Flagstar Bancorp (FBC) 10-Q 7 Nov 16 2016 Q3 Quarterly report Financial data

Document and Entity Information

Document and Entity Information - shares	9 Months Ended
	Sep. 30, 2016	Nov. 04, 2016
Document and Entity Information [Abstract]
Entity Registrant Name	FLAGSTAR BANCORP INC
Entity Central Index Key	1,033,012
Document Type	10-Q
Document Period End Date	Sep. 30, 2016
Amendment Flag	false
Document Fiscal Year Focus	2,016
Document Fiscal Period Focus	Q3
Current Fiscal Year End Date	--12-31
Entity Filer Category	Accelerated Filer
Entity Common Stock, Shares Outstanding		56,606,499

Consolidated Statements of Fina

Consolidated Statements of Financial Condition - USD ($) $ in Millions	Sep. 30, 2016	Dec. 31, 2015
Assets
Cash	$ 76	$ 54
Interest-earning deposits	98	154
Total cash and cash equivalents	174	208
Investment securities available-for-sale	1,115	1,294
Investment securities held-to-maturity	1,156	1,268
Loans held-for-sale ($3,352 and $2,541 measured at fair value, respectively)	3,393	2,576
Loans held-for-investment ($80 and $111 measured at fair value, respectively)	6,290	6,352
Loans with government guarantees	404	485
Less: allowance for loan losses	(143)	(187)
Total loans held-for-investment and loans with government guarantees, net	6,551	6,650
Mortgage servicing rights	302	296
Federal Home Loan Bank stock	172	170
Premises and equipment, net	271	250
Net deferred tax asset	305	364
Other assets	834	639
Total assets	14,273	13,715
Liabilities and Stockholders’ Equity
Noninterest bearing deposits	2,544	1,574
Interest bearing deposits	6,827	6,361
Total deposits	9,371	7,935
Short-term Federal Home Loan Bank advances and other	905	2,116
Long-term Federal Home Loan Bank advances	1,577	1,425
Other long-term debt	493	247
Representation and warranty reserve	32	40
Other liabilities ($60 and $84 measured at fair value, respectively)	609	423
Total liabilities	12,987	12,186
Stockholders’ Equity
Preferred stock $0.01 par value, liquidation value $1,000 per share, 25,000,000 shares authorized; 0 and 266,657 issued and outstanding, respectively	0	267
Common stock $0.01 par value, 70,000,000 shares authorized; 56,597,271 and 56,483,258 shares issued and outstanding, respectively	1	1
Additional paid in capital	1,494	1,486
Accumulated other comprehensive (loss) income	(20)	2
Accumulated deficit	(189)	(227)
Total stockholders’ equity	1,286	1,529
Total liabilities and stockholders’ equity	$ 14,273	$ 13,715

Consolidated Statements of Fin3

Consolidated Statements of Financial Condition (Parenthetical) - USD ($) $ in Millions	Sep. 30, 2016	Dec. 31, 2015
Assets
Loans held-for-sale, fair value	$ 3,352	$ 2,541
Loans held-for-investment, fair value	80	111
Liabilities and Stockholders’ Equity
Other liabilities, fair value	$ 60	$ 84
Stockholders' Equity
Preferred stock, par value (in usd per share)	$ 0.01	$ 0.01
Preferred stock, liquidation value per share (in usd per share)	$ 1,000	$ 1,000
Preferred stock, shares authorized (in shares)	25,000,000	25,000,000
Preferred stock, shares issued (in shares)	0	266,657
Preferred stock, shares outstanding (in shares)	0	266,657
Common stock, par value (in usd per share)	$ 0.01	$ 0.01
Common stock, shares authorized (in shares)	70,000,000	70,000,000
Common stock, shares issued (in shares)	56,597,271	56,483,258
Common stock, shares outstanding (in shares)	56,597,271	56,483,258

Consolidated Statements of Oper

Consolidated Statements of Operations - USD ($) $ in Millions	3 Months Ended		9 Months Ended
	Sep. 30, 2016	Sep. 30, 2015	Sep. 30, 2016	Sep. 30, 2015
Interest Income
Loans	$ 90	$ 77	$ 256	$ 216
Investment securities	16	14	50	43
Interest-earning deposits and other	0	0	0	1
Total interest income	106	91	306	260
Interest Expense
Deposits	12	10	34	30
Short-term debt	1	2	4	2
Long-term debt	7	4	22	11
Other debt	6	2	10	6
Total interest expense	26	18	70	49
Net interest income	80	73	236	211
Provision (benefit) for loan losses	7	(1)	(9)	(18)
Net interest income after provision (benefit) for loan losses	73	74	245	229
Noninterest Income
Net gain on loan sales	94	68	259	242
Loan fees and charges	22	17	56	53
Deposit fees and charges	5	7	17	19
Loan administration income	4	8	14	19
Net (loss) return on mortgage servicing rights	(11)	12	(21)	19
Net (loss) gain on sale of assets	0	1	(2)	(1)
Representation and warranty benefit	6	6	12	13
Other noninterest income	36	9	54	9
Total noninterest income	156	128	389	373
Noninterest Expense
Compensation and benefits	69	58	203	178
Commissions	16	10	40	31
Occupancy and equipment	21	20	64	60
Asset resolution	2	0	6	13
Federal insurance premiums	3	6	9	18
Loan processing expense	13	14	40	40
Legal and professional expense	5	10	20	27
Other noninterest expense	13	13	36	40
Total noninterest expense	142	131	418	407
Income before income taxes	87	71	216	195
Provision for income taxes	30	24	73	70
Net income	$ 57	$ 47	$ 143	$ 125
Income per share
Basic (in dollars per share)	$ 0.98	$ 0.70	$ 2.21	$ 1.82
Diluted (in dollars per share)	$ 0.96	$ 0.69	$ 2.16	$ 1.80
Weighted average shares outstanding
Basic (in shares)	56,580,238	56,436,026	56,556,188	56,419,354
Diluted (in shares)	57,933,806	57,207,503	57,727,262	57,050,789

Consolidated Statements of Comp

Consolidated Statements of Comprehensive Income - USD ($) $ in Millions	3 Months Ended		9 Months Ended
	Sep. 30, 2016	Sep. 30, 2015	Sep. 30, 2016	Sep. 30, 2015
Statement of Comprehensive Income [Abstract]
Net income	$ 57	$ 47	$ 143	$ 125
Investment securities
Unrealized gain (loss) (net of tax effect $1, ($5), ($10) and ($5), respectively)	(1)	9	17	9
Less: Reclassification of net (gain) on sale (net of tax effect $2, $0, $3 and $0, respectively)	(3)	0	(5)	0
Net change in unrealized gain (loss) on investment securities, net of tax	(4)	9	12	9
Derivatives and hedging activities
Unrealized gain (loss) (net of tax effect $0, $2, $23 and $2, respectively)	0	(5)	(44)	(5)
Less: Reclassification of net loss (gain) on derivative instruments (net of tax effect ($2), $0, ($6) and $0, respectively)	3	0	10	0
Net change in derivatives and hedging activities, net of tax	3	(5)	(34)	(5)
Other comprehensive (loss) income, net of tax	(1)	4	(22)	4
Comprehensive income	$ 56	$ 51	$ 121	$ 129

Consolidated Statements of Com6

Consolidated Statements of Comprehensive Income (Parenthetical) - USD ($) $ in Millions	3 Months Ended		9 Months Ended
	Sep. 30, 2016	Sep. 30, 2015	Sep. 30, 2016	Sep. 30, 2015
Statement of Comprehensive Income [Abstract]
Unrealized holding gain (loss) on securities, tax	$ 1	$ (5)	$ (10)	$ (5)
Reclassification adjustment on sale of securities, tax	2	0	3	0
Unrealized gain (loss) on derivatives, tax	0	2	23	2
Reclassification adjustment on derivatives, tax	$ (2)	$ 0	$ (6)	$ 0

Consolidated Statements of Stoc

Consolidated Statements of Stockholders' Equity - USD ($) $ in Millions	Total	Preferred Stock	Common Stock	Additional Paid in Capital	Accumulated Other Comprehensive Income (Loss)	Retained Earnings (Accumulated Deficit)
Beginning balance at Dec. 31, 2014	$ 1,373	$ 267	$ 1	$ 1,482	$ 8	$ (385)
Beginning balance, shares at Dec. 31, 2014		266,657	56,332,307
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Net income	125					125
Total other comprehensive loss	4				4
Stock-based compensation, value	2			2
Stock-based compensation, shares			103,719
Ending balance at Sep. 30, 2015	1,504	$ 267	$ 1	1,484	12	(260)
Ending balance, shares at Sep. 30, 2015		266,657	56,436,026
Beginning balance at Dec. 31, 2015	1,529	$ 267	$ 1	1,486	2	(227)
Beginning balance, shares at Dec. 31, 2015		266,657	56,483,258
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Net income	143					143
Total other comprehensive loss	(22)				(22)
Stock-based compensation, value	8			8
Stock-based compensation, shares			114,013
Preferred stock redemption	(267)	$ (267)				0
Preferred stock redemption (shares)		(266,657)
Dividends on preferred stock	(105)					(105)
Ending balance at Sep. 30, 2016	$ 1,286	$ 0	$ 1	$ 1,494	$ (20)	$ (189)
Ending balance, shares at Sep. 30, 2016		0	56,597,271

Consolidated Statements of Cash

Consolidated Statements of Cash Flows - USD ($)	9 Months Ended
	Sep. 30, 2016	Sep. 30, 2015
Operating Activities
Net income	$ 143,000,000	$ 125,000,000
Adjustments to reconcile net income to net cash used in operating activities:
(Benefit) provision for loan losses	(9,000,000)	(18,000,000)
Representation and warranty (benefit) provision	(12,000,000)	(13,000,000)
Depreciation and amortization	24,000,000	17,000,000
Deferred income taxes	59,000,000	68,000,000
Net gain on loan and asset sales	(257,000,000)	(241,000,000)
Change in fair value and other non-cash changes	(268,000,000)	(231,000,000)
Proceeds from sales of loans held-for-sale (HFS)	14,097,000,000	15,247,000,000
Origination, premium paid and purchase of loans, net of principal repayments	(23,826,000,000)	(22,180,000,000)
Decrease (increase) in accrued interest receivable	1,000,000	(6,000,000)
(Increase) decrease in other assets, excluding purchase of other investments	(104,000,000)	155,000,000
Increase in other liabilities	24,000,000	10,000,000
Net cash used in operating activities	(10,128,000,000)	(7,067,000,000)
Investing Activities
Proceeds from sale of available for sale securities including loans that have been securitized	10,876,000,000	6,603,000,000
Collection of principal on investment securities available-for-sale (AFS)	116,000,000	185,000,000
Purchase of investment securities available-for-sale and other	(203,000,000)	(783,000,000)
Collection of principal on investment securities held-to-maturity (HTM)	126,000,000	38,000,000
Purchase of investment securities HTM	(15,000,000)	(10,000,000)
Proceeds received from the sale of held-for-investment loans (HFI)	228,000,000	788,000,000
Origination and purchase of loans HFI, net of principal repayments	(1,297,000,000)	(2,249,000,000)
Purchase of bank owned life insurance	(85,000,000)	(175,000,000)
Proceeds from the disposition of repossessed assets	14,000,000	19,000,000
Net (purchase) redemption of Federal Home Loan Bank stock	(2,000,000)	42,000,000
Acquisitions of premises and equipment, net of proceeds	(44,000,000)	(28,000,000)
Proceeds from the sale of mortgage servicing rights	35,000,000	183,000,000
Net cash provided by investing activities	9,749,000,000	4,613,000,000
Financing Activities
Net increase in deposit accounts	1,436,000,000	1,068,000,000
Net change in short-term FHLB borrowings and other short-term debt	(1,211,000,000)	0
Proceeds from long-term Federal Home Loan Bank advances and other debt	395,000,000	22,235,000,000
Repayment of long-term Federal Home Loan Bank advances	0	(20,725,000,000)
Repayment of long-term debt	0	(55,000,000)
Net receipt (disbursement) of payments of loans serviced for others	91,000,000	(23,000,000)
Preferred stock dividends	(105,000,000)	0
Redemption of preferred stock	(267,000,000)	0
Net receipt of escrow payments	6,000,000	13,000,000
Net cash provided by financing activities	345,000,000	2,513,000,000
Net (decrease) increase in cash and cash equivalents	(34,000,000)	59,000,000
Beginning cash and cash equivalents	208,000,000	136,000,000
Ending cash and cash equivalents	174,000,000	195,000,000
Supplemental disclosure of cash flow information
Interest paid on deposits and other borrowings	89,000,000	42,000,000
Income tax payments	3,000,000	3,000,000
Non-cash reclassification of investment securities AFS to HTM	0	1,136,000,000
Non-cash reclassification of loans originated HFI to loans HFS	1,331,000,000	1,113,000,000
Non-cash reclassification of mortgage loans originated HFS to HFI	2,000,000	30,000,000
Non-cash reclassification of mortgage loans HFS to AFS securities	10,588,000,000	6,617,000,000
Mortgage servicing rights resulting from sale or securitization of loans	173,000,000	220,000,000
Non-cash reclassification of loans with government guarantee to other assets	$ 0	$ 373,000,000

Basis of Presentation

Basis of Presentation	9 Months Ended
	Sep. 30, 2016
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Basis of Presentation	Basis of Presentation The accompanying financial statements of Flagstar Bancorp, Inc. ("Flagstar," or the "Company"), including its wholly owned principal subsidiary, Flagstar Bank, FSB (the "Bank"), have been prepared using U.S. generally accepted accounting principles ("GAAP") for interim financial statements. Where we say "we," "us," or "our," we usually mean Flagstar Bancorp, Inc. However, in some cases, a reference to "we," "us," or "our" will include our wholly owned subsidiary Flagstar Bank, FSB (the "Bank"). These consolidated financial statements do not include all of the information and footnotes required by GAAP for a full year presentation and certain disclosures have been condensed or omitted in accordance with rules and regulations of the Securities and Exchange Commission ("SEC"). These interim financial statements are unaudited and include, in our opinion, all adjustments necessary for a fair statement of the results for the periods indicated, which are not necessarily indicative of results which may be expected for the full year. These consolidated financial statements and notes should be read in conjunction with the consolidated financial statements and footnotes thereto included in our Annual Report on Form 10-K for the year ended December 31, 2015 , which is available on our website, at flagstar.com, and on the SEC website, at sec.gov. Certain prior period amounts have been reclassified to conform to the current period presentation.

Investment Securities

Investment Securities	9 Months Ended
	Sep. 30, 2016
Investments, Debt and Equity Securities [Abstract]
Investment Securities	Investment Securities As of September 30, 2016 and December 31, 2015 , investment securities were comprised of the following: Amortized Cost Gross Unrealized Gains Gross Unrealized Losses Fair Value (Dollars in millions) September 30, 2016 Available-for-sale securities Agency - Commercial $ 500 $ 10 $ — $ 510 Agency - Residential 563 10 — 573 Municipal obligations 32 — — 32 Total available-for-sale securities (1) $ 1,095 $ 20 $ — $ 1,115 Held-to-maturity securities Agency - Commercial $ 619 $ 9 $ — $ 628 Agency - Residential 537 12 — 549 Total held-to-maturity securities (1) $ 1,156 $ 21 $ — $ 1,177 December 31, 2015 Available-for-sale securities Agency - Commercial $ 766 $ 3 $ (3 ) $ 766 Agency - Residential 514 2 (2 ) 514 Municipal obligations 14 — — 14 Total available-for-sale securities (1) $ 1,294 $ 5 $ (5 ) $ 1,294 Held-to-maturity securities Agency - Commercial $ 634 $ — $ (2 ) $ 632 Agency - Residential 634 — (4 ) 630 Total held-to-maturity securities (1) $ 1,268 $ — $ (6 ) $ 1,262 (1) There were no securities of a single issuer, which are not governmental or government-sponsored, that exceeded 10 percent of stockholders’ equity at September 30, 2016 or December 31, 2015 . Credit related declines in the available-for-sale and held-to-maturity securities that are determined to be other than temporary are reported as a separate component of noninterest income within the Consolidated Statement of Operations. An impaired investment security is considered to be other than temporary if (1) we intend to sell the security; (2) it is more likely than not we will be required to sell the security before recovery of its amortized cost basis; or (3) the present value of expected cash flows is not sufficient to recover all contractually required principal and interest payments. We evaluate our securities portfolio each quarter to determine if any security is considered to be other than temporarily impaired. In making this evaluation, management considers its ability and intent to hold securities to recover current market losses. During the three and nine months ended September 30, 2016 and September 30, 2015 , we had no other than temporary impairments. Available-for-sale securities Securities available-for-sale are carried at fair value, with unrealized gains and unrealized losses, to the extent they are temporary in nature, reported as a component of other comprehensive income. We purchased $136 million and $203 million , of available-for-sale securities, which included U.S. government sponsored agency mortgage-backed securities and municipal obligations, during the three and nine months ended September 30, 2016 , respectively. We purchased $59 million and $783 million , of available-for-sale securities, which included U.S. government sponsored agencies comprised of mortgage-backed securities, collateralized mortgage and municipal obligations during the three and nine months ended September 30, 2015 , respectively. During the third quarter 2015, we subsequently transferred $462 million of the securities purchased to held-to-maturity investments. Gains (losses) on sales of available-for-sale securities are reported in other noninterest income in the Consolidated Statements of Operations. During the three and nine months ended September 30, 2016 , there were $115 million and $290 million , respectively, in sales of available-for-sale securities, which did not include those related to mortgage loans that had been securitized for sale in the normal course of business. These sales resulted in a realized gain of $3 million and $4 million during the three and nine months ended September 30, 2016 , respectively. During both the three and nine months ended September 30, 2015 there were no sales of available-for-sale securities, except those related to mortgage loans that had been securitized for sale in the normal course of business. Held-to-maturity securities Investment securities held-to-maturity are carried at amortized cost and adjusted for amortization of premiums and accretion of discounts using the interest method. Unrealized losses are not recorded to the extent they are temporary in nature. Transfers of investment securities into the held-to-maturity category from the available-for-sale category are accounted for at fair value on the date of transfer. The related unrealized gain, net of tax that was included in the transfer is retained in other comprehensive income amortizing as an adjustment to interest income over the remaining life of the securities. During the third quarter 2015 , we transferred $1.1 billion of available-for-sale securities to held-to-maturity securities at a premium of $8 million , reflecting our intent and ability to hold those securities to maturity. The related $5 million of unrealized holding gain, net of tax, that was included in the transfer is retained in other comprehensive income (loss) and is being amortized as an adjustment to interest income over the remaining life of the securities. There were no gains or losses recognized as a result of this transfer. We purchased zero and $15 million of held-to-maturity securities, which included U.S. government sponsored agency mortgage-backed securities during the three and nine months ended September 30, 2016 , respectively. During both the three and nine months ended September 30, 2015 , we purchased $10 million of held-to-maturity securities. Gains (losses) on sales of held-to-maturity securities are reported in other noninterest income in the Consolidated Statements of Operations. During both the three and nine months ended September 30, 2016 and September 30, 2015 , there were no sales of held-to-maturity securities. During both the three and nine months ended September 30, 2016 and September 30, 2015 , there were no maturities and $25 million of maturities in held-to-maturity securities, respectively. The following table summarizes by duration the unrealized loss positions on investment securities: Unrealized Loss Position with Duration 12 Months and Over Unrealized Loss Position with Duration Under 12 Months Fair Value Number of Securities Unrealized Loss Fair Value Number of Securities Unrealized Loss Type of Security (Dollars in millions) September 30, 2016 Available-for-sale securities Agency - Commercial $ 6 1 $ — $ — — $ — Agency - Residential — — — 75 6 — Municipal obligations — — $ — 1 1 — Held-to-maturity securities Agency - Commercial $ — — $ — $ 20 2 $ — Agency - Residential — — — 19 2 — December 31, 2015 Available-for-sale securities Agency - Commercial $ — — $ — $ 482 27 $ (3 ) Agency - Residential 8 2 — 224 15 (2 ) Held-to-maturity securities Agency - Commercial $ — — $ — $ 471 27 $ (2 ) Agency - Residential — — — 547 50 (4 ) The amortized cost and estimated fair value of securities at September 30, 2016 , are presented below by contractual maturity: Investment Securities Available-for-Sale Investment Securities Held-to-maturity Amortized Cost Fair Value Weighted Average Yield Amortized Cost Fair Value Weighted Average Yield September 30, 2016 (Dollars in millions) (Dollars in millions) Due after one year through five years $ 18 $ 18 3.94 % $ — $ — — % Due after five years through 10 years 7 7 2.64 % 61 63 2.50 % Due after 10 years 1,070 1,090 2.45 % 1,095 1,114 2.40 % Total $ 1,095 $ 1,115 $ 1,156 $ 1,177 We pledge investment securities, primarily municipal taxable and agency collateralized mortgage obligations, to collateralize lines of credit and/or borrowings. At September 30, 2016 , we had pledged investment securities of $918 million compared to $14 million at December 31, 2015 .

Loans Held-for-Sale

Loans Held-for-Sale	9 Months Ended
	Sep. 30, 2016
Receivables Held-for-sale [Abstract]
Loans Held-for-Sale	Loans Held-for-Sale The majority of our mortgage loans originated as loans held-for-sale are sold into the secondary market on a whole loan basis or by securitizing the loans and selling the securities. At September 30, 2016 and December 31, 2015 , loans held-for-sale totaled $3.4 billion and $2.6 billion , respectively. For the three and nine months ended September 30, 2016 , we had net gains on loan sales associated with loans held-for-sale, excluding the gains from the sale of mortgage loans transferred from loans held-for-investment, of $94 million and $244 million , respectively, as compared to $68 million and $242 million during the three and nine months ended September 30, 2015 , respectively. At September 30, 2016 and December 31, 2015 , $40 million and $35 million , respectively, of loans held-for-sale were recorded at lower of cost or fair value. The remainder of the loans in the portfolio are recorded at fair value as we have elected the fair value option for such loans.

Loans Held-for-Investment

Loans Held-for-Investment	9 Months Ended
	Sep. 30, 2016
Receivables [Abstract]
Loans Held-for-Investment	Loans Held-for-Investment Loans held-for-investment are summarized as follows: September 30, December 31, (Dollars in millions) Consumer loans Residential first mortgage $ 2,136 $ 3,100 Second mortgage 127 135 HELOC 326 384 Other 30 31 Total consumer loans 2,619 3,650 Commercial loans Commercial real estate (1) 1,168 814 Commercial and industrial 708 552 Warehouse lending 1,795 1,336 Total commercial loans 3,671 2,702 Total loans held-for-investment $ 6,290 $ 6,352 (1) Includes $252 million and $188 million of owner occupied commercial real estate loans at September 30, 2016 and December 31, 2015 , respectively. During the nine months ended September 30, 2016 and September 30, 2015 , we transferred $2 million and $30 million , respectively, of loans held-for-sale to loans held-for-investment, based upon a change in our intent. During the nine months ended September 30, 2016 , we sold nonperforming, TDR and non-agency loans with unpaid principal balances of $110 million . Upon a change in our intent, the loans were transferred to held-for-sale and subsequently sold resulting in a loss on sale of $2 million during the nine months ended September 30, 2016 , which is recorded in net loss on sale of assets on the Consolidated Statements of Operations. The loans sold also resulted in a charge-off of $8 million during the nine months ended September 30, 2016 . Also, during the nine months ended September 30, 2016 , we sold performing residential first mortgage loans with unpaid principal balances of $1.2 billion . Upon a change in our intent, the loans were transferred to held-for-sale and subsequently sold resulting in a gain of $14 million , which is recorded in net gain on loan sales on the Consolidated Statements of Operations. During the nine months ended September 30, 2015 , we sold or transferred interest-only residential first mortgage loans with unpaid principal balances totaling $600 million , along with $420 million of nonperforming troubled debt restructuring ("TDR") and non-agency first mortgage loans. Upon a change in our intent, the loans were transferred to held-for-sale and subsequently sold resulting in a net loss on sale of less than $1 million during the nine months ended September 30, 2015 . The loans sold also resulted in a charge-off of $67 million . During the nine months ended September 30, 2016 , we purchased jumbo residential first mortgage loans with an unpaid principal balance of $150 million and a premium of $1 million . During the nine months ended September 30, 2015 , we purchased $197 million of home equity lines of credit ("HELOC") loans with a premium of $7 million . We have pledged certain loans held-for-investment, loans held-for-sale, and loans with government guarantees to collateralize lines of credit and/or borrowings with the Federal Reserve Bank of Chicago and the Federal Home Loan Bank of Indianapolis. At September 30, 2016 and December 31, 2015 , we had pledged loans of $5.6 billion and $5.8 billion , respectively. Allowance for Loan Losses We determine the appropriate estimate of the allowance for loan losses on at least a quarterly basis. Refer to Note 1, "Description of Business, Basis of Presentation, and Summary of Significant Accounting Policies" to the consolidated financial statements in the Annual Report on Form 10-K for the year ended December 31, 2015, for a description of the methodology. The allowance for loan losses, other than for loans that have been identified for individual evaluation for impairment, is determined on a loan pool basis by grouping loan types with common risk characteristics to determine our best estimate of incurred losses. The allowance for loan losses by class of loan are summarized in the following table: Residential First Mortgage (1) Second Mortgage HELOC Other Consumer Commercial Real Estate Commercial and Industrial Warehouse Lending Total (Dollars in millions) Three Months Ended September 30, 2016 Beginning balance allowance for loan losses $ 81 $ 10 $ 20 $ 1 $ 19 $ 11 $ 8 $ 150 Charge-offs (2) (7 ) — (1 ) (1 ) — — — (9 ) Recoveries — — 1 1 — — — 2 Provision (benefit) (3) (4 ) (1 ) (4 ) — 6 3 — — Ending balance allowance for loan losses $ 70 $ 9 $ 16 $ 1 $ 25 $ 14 $ 8 $ 143 Three Months Ended September 30, 2015 Beginning balance allowance for loan losses $ 151 $ 14 $ 25 $ 1 $ 15 $ 12 $ 4 $ 222 Charge-offs (2) (21 ) (1 ) (1 ) (1 ) — (3 ) — (27 ) Recoveries 1 1 — 1 — — — 3 Provision (benefit) (2 ) (1 ) (1 ) — (2 ) 5 — (1 ) Ending balance allowance for loan losses $ 129 $ 13 $ 23 $ 1 $ 13 $ 14 $ 4 $ 197 Nine Months Ended September 30, 2016 Beginning balance allowance for loan losses $ 116 $ 11 $ 21 $ 2 $ 18 $ 13 $ 6 $ 187 Charge-offs (2) (26 ) (2 ) (2 ) (3 ) — — — (33 ) Recoveries 1 1 1 2 — — — 5 Provision (benefit) (3) (21 ) (1 ) (4 ) — 7 1 2 (16 ) Ending balance allowance for loan losses $ 70 $ 9 $ 16 $ 1 $ 25 $ 14 $ 8 $ 143 Nine Months Ended September 30, 2015 Beginning balance allowance for loan losses $ 234 $ 12 $ 19 $ 1 $ 17 $ 11 $ 3 $ 297 Charge-offs (2) (80 ) (2 ) (2 ) (3 ) — (3 ) — (90 ) Recoveries 3 1 — 2 2 — — 8 Provision (benefit) (28 ) 2 6 1 (6 ) 6 1 (18 ) Ending balance allowance for loan losses $ 129 $ 13 $ 23 $ 1 $ 13 $ 14 $ 4 $ 197 (1) Includes allowance and charge-offs related to loans with government guarantees. (2) Includes charge-offs of zero and $16 million related to the transfer and subsequent sale of loans during the three months ended September 30, 2016 and September 30, 2015 , respectively, and $8 million and $67 million related to the sale of loans during the nine months ended September 30, 2016 and September 30, 2015 , respectively. Also includes charge-offs related to loans with government guarantees of $6 million and $13 million during the three and nine months ended September 30, 2016 , respectively. (3) Does not include $7 million provision for loan losses recorded in the Consolidated Statements of Operations to reserve for repossessed loans with government guarantees during the three and nine months ended September 30, 2016 . The loans held-for-investment and allowance for loan losses by class of loan is summarized in the following table: Residential First Mortgage (1) Second Mortgage HELOC Other Consumer Commercial Real Estate Commercial and Industrial Warehouse Lending Total (Dollars in millions) September 30, 2016 Loans held-for-investment Individually evaluated $ 42 $ 26 $ 4 $ — $ — $ 1 $ — $ 73 Collectively evaluated (2) 2,087 60 291 30 1,168 707 1,795 6,138 Total loans $ 2,129 $ 86 $ 295 $ 30 $ 1,168 $ 708 $ 1,795 $ 6,211 Allowance for loan losses Individually evaluated $ 7 $ 6 $ 1 $ — $ — $ — $ — $ 14 Collectively evaluated (2) 63 3 15 1 25 14 8 129 Total allowance for loan losses $ 70 $ 9 $ 16 $ 1 $ 25 $ 14 $ 8 $ 143 December 31, 2015 Loans held-for-investment Individually evaluated $ 87 $ 28 $ 3 $ — $ — $ 2 $ — $ 120 Collectively evaluated (2) 3,007 65 318 31 814 550 1,336 6,121 Total loans $ 3,094 $ 93 $ 321 $ 31 $ 814 $ 552 $ 1,336 $ 6,241 Allowance for loan losses Individually evaluated $ 12 $ 6 $ 1 $ 1 $ — $ — $ — $ 20 Collectively evaluated (2) 104 5 20 1 18 13 6 167 Total allowance for loan losses $ 116 $ 11 $ 21 $ 2 $ 18 $ 13 $ 6 $ 187 (1) Includes allowance related to loans with government guarantees. (2) Excludes loans carried under the fair value option. The following table sets forth the loans held-for-investment aging analysis as of September 30, 2016 and December 31, 2015 , of past due and current loans: 30-59 Days Past Due 60-89 Days Past Due 90 Days or Greater Past Due (1) Total Past Due Current Total Investment Loans (Dollars in millions) September 30, 2016 Consumer loans Residential first mortgage $ 4 $ 1 $ 29 $ 34 $ 2,102 $ 2,136 Second mortgage — — 4 4 123 127 HELOC 1 — 7 8 318 326 Other 1 1 — 2 28 30 Total consumer loans 6 2 40 48 2,571 2,619 Commercial loans Commercial real estate — — — — 1,168 1,168 Commercial and industrial — — — — 708 708 Warehouse lending — — — — 1,795 1,795 Total commercial loans — — — — 3,671 3,671 Total loans (2) $ 6 $ 2 $ 40 $ 48 $ 6,242 $ 6,290 December 31, 2015 Consumer loans Residential first mortgage $ 7 $ 3 $ 53 $ 63 $ 3,037 $ 3,100 Second mortgage — — 2 2 133 135 HELOC 2 1 9 12 372 384 Other 1 — — 1 30 31 Total consumer loans 10 4 64 78 3,572 3,650 Commercial loans Commercial real estate — — — — 814 814 Commercial and industrial — — 2 2 550 552 Warehouse lending — — — — 1,336 1,336 Total commercial loans — — 2 2 2,700 2,702 Total loans (2) $ 10 $ 4 $ 66 $ 80 $ 6,272 $ 6,352 (1) Includes loans that are less than 90 days past due, which have been placed on nonaccrual. (2) Includes $12 million and $10 million of loans 90 days or greater past due, accounted for under the fair value option at September 30, 2016 and December 31, 2015 , respectively. For all classes within the consumer and commercial loan portfolio, loans are placed on nonaccrual status when any portion of principal or interest is 90 days past due (or are determined to be impaired), or earlier when we become aware of information indicating that collection of principal and interest is in doubt. When a loan is placed on nonaccrual status, the accrued interest income is reversed. Loans return to accrual status when principal and interest become current and are anticipated to be fully collectible. Interest income is recognized on nonaccrual loans using a cash basis method. Interest that would have been accrued on impaired loans totaled $1 million and $2 million during the three and nine months ended September 30, 2016 , respectively, and $1 million and $4 million during the three and nine months ended September 30, 2015 , respectively. At September 30, 2016 and December 31, 2015 , we had no loans 90 days past due and still accruing. Troubled Debt Restructuring We may modify certain loans in both consumer and commercial loan portfolios to retain customers or to maximize collection of the outstanding loan balance. We have programs designed to assist borrowers by extending payment dates or reducing the borrower's contractual payments. All loan modifications are made on a case-by-case basis. Our standards relating to loan modifications consider, among other factors, minimum verified income requirements, cash flow analysis, and collateral valuations. TDRs result in those instances in which a borrower demonstrates financial difficulty and for which a concession has been granted, which includes reductions of interest rate, extensions of amortization period, principal and/or interest forgiveness and other actions intended to minimize the economic loss and to avoid foreclosure or repossession of collateral. These loans are classified as nonperforming TDRs if the loan was nonperforming prior to the restructuring, or based upon the results of a contemporaneous credit evaluation. Such loans will continue on nonaccrual status until the borrower has established a willingness and ability to make the restructured payments for at least six months, after which they will begin to accrue interest. Some loan modifications classified as TDRs may not ultimately result in the full collection of principal and interest, as modified, but may give rise to potential incremental losses. We measure impairments using a discounted cash flow method for performing TDRs and measure impairment based on collateral values for re-defaulted TDRs. The following table provides a summary of TDRs outstanding by type and performing status: TDRs Performing Nonperforming Total September 30, 2016 (Dollars in millions) Consumer loans Residential first mortgage $ 23 $ 10 $ 33 Second mortgage 33 3 36 HELOC 14 4 18 Total consumer loans 70 17 87 Commercial loans Commercial and industrial 1 — 1 Total commercial loans 1 — 1 Total TDRs (1)(2) $ 71 $ 17 $ 88 December 31, 2015 Consumer loans Residential first mortgage $ 49 $ 27 $ 76 Second mortgage 32 1 33 HELOC 20 7 27 Total TDRs (1)(2) $ 101 $ 35 $ 136 (1) The allowance for loan losses on consumer TDR loans totaled $11 million and $15 million at September 30, 2016 and December 31, 2015 , respectively. (2) Includes $26 million and $32 million of TDR loans accounted for under the fair value option at September 30, 2016 and December 31, 2015 , respectively. The following table provides a summary of newly modified TDRs during the three and nine months ended September 30, 2016 and 2015 . New TDRs Number of Accounts Pre-Modification Unpaid Principal Balance Post-Modification Unpaid Principal Balance (1) Increase in Allowance at Modification Three Months Ended September 30, 2016 (Dollars in millions) Residential first mortgages 1 $ — $ — $ — Second mortgages 16 1 1 — HELOC (2)(3) 1 — — — Total TDR loans 18 $ 1 $ 1 $ — Three Months Ended September 30, 2015 Residential first mortgages 48 $ 13 $ 14 $ — Second mortgages 15 1 1 — HELOC (2) 46 4 4 — Total TDR loans 109 $ 18 $ 19 $ — Nine Months Ended September 30, 2016 Residential first mortgages 17 $ 3 $ 4 $ — Second mortgages 42 2 2 — HELOC (2)(3) 86 6 5 — Commercial and industrial 1 2 1 — Total TDR loans 146 $ 13 $ 12 $ — Nine Months Ended September 30, 2015 Residential first mortgages 239 $ 66 $ 65 $ (1 ) Second mortgages 83 4 3 — HELOC (2)(3) 204 12 11 — Other consumer 3 — — — Total TDR loans 529 $ 82 $ 79 $ (1 ) (1) Post-modification balances include past due amounts that are capitalized at modification date. (2) HELOC post-modification unpaid principal balance reflects write downs. (3) Includes loans carried at the fair value option. The following table provides a summary of TDR loans that were modified within the previous 12 months, which subsequently defaulted during the three and nine months ended September 30, 2016 and 2015 . All TDR classes within consumer and commercial loan portfolios are considered subsequently defaulted when they are greater than 90 days past due. TDRs that were modified in the previous 12 months, which have subsequently defaulted Number of Accounts Unpaid Principal Balance Increase in Allowance at Subsequent Default Three Months Ended September 30, 2016 (Dollars in millions) HELOC (1) 3 $ — $ — Total TDR loans 3 $ — $ — Three Months Ended September 30, 2015 Residential first mortgages 1 $ — $ — Total TDR loans 1 $ — $ — Nine Months Ended September 30, 2016 Residential first mortgages 1 $ — $ — HELOC (1) 7 — — Total TDR loans 8 $ — $ — Nine Months Ended September 30, 2015 Residential first mortgages 1 $ — $ — Second mortgages 1 — — Total TDR loans 2 $ — $ — (1) HELOC post-modification unpaid principal balance reflects write downs. Impaired Loans Loans are considered impaired if it is probable that payment of interest and principal will not be made in accordance with the contractual terms of the loan agreement or when any portion of principal or interest is 90 days past due. The following table presents individually evaluated impaired loans and the associated allowance: September 30, 2016 December 31, 2015 Recorded Investment Unpaid Principal Balance Related Allowance Recorded Investment Unpaid Principal Balance Related Allowance (Dollars in millions) With no related allowance recorded Consumer loans Residential first mortgage $ 2 $ 1 $ — $ 20 $ 20 $ — Commercial loans Commercial and industrial 1 1 — 5 2 — $ 3 $ 2 $ — $ 25 $ 22 $ — With an allowance recorded Consumer loans Residential first mortgage $ 40 $ 41 $ 7 $ 65 $ 67 $ 12 Second mortgage 26 26 6 28 28 6 HELOC 4 4 2 3 3 1 Other consumer — — — — — 1 $ 70 $ 71 $ 15 $ 96 $ 98 $ 20 Total Consumer loans Residential first mortgage $ 42 $ 42 $ 7 $ 85 $ 87 $ 12 Second mortgage 26 26 6 28 28 6 HELOC 4 4 2 3 3 1 Other consumer — — — — — 1 Commercial loans Commercial and industrial 1 1 — 5 2 — Total impaired loans $ 73 $ 73 $ 15 $ 121 $ 120 $ 20 The following table presents average impaired loans and the interest income recognized: Three Months Ended September 30, Nine Months Ended September 30, 2016 2015 2016 2015 Average Recorded Investment Interest Income Recognized Average Recorded Investment Interest Income Recognized Average Recorded Investment Interest Income Recognized Average Recorded Investment Interest Income Recognized (Dollars in millions) Consumer loans Residential first mortgage $ 43 $ — $ 96 $ 1 $ 55 $ 1 $ 172 $ 4 Second mortgage 25 — 29 — 26 1 30 — HELOC 5 — 15 — 5 — 6 — Commercial loans Commercial and industrial 1 — 2 — 2 — 1 — Total impaired loans $ 74 $ — $ 142 $ 1 $ 88 $ 2 $ 209 $ 4 Credit Quality We utilize an internal risk rating system in accordance with the Rating Credit Risk booklet of the Comptroller's Handbook, April 2011 and the Uniform Retail Credit classification and Account Management Policy issued June 20, 2000 by the Federal Financial Institution Examination Council ("FFIEC") which is applied to all consumer and commercial loans. Descriptions of our internal risk ratings as they relate to credit quality follow the ratings used by the U.S. bank regulatory agencies as listed below. Pass. Pass assets are not impaired nor do they have any known deficiencies that could impact the quality of the asset. Watch. Watch assets are defined as pass rated assets that exhibit elevated risk characteristics or other factors that deserve management’s close attention and increased monitoring. However, the asset does not exhibit a potential or well-defined weakness that would warrant a downgrade to criticized or adverse classification. Special mention. Assets identified as special mention possess credit deficiencies or potential weaknesses deserving management's close attention. Special mention assets have a potential weakness or pose an unwarranted financial risk that, if not corrected, could weaken the assets and increase risk in the future. Special mention assets are criticized, but do not expose an institution to sufficient risk to warrant adverse classification. Substandard . Assets identified as substandard are inadequately protected by the current net worth and paying capacity of the obligor or of the collateral pledged, if any. Assets so classified must have a well-defined weakness or weaknesses that jeopardize the liquidation of the debt. They are characterized by the distinct possibility that we will sustain some loss if the deficiencies are not corrected. For HELOC loans and other consumer loans, we evaluate credit quality based on the aging and status of payment activity and any other known credit characteristics that call into question full repayment of the asset. Nonperforming loans are classified as either substandard, doubtful or loss. Doubtful . An asset classified as doubtful has all the weaknesses inherent in one classified substandard, with the added characteristic that the weaknesses make collection or liquidation in full, on the basis of currently existing facts, conditions and values, highly questionable and improbable. A doubtful asset has a high probability of total or substantial loss, but because of specific pending events that may strengthen the asset, its classification as loss is deferred. Doubtful borrowers are usually in default, lack adequate liquidity or capital, and lack the resources necessary to remain an operating entity. Pending events can include mergers, acquisitions, liquidations, capital injections, the perfection of liens on additional collateral, the valuation of collateral, and refinancing. Generally, pending events should be resolved within a relatively short period and the ratings will be adjusted based on the new information. Because of high probability of loss, non-accrual accounting treatment is required for doubtful assets. Loss. An asset classified as loss is considered uncollectible and of such little value that the continuance as a bankable asset is not warranted. This classification does not mean that an asset has absolutely no recovery or salvage value, but, rather that it is not practical or desirable to defer writing off this basically worthless asset even though partial recovery may be affected in the future. Commercial Loans Management conducts periodic examinations which serve as an independent verification of the accuracy of the ratings assigned. Loan grades are based on different factors within the borrowing relationship: entity sales, debt service coverage, debt/total net worth, liquidity, balance sheet and income statement trends, management experience, business stability, financing structure of the deal, and financial reporting requirements. The underlying collateral is also rated based on the specific type of collateral and corresponding loan-to-value ("LTV"). The combination of the borrower and collateral risk ratings result in the final rating for the borrowing relationship. Consumer Loans Consumer loans consist of open and closed end loans extended to individuals for household, family, and other personal expenditures, and includes consumer loans, loans to individuals secured by their personal residence, including first mortgage, home equity, and home improvement loans. Because consumer loans are usually relatively small-balance, homogeneous exposures, consumer loans are rated primarily on payment performance. Payment performance is a proxy for the strength of repayment capacity and loans are generally classified based on their payment status rather than by an individual review of each loan. In accordance with regulatory guidance, we assign risk ratings to consumer loans in the following manner: • Consumer loans are classified as Watch once the loan becomes 60 days past due. • Open and closed-end consumer loans 90 days or more past due are classified Substandard. Commercial Credit Loans Commercial Real Estate Commercial and Industrial Warehouse Total Commercial September 30, 2016 (Dollars in millions) Grade Pass $ 1,122 $ 654 $ 1,659 $ 3,435 Watch 37 20 86 143 Special mention 3 33 50 86 Substandard 6 1 — 7 Total loans $ 1,168 $ 708 $ 1,795 $ 3,671 December 31, 2015 Grade Pass $ 766 $ 492 $ 1,181 $ 2,439 Watch 42 30 155 227 Special mention 2 21 — 23 Substandard 4 9 — 13 Total loans $ 814 $ 552 $ 1,336 $ 2,702 Consumer Credit Loans Residential First Mortgage Second Mortgage HELOC Other Consumer Total September 30, 2016 (Dollars in millions) Grade Pass $ 2,081 $ 90 $ 305 $ 29 $ 2,505 Watch 24 33 14 1 72 Substandard 31 4 7 — 42 Total loans $ 2,136 $ 127 $ 326 $ 30 $ 2,619 December 31, 2015 Grade Pass $ 2,993 $ 101 $ 353 $ 31 $ 3,478 Watch 49 32 22 — 103 Substandard 58 2 9 — 69 Total loans $ 3,100 $ 135 $ 384 $ 31 $ 3,650

Loans with Government Guarantee

Loans with Government Guarantees	9 Months Ended
	Sep. 30, 2016
Loans and Leases Receivable Disclosure [Abstract]
Loans with Government Guarantees	Loans with Government Guarantees Substantially all loans with government guarantees are insured or guaranteed by the Federal Housing Administration ("FHA") and U.S. Department of Veterans Affairs. FHA loans earn interest at a rate based upon the 10 -year U.S. Treasury note rate at the time the underlying loan becomes delinquent, which is not paid by the FHA until claimed. Certain loans within our portfolio may be subject to indemnifications and insurance limits which exposes us to limited credit risk. We have reserved for these risks within other assets and as a component of our allowance for loan losses on residential first mortgages. At September 30, 2016 and December 31, 2015 , loans with government guarantees totaled $404 million and $485 million , respectively. At September 30, 2016 and December 31, 2015 , repossessed assets and the associated claims recorded in other assets totaled $152 million and $210 million , respectively.

Variable Interest Entities (VIE

Variable Interest Entities (VIEs)	9 Months Ended
	Sep. 30, 2016
Disclosure of Transfer of Securitizations or Asset-backed Financing Financial Assets Accounted for as Sale [Abstract]
Variable Interest Entities (VIEs)	Variable Interest Entities ("VIEs") In 2015, we executed clean-up calls of the FSTAR 2005-1 and FSTAR 2006-2 long-term debt associated with the HELOC securitization trusts. As a result, the FSTAR 2005-1 and FSTAR 2006-2 HELOC securitization trusts were dissolved and we have no consolidated VIEs as of September 30, 2016 and December 31, 2015 . We have a continuing involvement, but are not the primary beneficiary for one unconsolidated VIE related to the FSTAR 2007-1 mortgage securitization trust. In accordance with the settlement agreement with MBIA Insurance Corporation ("MBIA"), there is no further recourse to us related to FSTAR 2007-1, unless MBIA fails to meet their obligations. At September 30, 2016 and December 31, 2015 , the FSTAR 2007-1 mortgage securitization trust included 2,608 loans and 3,061 loans, respectively, with an aggregate principal balance of $96 million and $117 million , respectively.

Mortgage Servicing Rights

Mortgage Servicing Rights	9 Months Ended
	Sep. 30, 2016
Transfers and Servicing [Abstract]
Mortgage Servicing Rights	Mortgage Servicing Rights We have investments in mortgage servicing rights ("MSRs") that result from the sale of loans to the secondary market for which we retain the servicing. The primary risk associated with MSRs is the potential reduction in fair value as a result of higher than anticipated prepayments due to loan refinancing prompted, in part, by declining interest rates or government intervention. Conversely, these assets generally increase in value in a rising interest rate environment to the extent that prepayments are slower than anticipated. We utilize derivatives as economic hedges to offset changes in the fair value of the MSRs resulting from the actual or anticipated changes in prepayments stemming from changing interest rate environments. There is also a risk of valuation decline due to higher than expected increases in default rates, which we do not believe can be effectively managed using derivatives. See Note 8 of the Notes to the Consolidated Financial Statements, herein, for further information regarding the derivative instruments utilized to manage our MSR risks. Changes in the carrying value of residential first mortgage MSRs, accounted for at fair value, were as follows: Three Months Ended September 30, Nine Months Ended September 30, 2016 2015 2016 2015 (Dollars in millions) Balance at beginning of period $ 301 $ 317 $ 296 $ 258 Additions from loans sold with servicing retained 51 74 173 220 Reductions from sales (17 ) (73 ) (41 ) (144 ) Changes in fair value due to (1) Decrease in MSR due to pay-offs, pay-downs and run-off (19 ) (9 ) (45 ) (34 ) Changes in estimates of fair value (2) (14 ) (15 ) (81 ) (6 ) Fair value of MSRs at end of period $ 302 $ 294 $ 302 $ 294 (1) Changes in fair value are included within net (loss) return on mortgage servicing rights on the Consolidated Statements of Operations. (2) Represents estimated MSR value change resulting primarily from market-driven changes. The following table summarizes the hypothetical effect on the fair value of servicing rights carried at fair value using adverse changes of 10 percent and 20 percent to the weighted average of certain significant assumptions used in valuing these assets: September 30, 2016 December 31, 2015 Fair value impact due to Fair value impact due to Actual 10% adverse change 20% adverse change Actual 10% adverse change 20% adverse change (Dollars in millions) Option adjusted spread 9.20 % $ 295 $ 288 8.24 % $ 287 $ 279 Constant prepayment rate 15.68 % 290 280 12.63 % 285 275 Weighted average cost to service per loan $ 70.75 299 295 $ 71.86 292 288 The sensitivity calculations above are hypothetical and should not be considered to be predictive of future performance. Changes in fair value based on adverse changes in assumptions generally cannot be extrapolated because the relationship of the change in assumption to the change in fair value may not be linear. To isolate the effect of the specified change, the fair value shock analysis is consistent with the identified adverse change, while holding all other assumptions constant. In practice, a change in one assumption generally impacts other assumptions, which may either magnify or counteract the effect of the change. See Note 17 of the Notes to the Consolidated Financial Statements, herein, for further fair value disclosures relating to mortgage servicing rights. Contractual servicing and subservicing fees . Contractual servicing and subservicing fees, including late fees and other ancillary income are presented below. Contractual servicing fees are included within net (loss) return on mortgage servicing rights on the Consolidated Statements of Operations. Contractual subservicing fees including late fees and other ancillary income are included within loan administration income on the Consolidated Statements of Operations. Subservicing fee income is recorded for fees earned, net of third party subservicing costs, for loans subserviced. The following table summarizes income and fees associated with contractual servicing rights: Three Months Ended September 30, Nine Months Ended September 30, 2016 2015 2016 2015 (Dollars in millions) Income on mortgage servicing rights Servicing fees, ancillary income and late fees (1) $ 22 $ 18 $ 60 $ 52 Changes in fair value (2) (33 ) (24 ) (126 ) (38 ) Gain on MSR derivatives (3) (1 ) 15 44 10 Net transaction costs 1 3 1 (5 ) Total (loss) return, included in net return on mortgage servicing rights $ (11 ) $ 12 $ (21 ) $ 19 (1) Servicing fees are recorded on the accrual basis. Ancillary income and late fees are recorded on a cash basis. (2) Includes a $2 million gain related to the sale of MSRs during the nine months ended September 30, 2015. (3) Changes in the derivatives utilized as economic hedges to offset changes in fair value of the MSRs. The following table summarizes income and fees associated with our mortgage loans subserviced: Three Months Ended September 30, Nine Months Ended September 30, 2016 2015 2016 2015 (Dollars in millions) Income on mortgage loans subserviced Subservicing fees, ancillary income and late fees (1) $ 7 $ 8 $ 21 $ 24 Other servicing charges (3 ) — (7 ) (5 ) Total income, included in loan administration $ 4 $ 8 $ 14 $ 19 (1) Servicing fees are recorded on the accrual basis. Ancillary income and late fees are recorded on cash basis.

Derivative Financial Instrument

Derivative Financial Instruments	9 Months Ended
	Sep. 30, 2016
Derivative Instruments and Hedging Activities Disclosure [Abstract]
Derivative Financial Instruments	Derivative Financial Instruments Derivative financial instruments are recorded at fair value in other assets and other liabilities on the Consolidated Statements of Financial Condition after taking into account the effects of legally enforceable bilateral collateral and master netting agreements. We are exposed to non-performance risk by the counterparties to our various derivative financial instruments. We believe that the non-performance risk inherent in all our derivative contracts is minimal based on credit standards and the collateral provisions of the derivative agreements. A majority of our derivatives are centrally cleared through a Central Counterparty Clearing House or consist of residential mortgage interest rate lock commitments further limiting our exposure to non-performance risk. Derivatives not designated as hedging instruments: We maintain a derivative portfolio of interest rate swaps, futures and forward commitments used to manage exposure to changes in interest rates, MSR asset values and to meet the needs of customers. We also enter into interest rate lock commitments, which are commitments to originate mortgage loans whereby the interest rate on the loan is determined prior to funding and the customers have locked into that interest rate. Market risk on interest rate lock commitments and mortgage loans held-for-sale is managed using corresponding forward sale commitments. Changes in fair value of derivatives not designated as hedging instruments are recognized in the Consolidated Statements of Income. Derivatives designated as hedging instruments: We have designated certain interest rate swaps as cash flow hedges of certain interest rate payments of our variable-rate Federal Home Loan Bank advances. Changes in the fair value of derivatives designated as cash flow hedges are recorded in other comprehensive income (loss) on the Consolidated Statement of Financial Condition and reclassified into interest expense in the same period in which the hedge transaction is recognized in earnings. At September 30, 2016 , we had $37 million (net-of-tax) recorded of unrealized losses on derivatives classified as cash flow hedges recorded in accumulated other comprehensive income (loss), compared to $3 million at December 31, 2015 . The estimated amount to be reclassified from other comprehensive income into earnings during the next 12 months represents $7 million of losses (net-of-tax). Derivatives that are designated in hedging relationships are assessed for effectiveness using regression analysis at inception and throughout the hedge period. All hedge relationships were and are expected to be highly effective as of September 30, 2016 . Cash flows and the profit impact associated with designated hedges are reported in the same category as the underlying hedged item. The net gain (loss) recognized in income on derivative instruments, net of the impact of offsetting positions, were as follows: Three Months Ended September 30, Nine Months Ended September 30, Location of Gain/(Loss) 2016 2015 2016 2015 (Dollars in millions) Derivatives not designated as hedging instruments: U.S. Treasury, swap and euro dollar futures Net (loss) return on mortgage servicing rights $ 4 $ 3 $ 8 $ 6 Interest rate swaps and swaptions Net (loss) return on mortgage servicing rights (7 ) 10 21 2 Mortgage backed securities forwards Net (loss) return on mortgage servicing rights 2 2 15 2 Rate lock commitments and forward agency and loan sales Net gain on loan sales 15 (24 ) 14 (4 ) Rate lock commitments Other noninterest income — 1 1 (1 ) Interest rate swaps Other noninterest income 2 2 3 2 Total derivative (loss) gain $ 16 $ (6 ) $ 62 $ 7 The notional amount, estimated fair value and maturity of our derivative financial instruments were as follows: Notional Amount Fair Value Expiration Dates (Dollars in millions) September 30, 2016 Derivatives designated as hedging instruments: Assets Interest rate swaps on FHLB advances $ 200 $ 3 2026 Liabilities (1) Interest rate swaps on FHLB advances $ 825 $ 55 2023-2025 Derivatives not designated as hedging instruments: Assets (2) U.S. Treasury, swap and euro dollar futures $ 5,450 $ 1 2016-2019 Mortgage backed securities forwards 1,317 2 2016 Rate lock commitments 6,357 63 2016 Interest rate swaps and swaptions 2,273 53 2016-2046 Total derivative assets $ 15,397 $ 119 Liabilities (1) U.S. Treasury, swap and euro dollar futures $ 635 $ — 2019-2020 Mortgage backed securities forwards 5,849 24 2016 Rate lock commitments 87 — 2016 Interest rate swaps 558 17 2016-2026 Total derivative liabilities $ 7,129 $ 41 December 31, 2015 Derivatives designated as hedging instruments: Liabilities (1) Interest rate swaps on FHLB advances $ 825 $ 4 2023-2025 Derivatives not designated as hedging instruments: Assets (2) U.S. Treasury, swap and euro dollar futures $ 1,892 $ — 2016-2019 Mortgage backed securities forwards 1,931 7 2016 Rate lock commitments 3,593 26 2016 Interest rate swaps and swaptions 1,554 25 2016-2035 Total derivative assets $ 8,970 $ 58 Liabilities (1) U.S. Treasury, swap and euro dollar futures $ 768 $ 1 2016-2019 Mortgage backed securities forwards 2,655 6 2016 Rate lock commitments 168 — 2016 Interest rate swaps 422 7 2016-2025 Total derivative liabilities $ 4,013 $ 14 (1) Derivative liabilities are included in other liabilities on the Consolidated Statements of Financial Condition. (2) Derivative assets are included in other assets on the Consolidated Statements of Financial Condition. The following tables present the derivatives subject to a master netting arrangement, including the cash pledged as collateral: Gross Amounts Not Offset in the Statement of Financial Position Gross Amount Gross Amounts Netted in the Statement of Financial Position Net Amount Presented in the Statement of Financial Position Financial Instruments Cash Collateral (Dollars in millions) September 30, 2016 Derivatives designated as hedging instruments: Assets Interest rate swaps on FHLB advances (1) $ 3 $ 3 $ — $ — $ — Liabilities Interest rate swaps on FHLB advances (1) $ 55 $ 3 $ 52 $ — $ 34 Derivatives not designated as hedging instruments: Assets U.S. Treasury, swap and euro dollar futures $ 1 $ — $ 1 $ — $ — Mortgage backed securities forwards 2 — 2 — — Interest rate swaps and swaptions (1) 53 — 53 — 24 Total derivative assets $ 56 $ — $ 56 $ — $ 24 Liabilities U.S. Treasury, swap and euro dollar futures $ — $ — $ — $ — $ 2 Mortgage backed securities forwards 24 — 24 — 41 Interest rate swaps and swaptions (1) 17 — 17 — 7 Total derivative liabilities $ 41 $ — $ 41 $ — $ 50 December 31, 2015 Derivatives designated as hedging instruments: Liabilities Interest rate swaps on FHLB advances $ 4 $ — $ 4 $ — $ 19 Derivatives not designated as hedging instruments: Assets Mortgage backed securities forwards $ 7 $ — $ 7 $ — $ 4 Interest rate swaps and swaptions (1) 25 — 25 — 10 Total derivative assets $ 32 $ — $ 32 $ — $ 14 Liabilities U.S. Treasury, swap and euro dollar futures $ 1 $ — $ 1 $ — $ 2 Mortgage backed securities forwards 6 — 6 — 8 Interest rate swaps and swaptions (1) 7 — 7 — 12 Total derivative liabilities $ 14 $ — $ 14 $ — $ 22 (1) Additional funds are pledged to a central counterparty clearing house in the amount of $56 million as of September 30, 2016 and $7 million as of December 31, 2015 to maintain initial margin requirements. This collateral is in addition to the amount required to be maintained for potential market changes shown in the cash collateral column above. We pledged a total of $84 million of cash collateral to counterparties and had an obligation to return cash of $24 million at September 30, 2016 for derivative activities. We pledged a total of $41 million of cash collateral to counterparties and had an obligation to return cash of $14 million at December 31, 2015 for derivative activities. The net cash pledged is restricted and is included in other assets on the Consolidated Statements of Financial Condition.

Debt

Debt	9 Months Ended
	Sep. 30, 2016
Debt Disclosure [Abstract]
Debt	Debt Federal Home Loan Bank Advances and other The following is a breakdown of our Federal Home Loan Bank advances and other short-term debt outstanding: September 30, 2016 December 31, 2015 Amount Rate Amount Rate (Dollars in millions) Short-term adjustable rate (1) $ 20 0.67 % $ — — % Short-term fixed rate term advances 865 0.37 % 2,116 0.32 % Other short-term (2) 20 0.55 % — — % Total Short-term Federal Home Loan Bank advances and other $ 905 $ 2,116 Long-term LIBOR adjustable advances 1,025 0.94 % 825 0.70 % Long-term fixed rate advances (3) 552 1.44 % 600 1.37 % Total Long-term Federal Home Loan Bank advances $ 1,577 $ 1,425 Total Federal Home Loan Bank advances and other $ 2,482 $ 3,541 (1) Includes short-term adjustable rate federal funds line of credit. (2) Other short-term debt consists of borrowings that settle through the Federal Reserve Bank. (3) Includes the current portion of fixed rate advances of $125 million and $175 million at September 30, 2016 and December 31, 2015 , respectively. We settled $375 million in long-term fixed rate Federal Home Loan Bank advances during the fourth quarter 2015, which resulted in a gain on extinguishment of debt of $3 million , included in other noninterest income. We are required to maintain a minimum amount of qualifying collateral. In the event of default, the Federal Home Loan Bank advance is similar to a secured borrowing, whereby the Federal Home Loan Bank has the right to sell the pledged collateral to settle the fair value of the outstanding advances. At September 30, 2016 , we had the authority and approval from the Federal Home Loan Bank to utilize a line of credit of up to $7.0 billion and we may access that line to the extent that collateral is provided. At September 30, 2016 , we had $2.5 billion of advances outstanding and an additional $2.0 billion of collateralized borrowing capacity available at the Federal Home Loan Bank. The advances can be collateralized by non-delinquent single-family residential first mortgage loans, loans with government guarantees, certain other loans and investment securities. At September 30, 2016 , $1.0 billion of the outstanding advances were adjustable rate based on the three -month LIBOR index. Interest rates on these advances reset every three months and the advances may be prepaid without penalty, with notification at scheduled three month intervals after an initial 12 month lockout period. The following table contains detailed information on our Federal Home Loan Bank advances and other borrowings: Three Months Ended September 30, Nine Months Ended September 30, 2016 2015 2016 2015 (Dollars in millions) Maximum outstanding at any month end $ 3,182 $ 2,127 $ 3,557 $ 2,198 Average outstanding balance 2,649 1,798 2,777 1,610 Average remaining borrowing capacity 1,626 1,738 1,106 1,711 Weighted average interest rate 1.26 % 1.17 % 1.25 % 1.05 % The following outlines our Federal Home Loan Bank advances and other final maturity dates as of September 30, 2016 : September 30, 2016 (Dollars in millions) 2016 $ 1,030 2017 50 2018 125 2019 — Thereafter 1,277 Total $ 2,482 Senior Notes and Trust Preferred Securities The following table presents long-term debt: September 30, 2016 December 31, 2015 (Dollars in millions) Senior Notes Senior notes, matures 2021 $ 246 6.125 % $ — Trust Preferred Securities Floating Three Month LIBOR Plus 3.25%, matures 2032 $ 26 4.11 % $ 26 3.85 % Plus 3.25%, matures 2033 26 3.93 % 26 3.57 % Plus 3.25%, matures 2033 26 3.88 % 26 3.85 % Plus 2.00%, matures 2035 26 2.68 % 26 2.32 % Plus 2.00%, matures 2035 26 2.68 % 26 2.32 % Plus 1.75%, matures 2035 51 2.60 % 51 2.26 % Plus 1.50%, matures 2035 25 2.18 % 25 1.82 % Plus 1.45%, matures 2037 25 2.30 % 25 1.96 % Plus 2.50%, matures 2037 16 3.35 % 16 3.01 % Total Trust Preferred Securities $ 247 $ 247 Total long-term debt $ 493 $ 247 Senior Notes On July 11, 2016, we issued $250 million of senior notes (“2021 Senior Notes”) which mature on July 15, 2021. The proceeds from these notes were used to bring current and redeem our outstanding Series C Preferred Stock. The notes are unsecured and rank equally and ratably with the unsecured senior indebtedness of Flagstar Bancorp, Inc. Prior to June 15, 2021, we may redeem some or all of the 2021 Senior Notes at a redemption price equal to the greater of 100 percent of the aggregate principal amount of the notes to be redeemed or the sum of the present values of the remaining scheduled payments discounted to the redemption date on a semi-annual basis using a discount rate equal to the Treasury Rate plus 0.50 percent, plus, in each case accrued and unpaid interest. Trust Preferred Securities We sponsor nine trust subsidiaries, which issued preferred stock to third party investors. We issued trust preferred securities to those trusts which we have included in long-term debt which are the sole assets of the trusts. The trust preferred securities are callable by us at any time. Interest is payable quarterly; however, we may defer interest payments for up to 20 quarters without default or penalty. In January 2012, we exercised our contractual rights to defer interest payments. On July 14, 2016, we ended the deferral and made a $34 million payment to bring current our previously deferred interest as of that date.

Representation and Warranty Res

Representation and Warranty Reserve	9 Months Ended
	Sep. 30, 2016
Representation and Warranty Reserve Disclosures [Abstract]
Representation and Warranty Reserve	Representation and Warranty Reserve At the time a loan is sold, an estimate of the fair value of the guarantee associated with the mortgage loans is recorded in the representation and warranty reserve in the Consolidated Statements of Financial Condition which reduces the net gain on loan sales in the Consolidated Statements of Operations. Subsequent to the sale, the liability is re-measured on an ongoing basis based on an estimate of probable losses. Changes in the estimate are recorded in the representation and warranty provision (benefit) on the Consolidated Statements of Operations. The following table shows the activity impacting the representation and warranty reserve: Three Months Ended September 30, Nine Months Ended September 30, 2016 2015 2016 2015 (Dollars in millions) Balance, beginning of period $ 36 $ 48 $ 40 $ 53 Provision (benefit) Gain on sale reduction for representation and warranty liability 1 2 4 6 Representation and warranty provision (benefit) (6 ) (6 ) (12 ) (13 ) Total (5 ) (4 ) (8 ) (7 ) Charge-offs, net 1 1 — (1 ) Balance, end of period $ 32 $ 45 $ 32 $ 45 Due to our sustained low level of charge-offs and a lower level of demands received, we have reduced our estimate of probable losses related to our representation and warranty liability as of September 30, 2016 compared to September 30, 2015 .

Warrants

Warrants	9 Months Ended
	Sep. 30, 2016
Warrants and Rights Note Disclosure [Abstract]
Warrants	Warrants May Investor Warrant We granted warrants (the "May Investor Warrants") on January 30, 2009 under anti-dilution provisions applicable to certain investors (the "May Investors") in our May 2008 private placement capital raise. For the nine months ended September 30, 2016 , 32,721 May Investor Warrants were exercised resulting in the issuance of 21,068 shares of Common Stock. The May Investors held warrants to purchase 583,240 shares at an exercise price of $10.00 at September 30, 2016 . The May Investor Warrants do not meet the definition of a contract that is indexed to our own stock under U.S. GAAP. Therefore, the May Investor Warrants are classified as other liabilities on the Consolidated Statements of Financial Condition and are measured at fair value. Warrant liabilities are valued using a Black Scholes model and are classified within Level 2 of the valuation hierarchy. Significant observable inputs include share price, expected volatility, a risk free rate and an expected life. The warrants are accounted for under the equity method. At September 30, 2016 and December 31, 2015 , the liability from May Investors Warrants amounted to $10 million and $8 million , respectively. See Note 17 of the Notes to the Consolidated Financial Statements, herein, for further recurring fair value disclosures. TARP Warrant On January 30, 2009, in conjunction with the sale of 266,657 shares of Series C fixed rate cumulative non-convertible perpetual preferred stock ("Series C Preferred Stock"), we issued a warrant to purchase up to approximately 645,138 shares of Common Stock at an exercise price of $62.00 per share (the "Warrant") for $267 million . The Warrant is exercisable through 2019 and remains outstanding subsequent to the redemption of TARP, which occurred during the third quarter 2016.

Accumulated Other Comprehensive

Accumulated Other Comprehensive Income (Loss)	9 Months Ended
	Sep. 30, 2016
Equity [Abstract]
Accumulated Other Comprehensive Income (Loss)	Accumulated Other Comprehensive Income (Loss) The following table sets forth the components in accumulated other comprehensive income (loss) for each type of investment securities available-for-sale, investment securities held-to-maturity, and cash flow hedges: Held-to-Maturity Securities Available-for-Sale Securities Cash Flow Hedges Accumulated Other Comprehensive Income (Loss) Net of Tax (Dollars in millions) Accumulated other comprehensive income (loss) ("AOCI") Balance at December 31, 2015, net of tax $ 5 $ — $ (3 ) $ 2 Net unrealized loss, net of tax — 17 (44 ) (27 ) Reclassifications out of AOCI (1 ) (4 ) 10 5 Balance at September 30, 2016, net of tax $ 4 $ 13 $ (37 ) $ (20 ) Balance at December 31, 2014, net of tax $ — $ 8 $ — $ 8 Net unrealized gain, net of tax — 9 (5 ) 4 Transfer of net unrealized loss from AFS to HTM 5 (5 ) — — Balance at September 30, 2015, net of tax $ 5 $ 12 $ (5 ) $ 12

Earnings Per Share

Earnings Per Share	9 Months Ended
	Sep. 30, 2016
Earnings Per Share [Abstract]
Earnings Per Share	Earnings Per Share Basic earnings per share, excluding dilution, is computed by dividing earnings available to common stockholders by the weighted average number of shares of common stock outstanding during the period. Diluted earnings per share reflects the potential dilution that could occur if securities or other contracts to issue common stock were exercised and converted into common stock or resulted in the issuance of common stock that could then share in our earnings. The following table sets forth the computation of basic and diluted earnings per share of common stock: Three Months Ended September 30, Nine Months Ended September 30, 2016 2015 2016 2015 (Dollars in millions, except share data) Net income $ 57 $ 47 $ 143 $ 125 Deferred cumulative preferred stock dividends (2 ) (8 ) (18 ) (22 ) Net income applicable to common stockholders $ 55 $ 39 $ 125 $ 103 Weighted average shares Weighted average common shares outstanding 56,580,238 56,436,026 56,556,188 56,419,354 Effect of dilutive securities May Investor warrants 364,791 339,478 339,893 290,840 Stock-based awards 988,777 431,999 831,181 340,595 Weighted average diluted common shares 57,933,806 57,207,503 57,727,262 57,050,789 Earnings per common share Basic earnings per common share $ 0.98 $ 0.70 $ 2.21 $ 1.82 Effect of dilutive securities May Investor warrants — — (0.02 ) (0.01 ) Stock-based awards (0.02 ) (0.01 ) (0.03 ) (0.01 ) Diluted earnings per share $ 0.96 $ 0.69 $ 2.16 $ 1.80 On July 29, 2016, we completed the previously announced $267 million redemption of our Series C Preferred Stock. This transaction reduced stockholders equity by approximately $372 million with a $267 million reduction in Preferred Stock and a $105 million reduction related to the payment of deferred dividends. Under the terms of the Series C Preferred Stock the Company was able to defer payments of dividends. We elected to defer dividend payments beginning with the February 2012 dividend. Although, while being deferred, the impact was not included in quarterly net income from continuing operations, the deferral still impacted net income applicable to common stock for the purpose of calculating earnings per share, as shown above.

Income Taxes

Income Taxes	9 Months Ended
	Sep. 30, 2016
Income Tax Disclosure [Abstract]
Income Taxes	Income Taxes The provision for income taxes in interim periods requires us to make a best estimate of the effective tax rate expected to be applicable for the full year. This estimated effective tax rate is then applied to interim consolidated pre-tax operating income to determine the interim provision for income taxes. Three Months Ended September 30, Nine Months Ended September 30, 2016 2015 2016 2015 (Dollars in millions) Provision for income taxes $ 30 $ 24 $ 73 $ 70 Effective tax provision rate 34.3 % 34.4 % 33.8 % 36.0 % We believe that it is unlikely that the unrecognized tax benefits will change by a material amount during the next 12 months . We recognize interest and penalties related to unrecognized tax benefits in provision for income taxes.

Regulatory Matters

Regulatory Matters	9 Months Ended
	Sep. 30, 2016
Regulatory Capital Requirements [Abstract]
Regulatory Matters	Regulatory Matters Regulatory Capital We, along with the Bank, must meet specific capital guidelines that involve quantitative measures of the Bank’s assets, liabilities, and certain off-balance sheet items as calculated under regulatory accounting practices. The Bank’s capital amounts and classifications are also subject to qualitative judgments by regulators. Failure to meet minimum capital requirements can initiate certain mandatory, and possibly additional discretionary actions by regulators that could have a material effect on the Consolidated Financial Statements. On January 1, 2015, the Basel III rules became effective and include transition provisions through 2018. To be categorized as "well-capitalized," the Company and the Bank must maintain minimum tangible capital, Tier 1 capital, common equity Tier 1, and total capital ratios as set forth in the table below. We, along with the Bank, are considered "well-capitalized" at both September 30, 2016 and December 31, 2015 . There have been no conditions or events that management believes have changed our or the Bank’s category. The following table shows the regulatory capital ratios as of the dates indicated: Bancorp Actual For Capital Adequacy Purposes Well Capitalized Under Prompt Corrective Action Provisions Amount Ratio Amount Ratio Amount Ratio (Dollars in millions) September 30, 2016 Tangible capital (to tangible assets) $ 1,225 8.88 % N/A N/A N/A N/A Tier 1 capital (to adjusted tangible assets) 1,225 8.88 % $ 552 4.00 % $ 690 5.00 % Common equity Tier 1 capital (to RWA) 1,056 12.04 % 395 4.50 % 570 6.50 % Tier 1 capital (to risk-weighted assets) 1,225 13.98 % 526 6.00 % 701 8.00 % Total capital (to risk-weighted assets) 1,338 15.26 % 701 8.00 % 877 10.00 % December 31, 2015 Tangible capital (to tangible assets) $ 1,435 11.51 % N/A N/A N/A N/A Tier 1 capital (to adjusted tangible assets) 1,435 11.51 % $ 499 4.0 % $ 624 5.0 % Common equity Tier 1 capital (to RWA) 1,065 14.09 % 340 4.5 % 491 6.5 % Tier 1 capital (to risk-weighted assets) 1,435 18.98 % 454 6.0 % 605 8.0 % Total capital (to risk-weighted assets) 1,534 20.28 % 605 8.0 % 756 10.0 % N/A - Not applicable Bank Actual For Capital Adequacy Purposes Well Capitalized Under Prompt Corrective Action Provisions Amount Ratio Amount Ratio Amount Ratio (Dollars in millions) September 30, 2016 Tangible capital (to tangible assets) $ 1,459 10.55 % N/A N/A N/A N/A Tier 1 capital (to adjusted tangible assets) 1,459 10.55 % $ 553 4.00 % $ 691 5.00 % Common equity tier 1 capital (to RWA) 1,459 16.59 % 396 4.50 % 572 6.50 % Tier 1 capital (to risk-weighted assets) 1,459 16.59 % 528 6.00 % 704 8.00 % Total capital (to risk-weighted assets) 1,571 17.87 % 704 8.00 % 879 10.00 % December 31, 2015 Tangible capital (to tangible assets) $ 1,472 11.79 % N/A N/A N/A N/A Tier 1 capital (to adjusted tangible assets) 1,472 11.79 % $ 500 4.0 % $ 625 5.0 % Common equity tier 1 capital (to RWA) 1,472 19.42 % 341 4.5 % 493 6.5 % Tier 1 capital (to risk-weighted assets) 1,472 19.42 % 455 6.0 % 607 8.0 % Total capital (to risk-weighted assets) 1,570 20.71 % 607 8.0 % 758 10.0 % N/A - Not applicable

Legal Proceedings, Contingencie

Legal Proceedings, Contingencies and Commitments	9 Months Ended
	Sep. 30, 2016
Commitments and Contingencies Disclosure [Abstract]
Legal Proceedings, Contingencies and Commitments	Legal Proceedings, Contingencies and Commitments Legal Proceedings We and our subsidiaries are subject to various pending or threatened legal proceedings arising out of the normal course of business operations. In addition, the Bank is routinely named in civil actions throughout the country by borrowers and former borrowers relating to the origination, purchase, sale, and servicing of mortgage loans. From time to time, governmental agencies also conduct investigations or examinations of various mortgage-related practices of the Bank. In the course of such investigations or examinations, the Bank cooperates with such agencies and provides information as requested. We assess the liabilities and loss contingencies in connection with such pending or threatened legal and regulatory proceedings on at least a quarterly basis and establish accruals when we believe it is probable that a loss may be incurred and that the amount of such loss can be reasonably estimated. Once established, litigation accruals are adjusted, as appropriate, in light of additional information. Management does not believe that the amount of any reasonably possible losses in excess of any amounts accrued with respect to ongoing proceedings or any other known claims will be material to our financial statements, or that the ultimate outcome of these actions will have a material adverse effect on our financial condition, results of operations or cash flows. DOJ litigation settlement In 2012, the Bank entered into a Settlement Agreement with the United States Department of Justice ("DOJ") which meets the definition of a financial liability (the "DOJ Liability"). In accordance with the Settlement Agreement, we made an initial payment of $15 million and agreed to make future annual payments totaling $118 million . The Settlement Agreement provides that the Bank will make annual payments in increments of up to $25 million towards the $118 million still due upon meeting all conditions which are evaluated quarterly and include: (a) the reversal of the deferred tax asset valuation allowance, which occurred at the end of 2013; (b) the repayment of the Fixed Rate Cumulative Perpetual Preferred Stock, Series C (the "TARP Preferred"), which occurred in the current quarter, (or, in the absence of repayment, adjusting our Bank Tier 1 Capital Ratio for any unextinguished TARP Preferred); (c) our Bank’s Tier 1 Leverage Capital Ratio is 11 percent or more. Additionally, if the Bank and Bancorp become party to a business combination in which the Bank or Bancorp represent less than 33.3 percent of the resulting company’s assets, such annual payments must commence twelve months after the date of that business combination. Within six months of satisfying the conditions specified above, the Bank would make an additional payment, to occur no more frequently than annually, provided that doing so would not violate any material banking regulatory requirement or the OCC does not object in writing. Consistent with our business and regulatory requirements, Flagstar shall seek in good faith to fulfill the conditions, and will not undertake any conduct or fail to take any action the purpose of which is to frustrate or delay our ability to fulfill any of the above conditions. We elected to account for the DOJ Liability under the fair value option. To determine the fair value, we utilize a discounted cash flow model. Key assumptions for the discounted cash flow model include using a discount rate as of September 30, 2016 of 7.2 percent ; probability weightings of multiple cash flow scenarios and possible outcomes which contemplate the above conditions and estimates of forecasted net income, size of the balance sheet, capital levels, dividends and their impact on the timing of cash payments and the assumptions we believe a market participant would make to transfer the liability. The fair value of the DOJ Liability was $60 million and $84 million at September 30, 2016 and December 31, 2015 , respectively. The lower value resulted from a change in the expectation as to the timing of payments to the DOJ as a result of a $200 million dividend from the Bank to the Bancorp and the issuance of $250 million in Senior Notes, both of which occurred in July 2016, to a) bring current the interest payments on our trust preferred securities, b) become current on our deferred interest and dividends related to our TARP Preferred and c) repay our TARP Preferred. To support the on-going debt service and other Bancorp expenses, we also intend to reduce our Bancorp double leverage and debt to equity ratios to be more consistent with such ratios at other mid-sized banks, which would likely require further dividend payments from the Bank to the Bancorp for the foreseeable future. Other litigation accruals At September 30, 2016 and December 31, 2015 , excluding the fair value liability relating to the DOJ litigation settlement, our total accrual for contingent liabilities and settled litigation was $6 million and $2 million , respectively. Commitments A summary of the contractual amount of significant commitments is as follows: September 30, 2016 December 31, 2015 (Dollars in millions) Commitments to extend credit Mortgage loans interest-rate lock commitments $ 6,503 $ 3,792 HELOC commitments 295 150 Other consumer commitments 9 22 Warehouse loan commitments 1,123 871 Standby and commercial letters of credit 24 13 Commercial and industrial commitments 165 151 Other commercial commitments 851 497 Commitments to extend credit are agreements to lend. Since many of these commitments expire without being drawn upon, the total commitment amounts do not necessarily represent future cash flow requirements. Commitments generally have fixed expiration dates or other termination clauses. We evaluate each customer's credit worthiness on a case-by-case basis. The amount of collateral obtained, if deemed necessary by us, upon extension of credit is based on management's credit evaluation of the counterparties. We enter into mortgage interest-rate lock commitments with our customers. These commitments are considered to be derivative instruments and changes in the fair value of these commitments are recorded in the Consolidated Statements of Financial Condition in other assets. Further discussion on derivative instruments is included in Note 8 of the Notes to the Consolidated Financial Statements, herein. We have unfunded commitments under our contractual arrangement with the HELOC borrowers. Commitments to extend, originate or purchase credit are primarily lines of credit to consumers and have specified rates and maturity dates. Many of these commitments also have adverse change clauses, which allow us to cancel the commitment due to deterioration in the borrowers’ creditworthiness. Other consumer commitments are conditional commitments issued to accommodate the financial needs of customers. The commitments are under various terms to lend funds to consumers, which include revolving credit agreements, term loan commitments and short-term borrowing agreements. Warehouse loan commitments are lines of credit provided to mortgage originators to fund loans they originate and then sell. The proceeds of the sale of the loans are used to repay the draw on the line used to fund the loans. Standby and commercial letters of credit are conditional commitments issued to guarantee the performance of a customer to a third party. Standby letters of credit generally are contingent upon the failure of the customer to perform according to the terms of the underlying contract with the third party, while commercial letters of credit are issued specifically to facilitate commerce and typically result in the commitment being drawn on when the underlying transaction is consummated between the customer and the third party. Commercial and industrial and other commercial commitments are conditional commitments issued under various terms to lend funds to business and other entities. These commitments include revolving credit agreements, term loan commitments and short-term borrowing agreements. Many of these loan commitments have fixed expiration dates or other termination clauses and may require payment of a fee. Since many of these commitments are expected to expire without being funded, the total commitment amounts do not necessarily represent future liquidity requirements. These instruments involve, to varying degrees, elements of credit and interest rate risk beyond the amount recognized on the Consolidated Statements of Financial Condition. Our exposure to credit losses in the event of nonperformance by the other party to the financial instrument for commitments to extend credit and standby letters of credit is represented by the contractual amount of those instruments. We utilize the same credit policies in making commitments and conditional obligations as we do for balance sheet instruments. Commitments to extend credit are agreements to lend to a customer as long as there is not a violation of any condition established in the contract. We maintain a reserve for the estimate of probable credit losses inherent in unfunded commitments to extend credit. Unfunded commitments to extend credit include unfunded loans with available balances, new commitments to lend that are not yet funded, and standby and commercial letters of credit. The balance of $3 million and $2 million for September 30, 2016 and December 31, 2015 , respectively, is reflected in other liabilities on the Consolidated Statements of Financial Condition.

Fair Value Measurements

Fair Value Measurements	9 Months Ended
	Sep. 30, 2016
Fair Value Disclosures [Abstract]
Fair Value Measurements	Fair Value Measurements We utilize fair value measurements to record or disclose the fair value on certain assets and liabilities. Fair value is defined as the price that would be received to sell an asset or paid to transfer a liability through an orderly transaction between market participants at the measurement date. The determination of fair values of financial instruments often requires the use of estimates. In cases where quoted market values in an active market are not available, we use present value techniques and other valuation methods to estimate the fair values of our financial instruments. These valuation models rely on market-based parameters when available, such as interest rate yield curves or credit spreads. Unobservable inputs may be based on management's judgment, assumptions and estimates related to credit quality, our future earnings, interest rates and other relevant inputs. These valuation methods require considerable judgment and the resulting estimates of fair value can be significantly affected by the assumptions made and methods used. Refer to Note 24 to the consolidated financial statements of the Annual Report on Form 10-K for the year ended December 31, 2015 for a description of our valuation methodologies and information about the fair value hierarchy. Assets and liabilities measured at fair value on a recurring basis. The following tables present the financial instruments carried at fair value as of September 30, 2016 and December 31, 2015 , by caption on the Consolidated Statement of Financial Condition and by level in the valuation hierarchy. Level 1 Level 2 Level 3 Total Fair Value September 30, 2016 (Dollars in millions) Investment securities available-for-sale Agency - Commercial $ — $ 510 $ — $ 510 Agency - Residential — 573 — 573 Municipal obligations — 32 — 32 Loans held-for-sale Residential first mortgage loans — 3,352 — 3,352 Loans held-for-investment Residential first mortgage loans — 8 — 8 Second mortgage loans — — 41 41 HELOC loans — — 31 31 Mortgage servicing rights — — 302 302 Derivative assets Rate lock commitments — — 63 63 U.S. Treasury, swap and euro dollar futures 1 — — 1 Mortgage backed securities forwards — 2 — 2 Interest rate swaps and swaptions — 53 — 53 Total derivative assets 1 55 63 119 Total assets at fair value $ 1 $ 4,530 $ 437 $ 4,968 Derivative liabilities Interest rate swap on FHLB advances $ — $ (52 ) $ — $ (52 ) Mortgage backed securities forwards — (24 ) — (24 ) Interest rate swaps and swaptions — (17 ) — (17 ) Total derivative liabilities — (93 ) — (93 ) Warrant liabilities — (10 ) — (10 ) DOJ litigation settlement — — (60 ) (60 ) Total liabilities at fair value $ — $ (103 ) $ (60 ) $ (163 ) Level 1 Level 2 Level 3 Total Fair Value December 31, 2015 (Dollars in millions) Investment securities available-for-sale Agency - Commercial $ — $ 766 $ — $ 766 Agency - Residential — 514 — 514 Municipal obligations — 14 — 14 Loans held-for-sale Residential first mortgage loans — 2,541 — 2,541 Loans held-for-investment Residential first mortgage loans — 6 — 6 Second mortgage loans — — 42 42 HELOC loans — — 64 64 Mortgage servicing rights — — 296 296 Derivative assets Rate lock commitments — — 26 26 Mortgage backed securities forwards — 7 — 7 Interest rate swaps and swaptions — 25 — 25 Total derivative assets — 32 26 58 Total assets at fair value $ — $ 3,873 $ 428 $ 4,301 Derivative liabilities U.S. Treasury, swap and euro dollar futures $ (1 ) $ — $ — $ (1 ) Mortgage backed securities forwards — (6 ) — (6 ) Interest rate swap on FHLB advances — (4 ) — (4 ) Interest rate swaps — (7 ) — (7 ) Total derivative liabilities (1 ) (17 ) — (18 ) Warrant liabilities — (8 ) — (8 ) DOJ litigation settlement — — (84 ) (84 ) Total liabilities at fair value $ (1 ) $ (25 ) $ (84 ) $ (110 ) We had no transfers of assets or liabilities recorded at fair value between fair value levels during the nine months ended September 30, 2016 and 2015 . We utilized swaptions, swap and euro dollars futures, forward agency and loan sales and interest rate swaps to manage the risk associated with mortgage servicing rights and rate lock commitments. Gains and losses for individual lines in the tables do not reflect the effect of our risk management activities related to such level 3 instruments. Fair value measurements using significant unobservable inputs The tables below include a roll forward of the Consolidated Statement of Financial Condition amounts for the three and nine months ended September 30, 2016 and 2015 (including the change in fair value) for financial instruments classified by us within level 3 of the valuation hierarchy: Recorded in Earnings Recorded in OCI Three Months Ended September 30, 2016 Balance at Beginning of Period Total Unrealized Gains / (Losses) Total Realized Gains / (Losses) Total Unrealized Gains / (Losses) Purchases / Originations Sales Settlements Transfers In (Out) Balance at End of Period Assets (Dollars in millions) Loans held-for-investment Second mortgage loans $ 38 $ (2 ) $ — $ — $ — $ — $ (3 ) $ 8 $ 41 HELOC loans 44 6 — — — — (11 ) (8 ) 31 Mortgage servicing rights 301 (33 ) — — 51 (17 ) — — 302 Totals $ 383 $ (29 ) $ — $ — $ 51 $ (17 ) $ (14 ) $ — $ 374 Liabilities DOJ litigation settlement $ (84 ) $ 24 $ — $ — $ — $ — $ — $ — $ (60 ) Derivative financial instruments (net) Rate lock commitments $ 82 $ 33 $ — $ — $ 116 $ (150 ) $ (18 ) $ — $ 63 Three Months Ended September 30, 2015 Assets Other investments $ 100 $ — $ — $ — $ — $ — $ — $ — $ 100 Loans held-for-investment Second mortgage loans 48 — — — — — (3 ) — 45 HELOC loans 93 2 — — — — (15 ) — 80 Mortgage servicing rights 317 (24 ) — — 74 (73 ) — — 294 Totals $ 558 $ (22 ) $ — $ — $ 74 $ (73 ) $ (18 ) $ — $ 519 Liabilities Long-term debt $ (36 ) $ — $ — $ — $ — $ — $ 4 $ — $ (32 ) DOJ litigation settlement (84 ) — — — — — — — (84 ) Totals $ (120 ) $ — $ — $ — $ — $ — $ 4 $ — $ (116 ) Derivative financial instruments (net) Rate lock commitments $ 30 $ 53 $ — $ — $ 81 $ (104 ) $ (16 ) $ — $ 44 Recorded in Earnings Recorded in OCI Nine Months Ended September 30, 2016 Balance at Beginning of Period Total Unrealized Gains / (Losses) Total Realized Gains / (Losses) Total Unrealized Gains / (Losses) Purchases / Originations Sales Settlements Transfers In (Out) Balance at End of Period Assets (Dollars in millions) Loans held-for-investment Second mortgage loans $ 42 $ (1 ) $ — $ — $ — $ — $ (8 ) 8 41 HELOC loans 64 3 — — — — (28 ) (8 ) 31 Mortgage servicing rights 296 (126 ) — — 173 (41 ) — — 302 Totals $ 402 $ (124 ) $ — $ — $ 173 $ (41 ) $ (36 ) $ — $ 374 Liabilities DOJ litigation $ (84 ) $ 24 $ — $ — $ — $ — $ — — $ (60 ) Derivative financial instruments (net) Rate lock commitments $ 26 $ 153 $ — $ — $ 303 $ (371 ) $ (48 ) $ — $ 63 Nine Months Ended September 30, 2015 Assets Other investments $ 100 $ — $ — $ — $ — $ — $ — $ — $ 100 Investment securities available-for-sale Municipal obligation 2 — — — — — (2 ) — — Loans held-for-investment Second mortgage loans 53 2 1 — — — (11 ) — 45 HELOC loans 132 (4 ) — — — — (48 ) — 80 Mortgage servicing rights 258 (40 ) — — 220 (144 ) — — 294 Totals $ 545 $ (42 ) $ 1 $ — $ 220 $ (144 ) $ (61 ) $ — $ 519 Liabilities Long-term debt $ (84 ) $ — $ (3 ) $ — $ — $ 24 $ 31 $ — $ (32 ) DOJ litigation (82 ) (2 ) — — — — — — (84 ) Totals $ (166 ) $ (2 ) $ (3 ) $ — $ — $ 24 $ 31 $ — $ (116 ) Derivative financial instruments (net) Rate lock commitments $ 31 $ 60 $ — $ — $ 272 $ (276 ) $ (43 ) $ — $ 44 The following tables present the quantitative information about recurring level 3 fair value financial instruments and the fair value measurements as of September 30, 2016 and December 31, 2015 : Fair Value Valuation Technique Unobservable Input Range (Weighted Average) September 30, 2016 (Dollars in millions) Assets Second mortgage loans $ 41 Discounted cash flows Discount rate 8.0% - 12.0% (10.0%) 10.9% - 16.4% (13.6%) HELOC loans $ 31 Discounted cash flows Discount rate 6.6% - 9.9% (8.2%) Mortgage servicing rights $ 302 Discounted cash flows Option adjusted spread 7.4% - 11.0% (9.2%) Liabilities DOJ litigation settlement $ (60 ) Discounted cash flows Discount rate 5.7% - 8.5% (7.1%) Derivative financial instruments Rate lock commitments $ 63 Consensus pricing Origination pull-through rate 66.6% - 99.9% (83.3%) Fair Value Valuation Technique Unobservable Input Range (Weighted Average) December 31, 2015 (Dollars in millions) Assets Second mortgage loans $ 42 Discounted cash flows Discount rate 7.2% - 10.8% (9.0%)13.5% - 20.2% (16.9%) HELOC loans $ 64 Discounted cash flows Discount rate 6.8% - 10.1% (8.4%) Mortgage servicing rights $ 296 Discounted cash flows Option adjusted spread 6.6% - 9.9% (8.2%) Liabilities DOJ litigation settlement $ (84 ) Discounted cash flows Discount rate 4.9% - 9.5% (7.2%) Derivative financial instruments Rate lock commitments $ 26 Consensus pricing Origination pull-through rate 67.6% - 101.5% (84.6%) Recurring Significant Unobservable Inputs The significant unobservable inputs used in the fair value measurement of the second mortgage loans are discount rates, constant prepayment rates, and default rates. The constant prepayment and default rates are based on a 12 month historical average. Significant increases (decreases) in the discount rate in isolation would result in a significantly lower (higher) fair value measurement. Increases (decreases) in prepay rates in isolation result in a higher (lower) fair value and increases (decreases) in default rates in isolation result in a lower (higher) fair value. The HELOC loans are valued utilizing a loan-level discounted cash flow model which projects expected cash flows given three potential outcomes: (1) paid-in-full at scheduled maturity, (2) default at scheduled maturity (foreclosure), and (3) modification at scheduled maturity into an amortizing HELOC. Loans are placed into the potential outcome buckets based on their underlying current delinquency, FICO scores and property CLTV all of which are unobservable inputs. Estimated cash flows are then discounted back using an unobservable discount rate. Loans within the loan portfolios contain FICO scores with a minimum of 447 , maximum of 816 , and a weighted average of 665 . For the loans, increases (decreases) in the discount rate, in isolation, would lower (higher) the fair value measurement. The significant unobservable inputs used in the fair value measurement of the MSRs are option adjusted spreads, prepayment rates, and cost to service. Significant increases (decreases) in all three assumptions in isolation would result in a significantly lower (higher) fair value measurement. Additionally, the key economic assumptions used in determining the fair value of MSRs capitalized during the three and nine months ended September 30, 2016 and 2015 periods were as follows: Three Months Ended September 30, Nine Months Ended September 30, 2016 2015 2016 2015 Weighted average life (in years) 6.7 7.9 6.9 7.9 Weighted average constant prepayment rate 13.4 % 11.0 % 13.5 % 11.2 % Weighted average option adjusted spread 11.8 % 8.9 % 9.5 % 8.7 % The key economic assumptions reflected in the overall fair value of the entire portfolio of MSRs were as follows: September 30, December 31, Weighted average life (in years) 6.0 7.3 Weighted average constant prepayment rate 15.7 % 12.6 % Weighted average option adjusted spread 9.2 % 8.2 % The significant unobservable input used in the fair value measurement of the DOJ litigation settlement is the discount rate. Significant increases (decreases) in the discount rate in isolation could result in a marginally lower (higher) fair value measurement. For further information on the fair value inputs related to the DOJ litigation, see Note 16 of the Notes to the Consolidated Financial Statements, herein. The significant unobservable input used in the fair value measurement of the rate lock commitments is the pull through rate. The pull through rate is a statistical analysis of our actual rate lock fallout history to determine the sensitivity of the residential mortgage loan pipeline compared to interest rate changes and other deterministic values. New market prices are applied based on updated loan characteristics and new fallout ratios (i.e., the inverse of the pull through rate) are applied accordingly. Significant increases (decreases) in the pull through rate in isolation would result in a significantly higher (lower) fair value measurement. Assets and Liabilities Measured at Fair Value on a Nonrecurring Basis We also have assets that under certain conditions are subject to measurement at fair value on a nonrecurring basis. These assets are measured at the lower of cost or market and had a fair value below cost at the end of the period as summarized below: Total (1) Level 2 Level 3 (Dollars in millions) September 30, 2016 Loans held-for-sale (2) $ 10 $ 10 $ — Impaired loans held-for-investment (3) Residential first mortgage loans 22 — 22 Commercial and industrial loans 1 — 1 Repossessed assets (4) 15 — 15 Totals $ 48 $ 10 $ 38 December 31, 2015 Loans held-for-sale (2) $ 8 $ 8 $ — Impaired loans held-for-investment (3) Residential first mortgage loans 40 — 40 Commercial real estate loans 2 — 2 Repossessed assets (4) 17 — 17 Totals $ 67 $ 8 $ 59 (1) The fair values are obtained at various dates during the nine months ended September 30, 2016 and the year ended December 31, 2015 , respectively. (2) We recorded less than $1 million in fair value losses on loans held-for-sale for which we did not elect the fair value option (included in interest income on the Consolidated Statements of Operations) during both the three and nine months ended September 30, 2016 , respectively, compared to less than $1 million in fair value losses on loans held-for-sale during both the three and nine months ended September 30, 2015 , respectively. (3) We recorded $11 million and $31 million in fair value losses on impaired loans (included in provision (benefit) for loan losses on Consolidated Statements of Operations) during the three and nine months ended September 30, 2016 , respectively, compared to $20 million and $76 million in fair value losses on impaired loans during the three and nine months ended September 30, 2015 , respectively. (4) We recorded zero and $2 million in losses related to write downs of repossessed assets based on the estimated fair value of the specific assets during the three and nine months ended September 30, 2016 , respectively, and recognized net gain of $1 million and $2 million on sales of repossessed assets (both write downs and net gains/losses are included in assets resolution expense on the Consolidated Statements of Operations) during the three and nine months ended September 30, 2016 . We recorded $1 million and $2 million in losses related to write downs of repossessed assets based on the estimated fair value of the specific assets during the three and nine months ended September 30, 2015 , respectively, and recognized a net gain of $1 million and $2 million on sales of repossessed assets during the three and nine months ended September 30, 2015 , respectively. The following tables present the quantitative information about nonrecurring level 3 fair value financial instruments and the fair value measurements as of September 30, 2016 and December 31, 2015 : Fair Value Valuation Technique Unobservable Input Range (Weighted Average) September 30, 2016 (Dollars in millions) Impaired loans held-for-investment Residential first mortgage loans $ 22 Fair value of collateral Loss severity discount 23% - 28% (25.6%) Commercial and industrial loans $ 1 Fair value of collateral Loss severity discount 50% - 55% (53.4%) Repossessed assets $ 15 Fair value of collateral Loss severity discount 35% - 98% (61.7%) Fair Value Valuation Technique Unobservable Input Range (Weighted Average) December 31, 2015 (Dollars in millions) Impaired loans held-for-investment Residential first mortgage loans $ 40 Fair value of collateral Loss severity discount 35% - 45% (35.2%) Commercial real estate loans $ 2 Fair value of collateral Loss severity discount 45% - 55% (50.1%) Repossessed assets $ 17 Fair value of collateral Loss severity discount 16% - 100% (48.7%) Nonrecurring Significant Unobservable Inputs The significant unobservable inputs used in the fair value measurement of the impaired loans and repossessed assets are appraisals or other third-party price evaluations which incorporate measures such as recent sales prices for comparable properties. Fair Value of Financial Instruments The following table presents the carrying amount and estimated fair value of financial instruments that are carried either at fair value, cost, or amortized cost: September 30, 2016 Estimated Fair Value Carrying Value Total Level 1 Level 2 Level 3 (Dollars in millions) Assets Cash and cash equivalents $ 174 $ 174 $ 174 $ — $ — Investment securities available-for-sale 1,115 1,115 — 1,115 — Investment securities held-to-maturity 1,156 1,177 — 1,177 — Loans held-for-sale 3,393 3,394 — 3,394 — Loans with government guarantees 404 391 — 391 — Loans held-for-investment, net 6,147 6,134 — 8 6,126 Repossessed assets 15 15 — — 15 Federal Home Loan Bank stock 172 172 — 172 — Mortgage servicing rights 302 302 — — 302 Bank owned life insurance 269 269 — 269 — Other assets, foreclosure claims 152 152 — 152 — Derivative financial instruments, assets 119 119 1 55 63 Liabilities Retail deposits Demand deposits and savings accounts $ (5,204 ) $ (4,961 ) $ — $ (4,961 ) $ — Certificates of deposit (1,083 ) (1,095 ) — (1,095 ) — Government deposits (1,176 ) (1,158 ) — (1,158 ) — Company controlled deposits (1,908 ) (1,839 ) — (1,839 ) — Federal Home Loan Bank advances (2,482 ) (2,450 ) — (2,450 ) — Other long-term debt (493 ) (257 ) — (257 ) — Warrant liabilities (10 ) (10 ) — (10 ) — DOJ litigation settlement (60 ) (60 ) — — (60 ) Derivative financial instruments, liabilities (93 ) (93 ) — (93 ) — December 31, 2015 Estimated Fair Value Carrying Value Total Level 1 Level 2 Level 3 (Dollars in millions) Assets Cash and cash equivalents $ 208 $ 208 $ 208 $ — $ — Investment securities available-for-sale 1,294 1,294 — 1,294 — Investment securities held-to-maturity 1,268 1,262 — 1,262 — Loans held-for-sale 2,576 2,578 — 2,578 — Loans with government guarantees 485 469 — 469 — Loans held-for-investment, net 6,165 6,121 — 6 6,115 Repossessed assets 17 17 — — 17 Federal Home Loan Bank stock 170 170 — 170 — Mortgage servicing rights 296 296 — — 296 Bank owned life insurance 178 178 — 178 — Other assets, foreclosure claims 210 210 — 210 — Derivative financial instruments, assets 58 58 7 25 26 Liabilities Retail deposits Demand deposits and savings accounts $ (5,008 ) $ (4,744 ) $ — $ (4,744 ) $ — Certificates of deposit (826 ) (833 ) — (833 ) — Government deposits (1,062 ) (1,045 ) — (1,045 ) — Company controlled deposits (1,039 ) (947 ) — (947 ) — Federal Home Loan Bank advances (3,541 ) (3,543 ) — (3,543 ) — Long-term debt (247 ) (89 ) — (89 ) — Warrant liabilities (8 ) (8 ) — (8 ) — DOJ litigation settlement (84 ) (84 ) — — (84 ) Derivative financial instruments, liabilities (18 ) (18 ) (1 ) (17 ) — The methods and assumptions used by us in estimating fair value of financial instruments which are required for disclosure only, are as follows: Cash and cash equivalents. Due to their short-term nature, the carrying amount of cash and cash equivalents approximates fair value. Investment securities held-to-maturity. Fair values are generated using market inputs, where possible, including quoted prices (the closing price in an exchange market), bid prices (the price at which a buyer stands ready to purchase), and other market information. Loans with government guarantees. The fair value is estimated by using internally developed discounted cash flow models using market interest rate inputs as well as management’s best estimate of spreads for similar collateral. Loans held-for-investment. The fair value is estimated using internally developed discounted cash flow models using market interest rate inputs as well as management’s best estimate of spreads for similar collateral. Federal Home Loan Bank stock. No secondary market exists for Federal Home Loan Bank stock. The stock is bought and sold at par by the Federal Home Loan Bank. Management believes that the recorded value equals the fair value. Bank owned life insurance. The fair value of bank owned life insurance policies is based on the cash surrender values of the policies as reported by the insurance companies. Other assets, foreclosure claims. The fair value of foreclosure claims with government guarantees approximates the carrying amount. Deposit accounts. The fair value of deposits with no defined maturity is estimated based on a discounted cash flow model that incorporates current market rates for similar products and expected attrition. The fair value of fixed-maturity certificates of deposit is estimated using the rates currently offered for certificates of deposit with similar remaining maturities. Federal Home Loan Bank advances. Rates currently available for debt with similar terms and remaining maturities are used to estimate the fair value of the existing debt. Long-term debt. The fair value of the long-term debt is estimated based on a discounted cash flow model that incorporates current borrowing rates for similar types of borrowing arrangements. Fair Value Option We elected the fair value option for certain items as discussed throughout the Notes to the Consolidated Financial Statements to mitigate a divergence between accounting losses and economic exposure. Interest income on loans held-for-sale is accrued on the principal outstanding primarily using the "simple-interest" method. The following table reflects the change in fair value included in earnings of financial instruments for which the fair value option has been elected: Three Months Ended September 30, Nine Months Ended September 30, 2016 2015 2016 2015 Assets (Dollars in millions) Loans held-for-sale Net gain on loan sales $ 151 $ 134 $ 440 $ 276 Loans held-for-investment Interest income on loans $ — $ 1 $ (2 ) $ 4 Other noninterest income — (1 ) — (35 ) Liabilities Long-term debt Other noninterest income $ — $ 3 $ — $ 28 Litigation settlement Other noninterest income $ 24 $ — $ 24 $ 2 Other noninterest (expense) $ — $ — $ — $ (2 ) The following table reflects the difference between the aggregate fair value and aggregate remaining contractual principal balance outstanding as of September 30, 2016 and December 31, 2015 for assets and liabilities for which the fair value option has been elected: September 30, 2016 December 31, 2015 (Dollars in millions) Unpaid Principal Balance Fair Value Fair Value Over / (Under) Unpaid Principal Balance Unpaid Principal Balance Fair Value Fair Value Over / (Under) Unpaid Principal Balance Assets Nonaccrual loans Loans held-for-sale $ 2 $ 2 $ — $ 1 $ — $ (1 ) Loans held-for-investment 18 12 (6 ) 21 10 (11 ) Total nonaccrual loans $ 20 $ 14 $ (6 ) $ 22 $ 10 $ (12 ) Other performing loans Loans held-for-sale $ 3,217 $ 3,350 $ 133 $ 2,451 $ 2,541 $ 90 Loans held-for-investment 81 68 (13 ) 112 101 (11 ) Total other performing loans $ 3,298 $ 3,418 $ 120 $ 2,563 $ 2,642 $ 79 Total loans Loans held-for-sale $ 3,219 $ 3,352 $ 133 $ 2,452 $ 2,541 $ 89 Loans held-for-investment 99 80 (19 ) 133 111 (22 ) Total loans $ 3,318 $ 3,432 $ 114 $ 2,585 $ 2,652 $ 67 Liabilities Litigation settlement (1) $ (118 ) $ (60 ) $ 58 $ (118 ) $ (84 ) $ 34 (1) We are obligated to pay $118 million in installment payments upon meeting certain performance conditions.

Segment Information

Segment Information	9 Months Ended
	Sep. 30, 2016
Segment Reporting [Abstract]
Segment Information	Segment Information Our operations are conducted through four operating segments: Mortgage Originations, Mortgage Servicing, Community Banking and Other, which includes the remaining reported activities. Operating segments are defined as components of an enterprise that engage in business activity from which revenues are earned and expenses incurred for which discrete financial information is available that is evaluated regularly by executive management in deciding how to allocate resources and in assessing performance. The operating segments have been determined based on the products and services offered and reflect the manner in which financial information is currently evaluated by management. Each segment operates under the same banking charter, but is reported on a segmented basis for this report. Each of the operating segments is complementary to each other and because of the interrelationships of the segments, the information presented is not indicative of how the segments would perform if they operated as independent entities. Effective January 1, 2016, we reorganized our reportable segments to align with our new management reporting structure and to align with our long-term strategy. Prior period segment financial information has been recast to conform to the current presentation. Prior to the reorganization, representation and warranty reserves were reported in the Mortgage Servicing segment and the MSR asset and associated costs were reported in the Other segment. As a result of this change, representation and warranty reserves, as well as the MSR asset and associated costs are now reported in the Mortgage Originations segment. The Mortgage Originations segment originates, acquires and sells one-to-four family residential mortgage loans. The origination and acquisition of mortgage loans comprises the majority of the lending activity. Mortgage loans are originated through home loan centers, national call centers, the Internet and unaffiliated banks and mortgage banking and brokerage companies, where the net interest income and the gains from sales associated with these loans are recognized in the Mortgage Originations segment. The Mortgage Servicing segment services and sub-services mortgage loans, on a fee basis, for others. Also, the Mortgage Servicing segment services, on a fee basis, residential mortgages held-for-investment by the Community Banking segment and mortgage servicing rights held by the Mortgage Originations segment. The Mortgage Servicing segment may also collect ancillary fees, such as late fees, and earns income through the use of noninterest-bearing escrows. The Community Banking segment originates loans, provides deposits and fee based services to consumer, business, and mortgage lending customers through its Branch Banking, Business Banking and Commercial Banking, Government Banking, Warehouse Lending and Held-for-Investment Portfolio groups. Products offered through these teams include checking accounts, savings accounts, money market accounts, certificates of deposit, consumer loans, commercial loans, home builder finance loans and warehouse lines of credit. Other financial services available to consumer and commercial customers include lines of credit, revolving credit, customized treasury management solutions, equipment leasing, inventory, and accounts receivable lending and capital markets services such as interest rate risk protection products. The Other segment includes the treasury functions, funding revenue associated with stockholders' equity, the impact of interest rate risk management, the impact of balance sheet funding activities, and miscellaneous other expenses of a corporate nature. Treasury functions include administering the investment securities portfolios, balance sheet funding, and interest rate risk management. In addition, the Other segment includes revenue and expenses related to treasury and corporate assets and liabilities and equity not directly assigned or allocated to the Mortgage Originations, Mortgage Servicing or Community Banking operating segments. Revenues are comprised of net interest income (before the provision (benefit) for loan losses) and noninterest income. Noninterest expenses are fully allocated to each operating segment. Allocation methodologies may be subject to periodic adjustment as the internal management accounting system is revised and the business or product lines within the segments change. The following tables present financial information by business segment for the periods indicated: Three Months Ended September 30, 2016 Mortgage Originations Mortgage Servicing Community Banking Other Total Summary of Operations (Dollars in millions) Net interest income $ 21 $ 10 $ 54 $ (5 ) $ 80 Net gain on loan sales 95 — (1 ) — 94 Representation and warranty benefit 6 — — — 6 Other noninterest income 4 13 8 31 56 Total net interest income and noninterest income 126 23 61 26 236 (Provision) benefit for loan losses — — (7 ) — (7 ) Asset resolution — (2 ) — — (2 ) Depreciation and amortization expense (2 ) — (1 ) (5 ) (8 ) Other noninterest expense (64 ) (25 ) (43 ) — (132 ) Total noninterest expense (66 ) (27 ) (44 ) (5 ) (142 ) Income (loss) before income taxes 60 (4 ) 10 21 87 Provision for income taxes — — — 30 30 Net income (loss) $ 60 $ (4 ) $ 10 $ (9 ) $ 57 Intersegment revenue $ (1 ) $ 5 $ — $ (4 ) $ — Average balances Loans held-for-sale $ 3,400 $ — $ 16 $ — $ 3,416 Loans with government guarantees — 432 — — 432 Loans held-for-investment 5 — 5,843 — 5,848 Total assets 4,238 623 5,904 3,383 14,148 Deposits — 1,853 7,273 — 9,126 Three Months Ended September 30, 2015 Mortgage Originations Mortgage Servicing Community Banking Other Total Summary of Operations (Dollars in millions) Net interest income $ 18 $ 3 $ 45 $ 7 $ 73 Net gain on loan sales 72 — (4 ) — 68 Representation and warranty benefit 6 — — — 6 Other noninterest income 26 15 11 2 54 Total net interest income and noninterest income 122 18 52 9 201 (Provision) benefit for loan losses — — 1 — 1 Depreciation and amortization expense (1 ) (1 ) (1 ) (3 ) (6 ) Other noninterest expense (56 ) (27 ) (39 ) (3 ) (125 ) Total noninterest expense (57 ) (28 ) (40 ) (6 ) (131 ) Income (loss) before income taxes 65 (10 ) 13 3 71 Provision for income taxes — — — 24 24 Net income (loss) $ 65 $ (10 ) $ 13 $ (21 ) $ 47 Intersegment revenue $ 3 $ 5 $ (4 ) $ (4 ) $ — Average balances Loans held-for-sale $ 2,179 $ — $ 21 $ — $ 2,200 Loans with government guarantees — 547 — — 547 Loans held-for-investment 4 — 5,348 60 5,412 Total assets 2,709 860 5,336 3,400 12,305 Deposits — 1,487 6,773 — 8,260 Nine Months Ended September 30, 2016 Mortgage Origination Mortgage Servicing Community Banking Other Total Summary of Operations (Dollars in millions) Net interest income $ 61 $ 23 $ 150 $ 2 $ 236 Net gain (loss) on loan sales 251 — 8 — 259 Representation and warranty benefit 12 — — — 12 Other noninterest income (loss) 17 39 21 41 118 Total net interest income and noninterest income 341 62 179 43 625 (Provision) benefit for loan losses — — 9 — 9 Asset resolution — (6 ) — — (6 ) Depreciation and amortization expense (4 ) (2 ) (5 ) (12 ) (23 ) Other noninterest expense (182 ) (70 ) (131 ) (6 ) (389 ) Total noninterest expense (186 ) (78 ) (136 ) (18 ) (418 ) Income (loss) before income taxes 155 (16 ) 52 25 216 Provision for income taxes — — — 73 73 Net income (loss) $ 155 $ (16 ) $ 52 $ (48 ) $ 143 Intersegment revenue $ 1 $ 16 $ (1 ) $ (16 ) $ — Average balances Loans held-for-sale $ 2,988 $ — $ 83 $ — $ 3,071 Loans with government guarantees — 450 — — 450 Loans held-for-investment 6 — 5,689 — 5,695 Total assets 3,688 676 5,798 3,549 13,711 Deposits — 1,523 7,080 — 8,603 Nine Months Ended September 30, 2015 Mortgage Origination Mortgage Servicing Community Banking Other Total Summary of Operations (Dollars in millions) Net interest income $ 52 $ 10 $ 126 $ 23 $ 211 Net gain (loss) on loan sales 255 — (13 ) — 242 Representation and warranty benefit 13 — — — 13 Other noninterest income 60 42 19 (3 ) 118 Total net interest income and noninterest income 380 52 132 20 584 (Provision) benefit for loan losses — — 18 — 18 Asset resolution — (12 ) (1 ) — (13 ) Depreciation and amortization expense (2 ) (2 ) (4 ) (9 ) (17 ) Other noninterest expense (174 ) (80 ) (116 ) (7 ) (377 ) Total noninterest expense (176 ) (94 ) (121 ) (16 ) (407 ) Income (loss) before income taxes 204 (42 ) 29 4 195 Provision for income taxes — — — 70 70 Net income (loss) $ 204 $ (42 ) $ 29 $ (66 ) $ 125 Intersegment revenue $ 9 $ 13 $ (13 ) $ (9 ) $ — Average balances Loans held-for-sale $ 2,052 $ — $ 36 $ — $ 2,088 Loans with government guarantees — 679 — — 679 Loans held-for-investment 3 — 4,786 96 4,885 Total assets 2,555 1,004 4,753 3,351 11,663 Deposits — 1,189 6,602 — 7,791

Recently Issued Accounting Pron

Recently Issued Accounting Pronouncements	9 Months Ended
	Sep. 30, 2016
Accounting Policies [Abstract]
Recently Issued Accounting Pronouncements	Recently Issued Accounting Pronouncements Statement of Cash Flows - In August 2016, the FASB issued ASU 2016-15, Statement of Cash Flows (Topic 230), Classification of Certain Cash Receipts and Cash Payments. This amendment addresses eight issues which current GAAP does not include specific guidance or is unclear, pertaining to: Debt Prepayment or Debt Extinguishment Costs, Settlement of Zero-Coupon Debt Instruments, Contingent Consideration Payments Made after a Business Combination, Proceeds from the Settlement of Insurance Claims, Proceeds from the Settlement of Corporate-Owned or Bank-Owned Life Insurance Policies, Distributions Received from Equity Method Investees, Beneficial Interest in Securitization Transactions, and Separately Identifiable Cash Flows and Application of the Predominance Principle. ASU 2016-16 is effective for fiscal years beginning after December 15, 2018 and early adoption is permitted. Management is currently evaluating this guidance and does not expect this guidance to have a material impact on our Consolidated Financial Statements. Credit Losses - In June 2016, the FASB issued ASU 2016-13, Financial Instruments - Credit Losses (Topic 326). The ASU alters the current method for recognizing credit losses within the reserve account. Currently, an institution uses the incurred loss method, the new guidance will require the allowance to be recorded on day one for the contractual term of the financial asset. ASU 2016-13 is effective for fiscal years beginning after December 15, 2019. Management is currently evaluating this guidance and the impact it will have on our Consolidated Financial Statements. Stock Compensation - In March 2016, the FASB issued ASU 2016-09, Compensation - Stock Compensation (Topic 718): Improvements to Employee Share-Based Payment Accounting. The amendments in ASU 2016-09 affect all entities that issue share-based payment awards to their employees. The areas for simplification in ASU 2016-09 involve several aspects of the accounting for share-based payment transactions, including the income tax consequences, classification of awards as either equity or liabilities, and classification on the statement of cash flows. ASU 2016-09 is effective retrospectively for fiscal years beginning after December 15, 2016 and early adoption is permitted. Management is currently evaluating this guidance and does not expect this guidance to have a material impact on our Consolidated Financial Statements. Derivatives and Hedging - In March 2016, the FASB issued ASU 2016-06, Derivatives and Hedging (Topic 815) - Contingent Put and Call Options in Debt Instruments. The amendments in ASU 2016-06 clarify the requirements for assessing whether contingent call (put) options that can accelerate the payment of principal on debt instruments are clearly and closely related to their debt hosts. An entity performing the assessment under the amendments in ASU 2016-06 is required to assess the embedded call (put) options solely in accordance with the four-step decision sequence. ASU 2016-06 is effective retrospectively for fiscal years beginning after December 15, 2016 and early adoption is permitted. This guidance is not expected to have a material impact upon adoption on our Consolidated Financial Statements, but disclosures to the Notes thereto will be updated per the requirements. Leases - In February 2016, the FASB issued ASU 2016-02, Leases (Topic 842): Section A - Leases: Amendments to the FASB Accounting Standards Codification, Section B - Conforming Amendments Related to Leases: Amendment to the FASB Accounting Standards Codification, Section C - Background Information and Basis For Conclusions. Lessees will need to recognize almost all leases on their balance sheet as a right-of-use asset and a lease liability. For income statement purposes, the FASB retained a dual model, requiring leases to be classified as either operating or finance. Classification will be based on criteria that are largely similar to those applied in current lease accounting. ASU 2016-02 is effective retrospectively for fiscal years beginning after December 15, 2019 and early adoption is permitted. The guidance in ASU 2016-02 supersedes Topic 840, Leases. Management is currently evaluating this guidance and does not expect this guidance to have a material impact on our Consolidated Financial Statements. Financial Instruments - In January 2016, the FASB issued ASU 2016-01, Financial Instruments - Overall (Subtopic 825-10): Recognition and Measurement of Financial Assets and Financial Liabilities. The new standard significantly revises an entity’s accounting related to the classification and measurement of investments in equity securities and the presentation of certain fair value changes for financial liabilities measured at fair value. It also amends certain disclosure requirements associated with the fair value of financial instruments. ASU 2016-01 is effective retrospectively for fiscal years beginning after December 15, 2017 and early adoption is permitted. Management is currently evaluating this guidance and does not expect this guidance to have a material impact on our Consolidated Financial Statements, if any. Revenue from Contracts with Customers - In May 2014, the Financial Accounting Standards Board ("FASB") issued Accounting Standards Update ("ASU") No. 2014-09, "Revenue from Contracts with Customers (Topic 606)." Under the amended guidance, an entity should recognize revenue to depict the transfer of promised goods or services to customers in an amount that reflects the consideration to which the entity expects to be entitled in exchange for those goods or services. The FASB has voted to approve a year deferral of the effective date from January 1, 2017 to January 1, 2018, while allowing for early adoption. In April 2016, the FASB clarified the following two aspects: identifying performance obligations and the licensing implementation guidance, while retaining the related principles for those areas. In May 2016, the FASB issued ASU 2016-12 Revenue from Contracts with Customers (Topic 606): Narrow-Scope Improvements and Practical Expedients, to provide a limited number of changes to its revenue recognition standard. The amendments clarify the assessment of the likelihood that revenue will be collected from a contract, the guidance for presenting sales taxes and similar taxes, and the timing for measuring customer payments that are not in cash. The amendment also says a contract should be considered complete if all, or substantially all, of its revenue has been collected prior to making the transition to the new standard. In addition, the update clarifies the disclosure requirements for businesses and other organizations that make the transition to the new standard by adjusting amounts from prior reporting periods. The effects have to be disclosed for prior periods that were adjusted. Management is currently evaluating this guidance and does not expect this guidance to have a material impact on our Consolidated Financial Statements; however, changes to disclosures in the Notes thereto will be required.

Recently Issued Accounting Pr28

Recently Issued Accounting Pronouncements (Policies)	9 Months Ended
	Sep. 30, 2016
Accounting Policies [Abstract]
Credit Quality	Credit Quality We utilize an internal risk rating system in accordance with the Rating Credit Risk booklet of the Comptroller's Handbook, April 2011 and the Uniform Retail Credit classification and Account Management Policy issued June 20, 2000 by the Federal Financial Institution Examination Council ("FFIEC") which is applied to all consumer and commercial loans. Descriptions of our internal risk ratings as they relate to credit quality follow the ratings used by the U.S. bank regulatory agencies as listed below. Pass. Pass assets are not impaired nor do they have any known deficiencies that could impact the quality of the asset. Watch. Watch assets are defined as pass rated assets that exhibit elevated risk characteristics or other factors that deserve management’s close attention and increased monitoring. However, the asset does not exhibit a potential or well-defined weakness that would warrant a downgrade to criticized or adverse classification. Special mention. Assets identified as special mention possess credit deficiencies or potential weaknesses deserving management's close attention. Special mention assets have a potential weakness or pose an unwarranted financial risk that, if not corrected, could weaken the assets and increase risk in the future. Special mention assets are criticized, but do not expose an institution to sufficient risk to warrant adverse classification. Substandard . Assets identified as substandard are inadequately protected by the current net worth and paying capacity of the obligor or of the collateral pledged, if any. Assets so classified must have a well-defined weakness or weaknesses that jeopardize the liquidation of the debt. They are characterized by the distinct possibility that we will sustain some loss if the deficiencies are not corrected. For HELOC loans and other consumer loans, we evaluate credit quality based on the aging and status of payment activity and any other known credit characteristics that call into question full repayment of the asset. Nonperforming loans are classified as either substandard, doubtful or loss. Doubtful . An asset classified as doubtful has all the weaknesses inherent in one classified substandard, with the added characteristic that the weaknesses make collection or liquidation in full, on the basis of currently existing facts, conditions and values, highly questionable and improbable. A doubtful asset has a high probability of total or substantial loss, but because of specific pending events that may strengthen the asset, its classification as loss is deferred. Doubtful borrowers are usually in default, lack adequate liquidity or capital, and lack the resources necessary to remain an operating entity. Pending events can include mergers, acquisitions, liquidations, capital injections, the perfection of liens on additional collateral, the valuation of collateral, and refinancing. Generally, pending events should be resolved within a relatively short period and the ratings will be adjusted based on the new information. Because of high probability of loss, non-accrual accounting treatment is required for doubtful assets. Loss. An asset classified as loss is considered uncollectible and of such little value that the continuance as a bankable asset is not warranted. This classification does not mean that an asset has absolutely no recovery or salvage value, but, rather that it is not practical or desirable to defer writing off this basically worthless asset even though partial recovery may be affected in the future.
Derivative Financial Instruments	Derivative Financial Instruments Derivative financial instruments are recorded at fair value in other assets and other liabilities on the Consolidated Statements of Financial Condition after taking into account the effects of legally enforceable bilateral collateral and master netting agreements. We are exposed to non-performance risk by the counterparties to our various derivative financial instruments. We believe that the non-performance risk inherent in all our derivative contracts is minimal based on credit standards and the collateral provisions of the derivative agreements. A majority of our derivatives are centrally cleared through a Central Counterparty Clearing House or consist of residential mortgage interest rate lock commitments further limiting our exposure to non-performance risk. Derivatives not designated as hedging instruments: We maintain a derivative portfolio of interest rate swaps, futures and forward commitments used to manage exposure to changes in interest rates, MSR asset values and to meet the needs of customers. We also enter into interest rate lock commitments, which are commitments to originate mortgage loans whereby the interest rate on the loan is determined prior to funding and the customers have locked into that interest rate. Market risk on interest rate lock commitments and mortgage loans held-for-sale is managed using corresponding forward sale commitments. Changes in fair value of derivatives not designated as hedging instruments are recognized in the Consolidated Statements of Income. Derivatives designated as hedging instruments: We have designated certain interest rate swaps as cash flow hedges of certain interest rate payments of our variable-rate Federal Home Loan Bank advances. Changes in the fair value of derivatives designated as cash flow hedges are recorded in other comprehensive income (loss) on the Consolidated Statement of Financial Condition and reclassified into interest expense in the same period in which the hedge transaction is recognized in earnings. At September 30, 2016 , we had $37 million (net-of-tax) recorded of unrealized losses on derivatives classified as cash flow hedges recorded in accumulated other comprehensive income (loss), compared to $3 million at December 31, 2015 . The estimated amount to be reclassified from other comprehensive income into earnings during the next 12 months represents $7 million of losses (net-of-tax). Derivatives that are designated in hedging relationships are assessed for effectiveness using regression analysis at inception and throughout the hedge period. All hedge relationships were and are expected to be highly effective as of September 30, 2016 . Cash flows and the profit impact associated with designated hedges are reported in the same category as the underlying hedged item.
Fair Value Measurements	Fair Value Measurements We utilize fair value measurements to record or disclose the fair value on certain assets and liabilities. Fair value is defined as the price that would be received to sell an asset or paid to transfer a liability through an orderly transaction between market participants at the measurement date. The determination of fair values of financial instruments often requires the use of estimates. In cases where quoted market values in an active market are not available, we use present value techniques and other valuation methods to estimate the fair values of our financial instruments. These valuation models rely on market-based parameters when available, such as interest rate yield curves or credit spreads. Unobservable inputs may be based on management's judgment, assumptions and estimates related to credit quality, our future earnings, interest rates and other relevant inputs. These valuation methods require considerable judgment and the resulting estimates of fair value can be significantly affected by the assumptions made and methods used. Refer to Note 24 to the consolidated financial statements of the Annual Report on Form 10-K for the year ended December 31, 2015 for a description of our valuation methodologies and information about the fair value hierarchy.
Recently Issued Accounting Pronouncements	Recently Issued Accounting Pronouncements Statement of Cash Flows - In August 2016, the FASB issued ASU 2016-15, Statement of Cash Flows (Topic 230), Classification of Certain Cash Receipts and Cash Payments. This amendment addresses eight issues which current GAAP does not include specific guidance or is unclear, pertaining to: Debt Prepayment or Debt Extinguishment Costs, Settlement of Zero-Coupon Debt Instruments, Contingent Consideration Payments Made after a Business Combination, Proceeds from the Settlement of Insurance Claims, Proceeds from the Settlement of Corporate-Owned or Bank-Owned Life Insurance Policies, Distributions Received from Equity Method Investees, Beneficial Interest in Securitization Transactions, and Separately Identifiable Cash Flows and Application of the Predominance Principle. ASU 2016-16 is effective for fiscal years beginning after December 15, 2018 and early adoption is permitted. Management is currently evaluating this guidance and does not expect this guidance to have a material impact on our Consolidated Financial Statements. Credit Losses - In June 2016, the FASB issued ASU 2016-13, Financial Instruments - Credit Losses (Topic 326). The ASU alters the current method for recognizing credit losses within the reserve account. Currently, an institution uses the incurred loss method, the new guidance will require the allowance to be recorded on day one for the contractual term of the financial asset. ASU 2016-13 is effective for fiscal years beginning after December 15, 2019. Management is currently evaluating this guidance and the impact it will have on our Consolidated Financial Statements. Stock Compensation - In March 2016, the FASB issued ASU 2016-09, Compensation - Stock Compensation (Topic 718): Improvements to Employee Share-Based Payment Accounting. The amendments in ASU 2016-09 affect all entities that issue share-based payment awards to their employees. The areas for simplification in ASU 2016-09 involve several aspects of the accounting for share-based payment transactions, including the income tax consequences, classification of awards as either equity or liabilities, and classification on the statement of cash flows. ASU 2016-09 is effective retrospectively for fiscal years beginning after December 15, 2016 and early adoption is permitted. Management is currently evaluating this guidance and does not expect this guidance to have a material impact on our Consolidated Financial Statements. Derivatives and Hedging - In March 2016, the FASB issued ASU 2016-06, Derivatives and Hedging (Topic 815) - Contingent Put and Call Options in Debt Instruments. The amendments in ASU 2016-06 clarify the requirements for assessing whether contingent call (put) options that can accelerate the payment of principal on debt instruments are clearly and closely related to their debt hosts. An entity performing the assessment under the amendments in ASU 2016-06 is required to assess the embedded call (put) options solely in accordance with the four-step decision sequence. ASU 2016-06 is effective retrospectively for fiscal years beginning after December 15, 2016 and early adoption is permitted. This guidance is not expected to have a material impact upon adoption on our Consolidated Financial Statements, but disclosures to the Notes thereto will be updated per the requirements. Leases - In February 2016, the FASB issued ASU 2016-02, Leases (Topic 842): Section A - Leases: Amendments to the FASB Accounting Standards Codification, Section B - Conforming Amendments Related to Leases: Amendment to the FASB Accounting Standards Codification, Section C - Background Information and Basis For Conclusions. Lessees will need to recognize almost all leases on their balance sheet as a right-of-use asset and a lease liability. For income statement purposes, the FASB retained a dual model, requiring leases to be classified as either operating or finance. Classification will be based on criteria that are largely similar to those applied in current lease accounting. ASU 2016-02 is effective retrospectively for fiscal years beginning after December 15, 2019 and early adoption is permitted. The guidance in ASU 2016-02 supersedes Topic 840, Leases. Management is currently evaluating this guidance and does not expect this guidance to have a material impact on our Consolidated Financial Statements. Financial Instruments - In January 2016, the FASB issued ASU 2016-01, Financial Instruments - Overall (Subtopic 825-10): Recognition and Measurement of Financial Assets and Financial Liabilities. The new standard significantly revises an entity’s accounting related to the classification and measurement of investments in equity securities and the presentation of certain fair value changes for financial liabilities measured at fair value. It also amends certain disclosure requirements associated with the fair value of financial instruments. ASU 2016-01 is effective retrospectively for fiscal years beginning after December 15, 2017 and early adoption is permitted. Management is currently evaluating this guidance and does not expect this guidance to have a material impact on our Consolidated Financial Statements, if any. Revenue from Contracts with Customers - In May 2014, the Financial Accounting Standards Board ("FASB") issued Accounting Standards Update ("ASU") No. 2014-09, "Revenue from Contracts with Customers (Topic 606)." Under the amended guidance, an entity should recognize revenue to depict the transfer of promised goods or services to customers in an amount that reflects the consideration to which the entity expects to be entitled in exchange for those goods or services. The FASB has voted to approve a year deferral of the effective date from January 1, 2017 to January 1, 2018, while allowing for early adoption. In April 2016, the FASB clarified the following two aspects: identifying performance obligations and the licensing implementation guidance, while retaining the related principles for those areas. In May 2016, the FASB issued ASU 2016-12 Revenue from Contracts with Customers (Topic 606): Narrow-Scope Improvements and Practical Expedients, to provide a limited number of changes to its revenue recognition standard. The amendments clarify the assessment of the likelihood that revenue will be collected from a contract, the guidance for presenting sales taxes and similar taxes, and the timing for measuring customer payments that are not in cash. The amendment also says a contract should be considered complete if all, or substantially all, of its revenue has been collected prior to making the transition to the new standard. In addition, the update clarifies the disclosure requirements for businesses and other organizations that make the transition to the new standard by adjusting amounts from prior reporting periods. The effects have to be disclosed for prior periods that were adjusted. Management is currently evaluating this guidance and does not expect this guidance to have a material impact on our Consolidated Financial Statements; however, changes to disclosures in the Notes thereto will be required.

Investment Securities (Tables)

Investment Securities (Tables)	9 Months Ended
	Sep. 30, 2016
Investments, Debt and Equity Securities [Abstract]
Schedule of Trading and Available-for-sale Securities	As of September 30, 2016 and December 31, 2015 , investment securities were comprised of the following: Amortized Cost Gross Unrealized Gains Gross Unrealized Losses Fair Value (Dollars in millions) September 30, 2016 Available-for-sale securities Agency - Commercial $ 500 $ 10 $ — $ 510 Agency - Residential 563 10 — 573 Municipal obligations 32 — — 32 Total available-for-sale securities (1) $ 1,095 $ 20 $ — $ 1,115 Held-to-maturity securities Agency - Commercial $ 619 $ 9 $ — $ 628 Agency - Residential 537 12 — 549 Total held-to-maturity securities (1) $ 1,156 $ 21 $ — $ 1,177 December 31, 2015 Available-for-sale securities Agency - Commercial $ 766 $ 3 $ (3 ) $ 766 Agency - Residential 514 2 (2 ) 514 Municipal obligations 14 — — 14 Total available-for-sale securities (1) $ 1,294 $ 5 $ (5 ) $ 1,294 Held-to-maturity securities Agency - Commercial $ 634 $ — $ (2 ) $ 632 Agency - Residential 634 — (4 ) 630 Total held-to-maturity securities (1) $ 1,268 $ — $ (6 ) $ 1,262 (1) There were no securities of a single issuer, which are not governmental or government-sponsored, that exceeded 10 percent of stockholders’ equity at September 30, 2016 or December 31, 2015 .
Available-for-sale Securities, Continuous Unrealized Loss Position, Fair Value	The following table summarizes by duration the unrealized loss positions on investment securities: Unrealized Loss Position with Duration 12 Months and Over Unrealized Loss Position with Duration Under 12 Months Fair Value Number of Securities Unrealized Loss Fair Value Number of Securities Unrealized Loss Type of Security (Dollars in millions) September 30, 2016 Available-for-sale securities Agency - Commercial $ 6 1 $ — $ — — $ — Agency - Residential — — — 75 6 — Municipal obligations — — $ — 1 1 — Held-to-maturity securities Agency - Commercial $ — — $ — $ 20 2 $ — Agency - Residential — — — 19 2 — December 31, 2015 Available-for-sale securities Agency - Commercial $ — — $ — $ 482 27 $ (3 ) Agency - Residential 8 2 — 224 15 (2 ) Held-to-maturity securities Agency - Commercial $ — — $ — $ 471 27 $ (2 ) Agency - Residential — — — 547 50 (4 )
Schedule of Available-for-sale Securities, by Contractual Maturity Date	The amortized cost and estimated fair value of securities at September 30, 2016 , are presented below by contractual maturity: Investment Securities Available-for-Sale Investment Securities Held-to-maturity Amortized Cost Fair Value Weighted Average Yield Amortized Cost Fair Value Weighted Average Yield September 30, 2016 (Dollars in millions) (Dollars in millions) Due after one year through five years $ 18 $ 18 3.94 % $ — $ — — % Due after five years through 10 years 7 7 2.64 % 61 63 2.50 % Due after 10 years 1,070 1,090 2.45 % 1,095 1,114 2.40 % Total $ 1,095 $ 1,115 $ 1,156 $ 1,177

Loans Held-for-Investment (Tabl

Loans Held-for-Investment (Tables)	9 Months Ended
	Sep. 30, 2016
Receivables [Abstract]
Schedule of Loans Held-for-investment	Loans held-for-investment are summarized as follows: September 30, December 31, (Dollars in millions) Consumer loans Residential first mortgage $ 2,136 $ 3,100 Second mortgage 127 135 HELOC 326 384 Other 30 31 Total consumer loans 2,619 3,650 Commercial loans Commercial real estate (1) 1,168 814 Commercial and industrial 708 552 Warehouse lending 1,795 1,336 Total commercial loans 3,671 2,702 Total loans held-for-investment $ 6,290 $ 6,352 (1) Includes $252 million and $188 million of owner occupied commercial real estate loans at September 30, 2016 and December 31, 2015 , respectively.
Allowance for Loan Losses	The allowance for loan losses by class of loan are summarized in the following table: Residential First Mortgage (1) Second Mortgage HELOC Other Consumer Commercial Real Estate Commercial and Industrial Warehouse Lending Total (Dollars in millions) Three Months Ended September 30, 2016 Beginning balance allowance for loan losses $ 81 $ 10 $ 20 $ 1 $ 19 $ 11 $ 8 $ 150 Charge-offs (2) (7 ) — (1 ) (1 ) — — — (9 ) Recoveries — — 1 1 — — — 2 Provision (benefit) (3) (4 ) (1 ) (4 ) — 6 3 — — Ending balance allowance for loan losses $ 70 $ 9 $ 16 $ 1 $ 25 $ 14 $ 8 $ 143 Three Months Ended September 30, 2015 Beginning balance allowance for loan losses $ 151 $ 14 $ 25 $ 1 $ 15 $ 12 $ 4 $ 222 Charge-offs (2) (21 ) (1 ) (1 ) (1 ) — (3 ) — (27 ) Recoveries 1 1 — 1 — — — 3 Provision (benefit) (2 ) (1 ) (1 ) — (2 ) 5 — (1 ) Ending balance allowance for loan losses $ 129 $ 13 $ 23 $ 1 $ 13 $ 14 $ 4 $ 197 Nine Months Ended September 30, 2016 Beginning balance allowance for loan losses $ 116 $ 11 $ 21 $ 2 $ 18 $ 13 $ 6 $ 187 Charge-offs (2) (26 ) (2 ) (2 ) (3 ) — — — (33 ) Recoveries 1 1 1 2 — — — 5 Provision (benefit) (3) (21 ) (1 ) (4 ) — 7 1 2 (16 ) Ending balance allowance for loan losses $ 70 $ 9 $ 16 $ 1 $ 25 $ 14 $ 8 $ 143 Nine Months Ended September 30, 2015 Beginning balance allowance for loan losses $ 234 $ 12 $ 19 $ 1 $ 17 $ 11 $ 3 $ 297 Charge-offs (2) (80 ) (2 ) (2 ) (3 ) — (3 ) — (90 ) Recoveries 3 1 — 2 2 — — 8 Provision (benefit) (28 ) 2 6 1 (6 ) 6 1 (18 ) Ending balance allowance for loan losses $ 129 $ 13 $ 23 $ 1 $ 13 $ 14 $ 4 $ 197 (1) Includes allowance and charge-offs related to loans with government guarantees. (2) Includes charge-offs of zero and $16 million related to the transfer and subsequent sale of loans during the three months ended September 30, 2016 and September 30, 2015 , respectively, and $8 million and $67 million related to the sale of loans during the nine months ended September 30, 2016 and September 30, 2015 , respectively. Also includes charge-offs related to loans with government guarantees of $6 million and $13 million during the three and nine months ended September 30, 2016 , respectively. (3) Does not include $7 million provision for loan losses recorded in the Consolidated Statements of Operations to reserve for repossessed loans with government guarantees during the three and nine months ended September 30, 2016 . The loans held-for-investment and allowance for loan losses by class of loan is summarized in the following table: Residential First Mortgage (1) Second Mortgage HELOC Other Consumer Commercial Real Estate Commercial and Industrial Warehouse Lending Total (Dollars in millions) September 30, 2016 Loans held-for-investment Individually evaluated $ 42 $ 26 $ 4 $ — $ — $ 1 $ — $ 73 Collectively evaluated (2) 2,087 60 291 30 1,168 707 1,795 6,138 Total loans $ 2,129 $ 86 $ 295 $ 30 $ 1,168 $ 708 $ 1,795 $ 6,211 Allowance for loan losses Individually evaluated $ 7 $ 6 $ 1 $ — $ — $ — $ — $ 14 Collectively evaluated (2) 63 3 15 1 25 14 8 129 Total allowance for loan losses $ 70 $ 9 $ 16 $ 1 $ 25 $ 14 $ 8 $ 143 December 31, 2015 Loans held-for-investment Individually evaluated $ 87 $ 28 $ 3 $ — $ — $ 2 $ — $ 120 Collectively evaluated (2) 3,007 65 318 31 814 550 1,336 6,121 Total loans $ 3,094 $ 93 $ 321 $ 31 $ 814 $ 552 $ 1,336 $ 6,241 Allowance for loan losses Individually evaluated $ 12 $ 6 $ 1 $ 1 $ — $ — $ — $ 20 Collectively evaluated (2) 104 5 20 1 18 13 6 167 Total allowance for loan losses $ 116 $ 11 $ 21 $ 2 $ 18 $ 13 $ 6 $ 187 (1) Includes allowance related to loans with government guarantees. (2) Excludes loans carried under the fair value option
Past Due Loans	following table sets forth the loans held-for-investment aging analysis as of September 30, 2016 and December 31, 2015 , of past due and current loans: 30-59 Days Past Due 60-89 Days Past Due 90 Days or Greater Past Due (1) Total Past Due Current Total Investment Loans (Dollars in millions) September 30, 2016 Consumer loans Residential first mortgage $ 4 $ 1 $ 29 $ 34 $ 2,102 $ 2,136 Second mortgage — — 4 4 123 127 HELOC 1 — 7 8 318 326 Other 1 1 — 2 28 30 Total consumer loans 6 2 40 48 2,571 2,619 Commercial loans Commercial real estate — — — — 1,168 1,168 Commercial and industrial — — — — 708 708 Warehouse lending — — — — 1,795 1,795 Total commercial loans — — — — 3,671 3,671 Total loans (2) $ 6 $ 2 $ 40 $ 48 $ 6,242 $ 6,290 December 31, 2015 Consumer loans Residential first mortgage $ 7 $ 3 $ 53 $ 63 $ 3,037 $ 3,100 Second mortgage — — 2 2 133 135 HELOC 2 1 9 12 372 384 Other 1 — — 1 30 31 Total consumer loans 10 4 64 78 3,572 3,650 Commercial loans Commercial real estate — — — — 814 814 Commercial and industrial — — 2 2 550 552 Warehouse lending — — — — 1,336 1,336 Total commercial loans — — 2 2 2,700 2,702 Total loans (2) $ 10 $ 4 $ 66 $ 80 $ 6,272 $ 6,352 (1) Includes loans that are less than 90 days past due, which have been placed on nonaccrual. (2) Includes $12 million and $10 million of loans 90 days or greater past due, accounted for under the fair value option at September 30, 2016 and December 31, 2015 , respectively.
Troubled Debt Restructurings	The following table provides a summary of TDRs outstanding by type and performing status: TDRs Performing Nonperforming Total September 30, 2016 (Dollars in millions) Consumer loans Residential first mortgage $ 23 $ 10 $ 33 Second mortgage 33 3 36 HELOC 14 4 18 Total consumer loans 70 17 87 Commercial loans Commercial and industrial 1 — 1 Total commercial loans 1 — 1 Total TDRs (1)(2) $ 71 $ 17 $ 88 December 31, 2015 Consumer loans Residential first mortgage $ 49 $ 27 $ 76 Second mortgage 32 1 33 HELOC 20 7 27 Total TDRs (1)(2) $ 101 $ 35 $ 136 (1) The allowance for loan losses on consumer TDR loans totaled $11 million and $15 million at September 30, 2016 and December 31, 2015 , respectively. (2) Includes $26 million and $32 million of TDR loans accounted for under the fair value option at September 30, 2016 and December 31, 2015 , respectively. The following table provides a summary of newly modified TDRs during the three and nine months ended September 30, 2016 and 2015 . New TDRs Number of Accounts Pre-Modification Unpaid Principal Balance Post-Modification Unpaid Principal Balance (1) Increase in Allowance at Modification Three Months Ended September 30, 2016 (Dollars in millions) Residential first mortgages 1 $ — $ — $ — Second mortgages 16 1 1 — HELOC (2)(3) 1 — — — Total TDR loans 18 $ 1 $ 1 $ — Three Months Ended September 30, 2015 Residential first mortgages 48 $ 13 $ 14 $ — Second mortgages 15 1 1 — HELOC (2) 46 4 4 — Total TDR loans 109 $ 18 $ 19 $ — Nine Months Ended September 30, 2016 Residential first mortgages 17 $ 3 $ 4 $ — Second mortgages 42 2 2 — HELOC (2)(3) 86 6 5 — Commercial and industrial 1 2 1 — Total TDR loans 146 $ 13 $ 12 $ — Nine Months Ended September 30, 2015 Residential first mortgages 239 $ 66 $ 65 $ (1 ) Second mortgages 83 4 3 — HELOC (2)(3) 204 12 11 — Other consumer 3 — — — Total TDR loans 529 $ 82 $ 79 $ (1 ) (1) Post-modification balances include past due amounts that are capitalized at modification date. (2) HELOC post-modification unpaid principal balance reflects write downs. (3) Includes loans carried at the fair value option. The following table provides a summary of TDR loans that were modified within the previous 12 months, which subsequently defaulted during the three and nine months ended September 30, 2016 and 2015 . All TDR classes within consumer and commercial loan portfolios are considered subsequently defaulted when they are greater than 90 days past due. TDRs that were modified in the previous 12 months, which have subsequently defaulted Number of Accounts Unpaid Principal Balance Increase in Allowance at Subsequent Default Three Months Ended September 30, 2016 (Dollars in millions) HELOC (1) 3 $ — $ — Total TDR loans 3 $ — $ — Three Months Ended September 30, 2015 Residential first mortgages 1 $ — $ — Total TDR loans 1 $ — $ — Nine Months Ended September 30, 2016 Residential first mortgages 1 $ — $ — HELOC (1) 7 — — Total TDR loans 8 $ — $ — Nine Months Ended September 30, 2015 Residential first mortgages 1 $ — $ — Second mortgages 1 — — Total TDR loans 2 $ — $ — (1) HELOC post-modification unpaid principal balance reflects write downs.
Impaired Loans	The following table presents individually evaluated impaired loans and the associated allowance: September 30, 2016 December 31, 2015 Recorded Investment Unpaid Principal Balance Related Allowance Recorded Investment Unpaid Principal Balance Related Allowance (Dollars in millions) With no related allowance recorded Consumer loans Residential first mortgage $ 2 $ 1 $ — $ 20 $ 20 $ — Commercial loans Commercial and industrial 1 1 — 5 2 — $ 3 $ 2 $ — $ 25 $ 22 $ — With an allowance recorded Consumer loans Residential first mortgage $ 40 $ 41 $ 7 $ 65 $ 67 $ 12 Second mortgage 26 26 6 28 28 6 HELOC 4 4 2 3 3 1 Other consumer — — — — — 1 $ 70 $ 71 $ 15 $ 96 $ 98 $ 20 Total Consumer loans Residential first mortgage $ 42 $ 42 $ 7 $ 85 $ 87 $ 12 Second mortgage 26 26 6 28 28 6 HELOC 4 4 2 3 3 1 Other consumer — — — — — 1 Commercial loans Commercial and industrial 1 1 — 5 2 — Total impaired loans $ 73 $ 73 $ 15 $ 121 $ 120 $ 20 The following table presents average impaired loans and the interest income recognized: Three Months Ended September 30, Nine Months Ended September 30, 2016 2015 2016 2015 Average Recorded Investment Interest Income Recognized Average Recorded Investment Interest Income Recognized Average Recorded Investment Interest Income Recognized Average Recorded Investment Interest Income Recognized (Dollars in millions) Consumer loans Residential first mortgage $ 43 $ — $ 96 $ 1 $ 55 $ 1 $ 172 $ 4 Second mortgage 25 — 29 — 26 1 30 — HELOC 5 — 15 — 5 — 6 — Commercial loans Commercial and industrial 1 — 2 — 2 — 1 — Total impaired loans $ 74 $ — $ 142 $ 1 $ 88 $ 2 $ 209 $ 4
Loan Credit Quality Indicators	In accordance with regulatory guidance, we assign risk ratings to consumer loans in the following manner: • Consumer loans are classified as Watch once the loan becomes 60 days past due. • Open and closed-end consumer loans 90 days or more past due are classified Substandard. Commercial Credit Loans Commercial Real Estate Commercial and Industrial Warehouse Total Commercial September 30, 2016 (Dollars in millions) Grade Pass $ 1,122 $ 654 $ 1,659 $ 3,435 Watch 37 20 86 143 Special mention 3 33 50 86 Substandard 6 1 — 7 Total loans $ 1,168 $ 708 $ 1,795 $ 3,671 December 31, 2015 Grade Pass $ 766 $ 492 $ 1,181 $ 2,439 Watch 42 30 155 227 Special mention 2 21 — 23 Substandard 4 9 — 13 Total loans $ 814 $ 552 $ 1,336 $ 2,702 Consumer Credit Loans Residential First Mortgage Second Mortgage HELOC Other Consumer Total September 30, 2016 (Dollars in millions) Grade Pass $ 2,081 $ 90 $ 305 $ 29 $ 2,505 Watch 24 33 14 1 72 Substandard 31 4 7 — 42 Total loans $ 2,136 $ 127 $ 326 $ 30 $ 2,619 December 31, 2015 Grade Pass $ 2,993 $ 101 $ 353 $ 31 $ 3,478 Watch 49 32 22 — 103 Substandard 58 2 9 — 69 Total loans $ 3,100 $ 135 $ 384 $ 31 $ 3,650

Mortgage Servicing Rights (Tabl

Mortgage Servicing Rights (Tables)	9 Months Ended
	Sep. 30, 2016
Transfers and Servicing [Abstract]
Schedule of Servicing Assets at Fair Value	Changes in the carrying value of residential first mortgage MSRs, accounted for at fair value, were as follows: Three Months Ended September 30, Nine Months Ended September 30, 2016 2015 2016 2015 (Dollars in millions) Balance at beginning of period $ 301 $ 317 $ 296 $ 258 Additions from loans sold with servicing retained 51 74 173 220 Reductions from sales (17 ) (73 ) (41 ) (144 ) Changes in fair value due to (1) Decrease in MSR due to pay-offs, pay-downs and run-off (19 ) (9 ) (45 ) (34 ) Changes in estimates of fair value (2) (14 ) (15 ) (81 ) (6 ) Fair value of MSRs at end of period $ 302 $ 294 $ 302 $ 294 (1) Changes in fair value are included within net (loss) return on mortgage servicing rights on the Consolidated Statements of Operations. (2) Represents estimated MSR value change resulting primarily from market-driven changes.
Schedule of Sensitivity Analysis of Fair Value	The following table summarizes the hypothetical effect on the fair value of servicing rights carried at fair value using adverse changes of 10 percent and 20 percent to the weighted average of certain significant assumptions used in valuing these assets: September 30, 2016 December 31, 2015 Fair value impact due to Fair value impact due to Actual 10% adverse change 20% adverse change Actual 10% adverse change 20% adverse change (Dollars in millions) Option adjusted spread 9.20 % $ 295 $ 288 8.24 % $ 287 $ 279 Constant prepayment rate 15.68 % 290 280 12.63 % 285 275 Weighted average cost to service per loan $ 70.75 299 295 $ 71.86 292 288
Schedule of Servicing Assets at Fair Value, Servicing Fees	The following table summarizes income and fees associated with contractual servicing rights: Three Months Ended September 30, Nine Months Ended September 30, 2016 2015 2016 2015 (Dollars in millions) Income on mortgage servicing rights Servicing fees, ancillary income and late fees (1) $ 22 $ 18 $ 60 $ 52 Changes in fair value (2) (33 ) (24 ) (126 ) (38 ) Gain on MSR derivatives (3) (1 ) 15 44 10 Net transaction costs 1 3 1 (5 ) Total (loss) return, included in net return on mortgage servicing rights $ (11 ) $ 12 $ (21 ) $ 19 (1) Servicing fees are recorded on the accrual basis. Ancillary income and late fees are recorded on a cash basis. (2) Includes a $2 million gain related to the sale of MSRs during the nine months ended September 30, 2015. (3) Changes in the derivatives utilized as economic hedges to offset changes in fair value of the MSRs. The following table summarizes income and fees associated with our mortgage loans subserviced: Three Months Ended September 30, Nine Months Ended September 30, 2016 2015 2016 2015 (Dollars in millions) Income on mortgage loans subserviced Subservicing fees, ancillary income and late fees (1) $ 7 $ 8 $ 21 $ 24 Other servicing charges (3 ) — (7 ) (5 ) Total income, included in loan administration $ 4 $ 8 $ 14 $ 19 (1) Servicing fees are recorded on the accrual basis. Ancillary income and late fees are recorded on cash basis.

Derivative Financial Instrume32

Derivative Financial Instruments (Tables)	9 Months Ended
	Sep. 30, 2016
Derivative Instruments and Hedging Activities Disclosure [Abstract]
Schedule of Changes in Fair Value of Derivative Instruments	The net gain (loss) recognized in income on derivative instruments, net of the impact of offsetting positions, were as follows: Three Months Ended September 30, Nine Months Ended September 30, Location of Gain/(Loss) 2016 2015 2016 2015 (Dollars in millions) Derivatives not designated as hedging instruments: U.S. Treasury, swap and euro dollar futures Net (loss) return on mortgage servicing rights $ 4 $ 3 $ 8 $ 6 Interest rate swaps and swaptions Net (loss) return on mortgage servicing rights (7 ) 10 21 2 Mortgage backed securities forwards Net (loss) return on mortgage servicing rights 2 2 15 2 Rate lock commitments and forward agency and loan sales Net gain on loan sales 15 (24 ) 14 (4 ) Rate lock commitments Other noninterest income — 1 1 (1 ) Interest rate swaps Other noninterest income 2 2 3 2 Total derivative (loss) gain $ 16 $ (6 ) $ 62 $ 7
Schedule of Derivative Financial Instruments	The notional amount, estimated fair value and maturity of our derivative financial instruments were as follows: Notional Amount Fair Value Expiration Dates (Dollars in millions) September 30, 2016 Derivatives designated as hedging instruments: Assets Interest rate swaps on FHLB advances $ 200 $ 3 2026 Liabilities (1) Interest rate swaps on FHLB advances $ 825 $ 55 2023-2025 Derivatives not designated as hedging instruments: Assets (2) U.S. Treasury, swap and euro dollar futures $ 5,450 $ 1 2016-2019 Mortgage backed securities forwards 1,317 2 2016 Rate lock commitments 6,357 63 2016 Interest rate swaps and swaptions 2,273 53 2016-2046 Total derivative assets $ 15,397 $ 119 Liabilities (1) U.S. Treasury, swap and euro dollar futures $ 635 $ — 2019-2020 Mortgage backed securities forwards 5,849 24 2016 Rate lock commitments 87 — 2016 Interest rate swaps 558 17 2016-2026 Total derivative liabilities $ 7,129 $ 41 December 31, 2015 Derivatives designated as hedging instruments: Liabilities (1) Interest rate swaps on FHLB advances $ 825 $ 4 2023-2025 Derivatives not designated as hedging instruments: Assets (2) U.S. Treasury, swap and euro dollar futures $ 1,892 $ — 2016-2019 Mortgage backed securities forwards 1,931 7 2016 Rate lock commitments 3,593 26 2016 Interest rate swaps and swaptions 1,554 25 2016-2035 Total derivative assets $ 8,970 $ 58 Liabilities (1) U.S. Treasury, swap and euro dollar futures $ 768 $ 1 2016-2019 Mortgage backed securities forwards 2,655 6 2016 Rate lock commitments 168 — 2016 Interest rate swaps 422 7 2016-2025 Total derivative liabilities $ 4,013 $ 14 (1) Derivative liabilities are included in other liabilities on the Consolidated Statements of Financial Condition. (2) Derivative assets are included in other assets on the Consolidated Statements of Financial Condition.
Offsetting of Derivatives	The following tables present the derivatives subject to a master netting arrangement, including the cash pledged as collateral: Gross Amounts Not Offset in the Statement of Financial Position Gross Amount Gross Amounts Netted in the Statement of Financial Position Net Amount Presented in the Statement of Financial Position Financial Instruments Cash Collateral (Dollars in millions) September 30, 2016 Derivatives designated as hedging instruments: Assets Interest rate swaps on FHLB advances (1) $ 3 $ 3 $ — $ — $ — Liabilities Interest rate swaps on FHLB advances (1) $ 55 $ 3 $ 52 $ — $ 34 Derivatives not designated as hedging instruments: Assets U.S. Treasury, swap and euro dollar futures $ 1 $ — $ 1 $ — $ — Mortgage backed securities forwards 2 — 2 — — Interest rate swaps and swaptions (1) 53 — 53 — 24 Total derivative assets $ 56 $ — $ 56 $ — $ 24 Liabilities U.S. Treasury, swap and euro dollar futures $ — $ — $ — $ — $ 2 Mortgage backed securities forwards 24 — 24 — 41 Interest rate swaps and swaptions (1) 17 — 17 — 7 Total derivative liabilities $ 41 $ — $ 41 $ — $ 50 December 31, 2015 Derivatives designated as hedging instruments: Liabilities Interest rate swaps on FHLB advances $ 4 $ — $ 4 $ — $ 19 Derivatives not designated as hedging instruments: Assets Mortgage backed securities forwards $ 7 $ — $ 7 $ — $ 4 Interest rate swaps and swaptions (1) 25 — 25 — 10 Total derivative assets $ 32 $ — $ 32 $ — $ 14 Liabilities U.S. Treasury, swap and euro dollar futures $ 1 $ — $ 1 $ — $ 2 Mortgage backed securities forwards 6 — 6 — 8 Interest rate swaps and swaptions (1) 7 — 7 — 12 Total derivative liabilities $ 14 $ — $ 14 $ — $ 22 (1) Additional funds are pledged to a central counterparty clearing house in the amount of $56 million as of September 30, 2016 and $7 million as of December 31, 2015 to maintain initial margin requirements. This collateral is in addition to the amount required to be maintained for potential market changes shown in the cash collateral column above.

Debt (Tables)

Debt (Tables)	9 Months Ended
	Sep. 30, 2016
Debt Disclosure [Abstract]
Schedule of FHLB Advances, by Interest Rate Type	The following is a breakdown of our Federal Home Loan Bank advances and other short-term debt outstanding: September 30, 2016 December 31, 2015 Amount Rate Amount Rate (Dollars in millions) Short-term adjustable rate (1) $ 20 0.67 % $ — — % Short-term fixed rate term advances 865 0.37 % 2,116 0.32 % Other short-term (2) 20 0.55 % — — % Total Short-term Federal Home Loan Bank advances and other $ 905 $ 2,116 Long-term LIBOR adjustable advances 1,025 0.94 % 825 0.70 % Long-term fixed rate advances (3) 552 1.44 % 600 1.37 % Total Long-term Federal Home Loan Bank advances $ 1,577 $ 1,425 Total Federal Home Loan Bank advances and other $ 2,482 $ 3,541 (1) Includes short-term adjustable rate federal funds line of credit. (2) Other short-term debt consists of borrowings that settle through the Federal Reserve Bank. (3) Includes the current portion of fixed rate advances of $125 million and $175 million at September 30, 2016 and December 31, 2015 , respectively.
Schedule of FHLB Advances, Disclosures	The following table contains detailed information on our Federal Home Loan Bank advances and other borrowings: Three Months Ended September 30, Nine Months Ended September 30, 2016 2015 2016 2015 (Dollars in millions) Maximum outstanding at any month end $ 3,182 $ 2,127 $ 3,557 $ 2,198 Average outstanding balance 2,649 1,798 2,777 1,610 Average remaining borrowing capacity 1,626 1,738 1,106 1,711 Weighted average interest rate 1.26 % 1.17 % 1.25 % 1.05 %
Schedule of FHLB, Advances, Maturity Summary	The following outlines our Federal Home Loan Bank advances and other final maturity dates as of September 30, 2016 : September 30, 2016 (Dollars in millions) 2016 $ 1,030 2017 50 2018 125 2019 — Thereafter 1,277 Total $ 2,482
Schedule of Long-Term Debt Instruments	The following table presents long-term debt: September 30, 2016 December 31, 2015 (Dollars in millions) Senior Notes Senior notes, matures 2021 $ 246 6.125 % $ — Trust Preferred Securities Floating Three Month LIBOR Plus 3.25%, matures 2032 $ 26 4.11 % $ 26 3.85 % Plus 3.25%, matures 2033 26 3.93 % 26 3.57 % Plus 3.25%, matures 2033 26 3.88 % 26 3.85 % Plus 2.00%, matures 2035 26 2.68 % 26 2.32 % Plus 2.00%, matures 2035 26 2.68 % 26 2.32 % Plus 1.75%, matures 2035 51 2.60 % 51 2.26 % Plus 1.50%, matures 2035 25 2.18 % 25 1.82 % Plus 1.45%, matures 2037 25 2.30 % 25 1.96 % Plus 2.50%, matures 2037 16 3.35 % 16 3.01 % Total Trust Preferred Securities $ 247 $ 247 Total long-term debt $ 493 $ 247

Representation and Warranty R34

Representation and Warranty Reserve (Tables)	9 Months Ended
	Sep. 30, 2016
Representation and Warranty Reserve Disclosures [Abstract]
Schedule of Representation and Warranty Reserve Activity	The following table shows the activity impacting the representation and warranty reserve: Three Months Ended September 30, Nine Months Ended September 30, 2016 2015 2016 2015 (Dollars in millions) Balance, beginning of period $ 36 $ 48 $ 40 $ 53 Provision (benefit) Gain on sale reduction for representation and warranty liability 1 2 4 6 Representation and warranty provision (benefit) (6 ) (6 ) (12 ) (13 ) Total (5 ) (4 ) (8 ) (7 ) Charge-offs, net 1 1 — (1 ) Balance, end of period $ 32 $ 45 $ 32 $ 45

Accumulated Other Comprehensi35

Accumulated Other Comprehensive Income (Loss) (Tables)	9 Months Ended
	Sep. 30, 2016
Equity [Abstract]
Schedule of Accumulated Other Comprehensive Income (Loss)	The following table sets forth the components in accumulated other comprehensive income (loss) for each type of investment securities available-for-sale, investment securities held-to-maturity, and cash flow hedges: Held-to-Maturity Securities Available-for-Sale Securities Cash Flow Hedges Accumulated Other Comprehensive Income (Loss) Net of Tax (Dollars in millions) Accumulated other comprehensive income (loss) ("AOCI") Balance at December 31, 2015, net of tax $ 5 $ — $ (3 ) $ 2 Net unrealized loss, net of tax — 17 (44 ) (27 ) Reclassifications out of AOCI (1 ) (4 ) 10 5 Balance at September 30, 2016, net of tax $ 4 $ 13 $ (37 ) $ (20 ) Balance at December 31, 2014, net of tax $ — $ 8 $ — $ 8 Net unrealized gain, net of tax — 9 (5 ) 4 Transfer of net unrealized loss from AFS to HTM 5 (5 ) — — Balance at September 30, 2015, net of tax $ 5 $ 12 $ (5 ) $ 12

Earnings Per Share (Tables)

Earnings Per Share (Tables)	9 Months Ended
	Sep. 30, 2016
Earnings Per Share [Abstract]
Schedule of Earnings (Loss) Per Share, Basic and Diluted	The following table sets forth the computation of basic and diluted earnings per share of common stock: Three Months Ended September 30, Nine Months Ended September 30, 2016 2015 2016 2015 (Dollars in millions, except share data) Net income $ 57 $ 47 $ 143 $ 125 Deferred cumulative preferred stock dividends (2 ) (8 ) (18 ) (22 ) Net income applicable to common stockholders $ 55 $ 39 $ 125 $ 103 Weighted average shares Weighted average common shares outstanding 56,580,238 56,436,026 56,556,188 56,419,354 Effect of dilutive securities May Investor warrants 364,791 339,478 339,893 290,840 Stock-based awards 988,777 431,999 831,181 340,595 Weighted average diluted common shares 57,933,806 57,207,503 57,727,262 57,050,789 Earnings per common share Basic earnings per common share $ 0.98 $ 0.70 $ 2.21 $ 1.82 Effect of dilutive securities May Investor warrants — — (0.02 ) (0.01 ) Stock-based awards (0.02 ) (0.01 ) (0.03 ) (0.01 ) Diluted earnings per share $ 0.96 $ 0.69 $ 2.16 $ 1.80

Income Taxes (Tables)

Income Taxes (Tables)	9 Months Ended
	Sep. 30, 2016
Income Tax Disclosure [Abstract]
Schedule of Components of Income Tax Provision (Benefit)	Three Months Ended September 30, Nine Months Ended September 30, 2016 2015 2016 2015 (Dollars in millions) Provision for income taxes $ 30 $ 24 $ 73 $ 70 Effective tax provision rate 34.3 % 34.4 % 33.8 % 36.0 %

Regulatory Matters (Tables)

Regulatory Matters (Tables)	9 Months Ended
	Sep. 30, 2016
Regulatory Capital Requirements [Abstract]
Schedule of Regulatory Capital Ratios	The following table shows the regulatory capital ratios as of the dates indicated: Bancorp Actual For Capital Adequacy Purposes Well Capitalized Under Prompt Corrective Action Provisions Amount Ratio Amount Ratio Amount Ratio (Dollars in millions) September 30, 2016 Tangible capital (to tangible assets) $ 1,225 8.88 % N/A N/A N/A N/A Tier 1 capital (to adjusted tangible assets) 1,225 8.88 % $ 552 4.00 % $ 690 5.00 % Common equity Tier 1 capital (to RWA) 1,056 12.04 % 395 4.50 % 570 6.50 % Tier 1 capital (to risk-weighted assets) 1,225 13.98 % 526 6.00 % 701 8.00 % Total capital (to risk-weighted assets) 1,338 15.26 % 701 8.00 % 877 10.00 % December 31, 2015 Tangible capital (to tangible assets) $ 1,435 11.51 % N/A N/A N/A N/A Tier 1 capital (to adjusted tangible assets) 1,435 11.51 % $ 499 4.0 % $ 624 5.0 % Common equity Tier 1 capital (to RWA) 1,065 14.09 % 340 4.5 % 491 6.5 % Tier 1 capital (to risk-weighted assets) 1,435 18.98 % 454 6.0 % 605 8.0 % Total capital (to risk-weighted assets) 1,534 20.28 % 605 8.0 % 756 10.0 % N/A - Not applicable Bank Actual For Capital Adequacy Purposes Well Capitalized Under Prompt Corrective Action Provisions Amount Ratio Amount Ratio Amount Ratio (Dollars in millions) September 30, 2016 Tangible capital (to tangible assets) $ 1,459 10.55 % N/A N/A N/A N/A Tier 1 capital (to adjusted tangible assets) 1,459 10.55 % $ 553 4.00 % $ 691 5.00 % Common equity tier 1 capital (to RWA) 1,459 16.59 % 396 4.50 % 572 6.50 % Tier 1 capital (to risk-weighted assets) 1,459 16.59 % 528 6.00 % 704 8.00 % Total capital (to risk-weighted assets) 1,571 17.87 % 704 8.00 % 879 10.00 % December 31, 2015 Tangible capital (to tangible assets) $ 1,472 11.79 % N/A N/A N/A N/A Tier 1 capital (to adjusted tangible assets) 1,472 11.79 % $ 500 4.0 % $ 625 5.0 % Common equity tier 1 capital (to RWA) 1,472 19.42 % 341 4.5 % 493 6.5 % Tier 1 capital (to risk-weighted assets) 1,472 19.42 % 455 6.0 % 607 8.0 % Total capital (to risk-weighted assets) 1,570 20.71 % 607 8.0 % 758 10.0 % N/A - Not applicable

Legal Proceedings, Contingenc39

Legal Proceedings, Contingencies and Commitments (Tables)	9 Months Ended
	Sep. 30, 2016
Commitments and Contingencies Disclosure [Abstract]
Summary of Contractual Amount of Significant Commitments	A summary of the contractual amount of significant commitments is as follows: September 30, 2016 December 31, 2015 (Dollars in millions) Commitments to extend credit Mortgage loans interest-rate lock commitments $ 6,503 $ 3,792 HELOC commitments 295 150 Other consumer commitments 9 22 Warehouse loan commitments 1,123 871 Standby and commercial letters of credit 24 13 Commercial and industrial commitments 165 151 Other commercial commitments 851 497

Fair Value Measurements (Tables

Fair Value Measurements (Tables)	9 Months Ended
	Sep. 30, 2016
Fair Value Disclosures [Abstract]
Schedule of Fair Value, Assets and Liabilities Measured on Recurring Basis	The following tables present the financial instruments carried at fair value as of September 30, 2016 and December 31, 2015 , by caption on the Consolidated Statement of Financial Condition and by level in the valuation hierarchy. Level 1 Level 2 Level 3 Total Fair Value September 30, 2016 (Dollars in millions) Investment securities available-for-sale Agency - Commercial $ — $ 510 $ — $ 510 Agency - Residential — 573 — 573 Municipal obligations — 32 — 32 Loans held-for-sale Residential first mortgage loans — 3,352 — 3,352 Loans held-for-investment Residential first mortgage loans — 8 — 8 Second mortgage loans — — 41 41 HELOC loans — — 31 31 Mortgage servicing rights — — 302 302 Derivative assets Rate lock commitments — — 63 63 U.S. Treasury, swap and euro dollar futures 1 — — 1 Mortgage backed securities forwards — 2 — 2 Interest rate swaps and swaptions — 53 — 53 Total derivative assets 1 55 63 119 Total assets at fair value $ 1 $ 4,530 $ 437 $ 4,968 Derivative liabilities Interest rate swap on FHLB advances $ — $ (52 ) $ — $ (52 ) Mortgage backed securities forwards — (24 ) — (24 ) Interest rate swaps and swaptions — (17 ) — (17 ) Total derivative liabilities — (93 ) — (93 ) Warrant liabilities — (10 ) — (10 ) DOJ litigation settlement — — (60 ) (60 ) Total liabilities at fair value $ — $ (103 ) $ (60 ) $ (163 ) Level 1 Level 2 Level 3 Total Fair Value December 31, 2015 (Dollars in millions) Investment securities available-for-sale Agency - Commercial $ — $ 766 $ — $ 766 Agency - Residential — 514 — 514 Municipal obligations — 14 — 14 Loans held-for-sale Residential first mortgage loans — 2,541 — 2,541 Loans held-for-investment Residential first mortgage loans — 6 — 6 Second mortgage loans — — 42 42 HELOC loans — — 64 64 Mortgage servicing rights — — 296 296 Derivative assets Rate lock commitments — — 26 26 Mortgage backed securities forwards — 7 — 7 Interest rate swaps and swaptions — 25 — 25 Total derivative assets — 32 26 58 Total assets at fair value $ — $ 3,873 $ 428 $ 4,301 Derivative liabilities U.S. Treasury, swap and euro dollar futures $ (1 ) $ — $ — $ (1 ) Mortgage backed securities forwards — (6 ) — (6 ) Interest rate swap on FHLB advances — (4 ) — (4 ) Interest rate swaps — (7 ) — (7 ) Total derivative liabilities (1 ) (17 ) — (18 ) Warrant liabilities — (8 ) — (8 ) DOJ litigation settlement — — (84 ) (84 ) Total liabilities at fair value $ (1 ) $ (25 ) $ (84 ) $ (110 )
Fair Value, Assets and Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation	The tables below include a roll forward of the Consolidated Statement of Financial Condition amounts for the three and nine months ended September 30, 2016 and 2015 (including the change in fair value) for financial instruments classified by us within level 3 of the valuation hierarchy: Recorded in Earnings Recorded in OCI Three Months Ended September 30, 2016 Balance at Beginning of Period Total Unrealized Gains / (Losses) Total Realized Gains / (Losses) Total Unrealized Gains / (Losses) Purchases / Originations Sales Settlements Transfers In (Out) Balance at End of Period Assets (Dollars in millions) Loans held-for-investment Second mortgage loans $ 38 $ (2 ) $ — $ — $ — $ — $ (3 ) $ 8 $ 41 HELOC loans 44 6 — — — — (11 ) (8 ) 31 Mortgage servicing rights 301 (33 ) — — 51 (17 ) — — 302 Totals $ 383 $ (29 ) $ — $ — $ 51 $ (17 ) $ (14 ) $ — $ 374 Liabilities DOJ litigation settlement $ (84 ) $ 24 $ — $ — $ — $ — $ — $ — $ (60 ) Derivative financial instruments (net) Rate lock commitments $ 82 $ 33 $ — $ — $ 116 $ (150 ) $ (18 ) $ — $ 63 Three Months Ended September 30, 2015 Assets Other investments $ 100 $ — $ — $ — $ — $ — $ — $ — $ 100 Loans held-for-investment Second mortgage loans 48 — — — — — (3 ) — 45 HELOC loans 93 2 — — — — (15 ) — 80 Mortgage servicing rights 317 (24 ) — — 74 (73 ) — — 294 Totals $ 558 $ (22 ) $ — $ — $ 74 $ (73 ) $ (18 ) $ — $ 519 Liabilities Long-term debt $ (36 ) $ — $ — $ — $ — $ — $ 4 $ — $ (32 ) DOJ litigation settlement (84 ) — — — — — — — (84 ) Totals $ (120 ) $ — $ — $ — $ — $ — $ 4 $ — $ (116 ) Derivative financial instruments (net) Rate lock commitments $ 30 $ 53 $ — $ — $ 81 $ (104 ) $ (16 ) $ — $ 44 Recorded in Earnings Recorded in OCI Nine Months Ended September 30, 2016 Balance at Beginning of Period Total Unrealized Gains / (Losses) Total Realized Gains / (Losses) Total Unrealized Gains / (Losses) Purchases / Originations Sales Settlements Transfers In (Out) Balance at End of Period Assets (Dollars in millions) Loans held-for-investment Second mortgage loans $ 42 $ (1 ) $ — $ — $ — $ — $ (8 ) 8 41 HELOC loans 64 3 — — — — (28 ) (8 ) 31 Mortgage servicing rights 296 (126 ) — — 173 (41 ) — — 302 Totals $ 402 $ (124 ) $ — $ — $ 173 $ (41 ) $ (36 ) $ — $ 374 Liabilities DOJ litigation $ (84 ) $ 24 $ — $ — $ — $ — $ — — $ (60 ) Derivative financial instruments (net) Rate lock commitments $ 26 $ 153 $ — $ — $ 303 $ (371 ) $ (48 ) $ — $ 63 Nine Months Ended September 30, 2015 Assets Other investments $ 100 $ — $ — $ — $ — $ — $ — $ — $ 100 Investment securities available-for-sale Municipal obligation 2 — — — — — (2 ) — — Loans held-for-investment Second mortgage loans 53 2 1 — — — (11 ) — 45 HELOC loans 132 (4 ) — — — — (48 ) — 80 Mortgage servicing rights 258 (40 ) — — 220 (144 ) — — 294 Totals $ 545 $ (42 ) $ 1 $ — $ 220 $ (144 ) $ (61 ) $ — $ 519 Liabilities Long-term debt $ (84 ) $ — $ (3 ) $ — $ — $ 24 $ 31 $ — $ (32 ) DOJ litigation (82 ) (2 ) — — — — — — (84 ) Totals $ (166 ) $ (2 ) $ (3 ) $ — $ — $ 24 $ 31 $ — $ (116 ) Derivative financial instruments (net) Rate lock commitments $ 31 $ 60 $ — $ — $ 272 $ (276 ) $ (43 ) $ — $ 44
Fair Value Inputs, Assets and Liabilities Measured on Recurring Basis, Quantitative Information	The following tables present the quantitative information about recurring level 3 fair value financial instruments and the fair value measurements as of September 30, 2016 and December 31, 2015 : Fair Value Valuation Technique Unobservable Input Range (Weighted Average) September 30, 2016 (Dollars in millions) Assets Second mortgage loans $ 41 Discounted cash flows Discount rate 8.0% - 12.0% (10.0%) 10.9% - 16.4% (13.6%) HELOC loans $ 31 Discounted cash flows Discount rate 6.6% - 9.9% (8.2%) Mortgage servicing rights $ 302 Discounted cash flows Option adjusted spread 7.4% - 11.0% (9.2%) Liabilities DOJ litigation settlement $ (60 ) Discounted cash flows Discount rate 5.7% - 8.5% (7.1%) Derivative financial instruments Rate lock commitments $ 63 Consensus pricing Origination pull-through rate 66.6% - 99.9% (83.3%) Fair Value Valuation Technique Unobservable Input Range (Weighted Average) December 31, 2015 (Dollars in millions) Assets Second mortgage loans $ 42 Discounted cash flows Discount rate 7.2% - 10.8% (9.0%)13.5% - 20.2% (16.9%) HELOC loans $ 64 Discounted cash flows Discount rate 6.8% - 10.1% (8.4%) Mortgage servicing rights $ 296 Discounted cash flows Option adjusted spread 6.6% - 9.9% (8.2%) Liabilities DOJ litigation settlement $ (84 ) Discounted cash flows Discount rate 4.9% - 9.5% (7.2%) Derivative financial instruments Rate lock commitments $ 26 Consensus pricing Origination pull-through rate 67.6% - 101.5% (84.6%)
Fair Value Inputs, Assets, Quantitative Information	The significant unobservable inputs used in the fair value measurement of the MSRs are option adjusted spreads, prepayment rates, and cost to service. Significant increases (decreases) in all three assumptions in isolation would result in a significantly lower (higher) fair value measurement. Additionally, the key economic assumptions used in determining the fair value of MSRs capitalized during the three and nine months ended September 30, 2016 and 2015 periods were as follows: Three Months Ended September 30, Nine Months Ended September 30, 2016 2015 2016 2015 Weighted average life (in years) 6.7 7.9 6.9 7.9 Weighted average constant prepayment rate 13.4 % 11.0 % 13.5 % 11.2 % Weighted average option adjusted spread 11.8 % 8.9 % 9.5 % 8.7 % The key economic assumptions reflected in the overall fair value of the entire portfolio of MSRs were as follows: September 30, December 31, Weighted average life (in years) 6.0 7.3 Weighted average constant prepayment rate 15.7 % 12.6 % Weighted average option adjusted spread 9.2 % 8.2 %
Fair Value Measurements, Nonrecurring	These assets are measured at the lower of cost or market and had a fair value below cost at the end of the period as summarized below: Total (1) Level 2 Level 3 (Dollars in millions) September 30, 2016 Loans held-for-sale (2) $ 10 $ 10 $ — Impaired loans held-for-investment (3) Residential first mortgage loans 22 — 22 Commercial and industrial loans 1 — 1 Repossessed assets (4) 15 — 15 Totals $ 48 $ 10 $ 38 December 31, 2015 Loans held-for-sale (2) $ 8 $ 8 $ — Impaired loans held-for-investment (3) Residential first mortgage loans 40 — 40 Commercial real estate loans 2 — 2 Repossessed assets (4) 17 — 17 Totals $ 67 $ 8 $ 59 (1) The fair values are obtained at various dates during the nine months ended September 30, 2016 and the year ended December 31, 2015 , respectively. (2) We recorded less than $1 million in fair value losses on loans held-for-sale for which we did not elect the fair value option (included in interest income on the Consolidated Statements of Operations) during both the three and nine months ended September 30, 2016 , respectively, compared to less than $1 million in fair value losses on loans held-for-sale during both the three and nine months ended September 30, 2015 , respectively. (3) We recorded $11 million and $31 million in fair value losses on impaired loans (included in provision (benefit) for loan losses on Consolidated Statements of Operations) during the three and nine months ended September 30, 2016 , respectively, compared to $20 million and $76 million in fair value losses on impaired loans during the three and nine months ended September 30, 2015 , respectively. (4) We recorded zero and $2 million in losses related to write downs of repossessed assets based on the estimated fair value of the specific assets during the three and nine months ended September 30, 2016 , respectively, and recognized net gain of $1 million and $2 million on sales of repossessed assets (both write downs and net gains/losses are included in assets resolution expense on the Consolidated Statements of Operations) during the three and nine months ended September 30, 2016 . We recorded $1 million and $2 million in losses related to write downs of repossessed assets based on the estimated fair value of the specific assets during the three and nine months ended September 30, 2015 , respectively, and recognized a net gain of $1 million and $2 million on sales of repossessed assets during the three and nine months ended September 30, 2015 , respectively.
Fair Value, Assets and Liabilities Measured on Nonrecurring Basis, Valuation Techniques	The following tables present the quantitative information about nonrecurring level 3 fair value financial instruments and the fair value measurements as of September 30, 2016 and December 31, 2015 : Fair Value Valuation Technique Unobservable Input Range (Weighted Average) September 30, 2016 (Dollars in millions) Impaired loans held-for-investment Residential first mortgage loans $ 22 Fair value of collateral Loss severity discount 23% - 28% (25.6%) Commercial and industrial loans $ 1 Fair value of collateral Loss severity discount 50% - 55% (53.4%) Repossessed assets $ 15 Fair value of collateral Loss severity discount 35% - 98% (61.7%) Fair Value Valuation Technique Unobservable Input Range (Weighted Average) December 31, 2015 (Dollars in millions) Impaired loans held-for-investment Residential first mortgage loans $ 40 Fair value of collateral Loss severity discount 35% - 45% (35.2%) Commercial real estate loans $ 2 Fair value of collateral Loss severity discount 45% - 55% (50.1%) Repossessed assets $ 17 Fair value of collateral Loss severity discount 16% - 100% (48.7%)
Fair Value, by Balance Sheet Grouping	The following table presents the carrying amount and estimated fair value of financial instruments that are carried either at fair value, cost, or amortized cost: September 30, 2016 Estimated Fair Value Carrying Value Total Level 1 Level 2 Level 3 (Dollars in millions) Assets Cash and cash equivalents $ 174 $ 174 $ 174 $ — $ — Investment securities available-for-sale 1,115 1,115 — 1,115 — Investment securities held-to-maturity 1,156 1,177 — 1,177 — Loans held-for-sale 3,393 3,394 — 3,394 — Loans with government guarantees 404 391 — 391 — Loans held-for-investment, net 6,147 6,134 — 8 6,126 Repossessed assets 15 15 — — 15 Federal Home Loan Bank stock 172 172 — 172 — Mortgage servicing rights 302 302 — — 302 Bank owned life insurance 269 269 — 269 — Other assets, foreclosure claims 152 152 — 152 — Derivative financial instruments, assets 119 119 1 55 63 Liabilities Retail deposits Demand deposits and savings accounts $ (5,204 ) $ (4,961 ) $ — $ (4,961 ) $ — Certificates of deposit (1,083 ) (1,095 ) — (1,095 ) — Government deposits (1,176 ) (1,158 ) — (1,158 ) — Company controlled deposits (1,908 ) (1,839 ) — (1,839 ) — Federal Home Loan Bank advances (2,482 ) (2,450 ) — (2,450 ) — Other long-term debt (493 ) (257 ) — (257 ) — Warrant liabilities (10 ) (10 ) — (10 ) — DOJ litigation settlement (60 ) (60 ) — — (60 ) Derivative financial instruments, liabilities (93 ) (93 ) — (93 ) — December 31, 2015 Estimated Fair Value Carrying Value Total Level 1 Level 2 Level 3 (Dollars in millions) Assets Cash and cash equivalents $ 208 $ 208 $ 208 $ — $ — Investment securities available-for-sale 1,294 1,294 — 1,294 — Investment securities held-to-maturity 1,268 1,262 — 1,262 — Loans held-for-sale 2,576 2,578 — 2,578 — Loans with government guarantees 485 469 — 469 — Loans held-for-investment, net 6,165 6,121 — 6 6,115 Repossessed assets 17 17 — — 17 Federal Home Loan Bank stock 170 170 — 170 — Mortgage servicing rights 296 296 — — 296 Bank owned life insurance 178 178 — 178 — Other assets, foreclosure claims 210 210 — 210 — Derivative financial instruments, assets 58 58 7 25 26 Liabilities Retail deposits Demand deposits and savings accounts $ (5,008 ) $ (4,744 ) $ — $ (4,744 ) $ — Certificates of deposit (826 ) (833 ) — (833 ) — Government deposits (1,062 ) (1,045 ) — (1,045 ) — Company controlled deposits (1,039 ) (947 ) — (947 ) — Federal Home Loan Bank advances (3,541 ) (3,543 ) — (3,543 ) — Long-term debt (247 ) (89 ) — (89 ) — Warrant liabilities (8 ) (8 ) — (8 ) — DOJ litigation settlement (84 ) (84 ) — — (84 ) Derivative financial instruments, liabilities (18 ) (18 ) (1 ) (17 ) —
Schedule of Changes in Fair Value Included in Earnings	The following table reflects the change in fair value included in earnings of financial instruments for which the fair value option has been elected: Three Months Ended September 30, Nine Months Ended September 30, 2016 2015 2016 2015 Assets (Dollars in millions) Loans held-for-sale Net gain on loan sales $ 151 $ 134 $ 440 $ 276 Loans held-for-investment Interest income on loans $ — $ 1 $ (2 ) $ 4 Other noninterest income — (1 ) — (35 ) Liabilities Long-term debt Other noninterest income $ — $ 3 $ — $ 28 Litigation settlement Other noninterest income $ 24 $ — $ 24 $ 2 Other noninterest (expense) $ — $ — $ — $ (2 )
Fair Value, Option, Quantitative Disclosures	The following table reflects the difference between the aggregate fair value and aggregate remaining contractual principal balance outstanding as of September 30, 2016 and December 31, 2015 for assets and liabilities for which the fair value option has been elected: September 30, 2016 December 31, 2015 (Dollars in millions) Unpaid Principal Balance Fair Value Fair Value Over / (Under) Unpaid Principal Balance Unpaid Principal Balance Fair Value Fair Value Over / (Under) Unpaid Principal Balance Assets Nonaccrual loans Loans held-for-sale $ 2 $ 2 $ — $ 1 $ — $ (1 ) Loans held-for-investment 18 12 (6 ) 21 10 (11 ) Total nonaccrual loans $ 20 $ 14 $ (6 ) $ 22 $ 10 $ (12 ) Other performing loans Loans held-for-sale $ 3,217 $ 3,350 $ 133 $ 2,451 $ 2,541 $ 90 Loans held-for-investment 81 68 (13 ) 112 101 (11 ) Total other performing loans $ 3,298 $ 3,418 $ 120 $ 2,563 $ 2,642 $ 79 Total loans Loans held-for-sale $ 3,219 $ 3,352 $ 133 $ 2,452 $ 2,541 $ 89 Loans held-for-investment 99 80 (19 ) 133 111 (22 ) Total loans $ 3,318 $ 3,432 $ 114 $ 2,585 $ 2,652 $ 67 Liabilities Litigation settlement (1) $ (118 ) $ (60 ) $ 58 $ (118 ) $ (84 ) $ 34 (1) We are obligated to pay $118 million in installment payments upon meeting certain performance conditions.

Segment Information (Tables)

Segment Information (Tables)	9 Months Ended
	Sep. 30, 2016
Segment Reporting [Abstract]
Schedule of Segment Reporting Information, by Segment	The following tables present financial information by business segment for the periods indicated: Three Months Ended September 30, 2016 Mortgage Originations Mortgage Servicing Community Banking Other Total Summary of Operations (Dollars in millions) Net interest income $ 21 $ 10 $ 54 $ (5 ) $ 80 Net gain on loan sales 95 — (1 ) — 94 Representation and warranty benefit 6 — — — 6 Other noninterest income 4 13 8 31 56 Total net interest income and noninterest income 126 23 61 26 236 (Provision) benefit for loan losses — — (7 ) — (7 ) Asset resolution — (2 ) — — (2 ) Depreciation and amortization expense (2 ) — (1 ) (5 ) (8 ) Other noninterest expense (64 ) (25 ) (43 ) — (132 ) Total noninterest expense (66 ) (27 ) (44 ) (5 ) (142 ) Income (loss) before income taxes 60 (4 ) 10 21 87 Provision for income taxes — — — 30 30 Net income (loss) $ 60 $ (4 ) $ 10 $ (9 ) $ 57 Intersegment revenue $ (1 ) $ 5 $ — $ (4 ) $ — Average balances Loans held-for-sale $ 3,400 $ — $ 16 $ — $ 3,416 Loans with government guarantees — 432 — — 432 Loans held-for-investment 5 — 5,843 — 5,848 Total assets 4,238 623 5,904 3,383 14,148 Deposits — 1,853 7,273 — 9,126 Three Months Ended September 30, 2015 Mortgage Originations Mortgage Servicing Community Banking Other Total Summary of Operations (Dollars in millions) Net interest income $ 18 $ 3 $ 45 $ 7 $ 73 Net gain on loan sales 72 — (4 ) — 68 Representation and warranty benefit 6 — — — 6 Other noninterest income 26 15 11 2 54 Total net interest income and noninterest income 122 18 52 9 201 (Provision) benefit for loan losses — — 1 — 1 Depreciation and amortization expense (1 ) (1 ) (1 ) (3 ) (6 ) Other noninterest expense (56 ) (27 ) (39 ) (3 ) (125 ) Total noninterest expense (57 ) (28 ) (40 ) (6 ) (131 ) Income (loss) before income taxes 65 (10 ) 13 3 71 Provision for income taxes — — — 24 24 Net income (loss) $ 65 $ (10 ) $ 13 $ (21 ) $ 47 Intersegment revenue $ 3 $ 5 $ (4 ) $ (4 ) $ — Average balances Loans held-for-sale $ 2,179 $ — $ 21 $ — $ 2,200 Loans with government guarantees — 547 — — 547 Loans held-for-investment 4 — 5,348 60 5,412 Total assets 2,709 860 5,336 3,400 12,305 Deposits — 1,487 6,773 — 8,260 Nine Months Ended September 30, 2016 Mortgage Origination Mortgage Servicing Community Banking Other Total Summary of Operations (Dollars in millions) Net interest income $ 61 $ 23 $ 150 $ 2 $ 236 Net gain (loss) on loan sales 251 — 8 — 259 Representation and warranty benefit 12 — — — 12 Other noninterest income (loss) 17 39 21 41 118 Total net interest income and noninterest income 341 62 179 43 625 (Provision) benefit for loan losses — — 9 — 9 Asset resolution — (6 ) — — (6 ) Depreciation and amortization expense (4 ) (2 ) (5 ) (12 ) (23 ) Other noninterest expense (182 ) (70 ) (131 ) (6 ) (389 ) Total noninterest expense (186 ) (78 ) (136 ) (18 ) (418 ) Income (loss) before income taxes 155 (16 ) 52 25 216 Provision for income taxes — — — 73 73 Net income (loss) $ 155 $ (16 ) $ 52 $ (48 ) $ 143 Intersegment revenue $ 1 $ 16 $ (1 ) $ (16 ) $ — Average balances Loans held-for-sale $ 2,988 $ — $ 83 $ — $ 3,071 Loans with government guarantees — 450 — — 450 Loans held-for-investment 6 — 5,689 — 5,695 Total assets 3,688 676 5,798 3,549 13,711 Deposits — 1,523 7,080 — 8,603 Nine Months Ended September 30, 2015 Mortgage Origination Mortgage Servicing Community Banking Other Total Summary of Operations (Dollars in millions) Net interest income $ 52 $ 10 $ 126 $ 23 $ 211 Net gain (loss) on loan sales 255 — (13 ) — 242 Representation and warranty benefit 13 — — — 13 Other noninterest income 60 42 19 (3 ) 118 Total net interest income and noninterest income 380 52 132 20 584 (Provision) benefit for loan losses — — 18 — 18 Asset resolution — (12 ) (1 ) — (13 ) Depreciation and amortization expense (2 ) (2 ) (4 ) (9 ) (17 ) Other noninterest expense (174 ) (80 ) (116 ) (7 ) (377 ) Total noninterest expense (176 ) (94 ) (121 ) (16 ) (407 ) Income (loss) before income taxes 204 (42 ) 29 4 195 Provision for income taxes — — — 70 70 Net income (loss) $ 204 $ (42 ) $ 29 $ (66 ) $ 125 Intersegment revenue $ 9 $ 13 $ (13 ) $ (9 ) $ — Average balances Loans held-for-sale $ 2,052 $ — $ 36 $ — $ 2,088 Loans with government guarantees — 679 — — 679 Loans held-for-investment 3 — 4,786 96 4,885 Total assets 2,555 1,004 4,753 3,351 11,663 Deposits — 1,189 6,602 — 7,791

Investment Securities (Details)

Investment Securities (Details) - USD ($)	3 Months Ended		9 Months Ended
	Sep. 30, 2016	Sep. 30, 2015	Sep. 30, 2016	Sep. 30, 2015	Dec. 31, 2015
Investment securities
Amortized Cost	$ 1,095,000,000		$ 1,095,000,000		$ 1,294,000,000
Gross Unrealized Gains	20,000,000		20,000,000		5,000,000
Gross Unrealized Losses	0		0		(5,000,000)
Fair Value	1,115,000,000		1,115,000,000		1,294,000,000
Held-to-maturity Securities [Abstract]
Amortized Cost	1,156,000,000		1,156,000,000		1,268,000,000
Gross Unrealized Gains	21,000,000		21,000,000		0
Gross Unrealized Losses	0		0		(6,000,000)
Fair Value	1,177,000,000		1,177,000,000		1,262,000,000
Other than temporary impairments	0	$ 0	0	$ 0
Agency - Commercial
Held-to-maturity Securities [Abstract]
Amortized Cost	619,000,000		619,000,000		634,000,000
Gross Unrealized Gains	9,000,000		9,000,000		0
Gross Unrealized Losses	0		0		(2,000,000)
Fair Value	628,000,000		628,000,000		632,000,000
Agency - Residential
Held-to-maturity Securities [Abstract]
Amortized Cost	537,000,000		537,000,000		634,000,000
Gross Unrealized Gains	12,000,000		12,000,000		0
Gross Unrealized Losses	0		0		(4,000,000)
Fair Value	549,000,000		549,000,000		630,000,000
Agency - Commercial
Investment securities
Amortized Cost	500,000,000		500,000,000		766,000,000
Gross Unrealized Gains	10,000,000		10,000,000		3,000,000
Gross Unrealized Losses	0		0		(3,000,000)
Fair Value	510,000,000		510,000,000		766,000,000
Agency - Residential
Investment securities
Amortized Cost	563,000,000		563,000,000		514,000,000
Gross Unrealized Gains	10,000,000		10,000,000		2,000,000
Gross Unrealized Losses	0		0		(2,000,000)
Fair Value	573,000,000		573,000,000		514,000,000
Municipal obligations
Investment securities
Amortized Cost	32,000,000		32,000,000		14,000,000
Gross Unrealized Gains	0		0		0
Gross Unrealized Losses	0		0		0
Fair Value	$ 32,000,000		$ 32,000,000		$ 14,000,000

Investment Securities (Availabl

Investment Securities (Available-for-sale and Held-to-maturity Securities, Unrealized Losses) (Details)	3 Months Ended		9 Months Ended
	Sep. 30, 2016USD ($)security	Sep. 30, 2015USD ($)	Sep. 30, 2016USD ($)security	Sep. 30, 2015USD ($)	Dec. 31, 2015USD ($)security
Schedule of Available-for-sale Securities [Line Items]
Purchase of investment securities available-for-sale			$ 203,000,000	$ 783,000,000
Sales of AFS securities	$ 115,000,000	$ 0	290,000,000	0
Sales of AFS securities, realized gain (loss)	3,000,000		4,000,000
Non-cash reclassification of investment securities AFS to HTM		1,100,000,000	0	1,136,000,000
Transfer of available-for-sale securities to held-to-maturity, premium		8,000,000
Unrealized holding gain (loss), net of tax included in transfer		5,000,000
Gain (loss) related to transfer of HTM securities		0
Purchase of investment securities HTM	0	10,000,000	15,000,000	10,000,000
Proceeds from sale of held-to-maturity securities	0
Maturity of HTM securities		25,000,000	126,000,000	38,000,000
Available-for-sale Securities Pledged as Collateral	918,000,000		918,000,000		$ 14,000,000
Agency - Commercial
Schedule of Available-for-sale Securities [Line Items]
Held-to-maturity Securities, Unrealized Loss Position with Duration 12 Months and Over, Fair Value	$ 0		$ 0		$ 0
Held-to-maturity Securities, Unrealized Loss Position with Duration 12 Months and Over, Number of Positions | security	0		0		0
Held-to-maturity Securities, Unrealized Loss Position with Duration 12 Months or Over, Unrealized Loss	$ 0		$ 0		$ 0
Held-to-maturity Securities, Unrealized Loss Position with Duration Under 12 Months, Fair Value	$ 20,000,000		$ 20,000,000		$ 471,000,000
Held-to-maturity Securities, Unrealized Loss Position with Duration Under 12 Months, Number of Positions | security	2		2		27
Held-to-maturity Securities, Unrealized Loss Position with Duration Under 12 Months, Unrealized Loss	$ 0		$ 0		$ (2,000,000)
Agency - Residential
Schedule of Available-for-sale Securities [Line Items]
Held-to-maturity Securities, Unrealized Loss Position with Duration 12 Months and Over, Fair Value	$ 0		$ 0		$ 0
Held-to-maturity Securities, Unrealized Loss Position with Duration 12 Months and Over, Number of Positions | security	0		0		0
Held-to-maturity Securities, Unrealized Loss Position with Duration 12 Months or Over, Unrealized Loss	$ 0		$ 0		$ 0
Held-to-maturity Securities, Unrealized Loss Position with Duration Under 12 Months, Fair Value	$ 19,000,000		$ 19,000,000		$ 547,000,000
Held-to-maturity Securities, Unrealized Loss Position with Duration Under 12 Months, Number of Positions | security	2		2		50
Held-to-maturity Securities, Unrealized Loss Position with Duration Under 12 Months, Unrealized Loss	$ 0		$ 0		$ (4,000,000)
US Government-sponsored Enterprises Debt Securities
Schedule of Available-for-sale Securities [Line Items]
Purchase of investment securities available-for-sale	136,000,000	59,000,000	203,000,000	$ 783,000,000
Non-cash reclassification of investment securities AFS to HTM		$ 462,000,000
Agency - Commercial
Schedule of Available-for-sale Securities [Line Items]
Available-for-sale Securities, Unrealized Loss Position with Duration 12 Months and Over, Fair Value	$ 6,000,000		$ 6,000,000		$ 0
Available-for-sale Securities, Unrealized Loss Position with Duration 12 Months and Over, Number of Securities | security	1		1		0
Available-for-sale Securities, Unrealized Loss Position with Duration 12 Months and Over, Unrealized Loss	$ 0		$ 0		$ 0
Available-for-Sale Securities, Unrealized Loss Position with Duration Under 12 Months, Fair Value	$ 0		$ 0		$ 482,000,000
Available-for-Sale Securities, Unrealized Loss Position with Duration Under 12 Months, Number of Securities | security	0		0		27
Available-for-Sale Securities, Unrealized Loss Position with Duration Under 12 Months, Unrealized Loss	$ 0		$ 0		$ (3,000,000)
Agency - Residential
Schedule of Available-for-sale Securities [Line Items]
Available-for-sale Securities, Unrealized Loss Position with Duration 12 Months and Over, Fair Value	$ 0		$ 0		$ 8,000,000
Available-for-sale Securities, Unrealized Loss Position with Duration 12 Months and Over, Number of Securities | security	0		0		2
Available-for-sale Securities, Unrealized Loss Position with Duration 12 Months and Over, Unrealized Loss	$ 0		$ 0		$ 0
Available-for-Sale Securities, Unrealized Loss Position with Duration Under 12 Months, Fair Value	$ 75,000,000		$ 75,000,000		$ 224,000,000
Available-for-Sale Securities, Unrealized Loss Position with Duration Under 12 Months, Number of Securities | security	6		6		15
Available-for-Sale Securities, Unrealized Loss Position with Duration Under 12 Months, Unrealized Loss	$ 0		$ 0		$ (2,000,000)
Municipal obligations
Schedule of Available-for-sale Securities [Line Items]
Available-for-sale Securities, Unrealized Loss Position with Duration 12 Months and Over, Fair Value	$ 0		$ 0
Available-for-sale Securities, Unrealized Loss Position with Duration 12 Months and Over, Number of Securities | security	0		0
Available-for-sale Securities, Unrealized Loss Position with Duration 12 Months and Over, Unrealized Loss	$ 0		$ 0
Available-for-Sale Securities, Unrealized Loss Position with Duration Under 12 Months, Fair Value	$ 1,000,000		$ 1,000,000
Available-for-Sale Securities, Unrealized Loss Position with Duration Under 12 Months, Number of Securities | security	1		1
Available-for-Sale Securities, Unrealized Loss Position with Duration Under 12 Months, Unrealized Loss	$ 0		$ 0

Investment Securities (Contract

Investment Securities (Contractual Maturity) (Details) - USD ($) $ in Millions	Sep. 30, 2016	Dec. 31, 2015
Investment Securities Available-for-Sale, Amortized Cost
Due after one year through five years, amortized cost	$ 18
Due after five years through 10 years, amortized cost	7
Due after 10 years, amortized cost	1,070
Total, amortized cost	1,095
Investment Securities Available-for-Sale, Estimated Fair Value
Due after one year through five years, fair value	18
Due after five years through 10 years, fair value	7
Due after 10 years, fair value	1,090
Fair Value	$ 1,115	$ 1,294
Investment Securities Available-for-Sale, Weighted-Average Yield
Due after one year through five years, weighted average yield (as a percent)	3.94%
Due after five years through 10 years, weighted average yield (as a percent)	2.64%
Due after 10 years, weighted average yield (as a percent)	2.45%
Investment Securities Held-to-maturity, Amortized cost
Due after one year through five years, amortized cost	$ 0
Due after five years through 10 years, amortized cost	61
Due after 10 years, amortized cost	1,095
Amortized Cost	1,156	1,268
Investment Securities Held-to-maturity, Estimated Fair Value
Due after one year through five years, fair value	0
Due after five years through 10 years, fair value	63
Due after 10 years, fair value	1,114
Fair Value	$ 1,177	$ 1,262
Investment Securities Held-to-maturity, Weighted-Average Yield
Due after one year through five years, weighted average yield (as a percent)	0.00%
Due after five years through 10 years, weighted average yield (as a percent)	2.50%
Due after 10 years, weighted average yield (as a percent)	2.40%

Loans Held-for-Sale (Details)

Loans Held-for-Sale (Details) - USD ($) $ in Millions	3 Months Ended		9 Months Ended
	Sep. 30, 2016	Sep. 30, 2015	Sep. 30, 2016	Sep. 30, 2015	Dec. 31, 2015
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans held-for-sale	$ 3,393		$ 3,393		$ 2,576
Net gain on loan sales	94	$ 68	259	$ 242
Loans held-for-sale, other	40		40		35
Loans held-for-sale
Accounts, Notes, Loans and Financing Receivable [Line Items]
Net gain on loan sales	94	$ 68	244	$ 242
Consumer loans | Residential first mortgage loans
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans held-for-sale	$ 3,400		$ 3,400		$ 2,600

Loans Held-for-Investment (Deta

Loans Held-for-Investment (Details) - USD ($) $ in Millions	Sep. 30, 2016	Dec. 31, 2015
Loans and Leases Receivable, Net Amount [Abstract]
Total Investment Loans	$ 6,290	$ 6,352
Residential first mortgage loans
Loans and Leases Receivable, Net Amount [Abstract]
Total Investment Loans	2,136	3,100
Second mortgage
Loans and Leases Receivable, Net Amount [Abstract]
Total Investment Loans	127	135
HELOC loans
Loans and Leases Receivable, Net Amount [Abstract]
Total Investment Loans	326	384
Other
Loans and Leases Receivable, Net Amount [Abstract]
Total Investment Loans	30	31
Consumer loans
Loans and Leases Receivable, Net Amount [Abstract]
Total Investment Loans	2,619	3,650
Commercial real estate
Loans and Leases Receivable, Net Amount [Abstract]
Total Investment Loans	1,168	814
Commercial real estate | Commercial Borrower
Loans and Leases Receivable, Net Amount [Abstract]
Total Investment Loans	252	188
Commercial and industrial
Loans and Leases Receivable, Net Amount [Abstract]
Total Investment Loans	708	552
Warehouse lending
Loans and Leases Receivable, Net Amount [Abstract]
Total Investment Loans	1,795	1,336
Commercial loans
Loans and Leases Receivable, Net Amount [Abstract]
Total Investment Loans	$ 3,671	$ 2,702

Loans Held-for-Investment (Narr

Loans Held-for-Investment (Narrative) (Details) - USD ($)	3 Months Ended		9 Months Ended
	Sep. 30, 2016	Sep. 30, 2015	Sep. 30, 2016	Sep. 30, 2015	Dec. 31, 2015
Accounts, Notes, Loans and Financing Receivable [Line Items]
Non-cash reclassification of mortgage loans originated HFS to HFI			$ 2,000,000	$ 30,000,000
Charge-offs related to sale of loans		$ 16,000,000		67,000,000
Net gain (loss) on sale of assets	$ 0	1,000,000	(2,000,000)	(1,000,000)
Charge-offs	9,000,000	27,000,000	33,000,000	90,000,000
Loans held-for-investment
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans Pledged as Collateral	5,600,000,000		5,600,000,000		$ 5,800,000,000
Residential first mortgage loans
Accounts, Notes, Loans and Financing Receivable [Line Items]
Charge-offs related to sale of loans			1,200,000,000	600,000,000
Net gain (loss) on sale of assets			14,000,000	(1,000,000)
Charge-offs			8,000,000	67,000,000
Unpaid principal balances			150,000,000	197,000,000
Premiums	1,000,000	$ 7,000,000	1,000,000	7,000,000
Nonperforming
Accounts, Notes, Loans and Financing Receivable [Line Items]
Charge-offs	$ 0
Nonperforming | Residential first mortgage loans
Accounts, Notes, Loans and Financing Receivable [Line Items]
Charge-offs related to sale of loans			110,000,000	$ 420,000,000
Net gain (loss) on sale of assets			$ (2,000,000)

Loans Held-for-Investment (Allo

Loans Held-for-Investment (Allowance for Loan Losses Rollforward) (Details) - USD ($)	3 Months Ended		9 Months Ended
	Sep. 30, 2016	Sep. 30, 2015	Sep. 30, 2016	Sep. 30, 2015
Allowance for Loan Losses [Roll Forward]
Beginning balance allowance for loan losses	$ 150,000,000	$ 222,000,000	$ 187,000,000	$ 297,000,000
Charge-offs	(9,000,000)	(27,000,000)	(33,000,000)	(90,000,000)
Recoveries	2,000,000	3,000,000	5,000,000	8,000,000
Provision (benefit)	0	(1,000,000)	(16,000,000)	(18,000,000)
Ending balance allowance for loan losses	143,000,000	197,000,000	143,000,000	197,000,000
Charge-offs related to sale of loans		16,000,000		67,000,000
Reclassification to other assets	7,000,000
Residential first mortgage
Allowance for Loan Losses [Roll Forward]
Beginning balance allowance for loan losses	81,000,000	151,000,000	116,000,000	234,000,000
Charge-offs	(7,000,000)	(21,000,000)	(26,000,000)	(80,000,000)
Recoveries	0	1,000,000	1,000,000	3,000,000
Provision (benefit)	(4,000,000)	(2,000,000)	(21,000,000)	(28,000,000)
Ending balance allowance for loan losses	70,000,000	129,000,000	70,000,000	129,000,000
Second mortgage
Allowance for Loan Losses [Roll Forward]
Beginning balance allowance for loan losses	10,000,000	14,000,000	11,000,000	12,000,000
Charge-offs	0	(1,000,000)	(2,000,000)	(2,000,000)
Recoveries	0	1,000,000	1,000,000	1,000,000
Provision (benefit)	(1,000,000)	(1,000,000)	(1,000,000)	2,000,000
Ending balance allowance for loan losses	9,000,000	13,000,000	9,000,000	13,000,000
HELOC commitments
Allowance for Loan Losses [Roll Forward]
Beginning balance allowance for loan losses	20,000,000	25,000,000	21,000,000	19,000,000
Charge-offs	(1,000,000)	(1,000,000)	(2,000,000)	(2,000,000)
Recoveries	1,000,000	0	1,000,000	0
Provision (benefit)	(4,000,000)	(1,000,000)	(4,000,000)	6,000,000
Ending balance allowance for loan losses	16,000,000	23,000,000	16,000,000	23,000,000
Other Consumer
Allowance for Loan Losses [Roll Forward]
Beginning balance allowance for loan losses	1,000,000	1,000,000	2,000,000	1,000,000
Charge-offs	(1,000,000)	(1,000,000)	(3,000,000)	(3,000,000)
Recoveries	1,000,000	1,000,000	2,000,000	2,000,000
Provision (benefit)	0	0	0	1,000,000
Ending balance allowance for loan losses	1,000,000	1,000,000	1,000,000	1,000,000
Commercial real estate
Allowance for Loan Losses [Roll Forward]
Beginning balance allowance for loan losses	19,000,000	15,000,000	18,000,000	17,000,000
Charge-offs	0	0	0	0
Recoveries	0	0	0	2,000,000
Provision (benefit)	6,000,000	(2,000,000)	7,000,000	(6,000,000)
Ending balance allowance for loan losses	25,000,000	13,000,000	25,000,000	13,000,000
Commercial and industrial
Allowance for Loan Losses [Roll Forward]
Beginning balance allowance for loan losses	11,000,000	12,000,000	13,000,000	11,000,000
Charge-offs	0	(3,000,000)	0	(3,000,000)
Recoveries	0	0	0	0
Provision (benefit)	3,000,000	5,000,000	1,000,000	6,000,000
Ending balance allowance for loan losses	14,000,000	14,000,000	14,000,000	14,000,000
Warehouse lending
Allowance for Loan Losses [Roll Forward]
Beginning balance allowance for loan losses	8,000,000	4,000,000	6,000,000	3,000,000
Charge-offs	0	0	0	0
Recoveries	0	0	0	0
Provision (benefit)	0	0	2,000,000	1,000,000
Ending balance allowance for loan losses	8,000,000	$ 4,000,000	8,000,000	4,000,000
Residential first mortgage
Allowance for Loan Losses [Roll Forward]
Charge-offs			(8,000,000)	(67,000,000)
Charge-offs related to sale of loans			1,200,000,000	600,000,000
Loans Insured or Guaranteed by US Government Authorities
Allowance for Loan Losses [Roll Forward]
Charge-offs	(6,000,000)
Charge-offs related to sale of loans			13,000,000
Nonperforming
Allowance for Loan Losses [Roll Forward]
Charge-offs	$ 0
Nonperforming | Residential first mortgage
Allowance for Loan Losses [Roll Forward]
Charge-offs related to sale of loans			$ 110,000,000	$ 420,000,000

Loans Held-for-Investment (Al49

Loans Held-for-Investment (Allowance Additional Disclosure) (Details) - USD ($) $ in Millions	Sep. 30, 2016	Jun. 30, 2016	Dec. 31, 2015	Sep. 30, 2015	Jun. 30, 2015	Dec. 31, 2014
Allowance for Loan Losses [Line Items]
Individually evaluated	$ 73		$ 120
Collectively evaluated	6,138		6,121
Total loans	6,211		6,241
Individually evaluated	14		20
Collectively evaluated	129		167
Total allowance for loan losses	143	$ 150	187	$ 197	$ 222	$ 297
Residential first mortgage
Allowance for Loan Losses [Line Items]
Individually evaluated	42		87
Collectively evaluated	2,087		3,007
Total loans	2,129		3,094
Individually evaluated	7		12
Collectively evaluated	63		104
Total allowance for loan losses	70	81	116	129	151	234
Second mortgage
Allowance for Loan Losses [Line Items]
Individually evaluated	26		28
Collectively evaluated	60		65
Total loans	86		93
Individually evaluated	6		6
Collectively evaluated	3		5
Total allowance for loan losses	9	10	11	13	14	12
HELOC commitments
Allowance for Loan Losses [Line Items]
Individually evaluated	4		3
Collectively evaluated	291		318
Total loans	295		321
Individually evaluated	1		1
Collectively evaluated	15		20
Total allowance for loan losses	16	20	21	23	25	19
Other Consumer
Allowance for Loan Losses [Line Items]
Individually evaluated	0		0
Collectively evaluated	30		31
Total loans	30		31
Individually evaluated	0		1
Collectively evaluated	1		1
Total allowance for loan losses	1	1	2	1	1	1
Commercial real estate
Allowance for Loan Losses [Line Items]
Individually evaluated	0		0
Collectively evaluated	1,168		814
Total loans	1,168		814
Individually evaluated	0		0
Collectively evaluated	25		18
Total allowance for loan losses	25	19	18	13	15	17
Commercial and industrial
Allowance for Loan Losses [Line Items]
Individually evaluated	1		2
Collectively evaluated	707		550
Total loans	708		552
Individually evaluated	0		0
Collectively evaluated	14		13
Total allowance for loan losses	14	11	13	14	12	11
Warehouse lending
Allowance for Loan Losses [Line Items]
Individually evaluated	0		0
Collectively evaluated	1,795		1,336
Total loans	1,795		1,336
Individually evaluated	0		0
Collectively evaluated	8		6
Total allowance for loan losses	$ 8	$ 8	$ 6	$ 4	$ 4	$ 3

Loans Held-for-Investment (Past

Loans Held-for-Investment (Past Due Loans) (Details) - USD ($)	3 Months Ended		9 Months Ended
	Sep. 30, 2016	Sep. 30, 2015	Sep. 30, 2016	Sep. 30, 2015	Dec. 31, 2015
Loans, Aging [Abstract]
Total Past Due	$ 48,000,000		$ 48,000,000		$ 80,000,000
Current	6,242,000,000		6,242,000,000		6,272,000,000
Total Investment Loans	6,290,000,000		6,290,000,000		6,352,000,000
Loans greater than 90 days past due accounted for under the fair value option	12,000,000		12,000,000		10,000,000
Accrued interest on nonaccrual loans	1,000,000	$ 1,000,000	2,000,000	$ 4,000,000
90 Days and Still Accruing	0		0		0
Residential first mortgage
Loans, Aging [Abstract]
Total Past Due	34,000,000		34,000,000		63,000,000
Current	2,102,000,000		2,102,000,000		3,037,000,000
Total Investment Loans	2,136,000,000		2,136,000,000		3,100,000,000
Second mortgage
Loans, Aging [Abstract]
Total Past Due	4,000,000		4,000,000		2,000,000
Current	123,000,000		123,000,000		133,000,000
Total Investment Loans	127,000,000		127,000,000		135,000,000
HELOC commitments
Loans, Aging [Abstract]
Total Past Due	8,000,000		8,000,000		12,000,000
Current	318,000,000		318,000,000		372,000,000
Total Investment Loans	326,000,000		326,000,000		384,000,000
Other
Loans, Aging [Abstract]
Total Past Due	2,000,000		2,000,000		1,000,000
Current	28,000,000		28,000,000		30,000,000
Total Investment Loans	30,000,000		30,000,000		31,000,000
Consumer loans
Loans, Aging [Abstract]
Total Past Due	48,000,000		48,000,000		78,000,000
Current	2,571,000,000		2,571,000,000		3,572,000,000
Total Investment Loans	2,619,000,000		2,619,000,000		3,650,000,000
Commercial real estate
Loans, Aging [Abstract]
Total Past Due	0		0		0
Current	1,168,000,000		1,168,000,000		814,000,000
Total Investment Loans	1,168,000,000		1,168,000,000		814,000,000
Commercial and industrial
Loans, Aging [Abstract]
Total Past Due	0		0		2,000,000
Current	708,000,000		708,000,000		550,000,000
Total Investment Loans	708,000,000		708,000,000		552,000,000
Warehouse lending
Loans, Aging [Abstract]
Total Past Due	0		0		0
Current	1,795,000,000		1,795,000,000		1,336,000,000
Total Investment Loans	1,795,000,000		1,795,000,000		1,336,000,000
Commercial loans
Loans, Aging [Abstract]
Total Past Due	0		0		2,000,000
Current	3,671,000,000		3,671,000,000		2,700,000,000
Total Investment Loans	3,671,000,000		3,671,000,000		2,702,000,000
30-59 Days Past Due
Loans, Aging [Abstract]
Total Past Due	6,000,000		6,000,000		10,000,000
30-59 Days Past Due | Residential first mortgage
Loans, Aging [Abstract]
Total Past Due	4,000,000		4,000,000		7,000,000
30-59 Days Past Due | Second mortgage
Loans, Aging [Abstract]
Total Past Due	0		0		0
30-59 Days Past Due | HELOC commitments
Loans, Aging [Abstract]
Total Past Due	1,000,000		1,000,000		2,000,000
30-59 Days Past Due | Other
Loans, Aging [Abstract]
Total Past Due	1,000,000		1,000,000		1,000,000
30-59 Days Past Due | Consumer loans
Loans, Aging [Abstract]
Total Past Due	6,000,000		6,000,000		10,000,000
30-59 Days Past Due | Commercial real estate
Loans, Aging [Abstract]
Total Past Due	0		0		0
30-59 Days Past Due | Commercial and industrial
Loans, Aging [Abstract]
Total Past Due	0		0		0
30-59 Days Past Due | Warehouse lending
Loans, Aging [Abstract]
Total Past Due	0		0		0
30-59 Days Past Due | Commercial loans
Loans, Aging [Abstract]
Total Past Due	0		0		0
60-89 Days Past Due
Loans, Aging [Abstract]
Total Past Due	2,000,000		2,000,000		4,000,000
60-89 Days Past Due | Residential first mortgage
Loans, Aging [Abstract]
Total Past Due	1,000,000		1,000,000		3,000,000
60-89 Days Past Due | Second mortgage
Loans, Aging [Abstract]
Total Past Due	0		0		0
60-89 Days Past Due | HELOC commitments
Loans, Aging [Abstract]
Total Past Due	0		0		1,000,000
60-89 Days Past Due | Other
Loans, Aging [Abstract]
Total Past Due	1,000,000		1,000,000		0
60-89 Days Past Due | Consumer loans
Loans, Aging [Abstract]
Total Past Due	2,000,000		2,000,000		4,000,000
60-89 Days Past Due | Commercial real estate
Loans, Aging [Abstract]
Total Past Due	0		0		0
60-89 Days Past Due | Commercial and industrial
Loans, Aging [Abstract]
Total Past Due	0		0		0
60-89 Days Past Due | Warehouse lending
Loans, Aging [Abstract]
Total Past Due	0		0		0
60-89 Days Past Due | Commercial loans
Loans, Aging [Abstract]
Total Past Due	0		0		0
90 Days or Greater Past Due
Loans, Aging [Abstract]
Total Past Due	40,000,000		40,000,000		66,000,000
90 Days or Greater Past Due | Residential first mortgage
Loans, Aging [Abstract]
Total Past Due	29,000,000		29,000,000		53,000,000
90 Days or Greater Past Due | Second mortgage
Loans, Aging [Abstract]
Total Past Due	4,000,000		4,000,000		2,000,000
90 Days or Greater Past Due | HELOC commitments
Loans, Aging [Abstract]
Total Past Due	7,000,000		7,000,000		9,000,000
90 Days or Greater Past Due | Other
Loans, Aging [Abstract]
Total Past Due	0		0		0
90 Days or Greater Past Due | Consumer loans
Loans, Aging [Abstract]
Total Past Due	40,000,000		40,000,000		64,000,000
90 Days or Greater Past Due | Commercial real estate
Loans, Aging [Abstract]
Total Past Due	0		0		0
90 Days or Greater Past Due | Commercial and industrial
Loans, Aging [Abstract]
Total Past Due	0		0		2,000,000
90 Days or Greater Past Due | Warehouse lending
Loans, Aging [Abstract]
Total Past Due	0		0		0
90 Days or Greater Past Due | Commercial loans
Loans, Aging [Abstract]
Total Past Due	$ 0		$ 0		$ 2,000,000

Loans Held-for-Investment (Trou

Loans Held-for-Investment (Troubled Debt Restructurings) (Details) - USD ($) $ in Millions	Sep. 30, 2016	Dec. 31, 2015
Troubled Debt Restructurings [Line Items]
TDR Balance	$ 88	$ 136
TDR loans under fair value option	26	32
Performing
Troubled Debt Restructurings [Line Items]
TDR Balance	71	101
Nonperforming
Troubled Debt Restructurings [Line Items]
TDR Balance	17	35
Consumer loans
Troubled Debt Restructurings [Line Items]
TDR Balance	87
Allowance for loan losses on TDR loans	11	15
Consumer loans | Performing
Troubled Debt Restructurings [Line Items]
TDR Balance	70
Consumer loans | Nonperforming
Troubled Debt Restructurings [Line Items]
TDR Balance	17
Consumer loans | Residential first mortgage
Troubled Debt Restructurings [Line Items]
TDR Balance	33	76
Consumer loans | Residential first mortgage | Performing
Troubled Debt Restructurings [Line Items]
TDR Balance	23	49
Consumer loans | Residential first mortgage | Nonperforming
Troubled Debt Restructurings [Line Items]
TDR Balance	10	27
Consumer loans | Second mortgage
Troubled Debt Restructurings [Line Items]
TDR Balance	36	33
Consumer loans | Second mortgage | Performing
Troubled Debt Restructurings [Line Items]
TDR Balance	33	32
Consumer loans | Second mortgage | Nonperforming
Troubled Debt Restructurings [Line Items]
TDR Balance	3	1
Consumer loans | HELOC commitments
Troubled Debt Restructurings [Line Items]
TDR Balance	18	27
Consumer loans | HELOC commitments | Performing
Troubled Debt Restructurings [Line Items]
TDR Balance	14	20
Consumer loans | HELOC commitments | Nonperforming
Troubled Debt Restructurings [Line Items]
TDR Balance	4	$ 7
Commercial loans
Troubled Debt Restructurings [Line Items]
TDR Balance	1
Commercial loans | Performing
Troubled Debt Restructurings [Line Items]
TDR Balance	1
Commercial loans | Nonperforming
Troubled Debt Restructurings [Line Items]
TDR Balance	0
Commercial loans | Commercial and industrial
Troubled Debt Restructurings [Line Items]
TDR Balance	1
Commercial loans | Commercial and industrial | Performing
Troubled Debt Restructurings [Line Items]
TDR Balance	1
Commercial loans | Commercial and industrial | Nonperforming
Troubled Debt Restructurings [Line Items]
TDR Balance	$ 0

Loans Held-for-Investment (Tr52

Loans Held-for-Investment (Troubled Debt Restructuring Detail) (Details) $ in Millions	3 Months Ended		9 Months Ended
	Sep. 30, 2016USD ($)loan	Sep. 30, 2015USD ($)loan	Sep. 30, 2016USD ($)loan	Sep. 30, 2015USD ($)loan
Troubled Debt Restructurings [Line Items]
Number of Accounts | loan	18	109	146	529
Pre-Modification Unpaid Principal Balance	$ 1	$ 18	$ 13	$ 82
Post-Modification Unpaid Principal Balance	1	19	12	79
Increase in Allowance at Modification	$ 0	$ 0	$ 0	$ (1)
TDRs that subsequently defaulted in previous 12 months, Number of Accounts | loan	3	1	8	2
TDRs that subsequently defaulted in previous 12 months, Unpaid Principal Balance	$ 0	$ 0	$ 0	$ 0
TDRs that subsequently defaulted in previous 12 months, Increase in Allowance at Subsequent Default	$ 0	$ 0	$ 0	$ 0
Residential first mortgage
Troubled Debt Restructurings [Line Items]
Number of Accounts | loan	1	48	17	239
Pre-Modification Unpaid Principal Balance	$ 0	$ 13	$ 3	$ 66
Post-Modification Unpaid Principal Balance	0	14	4	65
Increase in Allowance at Modification	$ 0	$ 0	$ 0	$ (1)
TDRs that subsequently defaulted in previous 12 months, Number of Accounts | loan	1	1		1
TDRs that subsequently defaulted in previous 12 months, Unpaid Principal Balance	$ 0	$ 0		$ 0
TDRs that subsequently defaulted in previous 12 months, Increase in Allowance at Subsequent Default	$ 0	$ 0		$ 0
Second mortgage
Troubled Debt Restructurings [Line Items]
Number of Accounts | loan	16	15	42	83
Pre-Modification Unpaid Principal Balance	$ 1	$ 1	$ 2	$ 4
Post-Modification Unpaid Principal Balance	1	1	2	3
Increase in Allowance at Modification	$ 0	$ 0	$ 0	$ 0
TDRs that subsequently defaulted in previous 12 months, Number of Accounts | loan				1
TDRs that subsequently defaulted in previous 12 months, Unpaid Principal Balance				$ 0
TDRs that subsequently defaulted in previous 12 months, Increase in Allowance at Subsequent Default				$ 0
HELOC commitments
Troubled Debt Restructurings [Line Items]
Number of Accounts | loan	1	46	86	204
Pre-Modification Unpaid Principal Balance	$ 0	$ 4	$ 6	$ 12
Post-Modification Unpaid Principal Balance	0	4	5	11
Increase in Allowance at Modification	$ 0	$ 0	$ 0	$ 0
TDRs that subsequently defaulted in previous 12 months, Number of Accounts | loan	7	3
TDRs that subsequently defaulted in previous 12 months, Unpaid Principal Balance	$ 0	$ 0
TDRs that subsequently defaulted in previous 12 months, Increase in Allowance at Subsequent Default	$ 0	$ 0
Commercial and industrial
Troubled Debt Restructurings [Line Items]
Number of Accounts | loan			1
Pre-Modification Unpaid Principal Balance			$ 2
Post-Modification Unpaid Principal Balance			1
Increase in Allowance at Modification			$ 0
Other consumer
Troubled Debt Restructurings [Line Items]
Number of Accounts | loan				3
Pre-Modification Unpaid Principal Balance				$ 0
Post-Modification Unpaid Principal Balance				0
Increase in Allowance at Modification				$ 0

Loans Held-for-Investment (Impa

Loans Held-for-Investment (Impaired Loans) (Details) - USD ($) $ in Millions	3 Months Ended		9 Months Ended
	Sep. 30, 2016	Sep. 30, 2015	Sep. 30, 2016	Sep. 30, 2015	Dec. 31, 2015
Impaired Loans [Line Items]
With no related allowance recorded, Recorded Investment	$ 3		$ 3		$ 25
With no related allowance recorded, unpaid principal balance	2		2		22
With an allowance recorded, recorded investment	70		70		96
With an allowance recorded, unpaid principal balance	71		71		98
With an allowance recorded, related allowance	15		15		20
Total recorded investment	73		73		121
Total unpaid principal balance	73		73		120
Average Recorded Investment	74	$ 142	88	$ 209
Interest Income Recognized	0	1	2	4
Residential first mortgage
Impaired Loans [Line Items]
With no related allowance recorded, Recorded Investment	2		2		20
With no related allowance recorded, unpaid principal balance	1		1		20
With an allowance recorded, recorded investment	40		40		65
With an allowance recorded, unpaid principal balance	41		41		67
With an allowance recorded, related allowance	7		7		12
Total recorded investment	42		42		85
Total unpaid principal balance	42		42		87
Average Recorded Investment	43	96	55	172
Interest Income Recognized	0	1	1	4
Second mortgage
Impaired Loans [Line Items]
With an allowance recorded, recorded investment	26		26		28
With an allowance recorded, unpaid principal balance	26		26		28
With an allowance recorded, related allowance	6		6		6
Total recorded investment	26		26		28
Total unpaid principal balance	26		26		28
Average Recorded Investment	25	29	26	30
Interest Income Recognized	0	0	1	0
HELOC commitments
Impaired Loans [Line Items]
With an allowance recorded, recorded investment	4		4		3
With an allowance recorded, unpaid principal balance	4		4		3
With an allowance recorded, related allowance	2		2		1
Total recorded investment	4		4		3
Total unpaid principal balance	4		4		3
Average Recorded Investment	5	15	5	6
Interest Income Recognized	0	0	0	0
Commercial and industrial
Impaired Loans [Line Items]
With no related allowance recorded, Recorded Investment	1		1		5
With no related allowance recorded, unpaid principal balance	1		1		2
With an allowance recorded, related allowance	0		0		0
Total recorded investment	1		1		5
Total unpaid principal balance	1		1		2
Average Recorded Investment	1	2	2	1
Interest Income Recognized	0	$ 0	0	$ 0
Other consumer
Impaired Loans [Line Items]
With an allowance recorded, recorded investment	0		0		0
With an allowance recorded, unpaid principal balance	0		0		0
With an allowance recorded, related allowance	0		0		1
Total recorded investment	0		0		0
Total unpaid principal balance	$ 0		$ 0		$ 0

Loans Held-for-Investment (Cred

Loans Held-for-Investment (Credit Quality Indicators) (Details) - USD ($) $ in Millions	Sep. 30, 2016	Dec. 31, 2015
Loans held-for-investment [Line Items]
Loans held-for-investment	$ 6,211	$ 6,241
Total loans	6,290	6,352
Commercial real estate
Loans held-for-investment [Line Items]
Loans held-for-investment	1,168	814
Total loans	1,168	814
Commercial real estate | Pass
Loans held-for-investment [Line Items]
Loans held-for-investment	1,122	766
Commercial real estate | Watch
Loans held-for-investment [Line Items]
Loans held-for-investment	37	42
Commercial real estate | Special mention
Loans held-for-investment [Line Items]
Loans held-for-investment	3	2
Commercial real estate | Substandard
Loans held-for-investment [Line Items]
Loans held-for-investment	6	4
Commercial and industrial
Loans held-for-investment [Line Items]
Loans held-for-investment	708	552
Total loans	708	552
Commercial and industrial | Pass
Loans held-for-investment [Line Items]
Loans held-for-investment	654	492
Commercial and industrial | Watch
Loans held-for-investment [Line Items]
Loans held-for-investment	20	30
Commercial and industrial | Special mention
Loans held-for-investment [Line Items]
Loans held-for-investment	33	21
Commercial and industrial | Substandard
Loans held-for-investment [Line Items]
Loans held-for-investment	1	9
Warehouse lending
Loans held-for-investment [Line Items]
Loans held-for-investment	1,795	1,336
Total loans	1,795	1,336
Warehouse lending | Pass
Loans held-for-investment [Line Items]
Loans held-for-investment	1,659	1,181
Warehouse lending | Watch
Loans held-for-investment [Line Items]
Loans held-for-investment	86	155
Warehouse lending | Special mention
Loans held-for-investment [Line Items]
Loans held-for-investment	50	0
Warehouse lending | Substandard
Loans held-for-investment [Line Items]
Loans held-for-investment	0	0
Commercial loans
Loans held-for-investment [Line Items]
Loans held-for-investment	3,671	2,702
Total loans	3,671	2,702
Commercial loans | Pass
Loans held-for-investment [Line Items]
Loans held-for-investment	3,435	2,439
Commercial loans | Watch
Loans held-for-investment [Line Items]
Loans held-for-investment	143	227
Commercial loans | Special mention
Loans held-for-investment [Line Items]
Loans held-for-investment	86	23
Commercial loans | Substandard
Loans held-for-investment [Line Items]
Loans held-for-investment	7	13
Residential first mortgage
Loans held-for-investment [Line Items]
Loans held-for-investment	2,129	3,094
Total loans	2,136	3,100
Residential first mortgage | Pass
Loans held-for-investment [Line Items]
Loans held-for-investment	2,081	2,993
Residential first mortgage | Watch
Loans held-for-investment [Line Items]
Loans held-for-investment	24	49
Residential first mortgage | Substandard
Loans held-for-investment [Line Items]
Loans held-for-investment	31	58
Second mortgage
Loans held-for-investment [Line Items]
Loans held-for-investment	86	93
Total loans	127	135
Second mortgage | Pass
Loans held-for-investment [Line Items]
Loans held-for-investment	90	101
Second mortgage | Watch
Loans held-for-investment [Line Items]
Loans held-for-investment	33	32
Second mortgage | Substandard
Loans held-for-investment [Line Items]
Loans held-for-investment	4	2
HELOC commitments
Loans held-for-investment [Line Items]
Loans held-for-investment	295	321
Total loans	326	384
HELOC commitments | Pass
Loans held-for-investment [Line Items]
Loans held-for-investment	305	353
HELOC commitments | Watch
Loans held-for-investment [Line Items]
Loans held-for-investment	14	22
HELOC commitments | Substandard
Loans held-for-investment [Line Items]
Loans held-for-investment	7	9
Other Consumer
Loans held-for-investment [Line Items]
Loans held-for-investment	30	31
Total loans	30	31
Other Consumer | Pass
Loans held-for-investment [Line Items]
Loans held-for-investment	29	31
Other Consumer | Watch
Loans held-for-investment [Line Items]
Loans held-for-investment	1	0
Other Consumer | Substandard
Loans held-for-investment [Line Items]
Loans held-for-investment	0	0
Consumer loans
Loans held-for-investment [Line Items]
Total loans	2,619	3,650
Consumer loans | Pass
Loans held-for-investment [Line Items]
Loans held-for-investment	2,505	3,478
Consumer loans | Watch
Loans held-for-investment [Line Items]
Loans held-for-investment	72	103
Consumer loans | Substandard
Loans held-for-investment [Line Items]
Loans held-for-investment	$ 42	$ 69

Loans with Government Guarant55

Loans with Government Guarantees (Details) - USD ($) $ in Millions	9 Months Ended
	Sep. 30, 2016	Dec. 31, 2015
Debt Instrument [Line Items]
Debt instrument, term (in years)	10 years
Loans with government guarantees	$ 404	$ 485
Other assets
Debt Instrument [Line Items]
Repossessed assets and associated claims	$ 152	$ 210

Variable Interest Entities (V56

Variable Interest Entities (VIEs) (Details) - FSTAR 2007-1 Mortgage Securitization $ in Millions	9 Months Ended	12 Months Ended
	Sep. 30, 2016USD ($)loanentity	Dec. 31, 2015USD ($)loan
Private-label Securitizations [Line Items]
Number of unconsolidated VIEs | entity	1
Number of mortgage securitization trust loans | loan	2,608	3,061
Aggregate principal balance | $	$ 96	$ 117

Mortgage Servicing Rights (Deta

Mortgage Servicing Rights (Details) - USD ($) $ in Millions	3 Months Ended		9 Months Ended
	Sep. 30, 2016	Sep. 30, 2015	Sep. 30, 2016	Sep. 30, 2015
Servicing Asset at Fair Value [Roll Forward]
Balance at beginning of period			$ 296
Changes in fair value due to
Fair value of MSRs at end of period	$ 302		302
Residential first mortgage loans
Servicing Asset at Fair Value [Roll Forward]
Balance at beginning of period	301	$ 317	296	$ 258
Additions from loans sold with servicing retained	51	74	173	220
Reductions from sales	(17)	(73)	(41)	(144)
Changes in fair value due to
Decrease in MSR due to pay-offs, pay-downs and run-off	(19)	(9)	(45)	(34)
Changes in estimates of fair value	(14)	(15)	(81)	(6)
Fair value of MSRs at end of period	$ 302	$ 294	$ 302	$ 294

Mortgage Servicing Rights (Sche

Mortgage Servicing Rights (Schedule of Sensitivity Analysis of Fair Value) (Details) - Mortgage servicing rights $ in Millions	9 Months Ended	12 Months Ended
	Sep. 30, 2016USD ($)$ / loan	Dec. 31, 2015USD ($)$ / loan
Servicing Assets at Fair Value [Line Items]
Option adjusted spread, Actual (as a percent)	9.20%	8.24%
Option adjusted spread, Decline in fair value due to 10% adverse change	$ 295	$ 287
Option adjusted spread, Decline in fair value due to 20% adverse change	$ 288	$ 279
Constant prepayment rate, Actual (as a percent)	15.68%	12.63%
Constant prepayment rate, Decline in fair value due to 10% adverse change	$ 290	$ 285
Constant prepayment rate, Decline in fair value due to 20% adverse change	$ 280	$ 275
Weighted average cost to service per loan, Actual (in usd per loan) | $ / loan	70.75	71.86
Weighted average cost to service per loan, Decline in fair value due to 10% adverse change	$ 299	$ 292
Weighted average cost to service per loan, Decline in fair value due to 20% adverse change	$ 295	$ 288

Mortgage Servicing Rights (Inco

Mortgage Servicing Rights (Income and Fees from Associated with Mortgage Servicing Asset and Mortgage Loan Subserviced) (Details) - USD ($) $ in Millions	3 Months Ended		9 Months Ended
	Sep. 30, 2016	Sep. 30, 2015	Sep. 30, 2016	Sep. 30, 2015
Servicing Assets at Fair Value [Line Items]
Net gain (loss) return on mortgage servicing rights	$ (11)	$ 12	$ (21)	$ 19
Residential first mortgage
Servicing Assets at Fair Value [Line Items]
Total (loss) return, included in net return on mortgage servicing rights	(11)	12	(21)	19
Mortgage servicing rights
Servicing Assets at Fair Value [Line Items]
Net gain (loss) return on mortgage servicing rights		2		2
Net (loss) return on mortgage servicing rights | Residential first mortgage
Servicing Assets at Fair Value [Line Items]
Sub servicing/Servicing fees, ancillary income and late fees	22	18	60	52
Changes in fair value	(33)	(24)	(126)	(38)
Gain on MSR derivatives	(1)	15	44	10
Net transaction costs	1	3	1	5
Net Loan Administration Income | Residential first mortgage
Servicing Assets at Fair Value [Line Items]
Sub servicing/Servicing fees, ancillary income and late fees	7	8	21	24
Other servicing charges	(3)	0	(7)	(5)
Total income, included in loan administration	$ 4	$ 8	$ 14	$ 19

Derivative Financial Instrume60

Derivative Financial Instruments (Narrative) (Details) - USD ($) $ in Millions	Sep. 30, 2016	Dec. 31, 2015
Derivative [Line Items]
Unrealized losses on derivatives recorded in AOCI	$ (20)	$ 2
Estimated amount to be reclassified from OCI into earnings during next 12 months	(7)
Right to reclaim cash	84	41
Obligation to Return Cash	24	14
Cash Flow Hedges
Derivative [Line Items]
Unrealized losses on derivatives recorded in AOCI	$ (37)	$ (3)

Derivative Financial Instrume61

Derivative Financial Instruments (Schedule of Unrealized Gains or Losses) (Details) - USD ($) $ in Millions	3 Months Ended		9 Months Ended
	Sep. 30, 2016	Sep. 30, 2015	Sep. 30, 2016	Sep. 30, 2015
Derivative [Line Items]
Net gain (loss) recognized in income on derivative instruments	$ 16	$ (6)	$ 62	$ 7
U.S. Treasury, swap and euro dollar futures | Net (loss) return on mortgage servicing rights
Derivative [Line Items]
Net gain (loss) recognized in income on derivative instruments	4	3	8	6
Interest rate swaps | Net (loss) return on mortgage servicing rights
Derivative [Line Items]
Net gain (loss) recognized in income on derivative instruments	(7)	10	21	2
Interest rate swaps | Other noninterest income
Derivative [Line Items]
Net gain (loss) recognized in income on derivative instruments	2	2	3	2
Mortgage backed securities forwards | Net (loss) return on mortgage servicing rights
Derivative [Line Items]
Net gain (loss) recognized in income on derivative instruments	2	2	15	2
Rate lock commitments and forward agency and loan sales | Net gain on loan sales
Derivative [Line Items]
Net gain (loss) recognized in income on derivative instruments	15	(24)	14	(4)
Rate lock commitments | Other noninterest income
Derivative [Line Items]
Net gain (loss) recognized in income on derivative instruments	$ 0	$ 1	$ 1	$ (1)

Derivative Financial Instrume62

Derivative Financial Instruments (Details) - USD ($) $ in Millions	Sep. 30, 2016	Dec. 31, 2015
Other liabilities
Derivative [Line Items]
Derivative liability, Notional Amount	$ 7,129	$ 4,013
Derivative liability, Fair Value	41	14
Derivatives designated as hedging instruments | Interest rate swaps on FHLB advances
Derivative [Line Items]
Derivative asset, Fair Value	3
Derivative liability, Fair Value	55	4
Derivatives designated as hedging instruments | Other assets | Interest rate swaps on FHLB advances
Derivative [Line Items]
Derivative asset, Notional Amount	200
Derivative asset, Fair Value	3
Derivatives designated as hedging instruments | Other liabilities | Interest rate swaps on FHLB advances
Derivative [Line Items]
Derivative liability, Notional Amount	825	825
Derivative liability, Fair Value	55	4
Derivatives not designated as hedging instruments
Derivative [Line Items]
Derivative asset, Fair Value	56	32
Derivative liability, Fair Value	41	14
Derivatives not designated as hedging instruments | U.S. Treasury, swap and euro dollar futures
Derivative [Line Items]
Derivative asset, Fair Value	1
Derivative liability, Fair Value	0	1
Derivatives not designated as hedging instruments | Mortgage backed securities forwards
Derivative [Line Items]
Derivative asset, Fair Value	2	7
Derivative liability, Fair Value	24	6
Derivatives not designated as hedging instruments | Interest rate swaps and swaptions
Derivative [Line Items]
Derivative asset, Fair Value	53	25
Derivative liability, Fair Value	17	7
Derivatives not designated as hedging instruments | Other assets
Derivative [Line Items]
Derivative asset, Notional Amount	15,397	8,970
Derivative asset, Fair Value	119	58
Derivatives not designated as hedging instruments | Other assets | U.S. Treasury, swap and euro dollar futures
Derivative [Line Items]
Derivative asset, Notional Amount	5,450	1,892
Derivative asset, Fair Value	1	0
Derivatives not designated as hedging instruments | Other assets | Mortgage backed securities forwards
Derivative [Line Items]
Derivative asset, Notional Amount	1,317	1,931
Derivative asset, Fair Value	2	7
Derivatives not designated as hedging instruments | Other assets | Rate lock commitments
Derivative [Line Items]
Derivative asset, Notional Amount	6,357	3,593
Derivative asset, Fair Value	63	26
Derivatives not designated as hedging instruments | Other assets | Interest rate swaps and swaptions
Derivative [Line Items]
Derivative asset, Notional Amount	2,273	1,554
Derivative asset, Fair Value	53	25
Derivatives not designated as hedging instruments | Other liabilities | U.S. Treasury, swap and euro dollar futures
Derivative [Line Items]
Derivative liability, Notional Amount	635	768
Derivative liability, Fair Value	0	1
Derivatives not designated as hedging instruments | Other liabilities | Mortgage backed securities forwards
Derivative [Line Items]
Derivative liability, Notional Amount	5,849	2,655
Derivative liability, Fair Value	24	6
Derivatives not designated as hedging instruments | Other liabilities | Rate lock commitments
Derivative [Line Items]
Derivative liability, Notional Amount	87	168
Derivative liability, Fair Value	0	0
Derivatives not designated as hedging instruments | Other liabilities | Interest rate swaps
Derivative [Line Items]
Derivative liability, Notional Amount	558	422
Derivative liability, Fair Value	$ 17	$ 7

Derivative Financial Instrume63

Derivative Financial Instruments (Master Netting Schedule) (Details) - USD ($) $ in Millions	Sep. 30, 2016	Dec. 31, 2015
Derivative Asset [Abstract]
Gross Amounts Not Offset in the Statement of Financial Condition, Cash Collateral	$ 24	$ 14
Derivative Liability [Abstract]
Gross Amounts Not Offset in the Statement of Financial Condition, Cash Collateral	84	41
Central Counterparty Clearing House
Derivative Liability [Abstract]
Additional funds pledged	56	7
Derivatives designated as hedging instruments | Interest rate swaps on FHLB advances
Derivative Asset [Abstract]
Gross Amount	3
Gross Amounts Netted in the Statement of Financial Position	3
Net Amount Presented in the Statement of Financial Position	0
Gross Amounts Not Offset in the Statement of Financial Condition, Financial Instruments	0
Gross Amounts Not Offset in the Statement of Financial Condition, Cash Collateral	0
Derivative Liability [Abstract]
Gross Amount	55	4
Gross Amounts Netted in the Statement of Financial Position	3	0
Net Amount Presented in the Statement of Financial Position	52	4
Gross Amounts Not Offset in the Statement of Financial Condition, Financial Instruments	0	0
Gross Amounts Not Offset in the Statement of Financial Condition, Cash Collateral	34	19
Derivatives not designated as hedging instruments
Derivative Asset [Abstract]
Gross Amount	56	32
Gross Amounts Netted in the Statement of Financial Position	0	0
Net Amount Presented in the Statement of Financial Position	56	32
Gross Amounts Not Offset in the Statement of Financial Condition, Financial Instruments	0	0
Gross Amounts Not Offset in the Statement of Financial Condition, Cash Collateral	24	14
Derivative Liability [Abstract]
Gross Amount	41	14
Gross Amounts Netted in the Statement of Financial Position	0	0
Net Amount Presented in the Statement of Financial Position	41	14
Gross Amounts Not Offset in the Statement of Financial Condition, Financial Instruments	0	0
Gross Amounts Not Offset in the Statement of Financial Condition, Cash Collateral	50	22
Derivatives not designated as hedging instruments | U.S. Treasury, swap and euro dollar futures
Derivative Asset [Abstract]
Gross Amount	1
Gross Amounts Netted in the Statement of Financial Position	0
Net Amount Presented in the Statement of Financial Position	1
Gross Amounts Not Offset in the Statement of Financial Condition, Financial Instruments	0
Gross Amounts Not Offset in the Statement of Financial Condition, Cash Collateral	0
Derivative Liability [Abstract]
Gross Amount	0	1
Gross Amounts Netted in the Statement of Financial Position	0	0
Net Amount Presented in the Statement of Financial Position	0	1
Gross Amounts Not Offset in the Statement of Financial Condition, Financial Instruments	0	0
Gross Amounts Not Offset in the Statement of Financial Condition, Cash Collateral	2	2
Derivatives not designated as hedging instruments | Mortgage backed securities forwards
Derivative Asset [Abstract]
Gross Amount	2	7
Gross Amounts Netted in the Statement of Financial Position	0	0
Net Amount Presented in the Statement of Financial Position	2	7
Gross Amounts Not Offset in the Statement of Financial Condition, Financial Instruments	0	0
Gross Amounts Not Offset in the Statement of Financial Condition, Cash Collateral	0	4
Derivative Liability [Abstract]
Gross Amount	24	6
Gross Amounts Netted in the Statement of Financial Position	0	0
Net Amount Presented in the Statement of Financial Position	24	6
Gross Amounts Not Offset in the Statement of Financial Condition, Financial Instruments	0	0
Gross Amounts Not Offset in the Statement of Financial Condition, Cash Collateral	41	8
Derivatives not designated as hedging instruments | Interest rate swaps and swaptions
Derivative Asset [Abstract]
Gross Amount	53	25
Gross Amounts Netted in the Statement of Financial Position	0	0
Net Amount Presented in the Statement of Financial Position	53	25
Gross Amounts Not Offset in the Statement of Financial Condition, Financial Instruments	0	0
Gross Amounts Not Offset in the Statement of Financial Condition, Cash Collateral	24	10
Derivative Liability [Abstract]
Gross Amount	17	7
Gross Amounts Netted in the Statement of Financial Position	0	0
Net Amount Presented in the Statement of Financial Position	17	7
Gross Amounts Not Offset in the Statement of Financial Condition, Financial Instruments	0	0
Gross Amounts Not Offset in the Statement of Financial Condition, Cash Collateral	$ 7	$ 12

Debt (FHLB Advances) (Details)

Debt (FHLB Advances) (Details) - USD ($) $ in Millions	Sep. 30, 2016	Dec. 31, 2015
Federal Home Loan Bank, Advances, Branch of FHLB Bank [Line Items]
Short term debt FHLB advances and other	$ 905	$ 2,116
Current portion of fixed rate advances	1,577	1,425
Federal Home Loan Bank Advances	2,482	3,541
Long-term fixed rate advances
Federal Home Loan Bank, Advances, Branch of FHLB Bank [Line Items]
Current portion of fixed rate advances	$ 125	$ 175
Short-term adjustable rate
Federal Home Loan Bank, Advances, Branch of FHLB Bank [Line Items]
Federal Home Loan Bank Advances, Rate (as a percent)	0.67%	0.00%
Short term debt FHLB advances and other	$ 20	$ 0
Short-term fixed rate term advances
Federal Home Loan Bank, Advances, Branch of FHLB Bank [Line Items]
Federal Home Loan Bank Advances, Rate (as a percent)	0.37%	0.32%
Short term debt FHLB advances and other	$ 865	$ 2,116
Other Short term debt
Federal Home Loan Bank, Advances, Branch of FHLB Bank [Line Items]
Federal Home Loan Bank Advances, Rate (as a percent)	0.55%	0.00%
Short term debt FHLB advances and other	$ 20	$ 0
Long-term LIBOR adjustable advances
Federal Home Loan Bank, Advances, Branch of FHLB Bank [Line Items]
Federal Home Loan Bank Advances, Rate (as a percent)	0.94%	0.70%
Current portion of fixed rate advances	$ 1,025	$ 825
Long-term fixed rate advances
Federal Home Loan Bank, Advances, Branch of FHLB Bank [Line Items]
Federal Home Loan Bank Advances, Rate (as a percent)	1.44%	1.37%
Current portion of fixed rate advances	$ 552	$ 600

Debt (Narrative) (Details)

Debt (Narrative) (Details) - USD ($) $ in Millions	Jul. 14, 2016	Dec. 31, 2015	Sep. 30, 2016	Jul. 11, 2016
Debt Instrument [Line Items]
FHLB line of credit, maximum amount available			$ 7,000
FHLB line of credit, available collateral amount			2,500
FHLB advances, line of credit			2,000
Payment of interest on trust preferred securities	$ 34
Senior Note Maturing 2021 | 6.125% senior notes, matures 2021
Debt Instrument [Line Items]
Debt instrument face amount				$ 250
Three Month LIBOR
Debt Instrument [Line Items]
FHLB line of credit, available collateral amount			$ 1,000
Debt instrument, variable interest rate, term			3 months
FHLB Advances, Interest Rate Reset Period (in months)			3 months
FHLB Advances, Prepayment Notification Period (in months)			3 months
FHLB Advances, Initial Lockout Period (in months)			12 months
Federal Home Loan Bank Advances
Debt Instrument [Line Items]
Payments for Federal Home Loan Bank Advances		$ 375
Gains (Losses) on Extinguishment of Debt		$ 3

Debt (Schedule of FHLB Advances

Debt (Schedule of FHLB Advances, Disclosures) (Details) - USD ($) $ in Millions	3 Months Ended		9 Months Ended
	Sep. 30, 2016	Sep. 30, 2015	Sep. 30, 2016	Sep. 30, 2015
Debt Disclosure [Abstract]
Maximum outstanding at any month end	$ 3,182	$ 2,127	$ 3,557	$ 2,198
Average outstanding balance	2,649	1,798	2,777	1,610
Average remaining borrowing capacity	$ 1,626	$ 1,738	$ 1,106	$ 1,711
Weighted average interest rate (as a percent)	1.26%	1.17%	1.25%	1.05%

Debt (Schedule of FHLB, Advance

Debt (Schedule of FHLB, Advances, Maturity Summary) (Details) - USD ($) $ in Millions	Sep. 30, 2016	Dec. 31, 2015
Debt Disclosure [Abstract]
2,016	$ 1,030
2,017	50
2,018	125
2,019	0
Thereafter	1,277
Federal Home Loan Bank Advances	$ 2,482	$ 3,541

(Trust Preferred Securities) (D

(Trust Preferred Securities) (Details) - USD ($) $ in Millions	9 Months Ended
	Sep. 30, 2016	Dec. 31, 2015
Trust Preferred Securities [Abstract]
Maximum period for interest payment deferment (in quarters)	60 months
Junior subordinated notes	$ 247	$ 247
Long-term Debt	493	247
6.125% senior notes, matures 2021
Trust Preferred Securities [Abstract]
Senior note	$ 246	0
Interest rate	6.125%
3ML plus 3.25% maturing 2032
Trust Preferred Securities [Abstract]
Interest rate	3.25%
Junior subordinated notes	$ 26	$ 26
Interest rate	4.11%	3.85%
3ML plus 3.25% maturing 2033 A
Trust Preferred Securities [Abstract]
Interest rate	3.25%
Junior subordinated notes	$ 26	$ 26
Interest rate	3.93%	3.57%
3ML plus 3.25% maturing 2033 B
Trust Preferred Securities [Abstract]
Interest rate	3.25%
Junior subordinated notes	$ 26	$ 26
Interest rate	3.88%	3.85%
3ML plus 2.00% maturing 2035 A
Trust Preferred Securities [Abstract]
Interest rate	2.00%
Junior subordinated notes	$ 26	$ 26
Interest rate	2.68%	2.32%
3ML plus 2.00% maturing 2035 B
Trust Preferred Securities [Abstract]
Interest rate	2.00%
Junior subordinated notes	$ 26	$ 26
Interest rate	2.68%	2.32%
3ML plus 1.75% maturing 2035
Trust Preferred Securities [Abstract]
Interest rate	1.75%
Junior subordinated notes	$ 51	$ 51
Interest rate	2.60%	2.26%
3ML plus 1.50% maturing 2035
Trust Preferred Securities [Abstract]
Interest rate	1.50%
Junior subordinated notes	$ 25	$ 25
Interest rate	2.18%	1.82%
3ML plus 1.45% maturing 2037
Trust Preferred Securities [Abstract]
Interest rate	1.45%
Junior subordinated notes	$ 25	$ 25
Interest rate	2.30%	1.96%
3ML plus 2.50% maturing 2037
Trust Preferred Securities [Abstract]
Interest rate	2.50%
Junior subordinated notes	$ 16	$ 16
Interest rate	3.35%	3.01%
Junior Subordinated Debt
Trust Preferred Securities [Abstract]
Current Period for Interest Payment Deferment (in Quarters)	54 months

Representation and Warranty R69

Representation and Warranty Reserve (Details) - USD ($) $ in Millions	3 Months Ended		9 Months Ended
	Sep. 30, 2016	Sep. 30, 2015	Sep. 30, 2016	Sep. 30, 2015
Representation and Warranty Reserve [Roll Forward]
Balance, beginning of period	$ 36	$ 48	$ 40	$ 53
Gain on sale reduction for representation and warranty liability	1	2	4	6
Representation and warranty provision (benefit)	(6)	(6)	(12)	(13)
Total	(5)	(4)	(8)	(7)
Charge-offs, net	1	1	0	(1)
Balance, end of period	$ 32	$ 45	$ 32	$ 45

Warrants (Details)

Warrants (Details) - USD ($) $ / shares in Units, $ in Millions	9 Months Ended
	Sep. 30, 2016	Dec. 31, 2015	Jan. 30, 2009
Class of Warrant or Right [Line Items]
Preferred Stock, Shares Sold (in shares)	0	266,657
Series C Preferred Stock
Class of Warrant or Right [Line Items]
Preferred Stock, Shares Sold (in shares)			266,657
Preferred stock, total exercise price of warrant			$ 267
May Investors
Class of Warrant or Right [Line Items]
Warrants exercised (in shares)	32,721
Warrants outstanding (in shares)	583,240
Exercise price of warrants (in usd per share)	$ 10
Liability from warrants	$ 10	$ 8
May Investors | Common Stock
Class of Warrant or Right [Line Items]
Shares, Issued	21,068
Troubled Asset Relief Program
Class of Warrant or Right [Line Items]
Exercise price of warrants (in usd per share)			$ 62
Number of shares auctioned by warrants			645,138

Accumulated Other Comprehensi71

Accumulated Other Comprehensive Income (Loss) (Details) - USD ($) $ in Millions	9 Months Ended
	Sep. 30, 2016	Sep. 30, 2015
Accumulated other comprehensive income (loss)
Beginning balance	$ 1,529	$ 1,373
Ending balance	1,286	1,504
Accumulated Other Comprehensive Income (Loss)
Accumulated other comprehensive income (loss)
Beginning balance	2	8
Net unrealized loss, net of tax	(27)	4
Reclassifications out of AOCI	5
Transfer of net unrealized loss from AFS to HTM		0
Ending balance	(20)	12
Securities | Held-to-Maturity Securities
Accumulated other comprehensive income (loss)
Beginning balance	5	0
Net unrealized loss, net of tax	0	0
Reclassifications out of AOCI	(1)
Transfer of net unrealized loss from AFS to HTM		5
Ending balance	4	5
Securities | Available-for-Sale Securities
Accumulated other comprehensive income (loss)
Beginning balance	0	8
Net unrealized loss, net of tax	17	9
Reclassifications out of AOCI	(4)
Transfer of net unrealized loss from AFS to HTM		(5)
Ending balance	13	12
Cash Flow Hedges
Accumulated other comprehensive income (loss)
Beginning balance	(3)	0
Net unrealized loss, net of tax	(44)	(5)
Reclassifications out of AOCI	10
Transfer of net unrealized loss from AFS to HTM		0
Ending balance	$ (37)	$ (5)

Earnings Per Share (Details)

Earnings Per Share (Details) - USD ($) $ / shares in Units, $ in Millions	3 Months Ended		9 Months Ended
	Sep. 30, 2016	Sep. 30, 2015	Sep. 30, 2016	Sep. 30, 2015
Earnings Per Share [Abstract]
Net income	$ 57	$ 47	$ 143	$ 125
Deferred cumulative preferred stock dividends	(2)	(8)	(18)	(22)
Net income applicable to common stockholders	$ 55	$ 39	$ 125	$ 103
Weighted average shares
Weighted average common shares outstanding	56,580,238	56,436,026	56,556,188	56,419,354
Effect of dilutive securities
May Investor warrants (in shares)	364,791	339,478	339,893	290,840
Stock-based awards (in shares)	988,777	431,999	831,181	340,595
Weighted average diluted common shares	57,933,806	57,207,503	57,727,262	57,050,789
Earnings per common share
Basic earnings per common share (in usd per share)	$ 0.98	$ 0.70	$ 2.21	$ 1.82
Effect of dilutive securities
May investors warrants (in usd per share)	0	0	(0.02)	(0.01)
Stock-based awards (in usd per share)	(0.02)	(0.01)	(0.03)	(0.01)
Diluted (loss) earnings per share (in usd per share)	$ 0.96	$ 0.69	$ 2.16	$ 1.80

Earnings Per Share (Anti-diluti

Earnings Per Share (Anti-dilutive) (Details) $ in Millions	Jul. 29, 2016USD ($)
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Decrease in stockholders' equity	$ 372
Preferred Stock
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Decrease in stockholders' equity	267
Retained Earnings
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Decrease in stockholders' equity	105
Series C Preferred Stock
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Preferred Stock, Redemption Amount	$ 267

Income Taxes (Details)

Income Taxes (Details) - USD ($) $ in Millions	3 Months Ended		9 Months Ended
	Sep. 30, 2016	Sep. 30, 2015	Sep. 30, 2016	Sep. 30, 2015
Income Tax Disclosure [Abstract]
Provision for income taxes	$ 30	$ 24	$ 73	$ 70
Effective tax provision rate (as a percent)	34.30%	34.40%	33.80%	36.00%
Unrecognized tax benefits, recognition period (in months)			12 months

Regulatory Matters (Details)

Regulatory Matters (Details) - USD ($) $ in Millions	Sep. 30, 2016	Dec. 31, 2015
Compliance with Regulatory Capital Requirements under Banking Regulations [Line Items]
Tangible capital (to tangible assets), Actual, Amount	$ 1,225	$ 1,435
Tangible capital (to tangible assets), Actual, Ratio	8.88%	11.51%
Tier 1 capital (to adjusted tangible assets), Actual, Amount	$ 1,225	$ 1,435
Tier 1 capital (to adjusted tangible assets), Actual, Ratio (as a percent)	8.88%	11.51%
Tier 1 capital (to adjusted tangible assets), For Capital Adequacy Purposes, Amount	$ 552	$ 499
Tier 1 capital (to adjusted tangible assets), For Required Adequacy Purposes, Ratio (as a percent)	4.00%	4.00%
Tier 1 capital (to adjusted tangible assets), Well Capitalized Under Prompt Corrective Action Provisions, Amount	$ 690	$ 624
Tier 1 capital (to adjusted tangible assets), Well Capitalized Under Prompt Corrective Action Provisions, Ratio (as a percent)	5.00%	5.00%
Common equity Tier 1 capital (to RWA), Actual, Amount	$ 1,056	$ 1,065
Common equity Tier 1 capital (to RWA), Actual, Ratio (as a percent)	12.04%	14.09%
Common equity Tier 1 capital (to RWA), Required for Capital Adequacy, Amount	$ 395	$ 340
Common equity Tier 1 capital (to RWA), Required for Capital Adequacy, Ratio (as a percent)	4.50%	4.50%
Common equity Tier 1 capital (to RWA), Required to Be Well Capitalized, Amount	$ 570	$ 491
Common equity Tier 1 capital (to RWA), Required to Be Well Capitalized, Ratio (as a percent)	6.50%	6.50%
Tier 1 capital (to risk-weighted assets), Actual, Amount	$ 1,225	$ 1,435
Tier 1 capital (to risk-weighted assets), Actual, Ratio (as a percent)	13.98%	18.98%
Tier 1 capital (to risk-weighted assets), For Capital Adequacy Purposes, Amount	$ 526	$ 454
Tier 1 capital (to risk-weighted assets), For Capital Adequacy Purposes, Ratio (as a percent)	6.00%	6.00%
Tier 1 capital (to risk-weighted assets), Well Capitalized Under Prompt Corrective Action Provisions, Amount	$ 701	$ 605
Tier 1 capital (to risk-weighted assets), Well Capitalized Under Prompt Corrective Action Provisions, Ratio (as a percent)	8.00%	8.00%
Total capital (to risk-weighted assets), Actual, Amount	$ 1,338	$ 1,534
Total capital (to risk-weighted assets), Actual, Ratio (as a percent)	15.26%	20.28%
Total capital (to risk-weighted assets), For Capital Adequacy Purposes, Amount	$ 701	$ 605
Total capital (to risk-weighted assets), For Capital Adequacy Purposes, Ratio (as a percent)	8.00%	8.00%
Total capital (to risk-weighted assets), Well Capitalized Under Prompt Corrective Action Provisions, Amount	$ 877	$ 756
Total capital (to risk-weighted assets), Well Capitalized Under Prompt Corrective Action Provisions, Ratio (as a percent)	10.00%	10.00%
Bank
Compliance with Regulatory Capital Requirements under Banking Regulations [Line Items]
Tangible capital (to tangible assets), Actual, Amount	$ 1,459	$ 1,472
Tangible capital (to tangible assets), Actual, Ratio	10.55%	11.79%
Tier 1 capital (to adjusted tangible assets), Actual, Amount	$ 1,459	$ 1,472
Tier 1 capital (to adjusted tangible assets), Actual, Ratio (as a percent)	10.55%	11.79%
Tier 1 capital (to adjusted tangible assets), For Capital Adequacy Purposes, Amount	$ 553	$ 500
Tier 1 capital (to adjusted tangible assets), For Required Adequacy Purposes, Ratio (as a percent)	4.00%	4.00%
Tier 1 capital (to adjusted tangible assets), Well Capitalized Under Prompt Corrective Action Provisions, Amount	$ 691	$ 625
Tier 1 capital (to adjusted tangible assets), Well Capitalized Under Prompt Corrective Action Provisions, Ratio (as a percent)	5.00%	5.00%
Common equity Tier 1 capital (to RWA), Actual, Amount	$ 1,459	$ 1,472
Common equity Tier 1 capital (to RWA), Actual, Ratio (as a percent)	16.59%	19.42%
Common equity Tier 1 capital (to RWA), Required for Capital Adequacy, Amount	$ 396	$ 341
Common equity Tier 1 capital (to RWA), Required for Capital Adequacy, Ratio (as a percent)	4.50%	4.50%
Common equity Tier 1 capital (to RWA), Required to Be Well Capitalized, Amount	$ 572	$ 493
Common equity Tier 1 capital (to RWA), Required to Be Well Capitalized, Ratio (as a percent)	6.50%	6.50%
Tier 1 capital (to risk-weighted assets), Actual, Amount	$ 1,459	$ 1,472
Tier 1 capital (to risk-weighted assets), Actual, Ratio (as a percent)	16.59%	19.42%
Tier 1 capital (to risk-weighted assets), For Capital Adequacy Purposes, Amount	$ 528	$ 455
Tier 1 capital (to risk-weighted assets), For Capital Adequacy Purposes, Ratio (as a percent)	6.00%	6.00%
Tier 1 capital (to risk-weighted assets), Well Capitalized Under Prompt Corrective Action Provisions, Amount	$ 704	$ 607
Tier 1 capital (to risk-weighted assets), Well Capitalized Under Prompt Corrective Action Provisions, Ratio (as a percent)	8.00%	8.00%
Total capital (to risk-weighted assets), Actual, Amount	$ 1,571	$ 1,570
Total capital (to risk-weighted assets), Actual, Ratio (as a percent)	17.87%	20.71%
Total capital (to risk-weighted assets), For Capital Adequacy Purposes, Amount	$ 704	$ 607
Total capital (to risk-weighted assets), For Capital Adequacy Purposes, Ratio (as a percent)	8.00%	8.00%
Total capital (to risk-weighted assets), Well Capitalized Under Prompt Corrective Action Provisions, Amount	$ 879	$ 758
Total capital (to risk-weighted assets), Well Capitalized Under Prompt Corrective Action Provisions, Ratio (as a percent)	10.00%	10.00%

Legal Proceedings, Contingenc76

Legal Proceedings, Contingencies and Commitments (Details) - USD ($) $ in Millions	1 Months Ended	9 Months Ended
	Jul. 31, 2016	Sep. 30, 2016	Dec. 31, 2015
Loss Contingencies [Line Items]
Tier 1 capital (to adjusted tangible assets), Well Capitalized Under Prompt Corrective Action Provisions, Ratio (as a percent)		5.00%	5.00%
Accrued reserve for contingent liabilities		$ 6	$ 2
Letter of Credit, reserve amount		3	2
Mortgage loans interest-rate lock commitments
Loss Contingencies [Line Items]
Commitments to extend credit		6,503	3,792
HELOC commitments
Loss Contingencies [Line Items]
Commitments to extend credit		295	150
Other consumer commitments
Loss Contingencies [Line Items]
Commitments to extend credit		9	22
Warehouse loan commitments
Loss Contingencies [Line Items]
Commitments to extend credit		1,123	871
Standby and commercial letters of credit
Loss Contingencies [Line Items]
Commitments to extend credit		24	13
Commercial and industrial
Loss Contingencies [Line Items]
Commitments to extend credit		165	151
Other commercial commitments
Loss Contingencies [Line Items]
Commitments to extend credit		851	497
DOJ Agreement
Loss Contingencies [Line Items]
Litigation settlement, initial payment		15
Litigation settlement payment amount		$ 118
Fair Value Inputs, Discount Rate		7.20%
Litigation Settlement Liability		$ 60	$ 84
Bank
Loss Contingencies [Line Items]
Tier 1 capital (to adjusted tangible assets), Well Capitalized Under Prompt Corrective Action Provisions, Ratio (as a percent)		5.00%	5.00%
Bancorp
Loss Contingencies [Line Items]
Dividends received	$ 200
Bancorp | Senior Notes
Loss Contingencies [Line Items]
Debt instrument face amount	$ 250
Additional payments | DOJ Agreement
Loss Contingencies [Line Items]
Litigation settlement payment amount		$ 118
Annual payments (up to)		$ 25
Litigation Settlement, Terms (less than)		33.30%
DOJ Agreement | Bank
Loss Contingencies [Line Items]
Tier 1 capital (to adjusted tangible assets), Well Capitalized Under Prompt Corrective Action Provisions, Ratio (as a percent)		11.00%

Fair Value Measurements (Assets

Fair Value Measurements (Assets and Liabilities Measured at Fair Value on a Recurring Basis) (Details) - USD ($) $ in Millions	Sep. 30, 2016	Jun. 30, 2016	Dec. 31, 2015	Sep. 30, 2015	Jun. 30, 2015	Dec. 31, 2014
Assets, Fair Value Disclosure [Abstract]
Investment securities available-for-sale	$ 1,115		$ 1,294
Loans held-for-sale	3,352		2,541
Loans held-for-investment	80		111
Mortgage servicing rights	302		296
Total assets at fair value	3,432		2,652
Agency - Commercial
Assets, Fair Value Disclosure [Abstract]
Investment securities available-for-sale	510		766
Agency - Residential
Assets, Fair Value Disclosure [Abstract]
Investment securities available-for-sale	573		514
Municipal obligations
Assets, Fair Value Disclosure [Abstract]
Investment securities available-for-sale	32		14
Total Fair Value
Assets, Fair Value Disclosure [Abstract]
Investment securities available-for-sale	1,115		1,294
Loans held-for-sale	3,394		2,578
Loans held-for-investment	6,134		6,121
Mortgage servicing rights	302		296
Liabilities, Fair Value Disclosure [Abstract]
Fair Value, Measurement with Unobservable Inputs Reconciliations, Recurring Basis, Liability Value	60		84
Warrant liabilities	(10)		(8)
Long-term Debt, Fair Value	257		89
Level 1 | Total Fair Value
Assets, Fair Value Disclosure [Abstract]
Investment securities available-for-sale	0		0
Loans held-for-sale	0		0
Loans held-for-investment	0		0
Mortgage servicing rights	0		0
Liabilities, Fair Value Disclosure [Abstract]
Fair Value, Measurement with Unobservable Inputs Reconciliations, Recurring Basis, Liability Value	0		0
Warrant liabilities	0		0
Long-term Debt, Fair Value	0		0
Level 2 | Total Fair Value
Assets, Fair Value Disclosure [Abstract]
Investment securities available-for-sale	1,115		1,294
Loans held-for-sale	3,394		2,578
Loans held-for-investment	8		6
Mortgage servicing rights	0		0
Liabilities, Fair Value Disclosure [Abstract]
Fair Value, Measurement with Unobservable Inputs Reconciliations, Recurring Basis, Liability Value	0		0
Warrant liabilities	(10)		(8)
Long-term Debt, Fair Value	257		89
Level 3 | Total Fair Value
Assets, Fair Value Disclosure [Abstract]
Investment securities available-for-sale	0		0
Loans held-for-sale	0		0
Loans held-for-investment	6,126		6,115
Mortgage servicing rights	302		296
Liabilities, Fair Value Disclosure [Abstract]
Fair Value, Measurement with Unobservable Inputs Reconciliations, Recurring Basis, Liability Value	60		84
Warrant liabilities	0		0
Long-term Debt, Fair Value	0		0
Recurring | Total Fair Value
Assets, Fair Value Disclosure [Abstract]
Mortgage servicing rights	302		296
Total derivative assets	119		58
Total assets at fair value	4,968		4,301
Liabilities, Fair Value Disclosure [Abstract]
Total derivative liabilities	(93)		(18)
Warrant liabilities	(10)		(8)
DOJ litigation settlement	(60)		(84)
Total liabilities at fair value	(163)		(110)
Recurring | Total Fair Value | Residential first mortgage loans
Assets, Fair Value Disclosure [Abstract]
Loans held-for-sale	3,352		2,541
Loans held-for-investment	8		6
Recurring | Total Fair Value | Second mortgage
Assets, Fair Value Disclosure [Abstract]
Loans held-for-investment	41		42
Recurring | Total Fair Value | Agency - Commercial
Assets, Fair Value Disclosure [Abstract]
Investment securities available-for-sale	510		766
Recurring | Total Fair Value | Agency - Residential
Assets, Fair Value Disclosure [Abstract]
Investment securities available-for-sale	573		514
Recurring | Total Fair Value | Municipal obligations
Assets, Fair Value Disclosure [Abstract]
Investment securities available-for-sale	32		14
Recurring | Total Fair Value | HELOC loans
Assets, Fair Value Disclosure [Abstract]
Loans held-for-investment	31		64
Recurring | Level 1
Assets, Fair Value Disclosure [Abstract]
Mortgage servicing rights	0		0
Total derivative assets	1		0
Total assets at fair value	1		0
Liabilities, Fair Value Disclosure [Abstract]
Total derivative liabilities	0		(1)
Warrant liabilities	0		0
DOJ litigation settlement	0		0
Total liabilities at fair value	0		(1)
Recurring | Level 1 | Residential first mortgage loans
Assets, Fair Value Disclosure [Abstract]
Loans held-for-sale	0		0
Loans held-for-investment	0		0
Recurring | Level 1 | Second mortgage
Assets, Fair Value Disclosure [Abstract]
Loans held-for-investment	0		0
Recurring | Level 1 | Agency - Commercial
Assets, Fair Value Disclosure [Abstract]
Investment securities available-for-sale	0		0
Recurring | Level 1 | Agency - Residential
Assets, Fair Value Disclosure [Abstract]
Investment securities available-for-sale	0		0
Recurring | Level 1 | Municipal obligations
Assets, Fair Value Disclosure [Abstract]
Investment securities available-for-sale	0		0
Recurring | Level 1 | HELOC loans
Assets, Fair Value Disclosure [Abstract]
Loans held-for-investment	0		0
Recurring | Level 2
Assets, Fair Value Disclosure [Abstract]
Mortgage servicing rights	0		0
Total derivative assets	55		32
Total assets at fair value	4,530		3,873
Liabilities, Fair Value Disclosure [Abstract]
Total derivative liabilities	(93)		(17)
Warrant liabilities	(10)		(8)
DOJ litigation settlement	0		0
Total liabilities at fair value	(103)		(25)
Recurring | Level 2 | Residential first mortgage loans
Assets, Fair Value Disclosure [Abstract]
Loans held-for-sale	3,352		2,541
Loans held-for-investment	8		6
Recurring | Level 2 | Second mortgage
Assets, Fair Value Disclosure [Abstract]
Loans held-for-investment	0		0
Recurring | Level 2 | Agency - Commercial
Assets, Fair Value Disclosure [Abstract]
Investment securities available-for-sale	510		766
Recurring | Level 2 | Agency - Residential
Assets, Fair Value Disclosure [Abstract]
Investment securities available-for-sale	573		514
Recurring | Level 2 | Municipal obligations
Assets, Fair Value Disclosure [Abstract]
Investment securities available-for-sale	32		14
Recurring | Level 2 | HELOC loans
Assets, Fair Value Disclosure [Abstract]
Loans held-for-investment	0		0
Recurring | Level 3
Assets, Fair Value Disclosure [Abstract]
Fair Value, Measurement with Unobservable Inputs Reconciliation, Recurring Basis, Asset Value	374	$ 383	402	$ 519	$ 558	$ 545
Mortgage servicing rights	302		296
Total derivative assets	63		26
Total assets at fair value	437		428
Liabilities, Fair Value Disclosure [Abstract]
Total derivative liabilities	0		0
Fair Value, Measurement with Unobservable Inputs Reconciliations, Recurring Basis, Liability Value				$ 116	$ 120	$ 166
Warrant liabilities	0		0
DOJ litigation settlement	(60)		(84)
Total liabilities at fair value	(60)		(84)
Recurring | Level 3 | Residential first mortgage loans
Assets, Fair Value Disclosure [Abstract]
Loans held-for-sale	0		0
Loans held-for-investment	0		0
Recurring | Level 3 | Second mortgage
Assets, Fair Value Disclosure [Abstract]
Loans held-for-investment	41		42
Recurring | Level 3 | Agency - Commercial
Assets, Fair Value Disclosure [Abstract]
Investment securities available-for-sale	0		0
Recurring | Level 3 | Agency - Residential
Assets, Fair Value Disclosure [Abstract]
Investment securities available-for-sale	0		0
Recurring | Level 3 | Municipal obligations
Assets, Fair Value Disclosure [Abstract]
Investment securities available-for-sale	0		0
Recurring | Level 3 | HELOC loans
Assets, Fair Value Disclosure [Abstract]
Loans held-for-investment			64
Rate lock commitments | Recurring | Total Fair Value
Assets, Fair Value Disclosure [Abstract]
Total derivative assets	63		26
Rate lock commitments | Recurring | Level 1
Assets, Fair Value Disclosure [Abstract]
Total derivative assets	0		0
Rate lock commitments | Recurring | Level 2
Assets, Fair Value Disclosure [Abstract]
Total derivative assets	0		0
Rate lock commitments | Recurring | Level 3
Assets, Fair Value Disclosure [Abstract]
Total derivative assets	63		26
Mortgage-backed Securities, US Government Agencies [Member] | Recurring | Total Fair Value
Assets, Fair Value Disclosure [Abstract]
Total derivative assets	2		7
Liabilities, Fair Value Disclosure [Abstract]
Total derivative liabilities	(24)		(6)
Mortgage-backed Securities, US Government Agencies [Member] | Recurring | Level 1
Assets, Fair Value Disclosure [Abstract]
Total derivative assets	0		0
Liabilities, Fair Value Disclosure [Abstract]
Total derivative liabilities	0		0
Mortgage-backed Securities, US Government Agencies [Member] | Recurring | Level 2
Assets, Fair Value Disclosure [Abstract]
Total derivative assets	2		7
Liabilities, Fair Value Disclosure [Abstract]
Total derivative liabilities	(24)		(6)
Mortgage-backed Securities, US Government Agencies [Member] | Recurring | Level 3
Assets, Fair Value Disclosure [Abstract]
Total derivative assets	0		0
Liabilities, Fair Value Disclosure [Abstract]
Total derivative liabilities	0		0
Interest rate swaps and swaptions | Recurring | Total Fair Value
Assets, Fair Value Disclosure [Abstract]
Total derivative assets	53		25
Liabilities, Fair Value Disclosure [Abstract]
Total derivative liabilities	(17)
Interest rate swaps and swaptions | Recurring | Level 1
Assets, Fair Value Disclosure [Abstract]
Total derivative assets	0		0
Liabilities, Fair Value Disclosure [Abstract]
Total derivative liabilities	0
Interest rate swaps and swaptions | Recurring | Level 2
Assets, Fair Value Disclosure [Abstract]
Total derivative assets	53		25
Liabilities, Fair Value Disclosure [Abstract]
Total derivative liabilities	(17)
Interest rate swaps and swaptions | Recurring | Level 3
Assets, Fair Value Disclosure [Abstract]
Total derivative assets	0		0
Liabilities, Fair Value Disclosure [Abstract]
Total derivative liabilities	0
U.S. Treasury, swap and euro dollar futures | Recurring | Total Fair Value
Assets, Fair Value Disclosure [Abstract]
Total derivative assets	1
Liabilities, Fair Value Disclosure [Abstract]
Total derivative liabilities			(1)
U.S. Treasury, swap and euro dollar futures | Recurring | Level 1
Assets, Fair Value Disclosure [Abstract]
Total derivative assets	1
Liabilities, Fair Value Disclosure [Abstract]
Total derivative liabilities			(1)
U.S. Treasury, swap and euro dollar futures | Recurring | Level 2
Assets, Fair Value Disclosure [Abstract]
Total derivative assets	0
Liabilities, Fair Value Disclosure [Abstract]
Total derivative liabilities			0
U.S. Treasury, swap and euro dollar futures | Recurring | Level 3
Assets, Fair Value Disclosure [Abstract]
Total derivative assets	0
Liabilities, Fair Value Disclosure [Abstract]
Total derivative liabilities			0
Interest rate swaps on FHLB advances | Recurring | Total Fair Value
Liabilities, Fair Value Disclosure [Abstract]
Total derivative liabilities	(52)		(4)
Interest rate swaps on FHLB advances | Recurring | Level 1
Liabilities, Fair Value Disclosure [Abstract]
Total derivative liabilities	0		0
Interest rate swaps on FHLB advances | Recurring | Level 2
Liabilities, Fair Value Disclosure [Abstract]
Total derivative liabilities	(52)		(4)
Interest rate swaps on FHLB advances | Recurring | Level 3
Liabilities, Fair Value Disclosure [Abstract]
Total derivative liabilities	$ 0		0
Interest rate swaps | Recurring | Total Fair Value
Liabilities, Fair Value Disclosure [Abstract]
Total derivative liabilities			(7)
Interest rate swaps | Recurring | Level 1
Liabilities, Fair Value Disclosure [Abstract]
Total derivative liabilities			0
Interest rate swaps | Recurring | Level 2
Liabilities, Fair Value Disclosure [Abstract]
Total derivative liabilities			(7)
Interest rate swaps | Recurring | Level 3
Liabilities, Fair Value Disclosure [Abstract]
Total derivative liabilities			$ 0

Fair Value Measurements (Narrat

Fair Value Measurements (Narrative) (Details)	9 Months Ended
	Sep. 30, 2016USD ($)	Sep. 30, 2015USD ($)
HELOC loans | Minimum
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
FICO Score	447
HELOC loans | Maximum
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
FICO Score	816
HELOC loans | Weighted Average
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
FICO Score	665
Recurring
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Transfers of assets or liabilities at fair value between fair value levels	$ 0	$ 0

Fair Value Measurements (Fair V

Fair Value Measurements (Fair Value Measurements Using Significant Unobservable Inputs) (Details) - Recurring - Level 3 - USD ($) $ in Millions	3 Months Ended		9 Months Ended
	Sep. 30, 2016	Sep. 30, 2015	Sep. 30, 2016	Sep. 30, 2015
Assets, Unobservable Input Reconciliation [Roll Forward]
Balance at Beginning of Period	$ 383	$ 558	$ 402	$ 545
Total unrealized gains/(losses) recorded in earnings	(29)	(22)	(124)	(42)
Total realized gains/(losses) recorded in earnings	0	0	0	1
Total unrealized gains/(losses) recorded in OCI	0	0	0	0
Purchases / Originations	51	74	173	220
Sales	(17)	(73)	(41)	(144)
Settlements	(14)	(18)	(36)	(61)
Transfers In (Out)	0	0	0	0
Balance at End of Period	374	519	374	519
Liabilities, Unobservable Input Reconciliation [Roll Forward]
Balance at Beginning of Period		(120)		(166)
Total unrealized gains/(losses) recorded in earnings		0		(2)
Total realized gains/(losses) recorded in earnings		0		(3)
Total unrealized gains/(losses) recorded in OCI		0		0
Purchases / Originations		0		0
Sales		0		24
Settlements		4		31
Transfers In (Out)		0		0
Balance at End of Period		(116)		(116)
Rate lock commitments
Assets, Unobservable Input Reconciliation [Roll Forward]
Balance at Beginning of Period	82	30	26	31
Total unrealized gains/(losses) recorded in earnings	33	53	153	60
Total realized gains/(losses) recorded in earnings	0	0	0	0
Total unrealized gains/(losses) recorded in OCI	0	0	0	0
Purchases / Originations	116	81	303	272
Sales	(150)	(104)	(371)	(276)
Settlements	(18)	(16)	(48)	(43)
Balance at End of Period	63	44	63	44
Liabilities, Unobservable Input Reconciliation [Roll Forward]
Transfers In (Out)	0	0
Long-term debt
Liabilities, Unobservable Input Reconciliation [Roll Forward]
Balance at Beginning of Period		(36)		(84)
Total unrealized gains/(losses) recorded in earnings		0		0
Total realized gains/(losses) recorded in earnings		0		(3)
Total unrealized gains/(losses) recorded in OCI		0		0
Purchases / Originations		0		0
Sales		0		24
Settlements		4		31
Transfers In (Out)		0		0
Balance at End of Period		(32)		(32)
DOJ litigation settlement
Liabilities, Unobservable Input Reconciliation [Roll Forward]
Balance at Beginning of Period	(84)	(84)	(84)	(82)
Total unrealized gains/(losses) recorded in earnings	24	0	24	(2)
Total realized gains/(losses) recorded in earnings	0	0	0	0
Total unrealized gains/(losses) recorded in OCI	0	0	0	0
Purchases / Originations	0	0	0	0
Sales	0	0	0	0
Settlements	0	0	0	0
Transfers In (Out)	0	0	0	0
Balance at End of Period	(60)	(84)	(60)	(84)
Rate lock commitments
Liabilities, Unobservable Input Reconciliation [Roll Forward]
Transfers In (Out)			0	0
Second mortgage loans
Assets, Unobservable Input Reconciliation [Roll Forward]
Balance at Beginning of Period	38	48	42	53
Total unrealized gains/(losses) recorded in earnings	(2)	0	(1)	2
Total realized gains/(losses) recorded in earnings	0	0	0	1
Total unrealized gains/(losses) recorded in OCI	0	0	0	0
Purchases / Originations	0	0	0	0
Sales	0	0	0	0
Settlements	(3)	(3)	(8)	(11)
Transfers In (Out)	8	0	8	0
Balance at End of Period	41	45	41	45
HELOC loans
Assets, Unobservable Input Reconciliation [Roll Forward]
Balance at Beginning of Period	44	93	64	132
Total unrealized gains/(losses) recorded in earnings	6	2	3	(4)
Total realized gains/(losses) recorded in earnings	0	0	0	0
Total unrealized gains/(losses) recorded in OCI	0	0	0	0
Purchases / Originations	0	0	0	0
Sales	0	0	0	0
Settlements	(11)	(15)	(28)	(48)
Transfers In (Out)	(8)	0	(8)	0
Balance at End of Period	31	80	31	80
Mortgage servicing rights
Assets, Unobservable Input Reconciliation [Roll Forward]
Balance at Beginning of Period	301	317	296	258
Total unrealized gains/(losses) recorded in earnings	(33)	(24)	(126)	(40)
Total realized gains/(losses) recorded in earnings	0	0	0	0
Total unrealized gains/(losses) recorded in OCI	0	0	0	0
Purchases / Originations	51	74	173	220
Sales	(17)	(73)	(41)	(144)
Settlements	0	0	0	0
Transfers In (Out)	0	0	0	0
Balance at End of Period	$ 302	294	$ 302	294
Other investments
Assets, Unobservable Input Reconciliation [Roll Forward]
Balance at Beginning of Period		100		100
Total unrealized gains/(losses) recorded in earnings		0		0
Total realized gains/(losses) recorded in earnings		0		0
Total unrealized gains/(losses) recorded in OCI		0		0
Purchases / Originations		0		0
Sales		0		0
Settlements		0		0
Transfers In (Out)		0		0
Balance at End of Period		100		100
Municipal obligation
Assets, Unobservable Input Reconciliation [Roll Forward]
Balance at Beginning of Period				2
Total unrealized gains/(losses) recorded in earnings				0
Total realized gains/(losses) recorded in earnings				0
Total unrealized gains/(losses) recorded in OCI				0
Purchases / Originations				0
Sales				0
Settlements				(2)
Transfers In (Out)				0
Balance at End of Period		$ 0		$ 0

Fair Value Measurements (Level

Fair Value Measurements (Level 3 Quantitative Information) (Details) - Level 3 - USD ($) $ in Millions	9 Months Ended	12 Months Ended
	Sep. 30, 2016	Dec. 31, 2015	Jun. 30, 2016	Sep. 30, 2015	Jun. 30, 2015	Dec. 31, 2014
Mortgage servicing rights | Weighted Average
Fair Value Inputs [Abstract]
Constant prepayment rate (as a percent)	15.70%	12.60%
Recurring
Fair Value Inputs, Assets and Liabilities, Quantitative Information [Line Items]
Fair value, Assets	$ 374	$ 402	$ 383	$ 519	$ 558	$ 545
Fair value, Liabilities				(116)	(120)	(166)
Recurring | Rate lock commitments
Fair Value Inputs, Assets and Liabilities, Quantitative Information [Line Items]
Fair value, Assets	63	26	82	44	30	31
Recurring | Litigation settlement
Fair Value Inputs, Assets and Liabilities, Quantitative Information [Line Items]
Fair value, Liabilities	(60)	(84)	(84)	(84)	(84)	(82)
Recurring | Second mortgage
Fair Value Inputs, Assets and Liabilities, Quantitative Information [Line Items]
Fair value, Assets	41	42	38	45	48	53
Recurring | Mortgage servicing rights
Fair Value Inputs, Assets and Liabilities, Quantitative Information [Line Items]
Fair value, Assets	302	296	$ 301	$ 294	$ 317	$ 258
Recurring | Discounted cash flows | Litigation settlement
Fair Value Inputs, Assets and Liabilities, Quantitative Information [Line Items]
Fair value, Liabilities	$ (60)	$ (84)
Recurring | Discounted cash flows | Litigation settlement | Lower range
Fair Value Inputs [Abstract]
Discount rate (as a percent)	5.70%	4.90%
Recurring | Discounted cash flows | Litigation settlement | Upper range
Fair Value Inputs [Abstract]
Discount rate (as a percent)	8.50%	9.50%
Recurring | Discounted cash flows | Litigation settlement | Weighted Average
Fair Value Inputs [Abstract]
Discount rate (as a percent)	7.10%	7.20%
Recurring | Discounted cash flows | Second mortgage
Fair Value Inputs, Assets and Liabilities, Quantitative Information [Line Items]
Fair value, Assets	$ 41	$ 42
Recurring | Discounted cash flows | Second mortgage | Lower range
Fair Value Inputs [Abstract]
Discount rate (as a percent)	8.00%	7.20%
Constant prepayment rate (as a percent)	10.90%	13.50%
CDR rate (as a percent)	2.70%	2.60%
Recurring | Discounted cash flows | Second mortgage | Upper range
Fair Value Inputs [Abstract]
Discount rate (as a percent)	12.00%	10.80%
Constant prepayment rate (as a percent)	16.40%	20.20%
CDR rate (as a percent)	4.10%	4.00%
Recurring | Discounted cash flows | Second mortgage | Weighted Average
Fair Value Inputs [Abstract]
Discount rate (as a percent)	10.00%	9.00%
Constant prepayment rate (as a percent)	13.60%	16.90%
CDR rate (as a percent)	3.40%	3.30%
Recurring | Discounted cash flows | HELOC loans
Fair Value Inputs, Assets and Liabilities, Quantitative Information [Line Items]
Fair value, Assets	$ 31	$ 64
Recurring | Discounted cash flows | HELOC loans | Lower range
Fair Value Inputs [Abstract]
Discount rate (as a percent)	6.60%	6.80%
Recurring | Discounted cash flows | HELOC loans | Upper range
Fair Value Inputs [Abstract]
Discount rate (as a percent)	9.90%	10.10%
Recurring | Discounted cash flows | HELOC loans | Weighted Average
Fair Value Inputs [Abstract]
Discount rate (as a percent)	8.20%	8.40%
Recurring | Discounted cash flows | Mortgage servicing rights
Fair Value Inputs, Assets and Liabilities, Quantitative Information [Line Items]
Fair value, Assets	$ 302	$ 296
Recurring | Discounted cash flows | Mortgage servicing rights | Lower range
Fair Value Inputs [Abstract]
Discount rate (as a percent)	7.40%	6.60%
Constant prepayment rate (as a percent)	12.80%	10.30%
Weighted average cost to service per loan	$ 57	$ 57
Recurring | Discounted cash flows | Mortgage servicing rights | Upper range
Fair Value Inputs [Abstract]
Discount rate (as a percent)	11.00%	9.90%
Constant prepayment rate (as a percent)	18.50%	14.80%
Weighted average cost to service per loan	$ 85	$ 86
Recurring | Discounted cash flows | Mortgage servicing rights | Weighted Average
Fair Value Inputs [Abstract]
Discount rate (as a percent)	9.20%	8.20%
Constant prepayment rate (as a percent)	15.70%	12.60%
Weighted average cost to service per loan	$ 71	$ 72
Recurring | Consensus pricing | Rate lock commitments
Fair Value Inputs, Assets and Liabilities, Quantitative Information [Line Items]
Fair value, Assets	$ 63	$ 26
Recurring | Consensus pricing | Lower range | Rate lock commitments
Fair Value Inputs [Abstract]
Origination pull-through rate (as a percent)	66.60%	67.60%
Recurring | Consensus pricing | Upper range | Rate lock commitments
Fair Value Inputs [Abstract]
Origination pull-through rate (as a percent)	99.90%	101.50%
Recurring | Consensus pricing | Weighted Average | Rate lock commitments
Fair Value Inputs [Abstract]
Origination pull-through rate (as a percent)	83.30%	84.60%

Fair Value Measurements (Fair81

Fair Value Measurements (Fair Value Inputs, Assets, Quantitative Disclosures) (Details) - Level 3 - Weighted Average	3 Months Ended		9 Months Ended		12 Months Ended
	Sep. 30, 2016	Sep. 30, 2015	Sep. 30, 2016	Sep. 30, 2015	Dec. 31, 2015
Residential Mortgage Servicing Rights Capitalized
Fair Value Inputs, Assets, Quantitative Information [Line Items]
Weighted average life (in years)	6 years 8 months 24 days	7 years 10 months 24 days	6 years 10 months 24 days	7 years 10 months 24 days
Weighted-average constant prepayment rate (as a percent)	13.40%	11.00%	13.50%	11.20%
Weighted average option adjusted spread (as a percent)	11.80%	8.90%	9.50%	8.70%
Mortgage servicing rights
Fair Value Inputs, Assets, Quantitative Information [Line Items]
Weighted average life (in years)			6 years 18 days		7 years 3 months 18 days
Weighted-average constant prepayment rate (as a percent)			15.70%		12.60%
Weighted average option adjusted spread (as a percent)			9.20%		8.20%

Fair Value Measurements (Asse82

Fair Value Measurements (Assets Measured at Fair Value on a Non-recurring Basis) (Details) - USD ($)	3 Months Ended		9 Months Ended
	Sep. 30, 2016	Sep. 30, 2015	Sep. 30, 2016	Sep. 30, 2015	Dec. 31, 2015
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Loans held-for-sale	$ 3,352,000,000		$ 3,352,000,000		$ 2,541,000,000
Total assets at fair value	3,432,000,000		3,432,000,000		2,652,000,000
Net gain on loan sales	94,000,000	$ 68,000,000	259,000,000	$ 242,000,000
Nonrecurring
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Repossessed assets	15,000,000		15,000,000		17,000,000
Total assets at fair value	48,000,000		48,000,000		67,000,000
Fair value losses on repossessed assets	0	1,000,000	2,000,000	2,000,000
Net gain on loan sales	1,000,000	1,000,000	2,000,000	2,000,000
Nonrecurring | Interest income on loans
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Fair value losses on loans (less than for $1 million)	1,000,000	1,000,000	1,000,000	1,000,000
Nonrecurring | Provision for loan losses
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Fair value losses on loans (less than for $1 million)	11,000,000	$ 20,000,000	31,000,000	$ 76,000,000
Nonrecurring | Residential first mortgage loans
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Loans held-for-sale	10,000,000		10,000,000		8,000,000
Impaired loans held-for-investment	22,000,000		22,000,000		40,000,000
Nonrecurring | Commercial and industrial
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Impaired loans held-for-investment	1,000,000		1,000,000		2,000,000
Nonrecurring | Level 2
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Repossessed assets	0		0		0
Total assets at fair value	10,000,000		10,000,000		8,000,000
Nonrecurring | Level 2 | Residential first mortgage loans
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Loans held-for-sale	10,000,000		10,000,000		8,000,000
Impaired loans held-for-investment	0		0		0
Nonrecurring | Level 2 | Commercial and industrial
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Impaired loans held-for-investment	0		0		0
Nonrecurring | Level 3
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Repossessed assets	15,000,000		15,000,000		17,000,000
Total assets at fair value	38,000,000		38,000,000		59,000,000
Nonrecurring | Level 3 | Residential first mortgage loans
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Loans held-for-sale	0		0		0
Impaired loans held-for-investment	22,000,000		22,000,000		40,000,000
Nonrecurring | Level 3 | Commercial and industrial
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Impaired loans held-for-investment	$ 1,000,000		$ 1,000,000		$ 2,000,000

Fair Value Measurements (Asse83

Fair Value Measurements (Assets Measured on a Nonrecurring Basis, Level 3 Quantitative Information) (Details) - Nonrecurring - USD ($) $ in Millions	9 Months Ended	12 Months Ended
	Sep. 30, 2016	Dec. 31, 2015
Fair Value Inputs, Assets, Quantitative Information [Line Items]
Repossessed assets	$ 15	$ 17
Residential first mortgage loans
Fair Value Inputs, Assets, Quantitative Information [Line Items]
Impaired loans held-for-investment	22	40
Commercial and industrial
Fair Value Inputs, Assets, Quantitative Information [Line Items]
Impaired loans held-for-investment	1	2
Level 3
Fair Value Inputs, Assets, Quantitative Information [Line Items]
Repossessed assets	15	17
Level 3 | Residential first mortgage loans
Fair Value Inputs, Assets, Quantitative Information [Line Items]
Impaired loans held-for-investment	22	40
Level 3 | Residential first mortgage loans | Fair value of underlying collateral
Fair Value Inputs, Assets, Quantitative Information [Line Items]
Impaired loans held-for-investment	$ 22	$ 40
Level 3 | Residential first mortgage loans | Fair value of underlying collateral | Lower range
Fair Value Inputs, Assets, Quantitative Information [Line Items]
Loss severity (as a percent)	23.00%	35.00%
Level 3 | Residential first mortgage loans | Fair value of underlying collateral | Upper range
Fair Value Inputs, Assets, Quantitative Information [Line Items]
Loss severity (as a percent)	28.00%	45.00%
Level 3 | Residential first mortgage loans | Fair value of underlying collateral | Weighted Average
Fair Value Inputs, Assets, Quantitative Information [Line Items]
Loss severity (as a percent)	25.60%	35.20%
Level 3 | Commercial and industrial
Fair Value Inputs, Assets, Quantitative Information [Line Items]
Impaired loans held-for-investment	$ 1	$ 2
Level 3 | Commercial and industrial | Fair value of underlying collateral
Fair Value Inputs, Assets, Quantitative Information [Line Items]
Impaired loans held-for-investment	$ 1
Level 3 | Commercial and industrial | Fair value of underlying collateral | Lower range
Fair Value Inputs, Assets, Quantitative Information [Line Items]
Loss severity (as a percent)	50.00%
Level 3 | Commercial and industrial | Fair value of underlying collateral | Upper range
Fair Value Inputs, Assets, Quantitative Information [Line Items]
Loss severity (as a percent)	55.00%
Level 3 | Commercial and industrial | Fair value of underlying collateral | Weighted Average
Fair Value Inputs, Assets, Quantitative Information [Line Items]
Loss severity (as a percent)	53.40%
Level 3 | Commercial real estate | Fair value of underlying collateral
Fair Value Inputs, Assets, Quantitative Information [Line Items]
Impaired loans held-for-investment		$ 2
Level 3 | Commercial real estate | Fair value of underlying collateral | Lower range
Fair Value Inputs, Assets, Quantitative Information [Line Items]
Loss severity (as a percent)		45.00%
Level 3 | Commercial real estate | Fair value of underlying collateral | Upper range
Fair Value Inputs, Assets, Quantitative Information [Line Items]
Loss severity (as a percent)		55.00%
Level 3 | Commercial real estate | Fair value of underlying collateral | Weighted Average
Fair Value Inputs, Assets, Quantitative Information [Line Items]
Loss severity (as a percent)		50.10%
Level 3 | Repossessed assets | Fair value of underlying collateral
Fair Value Inputs, Assets, Quantitative Information [Line Items]
Repossessed assets	$ 15
Level 3 | Repossessed assets | Fair value of underlying collateral | Lower range
Fair Value Inputs, Assets, Quantitative Information [Line Items]
Loss severity (as a percent)	35.00%	16.00%
Level 3 | Repossessed assets | Fair value of underlying collateral | Upper range
Fair Value Inputs, Assets, Quantitative Information [Line Items]
Loss severity (as a percent)	98.00%	100.00%
Level 3 | Repossessed assets | Fair value of underlying collateral | Weighted Average
Fair Value Inputs, Assets, Quantitative Information [Line Items]
Loss severity (as a percent)	61.70%	48.70%

Fair Value Measurements (Fair84

Fair Value Measurements (Fair Value of Financial Instruments) (Details) - USD ($) $ in Millions	Sep. 30, 2016	Dec. 31, 2015
Assets
Investment securities available-for-sale	$ 1,115	$ 1,294
Investment securities held-to-maturity	1,177	1,262
Loans held-for-sale	3,352	2,541
Loans held-for-investment	80	111
Mortgage servicing rights	302	296
Carrying Value
Assets
Cash and cash equivalents	174	208
Investment securities available-for-sale	1,115	1,294
Investment securities held-to-maturity	1,156	1,268
Loans held-for-sale	3,393	2,576
Loans with government guarantees	404	485
Loans held-for-investment	6,147	6,165
Repossessed assets	15	17
Federal Home Loan Bank stock	172	170
Mortgage servicing rights	302	296
Bank owned life insurance	269	178
Other assets, foreclosure claims	152	210
Derivative financial instruments, assets	119	58
Liabilities
Federal Home Loan Bank advances	(2,482)	(3,541)
Other long-term debt	(493)	(247)
Warrant liabilities	(10)	(8)
DOJ litigation settlement	(60)	(84)
Derivative financial instruments, liabilities	(93)	(18)
Carrying Value | Demand deposits and savings accounts
Liabilities
Deposits	(5,204)	(5,008)
Carrying Value | Certificates of deposit
Liabilities
Deposits	(1,083)	(826)
Carrying Value | Government deposits
Liabilities
Deposits	(1,176)	(1,062)
Carrying Value | Company controlled deposits
Liabilities
Deposits	(1,908)	(1,039)
Estimated Fair Value
Assets
Cash and cash equivalents	174	208
Investment securities available-for-sale	1,115	1,294
Investment securities held-to-maturity	1,177	1,262
Loans held-for-sale	3,394	2,578
Loans with government guarantees	391	469
Loans held-for-investment	6,134	6,121
Repossessed assets	15	17
Federal Home Loan Bank stock	172	170
Mortgage servicing rights	302	296
Bank owned life insurance	269	178
Other assets, foreclosure claims	152	210
Derivative financial instruments, assets	119	58
Liabilities
Federal Home Loan Bank advances	(2,450)	(3,543)
Other long-term debt	(257)	(89)
Warrant liabilities	(10)	(8)
DOJ litigation settlement	(60)	(84)
Derivative financial instruments, liabilities	(93)	(18)
Estimated Fair Value | Demand deposits and savings accounts
Liabilities
Deposits	(4,961)	(4,744)
Estimated Fair Value | Certificates of deposit
Liabilities
Deposits	(1,095)	(833)
Estimated Fair Value | Government deposits
Liabilities
Deposits	(1,158)	(1,045)
Estimated Fair Value | Company controlled deposits
Liabilities
Deposits	(1,839)	(947)
Estimated Fair Value | Level 1
Assets
Cash and cash equivalents	174	208
Investment securities available-for-sale	0	0
Investment securities held-to-maturity	0	0
Loans held-for-sale	0	0
Loans with government guarantees	0	0
Loans held-for-investment	0	0
Repossessed assets	0	0
Federal Home Loan Bank stock	0	0
Mortgage servicing rights	0	0
Bank owned life insurance	0	0
Other assets, foreclosure claims	0	0
Derivative financial instruments, assets	1	7
Liabilities
Federal Home Loan Bank advances	0	0
Other long-term debt	0	0
Warrant liabilities	0	0
DOJ litigation settlement	0	0
Derivative financial instruments, liabilities	0	(1)
Estimated Fair Value | Level 1 | Demand deposits and savings accounts
Liabilities
Deposits	0	0
Estimated Fair Value | Level 1 | Certificates of deposit
Liabilities
Deposits	0	0
Estimated Fair Value | Level 1 | Government deposits
Liabilities
Deposits	0	0
Estimated Fair Value | Level 1 | Company controlled deposits
Liabilities
Deposits	0	0
Estimated Fair Value | Level 2
Assets
Cash and cash equivalents	0	0
Investment securities available-for-sale	1,115	1,294
Investment securities held-to-maturity	1,177	1,262
Loans held-for-sale	3,394	2,578
Loans with government guarantees	391	469
Loans held-for-investment	8	6
Repossessed assets	0	0
Federal Home Loan Bank stock	172	170
Mortgage servicing rights	0	0
Bank owned life insurance	269	178
Other assets, foreclosure claims	152	210
Derivative financial instruments, assets	55	25
Liabilities
Federal Home Loan Bank advances	(2,450)	(3,543)
Other long-term debt	(257)	(89)
Warrant liabilities	(10)	(8)
DOJ litigation settlement	0	0
Derivative financial instruments, liabilities	(93)	(17)
Estimated Fair Value | Level 2 | Demand deposits and savings accounts
Liabilities
Deposits	(4,961)	(4,744)
Estimated Fair Value | Level 2 | Certificates of deposit
Liabilities
Deposits	(1,095)	(833)
Estimated Fair Value | Level 2 | Government deposits
Liabilities
Deposits	(1,158)	(1,045)
Estimated Fair Value | Level 2 | Company controlled deposits
Liabilities
Deposits	(1,839)	(947)
Estimated Fair Value | Level 3
Assets
Cash and cash equivalents	0	0
Investment securities available-for-sale	0	0
Investment securities held-to-maturity	0	0
Loans held-for-sale	0	0
Loans with government guarantees	0	0
Loans held-for-investment	6,126	6,115
Repossessed assets	15	17
Federal Home Loan Bank stock	0	0
Mortgage servicing rights	302	296
Bank owned life insurance	0	0
Other assets, foreclosure claims	0	0
Derivative financial instruments, assets	63	26
Liabilities
Federal Home Loan Bank advances	0	0
Other long-term debt	0	0
Warrant liabilities	0	0
DOJ litigation settlement	(60)	(84)
Derivative financial instruments, liabilities	0	0
Estimated Fair Value | Level 3 | Demand deposits and savings accounts
Liabilities
Deposits	0	0
Estimated Fair Value | Level 3 | Certificates of deposit
Liabilities
Deposits	0	0
Estimated Fair Value | Level 3 | Government deposits
Liabilities
Deposits	0	0
Estimated Fair Value | Level 3 | Company controlled deposits
Liabilities
Deposits	$ 0	$ 0

Fair Value Measurements (Fair85

Fair Value Measurements (Fair Value Option Disclosures) (Details) - USD ($) $ in Millions	3 Months Ended		9 Months Ended
	Sep. 30, 2016	Sep. 30, 2015	Sep. 30, 2016	Sep. 30, 2015	Dec. 31, 2015
Fair Value, Option, Quantitative Disclosures [Line Items]
Assets, unpaid principal balance (UPB)	$ 3,318		$ 3,318		$ 2,585
Total assets at fair value	3,432		3,432		2,652
Assets, fair value over/(under) UPB	114		114		67
Litigation settlement
Fair Value, Option, Quantitative Disclosures [Line Items]
Litigation settlement payment amount			118
Additional payments | Litigation settlement
Fair Value, Option, Quantitative Disclosures [Line Items]
Litigation settlement payment amount			118
Nonperforming
Fair Value, Option, Quantitative Disclosures [Line Items]
Assets, unpaid principal balance (UPB)	20		20		22
Total assets at fair value	14		14		10
Assets, fair value over/(under) UPB	(6)		(6)		(12)
Performing
Fair Value, Option, Quantitative Disclosures [Line Items]
Assets, unpaid principal balance (UPB)	3,298		3,298		2,563
Total assets at fair value	3,418		3,418		2,642
Assets, fair value over/(under) UPB	120		120		79
Loans held-for-sale
Fair Value, Option, Quantitative Disclosures [Line Items]
Assets, unpaid principal balance (UPB)	3,219		3,219		2,452
Total assets at fair value	3,352		3,352		2,541
Assets, fair value over/(under) UPB	133		133		89
Loans held-for-sale | Nonperforming
Fair Value, Option, Quantitative Disclosures [Line Items]
Assets, unpaid principal balance (UPB)	2		2		1
Total assets at fair value	2		2		0
Assets, fair value over/(under) UPB	0		0		(1)
Loans held-for-sale | Performing
Fair Value, Option, Quantitative Disclosures [Line Items]
Assets, unpaid principal balance (UPB)	3,217		3,217		2,451
Total assets at fair value	3,350		3,350		2,541
Assets, fair value over/(under) UPB	133		133		90
Loans held-for-investment
Fair Value, Option, Quantitative Disclosures [Line Items]
Assets, unpaid principal balance (UPB)	99		99		133
Total assets at fair value	80		80		111
Assets, fair value over/(under) UPB	(19)		(19)		(22)
Loans held-for-investment | Nonperforming
Fair Value, Option, Quantitative Disclosures [Line Items]
Assets, unpaid principal balance (UPB)	18		18		21
Total assets at fair value	12		12		10
Assets, fair value over/(under) UPB	(6)		(6)		(11)
Loans held-for-investment | Performing
Fair Value, Option, Quantitative Disclosures [Line Items]
Assets, unpaid principal balance (UPB)	81		81		112
Total assets at fair value	68		68		101
Assets, fair value over/(under) UPB	(13)		(13)		(11)
Litigation settlement
Fair Value, Option, Quantitative Disclosures [Line Items]
Liabilities, unpaid principal balance	(118)		(118)		(118)
Liabilities, fair value	(60)		(60)		(84)
Liabilities, fair value over/(under) UPB	58		58		$ 34
Net gain on loan sales | Loans held-for-sale
Fair Value, Option, Quantitative Disclosures [Line Items]
Changes in fair value, gain (loss)	151	$ 134	440	$ 276
Other noninterest income (expense) | Loans held-for-investment
Fair Value, Option, Quantitative Disclosures [Line Items]
Changes in fair value, gain (loss)	0	(1)	0	(35)
Other noninterest income (expense) | Long-term debt
Fair Value, Option, Quantitative Disclosures [Line Items]
Changes in fair value, gain (loss)	0	3	0	28
Other noninterest income (expense) | Litigation settlement
Fair Value, Option, Quantitative Disclosures [Line Items]
Changes in fair value, gain (loss)	0	0	0	(2)
Interest income on loans | Loans held-for-investment
Fair Value, Option, Quantitative Disclosures [Line Items]
Changes in fair value, gain (loss)	0	1	(2)	4
Other noninterest income | Litigation settlement
Fair Value, Option, Quantitative Disclosures [Line Items]
Changes in fair value, gain (loss)	$ 24	$ 0	$ 24	$ 2

Segment Information (Details)

Segment Information (Details) $ in Millions	3 Months Ended		9 Months Ended
	Sep. 30, 2016USD ($)	Sep. 30, 2015USD ($)	Sep. 30, 2016USD ($)segment	Sep. 30, 2015USD ($)
Segment Reporting Information [Line Items]
Number of operating segments | segment			4
Summary of Operations
Net interest income	$ 80	$ 73	$ 236	$ 211
Net gain on loan sales	94	68	259	242
Representation and warranty benefit	6	6	12	13
Other noninterest income (loss)	56	54	118	118
Total net interest income and noninterest income	236	201	625	584
(Provision) benefit for loan losses	(7)	1	9	18
Asset resolution	(2)	0	(6)	(13)
Depreciation and amortization expense	(8)	(6)	(23)	(17)
Other noninterest expense	(132)	(125)	(389)	(377)
Total noninterest expense	(142)	(131)	(418)	(407)
Income before income taxes	87	71	216	195
Provision for income taxes	30	24	73	70
Net income	57	47	143	125
Average balances
Loans held-for-sale	3,416	2,200	3,071	2,088
Loans with government guarantees	432	547	450	679
Loans held-for-investment	5,848	5,412	5,695	4,885
Total assets	14,148	12,305	13,711	11,663
Deposits	9,126	8,260	8,603	7,791
Intersegment Eliminations
Summary of Operations
Total net interest income and noninterest income	0	0	0	0
Mortgage Originations
Summary of Operations
Net interest income	21	18	61	52
Net gain on loan sales	95	72	251	255
Representation and warranty benefit	6	6	12	13
Other noninterest income (loss)	4	26	17	60
Total net interest income and noninterest income	126	122	341	380
(Provision) benefit for loan losses	0	0	0	0
Asset resolution	0		0	0
Depreciation and amortization expense	(2)	(1)	(4)	(2)
Other noninterest expense	(64)	(56)	(182)	(174)
Total noninterest expense	(66)	(57)	(186)	(176)
Income before income taxes	60	65	155	204
Provision for income taxes	0	0	0	0
Net income	60	65	155	204
Average balances
Loans held-for-sale	3,400	2,179	2,988	2,052
Loans with government guarantees	0	0	0	0
Loans held-for-investment	5	4	6	3
Total assets	4,238	2,709	3,688	2,555
Deposits	0	0	0	0
Mortgage Originations | Intersegment Eliminations
Summary of Operations
Total net interest income and noninterest income	(1)	3	1	9
Mortgage Servicing
Summary of Operations
Net interest income	10	3	23	10
Net gain on loan sales	0	0	0	0
Representation and warranty benefit	0	0	0	0
Other noninterest income (loss)	13	15	39	42
Total net interest income and noninterest income	23	18	62	52
(Provision) benefit for loan losses	0	0	0	0
Asset resolution	(2)		(6)	(12)
Depreciation and amortization expense	0	(1)	(2)	(2)
Other noninterest expense	(25)	(27)	(70)	(80)
Total noninterest expense	(27)	(28)	(78)	(94)
Income before income taxes	(4)	(10)	(16)	(42)
Provision for income taxes	0	0	0	0
Net income	(4)	(10)	(16)	(42)
Average balances
Loans held-for-sale	0	0	0	0
Loans with government guarantees	432	547	450	679
Loans held-for-investment	0	0	0	0
Total assets	623	860	676	1,004
Deposits	1,853	1,487	1,523	1,189
Mortgage Servicing | Intersegment Eliminations
Summary of Operations
Total net interest income and noninterest income	5	5	16	13
Community Banking
Summary of Operations
Net interest income	54	45	150	126
Net gain on loan sales	(1)	(4)	8	(13)
Representation and warranty benefit	0	0	0	0
Other noninterest income (loss)	8	11	21	19
Total net interest income and noninterest income	61	52	179	132
(Provision) benefit for loan losses	(7)	1	9	18
Asset resolution	0		0	(1)
Depreciation and amortization expense	(1)	(1)	(5)	(4)
Other noninterest expense	(43)	(39)	(131)	(116)
Total noninterest expense	(44)	(40)	(136)	(121)
Income before income taxes	10	13	52	29
Provision for income taxes	0	0	0	0
Net income	10	13	52	29
Average balances
Loans held-for-sale	16	21	83	36
Loans with government guarantees	0	0	0	0
Loans held-for-investment	5,843	5,348	5,689	4,786
Total assets	5,904	5,336	5,798	4,753
Deposits	7,273	6,773	7,080	6,602
Community Banking | Intersegment Eliminations
Summary of Operations
Total net interest income and noninterest income	0	(4)	(1)	(13)
Other
Summary of Operations
Net interest income	(5)	7	2	23
Net gain on loan sales	0	0	0	0
Representation and warranty benefit	0	0	0	0
Other noninterest income (loss)	31	2	41	(3)
Total net interest income and noninterest income	26	9	43	20
(Provision) benefit for loan losses	0	0	0	0
Asset resolution	0		0	0
Depreciation and amortization expense	(5)	(3)	(12)	(9)
Other noninterest expense	0	(3)	(6)	(7)
Total noninterest expense	(5)	(6)	(18)	(16)
Income before income taxes	21	3	25	4
Provision for income taxes	30	24	73	70
Net income	(9)	(21)	(48)	(66)
Average balances
Loans held-for-sale	0	0	0	0
Loans with government guarantees	0	0	0	0
Loans held-for-investment	0	60	0	96
Total assets	3,383	3,400	3,549	3,351
Deposits	0	0	0	0
Other | Intersegment Eliminations
Summary of Operations
Total net interest income and noninterest income	$ (4)	$ (4)	$ (16)	$ (9)