | 124 | 8 | ||||||||||||
Issuance of common and treasury stock, shares | 3 | |||||||||||||||
Purchase of treasury stock | (44) | (44) | (44) | |||||||||||||
Purchase of treasury stock, shares | (1) | |||||||||||||||
Distributions to noncontrolling interests | (14) | (14) | ||||||||||||||
Net other changes in noncontrolling interests | (1) | (1) | ||||||||||||||
Stock option and restricted stock grants | 146 | 146 | 146 | |||||||||||||
Shares, Ending Balance at Jun. 30, 2023 | 1,533 | |||||||||||||||
Ending Balance at Jun. 30, 2023 | 53,484 | $ 21 | 6,808 | 8,742 | 73,355 | (25,189) | (10,718) | 53,019 | 465 | |||||||
Beginning Balance at Mar. 31, 2023 | 53,454 | $ 21 | 6,808 | 8,699 | 72,807 | (25,193) | (10,153) | 52,989 | 465 | |||||||
Shares, Beginning Balance at Mar. 31, 2023 | 1,533 | |||||||||||||||
Net income (loss) | 1,369 | 1,361 | 1,361 | 8 | ||||||||||||
Other comprehensive income (loss) | (565) | (565) | (565) | |||||||||||||
Preferred stock dividends | [5] | (73) | (73) | (73) | ||||||||||||
Common stock dividends | (740) | (740) | (740) | |||||||||||||
Issuance of common and treasury stock | 2 | (2) | 4 | 2 | ||||||||||||
Distributions to noncontrolling interests | (7) | (7) | ||||||||||||||
Net other changes in noncontrolling interests | (1) | (1) | ||||||||||||||
Stock option and restricted stock grants | 45 | 45 | 45 | |||||||||||||
Shares, Ending Balance at Jun. 30, 2023 | 1,533 | |||||||||||||||
Ending Balance at Jun. 30, 2023 | $ 53,484 | $ 21 | $ 6,808 | $ 8,742 | $ 73,355 | $ (25,189) | $ (10,718) | $ 53,019 | $ 465 | |||||||
[1]Reflects dividends declared per share on the Company’s Series A, Series B, Series J, Series K, Series L, Series M, Series N and Series O Non-Cumulative Perpetual Preferred Stock of $1,759.722, $439.931, $662.50, $687.50, $468.75, $500.00, $462.50 and $487.50, respectively.[2]Reflects dividends declared per share on the Company’s Series A, Series B, Series K, Series L, Series M, Series N and Series O Non-Cumulative Perpetual Preferred Stock of $884.722, $221.181, $343.75, $234.375, $250.00, $231.25 and $281.25, respectively.[3]Effective January 1, 2023, the Company adopted accounting guidance which removed the separate recognition and measurement of troubled debt restructurings. Upon adoption, the Company reduced its allowance for credit losses and increased retained earnings net of deferred taxes through a cumulative-effect adjustment.[4]Reflects dividends declared per share on the Company’s Series A, Series B, Series J, Series K, Series L, Series M, Series N and Series O Non-Cumulative Perpetual Preferred Stock of $3,049.948, $709.695, $662.50, $687.50, $468.75, $500.00, $462.50 and $562.50, respectively.[5]Reflects dividends declared per share on the Company’s Series A, Series B, Series K, Series L, Series M, Series N and Series O Non-Cumulative Perpetual Preferred Stock of $1,587.52, $370.338, $343.75, $234.375, $250.00, $231.25 and $281.25, respectively. |
Consolidated Statement of Sha_2
Consolidated Statement of Shareholders' Equity (Parenthetical) - $ / shares | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2023 | Jun. 30, 2022 | Jun. 30, 2023 | Jun. 30, 2022 | |
Common stock dividends, share | $ 0.48 | $ 0.46 | $ 0.96 | $ 0.92 |
Series A [Member] | ||||
Preferred stock dividends declared per share | 1,587.52 | 884.722 | 3,049.948 | 1,759.722 |
Series B [Member] | ||||
Preferred stock dividends declared per share | 370.338 | 221.181 | 709.695 | 439.931 |
Series J [Member] | ||||
Preferred stock dividends declared per share | 662.5 | 662.5 | ||
Series K [Member] | ||||
Preferred stock dividends declared per share | 343.75 | 343.75 | 687.5 | 687.5 |
Series L [Member] | ||||
Preferred stock dividends declared per share | 234.375 | 234.375 | 468.75 | 468.75 |
Series M [Member] | ||||
Preferred stock dividends declared per share | 250 | 250 | 500 | 500 |
Series N [Member] | ||||
Preferred stock dividends declared per share | 231.25 | 231.25 | 462.5 | 462.5 |
Series O [Member] | ||||
Preferred stock dividends declared per share | $ 281.25 | $ 281.25 | $ 562.5 | $ 487.5 |
Consolidated Statement of Cash
Consolidated Statement of Cash Flows - USD ($) $ in Millions | 6 Months Ended | |
Jun. 30, 2023 | Jun. 30, 2022 | |
Operating Activities | ||
Net income attributable to U.S. Bancorp | $ 3,059 | $ 3,088 |
Adjustments to reconcile net income to net cash provided by operating activities | ||
Provision for credit losses | 1,248 | 423 |
Depreciation and amortization of premises and equipment | 193 | 170 |
Amortization of intangibles | 319 | 87 |
(Gain) loss on sale of loans held for sale | 18 | 192 |
(Gain) loss on sale of securities and other assets | 24 | (67) |
Loans originated for sale, net of repayments | (14,639) | (17,325) |
Proceeds from sales of loans held for sale | 14,244 | 20,564 |
Other, net | (308) | 3,594 |
Net cash provided by operating activities | 4,158 | 10,726 |
Investing Activities | ||
Proceeds from sales of available-for-sale investment securities | 8,135 | 14,797 |
Proceeds from maturities of held-to-maturity investment securities | 2,995 | 2,407 |
Proceeds from maturities of available-for-sale investment securities | 3,048 | 9,665 |
Purchases of held-to-maturity investment securities | (924) | (6,288) |
Purchases of available-for-sale investment securities | (2,790) | (18,240) |
Net increase in loans outstanding | (613) | (20,072) |
Proceeds from sales of loans | 5,105 | 1,671 |
Purchases of loans | (608) | (1,698) |
Net increase in securities purchased under agreements to resell | (1,443) | (154) |
Other, net | (1,416) | (1,604) |
Net cash provided by (used in) investing activities | 11,489 | (19,516) |
Financing Activities | ||
Net (decrease) increase in deposits | (3,002) | 11,019 |
Net increase in short-term borrowings | 551 | 13,167 |
Proceeds from issuance of long-term debt | 7,230 | 2,206 |
Principal payments or redemption of long-term debt | (1,644) | (5,154) |
Proceeds from issuance of preferred stock | 0 | 437 |
Proceeds from issuance of common stock | 6 | 16 |
Repurchase of preferred stock | 0 | (1,100) |
Repurchase of common stock | (44) | (55) |
Cash dividends paid on preferred stock | (165) | (154) |
Cash dividends paid on common stock | (1,479) | (1,373) |
Net cash provided by financing activities | 1,453 | 19,009 |
Change in cash and due from banks | 17,100 | 10,219 |
Cash and due from banks at beginning of period | 53,542 | 28,905 |
Cash and due from banks at end of period | $ 70,642 | $ 39,124 |
Basis of Presentation
Basis of Presentation | 6 Months Ended |
Jun. 30, 2023 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Basis of Presentation | Note 1 Basis of Presentation The accompanying consolidated financial statements have been prepared in accordance with the instructions to Form 10-Q Form 10-K |
Accounting Changes
Accounting Changes | 6 Months Ended |
Jun. 30, 2023 | |
Accounting Changes and Error Corrections [Abstract] | |
Accounting Changes | Note 2 Accounting Changes Reference Interest Rate Transition In March 2020, the Financial Accounting Standards Board (“FASB”) issued accounting guidance, providing temporary optional expedients and exceptions to the guidance in United States generally accepted accounting principles on contract modifications and hedge accounting, to ease the financial reporting burdens related to the expected market transition from the London Interbank Offered Rate (“LIBOR”) and other interbank offered rates to alternative reference rates. Under the guidance, a company can elect not to apply certain modification accounting requirements to contracts affected by reference rate transition, if certain criteria are met. A company that makes this election would not be required to remeasure the contracts at the modification date or reassess a previous accounting determination. This guidance also permits a company to elect various optional expedients that would allow it to continue applying hedge accounting for hedging relationships affected by reference rate transition, if certain criteria are met. The guidance is effective upon issuance and generally can be applied through December 31, 2024. The Company is applying certain optional expedients and exceptions for cash flow hedges and will continue to evaluate these for eligible contract modifications and hedging relationships. Fair Value Hedging – Portfolio Layer Method Effective January 1, 2023, the Company adopted accounting guidance, issued by the FASB in March 2022, related to fair value hedge accounting of portfolios of financial assets. This guidance permits a company to designate multiple hedging relationships on a single closed portfolio, resulting in a larger portion of the interest rate risk associated with such a portfolio being eligible to be hedged. The guidance also expands the scope of the method to include non-prepayable Financial Instruments – Troubled Debt Restructurings and Vintage Disclosures Effective January 1, 2023, the Company adopted accounting guidance on a modified retrospective basis, issued by the FASB in March 2022, related to the recognition and measurement of troubled debt restructurings (“TDRs”) by creditors. This guidance removes the separate recognition and measurement requirements for TDRs by replacing them with a requirement for a company to apply existing accounting guidance to determine whether a modification results in a new loan or a continuation of an existing loan. This guidance also replaces existing TDR disclosures with similar but more expansive disclosures for certain modifications of receivables made to borrowers experiencing financial difficulty. Further, this guidance also requires companies to disclose current-period gross write-offs by year of origination for financing receivables. The adoption of this guidance was not material to the Company’s financial statements. Accounting for Tax Credit Investments Using the Proportional Amortization Method Effective January 1, 2023, the Company adopted accounting guidance on a modified retrospective basis, issued by the FASB in March 2023, related to the accounting for tax credit investments. This guidance allows the Company to elect to account for tax credit investments using the proportional amortization method on a program-by-program |
Business Combinations
Business Combinations | 6 Months Ended |
Jun. 30, 2023 | |
Business Combinations [Abstract] | |
Business Combinations | Note 3 Business Combinations MUFG Union Bank Acquisition On December 1, 2022, the Company acquired MUB’s core regional banking franchise from MUFG. Pursuant to the terms of the Share Purchase Agreement, the Company acquired all of the issued and outstanding shares of common stock of MUB for a purchase price consisting of $5.5 billion in cash and approximately 44 million shares of common stock of the Company. Under the terms of the Share Purchase Agreement, the purchase price was based on MUB having a tangible book value of $6.25 billion at the closing of the acquisition. At the closing of the acquisition, MUB had $3.5 billion of tangible book value over the $6.25 billion target, consisting of additional cash. The additional cash received is required to be repaid to MUFG on or prior to the fifth anniversary date of the completion of the purchase, in accordance with the terms of the Share Purchase Agreement. As such, it is recognized as debt at the parent company. On August 3, 2023, the Company repaid $ 936 its debt obligation from the proceeds of the issuance of 24 million shares of common stock of the Company to an affiliate of MUFG. The acquisition has been accounted for as a business combination. Accordingly, the assets acquired and liabilities assumed from MUB were recorded at fair value as of the acquisition date. The determination of fair value requires management to make estimates about discount rates, future expected cash flows, market conditions and other future events that are highly subjective in nature and subject to change. Fair value estimates related to the assets and liabilities from MUB are subject to adjustment for up to one year after the closing date of the acquisition as additional information becomes available. Valuations subject to adjustment include, but are not limited to, loans, certain deposits, certain other assets, customer relationships and the core deposit benefits intangible. In connection with the transaction, the Company recorded within noninterest expense nonrecurring merger and integration charges of $310 million in the second quarter and $554 million in the first six months of 2023, compared with $197 million in both the second quarter and first six months of 2022. These expenses were primarily comprised of personnel, legal, advisory and technology related costs. The following table includes the fair value of consideration transferred and the preliminary fair value of the identifiable tangible and intangible assets and liabilities from MUB: December 1, 2022 (Dollars in Millions) Acquisition consideration Cash $ 5,500 Market value of shares of common stock 2,014 Total consideration transferred at acquisition close date 7,514 Discounted liability to MUFG (a) 2,944 Total $ 10,458 Fair Value of MUB assets and liabilities Assets Cash and due from banks $ 17,754 Investment securities 22,725 Loans held for sale 2,220 Loans 53,395 Less allowance for loan losses (463 ) Net loans 52,932 Premises and equipment 646 Other intangible assets (excluding goodwill) 2,808 Other assets 4,764 Total assets $ 103,849 Liabilities Deposits $ 86,110 Short-term borrowings 4,773 Long-term debt 2,584 Other liabilities 2,248 Total liabilities 95,715 Less: Net assets $ 8,134 Goodwill $ 2,324 (a) Represents $3.5 billion of noninterest-bearing additional cash held by MUB upon close of the acquisition to be delivered to MUFG on or prior to December 1, 2027, discounted at the Company’s 5-year Preliminary goodwill of $2.3 billion recorded in connection with the transaction resulted from the reputation, operating model and expertise of MUB. The amount of goodwill recorded reflects the increased market share and related synergies that are expected to result from the acquisition, and represents the excess purchase price over the estimated fair value of the net assets from MUB. The goodwill was allocated to the Company’s business segments on a preliminary basis and is not deductible for income tax purposes. Refer to Note 11 in the Company’s Annual Report on Form 10-K For further information on the fair value and unpaid principal balance of loans from the MUB acquisition, as well as the methods used to determine the fair values of the significant assets acquired and liabilities assumed, refer to Note 3 in the Company’s Annual Report on Form 10-K During the first quarter of 2023, the Company completed the divestiture of three MUB branches to HomeStreet Bank, a wholly owned subsidiary of HomeStreet, Inc., to satisfy regulatory requirements related to the acquisition. There were approximately $400 million in deposits and $22 million in loans divested as part of this transaction. |
Investment Securities
Investment Securities | 6 Months Ended |
Jun. 30, 2023 | |
Investments, Debt and Equity Securities [Abstract] | |
Investment Securities | Note 4 Investment Securities The Company’s held-to-maturity available-for-sale The amortized cost, gross unrealized holding gains and losses, and fair value of held-to-maturity available-for-sale June 30, 2023 December 31, 2022 (Dollars in Millions) Amortized Unrealized Unrealized Fair Value Amortized Unrealized Unrealized Fair Value Held-to-maturity U.S. Treasury and agencies $ 1,345 $ — $ (58 ) $ 1,287 $ 1,344 $ — $ (51 ) $ 1,293 Mortgage-backed securities Residential agency 83,898 — (10,578 ) 73,320 85,693 2 (10,810 ) 74,885 Commercial agency 1,695 — (17 ) 1,678 1,703 1 (8 ) 1,696 Total held-to-maturity $ 86,938 $ — $ (10,653 ) $ 76,285 $ 88,740 $ 3 $ (10,869 ) $ 77,874 Available-for-sale U.S. Treasury and agencies $ 21,328 $ 1 $ (2,361 ) $ 18,968 $ 24,801 $ 1 $ (2,769 ) $ 22,033 Mortgage-backed securities Residential agency 28,253 3 (2,595 ) 25,661 32,060 8 (2,797 ) 29,271 Commercial Agency 8,719 — (1,532 ) 7,187 8,736 — (1,591 ) 7,145 Non-agency 7 — (1 ) 6 7 — — 7 Asset-backed securities 7,487 5 (41 ) 7,451 4,356 5 (38 ) 4,323 Obligations of state and political subdivisions 11,091 6 (1,153 ) 9,944 11,484 12 (1,371 ) 10,125 Other 4 — — 4 6 — — 6 Total available-for-sale, 76,889 15 (7,683 ) 69,221 81,450 26 (8,566 ) 72,910 Portfolio level basis adjustments (a) (1 ) — 1 — — — — — Total available-for-sale $ 76,888 $ 15 $ (7,682 ) $ 69,221 $ 81,450 $ 26 $ (8,566 ) $ 72,910 (a) Represents fair value hedge basis adjustments related to active portfolio layer method hedges of available-for-sale Investment securities with a fair value of $21.3 billion at June 30, 2023, and $15.3 billion at December 31, 2022, were pledged to secure public, private and trust deposits, repurchase agreements and for other purposes required by contractual obligation or law. Included in these amounts were securities where the Company and certain counterparties have agreements granting the counterparties the right to sell or pledge the securities. Investment securities securing these types of arrangements had a fair value of $327 million at June 30, 2023, and $858 million at December 31, 2022. The following table provides information about the amount of interest income from taxable and non-taxable Three Months Ended Six Months Ended (Dollars in Millions) 2023 2022 2023 2022 Taxable $ 999 $ 732 $ 1,993 $ 1,378 Non-taxable 78 74 158 145 Total interest income from investment securities $ 1,077 $ 806 $ 2,151 $ 1,523 The following table provides information about the amount of gross gains and losses realized through the sales of available-for-sale Three Months Ended Six Months Ended (Dollars in Millions) 2023 2022 2023 2022 Realized gains $ 5 $ 144 $ 65 $ 386 Realized losses (2 ) (125 ) (94 ) (349 ) Net realized gains (losses) $ 3 $ 19 $ (29 ) $ 37 Income tax on net realized gains (losses) $ 1 $ 5 $ (7 ) $ 9 The Company conducts a regular assessment of its available-for-sale available-for-sale At June 30, 2023, certain investment securities had a fair value below amortized cost. The following table shows the gross unrealized losses and fair value of the Company’s available-for-sale Less Than 12 Months 12 Months or Greater Total (Dollars in Millions) Fair Unrealized Fair Value Unrealized Fair Value Unrealized U.S. Treasury and agencies $ 419 $ (8 ) $ 17,061 $ (2,353 ) $ 17,480 $ (2,361 ) Mortgage-backed securities Residential agency 2,932 (83 ) 22,463 (2,512 ) 25,395 (2,595 ) Commercial Agency — — 7,186 (1,532 ) 7,186 (1,532 ) Non-agency 6 (1 ) — — 6 (1 ) Asset-backed securities 2,839 (41 ) — — 2,839 (41 ) Obligations of state and political subdivisions 2,391 (34 ) 6,924 (1,119 ) 9,315 (1,153 ) Other — — 4 — 4 — Total investment securities $ 8,587 $ (167 ) $ 53,638 $ (7,516 ) $ 62,225 $ (7,683 ) These unrealized losses primarily relate to changes in interest rates and market spreads subsequent to purchase of these available-for-sale During the six months ended June 30, 2023 and 2022, the Company did not purchase any investment securities that had more-than-insignificant credit deterioration. All of the Company’s held-to-maturity , held-to-maturity The following table provides information about the amortized cost, fair value and yield by maturity date of the investment securities outstanding at June 30, 2023: (Dollars in Millions) Amortized Fair Value Weighted- Weighted- Held-to-maturity U.S. Treasury and Agencies Maturing in one year or less $ 50 $ 49 .8 2.67 % Maturing after one year through five years 1,295 1,238 2.9 2.85 Maturing after five years through ten years — — — — Maturing after ten years — — — — Total $ 1,345 $ 1,287 2.8 2.85 % Mortgage-Backed Securities (a) Maturing in one year or less $ 22 $ 22 .8 4.95 % Maturing after one year through five years 1,436 1,419 2.6 4.60 Maturing after five years through ten years 70,260 61,972 9.2 2.18 Maturing after ten years 13,875 11,585 10.2 2.05 Total $ 85,593 $ 74,998 9.2 2.20 % Total held-to-maturity $ 86,938 $ 76,285 9.1 2.21 % Available-for-sale U.S. Treasury and Agencies Maturing in one year or less $ 13 $ 13 .2 4.72 % Maturing after one year through five years 6,140 5,809 3.7 2.79 Maturing after five years through ten years 12,981 11,462 6.8 2.20 Maturing after ten years 2,194 1,684 11.1 2.00 Total $ 21,328 $ 18,968 6.4 2.35 % Mortgage-Backed Securities (a) Maturing in one year or less $ 134 $ 130 .9 2.45 % Maturing after one year through five years 8,980 8,325 3.1 2.42 Maturing after five years through ten years 26,491 23,211 7.6 3.02 Maturing after ten years 1,374 1,188 11.1 3.65 Total $ 36,979 $ 32,854 6.6 2.90 % Asset-Backed Securities (a) Maturing in one year or less $ 1 $ 1 .3 7.57 % Maturing after one year through five years 7,104 7,068 1.6 5.02 Maturing after five years through ten years 382 382 5.6 6.96 Maturing after ten years — — — — Total $ 7,487 $ 7,451 1.8 5.12 % Obligations of State and Political Subdivisions (c) (d) Maturing in one year or less $ 149 $ 149 .3 5.76 % Maturing after one year through five years 2,539 2,510 3.5 4.68 Maturing after five years through ten years 1,542 1,470 7.8 3.99 Maturing after ten years 6,861 5,815 16.2 3.37 Total $ 11,091 $ 9,944 11.9 3.79 % Other Maturing in one year or less $ — $ — — — % Maturing after one year through five years 4 4 1.9 1.89 Maturing after five years through ten years — — — — Maturing after ten years — — — — Total $ 4 $ 4 1.9 1.89 % Total available-for-sale $ 76,889 $ 69,221 6.8 3.09 % (a) Information related to asset and mortgage-backed securities included above is presented based upon weighted-average maturities that take into account anticipated future prepayments. (b) The weighted-average maturity of total held-to-maturity available-for-sale (c) Information related to obligations of state and political subdivisions is presented based upon yield to first optional call date if the security is purchased at a premium, and yield to maturity if the security is purchased at par or a discount. (d) Maturity calculations for obligations of state and political subdivisions are based on the first optional call date for securities with a fair value above par and the contractual maturity date for securities with a fair value equal to or below par. (e) Weighted-average yields for obligations of state and political subdivisions are presented on a fully-taxable equivalent basis based on a federal income tax rate of 21 percent. Yields on investment securities are computed based on amortized cost balances, excluding any premiums or discounts recorded related to the transfer of investment securities at fair value from available-for-sale held-to-maturity. (f) Amortized cost excludes portfolio level basis adjustments of $(1) million. |
Loans and Allowance for Credit
Loans and Allowance for Credit Losses | 6 Months Ended |
Jun. 30, 2023 | |
Receivables [Abstract] | |
Loans and Allowance for Credit Losses | Note 5 Loans and Allowance for Credit Losses The composition of the loan portfolio, by class and underlying specific portfolio type, was as follows: June 30, 2023 December 31, 2022 (Dollars in Millions) Amount Percent Amount Percent Commercial Commercial $ 132,374 34.9 % $ 131,128 33.8 % Lease financing 4,401 1.2 4,562 1.2 Total commercial 136,775 36.1 135,690 35.0 Commercial Real Estate Commercial mortgages 42,775 11.3 43,765 11.3 Construction and development 11,582 3.0 11,722 3.0 Total commercial real estate 54,357 14.3 55,487 14.3 Residential Mortgages Residential mortgages 107,017 28.2 107,858 27.8 Home equity loans, first liens 7,432 2.0 7,987 2.0 Total residential mortgages 114,449 30.2 115,845 29.8 Credit Card 26,626 7.0 26,295 6.8 Other Retail Retail leasing 4,637 1.2 5,519 1.4 Home equity and second mortgages 12,799 3.4 12,863 3.3 Revolving credit 3,797 1.0 3,983 1.0 Installment 14,452 3.8 14,592 3.8 Automobile 11,536 3.0 17,939 4.6 Total other retail 47,221 12.4 54,896 14.1 Total loans $ 379,428 100.0 % $ 388,213 100.0 % The Company had loans of $124.6 billion at June 30, 2023, and $134.6 billion at December 31, 2022, pledged at the Federal Home Loan Bank, and loans of $87.9 billion at June 30, 2023, and $85.8 billion at December 31, 2022, pledged at the Federal Reserve Bank. Originated loans are reported at the principal amount outstanding, net of unearned interest and deferred fees and costs, and any partial charge-offs recorded. Purchased loans are recorded at fair value at the date of purchase. Net unearned interest and deferred fees and costs on originated loans and unamortized premiums and discounts on purchased loans amounted to $2.9 billion at June 30, 2023 and $3.1 billion at December 31, 2022. The Company evaluates purchased loans for more-than-insignificant deterioration at the date of purchase in accordance with applicable authoritative accounting guidance. Purchased loans that have experienced more-than-insignificant deterioration from origination are considered purchased credit deteriorated loans. All other purchased loans are considered non-purchased Allowance for Credit Losses The allowance for credit losses is established for current expected credit losses on the Company’s loan and lease portfolio, including unfunded credit commitments. The allowance considers expected losses for the remaining lives of the applicable assets, inclusive of expected recoveries. The allowance for credit losses is increased through provisions charged to earnings and reduced by net charge-offs. Management evaluates the appropriateness of the allowance for credit losses on a quarterly basis. Multiple economic scenarios are considered over a three-year reasonable and supportable forecast period, which includes increasing consideration of historical loss experience over years two and three. These economic scenarios are constructed with interrelated projections of multiple economic variables, and loss estimates are produced that consider the historical correlation of those economic variables with credit losses. After the forecast period, the Company fully reverts to long-term historical loss experience, adjusted for prepayments and characteristics of the current loan and lease portfolio, to estimate losses over the remaining life of the portfolio. The economic scenarios are updated at least quarterly and are designed to provide a range of reasonable estimates, from better to worse than current expectations. Scenarios are weighted based on the Company’s expectation of economic conditions for the foreseeable future and reflect significant judgment and consideration of economic forecast uncertainty. Final loss estimates also consider factors affecting credit losses not reflected in the scenarios, due to the unique aspects of current conditions and expectations. These factors may include, but are not limited to, loan servicing practices, regulatory guidance, and/or fiscal and monetary policy actions. The allowance recorded for credit losses utilizes forward-looking expected loss models to consider a variety of factors affecting lifetime credit losses. These factors include, but are not limited to, macroeconomic variables such as unemployment rates, real estate prices, gross domestic product levels, inflation, interest rates and corporate bonds spreads, as well as loan and borrower characteristics, such as internal risk ratings on commercial loans and consumer credit scores, delinquency status, collateral type and available valuation information, consideration of end-of-term charged-off The Company’s methodology for determining the appropriate allowance for credit losses also considers the imprecision inherent in the methodologies used and allocated to the various loan portfolios. As a result, amounts determined under the methodologies described above, are adjusted by management to consider the potential impact of other qualitative factors not captured in the quantitative model adjustments which include, but are not limited to the following: model imprecision, imprecision in economic scenario assumptions, and emerging risks related to either changes in the environment that are affecting specific portfolios, or changes in portfolio concentrations over time that may affect model performance. The consideration of these items results in adjustments to allowance amounts included in the Company’s allowance for credit losses for each loan portfolio. The Company also assesses the credit risk associated with off-balance off-balance The results of the analysis are evaluated quarterly to confirm the estimates are appropriate for each specific loan portfolio, as well as the entire loan portfolio, as the entire allowance for credit losses is available for the entire loan portfolio. Activity in the allowance for credit losses by portfolio class was as follows: Three Months Ended June 30 (Dollars in Millions) Commercial Commercial Residential Credit Other Total 2023 Balance at beginning of period $2,180 $1,359 $947 $2,112 $925 $7,523 Add Provision for credit losses 119 140 66 272 224 821 Deduct Loans charged-off 110 31 121 242 251 755 Less recoveries of loans charged-off (20 ) (5 ) (7 ) (43 ) (31 ) (106 ) Net loan charge-offs (recoveries) 90 26 114 199 220 649 Balance at end of period $2,209 $1,473 $899 $2,185 $929 $7,695 2022 Balance at beginning of period $1,836 $1,074 $600 $1,639 $956 $6,105 Add Provision for credit losses 90 (95 ) 49 225 42 311 Deduct Loans charged-off 53 9 2 162 50 276 Less recoveries of loans charged-off (23 ) (3 ) (11 ) (44 ) (34 ) (115 ) Net loan charge-offs (recoveries) 30 6 (9 ) 118 16 161 Balance at end of period $1,896 $973 $658 $1,746 $982 $6,255 Six Months Ended June 30 (Dollars in Millions) Commercial Commercial Residential Credit Other Total 2023 Balance at beginning of period $2,163 $1,325 $926 $2,020 $970 $7,404 Add Change in accounting principle (a) — — (31 ) (27 ) (4 ) (62 ) Allowance for acquired credit losses (b) — 127 — — — 127 Provision for credit losses 183 164 117 566 218 1,248 Deduct Loans charged-off 173 154 125 457 315 1,224 Less recoveries of loans charged-off (36 ) (11 ) (12 ) (83 ) (60 ) (202 ) Net loan charge-offs (recoveries) 137 143 113 374 255 1,022 Balance at end of period $2,209 $1,473 $899 $2,185 $929 $7,695 2022 Balance at beginning of period $1,849 $1,123 $565 $1,673 $945 $6,155 Add Provision for credit losses 109 (149 ) 78 303 82 423 Deduct Loans charged-off 108 10 7 320 111 556 Less recoveries of loans charged-off (46 ) (9 ) (22 ) (90 ) (66 ) (233 ) Net loan charge-offs (recoveries) 62 1 (15 ) 230 45 323 Balance at end of period $1,896 $973 $658 $1,746 $982 $6,255 (a) Effective January 1, 2023, the Company adopted accounting guidance which removed the separate recognition and measurement of troubled debt restructurings. (b) Represents allowance for credit deteriorated and charged-off The increase in the allowance for credit losses at June 30, 2023, compared with December 31, 2022, was primarily driven by increasing economic uncertainty and normalizing credit losses as well as adjustments made to the purchase accounting estimate for certain acquired loans. The following table provides a summary of loans charged-off (Dollars in Millions) Commercial Commercial Residential Credit Other Total Three Months Ended June 30, 2023 Originated in 2023 $ 7 $— $— $— $ 46 $ 53 Originated in 2022 34 — — — 89 123 Originated in 2021 4 17 5 — 46 72 Originated in 2020 6 — 8 — 19 33 Originated in 2019 2 — 15 — 13 30 Originated prior to 2019 17 14 93 — 5 129 Revolving 40 — — 242 5 287 Revolving converted to term — — — — 28 28 Total charge-offs $110 $31 $121 $242 $251 $755 Six Months Ended June 30, 2023 Originated in 2023 $7 $— $— $— $46 $53 Originated in 2022 40 88 — — 99 227 Originated in 2021 8 17 5 — 57 87 Originated in 2020 10 — 8 — 25 43 Originated in 2019 7 3 16 — 20 46 Originated prior to 2019 28 46 96 — 13 183 Revolving 73 — — 457 27 557 Revolving converted to term — — — — 28 28 Total charge-offs $173 $154 $125 $457 $315 $1,224 Note: Year of origination is based on the origination date of a loan, or for existing loans the date when the maturity date, pricing or commitment amount is amended. (a) Includes $91 million of charge-offs in the first quarter of 2023 related to uncollectible amounts on acquired loans. (b) Includes $117 million of charge-offs related to balance sheet repositioning and capital management actions taken in the second quarter of 2023. (c) Includes $192 million of charge-offs related to balance sheet repositioning and capital management actions taken in the second quarter of 2023. Credit Quality The cr e For all loan portfolio classes, loans are considered past due based on the number of days delinquent except for monthly amortizing loans which are classified delinquent based upon the number of contractually required payments not made (for example, two missed payments is considered 30 days delinquent). When a loan is placed on nonaccrual status, unpaid accrued interest is reversed, reducing interest income in the current period. Commercial lending segment loans are generally placed on nonaccrual status when the collection of principal and interest has become 90 days past due or is otherwise considered doubtful. Commercial lending segment loans are generally fully charged down if unsecured by collateral or partially charged down to the fair value of the collateral securing the loan, less costs to sell, when the loan is placed on nonaccrual. Consumer lending segment loans are generally charged-off 1-4 charge-off 1-4 charged-off. charged-off 1-4 charged-off charged-off charge-off. For all loan classes, interest payments received on nonaccrual loans are generally recorded as a reduction to a loan’s carrying amount while a loan is on nonaccrual and are recognized as interest income upon payoff of the loan. However, interest income may be recognized for interest payments if the remaining carrying amount of the loan is believed to be collectible. In certain circumstances, loans in any class may be restored to accrual status, such as when a loan has demonstrated sustained repayment performance or no amounts are past due and prospects for future payment are no longer in doubt; or when the loan becomes well secured and is in the process of collection. Loans where there has been a partial charge-off charged-off) The following table provides a summary of loans by portfolio class, including the delinquency status of those that continue to accrue interest, and those that are nonperforming: Accruing (Dollars in Millions) Current 30-89 Days 90 Days or Nonperforming (b) Total June 30, 2023 Commercial $ 136,136 $ 347 $ 61 $ 231 $136,775 Commercial real estate 53,810 72 1 474 54,357 Residential mortgages (a) 114,028 128 86 207 114,449 Credit card 26,048 307 271 — 26,626 Other retail 46,802 235 55 129 47,221 Total loans $ 376,824 $1,089 $474 $1,041 $379,428 December 31, 2022 Commercial $ 135,077 $ 350 $ 94 $ 169 $135,690 Commercial real estate 55,057 87 5 338 55,487 Residential mortgages (a) 115,224 201 95 325 115,845 Credit card 25,780 283 231 1 26,295 Other retail 54,382 309 66 139 54,896 Total loans $ 385,520 $1,230 $491 $ 972 $388,213 (a) At June 30, 2023, $556 million of loans 30–89 days past due and $2.1 billion of loans 90 days or more past due purchased and that could be purchased from Government National Mortgage Association (“GNMA”) mortgage pools under delinquent loan repurchase options whose repayments are insured by the Federal Housing Administration or guaranteed by the United States Department of Veterans Affairs, were classified as current, compared with $647 million and $2.2 billion at December 31, 2022, respectively. (b) Substantially all nonperforming loans at June 30, 2023 and December 31, 2022, had an associated allowance for credit losses. The Company recognized interest income on nonperforming loans of $3 million and $5 million for the three months ended June 30, 2023 and 2022, respectively, and $7 million and $8 million for the six months ended June 30, 2023 and 2022, respectively. At June 30, 2023, the amount of foreclosed residential real estate held by the Company, and included in other real estate owned (“OREO”), was $25 million, compared with $23 million at December 31, 2022. These amounts excluded $56 million and $54 million at June 30, 2023 and December 31, 2022, respectively, of foreclosed residential real estate related to mortgage loans whose payments are primarily insured by the Federal Housing Administration or guaranteed by the United States Department of Veterans Affairs. In addition, the amount of residential mortgage loans secured by residential real estate in the process of foreclosure at June 30, 2023 and December 31, 2022, was The Company classifies its loan portfolio classes using internal credit quality ratings on a quarterly basis. These ratings include pass, special mention and classified, and are an important part of the Company’s overall credit risk management process and evaluation of the allowance for credit losses. Loans with a pass rating represent those loans not classified on the Company’s rating scale for problem credits, as minimal credit risk has been identified. Special mention loans are those loans that have a potential weakness deserving management’s close attention. Classified loans are those loans where a well-defined weakness has been identified that may put full collection of contractual cash flows at risk. It is possible that others, given the same information, may reach different reasonable conclusions regarding the credit quality rating classification of specific loans. The following table provides a summary of the Company’s internal credit quality rating of loans by portfolio class and year of origination: June 30, 2023 December 31, 2022 Criticized Criticized (Dollars in Millions) Pass Special Classified (a) Total Total Pass Special Classified (a) Total Total Commercial Originated in 2023 $ 29,444 $ 441 $ 319 $ 760 $ 30,204 $ — $ — $ — $ — $ — Originated in 2022 51,218 547 306 853 52,071 61,229 245 315 560 61,789 Originated in 2021 13,287 154 183 337 13,624 26,411 159 78 237 26,648 Originated in 2020 3,764 51 179 230 3,994 7,049 68 138 206 7,255 Originated in 2019 1,852 15 181 196 2,048 3,962 51 210 261 4,223 Originated prior to 2019 4,715 43 103 146 4,861 8,986 64 129 193 9,179 Revolving (b) 28,735 216 1,022 1,238 29,973 25,888 344 364 708 26,596 Total commercial 133,015 1,467 2,293 3,760 136,775 133,525 931 1,234 2,165 135,690 Commercial real estate Originated in 2023 5,791 302 1,055 1,357 7,148 — — — — — Originated in 2022 14,037 211 1,147 1,358 15,395 14,527 206 519 725 15,252 Originated in 2021 10,998 434 445 879 11,877 13,565 171 99 270 13,835 Originated in 2020 4,467 23 154 177 4,644 6,489 97 117 214 6,703 Originated in 2019 5,438 169 408 577 6,015 6,991 251 304 555 7,546 Originated prior to 2019 7,321 27 429 456 7,777 9,639 138 875 1,013 10,652 Revolving 1,467 — 34 34 1,501 1,489 — 10 10 1,499 Total commercial real estate 49,519 1,166 3,672 4,838 54,357 52,700 863 1,924 2,787 55,487 Residential mortgages (c) Originated in 2023 6,040 — — — 6,040 — — — — — Originated in 2022 29,081 — 7 7 29,088 28,452 — — — 28,452 Originated in 2021 37,015 — 9 9 37,024 39,527 — 7 7 39,534 Originated in 2020 15,276 — 10 10 15,286 16,556 — 8 8 16,564 Originated in 2019 6,106 — 18 18 6,124 7,222 — 18 18 7,240 Originated prior to 2019 20,626 — 261 261 20,887 23,658 — 397 397 24,055 Total residential mortgages 114,144 — 305 305 114,449 115,415 — 430 430 115,845 Credit card (d) 26,355 — 271 271 26,626 26,063 — 232 232 26,295 Other retail Originated in 2023 2,700 — 1 1 2,701 — — — — — Originated in 2022 6,419 — 8 8 6,427 9,563 — 6 6 9,569 Originated in 2021 12,281 — 11 11 12,292 15,352 — 12 12 15,364 Originated in 2020 5,999 — 9 9 6,008 7,828 — 11 11 7,839 Originated in 2019 2,300 — 8 8 2,308 3,418 — 13 13 3,431 Originated prior to 2019 2,689 — 14 14 2,703 3,689 — 31 31 3,720 Revolving 13,864 — 97 97 13,961 14,029 — 98 98 14,127 Revolving converted to term 773 — 48 48 821 800 — 46 46 846 Total other retail 47,025 — 196 196 47,221 54,679 — 217 217 54,896 Total loans $370,058 $2,633 $6,737 $ 9,370 $379,428 $382,382 $1,794 $4,037 $5,831 $388,213 Total outstanding commitments $768,418 $3,811 $8,265 $12,076 $780,494 $772,804 $2,825 $5,041 $7,866 $780,670 Note: Year of origination is based on the origination date of a loan, or for existing loans the date when the maturity date, pricing or commitment amount is amended. (a) Classified rating on consumer loans primarily based on delinquency status. (b) Includes an immaterial amount of revolving converted to term loans. (c) At June 30, 2023, $2.1 billion of GNMA loans 90 days or more past due and $579 million of modified GNMA loans whose repayments are insured by the Federal Housing Administration or guaranteed by the United States Department of Veterans Affairs were classified with a pass rating, compared with $2.2 billion and $1.0 billion at December 31, 2022, respectively. (d) Predominately all credit card loans are considered revolving loans. Includes an immaterial amount of revolving converted to term loans. Loan Modifications In certain circumstances, the Company may modify the terms of a loan to maximize the collection of amounts due when a borrower is experiencing financial difficulties or is expected to experience difficulties in the near-term. The Company recognizes interest on modified loans if full collection of contractual principal and interest is expected. The effects of modifications on credit loss expectations, such as improved payment capacity, longer expected lives and other factors, are considered when measuring the allowance for credit losses. Modification performance, including redefault rates and how these compare to historical losses, are also considered. Modifications generally do not result in significant changes to the Company’s allowance for credit losses. The following table provides a summary of loan balances at June 30, 2023, which were modified during the three months and six months ended June 30, 2023, by portfolio class and modification granted: (Dollars in Millions) Interest Rate Payment Term Multiple Total Percent of Three Months Ended June 30, 2023 Commercial $ 13 $ — $ 136 $ — $ 149 .1 % Commercial real estate — — 101 — 101 .2 Residential mortgages (b) — 79 6 4 89 .1 Credit card 91 — — — 91 .3 Other retail 2 14 39 1 56 .1 Total loans, excluding loans purchased from GNMA mortgage pools 106 93 282 5 486 .1 Loans purchased from GNMA mortgage pools (b) — 453 86 98 637 .6 Total loans $ 106 $ 546 $ 368 $ 103 $ 1,123 .3 % Six Months Ended June 30, 2023 Commercial $ 159 $ — $ 159 $ — $ 318 .2 % Commercial real estate — — 109 — 109 .2 Residential mortgages (b) — 202 15 16 233 .2 Credit card 174 — — — 174 .7 Other retail 4 18 81 3 106 .2 Total loans, excluding loans purchased from GNMA mortgage pools 337 220 364 19 940 .2 Loans purchased from GNMA mortgage pools (b) — 649 147 143 939 .8 Total loans $ 337 $ 869 $ 511 $ 162 $ 1,879 .5 % (a) Includes $100 million of total loans receiving a payment delay and term extension, $2 million of total loans receiving an interest rate reduction and term extension and $1 million of total loans receiving an interest rate reduction, payment delay and term extension for three months ended June 30, 2023. Includes $151 million of total loans receiving a payment delay and term extension, $5 million of total loans receiving an interest rate reduction and term extension and $6 million of total loans receiving an interest rate reduction, payment delay and term extension for six months ended June 30, 2023. (b) Percent of class total amounts expressed as a percent of total residential mortgage loan balances. Loan modifications included in the table above exclude trial period arrangements offered to customers and secured loans to consumer borrowers that have had debt discharged through bankruptcy where the borrower has not reaffirmed the debt during the periods presented. At June 30, 2023, the balance of loans modified in trial period arrangements was $93 million, while the balance of secured loans to consumer borrowers that have had debt discharged through bankruptcy was not material. The following table summarizes the effects of loan modifications made to borrowers on loans modified during the three months and six months ended June 30, 2023: (Dollars in Millions) Weighted-Average Weighted-Average Three Months Ended June 30, 2023 Commercial 21.3 % 8 Commercial real estate — 10 Residential mortgages 1.4 89 Credit card 16.4 — Other retail 8.6 108 Loans purchased from GNMA mortgage pools .7 87 Six Months Ended June 30, 2023 Commercial 3.3 % 7 Commercial real estate — 10 Residential mortgages 1.4 111 Credit card 16.2 — Other retail 7.3 134 Loans purchased from GNMA mortgage pools .7 79 Note: The weighted-average payment deferral for all portfolio classes was less than $1 million for both the three months and six months ended June 30, 2023. Forbearance payments are required to be paid at the end of the original term loan. For the commercial lending segment, modifications generally result in the Company working with borrowers on a case-by-case Modifications for the consumer lending segment are generally part of programs the Company has initiated. The Company modifies residential mortgage loans under Federal Housing Administration, United States Department of Veterans Affairs, or its own internal programs. Under these programs, the Company offers qualifying homeowners the opportunity to permanently modify their loan and achieve more affordable monthly payments. These modifications may include adjustments to interest rates, conversion of adjustable rates to fixed rates, extension of maturity dates or deferrals of payments, capitalization of accrued interest and/or outstanding advances, or in limited situations, partial forgiveness of loan principal. In most instances, participation in residential mortgage loan modification programs requires the customer to complete a short-term trial period. A permanent loan modification is contingent on the customer successfully completing the trial period arrangement, and the loan documents are not modified until that time. Credit card and other retail loan modifications are generally part of distinct modification programs providing customers experiencing financial difficulty with modifications whereby balances may be amortized up to 60 months, and generally include waiver of fees and reduced interest rates. Loans that receive a forbearance plan generally remain in default until they are no longer delinquent as the result of the payment of all past due amounts or the borrower receiving a term extension or modification. Therefore, loans only receiving forbearance plans are not included in the table below. The following table provides a summary of loan balances at June 30, 2023, which were modified during the six months ended June 30, 2023, by portfolio class and delinquency status: (Dollars in Millions) Current 30-89 Days 90 Days or Total Commercial $ 287 $ 7 $ 24 $ 318 Commercial real estate 43 — 66 109 Residential mortgages (a) 668 11 13 692 Credit card 125 34 15 174 Other retail 68 3 4 75 Total loans $ 1,191 $ 55 $ 122 $ 1,368 (a) At June 30, 2023, $95 million of loans 30-89 The following table provides a summary of loans that defaulted (fully or partially charged-off (Dollars in Millions) Interest Rate Payment Term Multiple Three Months Ended June 30, 2023 Commercial $ 1 $ — $ — $ — Residential mortgages — 1 — 1 Credit card 5 — — — Other retail — 2 1 — Total loans, excluding loans purchased from GNMA mortgage pools 6 3 1 1 Loans purchased from GNMA mortgage pools — 6 1 2 Total loans $ 6 $ 9 $ 2 $ 3 Six Months Ended June 30, 2023 Commercial $ 1 $ — $ — $ — Residential mortgages — 1 — 1 Credit card 5 — — — Other retail — 2 1 — Total loans, excluding loans purchased from GNMA mortgage pools 6 3 1 1 Loans purchased from GNMA mortgage pools — 6 1 2 Total loans $ 6 $ 9 $ 2 $ 3 (a) Includes $2 million of total loans receiving a payment delay and term extension and $1 million of total loans receiving an interest rate reduction, payment delay and term extension for three and six months ended June 30, 2023. As of June 30, 2023, the Company had $144 million of commitments to lend additional funds to borrowers whose terms of their outstanding owed balances have been modified. Prior Period Troubled Debt Restructuring Information The following table provides a summary of loans modified as troubled debt restructurings for the periods presented by portfolio class: (Dollars in Millions) Number Pre-Modification Balance Post-Modification Balance Three Months Ended June 30, 2022 Commercial 506 $ 50 $ 41 Commercial real estate 28 11 9 Residential mortgages 366 106 106 Credit card 8,696 48 49 Other retail 756 24 20 Total loans, excluding loans purchased from GNMA mortgage pools 10,352 239 225 Loans purchased from GNMA mortgage pools 353 47 50 Total loans 10,705 $ 286 $ 275 Six Months Ended June 30, 2022 Commercial 1,015 $ 88 $ 73 Commercial real estate 37 22 19 Residential mortgages 1,206 334 332 Credit card 18,035 98 99 Other retail 1,484 61 57 Total loans, excluding loans purchased from GNMA mortgage pools 21,777 603 580 Loans purchased from GNMA mortgage pools 743 102 105 Total loans 22,520 $ 705 $ 685 The following table provides a summary of troubled debt restructured loans that defaulted (fully or partially charged-off (Dollars in Millions) Number Amount Three Months Ended June 30, 2022 Commercial 175 $ 3 Commercial real estate 2 1 Residential mortgages 79 7 Credit card 1,727 9 Other retail 60 1 Total loans, excluding loans purchased from GNMA mortgage pools 2,043 21 Loans purchased from GNMA mortgage pools 120 17 Total loans 2,163 $ 38 Six Months Ended June 30, 2022 Commercial 389 $ 6 Commercial real estate 5 2 Residential mortgages 113 10 Credit card 3,361 18 Other retail 143 2 Total loans, excluding loans purchased from GNMA mortgage pools 4,011 38 Loans purchased from GNMA mortgage pools 169 25 Total loans 4,180 $ 63 |
Accounting for Transfers and Se
Accounting for Transfers and Servicing of Financial Assets and Variable Interest Entities | 6 Months Ended |
Jun. 30, 2023 | |
Accounting Policies [Abstract] | |
Accounting for Transfers and Servicing of Financial Assets and Variable Interest Entities | Note 6 Accounting for Transfers and Servicing of Financial Assets and Variable Interest Entities The Company transfers financial assets in the normal course of business. The majority of the Company’s financial asset transfers are residential mortgage loan sales primarily to government-sponsored enterprises (“GSEs”), transfers of tax-advantaged For loans sold under participation agreements, the Company also considers whether the terms of the loan participation agreement meet the accounting definition of a participating interest. With the exception of servicing and certain performance-based guarantees, the Company’s continuing involvement with financial assets sold is minimal and generally limited to market customary representation and warranty clauses. Any gain or loss on sale depends on the previous carrying amount of the transferred financial assets, the consideration received, and any liabilities incurred in exchange for the transferred assets. Upon transfer, any servicing assets and other interests that continue to be held by the Company are initially recognized at fair value. For further information on MSRs, refer to Note 7. On a limited basis, the Company may acquire and package high-grade corporate bonds for select corporate customers, in which the Company generally has no continuing involvement with these transactions. Additionally, the Company is an authorized GNMA issuer and issues GNMA securities on a regular basis. The Company has no other asset securitizations or similar asset-backed financing arrangements that are off-balance The Company previously provided financial support primarily through the use of waivers of trust and investment management fees associated with various unconsolidated registered money market funds it manages. The Company discontinued providing this support beginning in the third quarter of 2022 due to rising interest rates. The Company provided $7 million and $65 million of support to the funds during the three months and six months ended June 30, 2022, respectively. The Company is involved in various entities that are considered to be variable interest entities (“VIEs”). The Company’s investments in VIEs are primarily related to investments promoting affordable housing, community development and renewable energy sources. Some of these tax-advantaged tax-advantaged The Company is not required to consolidate VIEs in which it has concluded it does not have a controlling financial interest, and thus is not the primary beneficiary. In such cases, the Company does not have both the power to direct the entities’ most significant activities and the obligation to absorb losses or the right to receive benefits that could potentially be significant to the VIEs. The Company’s investments in these unconsolidated VIEs are carried in other assets on the Consolidated Balance Sheet. The Company’s unfunded capital and other commitments related to these unconsolidated VIEs are generally carried in other liabilities on the Consolidated Balance Sheet. The Company’s maximum exposure to loss from these unconsolidated VIEs include the investment recorded on the Company’s Consolidated Balance Sheet, net of unfunded capital commitments, and previously recorded tax credits which remain subject to recapture by taxing authorities based on compliance features required to be met at the project level. While the Company believes potential losses from these investments are remote, the maximum exposure was determined by assuming a scenario where the community-based business and housing projects completely fail and do not meet certain government compliance requirements resulting in recapture of the related tax credits. The following table provides a summary of investments in community development and tax-advantaged (Dollars in Millions) June 30, 2023 December 31, Investment carrying amount $ 6,242 $ 5,452 Unfunded capital and other commitments 3,013 2,416 Maximum exposure to loss 9,830 9,761 The Company also has noncontrolling financial investments in private investment funds and partnerships considered to be VIEs, which are not consolidated. The Company’s recorded investment in these entities, carried in other assets on the Consolidated Balance Sheet, was approximately $198 million at June 30, 2023 and $177 million at December 31, 2022. The maximum exposure to loss related to these VIEs was $318 million at June 30, 2023 and $310 million at December 31, 2022, representing the Company’s investment balance and its unfunded commitments to invest additional amounts. The Company also held senior notes of $6.6 billion as available-for-sale The Company’s individual net investments in unconsolidated VIEs, which exclude any unfunded capital commitments, ranged from less than $1 million to $91 million at June 30, 2023, compared with less than $1 million to $116 million at December 31, 2022. The Company is required to consolidate VIEs in which it has concluded it has a controlling financial interest. The Company sponsors entities to which it transfers its interests in tax-advantaged tax-advantaged In addition, the Company sponsors a municipal bond securities tender option bond program. The Company controls the activities of the program’s entities, is entitled to the residual returns and provides liquidity and remarketing arrangements to the program. As a result, the Company has consolidated the program’s entities. At June 30, 2023, $1.0 billion of available-for-sale available-for-sale |
Mortgage Servicing Rights
Mortgage Servicing Rights | 6 Months Ended |
Jun. 30, 2023 | |
Text Block [Abstract] | |
Mortgage Servicing Rights | Note 7 Mortgage Servicing Rights The Company capitalizes MSRs as separate assets when loans are sold and servicing is retained. MSRs may also be purchased from others. The Company carries MSRs at fair value, with changes in the fair value recorded in earnings during the period in which they occur. The Company serviced $251.6 billion of residential mortgage loans for others at June 30, 2023, and $243.6 billion at December 31, 2022, including subserviced mortgages with no corresponding MSR asset. Included in mortgage banking revenue are the MSR fair value changes arising from market rate and model assumption changes, net of the value change in derivatives used to economically hedge MSRs. These changes resulted in net losses of $31 million and net gains of $13 million for the three months ended June 30, 2023 and 2022, respectively, and net losses of $42 million and $16 million for the six months ended June 30, 2023 and 2022, respectively. Loan servicing and ancillary fees, not including valuation changes, included in mortgage banking revenue were $187 million and $186 million for the three months ended June 30, 2023 and 2022 respectively, and $377 million and $371 million for the six months ended June 30, 2023 and 2022, respectively. Changes in fair value of capitalized MSRs are summarized as follows: Three Months Six Months (Dollars in Millions) 2023 2022 2023 2022 Balance at beginning of period $ 3,724 $ 3,432 $ 3,755 $ 2,953 Rights purchased 1 3 2 6 Rights capitalized 99 102 195 339 Rights sold (a) (149 ) — (148 ) 1 Changes in fair value of MSRs Due to fluctuations in market interest rates (b) 84 289 46 657 Due to revised assumptions or models (c) (21 ) 6 (16 ) (21 ) Other changes fair value (105 ) (125 ) (201 ) (228 ) Balance at end of period $ 3,633 $ 3,707 $ 3,633 $ 3,707 (a) MSRs sold include those having a negative fair value, resulting from the loans being severely delinquent. (b) Includes changes in MSR value associated with changes in market interest rates, including estimated prepayment rates and anticipated earnings on escrow deposits. (c) Includes changes in MSR value not caused by changes in market interest rates, such as changes in assumed cost to service, ancillary income and option adjusted spread, as well as the impact of any model changes. (d) Primarily the change in MSR value from passage of time and cash flows realized (decay), but also includes the impact of changes to expected cash flows not associated with changes in market interest rates, such as the impact of delinquencies. The estimated sensitivity to changes in interest rates of the fair value of the MSR portfolio and the related derivative instruments was as follows: June 30, 2023 December 31, 2022 (Dollars in Millions) Down Down Down Up Up Up Down Down Down Up Up Up MSR portfolio $ (346 ) $ (161 ) $ (77 ) $ 71 $ 136 $ 249 $ (334 ) $ (153 ) $ (73 ) $ 66 $ 125 $ 224 Derivative instrument hedges 361 164 78 (71 ) (135 ) (248 ) 337 153 73 (67 ) (127 ) (236 ) Net sensitivity $ 15 $ 3 $ 1 $ — $ 1 $ 1 $ 3 $ — $ — $ (1 ) $ (2 ) $ (12 ) The fair value of MSRs and their sensitivity to changes in interest rates is influenced by the mix of the servicing portfolio and characteristics of each segment of the portfolio. The Company’s servicing portfolio consists of the distinct portfolios of government-insured mortgages, conventional mortgages and Housing Finance Agency (“HFA”) mortgages. The servicing portfolios are predominantly comprised of fixed-rate agency loans with limited adjustable-rate or jumbo mortgage loans. The HFA servicing portfolio is comprised of loans originated under state and local housing authority program guidelines which assist purchases by first-time or low- The following table provides a summary of the Company’s MSRs and related characteristics by portfolio: June 30, 2023 December 31, 2022 (Dollars in Millions) HFA Government Conventional (d) Total HFA Government Conventional (d) Total Servicing portfolio (a) $ 45,368 $ 24,312 $ 173,746 $ 243,426 $ 44,071 $ 23,141 $ 172,541 $ 239,753 Fair value $ 729 $ 476 $ 2,428 $ 3,633 $ 725 $ 454 $ 2,576 $ 3,755 Value (bps) (b) 161 196 140 149 165 196 149 157 Weighted-average servicing fees (bps) 36 43 26 29 36 42 27 30 Multiple (value/servicing fees) 4.46 4.53 5.47 5.10 4.56 4.69 5.52 5.20 Weighted-average note rate 4.32 % 4.01 % 3.65 % 3.81 % 4.16 % 3.81 % 3.52 % 3.67 % Weighted-average age (in years) 4.2 5.5 4.0 4.2 4.0 5.7 3.7 3.9 Weighted-average expected prepayment (constant prepayment rate) 7.8 % 9.4 % 8.3 % 8.3 % 7.4 % 8.5 % 7.8 % 7.8 % Weighted-average expected life (in years) 8.6 7.3 7.3 7.5 8.8 7.6 7.5 7.7 Weighted-average option adjusted spread (c) 7.6 % 6.9 % 4.9 % 5.7 % 7.6 % 6.9 % 5.1 % 5.8 % (a) Represents principal balance of mortgages having corresponding MSR asset. (b) Calculated as fair value divided by the servicing portfolio. (c) Option adjusted spread is the incremental spread added to the risk-free rate to reflect optionality and other risk inherent in the MSRs. (d) Represents loans sold primarily to GSEs. |
Preferred Stock
Preferred Stock | 6 Months Ended |
Jun. 30, 2023 | |
Equity [Abstract] | |
Preferred Stock | Note 8 Preferred Stock At June 30, 2023 and December 31, 2022, the Company had authority to issue 50 million shares of preferred stock. The number of shares issued and outstanding and the carrying amount of each outstanding series of the Company’s preferred stock were as follows: June 30, 2023 December 31, 2022 (Dollars in Millions) Shares Liquidation Discount Carrying Shares Liquidation Discount Carrying Series A 12,510 $ 1,251 $ 145 $ 1,106 12,510 $ 1,251 $ 145 $ 1,106 Series B 40,000 1,000 — 1,000 40,000 1,000 — 1,000 Series J 40,000 1,000 7 993 40,000 1,000 7 993 Series K 23,000 575 10 565 23,000 575 10 565 Series L 20,000 500 14 486 20,000 500 14 486 Series M 30,000 750 21 729 30,000 750 21 729 Series N 60,000 1,500 8 1,492 60,000 1,500 8 1,492 Series O 18,000 450 13 437 18,000 450 13 437 Total preferred stock (a) 243,510 $ 7,026 $ 218 $ 6,808 243,510 $ 7,026 $ 218 $ 6,808 (a) The par value of all shares issued and outstanding at June 30, 2023 and December 31, 2022, was $1.00 per share. |
Accumulated Other Comprehensive
Accumulated Other Comprehensive Income (Loss) | 6 Months Ended |
Jun. 30, 2023 | |
Equity [Abstract] | |
Accumulated Other Comprehensive Income (Loss) | Note 9 Accumulated Other Comprehensive Income (Loss) Shareholders’ equity is affected by transactions and valuations of asset and liability positions that require adjustments to accumulated other comprehensive income (loss). The reconciliation of the transactions affecting accumulated other comprehensive income (loss) included in shareholders’ equity is as follows: Three Months Ended June 30 Unrealized Gains Available-For- Sale Unrealized Available- For-Sale to Held-To-Maturity Unrealized Gains Unrealized Gains Foreign Total 2023 Balance at beginning of period $ (5,369 ) $ (3,843 ) $ 43 $ (940 ) $ (44 ) $ (10,153 ) Changes in unrealized gains (losses) (460 ) — (465 ) — — (925 ) Foreign currency translation adjustment (a) — — — — 19 19 Reclassification to earnings of realized (gains) losses (3 ) 141 11 (2 ) — 147 Applicable income taxes 116 (35 ) 117 1 (5 ) 194 Balance at end of period $ (5,716 ) $ (3,737 ) $ (294 ) $ (941 ) $ (30 ) $ (10,718 ) 2022 Balance at beginning of period $ (4,518 ) $ (904 ) $ (77 ) $ (1,402 ) $ (37 ) $ (6,938 ) Changes in unrealized gains (losses) (4,761 ) — 98 — — (4,663 ) Transfer of securities from available-for-sale held-to-maturity 1,381 (1,381 ) — — — — Foreign currency translation adjustment (a) — — — — (3 ) (3 ) Reclassification to earnings of realized (gains) losses (19 ) 61 10 32 — 84 Applicable income taxes 859 334 (27 ) (8 ) 1 1,159 Balance at end of period $ (7,058) $ (1,890 ) $ 4 $ (1,378 ) $ (39 ) $ (10,361 ) (a) Represents the impact of changes in foreign currency exchange rates on the Company’s investment in foreign operations and related hedges. Six Months Ended June 30 Unrealized Gains Available-For- Sale Unrealized From Available- For-Sale to Held-To-Maturity Unrealized Gains Unrealized Gains Foreign Total 2023 Balance at beginning of period $ (6,378 ) $ (3,933 ) $ (114 ) $ (939 ) $ (43 ) $ (11,407 ) Changes in unrealized gains (losses) 845 — (261 ) 1 — 585 Foreign currency translation adjustment (a) — — — — 18 18 Reclassification to earnings of realized (gains) losses 29 262 18 (4 ) — 305 Applicable income taxes (212 ) (66 ) 63 1 (5 ) (219 ) Balance at end of period $ (5,716 ) $ (3,737 ) $ (294 ) $ (941 ) $ (30 ) $ (10,718 ) 2022 Balance at beginning of period $ 540 $ (935 ) $ (85 ) $ (1,426 ) $ (37 ) $ (1,943 ) Changes in unrealized gains (losses) (11,515 ) — 98 — — (11,417 ) Transfer of securities from available-for-sale held-to-maturity 1,381 (1,381 ) — — — — Foreign currency translation adjustment (a) — — — — (3 ) (3 ) Reclassification to earnings of realized (gains) losses (37 ) 103 21 64 — 151 Applicable income taxes 2,573 323 (30 ) (16 ) 1 2,851 Balance at end of period $ (7,058) $ (1,890 ) $ 4 $ (1,378 ) $ (39 ) $ (10,361 ) (a) Represents the impact of changes in for e Additional detail about the impact to net income for items reclassified out of accumulated other comprehensive income (loss) and into earnings is as follows: Impact to Net Income Three Months Six Months Affected Line Item in the (Dollars in Millions) 2023 2022 2023 2022 Unrealized gains (losses) on investment securities available-for-sale Realized gains (losses) on sale of investment securities $ 3 $ 19 $ (29 ) $ 37 Securities gains (losses), net (1) (5) 7 (9) Applicable income taxes 2 14 (22) 28 Net-of-tax Unrealized gains (losses) on investment securities transferred from available-for-sale held-to-maturity Amortization of unrealized gains (losses) (141 ) (61 ) (262 ) (103 ) Interest income 35 16 66 26 Applicable income taxes (106) (45) (196) (77) Net-of-tax Unrealized gains (losses) on derivative hedges Realized gains (losses) on derivative hedges (11 ) (10 ) (18 ) (21 ) Interest expense 3 2 4 5 Applicable income taxes (8) (8) (14) (16) Net-of-tax Unrealized gains (losses) on retirement plans Actuarial gains (losses) and prior service cost (credit) amortization 2 (32 ) 4 (64 ) Other noninterest expense (1) 8 (1) 16 Applicable income taxes 1 (24) 3 (48) Net-of-tax Total impact to net income $ (111 ) $ (63 ) $ (229 ) $ (113 ) |
Earnings Per Share
Earnings Per Share | 6 Months Ended |
Jun. 30, 2023 | |
Earnings Per Share [Abstract] | |
Earnings Per Share | Note 10 Earnings Per Share The components of earnings per share were: Three Months Six Months Ended (Dollars and Shares in Millions, Except Per Share Data) 2023 2022 2023 2022 Net income attributable to U.S. Bancorp $ 1,361 $ 1,531 $ 3,059 $ 3,088 Preferred dividends (73 ) (59 ) (171 ) (143 ) Earnings allocated to participating stock awards (7 ) (8 ) (15 ) (15 ) Net income applicable to U.S. Bancorp common shareholders $ 1,281 $ 1,464 $ 2,873 $ 2,930 Average common shares outstanding 1,533 1,486 1,532 1,485 Net effect of the exercise and assumed purchase of stock awards — 1 1 1 Average diluted common shares outstanding 1,533 1,487 1,533 1,486 Earnings per common share $ .84 $ .99 $ 1.87 $ 1.97 Diluted earnings per common share $ .84 $ .99 $ 1.87 $ 1.97 Options outstanding at June 30, 2023 to purchase 3 million common shares for the three months and six months ended June 30, 2023, respectively, and outstanding at June 30, 2022 to purchase 1 million common shares for the three and six months ended June 30, 2022 were not included in the computation of diluted earnings per share because they were antidilutive. |
Employee Benefits
Employee Benefits | 6 Months Ended |
Jun. 30, 2023 | |
Retirement Benefits [Abstract] | |
Employee Benefits | Note 11 Employee Benefits The components of net periodic benefit cost for the Company’s retirement plans were: Three Months Ended June 30 Six Months Ended June 30 Pension Plans Postretirement Pension Plans Postretirement (Dollars in Millions) 2023 2022 2023 2022 2023 2022 2023 2022 Service cost $ 56 $ 68 $ — $ — $ 112 $ 137 $ — $ — Interest cost 93 62 1 — 185 123 1 — Expected return on plan assets (137 ) (120 ) (1 ) — (273 ) (239 ) (1 ) — Prior service cost (credit) amortization — — (1 ) (2 ) (1 ) (1 ) (1 ) (2 ) Actuarial loss (gain) amortization 1 35 (2 ) (1 ) 2 70 (4 ) (3 ) Net periodic benefit cost (a) $ 13 $ 45 $ (3 ) $ (3 ) $ 25 $ 90 $ (5 ) $ (5 ) (a) Service cost is included in employee benefits expense on the Consolidated Statement of Income. All other components are included in other noninterest expense on the Consolidated Statement of Income. |
Income Taxes
Income Taxes | 6 Months Ended |
Jun. 30, 2023 | |
Income Tax Disclosure [Abstract] | |
Income Taxes | Note 12 Income Taxes The components of income tax expense were: Three Months Ended Six Months Ended (Dollars in Millions) 2023 2022 2023 2022 Federal Current $ 263 $ 221 $ 660 $ 625 Deferred 33 107 1 5 Federal income tax 296 328 661 630 State Current 119 89 215 178 Deferred (33 ) (3 ) (39 ) 3 State income tax 86 86 176 181 Total income tax provision $ 382 $ 414 $ 837 $ 811 A reconciliation of expected income tax expense at the federal statutory rate of 21 percent to the Company’s applicable income tax expense follows: Three Months Ended Six Months Ended (Dollars in Millions) 2023 2022 2023 2022 Tax at statutory rate $ 368 $ 409 $ 821 $ 820 State income tax, at statutory rates, net of federal tax benefit 83 84 185 168 Tax effect of Tax credits and benefits, net of related expenses (63 ) (46 ) (140 ) (152 ) Tax-exempt (41 ) (29 ) (75 ) (57 ) Other items 35 (4 ) 46 32 Applicable income taxes $ 382 $ 414 $ 837 $ 811 The Company’s income tax returns are subject to review and examination by federal, state, local and foreign government authorities. On an ongoing basis, numerous federal, state, local and foreign examinations are in progress and cover multiple tax years. As of June 30, 2023, federal tax examinations for all years ending through December 31, 2014 are completed and resolved. The Company’s tax returns for the years ended December 31, 2015 through December 31, 2020 are under examination by the Internal Revenue Service. The years open to examination by foreign, state and local government authorities vary by jurisdiction. The Company’s net deferred tax asset was $6.1 billion at June 30, 2023 and $6.3 billion at December 31, 2022. |
Derivative Instruments
Derivative Instruments | 6 Months Ended |
Jun. 30, 2023 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Derivative Instruments | Note 13 Derivative Instruments In the ordinary course of business, the Company enters into derivative transactions to manage various risks and to accommodate the business requirements of its customers. The Company recognizes all derivatives on the Consolidated Balance Sheet at fair value in other assets or in other liabilities. On the date the Company enters into a derivative contract, the derivative is designated as either a fair value hedge, cash flow hedge, net investment hedge, or a designation is not made as it is a customer-related transaction, an economic hedge for asset/liability risk management purposes or another stand-alone derivative created through the Company’s operations (“free-standing derivative”). When a derivative is designated as a fair value, cash flow or net investment hedge, the Company performs an assessment, at inception and, at a minimum, quarterly thereafter, to determine the effectiveness of the derivative in offsetting changes in the value or cash flows of the hedged item(s). Fair Value Hedges These derivatives are interest rate swaps the Company uses to hedge the change in fair value related to interest rate changes of its underlying available-for-sale Cash Flow Hedges These derivatives are interest rate swaps the Company uses to hedge the forecasted cash flows from its underlying variable-rate loans and debt. Changes in the fair value of derivatives designated as cash flow hedges are recorded in other comprehensive income (loss) until the cash flows of the hedged items are realized. If a derivative designated as a cash flow hedge is terminated or ceases to be highly effective, the gain or loss in other comprehensive income (loss) is amortized to earnings over the period the forecasted hedged transactions impact earnings. If a hedged forecasted transaction is no longer probable, hedge accounting is ceased and any gain or loss included in other comprehensive income (loss) is reported in earnings immediately, unless the forecasted transaction is at least reasonably possible of occurring, whereby the amounts remain within other comprehensive income (loss). At June 30, 2023, the Company had $294 million (net-of-tax) (net-of-tax) (net-of-tax). Net Investment Hedges The Company uses forward commitments to sell specified amounts of certain foreign currencies, and non-derivative non-derivative Other Derivative Positions The Company enters into free-standing derivatives to mitigate interest rate risk and for other risk management purposes. These derivatives include forward commitments to sell to-be-announced non-derivative The following table summarizes the asset and liability management derivative positions of the Company: June 30, 2023 December 31, 2022 Notional Value Fair Value Notional Value Fair Value (Dollars in Millions) Assets Liabilities Assets Liabilities Fair value hedges Interest rate contracts Receive fixed/pay floating swaps $ 19,650 $ — $ 3 $ 17,400 $ — $ 9 Pay fixed/receive floating swaps 16,514 — — 5,542 — — Cash flow hedges Interest rate contracts Receive fixed/pay floating swaps 26,700 — — 14,300 — — Net investment hedges Foreign exchange forward contracts 824 — 4 778 — — Other economic hedges Interest rate contracts Futures and forwards Buy 4,943 4 8 3,546 10 18 Sell 5,966 25 5 7,522 20 38 Options Purchased 8,815 249 — 11,434 346 — Written 6,451 19 129 7,849 7 148 Receive fixed/pay floating swaps 5,105 — — 9,215 — 3 Pay fixed/receive floating swaps 5,117 — — 9,616 — — Foreign exchange forward contracts 687 1 2 962 2 6 Equity contracts 207 2 1 361 — 10 Credit contracts 625 1 — 330 — — Other (a) 2,273 11 146 1,908 11 190 Total $ 103,877 $ 312 $ 298 $ 90,763 $ 396 $ 422 (a) Includes derivative liability swap agreements related to the sale of a portion of the Company’s Class B common and preferred shares of Visa Inc. The Visa swap agreements had a total notional value and fair value of $2.0 billion and $146 million at June 30, 2023, respectively, compared to $1.8 billion and $190 million at December 31, 2022, respectively. In addition, includes short-term underwriting purchase and sale commitments with total notional values of $192 million at June 30, 2023, and $13 million at December 31, 2022. The following table summarizes the customer-related derivative positions of the Company: June 30, 2023 December 31, 2022 Notional Fair Value Notional Fair Value (Dollars in Millions) Assets Liabilities Assets Liabilities Interest rate contracts Receive fixed/pay floating swaps $ 626,975 $ 287 $ 6,063 $ 301,690 $ 309 $ 5,689 Pay fixed/receive floating swaps 618,184 2,358 217 316,133 2,323 206 Other (a) 83,116 21 55 40,261 3 16 Options Purchased 116,596 1,837 1 103,489 1,794 5 Written 113,163 1 1,831 99,923 6 1,779 Futures Buy — — — 3,623 — 4 Sell — — — 2,376 8 — Foreign exchange rate contracts Forwards, spots and swaps 128,711 2,508 2,107 134,666 3,010 2,548 Options Purchased 1,027 27 — 954 22 — Written 1,027 — 27 954 — 22 Commodity contracts Swaps 378 8 7 — — — Options Purchased 894 36 35 — — — Credit contracts 13,581 1 8 10,765 1 8 Total $ 1,703,652 $ 7,084 $ 10,351 $ 1,014,834 $ 7,476 $ 10,277 (a) Primarily represents floating rate interest rate swaps that pay based on differentials between specified interest rate indexes. The table below shows the effective portion of the gains (losses) recognized in other comprehensive income (loss) and the gains (losses) reclassified from other comprehensive income (loss) into earnings (net-of-tax): Three Months Ended June 30 Six Months Ended June 30 Gains (Losses) Gains (Losses) Gains (Losses) Gains (Losses) (Dollars in Millions) 2023 2022 2023 2022 2023 2022 2023 2022 Asset and Liability Management Positions Cash flow hedges Interest rate contracts $ (345 ) $ 73 $ (8 ) $ (8 ) $ (194 ) $ 73 $ (14 ) $ (16 ) Net investment hedges Foreign exchange forward contracts (6 ) 27 — — (9 ) 26 — — Non-derivative 1 63 — — (17 ) 83 — — Note: The Company does not exclude components from effectiveness testing for cash flow and net investment hedges. The table below shows the effect of fair value and cash flow hedge accounting on the Consolidated Statement of Income: Three Months Ended June 30 Six Months Ended June 30 Interest Income Interest Expense Interest Income Interest Expense (Dollars in Millions) 2023 2022 2023 2022 2023 2022 2023 2022 Total amount of income and expense line items presented in the Consolidated Statement of Income in which the effects of fair value or cash flow hedges are recorded $ 7,526 $ 3,825 $ 3,111 $ 390 $ 14,490 $ 7,243 $ 5,441 $ 635 Asset and Liability Management Positions Fair value hedges Interest rate contract derivatives 334 (186 ) 243 (38 ) 156 331 129 34 Hedged items (332 ) 187 (241 ) 36 (158 ) (331 ) (127 ) (35 ) Cash flow hedges Interest rate contract derivatives — — 11 10 — — 18 21 Note: The Company does not exclude components from effectiveness testing for fair value and cash flow cash flow The table below shows cumulative hedging adjustments and the carrying amount of assets and liabilities designated in fair value hedges: Carrying Amount of the Hedged Assets Cumulative Hedging Adjustment (a) (Dollars in Millions) June 30, 2023 December 31, 2022 June 30, 2023 December 31, 2022 Line Item in the Consolidated Balance Sheet Available-for-sale $ 10,541 $ 4,937 $ (695 ) $ (552 ) Long-term debt 16,431 17,190 (335 ) (142 ) (a) The cumulative hedging adjustment related to discontinued hedging relationships on available-for-sale (b) Includes amounts related to available-for-sale 119 50 The table below shows the gains (losses) recognized in earnings for other economic hedges and the customer-related positions: Location of Gains (Losses) Recognized in Earnings Three Months Six Months (Dollars in Millions) 2023 2022 2023 2022 Asset and Liability Management Positions Other economic hedges Interest rate contracts Futures and forwards Mortgage banking revenue $ 31 $ 74 $ 38 $ 297 Purchased and written options Mortgage banking revenue 17 6 15 (41 ) Swaps Mortgage banking revenue/Other noninterest income (38 ) (247 ) 20 (451 ) Foreign exchange forward contracts Other noninterest income (8 ) 4 (13 ) 1 Equity contracts Compensation expense — (1 ) (3 ) (3 ) Other Other noninterest income 1 1 (1 ) — Customer-Related Positions Interest rate contracts Swaps Commercial products revenue 58 3 95 47 Purchased and written options Commercial products revenue (1 ) — — 4 Futures Commercial products revenue — 8 (1 ) 24 Foreign exchange rate contracts Forwards, spots and swaps Commercial products revenue 44 20 99 35 Purchased and written options Commercial products revenue — 1 — 1 Commodity contracts Swaps Commercial products revenue 2 — 2 — Credit contracts Commercial products revenue (1 ) 17 (1 ) 22 Derivatives are subject to credit risk associated with counterparties to the derivative contracts. The Company measures that credit risk using a credit valuation adjustment and includes it within the fair value of the derivative. The Company manages counterparty credit risk through diversification of its derivative positions among various counterparties, by entering into derivative positions that are centrally cleared through clearinghouses, by entering into master netting arrangements and, where possible, by requiring collateral arrangements. A master netting arrangement allows two counterparties, who have multiple derivative contracts with each other, the ability to net settle amounts under all contracts, including any related collateral, through a single payment and in a single currency. Collateral arrangements generally require the counterparty to deliver collateral (typically cash or U.S. Treasury and agency securities) equal to the Company’s net derivative receivable, subject to minimum transfer and credit rating requirements. The Company’s collateral arrangements are predominately bilateral and, therefore, contain provisions that require collateralization of the Company’s net liability derivative positions. Required collateral coverage is based on net liability thresholds and may be contingent upon the Company’s credit rating from two of the nationally recognized statistical rating organizations. If the Company’s credit rating were to fall below credit ratings thresholds established in the collateral arrangements, the counterparties to the derivatives could request immediate additional collateral coverage up to and including full collateral coverage for derivatives in a net liability position. The aggregate fair value of all derivatives under collateral arrangements that were in a net liability position at June 30, 2023, was $2.9 billion. At June 30, 2023, the Company had $2.4 billion of cash posted as collateral against this net liability position. |
Netting Arrangements for Certai
Netting Arrangements for Certain Financial Instruments and Securities Financing Activities | 6 Months Ended |
Jun. 30, 2023 | |
Text Block [Abstract] | |
Netting Arrangements for Certain Financial Instruments and Securities Financing Activities | Note 14 Netting Arrangements for Certain Financial Instruments and Securities Financing Activities The Company’s derivative portfolio consists of bilateral over-the-counter over-the-counter counterparties. Receivables and payables related to cash collateral are included in other assets and other liabilities on the Consolidated Balance Sheet, along with the related derivative asset and liability fair values. Any securities pledged to counterparties as collateral remain on the Consolidated Balance Sheet. Securities received from counterparties as collateral are not recognized on the Consolidated Balance Sheet, unless the counterparty defaults. In general, securities used as collateral can be sold, repledged or otherwise used by the party in possession. No restrictions exist on the use of cash collateral by either party. Refer to Note 13 for further discussion of the Company’s derivatives, including collateral arrangements. As part of the Company’s treasury and broker-dealer operations, the Company executes transactions that are treated as securities sold under agreements to repurchase or securities purchased under agreements to resell, both of which are accounted for as collateralized financings. Securities sold under agreements to repurchase include repurchase agreements and securities loaned transactions. Securities purchased under agreements to resell include reverse repurchase agreements and securities borrowed transactions. For securities sold under agreements to repurchase, the Company records a liability for the cash received, which is included in short-term borrowings on the Consolidated Balance Sheet. For securities purchased under agreements to resell, the Company records a receivable for the cash paid, which is included in other assets on the Consolidated Balance Sheet. Securities transferred to counterparties under repurchase agreements and securities loaned transactions continue to be recognized on the Consolidated Balance Sheet, are measured at fair value, and are included in investment securities or other assets. Securities received from counterparties under reverse repurchase agreements and securities borrowed transactions are not recognized on the Consolidated Balance Sheet unless the counterparty defaults. The securities transferred under repurchase and reverse repurchase transactions typically are U.S. Treasury and agency securities, residential agency mortgage-backed securities or corporate debt securities. The securities loaned or borrowed typically are corporate debt securities traded by the Company’s broker-dealer subsidiary. In general, the securities transferred can be sold, repledged or otherwise used by the party in possession. No restrictions exist on the use of cash collateral by either party. Repurchase/reverse repurchase and securities loaned/borrowed transactions expose the Company to counterparty risk. The Company manages this risk by performing assessments, independent of business line managers, and establishing concentration limits on each counterparty. Additionally, these transactions include collateral arrangements that require the fair values of the underlying securities to be determined daily, resulting in cash being obtained or refunded to counterparties to maintain specified collateral levels. The following table summarizes the maturities by category of collateral pledged for repurchase agreements and securities loaned transactions: (Dollars in Millions) Overnight and Less Than 30-89 Greater Than Total June 30, 2023 Repurchase agreements U.S. Treasury and agencies $ 1,560 $— $— $— $ 1,560 Residential agency mortgage-backed securities 327 — — — 327 Corporate debt securities 672 — — — 672 Total repurchase agreements 2,559 — — — 2,559 Securities loaned Corporate debt securities 182 — — — 182 Total securities loaned 182 — — — 182 Gross amount of recognized liabilities $ 2,741 $— $— $— $ 2,741 December 31, 2022 Repurchase agreements U.S. Treasury and agencies $ 147 $— $— $— $ 147 Residential agency mortgage-backed securities 846 — — — 846 Corporate debt securities 439 — — — 439 Total repurchase agreements 1,432 — — — 1,432 Securities loaned Corporate debt securities 120 — — — 120 Total securities loaned 120 — — — 120 Gross amount of recognized liabilities $ 1,552 $— $— $— $ 1,552 The Company executes its derivative, repurchase/reverse repurchase and securities loaned/borrowed transactions under the respective industry standard agreements. These agreements include master netting arrangements that allow for multiple contracts executed with the same counterparty to be viewed as a single arrangement. This allows for net settlement of a single amount on a daily basis. In the event of default, the master netting arrangement provides for close-out The Company has elected to offset the assets and liabilities under netting arrangements for the balance sheet presentation of the majority of its derivative counterparties. The netting occurs at the counterparty level, and includes all assets and liabilities related to the derivative contracts, including those associated with cash collateral received or delivered. The Company has not elected to offset the assets and liabilities under netting arrangements for the balance sheet presentation of repurchase/reverse repurchase and securities loaned/borrowed transactions. The following tables provide information on the Company’s netting adjustments, and items not offset on the Consolidated Balance Sheet but available for offset in the event of default: (Dollars in Millions) Gross Recognized Gross Amounts Net Amounts Gross Amounts Not Offset on the Net Amount Financial Collateral June 30, 2023 Derivative assets (d) $ 7,365 $ (3,295 ) $ 4,070 $ (204 ) $ — $ 3,866 Reverse repurchase agreements 1,557 — 1,557 (303 ) (1,236 ) 18 Securities borrowed 1,726 — 1,726 — (1,670 ) 56 Total $ 10,648 $ (3,295 ) $ 7,353 $ (507 ) $ (2,906 ) $ 3,940 December 31, 2022 Derivative assets (d) $ 7,852 $ (5,427 ) $ 2,425 $ (231 ) $ (80 ) $ 2,114 Reverse repurchase agreements 107 — 107 (102 ) (5 ) — Securities borrowed 1,606 — 1,606 — (1,548 ) 58 Total $ 9,565 $ (5,427 ) $ 4,138 $ (333 ) $ (1,633 ) $ 2,172 (a) Includes $2.7 billion and $3.0 billion of cash collateral related payables that were netted against derivative assets at June 30, 2023 and December 31, 2022, respectively. (b) For derivative assets this includes any derivative liability fair values that could be offset in the event of counterparty default; for reverse repurchase agreements this includes any repurchase agreement payables that could be offset in the event of counterparty default; for securities borrowed this includes any securities loaned payables that could be offset in the event of counterparty default. (c) Includes the fair value of securities received by the Company from the counterparty. These securities are not included on the Consolidated Balance Sheet unless the counterparty defaults. (d) Excludes $31 million and $20 million at June 30, 2023 and December 31, 2022, respectively, of derivative assets not subject to netting arrangements. (Dollars in Millions) Gross Recognized Gross Amounts Net Amounts Gross Amounts Not Offset on the Net Amount Financial Collateral June 30, 2023 Derivative liabilities (d) $ 10,501 $ (3,037 ) $ 7,464 $ (204 ) $ — $ 7,260 Repurchase agreements 2,559 — 2,559 (303 ) (2,256 ) — Securities loaned 182 — 182 — (178 ) 4 Total $ 13,242 $ (3,037 ) $ 10,205 $ (507 ) $ (2,434 ) $ 7,264 December 31, 2022 Derivative liabilities (d) $ 10,506 $ (4,551 ) $ 5,955 $ (231 ) $ — $ 5,724 Repurchase agreements 1,432 — 1,432 (102 ) (1,325 ) 5 Securities loaned 120 — 120 — (118 ) 2 Total $ 12,058 $ (4,551 ) $ 7,507 $ (333 ) $ (1,443 ) $ 5,731 (a) Includes $2.4 billion and $2.1 billion of cash collateral related receivables that were netted against derivative liabilities at June 30, 2023 and December 31, 2022, respectively. (b) For derivative liabilities this includes any derivative asset fair values that could be offset in the event of counterparty default; for repurchase agreements this includes any reverse repurchase agreement receivables that could be offset in the event of counterparty default; for securities loaned this includes any securities borrowed receivables that could be offset in the event of counterparty default. (c) Includes the fair value of securities pledged by the Company to the counterparty. These securities are included on the Consolidated Balance Sheet unless the Company defaults. (d) Excludes $148 million and $193 million at June 30, 2023 and December 31, 2022, respectively, of derivative liabilities not subject to netting arrangements. |
Fair Values of Assets and Liabi
Fair Values of Assets and Liabilities | 6 Months Ended |
Jun. 30, 2023 | |
Fair Value Disclosures [Abstract] | |
Fair Values of Assets and Liabilities | Note 15 Fair Values of Assets and Liabilities The Company uses fair value measurements for the initial recording of certain assets and liabilities, periodic remeasurement of certain assets and liabilities, and disclosures. Derivatives, trading and available-for-sale lower-of-cost-or-fair held-to-maturity Fair value is defined as the exchange price that would be received for an asset or paid to transfer a liability (an exit price) in the principal or most advantageous market for the asset or liability in an orderly transaction between market participants on the measurement date. A fair value measurement reflects all of the assumptions that market participants would use in pricing the asset or liability, including assumptions about the risk inherent in a particular valuation technique, the effect of a restriction on the sale or use of an asset and the risk of nonperformance. The Company groups its assets and liabilities measured at fair value into a three-level hierarchy for valuation techniques used to measure financial assets and financial liabilities at fair value. This hierarchy is based on whether the valuation inputs are observable or unobservable. These levels are: • Level 1 — Quoted prices in active markets for identical assets or liabilities. Level 1 includes U.S. Treasury securities, as well as exchange-traded instruments. • Level 2 — Observable inputs other than Level 1 prices, such as quoted prices for similar assets or liabilities; quoted prices in markets that are not active; or other inputs that are observable or can be corroborated by observable market data for substantially the full term of the assets or liabilities. Level 2 includes debt securities that are traded less frequently than exchange-traded instruments and which are typically valued using third party pricing services; derivative contracts and other assets and liabilities, including securities, whose value is determined using a pricing model with inputs that are observable in the market or can be derived principally from or corroborated by observable market data; and MLHFS whose values are determined using quoted prices for similar assets or pricing models with inputs that are observable in the market or can be corroborated by observable market data. • Level 3 — Unobservable inputs that are supported by little or no market activity and that are significant to the fair value of the assets or liabilities. Level 3 assets and liabilities include financial instruments whose values are determined using pricing models, discounted cash flow methodologies, or similar techniques, as well as instruments for which the determination of fair value requires significant management judgment or estimation. This category includes MSRs and certain derivative contracts. Valuation Methodologies The valuation methodologies used by the Company to measure financial assets and liabilities at fair value are described below. In addition, the following section includes an indication of the level of the fair value hierarchy in which the assets or liabilities are classified. Where appropriate, the descriptions include information about the valuation models and key inputs to those models. During the six months ended June 30, 2023 and 2022, there were no significant changes to the valuation techniques used by the Company to measure fair value. Available-For-Sale When quoted market prices for identical securities are available in an active market, these prices are used to determine fair value and these securities are classified within Level 1 of the fair value hierarchy. Level 1 investment securities include U.S. Treasury and exchange-traded securities. For other securities, quoted market prices may not be readily available for the specific securities. When possible, the Company determines fair value based on market observable information, including quoted market prices for similar securities, inactive transaction prices, and broker quotes. These securities are classified within Level 2 of the fair value hierarchy. Level 2 valuations are generally provided by a third-party pricing service. Level 2 investment securities are predominantly agency mortgage-backed securities, certain other asset-backed securities, obligations of state and political subdivisions and agency debt securities. Mortgage Loans Held For Sale MLHFS measured at fair value, for which an active secondary market and readily available market prices exist, are initially valued at the transaction price and are subsequently valued by comparison to instruments with similar collateral and risk profiles. MLHFS are classified within Level 2. Included in mortgage banking revenue were net losses of $30 million and $64 million for the three months ended June 30, 2023 and 2022, respectively, and net losses of $33 million and $298 million for the six months ended June 30, 2023 and 2022, respectively, from the changes to fair value of these MLHFS under fair value option accounting guidance. Changes in fair value due to instrument specific credit risk were immaterial. Interest income for MLHFS is measured based on contractual interest rates and reported as interest income on the Consolidated Statement of Income. Electing to measure MLHFS at fair value reduces certain timing differences and better matches changes in fair value of these assets with changes in the value of the derivative instruments used to economically hedge them without the burden of complying with the requirements for hedge accounting. Mortgage Servicing Rights MSRs are valued using a discounted cash flow methodology, and are classified within Level 3. The Company determines fair value of the MSRs by projecting future cash flows for different interest rate scenarios using prepayment rates and other assumptions, and discounts these cash flows using a risk adjusted rate based on option adjusted spread levels. There is minimal observable market activity for MSRs on comparable portfolios and, therefore, the determination of fair value requires significant management judgment. Refer to Note 7 for further information on MSR valuation assumptions. Derivatives The majority of derivatives held by the Company are executed over-the-counter The Company also has other derivative contracts that are created through its operations, including commitments to purchase and originate mortgage loans and swap agreements executed in conjunction with the sale of a portion of its Class B common and preferred shares of Visa Inc. (the “Visa swaps”). The mortgage loan commitments are valued by pricing models that include market observable and unobservable inputs, which result in the commitments being classified within Level 3 of the fair value hierarchy. The unobservable inputs include assumptions about the percentage of commitments that actually become a closed loan and the MSR value that is inherent in the underlying loan value. The Visa swaps require payments by either the Company or the purchaser of the Visa Inc. Class B common and preferred shares when there are changes in the conversion rate of the Visa Inc. Class B common and preferred shares to Visa Inc. Class A common and preferred shares, respectively, as well as quarterly payments to the purchaser based on specified terms of the agreements. Management reviews and updates the Visa swaps fair value in conjunction with its review of Visa Inc. related litigation contingencies, and the associated escrow funding. The expected litigation resolution impacts the Visa Inc. Class B common share to Visa Inc. Class A common share conversion rate, as well as the ultimate termination date for the Visa swaps. Accordingly, the Visa swaps are classified within Level 3. Refer to Note 16 for further information on the Visa Inc. restructuring and related card association litigation. Significant Unobservable Inputs of Level 3 Assets The following section provides information to facilitate an understanding of the uncertainty in the fair value measurements for the Company’s Level 3 assets and liabilities recorded at fair value on the Consolidated Balance Sheet. This section includes a description of the significant inputs used by the Company and a description of any interrelationships between these inputs. The discussion below excludes nonrecurring fair value measurements of collateral value used for impairment measures for loans and OREO. These valuations utilize third party appraisal or broker price opinions, and are classified as Level 3 due to the significant judgment involved. Mortgage Servicing Rights The significant unobservable inputs used in the fair value measurement of the Company’s MSRs are expected prepayments and the option adjusted spread that is added to the risk-free rate to discount projected cash flows. Significant increases in either of these inputs in isolation would have resulted in a significantly lower fair value measurement. Significant decreases in either of these inputs in isolation would have resulted in a significantly higher fair value measurement. There is no direct interrelationship between prepayments and option adjusted spread. Prepayment rates generally move in the opposite direction of market interest rates. Option adjusted spread is generally impacted by changes in market return requirements. The following table shows the significant valuation assumption ranges for MSRs at June 30, 2023: Minimum Maximum Weighted- Expected prepayment 6 % 19 % 8 % Option adjusted spread 5 11 6 (a) Determined based on the relative fair value of the related mortgage loans serviced. Derivatives The Company has two distinct Level 3 derivative portfolios: (i) the Company’s commitments to purchase and originate mortgage loans that meet the requirements of a derivative and (ii) the Company’s asset/liability and customer-related derivatives that are Level 3 due to unobservable inputs related to measurement of risk of nonperformance by the counterparty. In addition, the Company’s Visa swaps are classified within Level 3. The significant unobservable inputs used in the fair value measurement of the Company’s derivative commitments to purchase and originate mortgage loans are the percentage of commitments that actually become a closed loan and the MSR value that is inherent in the underlying loan value. A significant increase in the rate of loans that close would have resulted in a larger derivative asset or liability. A significant increase in the inherent MSR value would have resulted in an increase in the derivative asset or a reduction in the derivative liability. Expected loan close rates and the inherent MSR values are directly impacted by changes in market rates and will generally move in the same direction as interest rates. The following table shows the significant valuation assumption ranges for the Company’s derivative commitments to purchase and originate mortgage loans at June 30, 2023: Minimum Maximum Weighted- Expected loan close rate 34 % 100 % 79 % Inherent MSR value (basis points per loan) 63 188 105 (a) Determined based on the relative fair value of the related mortgage loans. The significant unobservable input used in the fair value measurement of certain of the Company’s asset/liability and customer-related derivatives is the credit valuation adjustment related to the risk of counterparty nonperformance. A significant increase in the credit valuation adjustment would have resulted in a lower fair value measurement. A significant decrease in the credit valuation adjustment would have resulted in a higher fair value measurement. The credit valuation adjustment is impacted by changes in market rates, volatility, market implied credit spreads, and loss recovery rates, as well as the Company’s assessment of the counterparty’s credit position. At June 30, 2023, the minimum, maximum and weighted-average credit valuation adjustment as a percentage of the net fair value of the counterparty’s derivative contracts prior to adjustment was 0 percent, 6,423 percent and 5 percent, respectively. The significant unobservable inputs used in the fair value measurement of the Visa swaps are management’s estimate of the probability of certain litigation scenarios occurring, and the timing of the resolution of the related litigation loss estimates in excess, or shortfall, of the Company’s proportional share of escrow funds. An increase in the loss estimate or a delay in the resolution of the related litigation would have resulted in an increase in the derivative liability. A decrease in the loss estimate or an acceleration of the resolution of the related litigation would have resulted in a decrease in the derivative liability. The following table summarizes the balances of assets and liabilities measured at fair value on a recurring basis: (Dollars in Millions) Level 1 Level 2 Level 3 Netting Total June 30, 2023 Available-for-sale U.S. Treasury and agencies $ 14,112 $ 4,856 $ — $ — $ 18,968 Mortgage-backed securities Residential agency — 25,661 — — 25,661 Commercial Agency — 7,187 — — 7,187 Non-agency — 6 — — 6 Asset-backed securities — 7,451 — — 7,451 Obligations of state and political subdivisions — 9,944 — — 9,944 Other — 4 — — 4 Total available-for-sale 14,112 55,109 — — 69,221 Mortgage loans held for sale — 2,280 — — 2,280 Mortgage servicing rights — — 3,633 — 3,633 Derivative assets 2 6,051 1,343 (3,295 ) 4,101 Other assets 470 1,776 — — 2,246 Total $ 14,584 $ 65,216 $ 4,976 $ (3,295 ) $ 81,481 Derivative liabilities $ — $ 5,887 $ 4,762 $ (3,037 ) $ 7,612 Short-term borrowings and other liabilities (a) 202 1,743 — — 1,945 Total $ 202 $ 7,630 $ 4,762 $ (3,037 ) $ 9,557 December 31, 2022 Available-for-sale U.S. Treasury and agencies $ 13,723 $ 8,310 $ — $ — $ 22,033 Mortgage-backed securities Residential agency — 29,271 — — 29,271 Commercial Agency — 7,145 — — 7,145 Non-agency — 7 — — 7 Asset-backed securities — 4,323 — — 4,323 Obligations of state and political subdivisions — 10,124 1 — 10,125 Other — 6 — — 6 Total available-for-sale 13,723 59,186 1 — 72,910 Mortgage loans held for sale — 1,849 — — 1,849 Mortgage servicing rights — — 3,755 — 3,755 Derivative assets 9 6,608 1,255 (5,427 ) 2,445 Other assets 248 1,756 — — 2,004 Total $ 13,980 $ 69,399 $ 5,011 $ (5,427 ) $ 82,963 Derivative liabilities $ 4 $ 6,241 $ 4,454 $ (4,551 ) $ 6,148 Short-term borrowings and other liabilities (a) 125 1,564 — — 1,689 Total $ 129 $ 7,805 $ 4,454 $ (4,551 ) $ 7,837 Note: Excluded from the table above are equity investments without readily determinable fair values. The Company has elected to carry these investments at historical cost, adjusted for impairment and any changes resulting from observable price changes for identical or similar investments of the issuer. The aggregate carrying amount of these equity investments was $110 million and $104 million at June 30, 2023 and December 31, 2022, respectively. The Company recorded a $5 million impairment on these equity investments during the first six months ended 2023, and the cumulative impairment on these equity investments is $5 million. The Company has not recorded adjustments for observable price changes on these equity investments during the first six months of 2023, or on a cumulative basis. (a) Primarily represents the Company’s obligation on securities sold short required to be accounted for at fair value per applicable accounting guidance. The following table presents the changes in fair value for all assets (Dollars in Millions) Beginning Net Gains Purchases Sales Principal Issuances Settlements End Net Change 2023 Available-for-sale Obligations of state and political subdivisions $ 1 $ — $ — $ — $ (1 ) $ — $ — $ — $ — Total available-for-sale 1 — — — (1 ) — — — — Mortgage servicing rights 3,724 (42 ) (a) 1 (149) — 99 (c) — 3,633 (42 ) (a) Net derivative assets and liabilities (2,265 ) (1,927 ) (b) (18) (7) — — 798 (3,419 ) (1,631 ) (d) 2022 Available-for-sale Asset-backed securities $ 7 $ (3 ) $ — $ (4 ) $ — $ — $ — $ — $ — Obligations of state and political subdivisions 1 — — — — — — 1 — Total available-for-sale 8 (3 ) — (4 ) — — — 1 — Mortgage servicing rights 3,432 170 (a) 3 — — 102 (c) — 3,707 170 (a) Net derivative assets and liabilities (1,011 ) (1,494 ) (e) 81 — — — 249 (2,175 ) (1,259 ) (f) (a) Included in mortgage banking revenue. (b) Approximately $46 million, $(2.0) billion and $1 million included in mortgage banking revenue, commercial products revenue and other noninterest income, respectively. (c) Represents MSRs capitalized during the period. (d) Approximately $18 million, $(1.7) billion and $1 million included in mortgage banking revenue, commercial products revenue and other noninterest income, respectively. (e) Approximately $(20) million, $(1.5) billion and $1 million included in mortgage banking revenue, commercial products revenue and other noninterest income, respectively. (f) Approximately $(3) million, $(1.3) billion and $1 million included in mortgage banking revenue, commercial products revenue and other noninterest income, respectively. The following table presents the changes in fair value for all assets and liabilities measured at fair value on a recurring basis using significant unobservable inputs (Level 3) for the six months ended June 30: (Dollars in Millions) Beginning Net Gains Purchases Sales Principal Issuances Settlements End Net Change 2023 Available-for-sale Obligations of state and political subdivisions $ 1 $ — $ — $ — $ (1 ) $ — $ — $ — $ — Total available-for-sale 1 — — — (1 ) — — — — Mortgage servicing rights 3,755 (171 ) (a) 2 (148) — 195 (c) — 3,633 (171 ) (a) Net derivative assets and liabilities (3,199 ) (2,243 ) (b) 405 (19) — — 1,637 (3,419 ) (1,242 ) (d) 2022 Available-for-sale Asset-backed securities $ 7 $ (3 ) $ — $ (4 ) $ — $ — $ — $ — $ — Obligations of state and political subdivisions 1 — — — — — — 1 — Total available-for-sale 8 (3 ) — (4 ) — — — 1 — Mortgage servicing rights 2,953 408 (a) 6 1 — 339 (c) — 3,707 408 (a) Net derivative assets and liabilities 799 (3,361 ) (e) 92 (1 ) — — 296 (2,175 ) (2,739 ) (f) (a) Included in mortgage banking revenue. (b) Approximately $98 million, $(2.3) billion and $(1) million included in mortgage banking revenue, commercial products revenue and other noninterest income, respectively. (c) Represents MSRs capitalized during the period. (d) Approximately $18 million, $(1.3) billion and $(1) million included in mortgage banking revenue, commercial products revenue and other noninterest income, respectively. (e) Approximately $(103) million and $(3.3) billion included in mortgage banking revenue and commercial products revenue, respectively. (f) Approximately $(3) million and $(2.7) billion included in mortgage banking revenue and commercial products revenue, respectively. The Company is also required periodically to measure certain other financial assets at fair value on a nonrecurring basis. These measurements of fair value usually result from the application of lower-of-cost-or-fair value accounting or write-downs of individual assets. The following table summarizes the balances as of the measurement date of assets measured at fair value on a nonrecurring basis, and still held as of the reporting date: June 30, 2023 December 31, 2022 (Dollars in Millions) Level 1 Level 2 Level 3 Total Level 1 Level 2 Level 3 Total Loans (a) $ — $ — $ 156 $ 156 $ — $ — $ 97 $ 97 Other assets (b) — — 19 19 — — 21 21 (a) Represents the carrying value of loans for which adjustments were based on the fair value of the collateral, excluding loans fully charged-off. (b) Primarily represents the fair value of foreclosed properties that were measured at fair value based on an appraisal or broker price opinion of the collateral subsequent to their initial acquisition. The following table summarizes losses recognized related to nonrecurring fair value measurements of individual assets or portfolios: Three Months Ended Six Months Ended (Dollars in Millions) 2023 2022 2023 2022 Loans (a) $ 68 $ 22 $ 210 $ 33 Other assets (b) — 10 1 11 (a) Represents write-downs of loans which were based on the fair value of the collateral, excluding loans fully charged-off. (b) Primarily represents related losses of foreclosed properties that were measured at fair value subsequent to their initial acquisition. Fair Value Option The following table summarizes the differences between the aggregate fair value carrying amount of MLHFS for which the fair value option has been elected and the aggregate unpaid principal amount that the Company is contractually obligated to receive at maturity: June 30, 2023 December 31, 2022 (Dollars in Millions) Fair Aggregate Carrying Fair Aggregate Carrying Total loans $ 2,280 $ 2,277 $ 3 $ 1,849 $ 1,848 $ 1 Nonaccrual loans 1 1 — 1 1 — Loans 90 days or more past due 3 3 — 1 1 — Fair Value of Financial Instruments The following section summarizes the estimated fair value for financial instruments accounted for at amortized cost as of June 30, 2023 and December 31, 2022. In accordance with disclosure guidance related to fair values of financial instruments, the Company did not include assets and liabilities that are not financial instruments, such as the value of goodwill, long-term relationships with deposit, credit card, merchant processing and trust customers, other purchased intangibles, premises and equipment, deferred taxes and other liabilities. Additionally, in accordance with the disclosure guidance, receivables and payables due in one year or less, insurance contracts, equity investments not accounted for at fair value, and deposits with no defined or contractual maturities are excluded. The estimated fair values of the Company’s financial instruments are shown in the table below: June 30, 2023 December 31, 2022 Carrying Amount Fair Value Carrying Amount Fair Value (Dollars in Millions) Level 1 Level 2 Level 3 Total Level 1 Level 2 Level 3 Total Financial Assets Cash and due from banks $ 70,642 $ 70,642 $ — $ — $ 70,642 $ 53,542 $ 53,542 $ — $ — $ 53,542 Federal funds sold and securities purchased under resale agreements 1,606 — 1,606 — 1,606 356 — 356 — 356 Investment securities held-to-maturity 86,938 1,287 74,998 — 76,285 88,740 1,293 76,581 — 77,874 Loans held for sale (a) 81 — — 81 81 351 — — 351 351 Loans 372,264 — — 364,104 364,104 381,277 — — 368,874 368,874 Other (b) 3,158 — 2,459 699 3,158 2,962 — 2,224 738 2,962 Financial Liabilities Time deposits 51,969 — 51,664 — 51,664 32,946 — 32,338 — 32,338 Short-term borrowings (c) 30,389 — 30,077 — 30,077 29,527 — 29,145 — 29,145 Long-term debt 45,283 — 43,007 — 43,007 39,829 — 37,622 — 37,622 Other (d) 5,238 — 1,416 3,822 5,238 5,137 — 1,500 3,637 5,137 (a) Excludes mortgages held for sale for which the fair value option under applicable accounting guidance was elected. (b) Includes investments in Federal Reserve Bank and Federal Home Loan Bank stock and tax-advantaged (c) Excludes the Company’s obligation on securities sold short required to be accounted for at fair value per applicable accounting guidance. (d) Includes operating lease liabilities and liabilities related to tax-advantaged The fair value of unfunded commitments, deferred non-yield non-yield |
Guarantees and Contingent Liabi
Guarantees and Contingent Liabilities | 6 Months Ended |
Jun. 30, 2023 | |
Commitments and Contingencies Disclosure [Abstract] | |
Guarantees and Contingent Liabilities | Note 16 Guarantees and Visa Restructuring and Card Association Litigation The Company’s Payment Services business issues credit and debit cards and acquires credit and debit card transactions through the Visa U.S.A. Inc. card association or its affiliates (collectively “Visa”). In 2007, Visa completed a restructuring and issued shares of Visa Inc. common stock to its financial institution members in contemplation of its initial public offering (“IPO”) completed in the first quarter of 2008 (the “Visa Reorganization”). As a part of the Visa Reorganization, the Company received its proportionate number of shares of Visa Inc. common stock, which were subsequently converted to Class B shares of Visa Inc. (“Class B shares”). Visa U.S.A. Inc. (“Visa U.S.A.”) and MasterCard International (collectively, the “Card Brands”) are defendants in antitrust lawsuits challenging the practices of the Card Brands (the “Visa Litigation”). Visa U.S.A. member banks have a contingent obligation to indemnify Visa Inc. under the Visa U.S.A. bylaws (which were modified at the time of the restructuring in October 2007) for potential losses arising from the Visa Litigation. The indemnification by the Visa U.S.A. member banks has no specific maximum amount. Using proceeds from its IPO and through reductions to the conversion ratio applicable to the Class B shares held by Visa U.S.A. member banks, Visa Inc. has funded an escrow account for the benefit of member financial institutions to fund their indemnification obligations associated with the Visa Litigation. The receivable related to the escrow account is classified in other liabilities as a direct offset to the related Visa Litigation contingent liability. In October 2012, Visa signed a settlement agreement to resolve class action claims associated with the multidistrict interchange litigation pending in the United States District Court for the Eastern District of New York (the “Multi-District Litigation”). The U.S. Court of Appeals for the Second Circuit reversed the approval of that settlement and remanded the matter to the district court. Thereafter, the case was split into two putative class actions, one seeking damages (the “Damages Action”) and a separate class action seeking injunctive relief only (the “Injunctive Action”). In September 2018, Visa signed a new settlement agreement, superseding the original settlement agreement, to resolve the Damages Action. The Damages Action settlement was approved by the United States District Court for the Eastern District of New York, but is now on appeal. The Injunctive Action, which generally seeks changes to Visa rules, is still pending. Other Guarantees and Contingent Liabilities The following table is a summary of other guarantees and contingent liabilities of the Company at June 30, 2023: (Dollars in Millions) Collateral Carrying Maximum Standby letters of credit $ — $ 23 $ 10,705 Third party borrowing arrangements — — 11 Securities lending indemnifications 9,026 — 8,859 Asset sales — 96 8,396 Merchant processing 1,231 90 151,227 Tender option bond program guarantee 1,025 — 1,009 Other — 21 1,907 (a) The maximum potential future payments do not include loan sales where the Company provides standard representation and warranties to the buyer against losses related to loan underwriting documentation defects that may have existed at the time of sale that generally are identified after the occurrence of a triggering event such as delinquency. For these types of loan sales, the maximum potential future payments is generally the unpaid principal balance of loans sold measured at the end of the current reporting period. Actual losses will be significantly less than the maximum exposure, as only a fraction of loans sold will have a representation and warranty breach, and any losses on repurchase would generally be mitigated by any collateral held against the loans. Merchant Processing The Company currently processes card transactions in the United States, Canada and Europe through wholly-owned subsidiaries. In the event a merchant was unable to fulfill product or services subject to future delivery, such as airline tickets, the Company could become financially liable for refunding the purchase price of such products or services purchased through the credit card associations under the charge-back provisions. Charge-back risk related to these merchants is evaluated in a manner similar to credit risk assessments and, as such, merchant processing contracts contain various provisions to protect the Company in the event of default. At June 30, 2023, the value of airline tickets purchased to be delivered at a future date through card transactions processed by the Company was $ 12.5 1.1 billion Asset Sales The Company regularly sells loans to GSEs as part of its mortgage banking activities. The Company provides customary representations and warranties to GSEs in conjunction with these sales. These representations and warranties generally require the Company to repurchase assets if it is subsequently determined that a loan did not meet specified criteria, such as a documentation deficiency or rescission of mortgage insurance. If the Company is unable to cure or refute a repurchase request, the Company is generally obligated to repurchase the loan or otherwise reimburse the GSE for losses. At June 30, 2023, the Company had reserved $14 million for potential losses from representation and warranty obligations, compared with $17 million at December 31, 2022. The Company’s reserve reflects management’s best estimate of losses for representation and warranty obligations. The Company’s repurchase reserve is modeled at the loan level, taking into consideration the individual credit quality and borrower activity that has transpired since origination. The model applies credit quality and economic risk factors to derive a probability of default and potential repurchase that are based on the Company’s historical loss experience, and estimates loss severity based on expected collateral value. The Company also considers qualitative factors that may result in anticipated losses differing from historical loss trends. As of June 30, 2023 and December 31, 2022, the Company had $28 million and $39 million, respectively, of unresolved representation and warranty claims from GSEs. The Company does not have a significant amount of unresolved claims from investors other than GSEs. Litigation and Regulatory Matters The Company is subject to various litigation and regulatory matters that arise in the ordinary course of its business. The Company establishes reserves for such matters when potential losses become probable and can be reasonably estimated. The Company believes the ultimate resolution of existing legal and regulatory matters will not have a material adverse effect on the financial condition, results of operations or cash flows of the Company. However, in light of the uncertainties inherent in these matters, it is possible that the ultimate resolution of one or more of these matters may have a material adverse effect on the Company’s results from operations for a particular period, and future changes in circumstances or additional information could result in additional accruals or resolution in excess of established accruals, which could adversely affect the Company’s results from operations, potentially materially. Residential Mortgage-Backed Securities Litigation Starting in 2011, the Company and other large financial institutions have been sued in their capacity as trustee for residential mortgage–backed securities trusts for losses arising out of the 2008 financial crisis. In the lawsuits brought against the Company, the investors and a monoline insurer allege that the Company’s banking subsidiary, U.S. Bank National Association (“USBNA”), as trustee caused them to incur substantial losses by failing to enforce loan repurchase obligations and failing to abide by appropriate standards of care after events of default allegedly occurred. The plaintiffs in these matters seek monetary damages in unspecified amounts and most also seek equitable relief. Regulatory Matters The Company is continually subject to examinations, inquiries and investigations in areas of heightened regulatory scrutiny, such as compliance, risk management, third-party risk management and consumer protection. For example, as part of an industry-wide inquiry, the Company’s broker-dealer and registered investment advisor subsidiaries received from the Securities and Exchange Commission a request for information concerning compliance with record retention requirements relating to electronic business communications. Also, the Consumer Financial Protection Bureau (“CFPB”) and another federal regulator have been investigating the Company’s administration of unemployment insurance benefit prepaid debit cards during the pandemic timeframe and are considering potential enforcement actions. The Company is cooperating fully with all pending examinations, inquiries and investigations, any of which could lead to administrative or legal proceedings or settlements. Remedies in these proceedings or settlements may include fines, penalties, restitution or alterations in the Company’s business practices (which may increase the Company’s operating expenses and decrease its revenue). MUFG Union Bank Consent Order The Company acquired MUB on December 1, 2022. Prior to the acquisition, on September 20, 2021, MUB entered into a consent order with the Office of the Comptroller of the Currency (the “OCC”) relating to deficiencies in MUB’s technology and operational risk management (the “MUB Consent Order”). Under the MUB Consent Order, the OCC found MUB to be in noncompliance with the Interagency Guidelines Establishing Information Security Standards and to have engaged in unsafe and unsound practices regarding technology and operational risk management. In connection with the May 2023 merger of MUB with and into USBNA (the “Bank Merger”), USBNA succeeded to the terms and obligations of the MUB Consent Order and is required to comply with the other conditions described therein. The Company’s losses, costs, expenses and damages relating to or resulting from the MUB Consent Order are indemnifiable by the seller, subject to the terms of the Share Purchase Agreement for the MUB acquisition. Outlook Due to their complex nature, it can be years before litigation and regulatory matters are resolved. The Company may be unable to develop an estimate or range of loss where matters are in early stages, there are significant factual or legal issues to be resolved, damages are unspecified or uncertain, or there is uncertainty as to a litigation class being certified or the outcome of pending motions, appeals or proceedings. For those litigation and regulatory matters where the Company has information to develop an estimate or range of loss, the Company believes the upper end of the range of reasonably possible losses in aggregate, in excess of any reserves established for matters where a loss is considered probable, will not be material to its financial condition, results of operations or cash flows. The Company’s estimates are subject to significant judgment and uncertainties, and the matters underlying the estimates will change from time to time. Actual results may vary significantly from the current estimates. |
Business Segments
Business Segments | 6 Months Ended |
Jun. 30, 2023 | |
Text Block [Abstract] | |
Business Segments | Note 17 Business Segments Within the Company, financial performance is measured by major lines of business based on the products and services provided to customers through its distribution channels. These operating segments are components of the Company about which financial information is prepared and is evaluated regularly by management in deciding how to allocate resources and assess performance. The Company has five reportable operating segments: Corporate and Commercial Banking Corporate and Commercial Banking offers lending, equipment finance and small-ticket leasing, depository services, treasury management, capital markets services, international trade services and other financial services to middle market, large corporate, commercial real estate, financial institution, non-profit Consumer and Business Banking Consumer and Business Banking comprises consumer banking, small business banking and consumer lending. Products and services are delivered through banking offices, telephone servicing and sales, on-line Wealth Management and Investment Services Wealth Management and Investment Services provides private banking, financial advisory services, investment management, retail brokerage services, insurance, trust, custody and fund servicing through four businesses: Wealth Management, Global Corporate Trust & Custody, U.S. Bancorp Asset Management and Fund Services. Payment Services Payment Services includes consumer and business credit cards, stored-value cards, debit cards, corporate, government and purchasing card services and merchant processing. Treasury and Corporate Support Treasury and Corporate Support includes the Company’s investment portfolios, funding, capital management, interest rate risk management, income taxes not allocated to business segments, including most investments in tax-advantaged Basis of Presentation Business segment results are derived from the Company’s business unit profitability reporting systems by specifically attributing managed balance sheet assets, deposits and other liabilities and their related income or expense. The allowance for credit losses and related provision expense are allocated to the business segments according to the volume and credit quality of the loan balances managed, but with the impact of changes in economic forecasts recorded in Treasury and Corporate Support. Goodwill and other intangible assets are assigned to the business segments based on the mix of business of an entity acquired by the Company. Within the Company, capital levels are evaluated and managed centrally; however, capital is allocated to the business segments to support evaluation of business performance. Business segments are allocated capital on a risk-adjusted basis considering economic and regulatory capital requirements. Generally, the determination of the amount of capital allocated to each business segment includes credit allocations following a Basel III regulatory framework. Interest income and expense is determined based on the assets and liabilities managed by the business segment. Because funding and asset/liability management is a central function, funds transfer-pricing methodologies are utilized to allocate a cost of funds used or credit for funds provided to all business segment assets and liabilities, respectively, using a matched funding concept. Also, each business unit is allocated the taxable-equivalent benefit of tax-exempt charge-off. Designations, assignments and allocations change from time to time as management systems are enhanced, methods of evaluating performance or product lines change or business segments are realigned to better respond to the Company’s diverse customer base. During 2023, certain organization and methodology changes were made and, accordingly, 2022 results were restated and presented on a comparable basis. Business segment results for the three months ended June 30 were as follows: Corporate and Commercial Consumer and Business Banking Wealth Management and (Dollars in Millions) 2023 2022 2023 2022 2023 2022 Condensed Income Statement Net interest income (taxable-equivalent basis) $ 1,019 $ 799 $ 2,196 $ 1,580 $ 482 $ 370 Noninterest income 347 272 426 390 728 652 Total net revenue 1,366 1,071 2,622 1,970 1,210 1,022 Noninterest expense 636 471 1,801 1,401 670 539 Income (loss) before provision and income taxes 730 600 821 569 540 483 Provision for credit losses 150 98 24 (74 ) 3 (4 ) Income (loss) before income taxes 580 502 797 643 537 487 Income taxes and taxable-equivalent adjustment 145 126 199 160 134 122 Net income (loss) 435 376 598 483 403 365 Net (income) loss attributable to noncontrolling interests – – – – – – Net income (loss) attributable to U.S. Bancorp $ 435 $ 376 $ 598 $ 483 $ 403 $ 365 Average Balance Sheet Loans $ 151,123 $ 123,245 $ 169,704 $ 140,747 $ 24,568 $ 22,285 Other earning assets 6,250 4,161 2,512 2,576 421 233 Goodwill 2,859 1,912 4,531 3,244 1,792 1,718 Other intangible assets 537 4 5,393 3,635 426 300 Assets 173,101 137,809 187,507 155,700 29,008 25,728 Noninterest-bearing deposits 51,242 59,226 35,489 30,492 21,199 25,194 Interest-bearing deposits 107,724 93,830 187,793 164,269 80,061 75,824 Total deposits 158,966 153,056 223,282 194,761 101,260 101,018 Total U.S. Bancorp shareholders’ equity 18,244 13,992 16,516 12,326 3,976 3,615 Payment Services Treasury and Corporate Support Consolidated Company (Dollars in Millions) 2023 2022 2023 2022 2023 2022 Condensed Income Statement Net interest income (taxable-equivalent basis) $ 645 $ 619 $ 107 $ 96 $ 4,449 $ 3,464 Noninterest income 1,051 (a) 993 (a) 174 241 2,726 (b) 2,548 (b) Total net revenue 1,696 1,612 281 337 7,175 (c) 6,012 (c) Noninterest expense 915 865 547 448 4,569 3,724 Income (loss) before provision and income taxes 781 747 (266 ) (111 ) 2,606 2,288 Provision for credit losses 314 221 330 70 821 311 Income (loss) before income taxes 467 526 (596 ) (181 ) 1,785 1,977 Income taxes and taxable-equivalent adjustment 117 132 (179 ) (97 ) 416 443 Net income (loss) 350 394 (417 ) (84 ) 1,369 1,534 Net (income) loss attributable to noncontrolling interests – – (8 ) (3 ) (8 ) (3 ) Net income (loss) attributable to U.S. Bancorp $ 350 $ 394 $ (425 ) $ (87 ) $ 1,361 $ 1,531 Average Balance Sheet Loans $ 37,913 $ 33,854 $ 5,509 $ 4,056 $ 388,817 $ 324,187 Other earning assets 74 1,023 215,765 204,581 225,022 212,574 Goodwill 3,330 3,318 – – 12,512 10,192 Other intangible assets 359 437 9 – 6,724 4,376 Assets 44,127 41,014 239,269 219,660 673,012 579,911 Noninterest-bearing deposits 3,179 3,396 2,649 2,519 113,758 120,827 Interest-bearing deposits 104 167 7,825 1,599 383,507 335,689 Total deposits 3,283 3,563 10,474 4,118 497,265 456,516 Total U.S. Bancorp shareholders’ equity 9,127 8,113 5,959 11,120 53,822 49,166 (a) Presented net of related rewards and rebate costs and certain partner payments of $760 million and $772 million for the three months ended June 30, 2023 and 2022, respectively. (b) Includes revenue generated from certain contracts with customers of $2.2 billion and $2.0 billion for the three months ended June 30, 2023 and 2022, respectively. (c) The Company, as a lessor, originates retail and commercial leases either directly to the consumer or indirectly through dealer networks. Under these arrangements, the Company recorded $186 million and $188 million of revenue for the three months ended June 30, 2023 and 2022, respectively, primarily consisting of interest income on sales-type and direct financing leases. Business segment results for the six months ended June 30 were as follows: Corporate and Commercial Consumer and Business Banking Wealth Management and Investment Services (Dollars in Millions) 2023 2022 2023 2022 2023 2022 Condensed Income Statement Net interest income (taxable-equivalent basis) $ 2,099 $ 1,546 $ 4,480 $ 3,063 $ 999 $ 662 Noninterest income 666 519 823 844 1,429 1,247 Total net revenue 2,765 2,065 5,303 3,907 2,428 1,909 Noninterest expense 1,249 915 3,568 2,807 1,335 1,092 Income (loss) before provision and income taxes 1,516 1,150 1,735 1,100 1,093 817 Provision for credit losses 126 104 31 (26 ) – 4 Income (loss) before income taxes 1,390 1,046 1,704 1,126 1,093 813 Income taxes and taxable-equivalent adjustment 348 262 426 280 273 204 Net income (loss) 1,042 784 1,278 846 820 609 Net (income) loss attributable to noncontrolling interests – – – – – – Net income (loss) attributable to U.S. Bancorp $ 1,042 $ 784 $ 1,278 $ 846 $ 820 $ 609 Average Balance Sheet Loans $ 150,455 $ 119,598 $ 169,898 $ 140,586 $ 24,441 $ 21,483 Other earning assets 5,949 4,417 2,346 3,475 401 237 Goodwill 2,842 1,912 4,511 3,253 1,790 1,739 Other intangible assets 564 4 5,493 3,406 434 283 Assets 171,389 132,899 187,715 156,320 28,808 25,062 Noninterest-bearing deposits 54,808 61,195 39,331 30,721 21,619 26,378 Interest-bearing deposits 106,326 90,509 184,632 163,123 83,656 75,007 Total deposits 161,134 151,704 223,963 193,844 105,275 101,385 Total U.S. Bancorp shareholders’ equity 17,776 13,862 16,608 12,270 4,040 3,604 Payment Services Treasury and Corporate Support Consolidated Company (Dollars in Millions) 2023 2022 2023 2022 2023 2022 Condensed Income Statement Net interest income (taxable-equivalent basis) $ 1,299 $ 1,241 $ 240 $ 152 $ 9,117 $ 6,664 Noninterest income 1,988 (a) 1,850 (a) 327 484 5,233 (b) 4,944 (b) Total net revenue 3,287 3,091 567 636 14,350 (c) 11,608 (c) Noninterest expense 1,828 1,711 1,144 701 9,124 7,226 Income (loss) before provision and income taxes 1,459 1,380 (577 ) (65 ) 5,226 4,382 Provision for credit losses 534 351 557 (10 ) 1,248 423 Income (loss) before income taxes 925 1,029 (1,134 ) (55 ) 3,978 3,959 Income taxes and taxable-equivalent adjustment 232 258 (374 ) (137 ) 905 867 Net income (loss) 693 771 (760 ) 82 3,073 3,092 Net (income) loss attributable to noncontrolling interests – – (14 ) (4 ) (14 ) (4 ) Net income (loss) attributable to U.S. Bancorp $ 693 $ 771 $ (774 ) $ 78 $ 3,059 $ 3,088 Average Balance Sheet Loans $ 37,426 $ 32,802 $ 5,569 $ 4,139 $ 387,789 $ 318,608 Other earning assets 187 1,023 214,072 205,558 222,955 214,710 Goodwill 3,325 3,321 – – 12,468 10,225 Other intangible assets 372 450 22 – 6,885 4,143 Assets 43,493 39,762 237,846 224,620 669,251 578,663 Noninterest-bearing deposits 3,181 3,534 2,766 2,547 121,705 124,375 Interest-bearing deposits 106 164 7,333 2,174 382,053 330,977 Total deposits 3,287 3,698 10,099 4,721 503,758 455,352 Total U.S. Bancorp shareholders’ equity 9,048 8,065 5,776 13,503 53,248 51,304 (a) Presented net of related rewards and rebate costs and certain partner payments of $1.5 billion and $1.4 billion for the six months ended June 30, 2023 and 2022, respectively. (b) Includes revenue generated from certain contracts with customers of $4.3 billion and $3.9 billion for the six months ended June 30, 2023 and 2022, respectively. (c) The Company, as a lessor, originates retail and commercial leases either directly to the consumer or indirectly through dealer networks. Under these arrangements, the Company recorded $369 million and $392 million of revenue for the six months ended June 30, 2023 and 2022, respectively, primarily consisting of interest income on sales-type and direct financing leases. |
Subsequent Events
Subsequent Events | 6 Months Ended |
Jun. 30, 2023 | |
Subsequent Events [Abstract] | |
Subsequent Events | Note 18 Subsequent Events The Company has evaluated the impact of events that have occurred subsequent to June 30, 2023 through the date the consolidated financial statements were filed with the United States Securities and Exchange Commission. Based on this evaluation, the Company has determined none of these events, except as disclosed in Note 3, were required to be recognized or disclosed in the consolidated financial statements and related notes. |
Significant Accounting Policies
Significant Accounting Policies (Policies) | 6 Months Ended |
Jun. 30, 2023 | |
Accounting Policies [Abstract] | |
Basis of Presentation | Basis of PresentationThe accompanying consolidated financial statements have been prepared in accordance with the instructions to Form 10-Q Form 10-K |
Loans and Allowance for Credit Losses | Loans and Allowance for Credit Losses Originated loans are reported at the principal amount outstanding, net of unearned interest and deferred fees and costs, and any partial charge-offs recorded. Purchased loans are recorded at fair value at the date of purchase. Net unearned interest and deferred fees and costs on originated loans and unamortized premiums and discounts on purchased loans amounted to $2.9 billion at June 30, 2023 and $3.1 billion at December 31, 2022. The Company evaluates purchased loans for more-than-insignificant deterioration at the date of purchase in accordance with applicable authoritative accounting guidance. Purchased loans that have experienced more-than-insignificant deterioration from origination are considered purchased credit deteriorated loans. All other purchased loans are considered non-purchased Allowance for Credit Losses The allowance for credit losses is established for current expected credit losses on the Company’s loan and lease portfolio, including unfunded credit commitments. The allowance considers expected losses for the remaining lives of the applicable assets, inclusive of expected recoveries. The allowance for credit losses is increased through provisions charged to earnings and reduced by net charge-offs. Management evaluates the appropriateness of the allowance for credit losses on a quarterly basis. Multiple economic scenarios are considered over a three-year reasonable and supportable forecast period, which includes increasing consideration of historical loss experience over years two and three. These economic scenarios are constructed with interrelated projections of multiple economic variables, and loss estimates are produced that consider the historical correlation of those economic variables with credit losses. After the forecast period, the Company fully reverts to long-term historical loss experience, adjusted for prepayments and characteristics of the current loan and lease portfolio, to estimate losses over the remaining life of the portfolio. The economic scenarios are updated at least quarterly and are designed to provide a range of reasonable estimates, from better to worse than current expectations. Scenarios are weighted based on the Company’s expectation of economic conditions for the foreseeable future and reflect significant judgment and consideration of economic forecast uncertainty. Final loss estimates also consider factors affecting credit losses not reflected in the scenarios, due to the unique aspects of current conditions and expectations. These factors may include, but are not limited to, loan servicing practices, regulatory guidance, and/or fiscal and monetary policy actions. The allowance recorded for credit losses utilizes forward-looking expected loss models to consider a variety of factors affecting lifetime credit losses. These factors include, but are not limited to, macroeconomic variables such as unemployment rates, real estate prices, gross domestic product levels, inflation, interest rates and corporate bonds spreads, as well as loan and borrower characteristics, such as internal risk ratings on commercial loans and consumer credit scores, delinquency status, collateral type and available valuation information, consideration of end-of-term charged-off The Company’s methodology for determining the appropriate allowance for credit losses also considers the imprecision inherent in the methodologies used and allocated to the various loan portfolios. As a result, amounts determined under the methodologies described above, are adjusted by management to consider the potential impact of other qualitative factors not captured in the quantitative model adjustments which include, but are not limited to the following: model imprecision, imprecision in economic scenario assumptions, and emerging risks related to either changes in the environment that are affecting specific portfolios, or changes in portfolio concentrations over time that may affect model performance. The consideration of these items results in adjustments to allowance amounts included in the Company’s allowance for credit losses for each loan portfolio. The Company also assesses the credit risk associated with off-balance off-balance The results of the analysis are evaluated quarterly to confirm the estimates are appropriate for each specific loan portfolio, as well as the entire loan portfolio, as the entire allowance for credit losses is available for the entire loan portfolio. Credit Quality The cr e For all loan portfolio classes, loans are considered past due based on the number of days delinquent except for monthly amortizing loans which are classified delinquent based upon the number of contractually required payments not made (for example, two missed payments is considered 30 days delinquent). When a loan is placed on nonaccrual status, unpaid accrued interest is reversed, reducing interest income in the current period. Commercial lending segment loans are generally placed on nonaccrual status when the collection of principal and interest has become 90 days past due or is otherwise considered doubtful. Commercial lending segment loans are generally fully charged down if unsecured by collateral or partially charged down to the fair value of the collateral securing the loan, less costs to sell, when the loan is placed on nonaccrual. Consumer lending segment loans are generally charged-off 1-4 charge-off 1-4 charged-off. charged-off 1-4 charged-off charged-off charge-off. For all loan classes, interest payments received on nonaccrual loans are generally recorded as a reduction to a loan’s carrying amount while a loan is on nonaccrual and are recognized as interest income upon payoff of the loan. However, interest income may be recognized for interest payments if the remaining carrying amount of the loan is believed to be collectible. In certain circumstances, loans in any class may be restored to accrual status, such as when a loan has demonstrated sustained repayment performance or no amounts are past due and prospects for future payment are no longer in doubt; or when the loan becomes well secured and is in the process of collection. Loans where there Loan Modifications In certain circumstances, the Company may modify the terms of a loan to maximize the collection of amounts due when a borrower is experiencing financial difficulties or is expected to experience difficulties in the near-term. The Company recognizes interest on modified loans if full collection of contractual principal and interest is expected. The effects of modifications on credit loss expectations, such as improved payment capacity, longer expected lives and other factors, are considered when measuring the allowance for credit losses. Modification performance, including redefault rates and how these compare to historical losses, are also considered. Modifications generally do not result in significant changes to the Company’s allowance for credit losses. Loan modifications included in the table above exclude trial period arrangements offered to customers and secured loans to consumer borrowers that have had debt discharged through bankruptcy where the borrower has not reaffirmed the debt during the periods presented. At June 30, 2023, the balance of loans modified in trial period arrangements was $93 million, while the balance of secured loans to consumer borrowers that have had debt discharged through bankruptcy was not material. For the commercial lending segment, modifications generally result in the Company working with borrowers on a case-by-case Modifications for the consumer lending segment are generally part of programs the Company has initiated. The Company modifies residential mortgage loans under Federal Housing Administration, United States Department of Veterans Affairs, or its own internal programs. Under these programs, the Company offers qualifying homeowners the opportunity to permanently modify their loan and achieve more affordable monthly payments. These modifications may include adjustments to interest rates, conversion of adjustable rates to fixed rates, extension of maturity dates or deferrals of payments, capitalization of accrued interest and/or outstanding advances, or in limited situations, partial forgiveness of loan principal. In most instances, participation in residential mortgage loan modification programs requires the customer to complete a short-term trial period. A permanent loan modification is contingent on the customer successfully completing the trial period arrangement, and the loan documents are not modified until that time. Credit card and other retail loan modifications are generally part of distinct modification programs providing customers experiencing financial difficulty with modifications whereby balances may be amortized up to 60 months, and generally include waiver of fees and reduced interest rates. |
Accounting Changes | Accounting Changes Reference Interest Rate Transition In March 2020, the Financial Accounting Standards Board (“FASB”) issued accounting guidance, providing temporary optional expedients and exceptions to the guidance in United States generally accepted accounting principles on contract modifications and hedge accounting, to ease the financial reporting burdens related to the expected market transition from the London Interbank Offered Rate (“LIBOR”) and other interbank offered rates to alternative reference rates. Under the guidance, a company can elect not to apply certain modification accounting requirements to contracts affected by reference rate transition, if certain criteria are met. A company that makes this election would not be required to remeasure the contracts at the modification date or reassess a previous accounting determination. This guidance also permits a company to elect various optional expedients that would allow it to continue applying hedge accounting for hedging relationships affected by reference rate transition, if certain criteria are met. The guidance is effective upon issuance and generally can be applied through December 31, 2024. The Company is applying certain optional expedients and exceptions for cash flow hedges and will continue to evaluate these for eligible contract modifications and hedging relationships. Fair Value Hedging – Portfolio Layer Method Effective January 1, 2023, the Company adopted accounting guidance, issued by the FASB in March 2022, related to fair value hedge accounting of portfolios of financial assets. This guidance permits a company to designate multiple hedging relationships on a single closed portfolio, resulting in a larger portion of the interest rate risk associated with such a portfolio being eligible to be hedged. The guidance also expands the scope of the method to include non-prepayable Financial Instruments – Troubled Debt Restructurings and Vintage Disclosures Effective January 1, 2023, the Company adopted accounting guidance on a modified retrospective basis, issued by the FASB in March 2022, related to the recognition and measurement of troubled debt restructurings (“TDRs”) by creditors. This guidance removes the separate recognition and measurement requirements for TDRs by replacing them with a requirement for a company to apply existing accounting guidance to determine whether a modification results in a new loan or a continuation of an existing loan. This guidance also replaces existing TDR disclosures with similar but more expansive disclosures for certain modifications of receivables made to borrowers experiencing financial difficulty. Further, this guidance also requires companies to disclose current-period gross write-offs by year of origination for financing receivables. The adoption of this guidance was not material to the Company’s financial statements. Accounting for Tax Credit Investments Using the Proportional Amortization Method Effective January 1, 2023, the Company adopted accounting guidance on a modified retrospective basis, issued by the FASB in March 2023, related to the accounting for tax credit investments. This guidance allows the Company to elect to account for tax credit investments using the proportional amortization method on a program-by-program |
Accounting for Transfers and Servicing of Financial Assets | In accordance with the accounting guidance for asset transfers, the Company considers any ongoing involvement with transferred assets in determining whether the assets can be derecognized from the balance sheet.For loans sold under participation agreements, the Company also considers whether the terms of the loan participation agreement meet the accounting definition of a participating interest. With the exception of servicing and certain performance-based guarantees, the Company’s continuing involvement with financial assets sold is minimal and generally limited to market customary representation and warranty clauses. Any gain or loss on sale depends on the previous carrying amount of the transferred financial assets, the consideration received, and any liabilities incurred in exchange for the transferred assets. Upon transfer, any servicing assets and other interests that continue to be held by the Company are initially recognized at fair value. |
Variable Interest Entities | The Company is required to consolidate VIEs in which it has concluded it has a controlling financial interest.The majority of the assets of these consolidated VIEs are reported in other assets, and the liabilities are reported in long-term debt and other liabilities. The assets of a particular VIE are the primary source of funds to settle its obligations. The creditors of the VIEs do not have recourse to the general credit of the Company. The Company’s exposure to the consolidated VIEs is generally limited to the carrying value of its variable interests plus any related tax credits previously recognized or transferred to others with a guarantee.The Company is not required to consolidate VIEs in which it has concluded it does not have a controlling financial interest, and thus is not the primary beneficiary. In such cases, the Company does not have both the power to direct the entities’ most significant activities and the obligation to absorb losses or the right to receive benefits that could potentially be significant to the VIEs. |
Netting Arrangements for Certain Financial Instruments | The Company’s derivative contracts typically include offsetting rights (referred to as netting arrangements), and depending on expected volume, credit risk, and counterparty preference, collateral maintenance may be required. For all derivatives under collateral support arrangements, fair value is determined daily and, depending on the collateral maintenance requirements, the Company and a counterparty may receive or deliver collateral, based upon the net fair value of all derivative positions between the Company and the counterparty. Collateral is typically cash, but securities may be allowed under collateral arrangements with certain counterparties. Receivables and payables related to cash collateral are included in other assets and other liabilities on the Consolidated Balance Sheet, along with the related derivative asset and liability fair values. Any securities pledged to counterparties as collateral remain on the Consolidated Balance Sheet. Securities received from counterparties as collateral are not recognized on the Consolidated Balance Sheet, unless the counterparty defaults. In general, securities used as collateral can be sold, repledged or otherwise used by the party in possession. No restrictions exist on the use of cash collateral by either party. Refer to Note 13 for further discussion of the Company’s derivatives, including collateral arrangements. As part of the Company’s treasury and broker-dealer operations, the Company executes transactions that are treated as securities sold under agreements to repurchase or securities purchased under agreements to resell, both of which are accounted for as collateralized financings. Securities sold under agreements to repurchase include repurchase agreements and securities loaned transactions. Securities purchased under agreements to resell include reverse repurchase agreements and securities borrowed transactions. For securities sold under agreements to repurchase, the Company records a liability for the cash received, which is included in short-term borrowings on the Consolidated Balance Sheet. For securities purchased under agreements to resell, the Company records a receivable for the cash paid, which is included in other assets on the Consolidated Balance Sheet. Securities transferred to counterparties under repurchase agreements and securities loaned transactions continue to be recognized on the Consolidated Balance Sheet, are measured at fair value, and are included in investment securities or other assets. Securities received from counterparties under reverse repurchase agreements and securities borrowed transactions are not recognized on the Consolidated Balance Sheet unless the counterparty defaults. The securities transferred under repurchase and reverse repurchase transactions typically are U.S. Treasury and agency securities, residential agency mortgage-backed securities or corporate debt securities. The securities loaned or borrowed typically are corporate debt securities traded by the Company’s broker-dealer subsidiary. In general, the securities transferred can be sold, repledged or otherwise used by the party in possession. No restrictions exist on the use of cash collateral by either party. Repurchase/reverse repurchase and securities loaned/borrowed transactions expose the Company to counterparty risk. The Company manages this risk by performing assessments, independent of business line managers, and establishing concentration limits on each counterparty. Additionally, these transactions include collateral arrangements that require the fair values of the underlying securities to be determined daily, resulting in cash being obtained or refunded to counterparties to maintain specified collateral levels. The Company executes its derivative, repurchase/reverse repurchase and securities loaned/borrowed transactions under the respective industry standard agreements. These agreements include master netting arrangements that allow for multiple contracts executed with the same counterparty to be viewed as a single arrangement. This allows for net settlement of a single amount on a daily basis. In the event of default, the master netting arrangement provides for close-out The Company has elected to offset the assets and liabilities under netting arrangements for the balance sheet presentation of the majority of its derivative counterparties. The netting occurs at the counterparty level, and includes all assets and liabilities related to the derivative contracts, including those associated with cash collateral received or delivered. The Company has not elected to offset the assets and liabilities under netting arrangements for the balance sheet presentation of repurchase/reverse repurchase and securities loaned/borrowed transactions. |
Fair Values of Assets and Liabilities | Fair Values of Assets and Liabilities The Company uses fair value measurements for the initial recording of certain assets and liabilities, periodic remeasurement of certain assets and liabilities, and disclosures. Derivatives, trading and available-for-sale lower-of-cost-or-fair held-to-maturity Fair value is defined as the exchange price that would be received for an asset or paid to transfer a liability (an exit price) in the principal or most advantageous market for the asset or liability in an orderly transaction between market participants on the measurement date. A fair value measurement reflects all of the assumptions that market participants would use in pricing the asset or liability, including assumptions about the risk inherent in a particular valuation technique, the effect of a restriction on the sale or use of an asset and the risk of nonperformance. The Company groups its assets and liabilities measured at fair value into a three-level hierarchy for valuation techniques used to measure financial assets and financial liabilities at fair value. This hierarchy is based on whether the valuation inputs are observable or unobservable. These levels are: • Level 1 — Quoted prices in active markets for identical assets or liabilities. Level 1 includes U.S. Treasury securities, as well as exchange-traded instruments. • Level 2 — Observable inputs other than Level 1 prices, such as quoted prices for similar assets or liabilities; quoted prices in markets that are not active; or other inputs that are observable or can be corroborated by observable market data for substantially the full term of the assets or liabilities. Level 2 includes debt securities that are traded less frequently than exchange-traded instruments and which are typically valued using third party pricing services; derivative contracts and other assets and liabilities, including securities, whose value is determined using a pricing model with inputs that are observable in the market or can be derived principally from or corroborated by observable market data; and MLHFS whose values are determined using quoted prices for similar assets or pricing models with inputs that are observable in the market or can be corroborated by observable market data. • Level 3 — Unobservable inputs that are supported by little or no market activity and that are significant to the fair value of the assets or liabilities. Level 3 assets and liabilities include financial instruments whose values are determined using pricing models, discounted cash flow methodologies, or similar techniques, as well as instruments for which the determination of fair value requires significant management judgment or estimation. This category includes MSRs and certain derivative contracts. |
Business Combinations (Tables)
Business Combinations (Tables) | 6 Months Ended |
Jun. 30, 2023 | |
Business Combinations [Abstract] | |
Summary of Preliminary Fair Value of The Identifiable Tangible and Intangible Assets and Liabilities | The following table includes the fair value of consideration transferred and the preliminary fair value of the identifiable tangible and intangible assets and liabilities from MUB: December 1, 2022 (Dollars in Millions) Acquisition consideration Cash $ 5,500 Market value of shares of common stock 2,014 Total consideration transferred at acquisition close date 7,514 Discounted liability to MUFG (a) 2,944 Total $ 10,458 Fair Value of MUB assets and liabilities Assets Cash and due from banks $ 17,754 Investment securities 22,725 Loans held for sale 2,220 Loans 53,395 Less allowance for loan losses (463 ) Net loans 52,932 Premises and equipment 646 Other intangible assets (excluding goodwill) 2,808 Other assets 4,764 Total assets $ 103,849 Liabilities Deposits $ 86,110 Short-term borrowings 4,773 Long-term debt 2,584 Other liabilities 2,248 Total liabilities 95,715 Less: Net assets $ 8,134 Goodwill $ 2,324 (a) Represents $3.5 billion of noninterest-bearing additional cash held by MUB upon close of the acquisition to be delivered to MUFG on or prior to December 1, 2027, discounted at the Company’s 5-year |
Investment Securities (Tables)
Investment Securities (Tables) | 6 Months Ended |
Jun. 30, 2023 | |
Investments, Debt and Equity Securities [Abstract] | |
Investment Securities Available-for-Sale and Held-to-Maturity | The amortized cost, gross unrealized holding gains and losses, and fair value of held-to-maturity available-for-sale June 30, 2023 December 31, 2022 (Dollars in Millions) Amortized Unrealized Unrealized Fair Value Amortized Unrealized Unrealized Fair Value Held-to-maturity U.S. Treasury and agencies $ 1,345 $ — $ (58 ) $ 1,287 $ 1,344 $ — $ (51 ) $ 1,293 Mortgage-backed securities Residential agency 83,898 — (10,578 ) 73,320 85,693 2 (10,810 ) 74,885 Commercial agency 1,695 — (17 ) 1,678 1,703 1 (8 ) 1,696 Total held-to-maturity $ 86,938 $ — $ (10,653 ) $ 76,285 $ 88,740 $ 3 $ (10,869 ) $ 77,874 Available-for-sale U.S. Treasury and agencies $ 21,328 $ 1 $ (2,361 ) $ 18,968 $ 24,801 $ 1 $ (2,769 ) $ 22,033 Mortgage-backed securities Residential agency 28,253 3 (2,595 ) 25,661 32,060 8 (2,797 ) 29,271 Commercial Agency 8,719 — (1,532 ) 7,187 8,736 — (1,591 ) 7,145 Non-agency 7 — (1 ) 6 7 — — 7 Asset-backed securities 7,487 5 (41 ) 7,451 4,356 5 (38 ) 4,323 Obligations of state and political subdivisions 11,091 6 (1,153 ) 9,944 11,484 12 (1,371 ) 10,125 Other 4 — — 4 6 — — 6 Total available-for-sale, 76,889 15 (7,683 ) 69,221 81,450 26 (8,566 ) 72,910 Portfolio level basis adjustments (a) (1 ) — 1 — — — — — Total available-for-sale $ 76,888 $ 15 $ (7,682 ) $ 69,221 $ 81,450 $ 26 $ (8,566 ) $ 72,910 (a) Represents fair value hedge basis adjustments related to active portfolio layer method hedges of available-for-sale |
Amount of Interest Income from Taxable and Non-Taxable Investment Securities | The following table provides information about the amount of interest income from taxable and non-taxable Three Months Ended Six Months Ended (Dollars in Millions) 2023 2022 2023 2022 Taxable $ 999 $ 732 $ 1,993 $ 1,378 Non-taxable 78 74 158 145 Total interest income from investment securities $ 1,077 $ 806 $ 2,151 $ 1,523 |
Amount of Gross Gains and Losses Realized through Sales of Available-for-Sale Investment Securities | The following table provides information about the amount of gross gains and losses realized through the sales of available-for-sale Three Months Ended Six Months Ended (Dollars in Millions) 2023 2022 2023 2022 Realized gains $ 5 $ 144 $ 65 $ 386 Realized losses (2 ) (125 ) (94 ) (349 ) Net realized gains (losses) $ 3 $ 19 $ (29 ) $ 37 Income tax on net realized gains (losses) $ 1 $ 5 $ (7 ) $ 9 |
Gross Unrealized Losses and Fair Value of Company's Investment Securities | The following table shows the gross unrealized losses and fair value of the Company’s available-for-sale Less Than 12 Months 12 Months or Greater Total (Dollars in Millions) Fair Unrealized Fair Value Unrealized Fair Value Unrealized U.S. Treasury and agencies $ 419 $ (8 ) $ 17,061 $ (2,353 ) $ 17,480 $ (2,361 ) Mortgage-backed securities Residential agency 2,932 (83 ) 22,463 (2,512 ) 25,395 (2,595 ) Commercial Agency — — 7,186 (1,532 ) 7,186 (1,532 ) Non-agency 6 (1 ) — — 6 (1 ) Asset-backed securities 2,839 (41 ) — — 2,839 (41 ) Obligations of state and political subdivisions 2,391 (34 ) 6,924 (1,119 ) 9,315 (1,153 ) Other — — 4 — 4 — Total investment securities $ 8,587 $ (167 ) $ 53,638 $ (7,516 ) $ 62,225 $ (7,683 ) |
Investment Securities | The following table provides information about the amortized cost, fair value and yield by maturity date of the investment securities outstanding at June 30, 2023: (Dollars in Millions) Amortized Fair Value Weighted- Weighted- Held-to-maturity U.S. Treasury and Agencies Maturing in one year or less $ 50 $ 49 .8 2.67 % Maturing after one year through five years 1,295 1,238 2.9 2.85 Maturing after five years through ten years — — — — Maturing after ten years — — — — Total $ 1,345 $ 1,287 2.8 2.85 % Mortgage-Backed Securities (a) Maturing in one year or less $ 22 $ 22 .8 4.95 % Maturing after one year through five years 1,436 1,419 2.6 4.60 Maturing after five years through ten years 70,260 61,972 9.2 2.18 Maturing after ten years 13,875 11,585 10.2 2.05 Total $ 85,593 $ 74,998 9.2 2.20 % Total held-to-maturity $ 86,938 $ 76,285 9.1 2.21 % Available-for-sale U.S. Treasury and Agencies Maturing in one year or less $ 13 $ 13 .2 4.72 % Maturing after one year through five years 6,140 5,809 3.7 2.79 Maturing after five years through ten years 12,981 11,462 6.8 2.20 Maturing after ten years 2,194 1,684 11.1 2.00 Total $ 21,328 $ 18,968 6.4 2.35 % Mortgage-Backed Securities (a) Maturing in one year or less $ 134 $ 130 .9 2.45 % Maturing after one year through five years 8,980 8,325 3.1 2.42 Maturing after five years through ten years 26,491 23,211 7.6 3.02 Maturing after ten years 1,374 1,188 11.1 3.65 Total $ 36,979 $ 32,854 6.6 2.90 % Asset-Backed Securities (a) Maturing in one year or less $ 1 $ 1 .3 7.57 % Maturing after one year through five years 7,104 7,068 1.6 5.02 Maturing after five years through ten years 382 382 5.6 6.96 Maturing after ten years — — — — Total $ 7,487 $ 7,451 1.8 5.12 % Obligations of State and Political Subdivisions (c) (d) Maturing in one year or less $ 149 $ 149 .3 5.76 % Maturing after one year through five years 2,539 2,510 3.5 4.68 Maturing after five years through ten years 1,542 1,470 7.8 3.99 Maturing after ten years 6,861 5,815 16.2 3.37 Total $ 11,091 $ 9,944 11.9 3.79 % Other Maturing in one year or less $ — $ — — — % Maturing after one year through five years 4 4 1.9 1.89 Maturing after five years through ten years — — — — Maturing after ten years — — — — Total $ 4 $ 4 1.9 1.89 % Total available-for-sale $ 76,889 $ 69,221 6.8 3.09 % (a) Information related to asset and mortgage-backed securities included above is presented based upon weighted-average maturities that take into account anticipated future prepayments. (b) The weighted-average maturity of total held-to-maturity available-for-sale (c) Information related to obligations of state and political subdivisions is presented based upon yield to first optional call date if the security is purchased at a premium, and yield to maturity if the security is purchased at par or a discount. (d) Maturity calculations for obligations of state and political subdivisions are based on the first optional call date for securities with a fair value above par and the contractual maturity date for securities with a fair value equal to or below par. (e) Weighted-average yields for obligations of state and political subdivisions are presented on a fully-taxable equivalent basis based on a federal income tax rate of 21 percent. Yields on investment securities are computed based on amortized cost balances, excluding any premiums or discounts recorded related to the transfer of investment securities at fair value from available-for-sale held-to-maturity. (f) Amortized cost excludes portfolio level basis adjustments of $(1) million. |
Loans and Allowance for Credi_2
Loans and Allowance for Credit Losses (Tables) | 6 Months Ended |
Jun. 30, 2023 | |
Receivables [Abstract] | |
Composition of Loan Portfolio | The composition of the loan portfolio, by class and underlying specific portfolio type, was as follows: June 30, 2023 December 31, 2022 (Dollars in Millions) Amount Percent Amount Percent Commercial Commercial $ 132,374 34.9 % $ 131,128 33.8 % Lease financing 4,401 1.2 4,562 1.2 Total commercial 136,775 36.1 135,690 35.0 Commercial Real Estate Commercial mortgages 42,775 11.3 43,765 11.3 Construction and development 11,582 3.0 11,722 3.0 Total commercial real estate 54,357 14.3 55,487 14.3 Residential Mortgages Residential mortgages 107,017 28.2 107,858 27.8 Home equity loans, first liens 7,432 2.0 7,987 2.0 Total residential mortgages 114,449 30.2 115,845 29.8 Credit Card 26,626 7.0 26,295 6.8 Other Retail Retail leasing 4,637 1.2 5,519 1.4 Home equity and second mortgages 12,799 3.4 12,863 3.3 Revolving credit 3,797 1.0 3,983 1.0 Installment 14,452 3.8 14,592 3.8 Automobile 11,536 3.0 17,939 4.6 Total other retail 47,221 12.4 54,896 14.1 Total loans $ 379,428 100.0 % $ 388,213 100.0 % |
Activity in Allowance for Credit Losses by Portfolio Class | Activity in the allowance for credit losses by portfolio class was as follows: Three Months Ended June 30 (Dollars in Millions) Commercial Commercial Residential Credit Other Total 2023 Balance at beginning of period $2,180 $1,359 $947 $2,112 $925 $7,523 Add Provision for credit losses 119 140 66 272 224 821 Deduct Loans charged-off 110 31 121 242 251 755 Less recoveries of loans charged-off (20 ) (5 ) (7 ) (43 ) (31 ) (106 ) Net loan charge-offs (recoveries) 90 26 114 199 220 649 Balance at end of period $2,209 $1,473 $899 $2,185 $929 $7,695 2022 Balance at beginning of period $1,836 $1,074 $600 $1,639 $956 $6,105 Add Provision for credit losses 90 (95 ) 49 225 42 311 Deduct Loans charged-off 53 9 2 162 50 276 Less recoveries of loans charged-off (23 ) (3 ) (11 ) (44 ) (34 ) (115 ) Net loan charge-offs (recoveries) 30 6 (9 ) 118 16 161 Balance at end of period $1,896 $973 $658 $1,746 $982 $6,255 Six Months Ended June 30 (Dollars in Millions) Commercial Commercial Residential Credit Other Total 2023 Balance at beginning of period $2,163 $1,325 $926 $2,020 $970 $7,404 Add Change in accounting principle (a) — — (31 ) (27 ) (4 ) (62 ) Allowance for acquired credit losses (b) — 127 — — — 127 Provision for credit losses 183 164 117 566 218 1,248 Deduct Loans charged-off 173 154 125 457 315 1,224 Less recoveries of loans charged-off (36 ) (11 ) (12 ) (83 ) (60 ) (202 ) Net loan charge-offs (recoveries) 137 143 113 374 255 1,022 Balance at end of period $2,209 $1,473 $899 $2,185 $929 $7,695 2022 Balance at beginning of period $1,849 $1,123 $565 $1,673 $945 $6,155 Add Provision for credit losses 109 (149 ) 78 303 82 423 Deduct Loans charged-off 108 10 7 320 111 556 Less recoveries of loans charged-off (46 ) (9 ) (22 ) (90 ) (66 ) (233 ) Net loan charge-offs (recoveries) 62 1 (15 ) 230 45 323 Balance at end of period $1,896 $973 $658 $1,746 $982 $6,255 (a) Effective January 1, 2023, the Company adopted accounting guidance which removed the separate recognition and measurement of troubled debt restructurings. (b) Represents allowance for credit deteriorated and charged-off |
Summary of Financing Receivable Credit Losses Charged-off by Portfolio Class | (Dollars in Millions) Commercial Commercial Residential Credit Other Total Three Months Ended June 30, 2023 Originated in 2023 $ 7 $— $— $— $ 46 $ 53 Originated in 2022 34 — — — 89 123 Originated in 2021 4 17 5 — 46 72 Originated in 2020 6 — 8 — 19 33 Originated in 2019 2 — 15 — 13 30 Originated prior to 2019 17 14 93 — 5 129 Revolving 40 — — 242 5 287 Revolving converted to term — — — — 28 28 Total charge-offs $110 $31 $121 $242 $251 $755 Six Months Ended June 30, 2023 Originated in 2023 $7 $— $— $— $46 $53 Originated in 2022 40 88 — — 99 227 Originated in 2021 8 17 5 — 57 87 Originated in 2020 10 — 8 — 25 43 Originated in 2019 7 3 16 — 20 46 Originated prior to 2019 28 46 96 — 13 183 Revolving 73 — — 457 27 557 Revolving converted to term — — — — 28 28 Total charge-offs $173 $154 $125 $457 $315 $1,224 Note: Year of origination is based on the origination date of a loan, or for existing loans the date when the maturity date, pricing or commitment amount is amended. (a) Includes $91 million of charge-offs in the first quarter of 2023 related to uncollectible amounts on acquired loans. (b) Includes $117 million of charge-offs related to balance sheet repositioning and capital management actions taken in the second quarter of 2023. (c) Includes $192 million of charge-offs related to balance sheet repositioning and capital management actions taken in the second quarter of 2023. |
Summary of Loans by Portfolio Class, Including Delinquency Status of those that Continue to Accrue Interest and are Nonperforming | has been a partial charge-off charged-off) The following table provides a summary of loans by portfolio class, including the delinquency status of those that continue to accrue interest, and those that are nonperforming: Accruing (Dollars in Millions) Current 30-89 Days 90 Days or Nonperforming (b) Total June 30, 2023 Commercial $ 136,136 $ 347 $ 61 $ 231 $136,775 Commercial real estate 53,810 72 1 474 54,357 Residential mortgages (a) 114,028 128 86 207 114,449 Credit card 26,048 307 271 — 26,626 Other retail 46,802 235 55 129 47,221 Total loans $ 376,824 $1,089 $474 $1,041 $379,428 December 31, 2022 Commercial $ 135,077 $ 350 $ 94 $ 169 $135,690 Commercial real estate 55,057 87 5 338 55,487 Residential mortgages (a) 115,224 201 95 325 115,845 Credit card 25,780 283 231 1 26,295 Other retail 54,382 309 66 139 54,896 Total loans $ 385,520 $1,230 $491 $ 972 $388,213 (a) At June 30, 2023, $556 million of loans 30–89 days past due and $2.1 billion of loans 90 days or more past due purchased and that could be purchased from Government National Mortgage Association (“GNMA”) mortgage pools under delinquent loan repurchase options whose repayments are insured by the Federal Housing Administration or guaranteed by the United States Department of Veterans Affairs, were classified as current, compared with $647 million and $2.2 billion at December 31, 2022, respectively. (b) Substantially all nonperforming loans at June 30, 2023 and December 31, 2022, had an associated allowance for credit losses. The Company recognized interest income on nonperforming loans of $3 million and $5 million for the three months ended June 30, 2023 and 2022, respectively, and $7 million and $8 million for the six months ended June 30, 2023 and 2022, respectively. |
summary of the Company's internal credit quality rating of loans by portfolio class | The following table provides a summary of the Company’s internal credit quality rating of loans by portfolio class and year of origination: June 30, 2023 December 31, 2022 Criticized Criticized (Dollars in Millions) Pass Special Classified (a) Total Total Pass Special Classified (a) Total Total Commercial Originated in 2023 $ 29,444 $ 441 $ 319 $ 760 $ 30,204 $ — $ — $ — $ — $ — Originated in 2022 51,218 547 306 853 52,071 61,229 245 315 560 61,789 Originated in 2021 13,287 154 183 337 13,624 26,411 159 78 237 26,648 Originated in 2020 3,764 51 179 230 3,994 7,049 68 138 206 7,255 Originated in 2019 1,852 15 181 196 2,048 3,962 51 210 261 4,223 Originated prior to 2019 4,715 43 103 146 4,861 8,986 64 129 193 9,179 Revolving (b) 28,735 216 1,022 1,238 29,973 25,888 344 364 708 26,596 Total commercial 133,015 1,467 2,293 3,760 136,775 133,525 931 1,234 2,165 135,690 Commercial real estate Originated in 2023 5,791 302 1,055 1,357 7,148 — — — — — Originated in 2022 14,037 211 1,147 1,358 15,395 14,527 206 519 725 15,252 Originated in 2021 10,998 434 445 879 11,877 13,565 171 99 270 13,835 Originated in 2020 4,467 23 154 177 4,644 6,489 97 117 214 6,703 Originated in 2019 5,438 169 408 577 6,015 6,991 251 304 555 7,546 Originated prior to 2019 7,321 27 429 456 7,777 9,639 138 875 1,013 10,652 Revolving 1,467 — 34 34 1,501 1,489 — 10 10 1,499 Total commercial real estate 49,519 1,166 3,672 4,838 54,357 52,700 863 1,924 2,787 55,487 Residential mortgages (c) Originated in 2023 6,040 — — — 6,040 — — — — — Originated in 2022 29,081 — 7 7 29,088 28,452 — — — 28,452 Originated in 2021 37,015 — 9 9 37,024 39,527 — 7 7 39,534 Originated in 2020 15,276 — 10 10 15,286 16,556 — 8 8 16,564 Originated in 2019 6,106 — 18 18 6,124 7,222 — 18 18 7,240 Originated prior to 2019 20,626 — 261 261 20,887 23,658 — 397 397 24,055 Total residential mortgages 114,144 — 305 305 114,449 115,415 — 430 430 115,845 Credit card (d) 26,355 — 271 271 26,626 26,063 — 232 232 26,295 Other retail Originated in 2023 2,700 — 1 1 2,701 — — — — — Originated in 2022 6,419 — 8 8 6,427 9,563 — 6 6 9,569 Originated in 2021 12,281 — 11 11 12,292 15,352 — 12 12 15,364 Originated in 2020 5,999 — 9 9 6,008 7,828 — 11 11 7,839 Originated in 2019 2,300 — 8 8 2,308 3,418 — 13 13 3,431 Originated prior to 2019 2,689 — 14 14 2,703 3,689 — 31 31 3,720 Revolving 13,864 — 97 97 13,961 14,029 — 98 98 14,127 Revolving converted to term 773 — 48 48 821 800 — 46 46 846 Total other retail 47,025 — 196 196 47,221 54,679 — 217 217 54,896 Total loans $370,058 $2,633 $6,737 $ 9,370 $379,428 $382,382 $1,794 $4,037 $5,831 $388,213 Total outstanding commitments $768,418 $3,811 $8,265 $12,076 $780,494 $772,804 $2,825 $5,041 $7,866 $780,670 Note: Year of origination is based on the origination date of a loan, or for existing loans the date when the maturity date, pricing or commitment amount is amended. (a) Classified rating on consumer loans primarily based on delinquency status. (b) Includes an immaterial amount of revolving converted to term loans. (c) At June 30, 2023, $2.1 billion of GNMA loans 90 days or more past due and $579 million of modified GNMA loans whose repayments are insured by the Federal Housing Administration or guaranteed by the United States Department of Veterans Affairs were classified with a pass rating, compared with $2.2 billion and $1.0 billion at December 31, 2022, respectively. (d) Predominately all credit card loans are considered revolving loans. Includes an immaterial amount of revolving converted to term loans. |
Loans modified by class and modification type | The following table provides a summary of loan balances at June 30, 2023, which were modified during the three months and six months ended June 30, 2023, by portfolio class and modification granted: (Dollars in Millions) Interest Rate Payment Term Multiple Total Percent of Three Months Ended June 30, 2023 Commercial $ 13 $ — $ 136 $ — $ 149 .1 % Commercial real estate — — 101 — 101 .2 Residential mortgages (b) — 79 6 4 89 .1 Credit card 91 — — — 91 .3 Other retail 2 14 39 1 56 .1 Total loans, excluding loans purchased from GNMA mortgage pools 106 93 282 5 486 .1 Loans purchased from GNMA mortgage pools (b) — 453 86 98 637 .6 Total loans $ 106 $ 546 $ 368 $ 103 $ 1,123 .3 % Six Months Ended June 30, 2023 Commercial $ 159 $ — $ 159 $ — $ 318 .2 % Commercial real estate — — 109 — 109 .2 Residential mortgages (b) — 202 15 16 233 .2 Credit card 174 — — — 174 .7 Other retail 4 18 81 3 106 .2 Total loans, excluding loans purchased from GNMA mortgage pools 337 220 364 19 940 .2 Loans purchased from GNMA mortgage pools (b) — 649 147 143 939 .8 Total loans $ 337 $ 869 $ 511 $ 162 $ 1,879 .5 % (a) Includes $100 million of total loans receiving a payment delay and term extension, $2 million of total loans receiving an interest rate reduction and term extension and $1 million of total loans receiving an interest rate reduction, payment delay and term extension for three months ended June 30, 2023. Includes $151 million of total loans receiving a payment delay and term extension, $5 million of total loans receiving an interest rate reduction and term extension and $6 million of total loans receiving an interest rate reduction, payment delay and term extension for six months ended June 30, 2023. (b) Percent of class total amounts expressed as a percent of total residential mortgage loan balances. |
Effects of Loan Modifications Made During the Period | The following table summarizes the effects of loan modifications made to borrowers on loans modified during the three months and six months ended June 30, 2023: (Dollars in Millions) Weighted-Average Weighted-Average Three Months Ended June 30, 2023 Commercial 21.3 % 8 Commercial real estate — 10 Residential mortgages 1.4 89 Credit card 16.4 — Other retail 8.6 108 Loans purchased from GNMA mortgage pools .7 87 Six Months Ended June 30, 2023 Commercial 3.3 % 7 Commercial real estate — 10 Residential mortgages 1.4 111 Credit card 16.2 — Other retail 7.3 134 Loans purchased from GNMA mortgage pools .7 79 Note: The weighted-average payment deferral for all portfolio classes was less than $1 million for both the three months and six months ended June 30, 2023. Forbearance payments are required to be paid at the end of the original term loan. |
Loans Modified by Class and Delinquency Status | The following table provides a summary of loan balances at June 30, 2023, which were modified during the six months ended June 30, 2023, by portfolio class and delinquency status: (Dollars in Millions) Current 30-89 Days 90 Days or Total Commercial $ 287 $ 7 $ 24 $ 318 Commercial real estate 43 — 66 109 Residential mortgages (a) 668 11 13 692 Credit card 125 34 15 174 Other retail 68 3 4 75 Total loans $ 1,191 $ 55 $ 122 $ 1,368 (a) At June 30, 2023, $95 million of loans 30-89 |
Summary Of Loans That Defaulted And Modified | The following table provides a summary of loans that defaulted (fully or partially charged-off (Dollars in Millions) Interest Rate Payment Term Multiple Three Months Ended June 30, 2023 Commercial $ 1 $ — $ — $ — Residential mortgages — 1 — 1 Credit card 5 — — — Other retail — 2 1 — Total loans, excluding loans purchased from GNMA mortgage pools 6 3 1 1 Loans purchased from GNMA mortgage pools — 6 1 2 Total loans $ 6 $ 9 $ 2 $ 3 Six Months Ended June 30, 2023 Commercial $ 1 $ — $ — $ — Residential mortgages — 1 — 1 Credit card 5 — — — Other retail — 2 1 — Total loans, excluding loans purchased from GNMA mortgage pools 6 3 1 1 Loans purchased from GNMA mortgage pools — 6 1 2 Total loans $ 6 $ 9 $ 2 $ 3 (a) Includes $2 million of total loans receiving a payment delay and term extension and $1 million of total loans receiving an interest rate reduction, payment delay and term extension for three and six months ended June 30, 2023. |
Summary of Loans Modified as TDRs | The following table provides a summary of loans modified as troubled debt restructurings for the periods presented by portfolio class: (Dollars in Millions) Number Pre-Modification Balance Post-Modification Balance Three Months Ended June 30, 2022 Commercial 506 $ 50 $ 41 Commercial real estate 28 11 9 Residential mortgages 366 106 106 Credit card 8,696 48 49 Other retail 756 24 20 Total loans, excluding loans purchased from GNMA mortgage pools 10,352 239 225 Loans purchased from GNMA mortgage pools 353 47 50 Total loans 10,705 $ 286 $ 275 Six Months Ended June 30, 2022 Commercial 1,015 $ 88 $ 73 Commercial real estate 37 22 19 Residential mortgages 1,206 334 332 Credit card 18,035 98 99 Other retail 1,484 61 57 Total loans, excluding loans purchased from GNMA mortgage pools 21,777 603 580 Loans purchased from GNMA mortgage pools 743 102 105 Total loans 22,520 $ 705 $ 685 |
Summary of Loans Modified as TDRs in the Past Twelve Months that have Subsequently Defaulted | The following table provides a summary of troubled debt restructured loans that defaulted (fully or partially charged-off (Dollars in Millions) Number Amount Three Months Ended June 30, 2022 Commercial 175 $ 3 Commercial real estate 2 1 Residential mortgages 79 7 Credit card 1,727 9 Other retail 60 1 Total loans, excluding loans purchased from GNMA mortgage pools 2,043 21 Loans purchased from GNMA mortgage pools 120 17 Total loans 2,163 $ 38 Six Months Ended June 30, 2022 Commercial 389 $ 6 Commercial real estate 5 2 Residential mortgages 113 10 Credit card 3,361 18 Other retail 143 2 Total loans, excluding loans purchased from GNMA mortgage pools 4,011 38 Loans purchased from GNMA mortgage pools 169 25 Total loans 4,180 $ 63 |
Accounting for Transfers and _2
Accounting for Transfers and Servicing of Financial Assets and Variable Interest Entities (Tables) | 6 Months Ended |
Jun. 30, 2023 | |
Accounting Policies [Abstract] | |
Summary of Investments in Community Development and Tax-advantaged VIEs | The following table provides a summary of investments in community development and tax-advantaged (Dollars in Millions) June 30, 2023 December 31, Investment carrying amount $ 6,242 $ 5,452 Unfunded capital and other commitments 3,013 2,416 Maximum exposure to loss 9,830 9,761 |
Mortgage Servicing Rights (Tabl
Mortgage Servicing Rights (Tables) | 6 Months Ended |
Jun. 30, 2023 | |
Text Block [Abstract] | |
Changes in Fair Value of Capitalized MSRs | Changes in fair value of capitalized MSRs are summarized as follows: Three Months Six Months (Dollars in Millions) 2023 2022 2023 2022 Balance at beginning of period $ 3,724 $ 3,432 $ 3,755 $ 2,953 Rights purchased 1 3 2 6 Rights capitalized 99 102 195 339 Rights sold (a) (149 ) — (148 ) 1 Changes in fair value of MSRs Due to fluctuations in market interest rates (b) 84 289 46 657 Due to revised assumptions or models (c) (21 ) 6 (16 ) (21 ) Other changes fair value (105 ) (125 ) (201 ) (228 ) Balance at end of period $ 3,633 $ 3,707 $ 3,633 $ 3,707 (a) MSRs sold include those having a negative fair value, resulting from the loans being severely delinquent. (b) Includes changes in MSR value associated with changes in market interest rates, including estimated prepayment rates and anticipated earnings on escrow deposits. (c) Includes changes in MSR value not caused by changes in market interest rates, such as changes in assumed cost to service, ancillary income and option adjusted spread, as well as the impact of any model changes. (d) Primarily the change in MSR value from passage of time and cash flows realized (decay), but also includes the impact of changes to expected cash flows not associated with changes in market interest rates, such as the impact of delinquencies. |
Sensitivity to Changes in Interest Rates of the Fair Value of MSR Portfolio and Related Derivative Instruments | The estimated sensitivity to changes in interest rates of the fair value of the MSR portfolio and the related derivative instruments was as follows: June 30, 2023 December 31, 2022 (Dollars in Millions) Down Down Down Up Up Up Down Down Down Up Up Up MSR portfolio $ (346 ) $ (161 ) $ (77 ) $ 71 $ 136 $ 249 $ (334 ) $ (153 ) $ (73 ) $ 66 $ 125 $ 224 Derivative instrument hedges 361 164 78 (71 ) (135 ) (248 ) 337 153 73 (67 ) (127 ) (236 ) Net sensitivity $ 15 $ 3 $ 1 $ — $ 1 $ 1 $ 3 $ — $ — $ (1 ) $ (2 ) $ (12 ) |
MSRs and Related Characteristics by Portfolio | The following table provides a summary of the Company’s MSRs and related characteristics by portfolio: June 30, 2023 December 31, 2022 (Dollars in Millions) HFA Government Conventional (d) Total HFA Government Conventional (d) Total Servicing portfolio (a) $ 45,368 $ 24,312 $ 173,746 $ 243,426 $ 44,071 $ 23,141 $ 172,541 $ 239,753 Fair value $ 729 $ 476 $ 2,428 $ 3,633 $ 725 $ 454 $ 2,576 $ 3,755 Value (bps) (b) 161 196 140 149 165 196 149 157 Weighted-average servicing fees (bps) 36 43 26 29 36 42 27 30 Multiple (value/servicing fees) 4.46 4.53 5.47 5.10 4.56 4.69 5.52 5.20 Weighted-average note rate 4.32 % 4.01 % 3.65 % 3.81 % 4.16 % 3.81 % 3.52 % 3.67 % Weighted-average age (in years) 4.2 5.5 4.0 4.2 4.0 5.7 3.7 3.9 Weighted-average expected prepayment (constant prepayment rate) 7.8 % 9.4 % 8.3 % 8.3 % 7.4 % 8.5 % 7.8 % 7.8 % Weighted-average expected life (in years) 8.6 7.3 7.3 7.5 8.8 7.6 7.5 7.7 Weighted-average option adjusted spread (c) 7.6 % 6.9 % 4.9 % 5.7 % 7.6 % 6.9 % 5.1 % 5.8 % (a) Represents principal balance of mortgages having corresponding MSR asset. (b) Calculated as fair value divided by the servicing portfolio. (c) Option adjusted spread is the incremental spread added to the risk-free rate to reflect optionality and other risk inherent in the MSRs. (d) Represents loans sold primarily to GSEs. |
Preferred Stock (Tables)
Preferred Stock (Tables) | 6 Months Ended |
Jun. 30, 2023 | |
Equity [Abstract] | |
Number of Shares Issued and Outstanding and Carrying Amount of Preferred Stock | June 30, 2023 December 31, 2022 (Dollars in Millions) Shares Liquidation Discount Carrying Shares Liquidation Discount Carrying Series A 12,510 $ 1,251 $ 145 $ 1,106 12,510 $ 1,251 $ 145 $ 1,106 Series B 40,000 1,000 — 1,000 40,000 1,000 — 1,000 Series J 40,000 1,000 7 993 40,000 1,000 7 993 Series K 23,000 575 10 565 23,000 575 10 565 Series L 20,000 500 14 486 20,000 500 14 486 Series M 30,000 750 21 729 30,000 750 21 729 Series N 60,000 1,500 8 1,492 60,000 1,500 8 1,492 Series O 18,000 450 13 437 18,000 450 13 437 Total preferred stock (a) 243,510 $ 7,026 $ 218 $ 6,808 243,510 $ 7,026 $ 218 $ 6,808 (a) The par value of all shares issued and outstanding at June 30, 2023 and December 31, 2022, was $1.00 per share. |
Accumulated Other Comprehensi_2
Accumulated Other Comprehensive Income (Loss) (Tables) | 6 Months Ended |
Jun. 30, 2023 | |
Equity [Abstract] | |
Reconciliation of Transactions Affecting Accumulated Other Comprehensive Income (Loss) Included in Shareholders' Equity | Three Months Ended June 30 Unrealized Gains Available-For- Sale Unrealized Available- For-Sale to Held-To-Maturity Unrealized Gains Unrealized Gains Foreign Total 2023 Balance at beginning of period $ (5,369 ) $ (3,843 ) $ 43 $ (940 ) $ (44 ) $ (10,153 ) Changes in unrealized gains (losses) (460 ) — (465 ) — — (925 ) Foreign currency translation adjustment (a) — — — — 19 19 Reclassification to earnings of realized (gains) losses (3 ) 141 11 (2 ) — 147 Applicable income taxes 116 (35 ) 117 1 (5 ) 194 Balance at end of period $ (5,716 ) $ (3,737 ) $ (294 ) $ (941 ) $ (30 ) $ (10,718 ) 2022 Balance at beginning of period $ (4,518 ) $ (904 ) $ (77 ) $ (1,402 ) $ (37 ) $ (6,938 ) Changes in unrealized gains (losses) (4,761 ) — 98 — — (4,663 ) Transfer of securities from available-for-sale held-to-maturity 1,381 (1,381 ) — — — — Foreign currency translation adjustment (a) — — — — (3 ) (3 ) Reclassification to earnings of realized (gains) losses (19 ) 61 10 32 — 84 Applicable income taxes 859 334 (27 ) (8 ) 1 1,159 Balance at end of period $ (7,058) $ (1,890 ) $ 4 $ (1,378 ) $ (39 ) $ (10,361 ) (a) Represents the impact of changes in foreign currency exchange rates on the Company’s investment in foreign operations and related hedges. Six Months Ended June 30 Unrealized Gains Available-For- Sale Unrealized From Available- For-Sale to Held-To-Maturity Unrealized Gains Unrealized Gains Foreign Total 2023 Balance at beginning of period $ (6,378 ) $ (3,933 ) $ (114 ) $ (939 ) $ (43 ) $ (11,407 ) Changes in unrealized gains (losses) 845 — (261 ) 1 — 585 Foreign currency translation adjustment (a) — — — — 18 18 Reclassification to earnings of realized (gains) losses 29 262 18 (4 ) — 305 Applicable income taxes (212 ) (66 ) 63 1 (5 ) (219 ) Balance at end of period $ (5,716 ) $ (3,737 ) $ (294 ) $ (941 ) $ (30 ) $ (10,718 ) 2022 Balance at beginning of period $ 540 $ (935 ) $ (85 ) $ (1,426 ) $ (37 ) $ (1,943 ) Changes in unrealized gains (losses) (11,515 ) — 98 — — (11,417 ) Transfer of securities from available-for-sale held-to-maturity 1,381 (1,381 ) — — — — Foreign currency translation adjustment (a) — — — — (3 ) (3 ) Reclassification to earnings of realized (gains) losses (37 ) 103 21 64 — 151 Applicable income taxes 2,573 323 (30 ) (16 ) 1 2,851 Balance at end of period $ (7,058) $ (1,890 ) $ 4 $ (1,378 ) $ (39 ) $ (10,361 ) (a) Represents the impact of changes in for e |
Impact to Net Income for Items Reclassified out of Accumulated Other Comprehensive Income and into Earnings | Additional detail about the impact to net income for items reclassified out of accumulated other comprehensive income (loss) and into earnings is as follows: Impact to Net Income Three Months Six Months Affected Line Item in the (Dollars in Millions) 2023 2022 2023 2022 Unrealized gains (losses) on investment securities available-for-sale Realized gains (losses) on sale of investment securities $ 3 $ 19 $ (29 ) $ 37 Securities gains (losses), net (1) (5) 7 (9) Applicable income taxes 2 14 (22) 28 Net-of-tax Unrealized gains (losses) on investment securities transferred from available-for-sale held-to-maturity Amortization of unrealized gains (losses) (141 ) (61 ) (262 ) (103 ) Interest income 35 16 66 26 Applicable income taxes (106) (45) (196) (77) Net-of-tax Unrealized gains (losses) on derivative hedges Realized gains (losses) on derivative hedges (11 ) (10 ) (18 ) (21 ) Interest expense 3 2 4 5 Applicable income taxes (8) (8) (14) (16) Net-of-tax Unrealized gains (losses) on retirement plans Actuarial gains (losses) and prior service cost (credit) amortization 2 (32 ) 4 (64 ) Other noninterest expense (1) 8 (1) 16 Applicable income taxes 1 (24) 3 (48) Net-of-tax Total impact to net income $ (111 ) $ (63 ) $ (229 ) $ (113 ) |
Earnings Per Share (Tables)
Earnings Per Share (Tables) | 6 Months Ended |
Jun. 30, 2023 | |
Earnings Per Share [Abstract] | |
Components of Earnings Per Share | The components of earnings per share were: Three Months Six Months Ended (Dollars and Shares in Millions, Except Per Share Data) 2023 2022 2023 2022 Net income attributable to U.S. Bancorp $ 1,361 $ 1,531 $ 3,059 $ 3,088 Preferred dividends (73 ) (59 ) (171 ) (143 ) Earnings allocated to participating stock awards (7 ) (8 ) (15 ) (15 ) Net income applicable to U.S. Bancorp common shareholders $ 1,281 $ 1,464 $ 2,873 $ 2,930 Average common shares outstanding 1,533 1,486 1,532 1,485 Net effect of the exercise and assumed purchase of stock awards — 1 1 1 Average diluted common shares outstanding 1,533 1,487 1,533 1,486 Earnings per common share $ .84 $ .99 $ 1.87 $ 1.97 Diluted earnings per common share $ .84 $ .99 $ 1.87 $ 1.97 |
Employee Benefits (Tables)
Employee Benefits (Tables) | 6 Months Ended |
Jun. 30, 2023 | |
Retirement Benefits [Abstract] | |
Components of Net Periodic Benefit Cost and Other Amounts Recognized in Accumulated Other Comprehensive Income (Loss) | The components of net periodic benefit cost for the Company’s retirement plans were: Three Months Ended June 30 Six Months Ended June 30 Pension Plans Postretirement Pension Plans Postretirement (Dollars in Millions) 2023 2022 2023 2022 2023 2022 2023 2022 Service cost $ 56 $ 68 $ — $ — $ 112 $ 137 $ — $ — Interest cost 93 62 1 — 185 123 1 — Expected return on plan assets (137 ) (120 ) (1 ) — (273 ) (239 ) (1 ) — Prior service cost (credit) amortization — — (1 ) (2 ) (1 ) (1 ) (1 ) (2 ) Actuarial loss (gain) amortization 1 35 (2 ) (1 ) 2 70 (4 ) (3 ) Net periodic benefit cost (a) $ 13 $ 45 $ (3 ) $ (3 ) $ 25 $ 90 $ (5 ) $ (5 ) (a) Service cost is included in employee benefits expense on the Consolidated Statement of Income. All other components are included in other noninterest expense on the Consolidated Statement of Income. |
Income Taxes (Tables)
Income Taxes (Tables) | 6 Months Ended |
Jun. 30, 2023 | |
Income Tax Disclosure [Abstract] | |
Components of Income Tax Expense | The components of income tax expense were: Three Months Ended Six Months Ended (Dollars in Millions) 2023 2022 2023 2022 Federal Current $ 263 $ 221 $ 660 $ 625 Deferred 33 107 1 5 Federal income tax 296 328 661 630 State Current 119 89 215 178 Deferred (33 ) (3 ) (39 ) 3 State income tax 86 86 176 181 Total income tax provision $ 382 $ 414 $ 837 $ 811 |
Reconciliation of Expected Income Tax Expense at Federal Statutory Rate of 21 Percent to Company's Applicable Income Tax Expense | A reconciliation of expected income tax expense at the federal statutory rate of 21 percent to the Company’s applicable income tax expense follows: Three Months Ended Six Months Ended (Dollars in Millions) 2023 2022 2023 2022 Tax at statutory rate $ 368 $ 409 $ 821 $ 820 State income tax, at statutory rates, net of federal tax benefit 83 84 185 168 Tax effect of Tax credits and benefits, net of related expenses (63 ) (46 ) (140 ) (152 ) Tax-exempt (41 ) (29 ) (75 ) (57 ) Other items 35 (4 ) 46 32 Applicable income taxes $ 382 $ 414 $ 837 $ 811 |
Derivative Instruments (Tables)
Derivative Instruments (Tables) | 6 Months Ended |
Jun. 30, 2023 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Summary of Asset and Liability Management Derivative Positions of Company | The following table summarizes the asset and liability management derivative positions of the Company: June 30, 2023 December 31, 2022 Notional Value Fair Value Notional Value Fair Value (Dollars in Millions) Assets Liabilities Assets Liabilities Fair value hedges Interest rate contracts Receive fixed/pay floating swaps $ 19,650 $ — $ 3 $ 17,400 $ — $ 9 Pay fixed/receive floating swaps 16,514 — — 5,542 — — Cash flow hedges Interest rate contracts Receive fixed/pay floating swaps 26,700 — — 14,300 — — Net investment hedges Foreign exchange forward contracts 824 — 4 778 — — Other economic hedges Interest rate contracts Futures and forwards Buy 4,943 4 8 3,546 10 18 Sell 5,966 25 5 7,522 20 38 Options Purchased 8,815 249 — 11,434 346 — Written 6,451 19 129 7,849 7 148 Receive fixed/pay floating swaps 5,105 — — 9,215 — 3 Pay fixed/receive floating swaps 5,117 — — 9,616 — — Foreign exchange forward contracts 687 1 2 962 2 6 Equity contracts 207 2 1 361 — 10 Credit contracts 625 1 — 330 — — Other (a) 2,273 11 146 1,908 11 190 Total $ 103,877 $ 312 $ 298 $ 90,763 $ 396 $ 422 (a) Includes derivative liability swap agreements related to the sale of a portion of the Company’s Class B common and preferred shares of Visa Inc. The Visa swap agreements had a total notional value and fair value of $2.0 billion and $146 million at June 30, 2023, respectively, compared to $1.8 billion and $190 million at December 31, 2022, respectively. In addition, includes short-term underwriting purchase and sale commitments with total notional values of $192 million at June 30, 2023, and $13 million at December 31, 2022. |
Summary of Customer-Related Derivative Positions of Company | The following table summarizes the customer-related derivative positions of the Company: June 30, 2023 December 31, 2022 Notional Fair Value Notional Fair Value (Dollars in Millions) Assets Liabilities Assets Liabilities Interest rate contracts Receive fixed/pay floating swaps $ 626,975 $ 287 $ 6,063 $ 301,690 $ 309 $ 5,689 Pay fixed/receive floating swaps 618,184 2,358 217 316,133 2,323 206 Other (a) 83,116 21 55 40,261 3 16 Options Purchased 116,596 1,837 1 103,489 1,794 5 Written 113,163 1 1,831 99,923 6 1,779 Futures Buy — — — 3,623 — 4 Sell — — — 2,376 8 — Foreign exchange rate contracts Forwards, spots and swaps 128,711 2,508 2,107 134,666 3,010 2,548 Options Purchased 1,027 27 — 954 22 — Written 1,027 — 27 954 — 22 Commodity contracts Swaps 378 8 7 — — — Options Purchased 894 36 35 — — — Credit contracts 13,581 1 8 10,765 1 8 Total $ 1,703,652 $ 7,084 $ 10,351 $ 1,014,834 $ 7,476 $ 10,277 (a) Primarily represents floating rate interest rate swaps that pay based on differentials between specified interest rate indexes. |
Summary of Effective Portion of Gains (Losses) Recognized in Other Comprehensive Income (Loss) and Gains (Losses) Reclassified from Other Comprehensive Income (Loss) into Earnings | The table below shows the effective portion of the gains (losses) recognized in other comprehensive income (loss) and the gains (losses) reclassified from other comprehensive income (loss) into earnings (net-of-tax): Three Months Ended June 30 Six Months Ended June 30 Gains (Losses) Gains (Losses) Gains (Losses) Gains (Losses) (Dollars in Millions) 2023 2022 2023 2022 2023 2022 2023 2022 Asset and Liability Management Positions Cash flow hedges Interest rate contracts $ (345 ) $ 73 $ (8 ) $ (8 ) $ (194 ) $ 73 $ (14 ) $ (16 ) Net investment hedges Foreign exchange forward contracts (6 ) 27 — — (9 ) 26 — — Non-derivative 1 63 — — (17 ) 83 — — Note: The Company does not exclude components from effectiveness testing for cash flow and net investment hedges. |
Summary of Effect of Fair Value and Cash Flow Hedge Accounting Included in Interest Expense on Consolidated Statement of Income | The table below shows the effect of fair value and cash flow hedge accounting on the Consolidated Statement of Income: Three Months Ended June 30 Six Months Ended June 30 Interest Income Interest Expense Interest Income Interest Expense (Dollars in Millions) 2023 2022 2023 2022 2023 2022 2023 2022 Total amount of income and expense line items presented in the Consolidated Statement of Income in which the effects of fair value or cash flow hedges are recorded $ 7,526 $ 3,825 $ 3,111 $ 390 $ 14,490 $ 7,243 $ 5,441 $ 635 Asset and Liability Management Positions Fair value hedges Interest rate contract derivatives 334 (186 ) 243 (38 ) 156 331 129 34 Hedged items (332 ) 187 (241 ) 36 (158 ) (331 ) (127 ) (35 ) Cash flow hedges Interest rate contract derivatives — — 11 10 — — 18 21 Note: The Company does not exclude components from effectiveness testing for fair value and cash flow cash flow |
Summary of Cumulative Hedging Adjustments and the Carrying Amount of Assets and Liabilities Designated in Fair Value Hedges | The table below shows cumulative hedging adjustments and the carrying amount of assets and liabilities designated in fair value hedges: Carrying Amount of the Hedged Assets Cumulative Hedging Adjustment (a) (Dollars in Millions) June 30, 2023 December 31, 2022 June 30, 2023 December 31, 2022 Line Item in the Consolidated Balance Sheet Available-for-sale $ 10,541 $ 4,937 $ (695 ) $ (552 ) Long-term debt 16,431 17,190 (335 ) (142 ) (a) The cumulative hedging adjustment related to discontinued hedging relationships on available-for-sale (b) Includes amounts related to available-for-sale 119 50 |
Summary of Gains (Losses) Recognized in Earnings for Other Economic Hedges and Customer-Related Positions | The table below shows the gains (losses) recognized in earnings for other economic hedges and the customer-related positions: Location of Gains (Losses) Recognized in Earnings Three Months Six Months (Dollars in Millions) 2023 2022 2023 2022 Asset and Liability Management Positions Other economic hedges Interest rate contracts Futures and forwards Mortgage banking revenue $ 31 $ 74 $ 38 $ 297 Purchased and written options Mortgage banking revenue 17 6 15 (41 ) Swaps Mortgage banking revenue/Other noninterest income (38 ) (247 ) 20 (451 ) Foreign exchange forward contracts Other noninterest income (8 ) 4 (13 ) 1 Equity contracts Compensation expense — (1 ) (3 ) (3 ) Other Other noninterest income 1 1 (1 ) — Customer-Related Positions Interest rate contracts Swaps Commercial products revenue 58 3 95 47 Purchased and written options Commercial products revenue (1 ) — — 4 Futures Commercial products revenue — 8 (1 ) 24 Foreign exchange rate contracts Forwards, spots and swaps Commercial products revenue 44 20 99 35 Purchased and written options Commercial products revenue — 1 — 1 Commodity contracts Swaps Commercial products revenue 2 — 2 — Credit contracts Commercial products revenue (1 ) 17 (1 ) 22 |
Netting Arrangements for Cert_2
Netting Arrangements for Certain Financial Instruments and Securities Financing Activities (Tables) | 6 Months Ended |
Jun. 30, 2023 | |
Text Block [Abstract] | |
Summary of Maturities by Category of Collateral Pledged for Repurchase Agreements and Securities Loaned Transactions | The following table summarizes the maturities by category of collateral pledged for repurchase agreements and securities loaned transactions: (Dollars in Millions) Overnight and Less Than 30-89 Greater Than Total June 30, 2023 Repurchase agreements U.S. Treasury and agencies $ 1,560 $— $— $— $ 1,560 Residential agency mortgage-backed securities 327 — — — 327 Corporate debt securities 672 — — — 672 Total repurchase agreements 2,559 — — — 2,559 Securities loaned Corporate debt securities 182 — — — 182 Total securities loaned 182 — — — 182 Gross amount of recognized liabilities $ 2,741 $— $— $— $ 2,741 December 31, 2022 Repurchase agreements U.S. Treasury and agencies $ 147 $— $— $— $ 147 Residential agency mortgage-backed securities 846 — — — 846 Corporate debt securities 439 — — — 439 Total repurchase agreements 1,432 — — — 1,432 Securities loaned Corporate debt securities 120 — — — 120 Total securities loaned 120 — — — 120 Gross amount of recognized liabilities $ 1,552 $— $— $— $ 1,552 |
Information on Company's Accounting Netting Adjustments and Items Not Offset in Consolidated Balance Sheet Assets But Available for Offset in Event of Default | The following tables provide information on the Company’s netting adjustments, and items not offset on the Consolidated Balance Sheet but available for offset in the event of default: (Dollars in Millions) Gross Recognized Gross Amounts Net Amounts Gross Amounts Not Offset on the Net Amount Financial Collateral June 30, 2023 Derivative assets (d) $ 7,365 $ (3,295 ) $ 4,070 $ (204 ) $ — $ 3,866 Reverse repurchase agreements 1,557 — 1,557 (303 ) (1,236 ) 18 Securities borrowed 1,726 — 1,726 — (1,670 ) 56 Total $ 10,648 $ (3,295 ) $ 7,353 $ (507 ) $ (2,906 ) $ 3,940 December 31, 2022 Derivative assets (d) $ 7,852 $ (5,427 ) $ 2,425 $ (231 ) $ (80 ) $ 2,114 Reverse repurchase agreements 107 — 107 (102 ) (5 ) — Securities borrowed 1,606 — 1,606 — (1,548 ) 58 Total $ 9,565 $ (5,427 ) $ 4,138 $ (333 ) $ (1,633 ) $ 2,172 (a) Includes $2.7 billion and $3.0 billion of cash collateral related payables that were netted against derivative assets at June 30, 2023 and December 31, 2022, respectively. (b) For derivative assets this includes any derivative liability fair values that could be offset in the event of counterparty default; for reverse repurchase agreements this includes any repurchase agreement payables that could be offset in the event of counterparty default; for securities borrowed this includes any securities loaned payables that could be offset in the event of counterparty default. (c) Includes the fair value of securities received by the Company from the counterparty. These securities are not included on the Consolidated Balance Sheet unless the counterparty defaults. (d) Excludes $31 million and $20 million at June 30, 2023 and December 31, 2022, respectively, of derivative assets not subject to netting arrangements. |
Information on Company's Accounting Netting Adjustments and Items Not Offset in Consolidated Balance Sheet Liabilities But Available for Offset in Event of Default | (Dollars in Millions) Gross Recognized Gross Amounts Net Amounts Gross Amounts Not Offset on the Net Amount Financial Collateral June 30, 2023 Derivative liabilities (d) $ 10,501 $ (3,037 ) $ 7,464 $ (204 ) $ — $ 7,260 Repurchase agreements 2,559 — 2,559 (303 ) (2,256 ) — Securities loaned 182 — 182 — (178 ) 4 Total $ 13,242 $ (3,037 ) $ 10,205 $ (507 ) $ (2,434 ) $ 7,264 December 31, 2022 Derivative liabilities (d) $ 10,506 $ (4,551 ) $ 5,955 $ (231 ) $ — $ 5,724 Repurchase agreements 1,432 — 1,432 (102 ) (1,325 ) 5 Securities loaned 120 — 120 — (118 ) 2 Total $ 12,058 $ (4,551 ) $ 7,507 $ (333 ) $ (1,443 ) $ 5,731 (a) Includes $2.4 billion and $2.1 billion of cash collateral related receivables that were netted against derivative liabilities at June 30, 2023 and December 31, 2022, respectively. (b) For derivative liabilities this includes any derivative asset fair values that could be offset in the event of counterparty default; for repurchase agreements this includes any reverse repurchase agreement receivables that could be offset in the event of counterparty default; for securities loaned this includes any securities borrowed receivables that could be offset in the event of counterparty default. (c) Includes the fair value of securities pledged by the Company to the counterparty. These securities are included on the Consolidated Balance Sheet unless the Company defaults. (d) Excludes $148 million and $193 million at June 30, 2023 and December 31, 2022, respectively, of derivative liabilities not subject to netting arrangements. |
Fair Values of Assets and Lia_2
Fair Values of Assets and Liabilities (Tables) | 6 Months Ended |
Jun. 30, 2023 | |
Fair Value Disclosures [Abstract] | |
Valuation Assumption Ranges for MSRs | The following table shows the significant valuation assumption ranges for MSRs at June 30, 2023: Minimum Maximum Weighted- Expected prepayment 6 % 19 % 8 % Option adjusted spread 5 11 6 (a) Determined based on the relative fair value of the related mortgage loans serviced. |
Valuation Assumption Ranges for Derivative Commitments | The following table shows the significant valuation assumption ranges for the Company’s derivative commitments to purchase and originate mortgage loans at June 30, 2023: Minimum Maximum Weighted- Expected loan close rate 34 % 100 % 79 % Inherent MSR value (basis points per loan) 63 188 105 (a) Determined based on the relative fair value of the related mortgage loans. |
Balances of Assets and Liabilities Measured at Fair Value on Recurring Basis | The following table summarizes the balances of assets and liabilities measured at fair value on a recurring basis: (Dollars in Millions) Level 1 Level 2 Level 3 Netting Total June 30, 2023 Available-for-sale U.S. Treasury and agencies $ 14,112 $ 4,856 $ — $ — $ 18,968 Mortgage-backed securities Residential agency — 25,661 — — 25,661 Commercial Agency — 7,187 — — 7,187 Non-agency — 6 — — 6 Asset-backed securities — 7,451 — — 7,451 Obligations of state and political subdivisions — 9,944 — — 9,944 Other — 4 — — 4 Total available-for-sale 14,112 55,109 — — 69,221 Mortgage loans held for sale — 2,280 — — 2,280 Mortgage servicing rights — — 3,633 — 3,633 Derivative assets 2 6,051 1,343 (3,295 ) 4,101 Other assets 470 1,776 — — 2,246 Total $ 14,584 $ 65,216 $ 4,976 $ (3,295 ) $ 81,481 Derivative liabilities $ — $ 5,887 $ 4,762 $ (3,037 ) $ 7,612 Short-term borrowings and other liabilities (a) 202 1,743 — — 1,945 Total $ 202 $ 7,630 $ 4,762 $ (3,037 ) $ 9,557 December 31, 2022 Available-for-sale U.S. Treasury and agencies $ 13,723 $ 8,310 $ — $ — $ 22,033 Mortgage-backed securities Residential agency — 29,271 — — 29,271 Commercial Agency — 7,145 — — 7,145 Non-agency — 7 — — 7 Asset-backed securities — 4,323 — — 4,323 Obligations of state and political subdivisions — 10,124 1 — 10,125 Other — 6 — — 6 Total available-for-sale 13,723 59,186 1 — 72,910 Mortgage loans held for sale — 1,849 — — 1,849 Mortgage servicing rights — — 3,755 — 3,755 Derivative assets 9 6,608 1,255 (5,427 ) 2,445 Other assets 248 1,756 — — 2,004 Total $ 13,980 $ 69,399 $ 5,011 $ (5,427 ) $ 82,963 Derivative liabilities $ 4 $ 6,241 $ 4,454 $ (4,551 ) $ 6,148 Short-term borrowings and other liabilities (a) 125 1,564 — — 1,689 Total $ 129 $ 7,805 $ 4,454 $ (4,551 ) $ 7,837 Note: Excluded from the table above are equity investments without readily determinable fair values. The Company has elected to carry these investments at historical cost, adjusted for impairment and any changes resulting from observable price changes for identical or similar investments of the issuer. The aggregate carrying amount of these equity investments was $110 million and $104 million at June 30, 2023 and December 31, 2022, respectively. The Company recorded a $5 million impairment on these equity investments during the first six months ended 2023, and the cumulative impairment on these equity investments is $5 million. The Company has not recorded adjustments for observable price changes on these equity investments during the first six months of 2023, or on a cumulative basis. (a) Primarily represents the Company’s obligation on securities sold short required to be accounted for at fair value per applicable accounting guidance. |
Changes in Fair Value for All Assets and Liabilities Measured at Fair Value on Recurring Basis Using Significant Unobservable Inputs (Level 3) | The following table presents the changes in fair value for all assets (Dollars in Millions) Beginning Net Gains Purchases Sales Principal Issuances Settlements End Net Change 2023 Available-for-sale Obligations of state and political subdivisions $ 1 $ — $ — $ — $ (1 ) $ — $ — $ — $ — Total available-for-sale 1 — — — (1 ) — — — — Mortgage servicing rights 3,724 (42 ) (a) 1 (149) — 99 (c) — 3,633 (42 ) (a) Net derivative assets and liabilities (2,265 ) (1,927 ) (b) (18) (7) — — 798 (3,419 ) (1,631 ) (d) 2022 Available-for-sale Asset-backed securities $ 7 $ (3 ) $ — $ (4 ) $ — $ — $ — $ — $ — Obligations of state and political subdivisions 1 — — — — — — 1 — Total available-for-sale 8 (3 ) — (4 ) — — — 1 — Mortgage servicing rights 3,432 170 (a) 3 — — 102 (c) — 3,707 170 (a) Net derivative assets and liabilities (1,011 ) (1,494 ) (e) 81 — — — 249 (2,175 ) (1,259 ) (f) (a) Included in mortgage banking revenue. (b) Approximately $46 million, $(2.0) billion and $1 million included in mortgage banking revenue, commercial products revenue and other noninterest income, respectively. (c) Represents MSRs capitalized during the period. (d) Approximately $18 million, $(1.7) billion and $1 million included in mortgage banking revenue, commercial products revenue and other noninterest income, respectively. (e) Approximately $(20) million, $(1.5) billion and $1 million included in mortgage banking revenue, commercial products revenue and other noninterest income, respectively. (f) Approximately $(3) million, $(1.3) billion and $1 million included in mortgage banking revenue, commercial products revenue and other noninterest income, respectively. The following table presents the changes in fair value for all assets and liabilities measured at fair value on a recurring basis using significant unobservable inputs (Level 3) for the six months ended June 30: (Dollars in Millions) Beginning Net Gains Purchases Sales Principal Issuances Settlements End Net Change 2023 Available-for-sale Obligations of state and political subdivisions $ 1 $ — $ — $ — $ (1 ) $ — $ — $ — $ — Total available-for-sale 1 — — — (1 ) — — — — Mortgage servicing rights 3,755 (171 ) (a) 2 (148) — 195 (c) — 3,633 (171 ) (a) Net derivative assets and liabilities (3,199 ) (2,243 ) (b) 405 (19) — — 1,637 (3,419 ) (1,242 ) (d) 2022 Available-for-sale Asset-backed securities $ 7 $ (3 ) $ — $ (4 ) $ — $ — $ — $ — $ — Obligations of state and political subdivisions 1 — — — — — — 1 — Total available-for-sale 8 (3 ) — (4 ) — — — 1 — Mortgage servicing rights 2,953 408 (a) 6 1 — 339 (c) — 3,707 408 (a) Net derivative assets and liabilities 799 (3,361 ) (e) 92 (1 ) — — 296 (2,175 ) (2,739 ) (f) (a) Included in mortgage banking revenue. (b) Approximately $98 million, $(2.3) billion and $(1) million included in mortgage banking revenue, commercial products revenue and other noninterest income, respectively. (c) Represents MSRs capitalized during the period. (d) Approximately $18 million, $(1.3) billion and $(1) million included in mortgage banking revenue, commercial products revenue and other noninterest income, respectively. (e) Approximately $(103) million and $(3.3) billion included in mortgage banking revenue and commercial products revenue, respectively. (f) Approximately $(3) million and $(2.7) billion included in mortgage banking revenue and commercial products revenue, respectively. |
Adjusted Carrying Values for Assets Measured at Fair Value on Nonrecurring Basis | The following table summarizes the balances as of the measurement date of assets measured at fair value on a nonrecurring basis, and still held as of the reporting date: June 30, 2023 December 31, 2022 (Dollars in Millions) Level 1 Level 2 Level 3 Total Level 1 Level 2 Level 3 Total Loans (a) $ — $ — $ 156 $ 156 $ — $ — $ 97 $ 97 Other assets (b) — — 19 19 — — 21 21 (a) Represents the carrying value of loans for which adjustments were based on the fair value of the collateral, excluding loans fully charged-off. (b) Primarily represents the fair value of foreclosed properties that were measured at fair value based on an appraisal or broker price opinion of the collateral subsequent to their initial acquisition. |
Losses Recognized Related to Nonrecurring Fair Value Measurements of Individual Assets or Portfolios | The following table summarizes losses recognized related to nonrecurring fair value measurements of individual assets or portfolios: Three Months Ended Six Months Ended (Dollars in Millions) 2023 2022 2023 2022 Loans (a) $ 68 $ 22 $ 210 $ 33 Other assets (b) — 10 1 11 (a) Represents write-downs of loans which were based on the fair value of the collateral, excluding loans fully charged-off. (b) Primarily represents related losses of foreclosed properties that were measured at fair value subsequent to their initial acquisition. |
Differences Between Aggregate Fair Value Carrying Amount of MLHFS for which Fair Value Option has been Elected and Aggregate Unpaid Principal Amount Contractually Obligated to Receive at Maturity | The following table summarizes the differences between the aggregate fair value carrying amount of MLHFS for which the fair value option has been elected and the aggregate unpaid principal amount that the Company is contractually obligated to receive at maturity: June 30, 2023 December 31, 2022 (Dollars in Millions) Fair Aggregate Carrying Fair Aggregate Carrying Total loans $ 2,280 $ 2,277 $ 3 $ 1,849 $ 1,848 $ 1 Nonaccrual loans 1 1 — 1 1 — Loans 90 days or more past due 3 3 — 1 1 — |
Estimated Fair Values of Financial Instruments | The estimated fair values of the Company’s financial instruments are shown in the table below: June 30, 2023 December 31, 2022 Carrying Amount Fair Value Carrying Amount Fair Value (Dollars in Millions) Level 1 Level 2 Level 3 Total Level 1 Level 2 Level 3 Total Financial Assets Cash and due from banks $ 70,642 $ 70,642 $ — $ — $ 70,642 $ 53,542 $ 53,542 $ — $ — $ 53,542 Federal funds sold and securities purchased under resale agreements 1,606 — 1,606 — 1,606 356 — 356 — 356 Investment securities held-to-maturity 86,938 1,287 74,998 — 76,285 88,740 1,293 76,581 — 77,874 Loans held for sale (a) 81 — — 81 81 351 — — 351 351 Loans 372,264 — — 364,104 364,104 381,277 — — 368,874 368,874 Other (b) 3,158 — 2,459 699 3,158 2,962 — 2,224 738 2,962 Financial Liabilities Time deposits 51,969 — 51,664 — 51,664 32,946 — 32,338 — 32,338 Short-term borrowings (c) 30,389 — 30,077 — 30,077 29,527 — 29,145 — 29,145 Long-term debt 45,283 — 43,007 — 43,007 39,829 — 37,622 — 37,622 Other (d) 5,238 — 1,416 3,822 5,238 5,137 — 1,500 3,637 5,137 (a) Excludes mortgages held for sale for which the fair value option under applicable accounting guidance was elected. (b) Includes investments in Federal Reserve Bank and Federal Home Loan Bank stock and tax-advantaged (c) Excludes the Company’s obligation on securities sold short required to be accounted for at fair value per applicable accounting guidance. (d) Includes operating lease liabilities and liabilities related to tax-advantaged |
Guarantees and Contingent Lia_2
Guarantees and Contingent Liabilities (Tables) | 6 Months Ended |
Jun. 30, 2023 | |
Commitments and Contingencies Disclosure [Abstract] | |
Summary of Other Guarantees and Contingent Liabilities | The following table is a summary of other guarantees and contingent liabilities of the Company at June 30, 2023: (Dollars in Millions) Collateral Carrying Maximum Standby letters of credit $ — $ 23 $ 10,705 Third party borrowing arrangements — — 11 Securities lending indemnifications 9,026 — 8,859 Asset sales — 96 8,396 Merchant processing 1,231 90 151,227 Tender option bond program guarantee 1,025 — 1,009 Other — 21 1,907 (a) The maximum potential future payments do not include loan sales where the Company provides standard representation and warranties to the buyer against losses related to loan underwriting documentation defects that may have existed at the time of sale that generally are identified after the occurrence of a triggering event such as delinquency. For these types of loan sales, the maximum potential future payments is generally the unpaid principal balance of loans sold measured at the end of the current reporting period. Actual losses will be significantly less than the maximum exposure, as only a fraction of loans sold will have a representation and warranty breach, and any losses on repurchase would generally be mitigated by any collateral held against the loans. |
Business Segments (Tables)
Business Segments (Tables) | 6 Months Ended |
Jun. 30, 2023 | |
Text Block [Abstract] | |
Business Segments Reporting Information Details | Business segment results for the three months ended June 30 were as follows: Corporate and Commercial Consumer and Business Banking Wealth Management and (Dollars in Millions) 2023 2022 2023 2022 2023 2022 Condensed Income Statement Net interest income (taxable-equivalent basis) $ 1,019 $ 799 $ 2,196 $ 1,580 $ 482 $ 370 Noninterest income 347 272 426 390 728 652 Total net revenue 1,366 1,071 2,622 1,970 1,210 1,022 Noninterest expense 636 471 1,801 1,401 670 539 Income (loss) before provision and income taxes 730 600 821 569 540 483 Provision for credit losses 150 98 24 (74 ) 3 (4 ) Income (loss) before income taxes 580 502 797 643 537 487 Income taxes and taxable-equivalent adjustment 145 126 199 160 134 122 Net income (loss) 435 376 598 483 403 365 Net (income) loss attributable to noncontrolling interests – – – – – – Net income (loss) attributable to U.S. Bancorp $ 435 $ 376 $ 598 $ 483 $ 403 $ 365 Average Balance Sheet Loans $ 151,123 $ 123,245 $ 169,704 $ 140,747 $ 24,568 $ 22,285 Other earning assets 6,250 4,161 2,512 2,576 421 233 Goodwill 2,859 1,912 4,531 3,244 1,792 1,718 Other intangible assets 537 4 5,393 3,635 426 300 Assets 173,101 137,809 187,507 155,700 29,008 25,728 Noninterest-bearing deposits 51,242 59,226 35,489 30,492 21,199 25,194 Interest-bearing deposits 107,724 93,830 187,793 164,269 80,061 75,824 Total deposits 158,966 153,056 223,282 194,761 101,260 101,018 Total U.S. Bancorp shareholders’ equity 18,244 13,992 16,516 12,326 3,976 3,615 Payment Services Treasury and Corporate Support Consolidated Company (Dollars in Millions) 2023 2022 2023 2022 2023 2022 Condensed Income Statement Net interest income (taxable-equivalent basis) $ 645 $ 619 $ 107 $ 96 $ 4,449 $ 3,464 Noninterest income 1,051 (a) 993 (a) 174 241 2,726 (b) 2,548 (b) Total net revenue 1,696 1,612 281 337 7,175 (c) 6,012 (c) Noninterest expense 915 865 547 448 4,569 3,724 Income (loss) before provision and income taxes 781 747 (266 ) (111 ) 2,606 2,288 Provision for credit losses 314 221 330 70 821 311 Income (loss) before income taxes 467 526 (596 ) (181 ) 1,785 1,977 Income taxes and taxable-equivalent adjustment 117 132 (179 ) (97 ) 416 443 Net income (loss) 350 394 (417 ) (84 ) 1,369 1,534 Net (income) loss attributable to noncontrolling interests – – (8 ) (3 ) (8 ) (3 ) Net income (loss) attributable to U.S. Bancorp $ 350 $ 394 $ (425 ) $ (87 ) $ 1,361 $ 1,531 Average Balance Sheet Loans $ 37,913 $ 33,854 $ 5,509 $ 4,056 $ 388,817 $ 324,187 Other earning assets 74 1,023 215,765 204,581 225,022 212,574 Goodwill 3,330 3,318 – – 12,512 10,192 Other intangible assets 359 437 9 – 6,724 4,376 Assets 44,127 41,014 239,269 219,660 673,012 579,911 Noninterest-bearing deposits 3,179 3,396 2,649 2,519 113,758 120,827 Interest-bearing deposits 104 167 7,825 1,599 383,507 335,689 Total deposits 3,283 3,563 10,474 4,118 497,265 456,516 Total U.S. Bancorp shareholders’ equity 9,127 8,113 5,959 11,120 53,822 49,166 (a) Presented net of related rewards and rebate costs and certain partner payments of $760 million and $772 million for the three months ended June 30, 2023 and 2022, respectively. (b) Includes revenue generated from certain contracts with customers of $2.2 billion and $2.0 billion for the three months ended June 30, 2023 and 2022, respectively. (c) The Company, as a lessor, originates retail and commercial leases either directly to the consumer or indirectly through dealer networks. Under these arrangements, the Company recorded $186 million and $188 million of revenue for the three months ended June 30, 2023 and 2022, respectively, primarily consisting of interest income on sales-type and direct financing leases. Business segment results for the six months ended June 30 were as follows: Corporate and Commercial Consumer and Business Banking Wealth Management and Investment Services (Dollars in Millions) 2023 2022 2023 2022 2023 2022 Condensed Income Statement Net interest income (taxable-equivalent basis) $ 2,099 $ 1,546 $ 4,480 $ 3,063 $ 999 $ 662 Noninterest income 666 519 823 844 1,429 1,247 Total net revenue 2,765 2,065 5,303 3,907 2,428 1,909 Noninterest expense 1,249 915 3,568 2,807 1,335 1,092 Income (loss) before provision and income taxes 1,516 1,150 1,735 1,100 1,093 817 Provision for credit losses 126 104 31 (26 ) – 4 Income (loss) before income taxes 1,390 1,046 1,704 1,126 1,093 813 Income taxes and taxable-equivalent adjustment 348 262 426 280 273 204 Net income (loss) 1,042 784 1,278 846 820 609 Net (income) loss attributable to noncontrolling interests – – – – – – Net income (loss) attributable to U.S. Bancorp $ 1,042 $ 784 $ 1,278 $ 846 $ 820 $ 609 Average Balance Sheet Loans $ 150,455 $ 119,598 $ 169,898 $ 140,586 $ 24,441 $ 21,483 Other earning assets 5,949 4,417 2,346 3,475 401 237 Goodwill 2,842 1,912 4,511 3,253 1,790 1,739 Other intangible assets 564 4 5,493 3,406 434 283 Assets 171,389 132,899 187,715 156,320 28,808 25,062 Noninterest-bearing deposits 54,808 61,195 39,331 30,721 21,619 26,378 Interest-bearing deposits 106,326 90,509 184,632 163,123 83,656 75,007 Total deposits 161,134 151,704 223,963 193,844 105,275 101,385 Total U.S. Bancorp shareholders’ equity 17,776 13,862 16,608 12,270 4,040 3,604 Payment Services Treasury and Corporate Support Consolidated Company (Dollars in Millions) 2023 2022 2023 2022 2023 2022 Condensed Income Statement Net interest income (taxable-equivalent basis) $ 1,299 $ 1,241 $ 240 $ 152 $ 9,117 $ 6,664 Noninterest income 1,988 (a) 1,850 (a) 327 484 5,233 (b) 4,944 (b) Total net revenue 3,287 3,091 567 636 14,350 (c) 11,608 (c) Noninterest expense 1,828 1,711 1,144 701 9,124 7,226 Income (loss) before provision and income taxes 1,459 1,380 (577 ) (65 ) 5,226 4,382 Provision for credit losses 534 351 557 (10 ) 1,248 423 Income (loss) before income taxes 925 1,029 (1,134 ) (55 ) 3,978 3,959 Income taxes and taxable-equivalent adjustment 232 258 (374 ) (137 ) 905 867 Net income (loss) 693 771 (760 ) 82 3,073 3,092 Net (income) loss attributable to noncontrolling interests – – (14 ) (4 ) (14 ) (4 ) Net income (loss) attributable to U.S. Bancorp $ 693 $ 771 $ (774 ) $ 78 $ 3,059 $ 3,088 Average Balance Sheet Loans $ 37,426 $ 32,802 $ 5,569 $ 4,139 $ 387,789 $ 318,608 Other earning assets 187 1,023 214,072 205,558 222,955 214,710 Goodwill 3,325 3,321 – – 12,468 10,225 Other intangible assets 372 450 22 – 6,885 4,143 Assets 43,493 39,762 237,846 224,620 669,251 578,663 Noninterest-bearing deposits 3,181 3,534 2,766 2,547 121,705 124,375 Interest-bearing deposits 106 164 7,333 2,174 382,053 330,977 Total deposits 3,287 3,698 10,099 4,721 503,758 455,352 Total U.S. Bancorp shareholders’ equity 9,048 8,065 5,776 13,503 53,248 51,304 (a) Presented net of related rewards and rebate costs and certain partner payments of $1.5 billion and $1.4 billion for the six months ended June 30, 2023 and 2022, respectively. (b) Includes revenue generated from certain contracts with customers of $4.3 billion and $3.9 billion for the six months ended June 30, 2023 and 2022, respectively. (c) The Company, as a lessor, originates retail and commercial leases either directly to the consumer or indirectly through dealer networks. Under these arrangements, the Company recorded $369 million and $392 million of revenue for the six months ended June 30, 2023 and 2022, respectively, primarily consisting of interest income on sales-type and direct financing leases. |
Business Combinations - Summary
Business Combinations - Summary of Preliminary Fair Value of The Identifiable Tangible and Intangible Assets and Liabilities (Detail) - USD ($) $ in Millions | Dec. 01, 2022 | Jun. 30, 2023 | Dec. 31, 2022 | |
Liabilities | ||||
Goodwill | $ 12,486 | $ 12,373 | ||
MUFG Union Bank [Member] | ||||
Acquisition consideration | ||||
Cash | $ 5,500 | |||
Market value of shares of common stock | 2,014 | |||
Total consideration transferred at acquisition close date | 7,514 | |||
Discounted liability to MUFG (a) | [1] | 2,944 | ||
Total | 10,458 | |||
Assets | ||||
Cash and due from banks | 17,754 | |||
Investment securities | 22,725 | |||
Loans held for sale | 2,220 | |||
Loans | 53,395 | |||
Less allowance for loan losses | (463) | |||
Net loans | 52,932 | |||
Premises and Equipment | 646 | |||
Other intangible assets (excluding goodwill) | 2,808 | |||
Other assets | 4,764 | |||
Total assets | 103,849 | |||
Liabilities | ||||
Deposits | 86,110 | |||
Short-term borrowings | 4,773 | |||
Long-term debt | 2,584 | |||
Other liabilities | 2,248 | |||
Total liabilities | 95,715 | |||
Less: Net assets | 8,134 | |||
Goodwill | $ 2,324 | $ 2,300 | ||
[1]Represents $3.5 billion of noninterest-bearing additional cash held by MUB upon close of the acquisition to be delivered to MUFG on or prior to December 1, 2027, discounted at the Company’s 5-year unsecured borrowing rate as of the acquisition date, per authoritative accounting guidance. |
Business Combinations - Summa_2
Business Combinations - Summary of Preliminary Fair Value of The Identifiable Tangible and Intangible Assets and Liabilities (Parenthetical) (Detail) $ in Billions | Dec. 01, 2022 USD ($) |
MUFG Union Bank [Member] | |
Business Acquisition [Line Items] | |
Discounted liability for excess cash received | $ 3.5 |
Business Combinations - Additio
Business Combinations - Additional Information (Detail) - USD ($) shares in Millions, $ in Millions | 3 Months Ended | 6 Months Ended | ||||||
Aug. 03, 2023 | Dec. 01, 2022 | Jun. 30, 2023 | Jun. 30, 2022 | Jun. 30, 2023 | Jun. 30, 2022 | Mar. 31, 2023 | Dec. 31, 2022 | |
Business Acquisition [Line Items] | ||||||||
Repayment of debt | $ 1,644 | $ 5,154 | ||||||
Business acquisition, transaction costs | $ 310 | $ 197 | 554 | 197 | ||||
Goodwill | 12,486 | 12,486 | $ 12,373 | |||||
MUFG Union Bank [Member] | ||||||||
Business Acquisition [Line Items] | ||||||||
Payments to acquire businesses, gross | $ 5,500 | |||||||
Business combination, Recognized identifiable assets acquired and liabilities assumed, Financial liabilities | 53,395 | |||||||
Business combination, Recognized identifiable assets acquired and liabilities assumed, Deposits | 86,110 | |||||||
Repayment of debt | $ 936 | |||||||
Business combination tangible book value | 3,500 | |||||||
Business combination, price of acquisition, expected | 6,250 | |||||||
Business acquisition, transaction costs | 310 | $ 197 | 554 | $ 197 | ||||
Goodwill | $ 2,324 | $ 2,300 | $ 2,300 | |||||
MUFG Union Bank [Member] | Common Stock [Member] | ||||||||
Business Acquisition [Line Items] | ||||||||
Proceeds from issuance of common stock during acquisition | $ 24 | |||||||
MUFG Union Bank [Member] | Common Stock [Member] | ||||||||
Business Acquisition [Line Items] | ||||||||
Business acquisition, Equity interest issued or issuable, Number of shares | 44 | |||||||
Home Street Bank [Member] | ||||||||
Business Acquisition [Line Items] | ||||||||
Business combination, Recognized identifiable assets acquired and liabilities assumed, Financial liabilities | $ 22 | |||||||
Business combination, Recognized identifiable assets acquired and liabilities assumed, Deposits | $ 400 |
Investment Securities - Availab
Investment Securities - Available-for-Sale and Held-to-Maturity (Detail) - USD ($) $ in Millions | Jun. 30, 2023 | Dec. 31, 2022 | ||
Debt Securities Available For Sale And Held To Maturity [Line Items] | ||||
Held-to-maturity securities, Amortized Cost | $ 86,938 | [1] | $ 88,740 | |
Held-to-maturity securities, Unrealized Gains | 0 | 3 | ||
Held-to-maturity securities, Unrealized Losses | (10,653) | (10,869) | ||
Held-to-maturity securities, Fair Value | 76,285 | [1] | 77,874 | |
Available-for-sale Securities, Amortized Cost | 76,888 | 81,450 | ||
Available-for-sale securities, Unrealized Gains | 15 | 26 | ||
Available-for-sale securities, Unrealized Losses | (7,682) | (8,566) | ||
Available-for-sale securities, Fair Value | [3] | 69,221 | [1],[2] | 72,910 |
U.S. Treasury and Agencies [Member] | ||||
Debt Securities Available For Sale And Held To Maturity [Line Items] | ||||
Held-to-maturity securities, Amortized Cost | 1,345 | 1,344 | ||
Held-to-maturity securities, Unrealized Losses | (58) | (51) | ||
Held-to-maturity securities, Fair Value | 1,287 | 1,293 | ||
Available-for-sale Securities, Amortized Cost | 21,328 | 24,801 | ||
Available-for-sale securities, Unrealized Gains | 1 | 1 | ||
Available-for-sale securities, Unrealized Losses | (2,361) | (2,769) | ||
Available-for-sale securities, Fair Value | 18,968 | 22,033 | ||
Residential Mortgage-Backed Securities [Member] | Agency [Member] | ||||
Debt Securities Available For Sale And Held To Maturity [Line Items] | ||||
Held-to-maturity securities, Amortized Cost | 83,898 | 85,693 | ||
Held-to-maturity securities, Unrealized Gains | 0 | 2 | ||
Held-to-maturity securities, Unrealized Losses | (10,578) | (10,810) | ||
Held-to-maturity securities, Fair Value | 73,320 | 74,885 | ||
Available-for-sale Securities, Amortized Cost | 28,253 | 32,060 | ||
Available-for-sale securities, Unrealized Gains | 3 | 8 | ||
Available-for-sale securities, Unrealized Losses | (2,595) | (2,797) | ||
Available-for-sale securities, Fair Value | 25,661 | 29,271 | ||
Commercial [Member] | Agency [Member] | ||||
Debt Securities Available For Sale And Held To Maturity [Line Items] | ||||
Held-to-maturity securities, Amortized Cost | 1,695 | 1,703 | ||
Held-to-maturity securities, Unrealized Gains | 0 | 1 | ||
Held-to-maturity securities, Unrealized Losses | (17) | (8) | ||
Held-to-maturity securities, Fair Value | 1,678 | 1,696 | ||
Available-for-sale Securities, Amortized Cost | 8,719 | 8,736 | ||
Available-for-sale securities, Unrealized Losses | (1,532) | (1,591) | ||
Available-for-sale securities, Fair Value | 7,187 | 7,145 | ||
Commercial [Member] | Non Agency Securities [Member] | ||||
Debt Securities Available For Sale And Held To Maturity [Line Items] | ||||
Available-for-sale Securities, Amortized Cost | 7 | 7 | ||
Available-for-sale securities, Unrealized Losses | (1) | |||
Available-for-sale securities, Fair Value | 6 | 7 | ||
Asset-Backed Securities [Member] | ||||
Debt Securities Available For Sale And Held To Maturity [Line Items] | ||||
Available-for-sale Securities, Amortized Cost | 7,487 | [4] | 4,356 | |
Available-for-sale securities, Unrealized Gains | 5 | 5 | ||
Available-for-sale securities, Unrealized Losses | (41) | (38) | ||
Available-for-sale securities, Fair Value | 7,451 | [4] | 4,323 | |
Obligations of State and Political Subdivisions [Member] | ||||
Debt Securities Available For Sale And Held To Maturity [Line Items] | ||||
Available-for-sale Securities, Amortized Cost | 11,091 | [5],[6] | 11,484 | |
Available-for-sale securities, Unrealized Gains | 6 | 12 | ||
Available-for-sale securities, Unrealized Losses | (1,153) | (1,371) | ||
Available-for-sale securities, Fair Value | 9,944 | [5],[6] | 10,125 | |
Other [Member] | ||||
Debt Securities Available For Sale And Held To Maturity [Line Items] | ||||
Available-for-sale Securities, Amortized Cost | 4 | 6 | ||
Available-for-sale securities, Fair Value | 4 | 6 | ||
Excluding Portfolio Level Basis Adjustments [Member] | ||||
Debt Securities Available For Sale And Held To Maturity [Line Items] | ||||
Available-for-sale Securities, Amortized Cost | 76,889 | [1],[2] | 81,450 | |
Available-for-sale securities, Unrealized Gains | 15 | 26 | ||
Available-for-sale securities, Unrealized Losses | (7,683) | (8,566) | ||
Available-for-sale securities, Fair Value | 69,221 | 72,910 | ||
Portfolio Level Basis Adjustments [Member] | ||||
Debt Securities Available For Sale And Held To Maturity [Line Items] | ||||
Available-for-sale Securities, Amortized Cost | [7] | (1) | 0 | |
Available-for-sale securities, Unrealized Gains | [7] | 0 | 0 | |
Available-for-sale securities, Unrealized Losses | [7] | 1 | 0 | |
Available-for-sale securities, Fair Value | [7] | $ 0 | $ 0 | |
[1]The weighted-average maturity of total held-to-maturity investment securities was 9.2 years at December 31, 2022, with a corresponding weighted-average yield of 2.18 percent. The weighted-average maturity of total available-for-sale investment securities was 7.4 years at December 31, 2022, with a corresponding weighted-average yield of 2.94 percent.[2]Amortized cost excludes portfolio level basis adjustments of $(1) million.[3]Includes only collateral pledged by the Company where counterparties have the right to sell or pledge the collateral.[4]Information related to asset and mortgage-backed securities included above is presented based upon weighted-average maturities that take into account anticipated future prepayments.[5]Information related to obligations of state and political subdivisions is presented based upon yield to first optional call date if the security is purchased at a premium, and yield to maturity if the security is purchased at par or a discount.[6]Maturity calculations for obligations of state and political subdivisions are based on the first optional call date for securities with a fair value above par and the contractual maturity date for securities with a fair value equal to or below par.[7]Represents fair value hedge basis adjustments related to active portfolio layer method hedges of available-for-sale |
Investment Securities - Amount
Investment Securities - Amount of Interest Income from Taxable and Non-Taxable Investment Securities (Detail) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2023 | Jun. 30, 2022 | Jun. 30, 2023 | Jun. 30, 2022 | |
Interest Income, Securities, Operating, by Taxable Status [Abstract] | ||||
Taxable | $ 999 | $ 732 | $ 1,993 | $ 1,378 |
Non-taxable | 78 | 74 | 158 | 145 |
Total interest income from investment securities | $ 1,077 | $ 806 | $ 2,151 | $ 1,523 |
Investment Securities - Amoun_2
Investment Securities - Amount of Gross Gains and Losses Realized through Sales of Available-for-Sale Investment Securities (Detail) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2023 | Jun. 30, 2022 | Jun. 30, 2023 | Jun. 30, 2022 | |
Debt Securities, Available-for-sale, Realized Gain (Loss) [Abstract] | ||||
Realized gains | $ 5 | $ 144 | $ 65 | $ 386 |
Realized losses | (2) | (125) | (94) | (349) |
Net realized gains (losses) | 3 | 19 | (29) | 37 |
Income tax on net realized gains (losses) | $ 1 | $ 5 | $ (7) | $ 9 |
Investment Securities - Additio
Investment Securities - Additional Information (Detail) - USD ($) $ in Millions | Jun. 30, 2023 | Dec. 31, 2022 |
Debt Securities, Available-for-sale [Line Items] | ||
Debt securities, Held to maturity, Allowance for credit loss | $ 0 | |
Asset Pledged as Collateral [Member] | ||
Debt Securities, Available-for-sale [Line Items] | ||
Fair value of securities pledged | 21,300 | $ 15,300 |
Asset Pledged as Collateral with Right [Member] | ||
Debt Securities, Available-for-sale [Line Items] | ||
Fair value of securities pledged | $ 327 | $ 858 |
Investment Securities - Gross U
Investment Securities - Gross Unrealized Losses and Fair Value of Company's Investment Securities (Detail) $ in Millions | Jun. 30, 2023 USD ($) |
Continuous Gross Unrealized Losses And Fair Value [Abstract] | |
Fair Value Less Than 12 Months | $ 8,587 |
Unrealized Losses Less Than 12 Months | (167) |
Fair Value 12 Months or Greater | 53,638 |
Unrealized Losses 12 Months or Greater | (7,516) |
Fair Value Total | 62,225 |
Unrealized Losses Total | (7,683) |
U.S. Treasury and Agencies [Member] | |
Continuous Gross Unrealized Losses And Fair Value [Abstract] | |
Fair Value Less Than 12 Months | 419 |
Unrealized Losses Less Than 12 Months | (8) |
Fair Value 12 Months or Greater | 17,061 |
Unrealized Losses 12 Months or Greater | (2,353) |
Fair Value Total | 17,480 |
Unrealized Losses Total | (2,361) |
Residential Mortgage-Backed Securities [Member] | |
Continuous Gross Unrealized Losses And Fair Value [Abstract] | |
Fair Value Less Than 12 Months | 2,932 |
Unrealized Losses Less Than 12 Months | (83) |
Fair Value 12 Months or Greater | 22,463 |
Unrealized Losses 12 Months or Greater | (2,512) |
Fair Value Total | 25,395 |
Unrealized Losses Total | (2,595) |
Asset-Backed Securities [Member] | |
Continuous Gross Unrealized Losses And Fair Value [Abstract] | |
Fair Value Less Than 12 Months | 2,839 |
Unrealized Losses Less Than 12 Months | (41) |
Fair Value Total | 2,839 |
Unrealized Losses Total | (41) |
Obligations of State and Political Subdivisions [Member] | |
Continuous Gross Unrealized Losses And Fair Value [Abstract] | |
Fair Value Less Than 12 Months | 2,391 |
Unrealized Losses Less Than 12 Months | (34) |
Fair Value 12 Months or Greater | 6,924 |
Unrealized Losses 12 Months or Greater | (1,119) |
Fair Value Total | 9,315 |
Unrealized Losses Total | (1,153) |
Other [Member] | |
Continuous Gross Unrealized Losses And Fair Value [Abstract] | |
Fair Value 12 Months or Greater | 4 |
Fair Value Total | 4 |
Agency Securities [Member] | Commercial Mortgage Backed Securities [Member] | |
Continuous Gross Unrealized Losses And Fair Value [Abstract] | |
Fair Value 12 Months or Greater | 7,186 |
Unrealized Losses 12 Months or Greater | (1,532) |
Fair Value Total | 7,186 |
Unrealized Losses Total | (1,532) |
Non Agency Securities [Member] | Commercial Mortgage Backed Securities [Member] | |
Continuous Gross Unrealized Losses And Fair Value [Abstract] | |
Fair Value Less Than 12 Months | 6 |
Unrealized Losses Less Than 12 Months | (1) |
Fair Value Total | 6 |
Unrealized Losses Total | $ (1) |
Investment Securities - Amortiz
Investment Securities - Amortized Cost, Fair Value and Yield by Maturity Date (Detail) - USD ($) $ in Millions | 6 Months Ended | 12 Months Ended | ||
Jun. 30, 2023 | Dec. 31, 2022 | |||
Contractual Maturities of Investment Securities [Line Items] | ||||
Available-for-sale securities, Amortized Cost | $ 76,888 | $ 81,450 | ||
Available-for-sale securities, total, fair value | [2] | $ 69,221 | [1],[3] | $ 72,910 |
Available-for-sale securities, total, weighted-average maturity in years | 6 years 9 months 18 days | [1],[3] | 7 years 4 months 24 days | |
Available-for-sale securities, total, weighted-average yield | 3.09% | [1],[3],[4] | 2.94% | |
Held-to-maturity securities, Amortized Cost | $ 86,938 | [3] | $ 88,740 | |
Held-to-maturity securities, total, fair value | $ 76,285 | [3] | $ 77,874 | |
Held-to-maturity securities, total, weighted-average maturity in years | [3] | 9 years 1 month 6 days | ||
Held-to-maturity securities, total, weighted-average yield | 2.21% | [3],[4] | 2.18% | |
U.S. Treasury and Agencies [Member] | ||||
Contractual Maturities of Investment Securities [Line Items] | ||||
Available-for-sale securities, maturing in one year or less, amortized cost | $ 13 | |||
Available-for-sale securities, maturing after one year through five years, amortized cost | 6,140 | |||
Available-for-sale securities, maturing after five years through ten years, amortized cost | 12,981 | |||
Available-for-sale securities, maturing after ten years, amortized cost | 2,194 | |||
Available-for-sale securities, Amortized Cost | 21,328 | $ 24,801 | ||
Available-for-sale securities, maturing in one year or less, fair value | 13 | |||
Available-for-sale securities, maturing after one year through five years, fair value | 5,809 | |||
Available-for-sale securities, maturing after five years through ten years, fair value | 11,462 | |||
Available-for-sale securities, maturing after ten years, fair value | 1,684 | |||
Available-for-sale securities, total, fair value | $ 18,968 | 22,033 | ||
Available-for-sale securities, maturing in one year or less, weighted-average maturity in years | 2 months 12 days | |||
Available-for-sale securities, maturing after one year through five years, weighted-average maturity in years | 3 years 8 months 12 days | |||
Available-for-sale securities, maturing after five years through ten years, weighted-average maturity in years | 6 years 9 months 18 days | |||
Available-for-sale securities, maturing after ten years, weighted- average maturity in years | 11 years 1 month 6 days | |||
Available-for-sale securities, total, weighted-average maturity in years | 6 years 4 months 24 days | |||
Available-for-sale securities, maturing in one year or less, weighted-average yield | [4] | 4.72% | ||
Available-for-sale securities, maturing after one year through five years, weighted-average yield | [4] | 2.79% | ||
Available-for-sale securities, maturing after five years through ten years, weighted-average yield | [4] | 2.20% | ||
Available-for-sale securities, maturing after ten years, weighted-average yield | [4] | 2% | ||
Available-for-sale securities, total, weighted-average yield | [4] | 2.35% | ||
Held-to-maturity securities, maturing in one year or less, amortized cost | $ 50 | |||
Held-to-maturity securities, maturing after one year through five years, amortized cost | 1,295 | |||
Held-to-maturity securities, Amortized Cost | 1,345 | 1,344 | ||
Held-to-maturity securities, maturing in one year or less, fair value | 49 | |||
Held-to-maturity securities, maturing after one year through five years, fair value | 1,238 | |||
Held-to-maturity securities, total, fair value | $ 1,287 | 1,293 | ||
Held-to-maturity securities, maturing in one year or less, weighted-average maturity in years | 9 months 18 days | |||
Held-to-maturity securities, maturing after one year through five years, weighted-average maturity in years | 2 years 10 months 24 days | |||
Held-to-maturity securities, total, weighted-average maturity in years | 2 years 9 months 18 days | |||
Held-to-maturity securities, maturing in one year or less, weighted-average yield | [4] | 2.67% | ||
Held-to-maturity securities, maturing after one year through five years, weighted-average yield | [4] | 2.85% | ||
Held-to-maturity securities, total, weighted-average yield | [4] | 2.85% | ||
Mortgage-Backed Securities [Member] | ||||
Contractual Maturities of Investment Securities [Line Items] | ||||
Available-for-sale securities, maturing in one year or less, amortized cost | [5] | $ 134 | ||
Available-for-sale securities, maturing after one year through five years, amortized cost | [5] | 8,980 | ||
Available-for-sale securities, maturing after five years through ten years, amortized cost | [5] | 26,491 | ||
Available-for-sale securities, maturing after ten years, amortized cost | [5] | 1,374 | ||
Available-for-sale securities, Amortized Cost | [5] | 36,979 | ||
Available-for-sale securities, maturing in one year or less, fair value | [5] | 130 | ||
Available-for-sale securities, maturing after one year through five years, fair value | [5] | 8,325 | ||
Available-for-sale securities, maturing after five years through ten years, fair value | [5] | 23,211 | ||
Available-for-sale securities, maturing after ten years, fair value | [5] | 1,188 | ||
Available-for-sale securities, total, fair value | [5] | $ 32,854 | ||
Available-for-sale securities, maturing in one year or less, weighted-average maturity in years | [5] | 10 months 24 days | ||
Available-for-sale securities, maturing after one year through five years, weighted-average maturity in years | [5] | 3 years 1 month 6 days | ||
Available-for-sale securities, maturing after five years through ten years, weighted-average maturity in years | [5] | 7 years 7 months 6 days | ||
Available-for-sale securities, maturing after ten years, weighted- average maturity in years | [5] | 11 years 1 month 6 days | ||
Available-for-sale securities, total, weighted-average maturity in years | [5] | 6 years 7 months 6 days | ||
Available-for-sale securities, maturing in one year or less, weighted-average yield | [4],[5] | 2.45% | ||
Available-for-sale securities, maturing after one year through five years, weighted-average yield | [4],[5] | 2.42% | ||
Available-for-sale securities, maturing after five years through ten years, weighted-average yield | [4],[5] | 3.02% | ||
Available-for-sale securities, maturing after ten years, weighted-average yield | [4],[5] | 3.65% | ||
Available-for-sale securities, total, weighted-average yield | [4],[5] | 2.90% | ||
Held-to-maturity securities, maturing in one year or less, amortized cost | [5] | $ 22 | ||
Held-to-maturity securities, maturing after one year through five years, amortized cost | [5] | 1,436 | ||
Held-to-maturity securities, maturing after five years through ten years, amortized cost | [5] | 70,260 | ||
Held-to-maturity securities, maturing after ten years, amortized cost | [5] | 13,875 | ||
Held-to-maturity securities, Amortized Cost | [5] | 85,593 | ||
Held-to-maturity securities, maturing in one year or less, fair value | [5] | 22 | ||
Held-to-maturity securities, maturing after one year through five years, fair value | [5] | 1,419 | ||
Held-to-maturity securities, maturing after five years through ten years, fair value | [5] | 61,972 | ||
Held-to-maturity securities, maturing after ten years, fair value | [5] | 11,585 | ||
Held-to-maturity securities, total, fair value | [5] | $ 74,998 | ||
Held-to-maturity securities, maturing in one year or less, weighted-average maturity in years | [5] | 9 months 18 days | ||
Held-to-maturity securities, maturing after one year through five years, weighted-average maturity in years | [5] | 2 years 7 months 6 days | ||
Held-to-maturity securities, maturing after five years through ten years, weighted-average maturity in years | [5] | 9 years 2 months 12 days | ||
Held-to-maturity securities, maturing after ten years, weighted-average maturity in years | [5] | 10 years 2 months 12 days | ||
Held-to-maturity securities, total, weighted-average maturity in years | [5] | 9 years 2 months 12 days | ||
Held-to-maturity securities, maturing in one year or less, weighted-average yield | [4],[5] | 4.95% | ||
Held-to-maturity securities, maturing after one year through five years, weighted-average yield | [4],[5] | 4.60% | ||
Held-to-maturity securities, maturing after five years through ten years, weighted-average yield | [4],[5] | 2.18% | ||
Held-to-maturity securities, maturing after ten years, weighted-average yield | [4],[5] | 2.05% | ||
Held-to-maturity securities, total, weighted-average yield | [4],[5] | 2.20% | ||
Asset-Backed Securities [Member] | ||||
Contractual Maturities of Investment Securities [Line Items] | ||||
Available-for-sale securities, maturing in one year or less, amortized cost | [5] | $ 1 | ||
Available-for-sale securities, maturing after one year through five years, amortized cost | [5] | 7,104 | ||
Available-for-sale securities, maturing after five years through ten years, amortized cost | [5] | 382 | ||
Available-for-sale securities, Amortized Cost | 7,487 | [5] | 4,356 | |
Available-for-sale securities, maturing in one year or less, fair value | [5] | 1 | ||
Available-for-sale securities, maturing after one year through five years, fair value | [5] | 7,068 | ||
Available-for-sale securities, maturing after five years through ten years, fair value | [5] | 382 | ||
Available-for-sale securities, total, fair value | $ 7,451 | [5] | 4,323 | |
Available-for-sale securities, maturing in one year or less, weighted-average maturity in years | [5] | 3 months 18 days | ||
Available-for-sale securities, maturing after one year through five years, weighted-average maturity in years | [5] | 1 year 7 months 6 days | ||
Available-for-sale securities, maturing after five years through ten years, weighted-average maturity in years | [5] | 5 years 7 months 6 days | ||
Available-for-sale securities, total, weighted-average maturity in years | [5] | 1 year 9 months 18 days | ||
Available-for-sale securities, maturing in one year or less, weighted-average yield | [4],[5] | 7.57% | ||
Available-for-sale securities, maturing after one year through five years, weighted-average yield | [4],[5] | 5.02% | ||
Available-for-sale securities, maturing after five years through ten years, weighted-average yield | [4],[5] | 6.96% | ||
Available-for-sale securities, total, weighted-average yield | [4],[5] | 5.12% | ||
Obligations of State and Political Subdivisions [Member] | ||||
Contractual Maturities of Investment Securities [Line Items] | ||||
Available-for-sale securities, maturing in one year or less, amortized cost | [6],[7] | $ 149 | ||
Available-for-sale securities, maturing after one year through five years, amortized cost | [6],[7] | 2,539 | ||
Available-for-sale securities, maturing after five years through ten years, amortized cost | [6],[7] | 1,542 | ||
Available-for-sale securities, maturing after ten years, amortized cost | [6],[7] | 6,861 | ||
Available-for-sale securities, Amortized Cost | 11,091 | [6],[7] | 11,484 | |
Available-for-sale securities, maturing in one year or less, fair value | [6],[7] | 149 | ||
Available-for-sale securities, maturing after one year through five years, fair value | [6],[7] | 2,510 | ||
Available-for-sale securities, maturing after five years through ten years, fair value | [6],[7] | 1,470 | ||
Available-for-sale securities, maturing after ten years, fair value | [6],[7] | 5,815 | ||
Available-for-sale securities, total, fair value | $ 9,944 | [6],[7] | 10,125 | |
Available-for-sale securities, maturing in one year or less, weighted-average maturity in years | [6],[7] | 3 months 18 days | ||
Available-for-sale securities, maturing after one year through five years, weighted-average maturity in years | [6],[7] | 3 years 6 months | ||
Available-for-sale securities, maturing after five years through ten years, weighted-average maturity in years | [6],[7] | 7 years 9 months 18 days | ||
Available-for-sale securities, maturing after ten years, weighted- average maturity in years | [6],[7] | 16 years 2 months 12 days | ||
Available-for-sale securities, total, weighted-average maturity in years | [6],[7] | 11 years 10 months 24 days | ||
Available-for-sale securities, maturing in one year or less, weighted-average yield | [4],[6],[7] | 5.76% | ||
Available-for-sale securities, maturing after one year through five years, weighted-average yield | [4],[6],[7] | 4.68% | ||
Available-for-sale securities, maturing after five years through ten years, weighted-average yield | [4],[6],[7] | 3.99% | ||
Available-for-sale securities, maturing after ten years, weighted-average yield | [4],[6],[7] | 3.37% | ||
Available-for-sale securities, total, weighted-average yield | [4],[6],[7] | 3.79% | ||
Other [Member] | ||||
Contractual Maturities of Investment Securities [Line Items] | ||||
Available-for-sale securities, maturing after one year through five years, amortized cost | $ 4 | |||
Available-for-sale securities, Amortized Cost | 4 | 6 | ||
Available-for-sale securities, maturing after one year through five years, fair value | 4 | |||
Available-for-sale securities, total, fair value | $ 4 | 6 | ||
Available-for-sale securities, maturing after one year through five years, weighted-average maturity in years | 1 year 10 months 24 days | |||
Available-for-sale securities, total, weighted-average maturity in years | 1 year 10 months 24 days | |||
Available-for-sale securities, maturing after one year through five years, weighted-average yield | [4] | 1.89% | ||
Available-for-sale securities, total, weighted-average yield | [4] | 1.89% | ||
Excluding Portfolio Level Basis Adjustments [Member] | ||||
Contractual Maturities of Investment Securities [Line Items] | ||||
Available-for-sale securities, Amortized Cost | $ 76,889 | [1],[3] | 81,450 | |
Available-for-sale securities, total, fair value | $ 69,221 | $ 72,910 | ||
[1]Amortized cost excludes portfolio level basis adjustments of $(1) million.[2]Includes only collateral pledged by the Company where counterparties have the right to sell or pledge the collateral.[3]The weighted-average maturity of total held-to-maturity investment securities was 9.2 years at December 31, 2022, with a corresponding weighted-average yield of 2.18 percent. The weighted-average maturity of total available-for-sale investment securities was 7.4 years at December 31, 2022, with a corresponding weighted-average yield of 2.94 percent.[4]Weighted-average yields for obligations of state and political subdivisions are presented on a fully-taxable equivalent basis based on a federal income tax rate of 21 percent. Yields on investment securities are computed based on amortized cost balances, excluding any premiums or discounts recorded related to the transfer of investment securities at fair value from available-for-sale to held-to-maturity.[5]Information related to asset and mortgage-backed securities included above is presented based upon weighted-average maturities that take into account anticipated future prepayments.[6]Information related to obligations of state and political subdivisions is presented based upon yield to first optional call date if the security is purchased at a premium, and yield to maturity if the security is purchased at par or a discount.[7]Maturity calculations for obligations of state and political subdivisions are based on the first optional call date for securities with a fair value above par and the contractual maturity date for securities with a fair value equal to or below par. |
Investment Securities - Amort_2
Investment Securities - Amortized Cost, Fair Value and Yield by Maturity Date (Parenthetical) (Detail) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | 12 Months Ended | |||||
Jun. 30, 2023 | Jun. 30, 2022 | Jun. 30, 2023 | Jun. 30, 2022 | Dec. 31, 2022 | ||||
Contractual Maturities of Investment Securities [Line Items] | ||||||||
Federal statutory rate | 21% | 21% | 21% | 21% | ||||
Available for sale securities weighted average maturities | 6 years 9 months 18 days | [1],[2] | 7 years 4 months 24 days | |||||
Debt securities available for sale weighted average yield | 3.09% | [1],[2],[3] | 3.09% | [1],[2],[3] | 2.94% | |||
Debt Securities, Available-for-sale, Amortized Cost | $ 76,888 | $ 76,888 | $ 81,450 | |||||
Weighted average maturity of total held to maturity investment securities | 9 years 2 months 12 days | |||||||
Debt Securities, Held-to-Maturity, Weighted Average Yield | 2.21% | [2],[3] | 2.21% | [2],[3] | 2.18% | |||
Portfolio Level Basis Adjustments [Member] | ||||||||
Contractual Maturities of Investment Securities [Line Items] | ||||||||
Debt Securities, Available-for-sale, Amortized Cost | [4] | $ (1) | $ (1) | $ 0 | ||||
[1]Amortized cost excludes portfolio level basis adjustments of $(1) million.[2]The weighted-average maturity of total held-to-maturity investment securities was 9.2 years at December 31, 2022, with a corresponding weighted-average yield of 2.18 percent. The weighted-average maturity of total available-for-sale investment securities was 7.4 years at December 31, 2022, with a corresponding weighted-average yield of 2.94 percent.[3]Weighted-average yields for obligations of state and political subdivisions are presented on a fully-taxable equivalent basis based on a federal income tax rate of 21 percent. Yields on investment securities are computed based on amortized cost balances, excluding any premiums or discounts recorded related to the transfer of investment securities at fair value from available-for-sale to held-to-maturity.[4]Represents fair value hedge basis adjustments related to active portfolio layer method hedges of available-for-sale |
Loans and Allowance for Credi_3
Loans and Allowance for Credit Losses - Composition of Loan Portfolio (Detail) - USD ($) $ in Millions | 6 Months Ended | 12 Months Ended | |
Jun. 30, 2023 | Dec. 31, 2022 | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Loans | $ 379,428 | $ 388,213 | |
Loans, percentage | 100% | 100% | |
Commercial [Member] | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Loans | $ 132,374 | $ 131,128 | |
Loans, percentage | 34.90% | 33.80% | |
Commercial [Member] | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Loans | $ 136,775 | $ 135,690 | |
Loans, percentage | 36.10% | 35% | |
Commercial Real Estate [Member] | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Loans | $ 54,357 | $ 55,487 | |
Loans, percentage | 14.30% | 14.30% | |
Residential Mortgages [Member] | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Loans | [1] | $ 114,449 | $ 115,845 |
Loans, percentage | 30.20% | 29.80% | |
Other Retail [Member] | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Loans | $ 47,221 | $ 54,896 | |
Loans, percentage | 12.40% | 14.10% | |
Lease Financing [Member] | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Loans | $ 4,401 | $ 4,562 | |
Loans, percentage | 1.20% | 1.20% | |
Commercial Mortgages [Member] | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Loans | $ 42,775 | $ 43,765 | |
Loans, percentage | 11.30% | 11.30% | |
Construction and Development [Member] | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Loans | $ 11,582 | $ 11,722 | |
Loans, percentage | 3% | 3% | |
Residential Mortgages [Member] | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Loans | $ 107,017 | $ 107,858 | |
Loans, percentage | 28.20% | 27.80% | |
Home Equity Loans, First Liens [Member] | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Loans | $ 7,432 | $ 7,987 | |
Loans, percentage | 2% | 2% | |
Credit Card [Member] | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Loans | $ 26,626 | $ 26,295 | |
Loans, percentage | 7% | 6.80% | |
Retail Leasing [Member] | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Loans | $ 4,637 | $ 5,519 | |
Loans, percentage | 1.20% | 1.40% | |
Home Equity and Second Mortgages [Member] | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Loans | $ 12,799 | $ 12,863 | |
Loans, percentage | 3.40% | 3.30% | |
Revolving Credit [Member] | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Loans | $ 3,797 | $ 3,983 | |
Loans, percentage | 1% | 1% | |
Installment [Member] | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Loans | $ 14,452 | $ 14,592 | |
Loans, percentage | 3.80% | 3.80% | |
Automobile [Member] | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Loans | $ 11,536 | $ 17,939 | |
Loans, percentage | 3% | 4.60% | |
[1]At June 30, 2023, $556 million of loans 30–89 days past due and $2.1 billion of loans 90 days or more past due purchased and that could be purchased from Government National Mortgage Association (“GNMA”) mortgage pools under delinquent loan repurchase options whose repayments are insured by the Federal Housing Administration or guaranteed by the United States Department of Veterans Affairs, were classified as current, compared with $647 million and $2.2 billion at December 31, 2022, respectively. |
Loans and Allowance for Credi_4
Loans and Allowance for Credit Losses - Additional Information (Detail) - USD ($) $ in Millions | 1 Months Ended | 6 Months Ended | |
Jun. 30, 2023 | Jun. 30, 2023 | Dec. 31, 2022 | |
Loans and Allowance for Credit Losses [Line Items] | |||
Loans pledged at the Federal Reserve Bank | $ 87,900 | $ 87,900 | $ 85,800 |
Unearned interest and deferred fees and costs on originated loans | 2,900 | 2,900 | 3,100 |
Foreclosed residential real estate property included in other real estate owned | 25 | 25 | 23 |
Foreclosed residential real estate related to mortgage loans whose payments are insured by the Federal Housing Administration or guaranteed by the United States Department of Veterans Affairs | 56 | 56 | 54 |
Residential mortgage loans secured by residential real estate in process of foreclosure | 928 | 928 | 1,100 |
Loan Restructuring, Trial Modifications, Amount | 93 | ||
Commitments to lend additional funds | 144 | 144 | |
Allowance For Individually Evaluated Loans | 5 | ||
Federal Home Loan Bank Advances [Member] | |||
Loans and Allowance for Credit Losses [Line Items] | |||
Loans pledged at the Federal Home Loan Bank | 124,600 | 124,600 | 134,600 |
Government National Mortgage Association [Member] | |||
Loans and Allowance for Credit Losses [Line Items] | |||
Residential mortgage loans secured by residential real estate in process of foreclosure | $ 683 | $ 683 | $ 830 |
Loans and Allowance for Credi_5
Loans and Allowance for Credit Losses - Activity in Allowance for Credit Losses by Portfolio Class (Detail) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | |||
Jun. 30, 2023 | Jun. 30, 2022 | Jun. 30, 2023 | Jun. 30, 2022 | ||
Financing Receivable, Allowance for Credit Losses [Line Items] | |||||
Balance at beginning of period | $ 7,523 | $ 6,105 | $ 7,404 | $ 6,155 | |
Allowance for acquired credit losses | [1] | 127 | |||
Change in accounting principle | [2] | (62) | |||
Provision for credit losses | 821 | 311 | 1,248 | 423 | |
Loans charged-off | 755 | 276 | 1,224 | 556 | |
Less recoveries of loans charged-off | (106) | (115) | (202) | (233) | |
Net loan charge-offs (recoveries) | 649 | 161 | 1,022 | 323 | |
Balance at end of period | 7,695 | 6,255 | 7,695 | 6,255 | |
Commercial [Member] | |||||
Financing Receivable, Allowance for Credit Losses [Line Items] | |||||
Balance at beginning of period | 2,180 | 1,836 | 2,163 | 1,849 | |
Allowance for acquired credit losses | [1] | 0 | |||
Change in accounting principle | [2] | 0 | |||
Provision for credit losses | 119 | 90 | 183 | 109 | |
Loans charged-off | 110 | 53 | 173 | 108 | |
Less recoveries of loans charged-off | (20) | (23) | (36) | (46) | |
Net loan charge-offs (recoveries) | 90 | 30 | 137 | 62 | |
Balance at end of period | 2,209 | 1,896 | 2,209 | 1,896 | |
Commercial Real Estate [Member] | |||||
Financing Receivable, Allowance for Credit Losses [Line Items] | |||||
Balance at beginning of period | 1,359 | 1,074 | 1,325 | 1,123 | |
Allowance for acquired credit losses | [1] | 127 | |||
Change in accounting principle | [2] | 0 | |||
Provision for credit losses | 140 | (95) | 164 | (149) | |
Loans charged-off | 31 | 9 | 154 | 10 | |
Less recoveries of loans charged-off | (5) | (3) | (11) | (9) | |
Net loan charge-offs (recoveries) | 26 | 6 | 143 | 1 | |
Balance at end of period | 1,473 | 973 | 1,473 | 973 | |
Residential Mortgages [Member] | |||||
Financing Receivable, Allowance for Credit Losses [Line Items] | |||||
Balance at beginning of period | 947 | 600 | 926 | 565 | |
Allowance for acquired credit losses | [1] | 0 | |||
Change in accounting principle | [2] | (31) | |||
Provision for credit losses | 66 | 49 | 117 | 78 | |
Loans charged-off | 121 | 2 | 125 | 7 | |
Less recoveries of loans charged-off | (7) | (11) | (12) | (22) | |
Net loan charge-offs (recoveries) | 114 | (9) | 113 | (15) | |
Balance at end of period | 899 | 658 | 899 | 658 | |
Other Retail [Member] | |||||
Financing Receivable, Allowance for Credit Losses [Line Items] | |||||
Balance at beginning of period | 925 | 956 | 970 | 945 | |
Allowance for acquired credit losses | [1] | 0 | |||
Change in accounting principle | [2] | (4) | |||
Provision for credit losses | 224 | 42 | 218 | 82 | |
Loans charged-off | 251 | 50 | 315 | 111 | |
Less recoveries of loans charged-off | (31) | (34) | (60) | (66) | |
Net loan charge-offs (recoveries) | 220 | 16 | 255 | 45 | |
Balance at end of period | 929 | 982 | 929 | 982 | |
Credit Card [Member] | |||||
Financing Receivable, Allowance for Credit Losses [Line Items] | |||||
Balance at beginning of period | 2,112 | 1,639 | 2,020 | 1,673 | |
Allowance for acquired credit losses | [1] | 0 | |||
Change in accounting principle | [2] | (27) | |||
Provision for credit losses | 272 | 225 | 566 | 303 | |
Loans charged-off | 242 | 162 | 457 | 320 | |
Less recoveries of loans charged-off | (43) | (44) | (83) | (90) | |
Net loan charge-offs (recoveries) | 199 | 118 | 374 | 230 | |
Balance at end of period | $ 2,185 | $ 1,746 | $ 2,185 | $ 1,746 | |
[1]Represents allowance for credit deteriorated and charged-off loans acquired from MUB.[2]Effective January 1, 2023, the Company adopted accounting guidance which removed the separate recognition and measurement of troubled debt restructurings. |
Loans and Allowance for Credi_6
Loans and Allowance for Credit Losses - Summary of Financing Receivable credit losses charged-off by portfolio class (Detail) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | |
Jun. 30, 2023 | Jun. 30, 2023 | ||
Financing Receivable, Allowance for Credit Losses [Line Items] | |||
Originated in 2023 | $ 53 | $ 53 | |
Originated in 2022 | 123 | 227 | |
Originated in 2021 | 72 | 87 | |
Originated in 2020 | 33 | 43 | |
Originated in 2019 | 30 | 46 | |
Originated prior to 2019 | 129 | 183 | |
Revolving | 287 | 557 | |
Revolving converted to term | 28 | 28 | |
Total charge-offs | 755 | 1,224 | |
Commercial Portfolio Segment [Member] | |||
Financing Receivable, Allowance for Credit Losses [Line Items] | |||
Originated in 2023 | 7 | 7 | |
Originated in 2022 | 34 | 40 | |
Originated in 2021 | 4 | 8 | |
Originated in 2020 | 6 | 10 | |
Originated in 2019 | 2 | 7 | |
Originated prior to 2019 | 17 | 28 | |
Revolving | 40 | 73 | |
Total charge-offs | 110 | 173 | |
Commercial Real Estate Portfolio Segment [Member] | |||
Financing Receivable, Allowance for Credit Losses [Line Items] | |||
Originated in 2022 | [1] | 88 | |
Originated in 2021 | [1] | 17 | 17 |
Originated in 2019 | [1] | 3 | |
Originated prior to 2019 | [1] | 14 | 46 |
Total charge-offs | [1] | 31 | 154 |
Residential Portfolio Segment [Member] | |||
Financing Receivable, Allowance for Credit Losses [Line Items] | |||
Originated in 2021 | [2] | 5 | 5 |
Originated in 2020 | [2] | 8 | 8 |
Originated in 2019 | [2] | 15 | 16 |
Originated prior to 2019 | [2] | 93 | 96 |
Total charge-offs | [2] | 121 | 125 |
Credit Card Receivable [Member] | |||
Financing Receivable, Allowance for Credit Losses [Line Items] | |||
Revolving | 242 | 457 | |
Total charge-offs | 242 | 457 | |
Other Retail Loans [Member] | |||
Financing Receivable, Allowance for Credit Losses [Line Items] | |||
Originated in 2023 | [3] | 46 | 46 |
Originated in 2022 | [3] | 89 | 99 |
Originated in 2021 | [3] | 46 | 57 |
Originated in 2020 | [3] | 19 | 25 |
Originated in 2019 | [3] | 13 | 20 |
Originated prior to 2019 | [3] | 5 | 13 |
Revolving | [3] | 5 | 27 |
Revolving converted to term | [3] | 28 | 28 |
Total charge-offs | [3] | $ 251 | $ 315 |
[1]Includes $91 million of charge-offs in the first quarter of 2023 related to uncollectible amounts on acquired loans.[2]Includes $117 million of charge-offs related to balance sheet repositioning and capital management actions taken in the second quarter of 2023.[3]Includes $192 million of charge-offs related to balance sheet repositioning and capital management actions taken in the second quarter of 2023. |
Loans and Allowance for Credi_7
Loans and Allowance for Credit Losses - Summary of Financing Receivable credit losses charged-off by portfolio class (Parenthetical) (Detail) - USD ($) $ in Millions | 3 Months Ended | |
Jun. 30, 2023 | Mar. 31, 2023 | |
Financing Receivable, Allowance for Credit Losses [Line Items] | ||
Financing receivable charge offs relating to uncollectible amount on acquired loans | $ 91 | |
Residential Portfolio Segment [Member] | ||
Financing Receivable, Allowance for Credit Losses [Line Items] | ||
Financing receivables charge off relating to balance sheet repositioning and capital management actions | $ 117 | |
Other Retail Loans [Member] | ||
Financing Receivable, Allowance for Credit Losses [Line Items] | ||
Financing receivable charge off relating to balance sheet repositioning and capital management actions one | $ 192 |
Loans and Allowance for Credi_8
Loans and Allowance for Credit Losses - Summary of Loans by Portfolio Class, Including Delinquency Status of those that Continue to Accrue Interest and are Nonperforming (Detail) - USD ($) $ in Millions | Jun. 30, 2023 | Dec. 31, 2022 | |
Financing Receivable, Recorded Investment, Past Due [Line Items] | |||
Total loans | $ 379,428 | $ 388,213 | |
Current [Member] | |||
Financing Receivable, Recorded Investment, Past Due [Line Items] | |||
Total loans | 376,824 | 385,520 | |
Accruing 30-89 Days Past Due [Member] | |||
Financing Receivable, Recorded Investment, Past Due [Line Items] | |||
Total loans | 1,089 | 1,230 | |
Accruing 90 Days or More Past Due [Member] | |||
Financing Receivable, Recorded Investment, Past Due [Line Items] | |||
Total loans | 474 | 491 | |
Nonperforming [Member] | |||
Financing Receivable, Recorded Investment, Past Due [Line Items] | |||
Total loans | [1] | 1,041 | 972 |
Commercial [Member] | |||
Financing Receivable, Recorded Investment, Past Due [Line Items] | |||
Total loans | 136,775 | 135,690 | |
Commercial [Member] | Current [Member] | |||
Financing Receivable, Recorded Investment, Past Due [Line Items] | |||
Total loans | 136,136 | 135,077 | |
Commercial [Member] | Accruing 30-89 Days Past Due [Member] | |||
Financing Receivable, Recorded Investment, Past Due [Line Items] | |||
Total loans | 347 | 350 | |
Commercial [Member] | Accruing 90 Days or More Past Due [Member] | |||
Financing Receivable, Recorded Investment, Past Due [Line Items] | |||
Total loans | 61 | 94 | |
Commercial [Member] | Nonperforming [Member] | |||
Financing Receivable, Recorded Investment, Past Due [Line Items] | |||
Total loans | [1] | 231 | 169 |
Commercial Real Estate [Member] | |||
Financing Receivable, Recorded Investment, Past Due [Line Items] | |||
Total loans | 54,357 | 55,487 | |
Commercial Real Estate [Member] | Current [Member] | |||
Financing Receivable, Recorded Investment, Past Due [Line Items] | |||
Total loans | 53,810 | 55,057 | |
Commercial Real Estate [Member] | Accruing 30-89 Days Past Due [Member] | |||
Financing Receivable, Recorded Investment, Past Due [Line Items] | |||
Total loans | 72 | 87 | |
Commercial Real Estate [Member] | Accruing 90 Days or More Past Due [Member] | |||
Financing Receivable, Recorded Investment, Past Due [Line Items] | |||
Total loans | 1 | 5 | |
Commercial Real Estate [Member] | Nonperforming [Member] | |||
Financing Receivable, Recorded Investment, Past Due [Line Items] | |||
Total loans | [1] | 474 | 338 |
Residential Mortgages [Member] | |||
Financing Receivable, Recorded Investment, Past Due [Line Items] | |||
Total loans | [2] | 114,449 | 115,845 |
Residential Mortgages [Member] | Current [Member] | |||
Financing Receivable, Recorded Investment, Past Due [Line Items] | |||
Total loans | [2] | 114,028 | 115,224 |
Residential Mortgages [Member] | Accruing 30-89 Days Past Due [Member] | |||
Financing Receivable, Recorded Investment, Past Due [Line Items] | |||
Total loans | [2] | 128 | 201 |
Residential Mortgages [Member] | Accruing 90 Days or More Past Due [Member] | |||
Financing Receivable, Recorded Investment, Past Due [Line Items] | |||
Total loans | [2] | 86 | 95 |
Residential Mortgages [Member] | Nonperforming [Member] | |||
Financing Receivable, Recorded Investment, Past Due [Line Items] | |||
Total loans | [1],[2] | 207 | 325 |
Other Retail [Member] | |||
Financing Receivable, Recorded Investment, Past Due [Line Items] | |||
Total loans | 47,221 | 54,896 | |
Other Retail [Member] | Current [Member] | |||
Financing Receivable, Recorded Investment, Past Due [Line Items] | |||
Total loans | 46,802 | 54,382 | |
Other Retail [Member] | Accruing 30-89 Days Past Due [Member] | |||
Financing Receivable, Recorded Investment, Past Due [Line Items] | |||
Total loans | 235 | 309 | |
Other Retail [Member] | Accruing 90 Days or More Past Due [Member] | |||
Financing Receivable, Recorded Investment, Past Due [Line Items] | |||
Total loans | 55 | 66 | |
Other Retail [Member] | Nonperforming [Member] | |||
Financing Receivable, Recorded Investment, Past Due [Line Items] | |||
Total loans | [1] | 129 | 139 |
Credit Card [Member] | |||
Financing Receivable, Recorded Investment, Past Due [Line Items] | |||
Total loans | 26,626 | 26,295 | |
Credit Card [Member] | Current [Member] | |||
Financing Receivable, Recorded Investment, Past Due [Line Items] | |||
Total loans | 26,048 | 25,780 | |
Credit Card [Member] | Accruing 30-89 Days Past Due [Member] | |||
Financing Receivable, Recorded Investment, Past Due [Line Items] | |||
Total loans | 307 | 283 | |
Credit Card [Member] | Accruing 90 Days or More Past Due [Member] | |||
Financing Receivable, Recorded Investment, Past Due [Line Items] | |||
Total loans | $ 271 | 231 | |
Credit Card [Member] | Nonperforming [Member] | |||
Financing Receivable, Recorded Investment, Past Due [Line Items] | |||
Total loans | [1] | $ 1 | |
[1]Substantially all nonperforming loans at June 30, 2023 and December 31, 2022, had an associated allowance for credit losses. The Company recognized interest income on nonperforming loans of $3 million and $5 million for the three months ended June 30, 2023 and 2022, respectively, and $7 million and $8 million for the six months ended June 30, 2023 and 2022, respectively.[2]At June 30, 2023, $556 million of loans 30–89 days past due and $2.1 billion of loans 90 days or more past due purchased and that could be purchased from Government National Mortgage Association (“GNMA”) mortgage pools under delinquent loan repurchase options whose repayments are insured by the Federal Housing Administration or guaranteed by the United States Department of Veterans Affairs, were classified as current, compared with $647 million and $2.2 billion at December 31, 2022, respectively. |
Loans and Allowance for Credi_9
Loans and Allowance for Credit Losses - Summary of Loans by Portfolio Class, Including Delinquency Status of those that Continue to Accrue Interest and are Nonperforming (Parenthetical) (Detail) - Government National Mortgage Association [Member] - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | |||
Jun. 30, 2023 | Jun. 30, 2022 | Jun. 30, 2023 | Jun. 30, 2022 | Dec. 31, 2022 | |
Financing Receivable, Recorded Investment, Past Due [Line Items] | |||||
Loans 30-89 days past due purchased from Government National Mortgage Association mortgage pools, classified as current | $ 556 | $ 556 | $ 647 | ||
Loans 90 days or more past due purchased from Government National Mortgage Association mortgage pools, classified as current | 2,100 | 2,100 | $ 2,200 | ||
Interest income on nonperforming loans | $ 3 | $ 5 | $ 7 | $ 8 |
Loans and Allowance for Cred_10
Loans and Allowance for Credit Losses - Summary of the Company's Internal Credit Quality Rating of Loans by Portfolio Class (Detail) - USD ($) $ in Millions | Jun. 30, 2023 | Dec. 31, 2022 | |
Financing Receivable, Recorded Investment [Line Items] | |||
Total loans | $ 379,428 | $ 388,213 | |
Total outstanding commitments | 780,494 | 780,670 | |
Pass [Member] | |||
Financing Receivable, Recorded Investment [Line Items] | |||
Total loans | 370,058 | 382,382 | |
Total outstanding commitments | 768,418 | 772,804 | |
Special Mention Criticized [Member] | |||
Financing Receivable, Recorded Investment [Line Items] | |||
Total loans | 2,633 | 1,794 | |
Total outstanding commitments | 3,811 | 2,825 | |
Classified Criticized [Member] | |||
Financing Receivable, Recorded Investment [Line Items] | |||
Total loans | 6,737 | 4,037 | |
Total outstanding commitments | 8,265 | 5,041 | |
Total Criticized [Member] | |||
Financing Receivable, Recorded Investment [Line Items] | |||
Total loans | 9,370 | 5,831 | |
Total outstanding commitments | 12,076 | 7,866 | |
Commercial [Member] | |||
Financing Receivable, Recorded Investment [Line Items] | |||
Originated in 2023 | 30,204 | ||
Originated in 2022 | 52,071 | 61,789 | |
Originated in 2021 | 13,624 | 26,648 | |
Originated in 2020 | 3,994 | 7,255 | |
Originated in 2019 | 2,048 | 4,223 | |
Originated prior to 2019 | 4,861 | 9,179 | |
Revolving | 29,973 | 26,596 | |
Total loans | 136,775 | 135,690 | |
Commercial [Member] | Pass [Member] | |||
Financing Receivable, Recorded Investment [Line Items] | |||
Originated in 2023 | 29,444 | ||
Originated in 2022 | 51,218 | 61,229 | |
Originated in 2021 | 13,287 | 26,411 | |
Originated in 2020 | 3,764 | 7,049 | |
Originated in 2019 | 1,852 | 3,962 | |
Originated prior to 2019 | 4,715 | 8,986 | |
Revolving | 28,735 | 25,888 | |
Total loans | 133,015 | 133,525 | |
Commercial [Member] | Special Mention Criticized [Member] | |||
Financing Receivable, Recorded Investment [Line Items] | |||
Originated in 2023 | 441 | ||
Originated in 2022 | 547 | 245 | |
Originated in 2021 | 154 | 159 | |
Originated in 2020 | 51 | 68 | |
Originated in 2019 | 15 | 51 | |
Originated prior to 2019 | 43 | 64 | |
Revolving | 216 | 344 | |
Total loans | 1,467 | 931 | |
Commercial [Member] | Classified Criticized [Member] | |||
Financing Receivable, Recorded Investment [Line Items] | |||
Originated in 2023 | 319 | ||
Originated in 2022 | 306 | 315 | |
Originated in 2021 | 183 | 78 | |
Originated in 2020 | 179 | 138 | |
Originated in 2019 | 181 | 210 | |
Originated prior to 2019 | 103 | 129 | |
Revolving | 1,022 | 364 | |
Total loans | 2,293 | 1,234 | |
Commercial [Member] | Total Criticized [Member] | |||
Financing Receivable, Recorded Investment [Line Items] | |||
Originated in 2023 | 760 | ||
Originated in 2022 | 853 | 560 | |
Originated in 2021 | 337 | 237 | |
Originated in 2020 | 230 | 206 | |
Originated in 2019 | 196 | 261 | |
Originated prior to 2019 | 146 | 193 | |
Revolving | 1,238 | 708 | |
Total loans | 3,760 | 2,165 | |
Commercial Real Estate [Member] | |||
Financing Receivable, Recorded Investment [Line Items] | |||
Originated in 2023 | 7,148 | ||
Originated in 2022 | 15,395 | 15,252 | |
Originated in 2021 | 11,877 | 13,835 | |
Originated in 2020 | 4,644 | 6,703 | |
Originated in 2019 | 6,015 | 7,546 | |
Originated prior to 2019 | 7,777 | 10,652 | |
Revolving | 1,501 | 1,499 | |
Total loans | 54,357 | 55,487 | |
Commercial Real Estate [Member] | Pass [Member] | |||
Financing Receivable, Recorded Investment [Line Items] | |||
Originated in 2023 | 5,791 | ||
Originated in 2022 | 14,037 | 14,527 | |
Originated in 2021 | 10,998 | 13,565 | |
Originated in 2020 | 4,467 | 6,489 | |
Originated in 2019 | 5,438 | 6,991 | |
Originated prior to 2019 | 7,321 | 9,639 | |
Revolving | 1,467 | 1,489 | |
Total loans | 49,519 | 52,700 | |
Commercial Real Estate [Member] | Special Mention Criticized [Member] | |||
Financing Receivable, Recorded Investment [Line Items] | |||
Originated in 2023 | 302 | ||
Originated in 2022 | 211 | 206 | |
Originated in 2021 | 434 | 171 | |
Originated in 2020 | 23 | 97 | |
Originated in 2019 | 169 | 251 | |
Originated prior to 2019 | 27 | 138 | |
Revolving | 0 | ||
Total loans | 1,166 | 863 | |
Commercial Real Estate [Member] | Classified Criticized [Member] | |||
Financing Receivable, Recorded Investment [Line Items] | |||
Originated in 2023 | 1,055 | ||
Originated in 2022 | 1,147 | 519 | |
Originated in 2021 | 445 | 99 | |
Originated in 2020 | 154 | 117 | |
Originated in 2019 | 408 | 304 | |
Originated prior to 2019 | 429 | 875 | |
Revolving | 34 | 10 | |
Total loans | 3,672 | 1,924 | |
Commercial Real Estate [Member] | Total Criticized [Member] | |||
Financing Receivable, Recorded Investment [Line Items] | |||
Originated in 2023 | 1,357 | ||
Originated in 2022 | 1,358 | 725 | |
Originated in 2021 | 879 | 270 | |
Originated in 2020 | 177 | 214 | |
Originated in 2019 | 577 | 555 | |
Originated prior to 2019 | 456 | 1,013 | |
Revolving | 34 | 10 | |
Total loans | 4,838 | 2,787 | |
Residential Mortgages [Member] | |||
Financing Receivable, Recorded Investment [Line Items] | |||
Originated in 2023 | 6,040 | ||
Originated in 2022 | 29,088 | 28,452 | |
Originated in 2021 | 37,024 | 39,534 | |
Originated in 2020 | 15,286 | 16,564 | |
Originated in 2019 | 6,124 | 7,240 | |
Originated prior to 2019 | 20,887 | 24,055 | |
Total loans | [1] | 114,449 | 115,845 |
Residential Mortgages [Member] | Pass [Member] | |||
Financing Receivable, Recorded Investment [Line Items] | |||
Originated in 2023 | 6,040 | ||
Originated in 2022 | 29,081 | 28,452 | |
Originated in 2021 | 37,015 | 39,527 | |
Originated in 2020 | 15,276 | 16,556 | |
Originated in 2019 | 6,106 | 7,222 | |
Originated prior to 2019 | 20,626 | 23,658 | |
Total loans | 114,144 | 115,415 | |
Residential Mortgages [Member] | Classified Criticized [Member] | |||
Financing Receivable, Recorded Investment [Line Items] | |||
Originated in 2022 | 7 | ||
Originated in 2021 | 9 | 7 | |
Originated in 2020 | 10 | 8 | |
Originated in 2019 | 18 | 18 | |
Originated prior to 2019 | 261 | 397 | |
Total loans | 305 | 430 | |
Residential Mortgages [Member] | Total Criticized [Member] | |||
Financing Receivable, Recorded Investment [Line Items] | |||
Originated in 2022 | 7 | ||
Originated in 2021 | 9 | 7 | |
Originated in 2020 | 10 | 8 | |
Originated in 2019 | 18 | 18 | |
Originated prior to 2019 | 261 | 397 | |
Total loans | 305 | 430 | |
Other Retail [Member] | |||
Financing Receivable, Recorded Investment [Line Items] | |||
Originated in 2023 | 2,701 | ||
Originated in 2022 | 6,427 | 9,569 | |
Originated in 2021 | 12,292 | 15,364 | |
Originated in 2020 | 6,008 | 7,839 | |
Originated in 2019 | 2,308 | 3,431 | |
Originated prior to 2019 | 2,703 | 3,720 | |
Revolving | 13,961 | 14,127 | |
Revolving converted to term | 821 | 846 | |
Total loans | 47,221 | 54,896 | |
Other Retail [Member] | Pass [Member] | |||
Financing Receivable, Recorded Investment [Line Items] | |||
Originated in 2023 | 2,700 | ||
Originated in 2022 | 6,419 | 9,563 | |
Originated in 2021 | 12,281 | 15,352 | |
Originated in 2020 | 5,999 | 7,828 | |
Originated in 2019 | 2,300 | 3,418 | |
Originated prior to 2019 | 2,689 | 3,689 | |
Revolving | 13,864 | 14,029 | |
Revolving converted to term | 773 | 800 | |
Total loans | 47,025 | 54,679 | |
Other Retail [Member] | Classified Criticized [Member] | |||
Financing Receivable, Recorded Investment [Line Items] | |||
Originated in 2023 | 1 | ||
Originated in 2022 | 8 | 6 | |
Originated in 2021 | 11 | 12 | |
Originated in 2020 | 9 | 11 | |
Originated in 2019 | 8 | 13 | |
Originated prior to 2019 | 14 | 31 | |
Revolving | 97 | 98 | |
Revolving converted to term | 48 | 46 | |
Total loans | 196 | 217 | |
Other Retail [Member] | Total Criticized [Member] | |||
Financing Receivable, Recorded Investment [Line Items] | |||
Originated in 2023 | 1 | ||
Originated in 2022 | 8 | 6 | |
Originated in 2021 | 11 | 12 | |
Originated in 2020 | 9 | 11 | |
Originated in 2019 | 8 | 13 | |
Originated prior to 2019 | 14 | 31 | |
Revolving | 97 | 98 | |
Revolving converted to term | 48 | 46 | |
Total loans | 196 | 217 | |
Credit Card [Member] | |||
Financing Receivable, Recorded Investment [Line Items] | |||
Total loans | 26,626 | 26,295 | |
Credit Card [Member] | Pass [Member] | |||
Financing Receivable, Recorded Investment [Line Items] | |||
Total loans | 26,355 | 26,063 | |
Credit Card [Member] | Classified Criticized [Member] | |||
Financing Receivable, Recorded Investment [Line Items] | |||
Total loans | 271 | 232 | |
Credit Card [Member] | Total Criticized [Member] | |||
Financing Receivable, Recorded Investment [Line Items] | |||
Total loans | $ 271 | $ 232 | |
[1]At June 30, 2023, $556 million of loans 30–89 days past due and $2.1 billion of loans 90 days or more past due purchased and that could be purchased from Government National Mortgage Association (“GNMA”) mortgage pools under delinquent loan repurchase options whose repayments are insured by the Federal Housing Administration or guaranteed by the United States Department of Veterans Affairs, were classified as current, compared with $647 million and $2.2 billion at December 31, 2022, respectively. |
Loans and Allowance for Cred_11
Loans and Allowance for Credit Losses - Summary of Loans by Portfolio Class and Company's Internal Credit Quality Rating (Parenthetical) (Detail) - Government National Mortgage Association [Member] - USD ($) $ in Millions | Jun. 30, 2023 | Dec. 31, 2022 |
Financing Receivable, Recorded Investment [Line Items] | ||
Restructured GNMA loans,classified with a pass rating | $ 579 | $ 1,000 |
GNMA loans 90 days or more past due, classified with a pass rating | $ 2,100 | $ 2,200 |
Loans and Allowance for Cred_12
Loans and Allowance for Credit Losses - Loans modified by class and modification type (Detail) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | |
Jun. 30, 2023 | Jun. 30, 2023 | ||
Financing Receivable, Modifications [Line Items] | |||
Loans modified during the period | $ 1,123 | $ 1,879 | |
Financing Receivable, Percent Past Due | 0.30% | 0.50% | |
Commercial Portfolio Segment [Member] | |||
Financing Receivable, Modifications [Line Items] | |||
Loans modified during the period | $ 149 | $ 318 | |
Financing Receivable, Percent Past Due | 0.10% | 0.20% | |
Commercial Real Estate Portfolio Segment [Member] | |||
Financing Receivable, Modifications [Line Items] | |||
Loans modified during the period | $ 101 | $ 109 | |
Financing Receivable, Percent Past Due | 0.20% | 0.20% | |
Residential Portfolio Segment [Member] | |||
Financing Receivable, Modifications [Line Items] | |||
Loans modified during the period | [1] | $ 89 | $ 233 |
Financing Receivable, Percent Past Due | [1] | 0.10% | 0.20% |
Credit Card Receivable [Member] | |||
Financing Receivable, Modifications [Line Items] | |||
Loans modified during the period | $ 91 | $ 174 | |
Financing Receivable, Percent Past Due | 0.30% | 0.70% | |
Other Retail Loans [Member] | |||
Financing Receivable, Modifications [Line Items] | |||
Loans modified during the period | $ 56 | $ 106 | |
Financing Receivable, Percent Past Due | 0.10% | 0.20% | |
Total Loans Excluding Loans Purchased Gnma Mortgage Pools [Member] | |||
Financing Receivable, Modifications [Line Items] | |||
Loans modified during the period | $ 486 | $ 940 | |
Financing Receivable, Percent Past Due | 0.10% | 0.20% | |
Loans Excluding Loans Purchased From Government National Mortgage Association Mortgage pools [Member] | |||
Financing Receivable, Modifications [Line Items] | |||
Loans modified during the period | [1] | $ 637 | $ 939 |
Financing Receivable, Percent Past Due | [1] | 0.60% | 0.80% |
Contractual Interest Rate Reduction [Member] | |||
Financing Receivable, Modifications [Line Items] | |||
Loans modified during the period | $ 106 | $ 337 | |
Contractual Interest Rate Reduction [Member] | Commercial Portfolio Segment [Member] | |||
Financing Receivable, Modifications [Line Items] | |||
Loans modified during the period | 13 | 159 | |
Contractual Interest Rate Reduction [Member] | Credit Card Receivable [Member] | |||
Financing Receivable, Modifications [Line Items] | |||
Loans modified during the period | 91 | 174 | |
Contractual Interest Rate Reduction [Member] | Other Retail Loans [Member] | |||
Financing Receivable, Modifications [Line Items] | |||
Loans modified during the period | 2 | 4 | |
Contractual Interest Rate Reduction [Member] | Total Loans Excluding Loans Purchased Gnma Mortgage Pools [Member] | |||
Financing Receivable, Modifications [Line Items] | |||
Loans modified during the period | 106 | 337 | |
Payment Deferral [Member] | |||
Financing Receivable, Modifications [Line Items] | |||
Loans modified during the period | 546 | 869 | |
Payment Deferral [Member] | Residential Portfolio Segment [Member] | |||
Financing Receivable, Modifications [Line Items] | |||
Loans modified during the period | [1] | 79 | 202 |
Payment Deferral [Member] | Other Retail Loans [Member] | |||
Financing Receivable, Modifications [Line Items] | |||
Loans modified during the period | 14 | 18 | |
Payment Deferral [Member] | Total Loans Excluding Loans Purchased Gnma Mortgage Pools [Member] | |||
Financing Receivable, Modifications [Line Items] | |||
Loans modified during the period | 93 | 220 | |
Payment Deferral [Member] | Loans Excluding Loans Purchased From Government National Mortgage Association Mortgage pools [Member] | |||
Financing Receivable, Modifications [Line Items] | |||
Loans modified during the period | [1] | 453 | 649 |
Extended Maturity [Member] | |||
Financing Receivable, Modifications [Line Items] | |||
Loans modified during the period | 368 | 511 | |
Extended Maturity [Member] | Commercial Portfolio Segment [Member] | |||
Financing Receivable, Modifications [Line Items] | |||
Loans modified during the period | 136 | 159 | |
Extended Maturity [Member] | Commercial Real Estate Portfolio Segment [Member] | |||
Financing Receivable, Modifications [Line Items] | |||
Loans modified during the period | 101 | 109 | |
Extended Maturity [Member] | Residential Portfolio Segment [Member] | |||
Financing Receivable, Modifications [Line Items] | |||
Loans modified during the period | [1] | 6 | 15 |
Extended Maturity [Member] | Other Retail Loans [Member] | |||
Financing Receivable, Modifications [Line Items] | |||
Loans modified during the period | 39 | 81 | |
Extended Maturity [Member] | Total Loans Excluding Loans Purchased Gnma Mortgage Pools [Member] | |||
Financing Receivable, Modifications [Line Items] | |||
Loans modified during the period | 282 | 364 | |
Extended Maturity [Member] | Loans Excluding Loans Purchased From Government National Mortgage Association Mortgage pools [Member] | |||
Financing Receivable, Modifications [Line Items] | |||
Loans modified during the period | [1] | 86 | 147 |
Multiple Modification [Member] | |||
Financing Receivable, Modifications [Line Items] | |||
Loans modified during the period | [2] | 103 | 162 |
Multiple Modification [Member] | Residential Portfolio Segment [Member] | |||
Financing Receivable, Modifications [Line Items] | |||
Loans modified during the period | [1],[2] | 4 | 16 |
Multiple Modification [Member] | Other Retail Loans [Member] | |||
Financing Receivable, Modifications [Line Items] | |||
Loans modified during the period | [2] | 1 | 3 |
Multiple Modification [Member] | Total Loans Excluding Loans Purchased Gnma Mortgage Pools [Member] | |||
Financing Receivable, Modifications [Line Items] | |||
Loans modified during the period | [2] | 5 | 19 |
Multiple Modification [Member] | Loans Excluding Loans Purchased From Government National Mortgage Association Mortgage pools [Member] | |||
Financing Receivable, Modifications [Line Items] | |||
Loans modified during the period | [1],[2] | $ 98 | $ 143 |
[1]Percent of class total amounts expressed as a percent of total residential mortgage loan balances.[2]Includes $100 million of total loans receiving a payment delay and term extension, $2 million of total loans receiving an interest rate reduction and term extension and $1 million of total loans receiving an interest rate reduction, payment delay and term extension for three months ended ended June 30, 2023. Includes $151 million of total loans receiving a payment delay and term extension, $5 million of total loans receiving an interest rate reduction and term extension and $6 million of total loans receiving an interest rate reduction, payment delay and term extension for six months ended ended June 30, 2023. |
Loans and Allowance for Cred_13
Loans and Allowance for Credit Losses - Loans modified by class and modification type (Detail) (Parenthetical) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended |
Jun. 30, 2023 | Jun. 30, 2023 | |
Financing Receivable, Modifications [Line Items] | ||
Loans modified during the period | $ 1,123 | $ 1,879 |
Payment Deferral And Extended Maturity [Member] | ||
Financing Receivable, Modifications [Line Items] | ||
Loans modified during the period | 100 | 151 |
Contractual Interest Rate Reduction And Extended Maturity [Member] | ||
Financing Receivable, Modifications [Line Items] | ||
Loans modified during the period | 2 | 5 |
Contractual Interest Rate Reduction Extended Maturity And Payment Deferral [Member] | ||
Financing Receivable, Modifications [Line Items] | ||
Loans modified during the period | $ 1 | $ 6 |
Loans and Allowance for Cred_14
Loans and Allowance for Credit Losses - Effects of Loan Modifications Made During the Period (Detail) | 3 Months Ended | 6 Months Ended |
Jun. 30, 2023 | Jun. 30, 2023 | |
Commercial Portfolio Segment [Member] | ||
Financing Receivable, Modifications [Line Items] | ||
Weighted-Average Interest Rate Reduction | 21.30% | 3.30% |
Weighted-Average Months of Term Extension | 8 months | 7 months |
Commercial Real Estate Portfolio Segment [Member] | ||
Financing Receivable, Modifications [Line Items] | ||
Weighted-Average Months of Term Extension | 10 months | 10 months |
Residential Portfolio Segment [Member] | ||
Financing Receivable, Modifications [Line Items] | ||
Weighted-Average Interest Rate Reduction | 1.40% | 1.40% |
Weighted-Average Months of Term Extension | 89 months | 111 months |
Credit Card Receivable [Member] | ||
Financing Receivable, Modifications [Line Items] | ||
Weighted-Average Interest Rate Reduction | 16.40% | 16.20% |
Other Retail Loans [Member] | ||
Financing Receivable, Modifications [Line Items] | ||
Weighted-Average Interest Rate Reduction | 8.60% | 7.30% |
Weighted-Average Months of Term Extension | 108 months | 134 months |
Loans Purchased From Government National Mortgage Association Mortgage Pools [Member] | ||
Financing Receivable, Modifications [Line Items] | ||
Weighted-Average Interest Rate Reduction | 0.70% | 0.70% |
Weighted-Average Months of Term Extension | 87 months | 79 months |
Loans and Allowance for Cred_15
Loans and Allowance for Credit Losses - Loans Modified by Class and Delinquency Status (Detail) $ in Millions | 6 Months Ended | |
Jun. 30, 2023 USD ($) | ||
Financing Receivable, Modifications [Line Items] | ||
Loans modified during the period excluding forbearance | $ 1,368 | |
Commercial Portfolio Segment [Member] | ||
Financing Receivable, Modifications [Line Items] | ||
Loans modified during the period excluding forbearance | 318 | |
Commercial Real Estate Portfolio Segment [Member] | ||
Financing Receivable, Modifications [Line Items] | ||
Loans modified during the period excluding forbearance | 109 | |
Residential Portfolio Segment [Member] | ||
Financing Receivable, Modifications [Line Items] | ||
Loans modified during the period excluding forbearance | 692 | [1] |
Credit Card Receivable [Member] | ||
Financing Receivable, Modifications [Line Items] | ||
Loans modified during the period excluding forbearance | 174 | |
Other Retail Loans [Member] | ||
Financing Receivable, Modifications [Line Items] | ||
Loans modified during the period excluding forbearance | 75 | |
Financial Asset, Not Past Due [Member] | ||
Financing Receivable, Modifications [Line Items] | ||
Loans modified during the period excluding forbearance | 1,191 | |
Financial Asset, Not Past Due [Member] | Commercial Portfolio Segment [Member] | ||
Financing Receivable, Modifications [Line Items] | ||
Loans modified during the period excluding forbearance | 287 | |
Financial Asset, Not Past Due [Member] | Commercial Real Estate Portfolio Segment [Member] | ||
Financing Receivable, Modifications [Line Items] | ||
Loans modified during the period excluding forbearance | 43 | |
Financial Asset, Not Past Due [Member] | Residential Portfolio Segment [Member] | ||
Financing Receivable, Modifications [Line Items] | ||
Loans modified during the period excluding forbearance | 668 | [1] |
Financial Asset, Not Past Due [Member] | Credit Card Receivable [Member] | ||
Financing Receivable, Modifications [Line Items] | ||
Loans modified during the period excluding forbearance | 125 | |
Financial Asset, Not Past Due [Member] | Other Retail Loans [Member] | ||
Financing Receivable, Modifications [Line Items] | ||
Loans modified during the period excluding forbearance | 68 | |
Financing Receivables 30 To 89 Days Past Due [Member] | ||
Financing Receivable, Modifications [Line Items] | ||
Loans modified during the period excluding forbearance | 55 | |
Financing Receivables 30 To 89 Days Past Due [Member] | Commercial Portfolio Segment [Member] | ||
Financing Receivable, Modifications [Line Items] | ||
Loans modified during the period excluding forbearance | 7 | |
Financing Receivables 30 To 89 Days Past Due [Member] | Residential Portfolio Segment [Member] | ||
Financing Receivable, Modifications [Line Items] | ||
Loans modified during the period excluding forbearance | 11 | [1] |
Financing Receivables 30 To 89 Days Past Due [Member] | Credit Card Receivable [Member] | ||
Financing Receivable, Modifications [Line Items] | ||
Loans modified during the period excluding forbearance | 34 | |
Financing Receivables 30 To 89 Days Past Due [Member] | Other Retail Loans [Member] | ||
Financing Receivable, Modifications [Line Items] | ||
Loans modified during the period excluding forbearance | 3 | |
Financial Asset, Equal to or Greater than 90 Days Past Due [Member] | ||
Financing Receivable, Modifications [Line Items] | ||
Loans modified during the period excluding forbearance | 122 | |
Financial Asset, Equal to or Greater than 90 Days Past Due [Member] | Commercial Portfolio Segment [Member] | ||
Financing Receivable, Modifications [Line Items] | ||
Loans modified during the period excluding forbearance | 24 | |
Financial Asset, Equal to or Greater than 90 Days Past Due [Member] | Commercial Real Estate Portfolio Segment [Member] | ||
Financing Receivable, Modifications [Line Items] | ||
Loans modified during the period excluding forbearance | 66 | |
Financial Asset, Equal to or Greater than 90 Days Past Due [Member] | Residential Portfolio Segment [Member] | ||
Financing Receivable, Modifications [Line Items] | ||
Loans modified during the period excluding forbearance | 13 | [1] |
Financial Asset, Equal to or Greater than 90 Days Past Due [Member] | Credit Card Receivable [Member] | ||
Financing Receivable, Modifications [Line Items] | ||
Loans modified during the period excluding forbearance | 15 | |
Financial Asset, Equal to or Greater than 90 Days Past Due [Member] | Other Retail Loans [Member] | ||
Financing Receivable, Modifications [Line Items] | ||
Loans modified during the period excluding forbearance | $ 4 | |
[1]At June 30, 2023, $95 million of loans 30-89 days past due and $20 million of loans 90 days or more past due purchased and that could be purchased from GNMA mortgage pools under delinquent loan repurchase options whose payments are insured by the Federal Housing administration or guaranteed by the United States Department of Veterans Affairs, were classified as current. |
Loans and Allowance for Cred_16
Loans and Allowance for Credit Losses - Loans Modified by Class and Delinquency Status (Detail) (parenthetical) $ in Millions | 6 Months Ended | |
Jun. 30, 2023 USD ($) | ||
Financing Receivable, Modifications [Line Items] | ||
Loans modified during the period excluding forbearance | $ 1,368 | |
Residential Portfolio Segment [Member] | ||
Financing Receivable, Modifications [Line Items] | ||
Loans modified during the period excluding forbearance | 692 | [1] |
Financing Receivables 30 To 89 Days Past Due [Member] | ||
Financing Receivable, Modifications [Line Items] | ||
Loans modified during the period excluding forbearance | 55 | |
Financing Receivables 30 To 89 Days Past Due [Member] | Residential Portfolio Segment [Member] | ||
Financing Receivable, Modifications [Line Items] | ||
Loans modified during the period excluding forbearance | 11 | [1] |
Financial Asset, Equal to or Greater than 90 Days Past Due [Member] | ||
Financing Receivable, Modifications [Line Items] | ||
Loans modified during the period excluding forbearance | 122 | |
Financial Asset, Equal to or Greater than 90 Days Past Due [Member] | Residential Portfolio Segment [Member] | ||
Financing Receivable, Modifications [Line Items] | ||
Loans modified during the period excluding forbearance | 13 | [1] |
Government National Mortgage Association [Member] | Financing Receivables 30 To 89 Days Past Due [Member] | Residential Portfolio Segment [Member] | ||
Financing Receivable, Modifications [Line Items] | ||
Loans modified during the period excluding forbearance | 95 | |
Government National Mortgage Association [Member] | Financial Asset, Equal to or Greater than 90 Days Past Due [Member] | Residential Portfolio Segment [Member] | ||
Financing Receivable, Modifications [Line Items] | ||
Loans modified during the period excluding forbearance | $ 20 | |
[1]At June 30, 2023, $95 million of loans 30-89 days past due and $20 million of loans 90 days or more past due purchased and that could be purchased from GNMA mortgage pools under delinquent loan repurchase options whose payments are insured by the Federal Housing administration or guaranteed by the United States Department of Veterans Affairs, were classified as current. |
Loans and Allowance for Cred_17
Loans and Allowance for Credit Losses - Summary Of Loans That Defaulted And Modified (Detail) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | |
Jun. 30, 2023 | Jun. 30, 2023 | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | |||
Loans modified during the period | $ 1,123 | $ 1,879 | |
Contractual Interest Rate Reduction [Member] | |||
Financing Receivable, Recorded Investment, Past Due [Line Items] | |||
Loans modified during the period | 106 | 337 | |
Payment Deferral [Member] | |||
Financing Receivable, Recorded Investment, Past Due [Line Items] | |||
Loans modified during the period | 546 | 869 | |
Extended Maturity [Member] | |||
Financing Receivable, Recorded Investment, Past Due [Line Items] | |||
Loans modified during the period | 368 | 511 | |
Multiple Modification [Member] | |||
Financing Receivable, Recorded Investment, Past Due [Line Items] | |||
Loans modified during the period | [1] | 103 | 162 |
Financial Asset, Equal to or Greater than 90 Days Past Due [Member] | Contractual Interest Rate Reduction [Member] | |||
Financing Receivable, Recorded Investment, Past Due [Line Items] | |||
Loans modified during the period | 6 | 6 | |
Financial Asset, Equal to or Greater than 90 Days Past Due [Member] | Payment Deferral [Member] | |||
Financing Receivable, Recorded Investment, Past Due [Line Items] | |||
Loans modified during the period | 9 | 9 | |
Financial Asset, Equal to or Greater than 90 Days Past Due [Member] | Extended Maturity [Member] | |||
Financing Receivable, Recorded Investment, Past Due [Line Items] | |||
Loans modified during the period | 2 | 2 | |
Financial Asset, Equal to or Greater than 90 Days Past Due [Member] | Multiple Modification [Member] | |||
Financing Receivable, Recorded Investment, Past Due [Line Items] | |||
Loans modified during the period | 3 | 3 | |
Commercial Portfolio Segment [Member] | |||
Financing Receivable, Recorded Investment, Past Due [Line Items] | |||
Loans modified during the period | 149 | 318 | |
Commercial Portfolio Segment [Member] | Contractual Interest Rate Reduction [Member] | |||
Financing Receivable, Recorded Investment, Past Due [Line Items] | |||
Loans modified during the period | 13 | 159 | |
Commercial Portfolio Segment [Member] | Extended Maturity [Member] | |||
Financing Receivable, Recorded Investment, Past Due [Line Items] | |||
Loans modified during the period | 136 | 159 | |
Commercial Portfolio Segment [Member] | Financial Asset, Equal to or Greater than 90 Days Past Due [Member] | Contractual Interest Rate Reduction [Member] | |||
Financing Receivable, Recorded Investment, Past Due [Line Items] | |||
Loans modified during the period | 1 | 1 | |
Residential Portfolio Segment [Member] | |||
Financing Receivable, Recorded Investment, Past Due [Line Items] | |||
Loans modified during the period | [2] | 89 | 233 |
Residential Portfolio Segment [Member] | Payment Deferral [Member] | |||
Financing Receivable, Recorded Investment, Past Due [Line Items] | |||
Loans modified during the period | [2] | 79 | 202 |
Residential Portfolio Segment [Member] | Extended Maturity [Member] | |||
Financing Receivable, Recorded Investment, Past Due [Line Items] | |||
Loans modified during the period | [2] | 6 | 15 |
Residential Portfolio Segment [Member] | Multiple Modification [Member] | |||
Financing Receivable, Recorded Investment, Past Due [Line Items] | |||
Loans modified during the period | [1],[2] | 4 | 16 |
Residential Portfolio Segment [Member] | Financial Asset, Equal to or Greater than 90 Days Past Due [Member] | Payment Deferral [Member] | |||
Financing Receivable, Recorded Investment, Past Due [Line Items] | |||
Loans modified during the period | 1 | 1 | |
Residential Portfolio Segment [Member] | Financial Asset, Equal to or Greater than 90 Days Past Due [Member] | Multiple Modification [Member] | |||
Financing Receivable, Recorded Investment, Past Due [Line Items] | |||
Loans modified during the period | 1 | 1 | |
Credit Card Receivable [Member] | |||
Financing Receivable, Recorded Investment, Past Due [Line Items] | |||
Loans modified during the period | 91 | 174 | |
Credit Card Receivable [Member] | Contractual Interest Rate Reduction [Member] | |||
Financing Receivable, Recorded Investment, Past Due [Line Items] | |||
Loans modified during the period | 91 | 174 | |
Credit Card Receivable [Member] | Financial Asset, Equal to or Greater than 90 Days Past Due [Member] | Contractual Interest Rate Reduction [Member] | |||
Financing Receivable, Recorded Investment, Past Due [Line Items] | |||
Loans modified during the period | 5 | 5 | |
Other Retail Loans [Member] | |||
Financing Receivable, Recorded Investment, Past Due [Line Items] | |||
Loans modified during the period | 56 | 106 | |
Other Retail Loans [Member] | Contractual Interest Rate Reduction [Member] | |||
Financing Receivable, Recorded Investment, Past Due [Line Items] | |||
Loans modified during the period | 2 | 4 | |
Other Retail Loans [Member] | Payment Deferral [Member] | |||
Financing Receivable, Recorded Investment, Past Due [Line Items] | |||
Loans modified during the period | 14 | 18 | |
Other Retail Loans [Member] | Extended Maturity [Member] | |||
Financing Receivable, Recorded Investment, Past Due [Line Items] | |||
Loans modified during the period | 39 | 81 | |
Other Retail Loans [Member] | Multiple Modification [Member] | |||
Financing Receivable, Recorded Investment, Past Due [Line Items] | |||
Loans modified during the period | [1] | 1 | 3 |
Other Retail Loans [Member] | Financial Asset, Equal to or Greater than 90 Days Past Due [Member] | Payment Deferral [Member] | |||
Financing Receivable, Recorded Investment, Past Due [Line Items] | |||
Loans modified during the period | 2 | 2 | |
Other Retail Loans [Member] | Financial Asset, Equal to or Greater than 90 Days Past Due [Member] | Extended Maturity [Member] | |||
Financing Receivable, Recorded Investment, Past Due [Line Items] | |||
Loans modified during the period | 1 | 1 | |
Total Loans Excluding Loans Purchased Gnma Mortgage Pools [Member] | |||
Financing Receivable, Recorded Investment, Past Due [Line Items] | |||
Loans modified during the period | 486 | 940 | |
Total Loans Excluding Loans Purchased Gnma Mortgage Pools [Member] | Contractual Interest Rate Reduction [Member] | |||
Financing Receivable, Recorded Investment, Past Due [Line Items] | |||
Loans modified during the period | 106 | 337 | |
Total Loans Excluding Loans Purchased Gnma Mortgage Pools [Member] | Payment Deferral [Member] | |||
Financing Receivable, Recorded Investment, Past Due [Line Items] | |||
Loans modified during the period | 93 | 220 | |
Total Loans Excluding Loans Purchased Gnma Mortgage Pools [Member] | Extended Maturity [Member] | |||
Financing Receivable, Recorded Investment, Past Due [Line Items] | |||
Loans modified during the period | 282 | 364 | |
Total Loans Excluding Loans Purchased Gnma Mortgage Pools [Member] | Multiple Modification [Member] | |||
Financing Receivable, Recorded Investment, Past Due [Line Items] | |||
Loans modified during the period | [1] | 5 | 19 |
Total Loans Excluding Loans Purchased Gnma Mortgage Pools [Member] | Financial Asset, Equal to or Greater than 90 Days Past Due [Member] | Contractual Interest Rate Reduction [Member] | |||
Financing Receivable, Recorded Investment, Past Due [Line Items] | |||
Loans modified during the period | 6 | 6 | |
Total Loans Excluding Loans Purchased Gnma Mortgage Pools [Member] | Financial Asset, Equal to or Greater than 90 Days Past Due [Member] | Payment Deferral [Member] | |||
Financing Receivable, Recorded Investment, Past Due [Line Items] | |||
Loans modified during the period | 3 | 3 | |
Total Loans Excluding Loans Purchased Gnma Mortgage Pools [Member] | Financial Asset, Equal to or Greater than 90 Days Past Due [Member] | Extended Maturity [Member] | |||
Financing Receivable, Recorded Investment, Past Due [Line Items] | |||
Loans modified during the period | 1 | 1 | |
Total Loans Excluding Loans Purchased Gnma Mortgage Pools [Member] | Financial Asset, Equal to or Greater than 90 Days Past Due [Member] | Multiple Modification [Member] | |||
Financing Receivable, Recorded Investment, Past Due [Line Items] | |||
Loans modified during the period | 1 | 1 | |
Loans Excluding Loans Purchased From Government National Mortgage Association Mortgage pools [Member] | Financial Asset, Equal to or Greater than 90 Days Past Due [Member] | Payment Deferral [Member] | |||
Financing Receivable, Recorded Investment, Past Due [Line Items] | |||
Loans modified during the period | 6 | 6 | |
Loans Excluding Loans Purchased From Government National Mortgage Association Mortgage pools [Member] | Financial Asset, Equal to or Greater than 90 Days Past Due [Member] | Extended Maturity [Member] | |||
Financing Receivable, Recorded Investment, Past Due [Line Items] | |||
Loans modified during the period | 1 | 1 | |
Loans Excluding Loans Purchased From Government National Mortgage Association Mortgage pools [Member] | Financial Asset, Equal to or Greater than 90 Days Past Due [Member] | Multiple Modification [Member] | |||
Financing Receivable, Recorded Investment, Past Due [Line Items] | |||
Loans modified during the period | $ 2 | $ 2 | |
[1]Includes $100 million of total loans receiving a payment delay and term extension, $2 million of total loans receiving an interest rate reduction and term extension and $1 million of total loans receiving an interest rate reduction, payment delay and term extension for three months ended ended June 30, 2023. Includes $151 million of total loans receiving a payment delay and term extension, $5 million of total loans receiving an interest rate reduction and term extension and $6 million of total loans receiving an interest rate reduction, payment delay and term extension for six months ended ended June 30, 2023.[2]Percent of class total amounts expressed as a percent of total residential mortgage loan balances. |
Loans and Allowance for Cred_18
Loans and Allowance for Credit Losses - Summary Of Loans That Defaulted And Modified (Parenthetical) (Detail) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended |
Jun. 30, 2023 | Jun. 30, 2023 | |
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Financing Receivable Excluding Accrued Interest Modified In Period Amount | $ 1,123 | $ 1,879 |
Payment Deferral And Extended Maturity [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Financing Receivable Excluding Accrued Interest Modified In Period Amount | 100 | 151 |
Contractual Interest Rate Reduction Extended Maturity And Payment Deferral [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Financing Receivable Excluding Accrued Interest Modified In Period Amount | 1 | 6 |
Financial Asset, Equal to or Greater than 90 Days Past Due [Member] | Payment Deferral And Extended Maturity [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Financing Receivable Excluding Accrued Interest Modified In Period Amount | 2 | 2 |
Financial Asset, Equal to or Greater than 90 Days Past Due [Member] | Contractual Interest Rate Reduction Extended Maturity And Payment Deferral [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Financing Receivable Excluding Accrued Interest Modified In Period Amount | $ 1 | $ 1 |
Loans and Allowance for Cred_19
Loans and Allowance for Credit Losses - Summary of Loans Modified as TDRs (Detail) $ in Millions | 3 Months Ended | 6 Months Ended |
Mar. 31, 2023 USD ($) SecurityLoan | Jun. 30, 2023 USD ($) SecurityLoan | |
Financing Receivable, Modifications [Line Items] | ||
Number of Loans | SecurityLoan | 10,705 | 22,520 |
Pre-Modification Outstanding Loan Balance | $ 286 | $ 705 |
Post-Modification Outstanding Loan Balance | $ 275 | $ 685 |
Commercial [Member] | ||
Financing Receivable, Modifications [Line Items] | ||
Number of Loans | SecurityLoan | 506 | 1,015 |
Pre-Modification Outstanding Loan Balance | $ 50 | $ 88 |
Post-Modification Outstanding Loan Balance | $ 41 | $ 73 |
Commercial Real Estate [Member] | ||
Financing Receivable, Modifications [Line Items] | ||
Number of Loans | SecurityLoan | 28 | 37 |
Pre-Modification Outstanding Loan Balance | $ 11 | $ 22 |
Post-Modification Outstanding Loan Balance | $ 9 | $ 19 |
Residential Mortgages [Member] | ||
Financing Receivable, Modifications [Line Items] | ||
Number of Loans | SecurityLoan | 366 | 1,206 |
Pre-Modification Outstanding Loan Balance | $ 106 | $ 334 |
Post-Modification Outstanding Loan Balance | $ 106 | $ 332 |
Other Retail [Member] | ||
Financing Receivable, Modifications [Line Items] | ||
Number of Loans | SecurityLoan | 756 | 1,484 |
Pre-Modification Outstanding Loan Balance | $ 24 | $ 61 |
Post-Modification Outstanding Loan Balance | $ 20 | $ 57 |
Credit Card [Member] | ||
Financing Receivable, Modifications [Line Items] | ||
Number of Loans | SecurityLoan | 8,696 | 18,035 |
Pre-Modification Outstanding Loan Balance | $ 48 | $ 98 |
Post-Modification Outstanding Loan Balance | $ 49 | $ 99 |
Total Loans, Excluding Loans Purchased from GNMA Mortgage Pools [Member] | ||
Financing Receivable, Modifications [Line Items] | ||
Number of Loans | SecurityLoan | 10,352 | 21,777 |
Pre-Modification Outstanding Loan Balance | $ 239 | $ 603 |
Post-Modification Outstanding Loan Balance | $ 225 | $ 580 |
Government National Mortgage Association [Member] | ||
Financing Receivable, Modifications [Line Items] | ||
Number of Loans | SecurityLoan | 353 | 743 |
Pre-Modification Outstanding Loan Balance | $ 47 | $ 102 |
Post-Modification Outstanding Loan Balance | $ 50 | $ 105 |
Loans and Allowance for Cred_20
Loans and Allowance for Credit Losses - Summary of Loans Modified as TDRs in the Past Twelve Months that have Subsequently Defaulted (Detail) $ in Millions | 3 Months Ended | 6 Months Ended |
Jun. 30, 2023 USD ($) SecurityLoan | Jun. 30, 2023 USD ($) SecurityLoan | |
Financing Receivable, Modifications [Line Items] | ||
Number of Loans | SecurityLoan | 2,163 | 4,180 |
Amount Defaulted | $ | $ 38 | $ 63 |
Commercial [Member] | ||
Financing Receivable, Modifications [Line Items] | ||
Number of Loans | SecurityLoan | 175 | 389 |
Amount Defaulted | $ | $ 3 | $ 6 |
Commercial Real Estate [Member] | ||
Financing Receivable, Modifications [Line Items] | ||
Number of Loans | SecurityLoan | 2 | 5 |
Amount Defaulted | $ | $ 1 | $ 2 |
Residential Mortgages [Member] | ||
Financing Receivable, Modifications [Line Items] | ||
Number of Loans | SecurityLoan | 79 | 113 |
Amount Defaulted | $ | $ 7 | $ 10 |
Other Retail [Member] | ||
Financing Receivable, Modifications [Line Items] | ||
Number of Loans | SecurityLoan | 60 | 143 |
Amount Defaulted | $ | $ 1 | $ 2 |
Credit Card [Member] | ||
Financing Receivable, Modifications [Line Items] | ||
Number of Loans | SecurityLoan | 1,727 | 3,361 |
Amount Defaulted | $ | $ 9 | $ 18 |
Total Loans, Excluding Loans Purchased from GNMA Mortgage Pools [Member] | ||
Financing Receivable, Modifications [Line Items] | ||
Number of Loans | SecurityLoan | 2,043 | 4,011 |
Amount Defaulted | $ | $ 21 | $ 38 |
Government National Mortgage Association [Member] | ||
Financing Receivable, Modifications [Line Items] | ||
Number of Loans | SecurityLoan | 120 | 169 |
Amount Defaulted | $ | $ 17 | $ 25 |
Accounting for Transfers and _3
Accounting for Transfers and Servicing of Financial Assets and Variable Interest Entities - Additional Information (Detail) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | 12 Months Ended | |||||
Jun. 30, 2023 | Jun. 30, 2022 | Jun. 30, 2023 | Jun. 30, 2022 | Dec. 31, 2022 | ||||
Variable Interest Entity [Line Items] | ||||||||
Assets related to consolidated VIEs | $ 680,825 | $ 680,825 | $ 674,805 | |||||
Liabilities related to consolidated VIEs | 627,341 | 627,341 | 623,573 | |||||
Available-for-sale securities | [2] | 69,221 | [1],[3] | 69,221 | [1],[3] | 72,910 | ||
Community Development And Tax Advantaged Investments [Member] | ||||||||
Variable Interest Entity [Line Items] | ||||||||
Federal and state income tax credits recognized in tax expense | 149 | $ 112 | 287 | $ 225 | ||||
Expense related to investments | 135 | 106 | 265 | 208 | ||||
Investment tax credits | 72 | 162 | 236 | 175 | ||||
Financial Support Waived Fees [Member] | ||||||||
Variable Interest Entity [Line Items] | ||||||||
Financial or other support to money market funds | $ 7 | $ 65 | ||||||
Variable Interest Entity Not Primary Beneficiary [Member] | Private Investment Funds and Partnerships [Member] | ||||||||
Variable Interest Entity [Line Items] | ||||||||
Maximum exposure to loss | 318 | 318 | 310 | |||||
Assets related to consolidated VIEs | 198 | 198 | 177 | |||||
Variable Interest Entity Not Primary Beneficiary [Member] | Community Development And Tax Advantaged Investments [Member] | ||||||||
Variable Interest Entity [Line Items] | ||||||||
Maximum exposure to loss | 9,830 | 9,830 | 9,761 | |||||
Assets related to consolidated VIEs | 6,242 | 6,242 | 5,452 | |||||
Liabilities related to consolidated VIEs | 3,013 | 3,013 | 2,416 | |||||
Variable Interest Entity Not Primary Beneficiary [Member] | Minimum [Member] | ||||||||
Variable Interest Entity [Line Items] | ||||||||
Aggregate amount of investments in unconsolidated VIEs | 1 | 1 | 1 | |||||
Variable Interest Entity Not Primary Beneficiary [Member] | Maximum [Member] | ||||||||
Variable Interest Entity [Line Items] | ||||||||
Aggregate amount of investments in unconsolidated VIEs | 91 | 91 | 116 | |||||
Variable Interest Entity Primary Beneficiary [Member] | Senior Notes [Member] | ||||||||
Variable Interest Entity [Line Items] | ||||||||
Available-for-sale securities | 6,600 | 6,600 | 3,400 | |||||
Collateral held related to senior notes | 7,700 | 4,000 | ||||||
Variable Interest Entity Primary Beneficiary [Member] | Community Development And Tax Advantaged Investments [Member] | ||||||||
Variable Interest Entity [Line Items] | ||||||||
Assets related to consolidated VIEs | 5,900 | 5,900 | 5,900 | |||||
Liabilities related to consolidated VIEs | 4,400 | 4,400 | 4,200 | |||||
Variable Interest Entity Primary Beneficiary [Member] | Tender Option Bond Program [Member] | ||||||||
Variable Interest Entity [Line Items] | ||||||||
Assets related to consolidated VIEs | 1,000 | 1,000 | 1,500 | |||||
Liabilities related to consolidated VIEs | $ 1,000 | $ 1,000 | $ 1,000 | |||||
[1]Amortized cost excludes portfolio level basis adjustments of $(1) million.[2]Includes only collateral pledged by the Company where counterparties have the right to sell or pledge the collateral.[3]The weighted-average maturity of total held-to-maturity investment securities was 9.2 years at December 31, 2022, with a corresponding weighted-average yield of 2.18 percent. The weighted-average maturity of total available-for-sale investment securities was 7.4 years at December 31, 2022, with a corresponding weighted-average yield of 2.94 percent. |
Accounting for Transfers and _4
Accounting for Transfers and Servicing of Financial Assets and Variable Interest Entities - Summary of Investments in Community Development and Tax-advantaged VIEs (Detail) - USD ($) $ in Millions | Jun. 30, 2023 | Dec. 31, 2022 |
Variable Interest Entity [Line Items] | ||
Investment carrying amount | $ 680,825 | $ 674,805 |
Unfunded capital and other commitments | 627,341 | 623,573 |
Variable Interest Entity Not Primary Beneficiary [Member] | Community Development And Tax Advantaged Investments [Member] | ||
Variable Interest Entity [Line Items] | ||
Investment carrying amount | 6,242 | 5,452 |
Unfunded capital and other commitments | 3,013 | 2,416 |
Maximum exposure to loss | $ 9,830 | $ 9,761 |
Mortgage Servicing Rights - Add
Mortgage Servicing Rights - Additional Information (Detail) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | |||
Jun. 30, 2023 | Jun. 30, 2022 | Jun. 30, 2023 | Jun. 30, 2022 | Dec. 31, 2022 | |
Transfers and Servicing of Financial Assets [Abstract] | |||||
Residential mortgage loans serviced for others including subserviced mortgages with no corresponding MSRs asset | $ 251,600 | $ 251,600 | $ 243,600 | ||
Gain (Loss) on fair value changes of MSRs due to changes in valuation assumptions and derivatives used to economically hedge MSRs | (31) | $ 13 | (42) | $ (16) | |
Loan servicing and ancillary fees | $ 187 | $ 186 | $ 377 | $ 371 |
Mortgage Servicing Rights - Cha
Mortgage Servicing Rights - Changes in Fair Value of Capitalized MSRs (Detail) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2023 | Jun. 30, 2022 | Jun. 30, 2023 | Jun. 30, 2022 | |
Transfers and Servicing of Financial Assets [Abstract] | ||||
Balance at beginning of period | $ 3,724 | $ 3,432 | $ 3,755 | $ 2,953 |
Rights purchased | 1 | 3 | 2 | 6 |
Rights capitalized | 99 | 102 | 195 | 339 |
Rights sold | (149) | (148) | 1 | |
Changes in fair value of MSRs | ||||
Due to fluctuations in market interest rates | 84 | 289 | 46 | 657 |
Due to revised assumptions or models | (21) | 6 | (16) | (21) |
Other changes in fair value | $ (105) | $ (125) | $ (201) | $ (228) |
Servicing Asset, Fair Value, Change in Fair Value, Other, Statement of Income or Comprehensive Income [Extensible Enumeration] | Fees and Commissions, Mortgage Banking and Servicing | Fees and Commissions, Mortgage Banking and Servicing | Fees and Commissions, Mortgage Banking and Servicing | Fees and Commissions, Mortgage Banking and Servicing |
Balance at end of period | $ 3,633 | $ 3,707 | $ 3,633 | $ 3,707 |
Mortgage Servicing Rights - Sen
Mortgage Servicing Rights - Sensitivity to Changes in Interest Rates of the Fair Value of MSR Portfolio and Related Derivative Instruments (Detail) - USD ($) $ in Millions | Jun. 30, 2023 | Dec. 31, 2022 |
Down Scenario [Member] | Mortgage Servicing Rights [Member] | ||
Sensitivity Analysis of Fair Value of Interests Continued to be Held by Transferor, Servicing Assets or Liabilities, Impact of Adverse Change in Assumption [Line Items] | ||
Net fair value 100 basis points | $ (346) | $ (334) |
Net fair value 50 basis points | (161) | (153) |
Net fair value 25 basis points | (77) | (73) |
Down Scenario [Member] | Derivative [Member] | ||
Sensitivity Analysis of Fair Value of Interests Continued to be Held by Transferor, Servicing Assets or Liabilities, Impact of Adverse Change in Assumption [Line Items] | ||
Net fair value 100 basis points | 361 | 337 |
Net fair value 50 basis points | 164 | 153 |
Net fair value 25 basis points | 78 | 73 |
Down Scenario [Member] | Net Sensitivity [Member] | ||
Sensitivity Analysis of Fair Value of Interests Continued to be Held by Transferor, Servicing Assets or Liabilities, Impact of Adverse Change in Assumption [Line Items] | ||
Net fair value 100 basis points | 15 | 3 |
Net fair value 50 basis points | 3 | |
Net fair value 25 basis points | 1 | |
Up Scenario [Member] | Mortgage Servicing Rights [Member] | ||
Sensitivity Analysis of Fair Value of Interests Continued to be Held by Transferor, Servicing Assets or Liabilities, Impact of Adverse Change in Assumption [Line Items] | ||
Net fair value 100 basis points | 249 | 224 |
Net fair value 50 basis points | 136 | 125 |
Net fair value 25 basis points | 71 | 66 |
Up Scenario [Member] | Derivative [Member] | ||
Sensitivity Analysis of Fair Value of Interests Continued to be Held by Transferor, Servicing Assets or Liabilities, Impact of Adverse Change in Assumption [Line Items] | ||
Net fair value 100 basis points | (248) | (236) |
Net fair value 50 basis points | (135) | (127) |
Net fair value 25 basis points | (71) | (67) |
Up Scenario [Member] | Net Sensitivity [Member] | ||
Sensitivity Analysis of Fair Value of Interests Continued to be Held by Transferor, Servicing Assets or Liabilities, Impact of Adverse Change in Assumption [Line Items] | ||
Net fair value 100 basis points | 1 | (12) |
Net fair value 50 basis points | $ 1 | (2) |
Net fair value 25 basis points | $ (1) |
Mortgage Servicing Rights - MSR
Mortgage Servicing Rights - MSRs and Related Characteristics by Portfolio (Detail) $ in Millions | 6 Months Ended | 12 Months Ended | ||||
Jun. 30, 2023 USD ($) BasisPoint Multiple | Dec. 31, 2022 USD ($) Multiple BasisPoint | Mar. 31, 2023 USD ($) | Jun. 30, 2022 USD ($) | Mar. 31, 2022 USD ($) | Dec. 31, 2021 USD ($) | |
Servicing Assets at Fair Value [Line Items] | ||||||
Fair value | $ 3,633 | $ 3,755 | $ 3,724 | $ 3,707 | $ 3,432 | $ 2,953 |
Mortgage Servicing Rights [Member] | ||||||
Servicing Assets at Fair Value [Line Items] | ||||||
Servicing portfolio | 243,426 | 239,753 | ||||
Fair value | $ 3,633 | $ 3,755 | ||||
Value (bps) | BasisPoint | 149 | 157 | ||||
Weighted-average servicing fees (bps) | BasisPoint | 29 | 30 | ||||
Multiple (value/servicing fees) | Multiple | 5.1 | 5.2 | ||||
Weighted-average note rate | 3.81% | 3.67% | ||||
Weighted-average age (in years) | 4 years 2 months 12 days | 3 years 10 months 24 days | ||||
Weighted-average expected prepayment (constant prepayment rate) | 8.30% | 7.80% | ||||
Weighted-average expected life (in years) | 7 years 6 months | 7 years 8 months 12 days | ||||
Weighted-average option adjusted spread | 5.70% | 5.80% | ||||
HFA [Member] | Mortgage Servicing Rights [Member] | ||||||
Servicing Assets at Fair Value [Line Items] | ||||||
Servicing portfolio | $ 45,368 | $ 44,071 | ||||
Fair value | $ 729 | $ 725 | ||||
Value (bps) | BasisPoint | 161 | 165 | ||||
Weighted-average servicing fees (bps) | BasisPoint | 36 | 36 | ||||
Multiple (value/servicing fees) | Multiple | 4.46 | 4.56 | ||||
Weighted-average note rate | 4.32% | 4.16% | ||||
Weighted-average age (in years) | 4 years 2 months 12 days | 4 years | ||||
Weighted-average expected prepayment (constant prepayment rate) | 7.80% | 7.40% | ||||
Weighted-average expected life (in years) | 8 years 7 months 6 days | 8 years 9 months 18 days | ||||
Weighted-average option adjusted spread | 7.60% | 7.60% | ||||
Government Insured [Member] | Mortgage Servicing Rights [Member] | ||||||
Servicing Assets at Fair Value [Line Items] | ||||||
Servicing portfolio | $ 24,312 | $ 23,141 | ||||
Fair value | $ 476 | $ 454 | ||||
Value (bps) | BasisPoint | 196 | 196 | ||||
Weighted-average servicing fees (bps) | BasisPoint | 43 | 42 | ||||
Multiple (value/servicing fees) | Multiple | 4.53 | 4.69 | ||||
Weighted-average note rate | 4.01% | 3.81% | ||||
Weighted-average age (in years) | 5 years 6 months | 5 years 8 months 12 days | ||||
Weighted-average expected prepayment (constant prepayment rate) | 9.40% | 8.50% | ||||
Weighted-average expected life (in years) | 7 years 3 months 18 days | 7 years 7 months 6 days | ||||
Weighted-average option adjusted spread | 6.90% | 6.90% | ||||
Conventional [Member] | Mortgage Servicing Rights [Member] | ||||||
Servicing Assets at Fair Value [Line Items] | ||||||
Servicing portfolio | $ 173,746 | $ 172,541 | ||||
Fair value | $ 2,428 | $ 2,576 | ||||
Value (bps) | BasisPoint | 140 | 149 | ||||
Weighted-average servicing fees (bps) | BasisPoint | 26 | 27 | ||||
Multiple (value/servicing fees) | Multiple | 5.47 | 5.52 | ||||
Weighted-average note rate | 3.65% | 3.52% | ||||
Weighted-average age (in years) | 4 years | 3 years 8 months 12 days | ||||
Weighted-average expected prepayment (constant prepayment rate) | 8.30% | 7.80% | ||||
Weighted-average expected life (in years) | 7 years 3 months 18 days | 7 years 6 months | ||||
Weighted-average option adjusted spread | 4.90% | 5.10% |
Preferred Stock - Additional In
Preferred Stock - Additional Information (Detail) - shares shares in Millions | Jun. 30, 2023 | Dec. 31, 2022 |
Equity [Abstract] | ||
Number of preferred stock shares authorized | 50 | 50 |
Preferred Stock - Number of Sha
Preferred Stock - Number of Shares Issued and Outstanding and Carrying Amount of Preferred Stock (Detail) - USD ($) $ in Millions | Jun. 30, 2023 | Dec. 31, 2022 | |
Class of Stock [Line Items] | |||
Shares Issued and Outstanding | [1] | 243,510 | 243,510 |
Liquidation Preference | [1] | $ 7,026 | $ 7,026 |
Discount | [1] | 218 | 218 |
Carrying Amount | [1] | $ 6,808 | $ 6,808 |
Series A [Member] | |||
Class of Stock [Line Items] | |||
Shares Issued and Outstanding | 12,510 | 12,510 | |
Liquidation Preference | $ 1,251 | $ 1,251 | |
Discount | 145 | 145 | |
Carrying Amount | $ 1,106 | $ 1,106 | |
Series B [Member] | |||
Class of Stock [Line Items] | |||
Shares Issued and Outstanding | 40,000 | 40,000 | |
Liquidation Preference | $ 1,000 | $ 1,000 | |
Carrying Amount | $ 1,000 | $ 1,000 | |
Series J [Member] | |||
Class of Stock [Line Items] | |||
Shares Issued and Outstanding | 40,000 | 40,000 | |
Liquidation Preference | $ 1,000 | $ 1,000 | |
Discount | 7 | 7 | |
Carrying Amount | $ 993 | $ 993 | |
Series K [Member] | |||
Class of Stock [Line Items] | |||
Shares Issued and Outstanding | 23,000 | 23,000 | |
Liquidation Preference | $ 575 | $ 575 | |
Discount | 10 | 10 | |
Carrying Amount | $ 565 | $ 565 | |
Series L [Member] | |||
Class of Stock [Line Items] | |||
Shares Issued and Outstanding | 20,000 | 20,000 | |
Liquidation Preference | $ 500 | $ 500 | |
Discount | 14 | 14 | |
Carrying Amount | $ 486 | $ 486 | |
Series M [Member] | |||
Class of Stock [Line Items] | |||
Shares Issued and Outstanding | 30,000 | 30,000 | |
Liquidation Preference | $ 750 | $ 750 | |
Discount | 21 | 21 | |
Carrying Amount | $ 729 | $ 729 | |
Series N [Member] | |||
Class of Stock [Line Items] | |||
Shares Issued and Outstanding | 60,000 | 60,000 | |
Liquidation Preference | $ 1,500 | $ 1,500 | |
Discount | 8 | 8 | |
Carrying Amount | $ 1,492 | $ 1,492 | |
Series O [Member] | |||
Class of Stock [Line Items] | |||
Shares Issued and Outstanding | 18,000 | 18,000 | |
Liquidation Preference | $ 450 | $ 450 | |
Discount | 13 | 13 | |
Carrying Amount | $ 437 | $ 437 | |
[1]The par value of all shares issued and outstanding at June 30, 2023 and December 31, 2022, was $1.00 per share. |
Preferred Stock - Number of S_2
Preferred Stock - Number of Shares Issued and Outstanding and Carrying Amount of Preferred Stock (Parenthetical) (Detail) - $ / shares | Jun. 30, 2023 | Dec. 31, 2022 |
Equity [Abstract] | ||
Preferred stock, par value | $ 1 | $ 1 |
Accumulated Other Comprehensi_3
Accumulated Other Comprehensive Income (Loss) - Reconciliation of Transactions Affecting Accumulated Other Comprehensive Income (Loss) Included in Shareholders' Equity (Detail) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | |||
Jun. 30, 2023 | Jun. 30, 2022 | Jun. 30, 2023 | Jun. 30, 2022 | ||
Accumulated Other Comprehensive Income (Loss) [Line Items] | |||||
Balance at beginning of period | $ (10,153) | $ (6,938) | $ (11,407) | $ (1,943) | |
Changes in unrealized gains (losses) | (460) | (4,761) | 845 | (11,515) | |
Changes in unrealized gains (losses) | (465) | 98 | (261) | 98 | |
Changes in unrealized gains (losses) | 1 | ||||
Changes in unrealized gains (losses) | (925) | (4,663) | 585 | (11,417) | |
Foreign currency translation adjustment | [1] | 19 | (3) | 18 | (3) |
Reclassification to earnings of realized (gains) losses | 147 | 84 | 305 | 151 | |
Applicable income taxes | 194 | 1,159 | (219) | 2,851 | |
Balance at end of period | (10,718) | (10,361) | (10,718) | (10,361) | |
Unrealized Gains (Losses) on Investment Securities Available-For-Sale [Member] | |||||
Accumulated Other Comprehensive Income (Loss) [Line Items] | |||||
Balance at beginning of period | (5,369) | (4,518) | (6,378) | 540 | |
Changes in unrealized gains (losses) | (460) | (4,761) | 845 | (11,515) | |
Transfer of securities from available-for-sale to held-to-maturity | 1,381 | 1,381 | |||
Reclassification to earnings of realized (gains) losses | (3) | (19) | 29 | (37) | |
Applicable income taxes | 116 | 859 | (212) | 2,573 | |
Balance at end of period | (5,716) | (7,058) | (5,716) | (7,058) | |
Unrealized Gains (Losses) on Investment Securities Transferred From Available For Sale to Held To Maturity [Member] | |||||
Accumulated Other Comprehensive Income (Loss) [Line Items] | |||||
Balance at beginning of period | (3,843) | (904) | (3,933) | (935) | |
Transfer of securities from available-for-sale to held-to-maturity | (1,381) | (1,381) | |||
Reclassification to earnings of realized (gains) losses | 141 | 61 | 262 | 103 | |
Applicable income taxes | (35) | 334 | (66) | 323 | |
Balance at end of period | (3,737) | (1,890) | (3,737) | (1,890) | |
Unrealized Gains (Losses) on Derivative Hedges [Member] | |||||
Accumulated Other Comprehensive Income (Loss) [Line Items] | |||||
Balance at beginning of period | 43 | (77) | (114) | (85) | |
Changes in unrealized gains (losses) | (465) | 98 | (261) | 98 | |
Reclassification to earnings of realized (gains) losses | 11 | 10 | 18 | 21 | |
Applicable income taxes | 117 | (27) | 63 | (30) | |
Balance at end of period | (294) | 4 | (294) | 4 | |
Unrealized Gains (Losses) on Retirement Plans [Member] | |||||
Accumulated Other Comprehensive Income (Loss) [Line Items] | |||||
Balance at beginning of period | (940) | (1,402) | (939) | (1,426) | |
Changes in unrealized gains (losses) | 1 | ||||
Reclassification to earnings of realized (gains) losses | (2) | 32 | (4) | 64 | |
Applicable income taxes | 1 | (8) | 1 | (16) | |
Balance at end of period | (941) | (1,378) | (941) | (1,378) | |
Foreign Currency Translation [Member] | |||||
Accumulated Other Comprehensive Income (Loss) [Line Items] | |||||
Balance at beginning of period | (44) | (37) | (43) | (37) | |
Foreign currency translation adjustment | [1] | 19 | (3) | 18 | (3) |
Applicable income taxes | (5) | 1 | (5) | 1 | |
Balance at end of period | $ (30) | $ (39) | $ (30) | $ (39) | |
[1]Represents the impact of changes in foreign currency exchange rates on the Company’s investment in foreign operations and related hedges. |
Accumulated Other Comprehensi_4
Accumulated Other Comprehensive Income (Loss) - Impact to Net Income for Items Reclassified out of Accumulated Other Comprehensive Income and into Earnings (Detail) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2023 | Jun. 30, 2022 | Jun. 30, 2023 | Jun. 30, 2022 | |
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | ||||
Realized gains (losses) on sale of investment securities | $ 3 | $ 19 | $ (29) | $ 37 |
Amortization of unrealized gains (losses) | 7,526 | 3,825 | 14,490 | 7,243 |
Realized gains (losses) on derivative hedges | (3,111) | (390) | (5,441) | (635) |
Actuarial gains (losses) and prior service cost (credit) amortization | (353) | (340) | (778) | (662) |
Applicable income taxes | (382) | (414) | (837) | (811) |
Net income (loss) | 1,369 | 1,534 | 3,073 | 3,092 |
Reclassification Out of Accumulated Other Comprehensive Income [Member] | ||||
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | ||||
Net income (loss) | (111) | (63) | (229) | (113) |
Reclassification Out of Accumulated Other Comprehensive Income [Member] | Unrealized Gains (Losses) on Investment Securities Available-For-Sale [Member] | ||||
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | ||||
Realized gains (losses) on sale of investment securities | 3 | 19 | (29) | 37 |
Applicable income taxes | (1) | (5) | 7 | (9) |
Net income (loss) | 2 | 14 | (22) | 28 |
Reclassification Out of Accumulated Other Comprehensive Income [Member] | Unrealized Gains (Losses) on Investment Securities Transferred From Available For Sale to Held To Maturity [Member] | ||||
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | ||||
Amortization of unrealized gains (losses) | (141) | (61) | (262) | (103) |
Applicable income taxes | 35 | 16 | 66 | 26 |
Net income (loss) | (106) | (45) | (196) | (77) |
Reclassification Out of Accumulated Other Comprehensive Income [Member] | Unrealized Gains (Losses) on Derivative Hedges [Member] | ||||
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | ||||
Realized gains (losses) on derivative hedges | (11) | (10) | (18) | (21) |
Applicable income taxes | 3 | 2 | 4 | 5 |
Net income (loss) | (8) | (8) | (14) | (16) |
Reclassification Out of Accumulated Other Comprehensive Income [Member] | Unrealized Gains (Losses) on Retirement Plans [Member] | ||||
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | ||||
Actuarial gains (losses) and prior service cost (credit) amortization | 2 | (32) | 4 | (64) |
Applicable income taxes | (1) | 8 | (1) | 16 |
Net income (loss) | $ 1 | $ (24) | $ 3 | $ (48) |
Earnings Per Share - Components
Earnings Per Share - Components of Earnings Per Share (Detail) - USD ($) $ / shares in Units, shares in Millions, $ in Millions | 3 Months Ended | 6 Months Ended | ||||||
Jun. 30, 2023 | Jun. 30, 2022 | Jun. 30, 2023 | Jun. 30, 2022 | |||||
Earnings Per Share [Abstract] | ||||||||
Net income attributable to U.S. Bancorp | $ 1,361 | $ 1,531 | $ 3,059 | $ 3,088 | ||||
Preferred dividends | (73) | [1] | (59) | [2] | (171) | [3] | (143) | [4] |
Earnings allocated to participating stock awards | (7) | (8) | (15) | (15) | ||||
Net income applicable to U.S. Bancorp common shareholders | $ 1,281 | $ 1,464 | $ 2,873 | $ 2,930 | ||||
Average common shares outstanding | 1,533 | 1,486 | 1,532 | 1,485 | ||||
Net effect of the exercise and assumed purchase of stock awards | 1 | 1 | 1 | |||||
Average diluted common shares outstanding | 1,533 | 1,487 | 1,533 | 1,486 | ||||
Earnings per common share | $ 0.84 | $ 0.99 | $ 1.87 | $ 1.97 | ||||
Diluted earnings per common share | $ 0.84 | $ 0.99 | $ 1.87 | $ 1.97 | ||||
[1]Reflects dividends declared per share on the Company’s Series A, Series B, Series K, Series L, Series M, Series N and Series O Non-Cumulative Perpetual Preferred Stock of $1,587.52, $370.338, $343.75, $234.375, $250.00, $231.25 and $281.25, respectively.[2]Reflects dividends declared per share on the Company’s Series A, Series B, Series K, Series L, Series M, Series N and Series O Non-Cumulative Perpetual Preferred Stock of $884.722, $221.181, $343.75, $234.375, $250.00, $231.25 and $281.25, respectively.[3]Reflects dividends declared per share on the Company’s Series A, Series B, Series J, Series K, Series L, Series M, Series N and Series O Non-Cumulative Perpetual Preferred Stock of $3,049.948, $709.695, $662.50, $687.50, $468.75, $500.00, $462.50 and $562.50, respectively.[4]Reflects dividends declared per share on the Company’s Series A, Series B, Series J, Series K, Series L, Series M, Series N and Series O Non-Cumulative Perpetual Preferred Stock of $1,759.722, $439.931, $662.50, $687.50, $468.75, $500.00, $462.50 and $487.50, respectively. |
Earnings Per Share - Additional
Earnings Per Share - Additional Information (Detail) - shares shares in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2023 | Jun. 30, 2022 | Jun. 30, 2023 | Jun. 30, 2022 | |
Stock Option [Member] | ||||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | ||||
Options outstanding of common shares | 3 | 1 | 3 | 1 |
Employee Benefits - Components
Employee Benefits - Components of Net Periodic Benefit Cost (Detail) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2023 | Jun. 30, 2022 | Jun. 30, 2023 | Jun. 30, 2022 | |
Pension Plans [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Service cost | $ 56 | $ 68 | $ 112 | $ 137 |
Interest cost | 93 | 62 | 185 | 123 |
Expected return on plan assets | (137) | (120) | (273) | (239) |
Prior service cost (credit) amortization | (1) | (1) | ||
Actuarial loss (gain) amortization | 1 | 35 | 2 | 70 |
Net periodic benefit cost | 13 | 45 | 25 | 90 |
Postretirement Welfare Plan [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Interest cost | 1 | 1 | ||
Expected return on plan assets | (1) | (1) | ||
Prior service cost (credit) amortization | (1) | (2) | (1) | (2) |
Actuarial loss (gain) amortization | (2) | (1) | (4) | (3) |
Net periodic benefit cost | $ (3) | $ (3) | $ (5) | $ (5) |
Income Taxes - Components of In
Income Taxes - Components of Income Tax Expense (Detail) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2023 | Jun. 30, 2022 | Jun. 30, 2023 | Jun. 30, 2022 | |
Federal | ||||
Current | $ 263 | $ 221 | $ 660 | $ 625 |
Deferred | 33 | 107 | 1 | 5 |
Federal income tax | 296 | 328 | 661 | 630 |
State | ||||
Current | 119 | 89 | 215 | 178 |
Deferred | (33) | (3) | (39) | 3 |
State income tax | 86 | 86 | 176 | 181 |
Applicable income taxes | $ 382 | $ 414 | $ 837 | $ 811 |
Income Taxes - Additional Infor
Income Taxes - Additional Information (Detail) - USD ($) $ in Billions | 3 Months Ended | 6 Months Ended | |||
Jun. 30, 2023 | Jun. 30, 2022 | Jun. 30, 2023 | Jun. 30, 2022 | Dec. 31, 2022 | |
Income Taxes Additional Information [Abstract] | |||||
Federal statutory rate | 21% | 21% | 21% | 21% | |
Net deferred tax asset | $ 6.1 | $ 6.1 | $ 6.3 |
Income Taxes - Reconciliation o
Income Taxes - Reconciliation of Expected Income Tax Expense at Federal Statutory Rate of 21 Percent to Company's Applicable Income Tax Expense (Detail) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2023 | Jun. 30, 2022 | Jun. 30, 2023 | Jun. 30, 2022 | |
Effective Income Tax Rate Reconciliation, Amount [Abstract] | ||||
Tax at statutory rate | $ 368 | $ 409 | $ 821 | $ 820 |
State income tax, at statutory rates, net of federal tax benefit | 83 | 84 | 185 | 168 |
Tax credits and benefits, net of related expenses | (63) | (46) | (140) | (152) |
Tax-exempt income | (41) | (29) | (75) | (57) |
Other items | 35 | (4) | 46 | 32 |
Applicable income taxes | $ 382 | $ 414 | $ 837 | $ 811 |
Derivative Instruments - Additi
Derivative Instruments - Additional Information (Detail) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | 12 Months Ended |
Jun. 30, 2023 | Jun. 30, 2023 | Dec. 31, 2022 | |
Derivative [Line Items] | |||
Realized and unrealized gains (losses) on derivatives classified as cash flow hedges recorded in other comprehensive income (loss) | $ (294) | $ (294) | $ (114) |
Fair value of derivatives under collateral agreements in a net liability position | 2,900 | 2,900 | |
Collateral posted by company netted against net liability position | 2,400 | 2,400 | |
Estimated gain to be reclassified from other comprehensive income (loss) into earnings | $ (104) | ||
Net Investment Hedging [Member] | |||
Derivative [Line Items] | |||
Non-derivative debt instruments designated as net investment hedges | $ 1,300 | $ 1,300 |
Derivative Instruments - Summar
Derivative Instruments - Summary of Asset and Liability Management Derivative Positions of Company (Detail) - USD ($) $ in Millions | Jun. 30, 2023 | Dec. 31, 2022 |
Derivative [Line Items] | ||
Notional Value | $ 1,800,000 | |
Asset and Liability Management Positions [Member] | ||
Derivative [Line Items] | ||
Notional Value | 103,877 | $ 90,763 |
Fair Value, Assets | 312 | 396 |
Fair Value, Liabilities | 298 | 422 |
Asset and Liability Management Positions [Member] | Other Derivatives [Member] | ||
Derivative [Line Items] | ||
Notional Value | 2,273 | 1,908 |
Fair Value, Assets | 11 | 11 |
Fair Value, Liabilities | 146 | 190 |
Asset and Liability Management Positions [Member] | Other Economic Hedges [Member] | Interest Rate Contracts [Member] | Receive Fixed/Pay Floating Swaps [Member] | ||
Derivative [Line Items] | ||
Notional Value | 5,105 | 9,215 |
Fair Value, Liabilities | 3 | |
Asset and Liability Management Positions [Member] | Other Economic Hedges [Member] | Interest Rate Contracts [Member] | Pay Fixed/Receive Floating Swaps [Member] | ||
Derivative [Line Items] | ||
Notional Value | 5,117 | 9,616 |
Asset and Liability Management Positions [Member] | Other Economic Hedges [Member] | Interest Rate Contracts [Member] | Futures and Forwards [Member] | Purchased [Member] | ||
Derivative [Line Items] | ||
Notional Value | 4,943 | 3,546 |
Fair Value, Assets | 4 | 10 |
Fair Value, Liabilities | 8 | 18 |
Asset and Liability Management Positions [Member] | Other Economic Hedges [Member] | Interest Rate Contracts [Member] | Futures and Forwards [Member] | Written [Member] | ||
Derivative [Line Items] | ||
Notional Value | 5,966 | 7,522 |
Fair Value, Assets | 25 | 20 |
Fair Value, Liabilities | 5 | 38 |
Asset and Liability Management Positions [Member] | Other Economic Hedges [Member] | Interest Rate Contracts [Member] | Options [Member] | Purchased [Member] | ||
Derivative [Line Items] | ||
Notional Value | 8,815 | 11,434 |
Fair Value, Assets | 249 | 346 |
Asset and Liability Management Positions [Member] | Other Economic Hedges [Member] | Interest Rate Contracts [Member] | Options [Member] | Written [Member] | ||
Derivative [Line Items] | ||
Notional Value | 6,451 | 7,849 |
Fair Value, Assets | 19 | 7 |
Fair Value, Liabilities | 129 | 148 |
Asset and Liability Management Positions [Member] | Other Economic Hedges [Member] | Foreign Exchange Forward Contracts [Member] | ||
Derivative [Line Items] | ||
Notional Value | 687 | 962 |
Fair Value, Assets | 1 | 2 |
Fair Value, Liabilities | 2 | 6 |
Asset and Liability Management Positions [Member] | Other Economic Hedges [Member] | Equity Contracts [Member] | ||
Derivative [Line Items] | ||
Notional Value | 207 | 361 |
Fair Value, Assets | 2 | |
Fair Value, Liabilities | 1 | 10 |
Asset and Liability Management Positions [Member] | Other Economic Hedges [Member] | Credit Contracts [Member] | ||
Derivative [Line Items] | ||
Notional Value | 625 | 330 |
Fair Value, Assets | 1 | |
Asset and Liability Management Positions [Member] | Fair Value Hedges [Member] | Interest Rate Contracts [Member] | Receive Fixed/Pay Floating Swaps [Member] | ||
Derivative [Line Items] | ||
Notional Value | 19,650 | 17,400 |
Fair Value, Liabilities | 3 | 9 |
Asset and Liability Management Positions [Member] | Fair Value Hedges [Member] | Interest Rate Contracts [Member] | Pay Fixed/Receive Floating Swaps [Member] | ||
Derivative [Line Items] | ||
Notional Value | 16,514 | 5,542 |
Asset and Liability Management Positions [Member] | Cash Flow Hedges [Member] | Interest Rate Contracts [Member] | Receive Fixed/Pay Floating Swaps [Member] | ||
Derivative [Line Items] | ||
Notional Value | 26,700 | 14,300 |
Asset and Liability Management Positions [Member] | Net Investment Hedges [Member] | Foreign Exchange Forward Contracts [Member] | ||
Derivative [Line Items] | ||
Notional Value | 824 | $ 778 |
Fair Value, Liabilities | $ 4 |
Derivative Instruments - Summ_2
Derivative Instruments - Summary of Asset and Liability Management Derivative Positions of Company (Parenthetical) (Detail) - USD ($) $ in Millions | Jun. 30, 2023 | Dec. 31, 2022 |
Derivative [Line Items] | ||
Total notional value | $ 1,800,000 | |
Asset and Liability Management Positions [Member] | ||
Derivative [Line Items] | ||
Total notional value | 103,877 | $ 90,763 |
Fair Value, Liabilities | 298 | 422 |
Asset and Liability Management Positions [Member] | Swap [Member] | Visa Class B Shares [Member] | ||
Derivative [Line Items] | ||
Notional Value, Liabilities | 2,000 | 1,800 |
Fair Value, Liabilities | 146 | 190 |
Asset and Liability Management Positions [Member] | Underwriting Purchase and Sale Commitments [Member] | ||
Derivative [Line Items] | ||
Total notional value | $ 192 | $ 13 |
Derivative Instruments - Summ_3
Derivative Instruments - Summary of Customer-Related Derivative Positions of Company (Detail) - USD ($) $ in Millions | Jun. 30, 2023 | Dec. 31, 2022 |
Derivative [Line Items] | ||
Notional Value | $ 1,800,000 | |
Customer-Related Positions [Member] | ||
Derivative [Line Items] | ||
Notional Value | 1,703,652 | $ 1,014,834 |
Fair Value, Assets | 7,084 | 7,476 |
Fair Value, Liabilities | 10,351 | 10,277 |
Customer-Related Positions [Member] | Interest Rate Contracts [Member] | Receive Fixed/Pay Floating Swaps [Member] | ||
Derivative [Line Items] | ||
Notional Value | 626,975 | 301,690 |
Fair Value, Assets | 287 | 309 |
Fair Value, Liabilities | 6,063 | 5,689 |
Customer-Related Positions [Member] | Interest Rate Contracts [Member] | Pay Fixed/Receive Floating Swaps [Member] | ||
Derivative [Line Items] | ||
Notional Value | 618,184 | 316,133 |
Fair Value, Assets | 2,358 | 2,323 |
Fair Value, Liabilities | 217 | 206 |
Customer-Related Positions [Member] | Interest Rate Contracts [Member] | Other Derivatives [Member] | ||
Derivative [Line Items] | ||
Notional Value | 83,116 | 40,261 |
Fair Value, Assets | 21 | 3 |
Fair Value, Liabilities | 55 | 16 |
Customer-Related Positions [Member] | Interest Rate Contracts [Member] | Options [Member] | Purchased [Member] | ||
Derivative [Line Items] | ||
Notional Value | 116,596 | 103,489 |
Fair Value, Assets | 1,837 | 1,794 |
Fair Value, Liabilities | 1 | 5 |
Customer-Related Positions [Member] | Interest Rate Contracts [Member] | Options [Member] | Written [Member] | ||
Derivative [Line Items] | ||
Notional Value | 113,163 | 99,923 |
Fair Value, Assets | 1 | 6 |
Fair Value, Liabilities | 1,831 | 1,779 |
Customer-Related Positions [Member] | Interest Rate Contracts [Member] | Futures [Member] | Purchased [Member] | ||
Derivative [Line Items] | ||
Notional Value | 3,623 | |
Fair Value, Liabilities | 4 | |
Customer-Related Positions [Member] | Interest Rate Contracts [Member] | Futures [Member] | Written [Member] | ||
Derivative [Line Items] | ||
Notional Value | 2,376 | |
Fair Value, Assets | 8 | |
Customer-Related Positions [Member] | Foreign Exchange Rate Contracts [Member] | Forwards, Spots and Swaps [Member] | ||
Derivative [Line Items] | ||
Notional Value | 128,711 | 134,666 |
Fair Value, Assets | 2,508 | 3,010 |
Fair Value, Liabilities | 2,107 | 2,548 |
Customer-Related Positions [Member] | Foreign Exchange Option [Member] | Purchased [Member] | ||
Derivative [Line Items] | ||
Notional Value | 1,027 | 954 |
Fair Value, Assets | 27 | 22 |
Customer-Related Positions [Member] | Foreign Exchange Option [Member] | Written [Member] | ||
Derivative [Line Items] | ||
Notional Value | 1,027 | 954 |
Fair Value, Liabilities | 27 | 22 |
Customer-Related Positions [Member] | Commodity Contract [Member] | Swap [Member] | ||
Derivative [Line Items] | ||
Notional Value | 378 | |
Fair Value, Assets | 8 | |
Fair Value, Liabilities | 7 | |
Customer-Related Positions [Member] | Commodity Option [Member] | Purchased [Member] | ||
Derivative [Line Items] | ||
Notional Value | 894 | |
Fair Value, Assets | 36 | |
Fair Value, Liabilities | 35 | |
Customer-Related Positions [Member] | Credit Contracts [Member] | ||
Derivative [Line Items] | ||
Notional Value | 13,581 | 10,765 |
Fair Value, Assets | 1 | 1 |
Fair Value, Liabilities | $ 8 | $ 8 |
Derivative Instruments - Summ_4
Derivative Instruments - Summary of Effective Portion of Gains (Losses) Recognized in Other Comprehensive Income (Loss) and Gains (Losses) Reclassified from Other Comprehensive Income (Loss) into Earnings (Detail) - Asset and Liability Management Positions [Member] - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2023 | Jun. 30, 2022 | Jun. 30, 2023 | Jun. 30, 2022 | |
Cash Flow Hedges [Member] | Interest Rate Contracts [Member] | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Derivative Instruments, Gain (Losses) Recognized in Other Comprehensive Income (Loss), Effective Portion, Net | $ (345) | $ 73 | $ (194) | $ 73 |
Derivative Instruments, Gains (Losses) Reclassified from Other Comprehensive Income (Loss) into Earnings | (8) | (8) | (14) | (16) |
Net Investment Hedges [Member] | Foreign Exchange Forward Contracts [Member] | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Derivative Instruments, Gain (Losses) Recognized in Other Comprehensive Income (Loss), Effective Portion, Net | (6) | 27 | (9) | 26 |
Net Investment Hedges [Member] | Non Derivative Debt Instruments [Member] | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Derivative Instruments, Gain (Losses) Recognized in Other Comprehensive Income (Loss), Effective Portion, Net | $ 1 | $ 63 | $ (17) | $ 83 |
Derivative Instruments - Summ_5
Derivative Instruments - Summary of Effect of Fair Value and Cash Flow Hedge Accounting on Consolidated Statement of Income (Detail) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2023 | Jun. 30, 2022 | Jun. 30, 2023 | Jun. 30, 2022 | |
Interest Income [Member] | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Total amount of income line items presented in the Consolidated Statement of Income in which the effects of fair value or cash flow hedges are recorded | $ 7,526 | $ 3,825 | $ 14,490 | $ 7,243 |
Interest Expense [Member] | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Total amount of income line items presented in the Consolidated Statement of Income in which the effects of fair value or cash flow hedges are recorded | 3,111 | 390 | 5,441 | 635 |
Asset and Liability Management Positions [Member] | Fair Value Hedges [Member] | Interest Income [Member] | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Amount of Gains (Losses) Recognized in Earnings related to fair value hedged item | (332) | 187 | (158) | (331) |
Asset and Liability Management Positions [Member] | Fair Value Hedges [Member] | Interest Expense [Member] | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Amount of Gains (Losses) Recognized in Earnings related to fair value hedged item | (241) | 36 | (127) | (35) |
Asset and Liability Management Positions [Member] | Fair Value Hedges [Member] | Interest Rate Contracts [Member] | Interest Income [Member] | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Amount of Gains (Losses) Recognized in Earnings related to fair value hedge | 334 | (186) | 156 | 331 |
Asset and Liability Management Positions [Member] | Fair Value Hedges [Member] | Interest Rate Contracts [Member] | Interest Expense [Member] | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Amount of Gains (Losses) Recognized in Earnings related to fair value hedge | 243 | (38) | 129 | 34 |
Asset and Liability Management Positions [Member] | Cash Flow Hedges [Member] | Interest Rate Contracts [Member] | Interest Expense [Member] | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Amount of Gains (Losses) Recognized in Earnings related to cash flow hedge | $ 11 | $ 10 | $ 18 | $ 21 |
Derivative Instruments - Summ_6
Derivative Instruments - Summary of Effect of Fair Value and Cash Flow Hedge Accounting on Consolidated Statement of Income (Parenthetical) (Detail) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2023 | Jun. 30, 2022 | Jun. 30, 2023 | Jun. 30, 2022 | |
Derivative Instrument Detail [Abstract] | ||||
Gains (losses) recognized in earnings related discontinuance of cash flow hedges | $ (11) | $ (10) | $ (18) | $ (21) |
OCI, Cash Flow Hedge, Reclassification for Discontinuance, Statement of Income or Comprehensive Income [Extensible Enumeration] | Reclassification from Accumulated Other Comprehensive Income, Current Period, before Tax | Reclassification from Accumulated Other Comprehensive Income, Current Period, before Tax | Reclassification from Accumulated Other Comprehensive Income, Current Period, before Tax | Reclassification from Accumulated Other Comprehensive Income, Current Period, before Tax |
Derivative Instruments - Summ_7
Derivative Instruments - Summary of Cumulative Hedging Adjustments and the Carrying Amount of Assets and Liabilities Designated in Fair Value Hedges (Detail) - USD ($) $ in Millions | Jun. 30, 2023 | Dec. 31, 2022 |
Available-for-Sale Securities [Member] | ||
Derivative Instruments, Gain (Loss) [Line Items] | ||
Carrying Amount of the Hedged Assets | $ 10,541 | $ 4,937 |
Cumulative hedging adjustment included in the carrying amount of the hedged assets | (695) | (552) |
Long-term Debt Securities [Member] | ||
Derivative Instruments, Gain (Loss) [Line Items] | ||
Carrying amount of the hedged liabilities | 16,431 | 17,190 |
Cumulative hedging adjustment included in the carrying amount of the hedged liabilities | $ (335) | $ (142) |
Derivative Instruments - Summ_8
Derivative Instruments - Summary of Cumulative Hedging Adjustments and the Carrying Amount of Assets and Liabilities Designated in Fair Value Hedges (Parenthetical) (Detail) - USD ($) $ in Millions | Jun. 30, 2023 | Dec. 31, 2022 |
Available-for-Sale Securities [Member] | ||
Derivative Instruments, Gain (Loss) [Line Items] | ||
Cumulative hedging adjustment asset related to discontinued hedging relationships | $ (377) | $ (392) |
Amortized cost of the closed portfolios | 119 | |
Amortized cost of the closed portfolios designated as hedged | 50 | |
Increase (decrease) in cumulative amount of basis adjustments | (1) | |
Long-term Debt Securities [Member] | ||
Derivative Instruments, Gain (Loss) [Line Items] | ||
Cumulative hedging adjustment related to discontinued hedging relationships | $ 333 | $ 399 |
Derivative Instruments - Summ_9
Derivative Instruments - Summary of Gains (Losses) Recognized in Earnings for Other Economic Hedges and Customer-Related Positions (Detail) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2023 | Jun. 30, 2022 | Jun. 30, 2023 | Jun. 30, 2022 | |
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Derivative, Gain (Loss), Statement of Income or Comprehensive Income [Extensible Enumeration] | Noninterest Income | Noninterest Income | Noninterest Income | Noninterest Income |
Customer-Related Positions [Member] | Interest Rate Contracts [Member] | Options [Member] | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Gains (losses) recognized in earnings | $ (1) | $ 4 | ||
Customer-Related Positions [Member] | Interest Rate Contracts [Member] | Futures [Member] | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Gains (losses) recognized in earnings | $ 8 | $ (1) | 24 | |
Customer-Related Positions [Member] | Swaps [Member] | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Gains (losses) recognized in earnings | 58 | 3 | 95 | 47 |
Customer-Related Positions [Member] | Foreign Exchange Rate Contracts [Member] | Options [Member] | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Gains (losses) recognized in earnings | 1 | 1 | ||
Customer-Related Positions [Member] | Foreign Exchange Rate Contracts [Member] | Forwards, Spots and Swaps [Member] | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Gains (losses) recognized in earnings | 44 | 20 | 99 | 35 |
Customer-Related Positions [Member] | Commodity Contract [Member] | Swap [Member] | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Gains (losses) recognized in earnings | 2 | 2 | ||
Customer-Related Positions [Member] | Credit Contracts [Member] | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Gains (losses) recognized in earnings | (1) | 17 | (1) | 22 |
Asset and Liability Management Positions [Member] | Other Economic Hedges [Member] | Interest Rate Contracts [Member] | Futures and Forwards [Member] | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Gains (losses) recognized in earnings | 31 | 74 | 38 | 297 |
Asset and Liability Management Positions [Member] | Other Economic Hedges [Member] | Interest Rate Contracts [Member] | Options [Member] | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Gains (losses) recognized in earnings | 17 | 6 | 15 | (41) |
Asset and Liability Management Positions [Member] | Other Economic Hedges [Member] | Swaps [Member] | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Gains (losses) recognized in earnings | (38) | (247) | 20 | (451) |
Asset and Liability Management Positions [Member] | Other Economic Hedges [Member] | Foreign Exchange Forward Contracts [Member] | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Gains (losses) recognized in earnings | (8) | 4 | (13) | 1 |
Asset and Liability Management Positions [Member] | Other Economic Hedges [Member] | Equity Contracts [Member] | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Gains (losses) recognized in earnings | 0 | (1) | (3) | $ (3) |
Asset and Liability Management Positions [Member] | Other Economic Hedges [Member] | Other Derivatives [Member] | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Gains (losses) recognized in earnings | $ 1 | $ 1 | $ (1) |
Netting Arrangements for Cert_3
Netting Arrangements for Certain Financial Instruments and Securities Financing Activities - Additional Information (Detail) $ in Billions | Jun. 30, 2023 USD ($) |
Derivative [Line Items] | |
Notional amount of derivative | $ 1,800 |
Over the Counter Trades [Member] | |
Derivative [Line Items] | |
Notional amount of derivative | 575.5 |
Exchange Cleared [Member] | |
Derivative [Line Items] | |
Notional amount of derivative | 1,200 |
Exchange Traded [Member] | |
Derivative [Line Items] | |
Notional amount of derivative | $ 1.6 |
Netting Arrangements for Cert_4
Netting Arrangements for Certain Financial Instruments and Securities Financing Activities - Summary of Maturities by Category of Collateral Pledged for Repurchase Agreements and Securities Loaned Transactions (Detail) - USD ($) $ in Millions | Jun. 30, 2023 | Dec. 31, 2022 |
Transfer of Certain Financial Assets Accounted for as Secured Borrowings [Line Items] | ||
Repurchase agreements | $ 2,559 | $ 1,432 |
Securities loaned | 182 | 120 |
Gross amount of recognized liabilities | 2,741 | 1,552 |
Overnight and Continuous [Member] | ||
Transfer of Certain Financial Assets Accounted for as Secured Borrowings [Line Items] | ||
Repurchase agreements | 2,559 | 1,432 |
Securities loaned | 182 | 120 |
Gross amount of recognized liabilities | 2,741 | 1,552 |
U.S. Treasury and Agencies [Member] | ||
Transfer of Certain Financial Assets Accounted for as Secured Borrowings [Line Items] | ||
Repurchase agreements | 1,560 | 147 |
U.S. Treasury and Agencies [Member] | Overnight and Continuous [Member] | ||
Transfer of Certain Financial Assets Accounted for as Secured Borrowings [Line Items] | ||
Repurchase agreements | 1,560 | 147 |
Residential Mortgage-Backed Securities [Member] | Agency [Member] | ||
Transfer of Certain Financial Assets Accounted for as Secured Borrowings [Line Items] | ||
Repurchase agreements | 327 | 846 |
Residential Mortgage-Backed Securities [Member] | Overnight and Continuous [Member] | Agency [Member] | ||
Transfer of Certain Financial Assets Accounted for as Secured Borrowings [Line Items] | ||
Repurchase agreements | 327 | 846 |
Corporate Debt Securities [Member] | ||
Transfer of Certain Financial Assets Accounted for as Secured Borrowings [Line Items] | ||
Repurchase agreements | 672 | 439 |
Securities loaned | 182 | 120 |
Corporate Debt Securities [Member] | Overnight and Continuous [Member] | ||
Transfer of Certain Financial Assets Accounted for as Secured Borrowings [Line Items] | ||
Repurchase agreements | 672 | 439 |
Securities loaned | $ 182 | $ 120 |
Netting Arrangements for Cert_5
Netting Arrangements for Certain Financial Instruments and Securities Financing Activities - Information on Company's Accounting Netting Adjustments and Items Not Offset in Consolidated Balance Sheet Assets But Available for Offset in Event of Default (Detail) - USD ($) $ in Millions | Jun. 30, 2023 | Dec. 31, 2022 |
Offsetting [Abstract] | ||
Derivative assets Gross Recognized Assets | $ 7,365 | $ 7,852 |
Reverse repurchase agreements Gross Recognized Assets | 1,557 | 107 |
Securities borrowed Gross Recognized Assets | 1,726 | 1,606 |
Total Gross Recognized Assets | 10,648 | 9,565 |
Derivative assets Gross amounts assets offset in consolidated balance sheet | (3,295) | (5,427) |
Total Gross amounts assets offset in consolidated balance sheet | (3,295) | (5,427) |
Derivative assets Net Amounts Presented in the Consolidated Balance Sheet | 4,070 | 2,425 |
Reverse repurchase agreements Net Amounts Presented in the Consolidated Balance Sheet | 1,557 | 107 |
Securities borrowed Net Amounts Presented in the Consolidated Balance Sheet | 1,726 | 1,606 |
Total Net Amounts Presented in the Consolidated Balance Sheet | 7,353 | 4,138 |
Derivative assets Gross financial instrument asset amounts not offset in consolidated balance sheet | (204) | (231) |
Reverse repurchase agreements Gross financial instrument asset amounts not offset in consolidated balance sheet | (303) | (102) |
Total Gross financial instrument asset amounts not offset in consolidated balance sheet | (507) | (333) |
Derivative assets Gross collateral received amounts not offset in consolidated balance sheet | (80) | |
Reverse repurchase agreements Gross collateral received amounts not offset in consolidated balance sheet | (1,236) | (5) |
Securities borrowed Gross collateral received amounts not offset in consolidated balance sheet | (1,670) | (1,548) |
Total Gross collateral received amounts not offset in consolidated balance sheet | (2,906) | (1,633) |
Derivative assets Net Amount | 3,866 | 2,114 |
Reverse repurchase agreements | 18 | |
Securities borrowed Net Amount | 56 | 58 |
Total Net Amount Assets | $ 3,940 | $ 2,172 |
Netting Arrangements for Cert_6
Netting Arrangements for Certain Financial Instruments and Securities Financing Activities - Information on Company's Accounting Netting Adjustments and Items Not Offset in Consolidated Balance Sheet Assets But Available for Offset in Event of Default (Parenthetical) (Detail) - USD ($) $ in Millions | Jun. 30, 2023 | Dec. 31, 2022 |
Offsetting [Abstract] | ||
Cash collateral netted against derivative assets | $ 2,700 | $ 3,000 |
Derivative assets not subject to netting arrangements | $ 31 | $ 20 |
Netting Arrangements for Cert_7
Netting Arrangements for Certain Financial Instruments and Securities Financing Activities - Information on Company's Accounting Netting Adjustments and Items Not Offset in Consolidated Balance Sheet Liabilities But Available for Offset in Event of Default (Detail) - USD ($) $ in Millions | Jun. 30, 2023 | Dec. 31, 2022 |
Offsetting [Abstract] | ||
Derivative liabilities Gross recognized liabilities | $ 10,501 | $ 10,506 |
Repurchase agreements Gross recognized liabilities | 2,559 | 1,432 |
Securities loaned Gross recognized liabilities | 182 | 120 |
Total Gross recognized liabilities | 13,242 | 12,058 |
Derivative liabilities Gross amounts liabilities offset in consolidated balance sheet | (3,037) | (4,551) |
Total Gross amounts liabilities offset in consolidated balance sheet | (3,037) | (4,551) |
Derivative liabilities Net amounts liabilities presented in consolidated balance sheet | 7,464 | 5,955 |
Repurchase agreements Net amounts liabilities presented in consolidated balance sheet | 2,559 | 1,432 |
Securities loaned Net amounts liabilities presented in consolidated balance sheet | 182 | 120 |
Total Net amounts liabilities presented in consolidated balance sheet | 10,205 | 7,507 |
Derivative liabilities Gross financial instrument liability amounts not offset in consolidated balance sheet | (204) | (231) |
Repurchase agreements Gross financial instrument liability amounts not offset in consolidated balance sheet | (303) | (102) |
Total Gross financial instrument liability amounts not offset in consolidated balance sheet | (507) | (333) |
Repurchase agreements Gross collateral pledged amounts not offset in consolidated balance sheet | (2,256) | (1,325) |
Securities loaned Gross collateral pledged amounts not offset in consolidated balance sheet | (178) | (118) |
Total Gross collateral pledged amounts not offset in consolidated balance sheet | (2,434) | (1,443) |
Derivative liabilities Net Amount | 7,260 | 5,724 |
Repurchase agreements Net Amount | 5 | |
Securities loaned Net Amount | 4 | 2 |
Total Net Amount Liabilities | $ 7,264 | $ 5,731 |
Netting Arrangements for Cert_8
Netting Arrangements for Certain Financial Instruments and Securities Financing Activities - Information on Company's Accounting Netting Adjustments and Items Not Offset in Consolidated Balance Sheet Liabilities But Available for Offset in Event of Default (Parenthetical) (Detail) - USD ($) $ in Millions | Jun. 30, 2023 | Dec. 31, 2022 |
Offsetting [Abstract] | ||
Cash collateral netted against derivative liabilities | $ 2,400 | $ 2,100 |
Derivative liabilities not subject to netting arrangements | $ 148 | $ 193 |
Fair Values of Assets and Lia_3
Fair Values of Assets and Liabilities - Additional Information (Detail) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | |||
Jun. 30, 2023 | Jun. 30, 2022 | Jun. 30, 2023 | Jun. 30, 2022 | Dec. 31, 2022 | |
Fair Value Disclosures [Abstract] | |||||
Carrying value of unfunded commitments, deferred non-yield related loan fees and standby letters of credit | $ 564 | $ 564 | $ 498 | ||
Other guarantees carrying value | 207 | 207 | $ 241 | ||
Mortgage loans held for sale measured at fair value, net gain (loss) | $ (30) | $ (64) | $ (33) | $ (298) | |
Minimum [Member] | |||||
Fair Value Disclosures [Abstract] | |||||
Assumed credit valuation adjustment as percentage of derivative contract fair value | 0% | ||||
Maximum [Member] | |||||
Fair Value Disclosures [Abstract] | |||||
Assumed credit valuation adjustment as percentage of derivative contract fair value | 6,423% | ||||
Weighted Average [Member] | |||||
Fair Value Disclosures [Abstract] | |||||
Assumed credit valuation adjustment as percentage of derivative contract fair value | 5% |
Fair Values of Assets and Lia_4
Fair Values of Assets and Liabilities - Valuation Assumption Ranges for MSRs (Detail) - Mortgage Servicing Rights [Member] | 6 Months Ended | 12 Months Ended | |
Jun. 30, 2023 | Dec. 31, 2022 | ||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | |||
Expected prepayment | 8.30% | 7.80% | |
Minimum [Member] | |||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | |||
Expected prepayment | 6% | ||
Option adjusted spread | 5% | ||
Maximum [Member] | |||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | |||
Expected prepayment | 19% | ||
Option adjusted spread | 11% | ||
Weighted Average [Member] | |||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | |||
Expected prepayment | [1] | 8% | |
Option adjusted spread | [1] | 6% | |
[1]Determined based on the relative fair value of the related mortgage loans serviced. |
Fair Values of Assets and Lia_5
Fair Values of Assets and Liabilities - Valuation Assumption Ranges for Derivative Commitments (Detail) - Derivative Mortgage Loans Commitments [Member] | Jun. 30, 2023 | |
Minimum [Member] | ||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | ||
Expected loan close rate | 34% | |
Inherent MSR value (basis points per loan) | 63% | |
Maximum [Member] | ||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | ||
Expected loan close rate | 100% | |
Inherent MSR value (basis points per loan) | 188% | |
Weighted Average [Member] | ||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | ||
Expected loan close rate | 79% | [1] |
Inherent MSR value (basis points per loan) | 105% | [1] |
[1]Determined based on the relative fair value of the related mortgage loans. |
Fair Values of Assets and Lia_6
Fair Values of Assets and Liabilities - Balances of Assets and Liabilities Measured at Fair Value on Recurring Basis (Detail) - USD ($) $ in Millions | Jun. 30, 2023 | Mar. 31, 2023 | Dec. 31, 2022 | Jun. 30, 2022 | Mar. 31, 2022 | Dec. 31, 2021 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||||||
Derivative liabilities netting | $ (3,037) | $ (4,551) | ||||||
Derivative assets netting | (3,295) | (5,427) | ||||||
Available-for-sale securities | [2] | 69,221 | [1],[3] | 72,910 | ||||
Mortgage loans held for sale | 2,280 | 1,849 | ||||||
Mortgage servicing rights | 3,633 | $ 3,724 | 3,755 | $ 3,707 | $ 3,432 | $ 2,953 | ||
Residential Mortgage-Backed Securities [Member] | Agency [Member] | ||||||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||||||
Available-for-sale securities | 25,661 | 29,271 | ||||||
Commercial Mortgage-Backed Securities [Member] | Agency [Member] | ||||||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||||||
Available-for-sale securities | 7,187 | 7,145 | ||||||
Commercial Mortgage-Backed Securities [Member] | Non Agency [Member] | ||||||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||||||
Available-for-sale securities | 6 | 7 | ||||||
Asset-Backed Securities [Member] | ||||||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||||||
Available-for-sale securities | 7,451 | [4] | 4,323 | |||||
Other [Member] | ||||||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||||||
Available-for-sale securities | 4 | 6 | ||||||
Fair Value, Measurements, Recurring [Member] | ||||||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||||||
Derivative liabilities total | 7,612 | 6,148 | ||||||
Derivative assets total | 4,101 | 2,445 | ||||||
Available-for-sale securities | 69,221 | 72,910 | ||||||
Mortgage loans held for sale | 2,280 | 1,849 | ||||||
Mortgage servicing rights | 3,633 | 3,755 | ||||||
Other assets | 2,246 | 2,004 | ||||||
Total | 81,481 | 82,963 | ||||||
Short-term borrowings and other liabilities | 1,945 | 1,689 | ||||||
Total | 9,557 | 7,837 | ||||||
Fair Value, Measurements, Recurring [Member] | Netting and Collateral One [Member] | ||||||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||||||
Derivative liabilities netting | (3,037) | (4,551) | ||||||
Derivative assets netting | (3,295) | (5,427) | ||||||
Available-for-sale securities | 0 | 0 | ||||||
Mortgage loans held for sale | 0 | 0 | ||||||
Mortgage servicing rights | 0 | 0 | ||||||
Other assets | 0 | 0 | ||||||
Total | (3,295) | (5,427) | ||||||
Short-term borrowings and other liabilities | 0 | 0 | ||||||
Total | (3,037) | (4,551) | ||||||
Fair Value, Measurements, Recurring [Member] | U.S. Treasury and Agencies [Member] | ||||||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||||||
Available-for-sale securities | 18,968 | 22,033 | ||||||
Fair Value, Measurements, Recurring [Member] | U.S. Treasury and Agencies [Member] | Netting and Collateral One [Member] | ||||||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||||||
Available-for-sale securities | 0 | 0 | ||||||
Fair Value, Measurements, Recurring [Member] | Obligations of State and Political Subdivisions [Member] | ||||||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||||||
Available-for-sale securities | 9,944 | 10,125 | ||||||
Fair Value, Measurements, Recurring [Member] | Obligations of State and Political Subdivisions [Member] | Netting and Collateral One [Member] | ||||||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||||||
Available-for-sale securities | 0 | 0 | ||||||
Fair Value, Measurements, Recurring [Member] | Residential Mortgage-Backed Securities [Member] | ||||||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||||||
Available-for-sale securities | 25,661 | 29,271 | ||||||
Fair Value, Measurements, Recurring [Member] | Residential Mortgage-Backed Securities [Member] | Netting and Collateral One [Member] | ||||||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||||||
Available-for-sale securities | 0 | 0 | ||||||
Fair Value, Measurements, Recurring [Member] | Commercial Mortgage-Backed Securities [Member] | Agency [Member] | ||||||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||||||
Available-for-sale securities | 7,187 | 7,145 | ||||||
Fair Value, Measurements, Recurring [Member] | Commercial Mortgage-Backed Securities [Member] | Agency [Member] | Netting and Collateral One [Member] | ||||||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||||||
Available-for-sale securities | 0 | 0 | ||||||
Fair Value, Measurements, Recurring [Member] | Commercial Mortgage-Backed Securities [Member] | Non Agency [Member] | ||||||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||||||
Available-for-sale securities | 6 | 7 | ||||||
Fair Value, Measurements, Recurring [Member] | Commercial Mortgage-Backed Securities [Member] | Non Agency [Member] | Netting and Collateral One [Member] | ||||||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||||||
Available-for-sale securities | 0 | 0 | ||||||
Fair Value, Measurements, Recurring [Member] | Asset-Backed Securities [Member] | ||||||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||||||
Available-for-sale securities | 7,451 | 4,323 | ||||||
Fair Value, Measurements, Recurring [Member] | Asset-Backed Securities [Member] | Netting and Collateral One [Member] | ||||||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||||||
Available-for-sale securities | 0 | 0 | ||||||
Fair Value, Measurements, Recurring [Member] | Other [Member] | ||||||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||||||
Available-for-sale securities | 4 | 6 | ||||||
Fair Value, Measurements, Recurring [Member] | Other [Member] | Netting and Collateral One [Member] | ||||||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||||||
Available-for-sale securities | 0 | 0 | ||||||
Level 1 [Member] | Fair Value, Measurements, Recurring [Member] | ||||||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||||||
Derivative liabilities before netting | 0 | 4 | ||||||
Derivative assets before netting | 2 | 9 | ||||||
Available-for-sale securities | 14,112 | 13,723 | ||||||
Mortgage loans held for sale | 0 | 0 | ||||||
Mortgage servicing rights | 0 | 0 | ||||||
Other assets | 470 | 248 | ||||||
Total | 14,584 | 13,980 | ||||||
Short-term borrowings and other liabilities | 202 | 125 | ||||||
Total | 202 | 129 | ||||||
Level 1 [Member] | Fair Value, Measurements, Recurring [Member] | U.S. Treasury and Agencies [Member] | ||||||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||||||
Available-for-sale securities | 14,112 | 13,723 | ||||||
Level 1 [Member] | Fair Value, Measurements, Recurring [Member] | Obligations of State and Political Subdivisions [Member] | ||||||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||||||
Available-for-sale securities | 0 | 0 | ||||||
Level 1 [Member] | Fair Value, Measurements, Recurring [Member] | Residential Mortgage-Backed Securities [Member] | ||||||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||||||
Available-for-sale securities | 0 | 0 | ||||||
Level 1 [Member] | Fair Value, Measurements, Recurring [Member] | Commercial Mortgage-Backed Securities [Member] | Agency [Member] | ||||||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||||||
Available-for-sale securities | 0 | 0 | ||||||
Level 1 [Member] | Fair Value, Measurements, Recurring [Member] | Commercial Mortgage-Backed Securities [Member] | Non Agency [Member] | ||||||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||||||
Available-for-sale securities | 0 | 0 | ||||||
Level 1 [Member] | Fair Value, Measurements, Recurring [Member] | Asset-Backed Securities [Member] | ||||||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||||||
Available-for-sale securities | 0 | 0 | ||||||
Level 1 [Member] | Fair Value, Measurements, Recurring [Member] | Other [Member] | ||||||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||||||
Available-for-sale securities | 0 | 0 | ||||||
Level 2 [Member] | Fair Value, Measurements, Recurring [Member] | ||||||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||||||
Derivative liabilities before netting | 5,887 | 6,241 | ||||||
Derivative assets before netting | 6,051 | 6,608 | ||||||
Available-for-sale securities | 55,109 | 59,186 | ||||||
Mortgage loans held for sale | 2,280 | 1,849 | ||||||
Mortgage servicing rights | 0 | 0 | ||||||
Other assets | 1,776 | 1,756 | ||||||
Total | 65,216 | 69,399 | ||||||
Short-term borrowings and other liabilities | 1,743 | 1,564 | ||||||
Total | 7,630 | 7,805 | ||||||
Level 2 [Member] | Fair Value, Measurements, Recurring [Member] | U.S. Treasury and Agencies [Member] | ||||||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||||||
Available-for-sale securities | 4,856 | 8,310 | ||||||
Level 2 [Member] | Fair Value, Measurements, Recurring [Member] | Obligations of State and Political Subdivisions [Member] | ||||||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||||||
Available-for-sale securities | 9,944 | 10,124 | ||||||
Level 2 [Member] | Fair Value, Measurements, Recurring [Member] | Residential Mortgage-Backed Securities [Member] | ||||||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||||||
Available-for-sale securities | 25,661 | 29,271 | ||||||
Level 2 [Member] | Fair Value, Measurements, Recurring [Member] | Commercial Mortgage-Backed Securities [Member] | Agency [Member] | ||||||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||||||
Available-for-sale securities | 7,187 | 7,145 | ||||||
Level 2 [Member] | Fair Value, Measurements, Recurring [Member] | Commercial Mortgage-Backed Securities [Member] | Non Agency [Member] | ||||||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||||||
Available-for-sale securities | 6 | 7 | ||||||
Level 2 [Member] | Fair Value, Measurements, Recurring [Member] | Asset-Backed Securities [Member] | ||||||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||||||
Available-for-sale securities | 7,451 | 4,323 | ||||||
Level 2 [Member] | Fair Value, Measurements, Recurring [Member] | Other [Member] | ||||||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||||||
Available-for-sale securities | 4 | 6 | ||||||
Level 3 [Member] | Fair Value, Measurements, Recurring [Member] | ||||||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||||||
Derivative liabilities before netting | 4,762 | 4,454 | ||||||
Derivative assets before netting | 1,343 | 1,255 | ||||||
Available-for-sale securities | 0 | 1 | ||||||
Mortgage loans held for sale | 0 | 0 | ||||||
Mortgage servicing rights | 3,633 | 3,755 | ||||||
Other assets | 0 | 0 | ||||||
Total | 4,976 | 5,011 | ||||||
Short-term borrowings and other liabilities | 0 | 0 | ||||||
Total | 4,762 | 4,454 | ||||||
Level 3 [Member] | Fair Value, Measurements, Recurring [Member] | U.S. Treasury and Agencies [Member] | ||||||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||||||
Available-for-sale securities | 0 | 0 | ||||||
Level 3 [Member] | Fair Value, Measurements, Recurring [Member] | Obligations of State and Political Subdivisions [Member] | ||||||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||||||
Available-for-sale securities | 0 | 1 | ||||||
Level 3 [Member] | Fair Value, Measurements, Recurring [Member] | Residential Mortgage-Backed Securities [Member] | ||||||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||||||
Available-for-sale securities | 0 | 0 | ||||||
Level 3 [Member] | Fair Value, Measurements, Recurring [Member] | Commercial Mortgage-Backed Securities [Member] | Agency [Member] | ||||||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||||||
Available-for-sale securities | 0 | 0 | ||||||
Level 3 [Member] | Fair Value, Measurements, Recurring [Member] | Commercial Mortgage-Backed Securities [Member] | Non Agency [Member] | ||||||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||||||
Available-for-sale securities | 0 | 0 | ||||||
Level 3 [Member] | Fair Value, Measurements, Recurring [Member] | Asset-Backed Securities [Member] | ||||||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||||||
Available-for-sale securities | 0 | 0 | ||||||
Level 3 [Member] | Fair Value, Measurements, Recurring [Member] | Other [Member] | ||||||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||||||
Available-for-sale securities | $ 0 | $ 0 | ||||||
[1]Amortized cost excludes portfolio level basis adjustments of $(1) million.[2]Includes only collateral pledged by the Company where counterparties have the right to sell or pledge the collateral.[3]The weighted-average maturity of total held-to-maturity investment securities was 9.2 years at December 31, 2022, with a corresponding weighted-average yield of 2.18 percent. The weighted-average maturity of total available-for-sale investment securities was 7.4 years at December 31, 2022, with a corresponding weighted-average yield of 2.94 percent.[4]Information related to asset and mortgage-backed securities included above is presented based upon weighted-average maturities that take into account anticipated future prepayments. |
Fair Values of Assets and Lia_7
Fair Values of Assets and Liabilities - Balances of Assets and Liabilities Measured at Fair Value on Recurring Basis (Parenthetical) (Detail) - USD ($) $ in Millions | 6 Months Ended | |
Jun. 30, 2023 | Dec. 31, 2022 | |
Fair Value Disclosures [Abstract] | ||
Equity investments without readily determinable fair values | $ 110 | $ 104 |
Equity securities impairment loss | 5 | |
Equity securities impairment loss cumulative amount | $ 5 |
Fair Values of Assets and Lia_8
Fair Values of Assets and Liabilities - Changes in Fair Value for All Assets and Liabilities Measured at Fair Value on Recurring Basis Using Significant Unobservable Inputs (Level 3) (Detail) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2023 | Jun. 30, 2022 | Jun. 30, 2023 | Jun. 30, 2022 | |
Mortgage Servicing Rights [Member] | ||||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||||
Beginning of Period Balance | $ 3,724 | $ 3,432 | $ 3,755 | $ 2,953 |
Net Gains (Losses) Included in Net Income | (42) | 170 | (171) | 408 |
Purchases | 1 | 3 | 2 | 6 |
Sales | (149) | 0 | (148) | 1 |
Principal Payments | 0 | 0 | 0 | 0 |
Issuances | 99 | 102 | 195 | 339 |
Settlements | 0 | 0 | 0 | 0 |
End of Period Balance | 3,633 | 3,707 | 3,633 | 3,707 |
Net Change in Unrealized Gains (Losses) Relating to Assets and Liabilities Held at End of Period | (42) | 170 | (171) | 408 |
Available-for-Sale Securities [Member] | ||||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||||
Beginning of Period Balance | 1 | 8 | 1 | 8 |
Net Gains (Losses) Included in Net Income | 0 | (3) | 0 | (3) |
Purchases | 0 | 0 | 0 | 0 |
Sales | 0 | (4) | 0 | (4) |
Principal Payments | (1) | 0 | (1) | 0 |
Issuances | 0 | 0 | 0 | 0 |
Settlements | 0 | 0 | 0 | 0 |
End of Period Balance | 0 | 1 | 0 | 1 |
Net Change in Unrealized Gains (Losses) Relating to Assets and Liabilities Held at End of Period | 0 | 0 | 0 | 0 |
Available-for-Sale Securities [Member] | Obligations of State and Political Subdivisions [Member] | ||||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||||
Beginning of Period Balance | 1 | 1 | 1 | 1 |
Net Gains (Losses) Included in Net Income | 0 | 0 | 0 | 0 |
Purchases | 0 | 0 | 0 | 0 |
Sales | 0 | 0 | 0 | 0 |
Principal Payments | (1) | 0 | (1) | 0 |
Issuances | 0 | 0 | 0 | 0 |
Settlements | 0 | 0 | 0 | 0 |
End of Period Balance | 0 | 1 | 0 | 1 |
Net Change in Unrealized Gains (Losses) Relating to Assets and Liabilities Held at End of Period | 0 | 0 | 0 | 0 |
Derivative [Member] | ||||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||||
Beginning of Period Balance | (2,265) | (1,011) | (3,199) | 799 |
Net Gains (Losses) Included in Net Income | (1,927) | (1,494) | (2,243) | (3,361) |
Purchases | (18) | 81 | 405 | 92 |
Sales | (7) | 0 | (19) | (1) |
Principal Payments | 0 | 0 | 0 | 0 |
Issuances | 0 | 0 | 0 | 0 |
Settlements | 798 | 249 | 1,637 | 296 |
End of Period Balance | (3,419) | (2,175) | (3,419) | (2,175) |
Net Change in Unrealized Gains (Losses) Relating to Assets and Liabilities Held at End of Period | $ (1,631) | (1,259) | $ (1,242) | (2,739) |
Asset-Backed Securities [Member] | Available-for-Sale Securities [Member] | ||||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||||
Beginning of Period Balance | 7 | 7 | ||
Net Gains (Losses) Included in Net Income | (3) | (3) | ||
Purchases | 0 | 0 | ||
Sales | (4) | (4) | ||
Principal Payments | 0 | 0 | ||
Issuances | 0 | 0 | ||
Settlements | 0 | 0 | ||
End of Period Balance | 0 | 0 | ||
Net Change in Unrealized Gains (Losses) Relating to Assets and Liabilities Held at End of Period | $ 0 | $ 0 |
Fair Values of Assets and Lia_9
Fair Values of Assets and Liabilities - Changes in Fair Value for All Assets and Liabilities Measured at Fair Value on Recurring Basis Using Significant Unobservable Inputs (Level 3) (Parenthetical) (Detail) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2023 | Jun. 30, 2022 | Jun. 30, 2023 | Jun. 30, 2022 | |
Mortgage Banking Revenue [Member] | ||||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||||
Net gains and (losses) on net derivative assets and liabilities included in net income | $ 46 | $ (20) | $ 98 | $ (103) |
Net Change in net derivative asset and liability unrealized gains (losses) relating to assets still held at end of period | 18 | (3) | 18 | (3) |
Commercial Products Revenue [Member] | ||||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||||
Net gains and (losses) on net derivative assets and liabilities included in net income | (2,000) | (1,500) | (2,300) | (3,300) |
Net Change in net derivative asset and liability unrealized gains (losses) relating to assets still held at end of period | (1,700) | (1,300) | (1,300) | $ (2,700) |
Other Noninterest Income [Member] | ||||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||||
Net gains and (losses) on net derivative assets and liabilities included in net income | 1 | 1 | (1) | |
Net Change in net derivative asset and liability unrealized gains (losses) relating to assets still held at end of period | $ 1 | $ 1 | $ (1) |
Fair Values of Assets and Li_10
Fair Values of Assets and Liabilities - Adjusted Carrying Values for Assets Measured at Fair Value on Nonrecurring Basis (Detail) - Fair Value, Measurements, Nonrecurring [Member] - USD ($) $ in Millions | Jun. 30, 2023 | Dec. 31, 2022 |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Loans | $ 156 | $ 97 |
Other assets | 19 | 21 |
Level 1 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Loans | 0 | 0 |
Other assets | 0 | 0 |
Level 2 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Loans | 0 | 0 |
Other assets | 0 | 0 |
Level 3 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Loans | 156 | 97 |
Other assets | $ 19 | $ 21 |
Fair Values of Assets and Li_11
Fair Values of Assets and Liabilities - Losses Recognized Related to Nonrecurring Fair Value Measurements of Individual Assets or Portfolios (Detail) - Fair Value, Measurements, Nonrecurring [Member] - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2023 | Jun. 30, 2022 | Jun. 30, 2023 | Jun. 30, 2022 | |
Loans [Member] | ||||
Fair Value Assets Measured On Nonrecurring Basis Losses Recognized [Line Items] | ||||
Losses recognized related to nonrecurring fair value measurements | $ 68 | $ 22 | $ 210 | $ 33 |
Other Assets [Member] | ||||
Fair Value Assets Measured On Nonrecurring Basis Losses Recognized [Line Items] | ||||
Losses recognized related to nonrecurring fair value measurements | $ 0 | $ 10 | $ 1 | $ 11 |
Fair Values of Assets and Li_12
Fair Values of Assets and Liabilities - Differences Between Aggregate Fair Value Carrying Amount of MLHFS for which Fair Value Option has been Elected and Aggregate Unpaid Principal Amount Contractually Obligated to Receive at Maturity (Detail) - USD ($) $ in Millions | Jun. 30, 2023 | Dec. 31, 2022 |
Fair Value Disclosures [Abstract] | ||
Fair value carrying amount, total loans | $ 2,280 | $ 1,849 |
Fair value carrying amount, nonaccrual loans | 1 | 1 |
Fair value carrying amount, loans 90 days or more past due | 3 | 1 |
Aggregate unpaid principal, total loans | 2,277 | 1,848 |
Aggregate unpaid principal, nonaccrual loans | 1 | 1 |
Aggregate unpaid principal, loans 90 days or more past due | 3 | 1 |
Carrying amount over (under) unpaid principal, total loans | 3 | 1 |
Carrying amount over (under) unpaid principal, nonaccrual loans | 0 | 0 |
Carrying amount over (under) unpaid principal, loans 90 days or more past due | $ 0 | $ 0 |
Fair Values of Assets and Li_13
Fair Values of Assets and Liabilities - Estimated Fair Values of Financial Instruments (Detail) - USD ($) $ in Millions | Jun. 30, 2023 | Dec. 31, 2022 | |
Financial Assets | |||
Cash and due from banks | $ 70,642 | $ 53,542 | |
Investment securities held-to-maturity | 86,938 | [1] | 88,740 |
Loans | 372,264 | 381,277 | |
Financial Liabilities | |||
Long-term debt | 45,283 | 39,829 | |
Carrying Amount [Member] | |||
Financial Assets | |||
Cash and due from banks | 70,642 | 53,542 | |
Federal funds sold and securities purchased under resale agreements | 1,606 | 356 | |
Investment securities held-to-maturity | 86,938 | 88,740 | |
Loans held for sale | 81 | 351 | |
Loans | 372,264 | 381,277 | |
Other | 3,158 | 2,962 | |
Financial Liabilities | |||
Time deposits | 51,969 | 32,946 | |
Short-term borrowings | 30,389 | 29,527 | |
Long-term debt | 45,283 | 39,829 | |
Other | 5,238 | 5,137 | |
Fair Value [Member] | |||
Financial Assets | |||
Cash and due from banks | 70,642 | 53,542 | |
Federal funds sold and securities purchased under resale agreements | 1,606 | 356 | |
Investment securities held-to-maturity | 76,285 | 77,874 | |
Loans held for sale | 81 | 351 | |
Loans | 364,104 | 368,874 | |
Other | 3,158 | 2,962 | |
Financial Liabilities | |||
Time deposits | 51,664 | 32,338 | |
Short-term borrowings | 30,077 | 29,145 | |
Long-term debt | 43,007 | 37,622 | |
Other | 5,238 | 5,137 | |
Fair Value [Member] | Level 1 [Member] | |||
Financial Assets | |||
Cash and due from banks | 70,642 | 53,542 | |
Federal funds sold and securities purchased under resale agreements | 0 | 0 | |
Investment securities held-to-maturity | 1,287 | 1,293 | |
Loans held for sale | 0 | 0 | |
Loans | 0 | 0 | |
Other | 0 | 0 | |
Financial Liabilities | |||
Time deposits | 0 | 0 | |
Short-term borrowings | 0 | 0 | |
Long-term debt | 0 | 0 | |
Other | 0 | 0 | |
Fair Value [Member] | Level 2 [Member] | |||
Financial Assets | |||
Cash and due from banks | 0 | 0 | |
Federal funds sold and securities purchased under resale agreements | 1,606 | 356 | |
Investment securities held-to-maturity | 74,998 | 76,581 | |
Loans held for sale | 0 | 0 | |
Loans | 0 | 0 | |
Other | 2,459 | 2,224 | |
Financial Liabilities | |||
Time deposits | 51,664 | 32,338 | |
Short-term borrowings | 30,077 | 29,145 | |
Long-term debt | 43,007 | 37,622 | |
Other | 1,416 | 1,500 | |
Fair Value [Member] | Level 3 [Member] | |||
Financial Assets | |||
Cash and due from banks | 0 | 0 | |
Federal funds sold and securities purchased under resale agreements | 0 | 0 | |
Investment securities held-to-maturity | 0 | 0 | |
Loans held for sale | 81 | 351 | |
Loans | 364,104 | 368,874 | |
Other | 699 | 738 | |
Financial Liabilities | |||
Time deposits | 0 | 0 | |
Short-term borrowings | 0 | 0 | |
Long-term debt | 0 | 0 | |
Other | $ 3,822 | $ 3,637 | |
[1]The weighted-average maturity of total held-to-maturity investment securities was 9.2 years at December 31, 2022, with a corresponding weighted-average yield of 2.18 percent. The weighted-average maturity of total available-for-sale investment securities was 7.4 years at December 31, 2022, with a corresponding weighted-average yield of 2.94 percent. |
Guarantees and Contingent Lia_3
Guarantees and Contingent Liabilities - Additional Information (Detail) - USD ($) $ in Millions | Jun. 30, 2023 | Dec. 31, 2022 |
Airline Processing Arrangements [Member] | ||
Guarantees And Contingent Liabilities (Textual) [Abstract] | ||
Value of airline tickets purchased to deliver at future date through card transactions | $ 12,500 | |
Representation and Warranty [Member] | ||
Guarantees And Contingent Liabilities (Textual) [Abstract] | ||
Carrying Amount | 14 | $ 17 |
Unresolved representation and warranty claims from GSEs | 28 | $ 39 |
Escrow Deposits Letters of Credit Indemnities [Member] | Airline Processing Arrangements [Member] | ||
Guarantees And Contingent Liabilities (Textual) [Abstract] | ||
Collateral Held | 1,100 | |
Merchant Escrow Deposits [Member] | Airline Processing Arrangements [Member] | ||
Guarantees And Contingent Liabilities (Textual) [Abstract] | ||
Carrying Amount | $ 69 |
Guarantees and Contingent Lia_4
Guarantees and Contingent Liabilities - Summary of Other Guarantees and Contingent Liabilities (Detail) $ in Millions | Jun. 30, 2023 USD ($) |
Standby Letters of Credit [Member] | |
Guarantor Obligations [Line Items] | |
Collateral Held | $ 0 |
Carrying Amount | 23 |
Maximum Potential Future Payments | 10,705 |
Third Party Borrowing Arrangements [Member] | |
Guarantor Obligations [Line Items] | |
Collateral Held | 0 |
Carrying Amount | 0 |
Maximum Potential Future Payments | 11 |
Securities Lending Indemnifications [Member] | |
Guarantor Obligations [Line Items] | |
Collateral Held | 9,026 |
Carrying Amount | 0 |
Maximum Potential Future Payments | 8,859 |
Asset Sales [Member] | |
Guarantor Obligations [Line Items] | |
Collateral Held | 0 |
Carrying Amount | 96 |
Maximum Potential Future Payments | 8,396 |
Merchant Processing [Member] | |
Guarantor Obligations [Line Items] | |
Collateral Held | 1,231 |
Carrying Amount | 90 |
Maximum Potential Future Payments | 151,227 |
Tender Option Bond Program Guarantee [Member] | |
Guarantor Obligations [Line Items] | |
Collateral Held | 1,025 |
Carrying Amount | 0 |
Maximum Potential Future Payments | 1,009 |
Other Guarantees [Member] | |
Guarantor Obligations [Line Items] | |
Collateral Held | 0 |
Carrying Amount | 21 |
Maximum Potential Future Payments | $ 1,907 |
Business Segments - Additional
Business Segments - Additional Information (Detail) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2023 | Jun. 30, 2022 | Jun. 30, 2023 | Jun. 30, 2022 | |
Lease revenue | $ 186 | $ 188 | $ 369 | $ 392 |
Payment Services [Member] | ||||
Rewards and Rebate Costs and Certain Partner Payments Included in Noninterest Income | 760 | 772 | 1,500 | 1,400 |
Revenue generated from certain contracts with customers included in non-interest income | $ 2,200 | $ 2,000 | $ 4,300 | $ 3,900 |
Business Segments - Business Se
Business Segments - Business Segment Results (Detail) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2023 | Jun. 30, 2022 | Jun. 30, 2023 | Jun. 30, 2022 | |
Segment Reporting Information [Line Items] | ||||
Noninterest income | $ 2,726 | $ 2,548 | $ 5,233 | $ 4,944 |
Provision for credit losses | 821 | 311 | 1,248 | 423 |
Net income (loss) | 1,369 | 1,534 | 3,073 | 3,092 |
Net (income) loss attributable to noncontrolling interests | (8) | (3) | (14) | (4) |
Net income (loss) attributable to U.S. Bancorp | 1,361 | 1,531 | 3,059 | 3,088 |
Corporate and Commercial Banking [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Net interest income (taxable-equivalent basis) | 1,019 | 799 | 2,099 | 1,546 |
Noninterest income | 347 | 272 | 666 | 519 |
Total income | 1,366 | 1,071 | 2,765 | 2,065 |
Noninterest expense | 636 | 471 | 1,249 | 915 |
Income (loss) before provision and income taxes | 730 | 600 | 1,516 | 1,150 |
Provision for credit losses | 150 | 98 | 126 | 104 |
Income (loss) before income taxes | 580 | 502 | 1,390 | 1,046 |
Income taxes and taxable-equivalent adjustment | 145 | 126 | 348 | 262 |
Net income (loss) | 435 | 376 | 1,042 | 784 |
Net (income) loss attributable to noncontrolling interests | 0 | 0 | 0 | 0 |
Net income (loss) attributable to U.S. Bancorp | 435 | 376 | 1,042 | 784 |
Loans | 151,123 | 123,245 | 150,455 | 119,598 |
Other earning assets | 6,250 | 4,161 | 5,949 | 4,417 |
Goodwill | 2,859 | 1,912 | 2,842 | 1,912 |
Other intangible assets | 537 | 4 | 564 | 4 |
Assets | 173,101 | 137,809 | 171,389 | 132,899 |
Noninterest-bearing deposits | 51,242 | 59,226 | 54,808 | 61,195 |
Interest-bearing deposits | 107,724 | 93,830 | 106,326 | 90,509 |
Total deposits | 158,966 | 153,056 | 161,134 | 151,704 |
Total U.S. Bancorp shareholders' equity | 18,244 | 13,992 | 17,776 | 13,862 |
Consumer and Business Banking [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Net interest income (taxable-equivalent basis) | 2,196 | 1,580 | 4,480 | 3,063 |
Noninterest income | 426 | 390 | 823 | 844 |
Total income | 2,622 | 1,970 | 5,303 | 3,907 |
Noninterest expense | 1,801 | 1,401 | 3,568 | 2,807 |
Income (loss) before provision and income taxes | 821 | 569 | 1,735 | 1,100 |
Provision for credit losses | 24 | (74) | 31 | (26) |
Income (loss) before income taxes | 797 | 643 | 1,704 | 1,126 |
Income taxes and taxable-equivalent adjustment | 199 | 160 | 426 | 280 |
Net income (loss) | 598 | 483 | 1,278 | 846 |
Net (income) loss attributable to noncontrolling interests | 0 | 0 | 0 | 0 |
Net income (loss) attributable to U.S. Bancorp | 598 | 483 | 1,278 | 846 |
Loans | 169,704 | 140,747 | 169,898 | 140,586 |
Other earning assets | 2,512 | 2,576 | 2,346 | 3,475 |
Goodwill | 4,531 | 3,244 | 4,511 | 3,253 |
Other intangible assets | 5,393 | 3,635 | 5,493 | 3,406 |
Assets | 187,507 | 155,700 | 187,715 | 156,320 |
Noninterest-bearing deposits | 35,489 | 30,492 | 39,331 | 30,721 |
Interest-bearing deposits | 187,793 | 164,269 | 184,632 | 163,123 |
Total deposits | 223,282 | 194,761 | 223,963 | 193,844 |
Total U.S. Bancorp shareholders' equity | 16,516 | 12,326 | 16,608 | 12,270 |
Wealth Management and Investment Services [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Net interest income (taxable-equivalent basis) | 482 | 370 | 999 | 662 |
Noninterest income | 728 | 652 | 1,429 | 1,247 |
Total income | 1,210 | 1,022 | 2,428 | 1,909 |
Noninterest expense | 670 | 539 | 1,335 | 1,092 |
Income (loss) before provision and income taxes | 540 | 483 | 1,093 | 817 |
Provision for credit losses | 3 | (4) | 0 | 4 |
Income (loss) before income taxes | 537 | 487 | 1,093 | 813 |
Income taxes and taxable-equivalent adjustment | 134 | 122 | 273 | 204 |
Net income (loss) | 403 | 365 | 820 | 609 |
Net (income) loss attributable to noncontrolling interests | 0 | 0 | 0 | 0 |
Net income (loss) attributable to U.S. Bancorp | 403 | 365 | 820 | 609 |
Loans | 24,568 | 22,285 | 24,441 | 21,483 |
Other earning assets | 421 | 233 | 401 | 237 |
Goodwill | 1,792 | 1,718 | 1,790 | 1,739 |
Other intangible assets | 426 | 300 | 434 | 283 |
Assets | 29,008 | 25,728 | 28,808 | 25,062 |
Noninterest-bearing deposits | 21,199 | 25,194 | 21,619 | 26,378 |
Interest-bearing deposits | 80,061 | 75,824 | 83,656 | 75,007 |
Total deposits | 101,260 | 101,018 | 105,275 | 101,385 |
Total U.S. Bancorp shareholders' equity | 3,976 | 3,615 | 4,040 | 3,604 |
Payments Services [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Net interest income (taxable-equivalent basis) | 645 | 619 | 1,299 | 1,241 |
Noninterest income | 1,051 | 993 | 1,988 | 1,850 |
Total income | 1,696 | 1,612 | 3,287 | 3,091 |
Noninterest expense | 915 | 865 | 1,828 | 1,711 |
Income (loss) before provision and income taxes | 781 | 747 | 1,459 | 1,380 |
Provision for credit losses | 314 | 221 | 534 | 351 |
Income (loss) before income taxes | 467 | 526 | 925 | 1,029 |
Income taxes and taxable-equivalent adjustment | 117 | 132 | 232 | 258 |
Net income (loss) | 350 | 394 | 693 | 771 |
Net (income) loss attributable to noncontrolling interests | 0 | 0 | 0 | 0 |
Net income (loss) attributable to U.S. Bancorp | 350 | 394 | 693 | 771 |
Loans | 37,913 | 33,854 | 37,426 | 32,802 |
Other earning assets | 74 | 1,023 | 187 | 1,023 |
Goodwill | 3,330 | 3,318 | 3,325 | 3,321 |
Other intangible assets | 359 | 437 | 372 | 450 |
Assets | 44,127 | 41,014 | 43,493 | 39,762 |
Noninterest-bearing deposits | 3,179 | 3,396 | 3,181 | 3,534 |
Interest-bearing deposits | 104 | 167 | 106 | 164 |
Total deposits | 3,283 | 3,563 | 3,287 | 3,698 |
Total U.S. Bancorp shareholders' equity | 9,127 | 8,113 | 9,048 | 8,065 |
Treasury and Corporate Support [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Net interest income (taxable-equivalent basis) | 107 | 96 | 240 | 152 |
Noninterest income | 174 | 241 | 327 | 484 |
Total income | 281 | 337 | 567 | 636 |
Noninterest expense | 547 | 448 | 1,144 | 701 |
Income (loss) before provision and income taxes | (266) | (111) | (577) | (65) |
Provision for credit losses | 330 | 70 | 557 | (10) |
Income (loss) before income taxes | (596) | (181) | (1,134) | (55) |
Income taxes and taxable-equivalent adjustment | (179) | (97) | (374) | (137) |
Net income (loss) | (417) | (84) | (760) | 82 |
Net (income) loss attributable to noncontrolling interests | (8) | (3) | (14) | (4) |
Net income (loss) attributable to U.S. Bancorp | (425) | (87) | (774) | 78 |
Loans | 5,509 | 4,056 | 5,569 | 4,139 |
Other earning assets | 215,765 | 204,581 | 214,072 | 205,558 |
Goodwill | 0 | 0 | 0 | 0 |
Other intangible assets | 9 | 0 | 22 | 0 |
Assets | 239,269 | 219,660 | 237,846 | 224,620 |
Noninterest-bearing deposits | 2,649 | 2,519 | 2,766 | 2,547 |
Interest-bearing deposits | 7,825 | 1,599 | 7,333 | 2,174 |
Total deposits | 10,474 | 4,118 | 10,099 | 4,721 |
Total U.S. Bancorp shareholders' equity | 5,959 | 11,120 | 5,776 | 13,503 |
Consolidated Company [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Net interest income (taxable-equivalent basis) | 4,449 | 3,464 | 9,117 | 6,664 |
Noninterest income | 2,726 | 2,548 | 5,233 | 4,944 |
Total income | 7,175 | 6,012 | 14,350 | 11,608 |
Noninterest expense | 4,569 | 3,724 | 9,124 | 7,226 |
Income (loss) before provision and income taxes | 2,606 | 2,288 | 5,226 | 4,382 |
Provision for credit losses | 821 | 311 | 1,248 | 423 |
Income (loss) before income taxes | 1,785 | 1,977 | 3,978 | 3,959 |
Income taxes and taxable-equivalent adjustment | 416 | 443 | 905 | 867 |
Net income (loss) | 1,369 | 1,534 | 3,073 | 3,092 |
Net (income) loss attributable to noncontrolling interests | (8) | (3) | (14) | (4) |
Net income (loss) attributable to U.S. Bancorp | 1,361 | 1,531 | 3,059 | 3,088 |
Loans | 388,817 | 324,187 | 387,789 | 318,608 |
Other earning assets | 225,022 | 212,574 | 222,955 | 214,710 |
Goodwill | 12,512 | 10,192 | 12,468 | 10,225 |
Other intangible assets | 6,724 | 4,376 | 6,885 | 4,143 |
Assets | 673,012 | 579,911 | 669,251 | 578,663 |
Noninterest-bearing deposits | 113,758 | 120,827 | 121,705 | 124,375 |
Interest-bearing deposits | 383,507 | 335,689 | 382,053 | 330,977 |
Total deposits | 497,265 | 456,516 | 503,758 | 455,352 |
Total U.S. Bancorp shareholders' equity | $ 53,822 | $ 49,166 | $ 53,248 | $ 51,304 |