Flagstar Bancorp (FBC) 10-K 28 Feb 19 2018 FY Annual report Financial data

Document and Entity Information

Document and Entity Information - USD ($) $ in Billions	12 Months Ended
	Dec. 31, 2018	Feb. 26, 2019	Jun. 30, 2018
Document and Entity Information [Abstract]
Entity Registrant Name	FLAGSTAR BANCORP INC
Entity Central Index Key	1,033,012
Document Type	10-K
Document Period End Date	Dec. 31, 2018
Amendment Flag	false
Document Fiscal Year Focus	2,018
Document Fiscal Period Focus	FY
Current Fiscal Year End Date	--12-31
Entity Well-known Seasoned Issuer	Yes
Entity Voluntary Filers	No
Entity Current Reporting Status	Yes
Entity Filer Category	Large Accelerated Filer
Entity Emerging Growth Company	false
Entity Small Business	false
Entity Shell Company	false
Entity Public Float			$ 1
Entity Common Stock, Shares Outstanding		56,442,315

Consolidated Statements of Fina

Consolidated Statements of Financial Condition - USD ($) $ in Millions	Dec. 31, 2018	Dec. 31, 2017
Assets
Cash	$ 260	$ 122
Interest-earning deposits	148	82
Total cash and cash equivalents	408	204
Investment securities available-for-sale	2,142	1,853
Investment securities held-to-maturity	703	939
Loans held-for-sale ($3,732 and $4,300 measured at fair value, respectively)	3,869	4,321
Loans held-for-investment ($10 and $12 measured at fair value, respectively)	9,088	7,713
Loans with government guarantees	392	271
Less: allowance for loan losses	(128)	(140)
Total loans held-for-investment and loans with government guarantees, net	9,352	7,844
Mortgage servicing rights	290	291
Net deferred tax asset	103	136
Federal Home Loan Bank stock	303	303
Premises and equipment, net	390	330
Goodwill and intangible assets	190	21
Other assets	781	670
Total assets	18,531	16,912
Liabilities and Stockholders’ Equity
Noninterest bearing deposits	2,989	2,049
Interest bearing deposits	9,391	6,885
Total deposits	12,380	8,934
Short-term Federal Home Loan Bank advances and other	3,244	4,260
Long-term Federal Home Loan Bank advances	150	1,405
Other long-term debt	495	494
Other liabilities ($60 and $60 measured at fair value, respectively)	692	420
Total liabilities	16,961	15,513
Stockholders’ Equity
Common stock $0.01 par value, 80,000,000 and 80,000,000 shares authorized; 57,749,464 and 57,321,228 shares issued and outstanding, respectively	1	1
Additional paid in capital	1,522	1,512
Accumulated other comprehensive (loss) income	(47)	(16)
Retained earnings/(accumulated deficit)	94	(98)
Total stockholders’ equity	1,570	1,399
Total liabilities and stockholders’ equity	$ 18,531	$ 16,912

Consolidated Statements of Fi_2

Consolidated Statements of Financial Condition (Parenthetical) - USD ($) $ in Millions	Dec. 31, 2018	Dec. 31, 2017
Assets
Loans held-for-sale, fair value	$ 3,732	$ 4,300
Loans held-for-investment, fair value	10	12
Liabilities and Stockholders' Equity
Other liabilities, fair value	$ 60	$ 60
Stockholders' Equity
Common stock, par value (in usd per share)	$ 0.01	$ 0.01
Common stock, shares authorized (in shares)	80,000,000	80,000,000
Common stock, shares issued (in shares)	57,749,464	57,321,228
Common stock, shares outstanding (in shares)	57,749,464	57,321,228

Consolidated Statements of Oper

Consolidated Statements of Operations - USD ($) $ in Millions	12 Months Ended
	Dec. 31, 2018	Dec. 31, 2017	Dec. 31, 2016
Interest Income
Loans	$ 595	$ 446	$ 348
Investment securities	86	80	68
Interest-earning deposits and other	2	1	1
Total interest income	683	527	417
Interest Expense
Deposits	94	52	46
Short-term Federal Home Loan Bank advances and other	68	36	5
Long-term Federal Home Loan Bank advances	(4)	24	27
Other long-term debt	28	25	16
Total interest expense	186	137	94
Net interest income	497	390	323
Provision (benefit) for loan losses	(8)	6	(8)
Net interest income after provision (benefit) for loan losses	505	384	331
Noninterest Income
Net gain on loan sales	200	268	316
Loan fees and charges	87	82	76
Net return (loss) on mortgage servicing rights	36	22	(26)
Loan administration income	23	21	18
Deposit fees and charges	21	18	22
Other noninterest income	72	59	81
Total noninterest income	439	470	487
Noninterest Expense
Compensation and benefits	318	299	269
Occupancy and equipment	127	103	85
Commissions	80	72	55
Loan processing expense	59	57	55
Legal and professional expense	28	30	29
Federal insurance premiums	22	16	11
Intangible asset amortization	5	0	0
Other noninterest expense	73	66	56
Total noninterest expense	712	643	560
Income before income taxes	232	211	258
Provision for income taxes	45	148	87
Net income	$ 187	$ 63	$ 171
Net income per share
Basic (in usd per share)	$ 3.26	$ 1.11	$ 2.71
Diluted (in usd per share)	$ 3.21	$ 1.09	$ 2.66
Weighted average shares outstanding
Basic (in shares)	57,520,289	57,093,868	56,569,307
Diluted (in shares)	58,322,950	58,178,343	57,597,667

Consolidated Statements of Comp

Consolidated Statements of Comprehensive Income - USD ($) $ in Millions	12 Months Ended
	Dec. 31, 2018	Dec. 31, 2017	Dec. 31, 2016
Statement of Comprehensive Income [Abstract]
Net income	$ 187	$ 63	$ 171
Other comprehensive income (loss), net of tax
Investment securities	(29)	(10)	(13)
Derivatives and hedging activities	(2)	1	4
Other comprehensive income (loss), net of tax	(31)	(9)	(9)
Comprehensive income	$ 156	$ 54	$ 162

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)
Balance (in shares) at Dec. 31, 2015		266,657	56,483,258
Balance at Dec. 31, 2015	$ 1,529	$ 267	$ 1	$ 1,486	$ 2	$ (227)
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Net income	171					171
Total other comprehensive income (loss)	(9)				(9)
Preferred stock redemption (in shares)		(266,657)
Preferred stock redemption	(267)	$ (267)
Dividends on preferred stock	(105)					(105)
Warrant exercise	6			6
Stock-based compensation (in shares)			341,544
Stock-based compensation	11			11
Balance (in shares) at Dec. 31, 2016		0	56,824,802
Balance at Dec. 31, 2016	1,336	$ 0	$ 1	1,503	(7)	(161)
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Net income	63					63
Total other comprehensive income (loss)	(9)				(9)
Shares issued for Employee Stock Purchase Plan (in shares)			48,032
Warrant exercise (in shares)			154,313
Warrant exercise	4			4
Stock-based compensation (in shares)			294,081
Stock-based compensation	5			5
Balance (in shares) at Dec. 31, 2017		0	57,321,228
Balance at Dec. 31, 2017	1,399	$ 0	$ 1	1,512	(16)	(98)
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Net income	187					187
Total other comprehensive income (loss)	(26)				(26)
Shares issued for Employee Stock Purchase Plan (in shares)			114,385
Shares issued for Employee Stock Purchase Plan	10			10
Stock-based compensation (in shares)			318,560
Stock-based compensation	0			0
Reclassification of certain income tax effects					(5)	5
Repurchase of shares included in treasury stock (in shares)			(4,709)
Balance (in shares) at Dec. 31, 2018		0	57,749,464
Balance at Dec. 31, 2018	$ 1,570	$ 0	$ 1	$ 1,522	$ (47)	$ 94

Consolidated Statements of Cash

Consolidated Statements of Cash Flows - USD ($)	12 Months Ended
	Dec. 31, 2018	Dec. 31, 2017	Dec. 31, 2016
Operating Activities
Net income	$ 187,000,000	$ 63,000,000	$ 171,000,000
Adjustments to reconcile net income to net cash used in operating activities:
Depreciation and amortization	56,000,000	40,000,000	32,000,000
Representation and warranty (benefit)	(10,000,000)	(13,000,000)	(19,000,000)
(Benefit) provision for loan losses	(8,000,000)	6,000,000	(8,000,000)
Net gain on loan and asset sales	(200,000,000)	(268,000,000)	(314,000,000)
Proceeds from sales of HFS	8,935,000,000	9,245,000,000	16,168,000,000
Origination, premium paid and purchase of loans, net of principal repayments	(32,261,000,000)	(34,235,000,000)	(32,295,000,000)
Net change in:
Accrued interest receivable	(11,000,000)	(11,000,000)	(1,000,000)
Deferred income taxes	34,000,000	150,000,000	78,000,000
Other	(100,000,000)	(299,000,000)	(152,000,000)
Net cash (used in) operating activities	(23,378,000,000)	(25,322,000,000)	(16,340,000,000)
Investing Activities
Proceeds from sale of AFS securities including loans that have been securitized	23,721,000,000	24,646,000,000	17,422,000,000
Collection of principal on investment securities AFS	199,000,000	218,000,000	187,000,000
Purchase of investment securities AFS and other	(340,000,000)	(904,000,000)	(680,000,000)
Collection of principal on investment securities HTM	92,000,000	154,000,000	190,000,000
Purchase of investment securities HTM and other	0	0	(15,000,000)
Proceeds received from the sale of LHFI	161,000,000	104,000,000	229,000,000
Net origination, purchase, and principal repayments of LHFI	(978,000,000)	(1,760,000,000)	(1,054,000,000)
Purchase of bank owned life insurance	0	(50,000,000)	(85,000,000)
Net purchase of FHLB stock	0	(123,000,000)	(10,000,000)
Acquisition of premises and equipment, net of proceeds	(71,000,000)	(97,000,000)	(52,000,000)
Proceeds from the sale of MSRs	334,000,000	309,000,000	69,000,000
Assets acquired (liabilities assumed) in business combinations	1,499,000,000	(8,000,000)	0
Other, net	(10,000,000)	5,000,000	0
Net cash provided by investing activities	24,607,000,000	22,494,000,000	16,201,000,000
Financing Activities
Net change in deposit accounts	1,072,000,000	134,000,000	866,000,000
Net change in short term FHLB borrowings and other	(1,016,000,000)	2,480,000,000	(336,000,000)
Proceeds from increases in FHLB long-term advances and other debt	200,000,000	255,000,000	445,000,000
Repayment of long-term FHLB advances	(1,455,000,000)	(50,000,000)	(425,000,000)
Net receipt of payments of loans serviced for others	181,000,000	22,000,000	(64,000,000)
Preferred stock dividends	0	0	(105,000,000)
Redemption of preferred stock	0	0	(267,000,000)
Other	(2,000,000)	2,000,000	(5,000,000)
Net cash (used) provided by financing activities	(1,020,000,000)	2,843,000,000	109,000,000
Net increase (decrease) in cash, cash equivalents and restricted cash	209,000,000	15,000,000	(30,000,000)
Beginning cash, cash equivalents and restricted cash	223,000,000	208,000,000	238,000,000
Ending cash, cash equivalents and restricted cash	432,000,000	223,000,000	208,000,000
Supplemental disclosure of cash flow information
Interest paid on deposits and other borrowings	185,000,000	136,000,000	112,000,000
Income tax payments	0	5,000,000	7,000,000
Non-cash reclassification of investment securities HTM to AFS	144,000,000	0	0
Non-cash reclassification of loans originated LHFI to LHFS	279,000,000	131,000,000	1,331,000,000
Non-cash reclassification of LHFS to AFS securities	23,718,000,000	24,345,000,000	17,130,000,000
MSRs resulting from sale or securitization of loans	$ 356,000,000	$ 288,000,000	$ 228,000,000

Description of Business, Basis

Description of Business, Basis of Presentation, and Summary of Significant Accounting Policies	12 Months Ended
	Dec. 31, 2018
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Description of Business, Basis of Presentation, and Summary of Significant Accounting Policies	Description of Business, Basis of Presentation, and Summary of Significant Accounting Policies Description of Business Flagstar Bancorp, Inc., is a savings and loan holding company founded in 1993. The Company's business is primarily conducted through its principal subsidiary, Flagstar Bank, FSB (the "Bank"), a federally chartered stock savings bank founded in 1987. We are one of the largest banks headquartered in Michigan. When we refer to "Flagstar", "the Company", "we", "our", or "us," we mean Flagstar Bancorp, Inc. and our consolidated subsidiaries. The Company is subject to regulation, examination and supervision by the Board of Governors of the Federal Reserve ("Federal Reserve"). The Bank is subject to regulation, examination and supervision by the OCC of the U.S. Department of the Treasury, the CFPB and the FDIC. The Bank is a member of the FHLB of Indianapolis and its deposits are insured by the FDIC through the Deposit Insurance Fund. Consolidation and Basis of Presentation The accounting and financial reporting policies of us and our subsidiaries conform to accounting principles generally accepted in the United States. Additionally, where applicable the policies conform to the accounting and reporting guidelines prescribed by regulatory authorities. Certain prior period amounts have been reclassified to conform to the current period presentation. The preparation of the Consolidated Financial Statements, requires management to make estimates and assumptions that affect reported amounts of assets and liabilities, revenues and expenses and disclosures of contingent assets and liabilities. Actual results could be materially different from these estimates. Subsequent Events We have evaluated all subsequent events for potential recognition and disclosure through the filing date of this Form 10-K. Cash, Cash Equivalents and Restricted Cash Cash and cash equivalents include cash on hand, amounts due from correspondent banks and the FRB, and short-term investments that have a maturity at the date of acquisition of three months or less and are readily convertible to cash. Restricted cash includes cash that the Bank pledges as maintenance margin on centrally cleared derivatives and is included in other assets on the Consolidated Statements of Financial Condition. Investment Securities We measure securities classified as AFS at fair value, with unrealized gains and losses, net of tax, included in other comprehensive income (loss) in stockholders’ equity. We recognize realized gains and losses on AFS securities when securities are sold. The cost of securities sold is based on the specific identification method. Any gains or losses realized upon the sale of a security are reported in other noninterest income in the Consolidated Statements of Operations. The fair value of investment securities is based on observable market prices, when available. If observable market prices are not available, our valuations are based on alternative methods, including: quotes for similar fixed-income securities, matrix pricing, or discounted cash flow methods. The fair values, obtained through an independent third party utilizing a pricing service, are compared to independent pricing sources on a quarterly basis. For further information, see Note 3 - Investment Securities and Note 22 - Fair Value Measurements. Investment securities HTM are carried at amortized cost and adjusted for amortization of premiums and accretion of discounts using the interest method. Transfers of investment securities into the HTM category from the AFS category are accounted for at fair value at the date of transfer. Any related unrealized holding gain (loss), net of tax, that was included in the transfer is retained in other comprehensive income (loss) and is amortized as an adjustment to interest income over the remaining life of the securities. We evaluate AFS and HTM investment securities for OTTI on a quarterly basis. An OTTI is considered to have occurred when the fair value of a debt security is below its amortized costs and we (1) have the intent to sell the security, (2) will more likely than not be required to sell the security before recovery of its amortized cost, or (3) do not expect to recover the entire amortized cost basis of the security. Investments that have an OTTI are written down through a charge to earnings for the amount representing the credit loss on the security. Gains and losses related to all other factors are recognized in other comprehensive income (loss). For the three years ended December 31, 2018, we did not recognize any OTTI losses. Investment securities transactions are recorded on the trade date for purchases and sales. Interest earned on investment securities, including the amortization of premiums and the accretion of discounts, are determined using the effective interest method over the period of maturity and recorded in interest income in the Consolidated Statements of Operations. For further information, see Note 3 - Investment Securities. Loans Held-for-Sale We classify loans as LHFS when we originate or purchase loans that we intend to sell. We have elected the fair value option for the majority of our LHFS. We estimate the fair value of mortgage loans based on quoted market prices for securities backed by similar types of loans, where available, or by discounting estimated cash flows using observable inputs inclusive of interest rates, prepayment speeds and loss assumptions for similar collateral. LHFS that are recorded at lower of cost or fair value may be carried at fair value on a nonrecurring basis when the fair value is less than cost. For further information, see Note 22 - Fair Value Measurements. Loans that are transferred into the LHFS portfolio from the LHFI portfolio, due to a change in intent, are recorded at the lower of cost or fair value. Gains or losses recognized upon the sale of loans are determined using the specific identification method. Loans Held-for-Investment We classify loans that we have the intent and ability to hold for the foreseeable future or until maturity as LHFI. Loans held-for-investment are reported at their amortized cost, which includes the outstanding principal balance adjusted for any unamortized premiums, discounts, deferred fees and costs. Premiums and discounts on purchased loans and non-refundable loan origination and commitment fees, net of direct costs of originating or acquiring loans, are deferred and recognized over the estimated lives of the related loans as an adjustment to the loans’ effective yield, which is included in interest income on loans in the Consolidated Statements of Operations. Loans originally classified as LHFS, for which we have elected the fair value option, and subsequently transferred to LHFI continue to be measured and reported at fair value on a recurring basis. Changes in fair value are recorded to other noninterest income on the Consolidated Statements of Operations. The fair value of these loans is determined using the same methods described above for LHFS. For further information, see Note 22 - Fair Value Measurements. When loans originally classified as LHFS or as LHFI are reclassified due to a change in intent or ability to hold, cash flows associated with the loans are classified in the Consolidated Statements of Cash Flows as operating or investing, as appropriate, in accordance with the initial classification of the loans. Past Due and Impaired Loans Loans are considered to be past due when any payment of principal or interest is 30 days past the scheduled payment date. While it is the goal of management to collect on loans, we attempt to work out a satisfactory repayment schedule or modification with past due borrowers and will undertake foreclosure proceedings if the delinquency is not satisfactorily resolved. Our practices regarding past due loans are designed to both assist borrowers in meeting their contractual obligations and minimize losses incurred by the bank. We cease the accrual of interest on all classes of consumer and commercial loans upon the earlier of, becoming 90 days past due, or when doubt exists as to the ultimate collection of principal or interest (classified as nonaccrual or nonperforming loans). When a loan is placed on nonaccrual status, the accrued interest income is reversed against interest income and the loan may only return to accrual status when principal and interest become current and are anticipated to be fully collectible. Loans are considered impaired if it is probable that payment of interest and principal will not be made in accordance with the original contractual terms of the loan agreement or when any portion of principal or interest is 90 days past due. This classification includes both performing and nonperforming modified loans. For further information, see Note 5 - Loans Held-for-Investment. When a loan is considered impaired, the accrual of interest income is discontinued until the receipt of principal and interest is no longer in doubt. Interest income is recognized on impaired loans using a cost recovery method unless amounts contractually due are not in doubt. Cash received on impaired loans is applied entirely against principal until the loan has been collected in full, after which time any additional cash receipts are recognized as interest income. Loan Modifications (Troubled Debt Restructurings) We may modify certain loans in both our 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 be classified as performing TDRs and begin to accrue interest. Performing and nonperforming TDRs remain impaired as interest and principal will not be received in accordance with the original contractual terms of the loan agreement. 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 nonperforming TDRs. Allowance for Loan Losses The allowance for loan losses represents management's estimate of probable losses in our LHFI portfolio, excluding loans carried under the fair value option. We establish an allowance when (a) available information indicates that it is probable that a loss has occurred and (b) the amount of the loss can be reasonably estimated. The allowance provides for probable losses that have been specifically identified (TDR and NPL loans) and for probable losses believed to be inherent in the loan portfolio which are collectively evaluated through a model-based component. Management applies judgment and assigns qualitative factors to each loan portfolio segment based on consideration of the following factors: changes in lending policies and procedures, changes in economic and business conditions, changes in the nature and volume of the portfolio, changes in lending management, changes in credit quality statistics, changes in the quality of the loan review system, changes in the value of underlying collateral for collateral-dependent loans, changes in concentrations of credit, and other internal or external factor changes. A specific allowance is established on impaired loans when it is probable all amounts due will not be collected pursuant to the original contractual terms of the loan and the recorded investment in the loan exceeds its fair value. The required allowance is measured using either the present value of the expected future cash flows discounted at the loan's effective interest rate or the fair value of the collateral less estimated costs to sell if the loan is collateral dependent. A general allowance is established for losses inherent on non-impaired loans by segmenting the portfolio based upon common risk characteristics. The general loss is then determined by using a historical loss model which utilizes our loss history by specific product, or if the product is not sufficiently seasoned, per readily available industry peer loss data. The loss model utilizes average historical loss rates experienced during an identified look back period to outstanding principal balances over an estimated loss emergence period that represents the time period between the date at which the loss is estimated to have been incurred and the ultimate realization of that loss (by a charge-off). In addition to the loss history or peer data, we also include a qualitative adjustment that considers economic risks, industry and geographic concentrations and other factors not adequately captured in our methodology. Consumer loans secured by real estate are charged-off to the estimated fair value of the collateral when a loss is confirmed or at 180 days past due, whichever is sooner. Loss confirming events include, but are not limited to, bankruptcy (unsecured), continued delinquency, foreclosure or receipt of an asset valuation indicating a collateral deficiency and the asset is the sole source of repayment. For consumer loans not secured by real estate, the charge-off is taken upon the earlier of the confirmation of a loss or 120 days past due. Commercial loans are evaluated on a loan level basis and either charged-off or written down to net realizable value if a loss confirming event has occurred. Loss confirming events include, but are not limited to, bankruptcy (unsecured), continued delinquency, foreclosure, or receipt of an asset valuation indicating a collateral deficiency and that asset is the sole source of repayment. Transfers of Financial Assets Our recognition of gain or loss on the sale of loans for which we surrender control is accounted for as a sale to the extent that 1) the transferred assets are legally isolated from us or our consolidated affiliates, even in bankruptcy or other receivership, 2) the transferee has the right to pledge or exchange the assets with no conditions that constrain the transferee and provide more than a trivial benefit to the Company, and 3) we do not maintain the obligation or unilateral ability to reclaim or repurchase the assets. If the sale criteria are met, the transferred financial assets are removed from the Consolidated Statements of Financial Condition and a gain or loss on sale is recognized. Variable Interest Entities An entity that has a controlling financial interest in a variable interest entity (VIE) is referred to as the primary beneficiary and consolidates the VIE. An entity is deemed to have a controlling financial interest and is the primary beneficiary of a VIE if it has both the power to direct the activities of the VIE that most significantly impact the VIE’s economic performance and an obligation to absorb losses or the right to receive benefits that could potentially be significant to the VIE. For further information, see Note 8 - Variable Interest Entities. Repossessed Assets Repossessed assets include one-to-four family residential property, commercial property and one-to-four family homes under construction that were acquired through foreclosure or acceptance of a deed-in-lieu of foreclosure. Repossessed assets are initially recorded in other assets at the estimated fair value of the collateral less estimated costs to sell. Losses arising from the initial acquisition of such properties are charged against the ALLL at the time of transfer. Subsequent valuation adjustments to reflect fair value, as well as gains and losses on disposal of these properties, are charged to other noninterest expense within noninterest expense in the Consolidated Statements of Operations as incurred. For further information, see Note 7 - Repossessed Assets and Note 22 - Fair Value Measurements. Loans with Government Guarantees We originate government guaranteed loans which are pooled and sold as Ginnie Mae MBS. Pursuant to Ginnie Mae servicing guidelines, we have the unilateral right to repurchase loans 90 days or more past due securitized in Ginnie Mae pools. As a result, once the delinquency criteria have been met, and regardless of whether the repurchase option has been exercised, we account for the loans as if they had been repurchased. We recognize the loans and corresponding liability as loans with government guarantees and other liabilities, respectively, in the Consolidated Statements of Financial Condition. If the loan is repurchased, the liability is cash settled and the loan with government guarantee remains. Once repurchased, we may collect losses through a claims process with the government agency, as an approved lender. Federal Home Loan Bank Stock We own stock in the FHLB of Indianapolis, as required to permit us to obtain membership in and to borrow from the FHLB. No market quotes exist for the stock. The stock is redeemable at par and is carried at cost. Premises and Equipment Premises and equipment are carried at cost less accumulated depreciation. Land is carried at historical cost. Depreciation is calculated on a straight-line basis over the estimated useful lives of the assets which generally ranges from three to thirty years. Capitalized software is amortized on a straight-line basis over its useful life, which generally ranges from three to seven years. Software expenditures, repair and maintenance costs that are considered general, administrative, or of a maintenance nature are expensed as incurred. Goodwill and Intangible Assets The excess of the cost of an acquisition over the fair value of the net assets acquired consists primarily of goodwill, core deposit intangibles and other identifiable intangible assets. Goodwill is not amortized, but rather tested annually for impairment, or more frequently as events occur or circumstances change that would indicate the fair value is below the carrying amount. The Company may assess qualitative factors to determine whether it is more-likely-than-not the fair value is less than its carrying amount. If the Company concludes based on the qualitative assessment that goodwill may be impaired, a quantitative one-step impairment test would then be applied. An impairment loss would be recognized for any excess of carrying value over fair value of the goodwill. Intangible assets subject to amortization are amortized over the estimated life, using a method that approximates the time the economic benefits are realized by the Company. Intangible assets are reviewed for impairment at least annually and whenever events or changes in circumstances indicate that the carrying amount of the assets may not be recoverable. A mortization expense on intangible assets was $5 million and less than $1 million for the years ended December 31, 2018 and December 31, 2017 , respectively. The estimated future aggregate amortization expense on intangible assets for the years ended 2019, 2020, 2021, 2022, and 2023 is $15 million , $13 million , $11 million , $9 million , and $7 million , respectively. Mortgage Servicing Rights We purchase and originate mortgage loans for sale to the secondary market and sell the loans on either a servicing-retained or servicing-released basis. If we retain the right to service the loan, an MSR is created at the time of sale which is recorded at fair value. We use an internal valuation model that utilizes an option-adjusted spread and other assumptions to determine the fair value of MSRs which include anticipated prepayment speeds (also known as the constant prepayment rate), product type (i.e., conventional, government, balloon), fixed or adjustable rate of interest, interest rate, term (i.e., 15 or 30 years), servicing costs per loan, discount rate and estimate of ancillary income such as late fees and prepayment fees. Management obtains third-party valuations of the MSR portfolio on a quarterly basis from independent valuation services to assess the reasonableness of the fair value calculated by our internal valuation model. Changes in the fair value of our mortgage servicing rights are reported on the Consolidated Statements of Operations in net return on mortgage servicing. For further information, see Note 11 - Mortgage Servicing Rights and Note 22 - Fair Value Measurements. We periodically enter into agreements to sell certain of our MSRs, which qualify as sales transactions. A transfer of servicing rights related to loans previously sold qualifies as a sale at the date on which title passes, if substantially all risks and rewards of ownership have irrevocably passed to the transferee and any protection provisions retained by the transferor are minor and can be reasonably estimated. In addition, if a sale is recognized and only minor protection provisions exist, a liability is accrued for the estimated obligation associated with those provisions. Servicing Fee Income Servicing fee income, late fees and ancillary fees received on loans for which we own the MSR, are included in the net return on mortgage servicing asset line of the Consolidated Statements of Operations. The fees are based on the outstanding principal and are recorded as income when earned. Subservicing fees, which are included in loan administration income on the Consolidated Statements of Operations are based on a contractual monthly amount per loan including late fees and other ancillary income. Derivatives We utilize derivative instruments to manage the fair value changes in our MSRs, interest rate lock commitments and LHFS portfolio which are exposed to price and interest rate risk, facilitate asset/liability management, minimize the variability of future cash flows on long-term debt, and to meet the needs of our customers. All derivatives are recognized on the Consolidated Statements of Financial Condition as other assets and liabilities, as applicable, at their estimated fair value. For those derivatives designated as qualified cash flow hedges, changes in the fair value of the derivatives, to the extent effective as a hedge, are recorded in accumulated other comprehensive income, net of income taxes, and reclassified into earnings concurrently with the earnings of the hedged item. For derivative instruments designated as qualified fair value hedges, which are used to hedge the exposure of fair value changes of an asset or liability attributable to a particular risk, the gain or loss on the derivative instrument, as well as the offsetting gain or loss on the hedged item attributable to the hedged risk, are recognized in current earnings during the period of the change in fair values. For all other derivatives, changes in the fair value of the derivative are recognized immediately in earnings. A majority of these derivatives are subject to master netting agreements and cleared through a Central Counterparty Clearing House, which mitigates non-performance risk with counterparties and enables us to settle activity on a net basis. We use interest rate swaps, swaptions, futures, and forward loan sale commitments to mitigate the impact of fluctuations in interest rates and interest rate volatility on the fair value of the MSRs. Changes in their fair value are reflected in current period earnings under the net return on mortgage servicing asset. These derivatives are valued based on quoted prices for similar assets in an active market with inputs that are observable. We also enter into various derivative agreements with customers and correspondents in the form of interest-rate lock commitments and forward purchase contracts which are commitments to originate or purchase mortgage loans whereby the interest rate on the loan is determined prior to funding and the customers have locked into that interest rate. The derivatives are valued using internal models that utilize market interest rates and other unobservable inputs. Changes in the fair value of these commitments due to fluctuations in interest rates that are to be originated to our LHFS portfolio are economically hedged through the use of forward loan sale commitments of MBS. The gains and losses arising from this derivative activity are reflected in current period earnings under the net gain on loan sales. Interest rate lock commitments are valued using internal models with significant unobservable market parameters. Forward loan sale commitments are valued based on quoted prices for similar assets in an active market with inputs that are observable. At certain times we may also enter into various derivative agreements with correspondents in the form of forward purchase contracts at the time the correspondent customer enters into an interest-rate lock commitment. The derivatives are valued using internal models that utilize market interest rates and other unobservable inputs. We may utilize interest rate swaps to hedge the forecasted cash flows from our underlying variable-rate FHLB advances and forecasted FHLB advances in qualifying cash flow hedge accounting relationships. Changes in the fair value of derivatives designated as cash flow hedges are recorded in other comprehensive income on the Consolidated Statement of Financial Condition and reclassified into interest expense concurrently with the interest expense on the debt. Interest rate swaps are valued based on quoted prices for similar assets in an active market with inputs that are observable. These hedges are evaluated for effectiveness using regression analysis at the time they are designated and throughout the hedge period. For forecasted FHLB advances being hedged, we evaluate the likelihood of the transaction occurring based on the current facts and circumstances each reporting period to ensure the hedge relationship still qualifies for hedge accounting. If we de-designate a hedge relationship or determine that an interest rate swap no longer qualifies for hedge accounting, changes in fair value are no longer recorded in other comprehensive income. The effective amounts previously recorded in other comprehensive income are recognized in earnings over the remaining life of the hedged item as an adjustment to yield, until the point it is determined the underlying transaction is probable to not occur, at which point it is reclassified immediately into earnings. We utilize interest rate swaps to manage fair value changes of our fixed-rate certificates of deposit in a qualifying fair value hedge accounting relationship. Changes in the fair value of derivatives designated as fair value hedges, as well as the change in fair value of the hedged item, are recognized in current period earnings. The corresponding adjustment is recorded as a basis adjustment to the hedged item and hedging instrument. Interest rate swaps are valued based on quoted prices for similar assets in an active market with inputs that are observable. These hedges are evaluated for effectiveness using regression analysis at the time they are designated and throughout the hedge period. If the Company determines an interest rate swap no longer qualifies for fair value hedge accounting or is de-designated, the hedged item will no longer be adjusted for changes in fair value and the amounts previously recorded as a basis adjustment are recognized in earnings over the remaining life of the hedged item as an adjustment to yield. If a previously hedged item is extinguished or sold, the remaining basis adjustment of the hedged item for prior fair value hedges will be reclassified to current period earnings. To assist our customers in meeting their needs to manage interest rate risk, we enter into interest rate swap derivative contracts. To economically hedge this risk, we enter into offsetting derivative contracts to effectively eliminate the interest rate risk associated with these contracts. For additional information regarding the accounting for derivatives, see Note 12 - Derivative Financial Instruments and for additional information on recurring fair value disclosures, see Note 22 - Fair Value Measurements. Income Taxes We evaluate two components of income tax expense: current and deferred. Current income tax expense represents our estimated taxes to be paid or refunded for the current period. Deferred taxes are recognized for the future tax consequences attributable to differences between the financial statement carrying amounts of existing assets and liabilities and their respective tax bases. DTAs and liabilities are measured using enacted tax rates that will apply to taxable income in the years in which those temporary differences are expected to be recovered or settled. The effect on DTAs and liabilities of a change in tax rates is recognized as income or expense in the period that includes the enactment date. We evaluate our DTAs to determine if, based on all available evidence, it is more likely than not that they will be realized. If it is determined that it is more likely than not that the deferred taxes will not be realized, we establish a valuation allowance. For further information, see Note 19 - Income Taxes. Representation and Warranty Reserve When we sell mortgage loans into the secondary mortgage market, we make customary representations and warranties to the purchasers about various characteristics of each loan. For eligible loans sold to the Agencies after December 31, 2014, these representations and warranties generally expire after 36 months. If a defect in the origination process is identified, we may be required to either repurchase the loan, pay a fee or indemnify the purchaser for losses. Upon the sale of a loan, the Company recognizes a liability for that guarantee at its fair value as a reduction of our net gain on loan sales. Subsequent to the sale, the liability is re-measured on an ongoing basis based upon an estimate of probable future losses. These estimates are based on our most recent data including loss severity on repurchased and indemnified loans, repurchase requests and other factors. Changes to our previous estimates are recorded in noninterest income in the Consolidated Statements of Operations. An estimate of the fair value of the guarantee associated with the mortgage loans is recorded in other liabilities in the Consolidated Statements of Financial Condition, and was $7 million at December 31, 2018 , as compared to $15 million at December 31, 2017 . Advertising Costs Advertising costs are expensed in the period they are incurred and are included as part of other noninterest expense in the Consolidated Statements of Operations. Advertising expenses totaled $26 million , $16 million , and $11 million for the years ended December 31, 2018 , 2017 and 2016 , respectively. Stock-Based Compensation All share-based payments to employees, including grants of employee stock options and restricted stock units, are classified as equity with expenses being recognized in compensation and benefits in the Consolidated Statements of Operations based on their fair values. The amount of compensation is measured at the grant date and is expensed over the requisite service period, which is normally the vesting period, and for the year ended December 31, 2018 , any forfeitures were recognized as they occurred. In addition to share-based payments to employees, the discount provided to employees through the Employee Stock Purchase Plan is also recognized as stock-based compensation. For further information, see Note 18 - Stock-Based Compensation. Department of Justice Litigation Settlement The executed settlement agreement with the DOJ representing the obligation to make future additional payments establishes a legally enforceable contract with a stipulated payment plan that meets the definition of a financial liability. We have elected the fair value option to account for this

Acquisitions

Acquisitions	12 Months Ended
	Dec. 31, 2018
Business Combinations [Abstract]
Acquisitions	Acquisitions Wells Fargo Branch Acquisition On November 30, 2018, the Company completed the acquisition of 52 Wells Fargo branches in Indiana, Michigan, Wisconsin and Ohio. These branches provide us with high-quality, low-cost deposits, allowing for balance sheet growth and further expansion of our banking footprint. The following table summarizes the preliminary allocation of the purchase price to the fair value of assets acquired and liabilities assumed as of the acquisition date. We deem the initial valuation of the assets and liabilities to be provisional and have left the measurement period open. These fair values may be adjusted in a future period, not to exceed one year after the acquisition date, to reflect new facts and circumstances which existed as of the acquisition date. (Dollars in millions) Assets acquired: Cash $ 9 Loans 107 Core deposit intangible (CDI) 60 Other assets 23 Total assets 199 Liabilities assumed: Deposits 1,760 Total liabilities 1,760 Fair value of net liabilities assumed (1,561 ) Cash consideration (received) (1,499 ) Goodwill $ 62 As a result of the transaction, we recognized $62 million of goodwill, which was calculated as the excess of the consideration exchanged and the liabilities assumed as compared to the fair value of the identifiable net assets acquired. The goodwill was assigned to our Community Banking segment and is expected to be deductible for tax purposes. The CDI represents the value of the relationships with deposit customers and was measured using the income method using a discounted cash flow methodology which gave consideration to attrition rates, alternative cost of funds, net maintenance cost, and other costs associated with the deposit base. The CDI will be amortized over its estimated useful life of approximately 10 years utilizing an accelerated method. Acquisition-related costs to the Wells Fargo branch acquisition were expensed as incurred and amounted to $15 million for the year ended December 31, 2018 . These costs were recorded in noninterest expense in the Consolidated Statement Operations and primarily included integration costs, marketing, legal and consulting fees. The following table presents unaudited pro forma information as if the acquisition of the Wells Fargo branches had occurred on January 1, 2017. This pro forma information includes certain adjustments and assumptions including, but not limited to, reclassifications from 2018 net income to 2017 net income related to acquisition-related expenses of $15 million and hedging gains of $29 million . The pro forma information is not necessarily indicative of the results of operations that would have occurred had the transaction been completed on the assumed date. For the Years Ended December 31, 2018 2017 (Dollars in millions) Net interest income $ 540 $ 482 Net income $ 196 $ 83 Other 2018 Acquisitions On March 12, 2018, the Company closed on the purchase of the mortgage loan warehouse business from Santander Bank, strengthening and diversifying our mortgage warehouse business by adding $499 million in outstanding warehouse draws and $1.7 billion in commitments. Additionally, on March 19, 2018, the Company closed on the Desert Community Bank branch acquisition, with $614 million in deposits and $59 million in loans, expanding our banking footprint and providing additional deposit funding. Together, these acquisitions increased goodwill and intangible assets by $51 million . 2017 Acquisitions On February 28, 2017, the Company completed the acquisition of the delegated correspondent lending platform, along with certain related assets, of Stearns Lending, allowing us to expand our market share in the correspondent mortgage lending channel. Additionally, on May 15, 2017, the Company completed the acquisition of certain assets of Opes Advisors, a California based retail mortgage originator, positioning us to increase our distributed retail mortgage lending channel. Together, these acquisitions increased goodwill and intangible assets by $21 million .

Investment Securities

Investment Securities	12 Months Ended
	Dec. 31, 2018
Investments, Debt and Equity Securities [Abstract]
Investment Securities	Investment Securities The following table presents our investment securities: Amortized Cost Gross Unrealized Gross Unrealized Fair Value (Dollars in millions) December 31, 2018 Available-for-sale securities Agency - Commercial $ 1,413 $ 4 $ (43 ) $ 1,374 Agency - Residential 686 — (24 ) 662 Corporate debt obligations 41 — — 41 Municipal obligations 33 — (1 ) 32 Other MBS 32 — — 32 Certificates of Deposit 1 1 Total available-for-sale securities (1) $ 2,206 $ 4 $ (68 ) $ 2,142 Held-to-maturity securities Agency - Commercial $ 349 $ — $ (13 ) $ 336 Agency - Residential 354 — (9 ) 345 Total held-to-maturity securities (1) $ 703 $ — $ (22 ) $ 681 December 31, 2017 Available-for-sale securities Agency - Commercial $ 1,004 $ — $ (17 ) $ 987 Agency - Residential 811 — (17 ) 794 Corporate debt obligations 37 1 — 38 Municipal obligations 35 — (1 ) 34 Total available-for-sale securities (1) $ 1,887 $ 1 $ (35 ) $ 1,853 Held-to-maturity securities Agency - Commercial $ 526 $ — $ (9 ) $ 517 Agency - Residential 413 — (6 ) 407 Total held-to-maturity securities (1) $ 939 $ — $ (15 ) $ 924 (1) There were no securities of a single issuer, which are not governmental or government-sponsored, that exceeded 10 percent of stockholders’ equity at December 31, 2018 or December 31, 2017 . Management evaluates our securities portfolio each quarter to determine if any security is considered to be other than temporarily impaired. In making this evaluation, management considers our ability and intent to hold securities to recover current market losses. Agency securities, which are either explicitly or implicitly backed by the federal government, comprised 96 percent of our total securities at December 31, 2018 . This factor is considered when evaluating our investment securities for OTTI. During the years ended December 31, 2018 , 2017 and 2016 , we had no OTTI. Available-for-sale securities We purchased $340 million of AFS securities, which were comprised of U.S. government sponsored agency MBS, certificates of deposit, and corporate debt obligations during the year ended December 31, 2018 . In addition, we retained $33 million of passive interests in our own private MBS during the year ended December 31, 2018 . We purchased $904 million of AFS securities, which included U.S. government sponsored agency MBS, corporate debt obligations and municipal obligations during the year ended December 31, 2017 . We had no sales of AFS securities during the year ended December 31, 2018 . During the year ended December 31, 2017 , we sold $289 million of U.S. government sponsored agency securities, which resulted in a gain of $3 million , compared to $291 million of U.S. government sponsored agency securities, which resulted in a gain of $4 million during the year ended December 31, 2016 . Held-to-maturity securities In conjunction with adoption of ASU 2017-12 (Targeted Improvements to Accounting for Hedging Activities) the Company elected to transfer $144 million of investment securities from HTM to AFS during the first quarter of 2018, as permitted by the standard, which resulted in a de minimis impact to OCI. There were no purchases of HTM securities during the year ended December 31, 2018 and December 31, 2017 . We purchased $15 million of HTM securities, which included U.S. government sponsored agency MBS during the year ended December 31, 2016 . We had no sales of HTM securities during the years ending December 31, 2018 , 2017 and 2016 , 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 (Dollars in millions) December 31, 2018 Available-for-sale securities Agency - Commercial $ 1,025 74 $ (43 ) $ 1 1 $ — Agency - Residential 647 79 (24 ) 14 5 — Municipal obligations 28 16 (1 ) 1 2 — Corporate debt obligations — — — 7 2 — Held-to-maturity securities Agency - Commercial $ 336 26 $ (13 ) $ — — $ — Agency - Residential 345 60 (9 ) — — — December 31, 2017 Available-for-sale securities Agency - Commercial $ 218 20 $ (7 ) $ 744 41 $ (11 ) Agency - Residential 452 36 (14 ) 263 33 (3 ) Municipal obligations 6 3 — 22 9 — Corporate debt obligations — — — 3 1 — Held-to-maturity securities Agency - Commercial $ 348 25 $ (8 ) $ 99 8 $ (1 ) Agency - Residential 111 16 (3 ) 293 43 (3 ) The following shows the amortized cost and estimated fair value of securities 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 (Dollars in millions) December 31, 2018 Due in one year or less $ 1 $ 1 1.31 % $ — $ — — % Due after one year through five years 60 59 2.51 % 10 10 2.45 % Due after five years through 10 years 59 59 4.41 % 11 11 2.21 % Due after 10 years 2,086 2,023 2.66 % 682 660 2.47 % Total $ 2,206 $ 2,142 $ 703 $ 681 We pledge investment securities, primarily agency collateralized and municipal taxable mortgage obligations, to collateralize lines of credit and/or borrowings. We had pledged investment securities of $1.9 billion and, $2.0 billion , at December 31, 2018 and 2017 respectively.

Loans Held-for-Sale

Loans Held-for-Sale	12 Months Ended
	Dec. 31, 2018
Receivables [Abstract]
Loans Held-for-Sale	Loans Held-for-Sale The majority of our mortgage loans originated as LHFS are ultimately sold into the secondary market on a whole loan basis or by securitizing the loans into agency, government, or private label mortgage-backed securities. At December 31, 2018 and 2017 , LHFS totaled $3.9 billion and $4.3 billion , respectively. For the years ended December 31, 2018 , 2017 and 2016 , we had net gains on loan sales associated with LHFS of $197 million , $267 million , and $301 million , respectively. At December 31, 2018 and 2017 , $137 million and $21 million , respectively, of LHFS were recorded at lower of cost or fair value. We elected the fair value option for the remainder of the loans in the portfolio.

Loans Held-for-Investment

Loans Held-for-Investment	12 Months Ended
	Dec. 31, 2018
Receivables [Abstract]
Loans Held-for-Investment	Loans Held-for-Investment The following table presents our Loans-held-for-investment: December 31, 2018 December 31, 2017 (Dollars in millions) Consumer loans Residential first mortgage $ 2,999 $ 2,754 Home Equity 731 664 Other 314 25 Total consumer loans 4,044 3,443 Commercial loans Commercial real estate 2,152 1,932 Commercial and industrial 1,433 1,196 Warehouse lending 1,459 1,142 Total commercial loans 5,044 4,270 Total loans held-for-investment $ 9,088 $ 7,713 The following table presents the UPB of our loan sales and purchases in the loans held-for-investment portfolio: For the Year Ended 2018 2017 2016 (Dollars in millions) Loans Sold (1) Performing loans $ 158 $ 102 $ 1,194 Nonperforming loans — 25 110 Total performing and nonperforming loans sold $ 158 $ 127 $ 1,304 Net gain associated with loan sales (2) $ 2 $ 2 $ 12 Loans Purchased Residential first mortgage loans 3 8 175 HELOC — 250 — Other consumer 34 — — Total loans purchased $ 37 $ 258 $ 175 Premium associated with loans purchased $ — $ 9 $ 1 (1) Upon a change in our intent, the loans were transferred to LHFS and subsequently sold. (2) Recorded in net gain on loan sales on Consolidated Statement of Operations. In addition to the loans sold as presented above, during the year ended December 31, 2018 , we transferred residential first mortgage loans with $116 million UPB to LHFS, upon a change in our intent. We have entered into an agreement to sell these loans which we expect to settle in the first quarter 2019. We have pledged certain LHFI, LHFS, and loans with government guarantees to collateralize lines of credit and/or borrowings with the FRB of Chicago and the FHLB of Indianapolis. At December 31, 2018 and 2017 , we pledged loans of $6.8 billion and $7.1 billion , respectively. The following table presents changes in ALLL, by class of loan: Residential First Mortgage (1) Home Equity Other Consumer Commercial Real Estate Commercial and Industrial Warehouse Lending Total (Dollars in millions) Year Ended December 31, 2018 Beginning balance ALLL $ 47 $ 22 $ 1 $ 45 $ 19 $ 6 $ 140 Charge-offs (2) (4 ) (2 ) (2 ) — — — (8 ) Recoveries 2 1 1 — — — 4 Provision (benefit) (7 ) (6 ) 3 3 (1 ) — (8 ) Ending balance ALLL $ 38 $ 15 $ 3 $ 48 $ 18 $ 6 $ 128 Year Ended December 31, 2017 Beginning balance ALLL $ 65 $ 24 $ 1 $ 28 $ 17 $ 7 $ 142 Charge-offs (2) (8 ) (3 ) (2 ) (1 ) — — (14 ) Recoveries 1 2 1 1 1 — 6 Provision (benefit) (11 ) (1 ) 1 17 1 (1 ) 6 Ending balance ALLL $ 47 $ 22 $ 1 $ 45 $ 19 $ 6 $ 140 Year Ended December 31, 2016 Beginning balance ALLL $ 116 $ 32 $ 2 $ 18 $ 13 $ 6 $ 187 Charge-offs (2) (29 ) (4 ) (3 ) — — — (36 ) Recoveries 2 — 3 1 — — 6 Provision (benefit) (3) (24 ) (4 ) (1 ) 9 4 1 (15 ) Ending balance ALLL $ 65 $ 24 $ 1 $ 28 $ 17 $ 7 $ 142 (1) Includes allowance and charge-offs related to loans with government guarantees. (2) Includes charge-offs of zero , $1 million and $8 million related to the transfer and subsequent sale of loans during the years ended December 31, 2018 , 2017 and 2016 , respectively. Also includes charge-offs related to loans with government guarantees of $2 million , $4 million , and $14 million during the years ended December 31, 2018 , 2017 and 2016 , respectively. (3) Does not include $7 million for provision for loan losses expense recorded in the Consolidated Statements of Operations to reserve for repossessed loans with government guarantees at December 31, 2016 . The following table sets forth the method of evaluation, by class of loan: Residential First Mortgage (1) Home Equity Other Consumer Commercial Real Estate Commercial and Industrial Warehouse Lending Total (Dollars in millions) December 31, 2018 Loans held-for-investment (2) Individually evaluated $ 32 $ 23 $ — $ — $ — $ — $ 55 Collectively evaluated 2,959 706 314 2,152 1,433 1,459 9,023 Total loans $ 2,991 $ 729 $ 314 $ 2,152 $ 1,433 $ 1,459 $ 9,078 Allowance for loan losses (2) Individually evaluated $ 4 $ 7 $ — $ — $ — $ — $ 11 Collectively evaluated 34 8 3 48 18 6 117 Total allowance for loan losses $ 38 $ 15 $ 3 $ 48 $ 18 $ 6 $ 128 December 31, 2017 Loans held-for-investment (2) Individually evaluated $ 34 $ 27 $ — $ — $ — $ — $ 61 Collectively evaluated 2,712 633 25 1,932 1,196 1,142 7,640 Total loans $ 2,746 $ 660 $ 25 $ 1,932 $ 1,196 $ 1,142 $ 7,701 Allowance for loan losses (2) Individually evaluated $ 6 $ 10 $ — $ — $ — $ — $ 16 Collectively evaluated 41 12 1 45 19 6 124 Total allowance for loan losses $ 47 $ 22 $ 1 $ 45 $ 19 $ 6 $ 140 (1) Includes allowance related to loans with government guarantees. (2) Excludes loans carried under the fair value option. The following table sets forth the LHFI aging analysis of past due and current loans (for further information on our policy for past due and impaired loans, see Note 1 - Description of Business, Basis of Presentation, and Summary of Significant Accounting Policies): 30-59 Days Past Due 60-89 Days Past Due 90 Days or Greater Past Due (1) Total Past Due Current Total LHFI (Dollars in millions) December 31, 2018 Consumer loans Residential first mortgage $ 4 $ 2 $ 19 $ 25 $ 2,974 $ 2,999 Home equity 1 — 3 4 727 731 Other — — — — 314 314 Total consumer loans 5 2 22 29 4,015 $ 4,044 Commercial loans Commercial real estate — — — — 2,152 2,152 Commercial and industrial — — — — 1,433 1,433 Warehouse lending — — — — 1,459 1,459 Total commercial loans — — — — 5,044 5,044 Total loans (2) $ 5 $ 2 $ 22 $ 29 $ 9,059 $ 9,088 December 31, 2017 Consumer loans Residential first mortgage $ 2 $ 2 $ 23 $ 27 $ 2,727 $ 2,754 Home equity 1 — 6 7 657 664 Other — — — — 25 25 Total consumer loans 3 2 29 34 3,409 3,443 Commercial loans Commercial real estate — — — — 1,932 1,932 Commercial and industrial — — — — 1,196 1,196 Warehouse lending — — — — 1,142 1,142 Total commercial loans — — — — 4,270 4,270 Total loans (2) $ 3 $ 2 $ 29 $ 34 $ 7,679 $ 7,713 (1) Includes less than 90 days past due performing loans which are deemed nonaccrual. Interest is not being accrued on these loans. (2) Includes $3 million and $4 million of past due loans accounted for under the fair value option at December 31, 2018 and 2017 , respectively. Interest that would have been accrued on impaired loans if such loans had been current in accordance with their original terms, totaled approximately $1 million , $1 million and $2 million during the years ended December 31, 2018 , 2017 and 2016 , respectively. At December 31, 2018 and 2017 , we had no loans 90 days or greater past due and still accruing interest. Troubled Debt Restructurings The following table provides a summary of TDRs by type and performing status: TDRs Performing Nonperforming Total (Dollars in millions) December 31, 2018 Consumer loans Residential first mortgage $ 22 $ 8 $ 30 Home equity 22 2 24 Total TDRs (1)(2) $ 44 $ 10 $ 54 December 31, 2017 Consumer loans Residential first mortgage $ 19 $ 12 $ 31 Home Equity 24 4 28 Total TDRs (1)(2) $ 43 $ 16 $ 59 (1) The ALLL on TDR loans totaled $10 million and $13 million at December 31, 2018 and 2017 , respectively. (2) Includes $3 million of TDR loans accounted for under the fair value option at both December 31, 2018 and 2017 . The following table provides a summary of newly modified TDRs: New TDRs Number of Accounts Pre-Modification Unpaid Principal Balance Post-Modification Unpaid Principal Balance (1) Increase (Decrease) in Allowance at Modification (Dollars in millions) Year Ended December 31, 2018 Residential first mortgages 14 $ 3 $ 3 $ — Home equity (2)(3) 17 1 1 — Total TDR loans 31 $ 4 $ 4 $ — Year Ended December 31, 2017 Residential first mortgages 16 $ 4 $ 4 $ — Home equity (2)(3) 82 6 5 (1 ) Total TDR loans 98 $ 10 $ 9 $ (1 ) Year Ended December 31, 2016 Residential first mortgages 23 $ 4 $ 5 $ — Home equity (2)(3) 143 9 8 — Commercial & Industrial 1 2 1 — Total TDR loans 167 $ 15 $ 14 $ — (1) Post-modification balances include past due amounts that are capitalized at modification date. (2) Home equity post-modification UPB reflects write downs. (3) Includes loans carried at fair value option. During the years ended December 31, 2018 , 2017 , and 2016 , there were zero , one , and eight , newly modified TDR loans which had been modified in the preceding 12 months that subsequently defaulted in those periods, respectively. The UPB associated with those TDR loans was zero in the year ended December 31, 2018 and less than $1 million , in the aggregate, in each of the years ended December 31, 2017 and 2016 . There was no increase or decrease in the allowance associated with these TDRs at subsequent default. All TDRs within consumer and commercial loan portfolios are considered subsequently defaulted when greater than 90 days past due. Subsequent default is defined as a payment re-defaulted within 12 months of the restructuring date. Impaired Loans The following table presents individually evaluated impaired loans and the associated allowance: December 31, 2018 December 31, 2017 Recorded Investment Net Unpaid Principal Balance Related Allowance Recorded Investment Net Unpaid Principal Balance Related Allowance (Dollars in millions) With no related allowance recorded Consumer loans Residential first mortgage $ 13 $ 16 $ — $ 11 $ 12 $ — Home equity 1 4 — — — — Total loans with no related allowance recorded $ 14 $ 20 $ — $ 11 $ 12 $ — With an allowance recorded Consumer loans Residential first mortgage $ 19 $ 20 $ 4 $ 22 $ 22 $ 6 Home equity 22 23 7 24 27 10 Total loans with an allowance recorded $ 41 $ 43 $ 11 $ 46 $ 49 $ 16 Total impaired loans Consumer loans Residential first mortgage $ 32 $ 36 $ 4 $ 33 $ 34 $ 6 Home equity 23 27 7 24 27 10 Total impaired loans $ 55 $ 63 $ 11 $ 57 $ 61 $ 16 The following table presents average impaired loans and the interest income recognized: For the Years Ended December 31, 2018 2017 2016 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 $ 33 $ 1 $ 38 $ 1 $ 52 $ 1 Home equity 25 2 28 1 30 2 Commercial loans Commercial and industrial 2 — — — 2 — Total impaired loans $ 60 $ 3 $ 66 $ 2 $ 84 $ 3 Credit Quality We utilize an internal risk rating system 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 full collection or liquidation of the debt. They are characterized by the distinct possibility that we will sustain some loss if the deficiencies are not corrected. For home equity 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. Substandard loans may be placed on either accrual or non-accrual status. 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. Due to the high probability of loss, doubtful assets are placed on non-accrual. 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 the asset even though partial recovery may be affected in the future. 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, and 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 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, and financial reporting requirements. The underlying collateral is also rated based on the specific type of collateral and corresponding LTV. The combination of the borrower and collateral risk ratings results in the final rating for the borrowing relationship. December 31, 2018 Pass Watch Special Mention Substandard Total Loans (Dollars in millions) Consumer Loans Residential First Mortgage $ 2,952 $ 28 $ — $ 19 $ 2,999 Home equity 705 23 — 3 731 Other Consumer 314 — — — 314 Total Consumer Loans $ 3,971 $ 51 $ — $ 22 $ 4,044 Commercial Loans Commercial Real Estate $ 2,132 $ 14 $ 5 $ 1 $ 2,152 Commercial and Industrial 1,351 53 29 — 1,433 Warehouse 1,324 120 15 — 1,459 Total Commercial Loans $ 4,807 $ 187 $ 49 $ 1 $ 5,044 December 31, 2017 Pass Watch Special Mention Substandard Total Loans (Dollars in millions) Consumer Loans Residential First Mortgage $ 2,706 $ 23 $ — $ 25 $ 2,754 Home equity 633 25 — 6 664 Other Consumer 25 — — — 25 Total Consumer Loans $ 3,364 $ 48 $ — $ 31 $ 3,443 Commercial Loans Commercial Real Estate $ 1,902 $ 23 $ 7 $ — $ 1,932 Commercial and Industrial 1,135 32 24 5 1,196 Warehouse 1,014 128 — — 1,142 Total Commercial Loans $ 4,051 $ 183 $ 31 $ 5 $ 4,270

Loans with Government Guarantee

Loans with Government Guarantees	12 Months Ended
	Dec. 31, 2018
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 FHA or 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 or the U.S. Department of Veterans Affairs 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 ALLL on residential first mortgages. At December 31, 2018 and December 31, 2017 , respectively, loans with government guarantees totaled $392 million and $271 million . Repossessed assets and the associated claims related to government guaranteed loans are recorded in other assets and totaled $50 million and $84 million at December 31, 2018 and December 31, 2017 , respectively.

Repossessed Assets

Repossessed Assets	12 Months Ended
	Dec. 31, 2018
Repossessed Assets [Abstract]
Repossessed Assets	Repossessed Assets Repossessed assets include the following: December 31, 2018 2017 (Dollars in millions) One-to-four family properties $ 5 $ 5 Commercial properties 2 3 Total repossessed assets $ 7 $ 8 The following schedule provides the activity for repossessed assets: For the Years Ended December 31, 2018 2017 2016 (Dollars in millions) Beginning balance $ 8 $ 14 $ 17 Additions, net 10 18 19 Disposals (8 ) (14 ) (19 ) Net (write down) gain on disposal (3 ) (9 ) (2 ) Transfers out — (1 ) (1 ) Ending balance $ 7 $ 8 $ 14

Variable Interest Entities

Variable Interest Entities	12 Months Ended
	Dec. 31, 2018
Disclosure of Transfer of Securitizations or Asset-backed Financing Financial Assets Accounted for as Sale [Abstract]
Variable Interest Entities	Variable Interest Entities We have no consolidated VIEs as of December 31, 2018 and December 31, 2017 . In connection with our securitization activities, we have retained a five percent interest in the investment securities of certain trusts ("other MBS") and are contracted as the sub-servicer of the underlying loans, compensated based on market rates, which constitutes a continuing involvement in these trusts. Although we have a variable interest in these securitization trusts, we are not their primary beneficiary due to the relative size of our investment in comparison to the total amount of securities issued by the VIE and our inability to direct activities that most significantly impact the VIE’s economic performance. As a result, we have not consolidated the assets and liabilities of the VIE in our Statements of Financial Condition. The Bank’s maximum exposure to loss is limited to our investment in the VIE, as well as the standard representations and warranties made in conjunction with the loan transfer. See Note 3 - Investment Securities and Note 22 - Fair Value Measurements, for additional information. In addition, we have a continuing involvement, but are not the primary beneficiary for an unconsolidated VIE related to the FSTAR 2007-1 mortgage securitization trust. In accordance with the settlement agreement with MBIA, there is no further recourse to us related to FSTAR 2007-1, unless MBIA fails to meet their obligations. At December 31, 2018 and 2017 , the FSTAR 2007-1 mortgage securitization trust included 1,513 loans and 1,911 loans, respectively, with an aggregate principal balance of $49 million and $65 million , respectively.

Federal Home Loan Bank Stock

Federal Home Loan Bank Stock	12 Months Ended
	Dec. 31, 2018
Federal Home Loan Bank Stock [Abstract]
Federal Home Loan Bank Stock	Federal Home Loan Bank Stock Our investment in FHLB stock was $303 million at both December 31, 2018 and December 31, 2017 . As a member of the FHLB, we are required to hold shares of FHLB stock in an amount equal to at least one percent of the aggregate UPB of our mortgage loans, home purchase contracts and similar obligations at the beginning of each year or 4.5 percent of our total FHLB advances, whichever is greater. We had no required stock purchases during the year ended December 31, 2018 , and $123 million and $10 million in required stock purchases during the years ended December 31, 2017 and 2016 , respectively. We had no redemptions of FHLB stock during the years ended December 31, 2018 , 2017 and 2016 . Dividends received on the stock equaled $15 million , $9 million and $7 million for the years ended December 31, 2018 , 2017 and 2016 , respectively. These dividends were recorded in the Consolidated Statements of Operations as other noninterest income.

Premises and Equipment

Premises and Equipment	12 Months Ended
	Dec. 31, 2018
Property, Plant and Equipment [Abstract]
Premises and Equipment	Premises and Equipment The following presents our premises and equipment balances and estimated useful lives: Estimated Useful Lives December 31, 2018 2017 (Dollars in millions) Land N/A $ 74 $ 61 Computer hardware and software 3 - 7 years 366 300 Office buildings and improvements 15 - 31.5 years 185 159 Furniture, fixtures and equipment 5 - 7 years 57 63 Leased equipment 3 - 10 years 50 40 Total 732 623 Less accumulated depreciation (342 ) (293 ) Premises and equipment, net $ 390 $ 330 Depreciation expense was $50 million , $39 million and $31 million , for the years ended December 31, 2018 , 2017 and 2016 , respectively. Operating Leases We conduct a portion of our business from leased facilities. Such leases are considered to be operating leases based on their terms. Lease rental expense totaled approximately $11 million , $9 million and $5 million for the years ended December 31, 2018 , 2017 and 2016 , respectively. The following outlines our minimum contractual lease obligations: December 31, 2018 (Dollars in millions) 2019 $ 9 2020 6 2021 4 2022 2 2023 1 Thereafter 3 Total $ 25

Mortgage Servicing Rights

Mortgage Servicing Rights	12 Months Ended
	Dec. 31, 2018
Transfers and Servicing [Abstract]
Mortgage Servicing Rights	Mortgage Servicing Rights We have investments in MSRs that result from the sale of loans to the secondary market for which we retain the servicing. We account for MSRs at their fair value. A 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. For further information regarding the derivative instruments utilized to manage our MSR risks, see Note 12 - Derivative Financial Instruments. Changes in the fair value of residential first mortgage MSRs were as follows: For the Years Ended December 31, 2018 2017 2016 (Dollars in millions) Balance at beginning of period $ 291 $ 335 $ 296 Additions from loans sold with servicing retained 356 288 228 Reductions from sales (339 ) (310 ) (84 ) Changes in fair value due to (1) : Decrease in MSR value due to pay-offs, pay-downs, and run-off (16 ) (22 ) (62 ) Changes in estimates of fair value (2) (2 ) — (43 ) Fair value of MSRs at end of period $ 290 $ 291 $ 335 (1) Changes in fair value are included within net return (loss) 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 using adverse changes of 10 percent and 20 percent to the weighted-average of certain significant assumptions used in valuing these assets: December 31, 2018 December 31, 2017 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 5.42 % $ 284 $ 280 6.29 % $ 286 $ 282 Constant prepayment rate 9.57 % 278 268 9.93 % 283 277 Weighted average cost to service per loan $ 85.57 286 283 $ 73.00 288 286 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. For further information on the fair value of MSRs, see Note 1 - Description of Business, Basis of Presentation, and Summary of Significant Accounting Standards and Note 22 - Fair Value Measurements. 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 on subserviced loans, net of third party subservicing costs. The following table summarizes income and fees associated with owned mortgage servicing rights: For the Years Ended December 31, 2018 2017 2016 (Dollars in millions) Net return (loss) on mortgage servicing rights Servicing fees, ancillary income and late fees (1) $ 65 $ 60 $ 81 Changes in fair value (18 ) (22 ) (109 ) Gain (loss) on MSR derivatives (2) (5 ) (8 ) — Net transaction costs (6 ) (8 ) 2 Total return (loss) included in net return on mortgage servicing rights $ 36 $ 22 $ (26 ) (1) Servicing fees are recorded on the accrual basis. Ancillary income and late fees are recorded on a cash basis. (2) 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 for others: For the Years Ended December 31, 2018 2017 2016 (Dollars in millions) Loan administration income on mortgage loans subserviced Servicing fees, ancillary income and late fees (1) $ 54 $ 35 $ 29 Other servicing charges (31 ) (14 ) (11 ) Total income on mortgage loans subserviced, included in loan administration $ 23 $ 21 $ 18 (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	12 Months Ended
	Dec. 31, 2018
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. Our policy is to present its derivative assets and derivative liabilities on the Consolidated Statement of Financial Condition on a gross basis, even when provisions allowing for set-off are in place. However, for derivative contracts cleared through certain central clearing parties, variation margin payments are recognized as settlements. We are exposed to non-performance risk by the counterparties to our various derivative financial instruments. 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. We believe that the non-performance risk inherent in our remaining derivative contracts is minimal based on credit standards and the collateral provisions of the derivative agreements. 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 LHFS 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 fair value hedges of fixed-rate certificates of deposit. During the second quarter of 2018, we de-designated all of our remaining cash flow hedge relationships. We evaluate the probability of hedged transactions occurring on at least a quarterly basis relating to amounts deferred in OCI. 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 December 31, 2018 and December 31, 2017 , we had zero and $2 million (net of tax), respectively, of unrealized gains on derivatives classified as cash flow hedges recorded in accumulated other comprehensive income (loss). Derivatives that are designated in hedging relationships are assessed for effectiveness using regression analysis at inception and throughout the hedge period. All designated hedge relationships were and are expected to be highly effective as of December 31, 2018 . Cash flows and the profit impact associated with designated hedges are reported in the same category as the underlying hedged item. During the fourth quarter of 2018, we completed the Wells Fargo branch acquisition. This acquisition resulted in the addition of $1.8 billion of deposits and significantly changed the composition of our balance sheet. We settled all of our variable LIBOR based long-term FHLB borrowings and determined that our forecasted interest payments were probable not to occur. As a result, we reclassified $29 million of hedging gains that had been deferred in OCI from de-designated hedging relationships immediately into income. We have no losses estimated to be reclassified from other comprehensive income into earnings during the next 12 months. The following tables present the notional amount, estimated fair value and maturity of our derivative financial instruments: December 31, 2018 (1) Notional Amount Fair Value (2) Expiration Dates (Dollars in millions) Derivatives in fair value hedge relationships: Assets Interest rate swaps on CDs $ 20 $ — 2019 Liabilities Interest rate swaps on CDs $ 10 $ — 2019 Derivatives not designated as hedging instruments: Assets Futures $ 248 $ — 2019-2023 Mortgage-backed securities forwards 362 4 2019 Rate lock commitments 2,221 20 2019 Interest rate swaps and swaptions 1,662 23 2019-2049 Total derivative assets $ 4,493 $ 47 Liabilities Futures $ 1,513 $ 1 2019-2023 Mortgage-backed securities forwards 4,625 31 2019 Rate lock commitments 45 — 2019 Interest rate swaps 755 7 2019-2028 Total derivative liabilities $ 6,938 $ 39 (1) Variation margin pledged to or received from a Central Counterparty Clearing House to cover the prior days fair value of open positions, is considered settlement of the derivative position for accounting purposes. (2) Derivative assets and liabilities are included in other assets and other liabilities on the Consolidated Statements of Financial Condition, respectively. December 31, 2017 (1) Notional Amount Fair Value (2) Expiration Dates (Dollars in millions) Derivatives in cash flow hedge relationships: Liabilities Interest rate swaps on FHLB advances $ 830 $ 1 2023-2026 Derivatives not designated as hedging instruments: Assets Futures $ 1,597 $ — 2018-2022 Mortgage-backed securities forwards 2,646 4 2018 Rate lock commitments 3,629 24 2018 Interest rate swaps and swaptions 1,441 11 2018-2048 Total derivative assets $ 9,313 $ 39 Liabilities Futures $ 209 $ — 2018-2021 Mortgage-backed securities forwards 3,197 6 2018 Rate lock commitments 214 — 2018 Interest rate swaps 617 4 2018-2027 Total derivative liabilities $ 4,237 $ 10 (1) Variation margin pledged to or received from a Central Counterparty Clearing House to cover the prior days fair value of open positions, is considered settlement of the derivative position for accounting purposes. (2) Derivative assets and liabilities are included in other assets and other liabilities on the Consolidated Statements of Financial Condition, respectively. The following tables present the derivatives subject to a master netting arrangement, including the cash pledged as collateral: Gross Amounts Netted in the Statement of Financial Position Net Amount Presented in the Statement of Financial Position Gross Amounts Not Offset in the Statement of Financial Position Gross Amount Financial Instruments Cash Collateral (Dollars in millions) December 31, 2018 Derivatives not designated as hedging instruments: Assets Mortgage-backed securities forwards $ 4 $ — $ 4 $ — $ — Interest rate swaps and swaptions (1) 23 — 23 — 14 Total derivative assets $ 27 $ — $ 27 $ — $ 14 Liabilities Futures $ 1 $ — $ 1 $ — $ 1 Mortgage-backed securities forwards 31 — 31 — 29 Interest rate swaps (1) 7 — 7 — 23 Total derivative liabilities $ 39 $ — $ 39 $ — $ 53 December 31, 2017 Derivatives designated as hedging instruments: Liabilities Interest rate swaps on FHLB advances (1) $ 1 $ — $ 1 $ — $ 17 Derivatives not designated as hedging instruments: Assets Mortgage-backed securities forwards $ 4 $ — $ 4 $ — $ 8 Interest rate swaps and swaptions (1) 11 — 11 — 10 Total derivative assets $ 15 $ — $ 15 $ — $ 18 Liabilities Futures $ — $ — $ — $ — $ 2 Mortgage-backed securities forwards 6 — 6 — 2 Interest rate swaps (1) 4 — 4 — 5 Total derivative liabilities $ 10 $ — $ 10 $ — $ 9 (1) Variation margin pledged to or received from a Central Counterparty Clearing House to cover the prior days fair value of open positions, is considered settlement of the derivative position for accounting purposes. The fair value basis adjustment on our hedged CDs is included in interest bearing deposits on our Consolidated Statements of Operations. The carrying amount of our hedged CDs was $30 million at December 31, 2018 and zero at December 31, 2017 and the cumulative amount of fair value hedging adjustment included in the carrying amount of the hedged CDs was de minimis at December 31, 2018 and zero at December 31, 2017. At December 31, 2018 , we pledged a total of $53 million related to derivative financial instruments, consisting of $30 million of cash collateral on derivative liabilities and $23 million of maintenance margin on centrally cleared derivatives and had an obligation to return cash of $14 million on derivative assets. We pledged a total of $26 million related to derivative financial instruments, consisting of $7 million of cash collateral on derivative liabilities and $19 million of maintenance margin on centrally cleared derivatives and had an obligation to return cash of $18 million on derivative assets at December 31, 2017. Within the Consolidated Statements of Financial Condition, the collateral related to derivative activity is included in other assets and liabilities and the cash pledged as maintenance is restricted and included in other assets. The following table presents the net gain recognized on designated instruments, net of the impact of offsetting positions: Amount Recorded in Net Interest Income (1) For the Years Ended December 31, 2018 (2) 2017 (Dollars in millions) Gain on cash flow hedging relationships in interest contracts Amount of gain reclassified from AOCI into income $ 30 $ 5 Total gain on hedges $ 30 $ 5 (1) The gain/(loss) on fair value hedging relationships in interest contracts for the years ending December 31, 2018 was de minimis and zero at December 31, 2017 . (2) Includes $29 million of hedging gains reclassified into net interest income in conjunction with the payment of long-term FHLB advances. The following table presents the net gain/(loss) recognized in income on derivative instruments, net of the impact of offsetting positions: For the Years Ended December 31, 2018 2017 2016 (Dollars in millions) Derivatives not designated as hedging instruments: Location of Gain/(Loss) Futures Net return (loss) on mortgage servicing rights $ (4 ) $ (1 ) $ — Interest rate swaps and swaptions Net return (loss) on mortgage servicing rights 1 (11 ) (5 ) Mortgage-backed securities forwards Net return (loss) on mortgage servicing rights (2 ) 4 5 Rate lock commitments and forward agency and loan sales Net gain (loss) on loan sales (31 ) (34 ) 26 Forward commitments Other noninterest income — — (2 ) Interest rate swaps (1) Other noninterest income 3 2 4 Total derivative (loss) gain $ (33 ) $ (40 ) $ 28 (1) Includes customer-initiated commercial interest rate swaps.

Deposit Accounts

Deposit Accounts	12 Months Ended
	Dec. 31, 2018
Deposits [Abstract]
Deposit Accounts	Deposit Accounts The deposit accounts are as follows: December 31, 2018 2017 (Dollars in millions) Retail deposits Branch retail deposits Demand deposit accounts $ 1,297 $ 560 Savings accounts 2,812 3,295 Money market demand accounts 628 91 Certificates of deposit/CDARS 2,387 1,494 Total branch retail deposits 7,124 5,440 Commercial deposits (1) Demand deposit accounts 1,243 697 Savings accounts 314 258 Money market demand accounts 173 102 Total commercial retail deposits 1,730 1,057 Total retail deposits 8,854 6,497 Government deposits Demand deposit accounts 326 251 Savings accounts 567 446 Certificates of deposit/CDARS 309 376 Total government deposits (2) 1,202 1,073 Wholesale deposits 583 43 Custodial deposits (3) 1,741 1,321 Total deposits $ 12,380 $ 8,934 (1) Includes deposits from commercial and business banking customers. (2) Government deposits include funds from municipalities and schools. (3) These accounts represent a portion of the investor custodial accounts and escrows controlled by us in connection with loans serviced or subserviced for others and that have been placed on deposit with the Bank. The following indicates the scheduled maturities for certificates of deposit with a minimum denomination of $250,000 : December 31, 2018 2017 (Dollars in millions) Three months or less $ 251 $ 159 Over three months to six months 165 128 Over six months to twelve months 229 173 One to two years 139 167 Thereafter 33 31 Total $ 817 $ 658

Borrowings

Borrowings	12 Months Ended
	Dec. 31, 2018
Debt Disclosure [Abstract]
Borrowings	Borrowings Federal Home Loan Bank Advances and Other Borrowings The following is a breakdown of our FHLB advances and other borrowings outstanding: December 31, 2018 December 31, 2017 Amount Rate Amount Rate (Dollars in millions) Short-term fixed rate term advances $ 2,993 2.52 % $ 4,260 1.40 % Other short-term borrowings 251 2.87 % — — % Total short-term Federal Home Loan Bank advances and other borrowings 3,244 4,260 Long-term LIBOR adjustable advances — — % 1,130 1.76 % Long-term fixed rate advances (1) 150 1.53 % 275 1.41 % Total long-term Federal Home Loan Bank advances 150 1,405 Total Federal Home Loan Bank advances and other borrowings $ 3,394 $ 5,665 (1) Includes the current portion of fixed rate advances of $50 million and $125 million at December 31, 2018 and December 31, 2017 , respectively. During the year ended December 31, 2018 , $1.1 billion of outstanding long-term FHLB advances were repaid. The following table contains detailed information on our FHLB advances and other borrowings: For the Years Ended December 31, 2018 2017 2016 (Dollars in millions) Maximum outstanding at any month end $ 5,740 $ 5,665 $ 3,557 Average outstanding balance 4,713 4,590 2,833 Average remaining borrowing capacity 2,089 1,195 1,137 Weighted average interest rate 1.96 % 1.30 % 1.16 % The following table outlines the maturity dates of our FHLB advances and other borrowings: December 31, 2018 (Dollars in millions) 2019 $ 3,294 2020 — 2021 — 2022 — Thereafter 100 Total $ 3,394 Parent Company Senior Notes and Trust Preferred Securities The following table presents long-term debt, net of debt issuance costs: December 31, 2018 December 31, 2017 Amount Interest Rate Amount Interest Rate (Dollars in millions) Senior Notes Senior notes, matures 2021 $ 248 6.125 % $ 247 6.125 % Trust Preferred Securities Floating Three Month LIBOR Plus: Plus 3.25%, matures 2032 $ 26 6.07 % $ 26 4.92 % Plus 3.25%, matures 2033 26 5.69 % 26 4.61 % Plus 3.25%, matures 2033 26 6.05 % 26 4.94 % Plus 2.00%, matures 2035 26 4.44 % 26 3.36 % Plus 2.00%, matures 2035 26 4.44 % 26 3.36 % Plus 1.75%, matures 2035 51 4.54 % 51 3.34 % Plus 1.50%, matures 2035 25 3.94 % 25 2.86 % Plus 1.45%, matures 2037 25 4.24 % 25 3.04 % Plus 2.50%, matures 2037 16 5.29 % 16 4.09 % Total Trust Preferred Securities 247 247 Total other long-term debt $ 495 $ 494 Senior Notes On July 11, 2016, we issued $250 million of senior notes ("Senior Notes") which mature on July 15, 2021. Prior to June 15, 2021, we may redeem some or all of the 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 , in addition to accrued and unpaid interest. Trust Preferred Securities We sponsor nine trust subsidiaries, which issued preferred stock to third party investors. We issued junior subordinated debt securities to those trusts, which we have included in long-term debt. The junior subordinated debt securities are the sole assets of those 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. As of December 31, 2018 , we had no deferred interest.

Warrants

Warrants	12 Months Ended
	Dec. 31, 2018
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. During the year ended December 31, 2017 , a total of 237,627 May Investor Warrants were exercised, resulting in the issuance of 154,313 shares of Common Stock. As of December 31, 2018 and December 31, 2017 , there were no remaining May Investor Warrants outstanding and there is no related liability. TARP Warrant On January 30, 2009, in conjunction with the sale of 266,657 shares of TARP Preferred, 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"). The Warrant was exercisable through January 30, 2019 and has expired without being exercised. Stock-Based Compensation Our Board of Directors participates in stock-based and other incentive compensation plans. Certain key employees, officers, directors and others are eligible to receive stock awards. Awards that may be granted under the plan include stock options, cash-settled stock appreciation rights, restricted stock, restricted stock units, and other awards. Under the current plan, the exercise price of any award granted must be at least equal to the fair market value of common stock on the date of grant. Non-qualified stock options granted to directors expire 5 years from the date of grant. Grants other than non-qualified stock options have term limits set by the Board of Directors in the applicable agreement. Stock appreciation rights generally expire 7 years from the date of grant. Awards still outstanding under any of the prior plans will continue to be governed by their respective terms. The compensation expense recognized related to stock-based compensation was $11 million , during each of the years ended December 31, 2018 , 2017 and 2016 , respectively. Stock Options The following table summarizes stock option activity: For the Years Ended December 31, 2018 (1) 2017 2016 Number of Shares Weighted Average Exercise Price Number of Shares Weighted Average Exercise Price Number of Shares Weighted Average Exercise Price Options outstanding, beginning of year 40,718 $ 80.00 45,791 $ 80.00 53,284 $ 80.00 Options canceled, forfeited and expired (4,625 ) 80.00 (5,073 ) 80.00 (7,493 ) 80.00 Options outstanding, end of year 36,093 $ 80.00 40,718 $ 80.00 45,791 $ 80.00 Options vested or expected to vest, end of year 36,093 $ 80.00 40,718 $ 80.00 45,791 $ 80.00 Options exercisable, end of year 17,991 $ 80.00 20,286 $ 80.00 23,576 $ 80.00 (1) All outstanding options at December 31, 2018 are vested or expected to vest and have a weighted average remaining contractual life of 1.1 years . The total intrinsic value of options exercised during the years ended December 31, 2018 , 2017 and 2016 , was zero . Additionally, there was no aggregate intrinsic value of options outstanding and exercised at December 31, 2018 , 2017 and 2016 . Restricted Stock and Restricted Stock Units We have issued restricted stock units to officers, directors and certain employees under our long term incentive program (LTIP). Restricted stock units generally will vest in 3 increments on each annual anniversary of the date of grant beginning with the first anniversary or vest after three years subject to service and performance conditions. On October 20, 2015, our Board approved and adopted the Flagstar Bancorp, Inc. Executive Long-Term Incentive Program ("ExLTIP"). The ExLTIP provides for payouts to certain executives only if our stock achieves and sustains a specified market performance within ten years of the grant date. The ExLTIP awards were made in the form of restricted stock units under and subject to the terms of the 2016 Flagstar Bancorp, Inc. Stock and Incentive Plan, which was approved at the May 24, 2016 annual shareholder meeting. With the achievement of the performance hurdles and satisfactory quality reviews, installments were paid out in May 2017 and May 2018. The remaining three installments will be made annually on the vesting date anniversary. With the achievement of the performance-based ExLTIP, on March 20, 2018, the Board of Directors approved the adoption of the 2018 Executive Long Term Incentive Program II ("2018 ExLTIP II"). The 2018 ExLTIP II was provided to certain executives and is comprised of RSUs which are dependent on stock performance, time-based RSUs for which vesting is based on service over a four years period and RSUs that are performance and time vested with the same terms as those granted to other employees under the existing LTIP. At December 31, 2018 , the maximum number of shares of common stock that may be issued were 1,481,288 shares. The total fair value of awards vested during the years ended December 31, 2018 , 2017 , 2016 was $9 million , $7 million , and $3 million , respectively. As of December 31, 2018 , the total unrecognized compensation cost related to non-vested awards was $29 million with a weighted average expense recognition period of 2.6 years . The following table summarizes restricted stock activity: For the Years Ended December 31, 2018 2017 2016 Number of Shares Weighted Average Grant-Date Fair Value per Share Number of Shares Weighted Average Grant-Date Fair Value per Share Number of Shares Weighted Average Grant-Date Fair Value per Share Restricted Stock and Restricted Stock Units Non-vested balance at beginning of period 1,290,450 $ 20.52 1,461,910 $ 17.68 1,299,985 $ 16.36 Granted 875,352 34.32 357,058 28.06 310,209 22.97 Vested (401,379 ) 23.04 (385,454 ) 17.36 (134,767 ) 15.78 Canceled and forfeited (143,855 ) 21.46 (143,064 ) 18.89 (13,517 ) 17.24 Non-vested balance at end of period 1,620,568 $ 27.27 1,290,450 $ 20.52 1,461,910 $ 17.68 2017 Employee Stock Purchase Plan The Employee Stock Purchase Plan ("2017 ESPP") was approved on March 20, 2017 by our Board of Directors ("the Board") and on May 23, 2017 by our shareholders. The 2017 ESPP became effective July 1, 2017 and will remain effective until terminated by the Board. A total of 800,000 shares of the Company’s common stock are reserved and authorized for issuance for purchase under the 2017 ESPP. There were 114,385 and 48,032 shares issued under the 2017 ESPP during the years ended December 31, 2018 and 2017 , respectively, and the associated compensation expense was de minimis for both periods. Incentive Compensation Plans We had an expense of $30 million , $33 million and $33 million for the years ended December 31, 2018 , 2017 and 2016 , respectively, for annual employee incentive payments and commission based payments.

Accumulated Other Comprehensive

Accumulated Other Comprehensive Income (Loss)	12 Months Ended
	Dec. 31, 2018
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 the Years Ended December 31, 2018 2017 2016 (Dollars in millions) Investment Securities Beginning balance $ (18 ) $ (8 ) $ 5 Unrealized loss (30 ) (19 ) (10 ) Less: Tax benefit (7 ) (7 ) (3 ) Net unrealized loss (23 ) (12 ) (7 ) Reclassifications out of AOCI (1) (1 ) 3 (9 ) Less: Tax (benefit) provision — 1 (3 ) Net unrealized gain (loss) reclassified out of AOCI (1 ) 2 (6 ) Reclassification of certain income tax effects (2) (5 ) — — Other comprehensive loss, net of tax (29 ) (10 ) (13 ) Ending balance $ (47 ) $ (18 ) $ (8 ) Cash Flow Hedges Beginning balance $ 2 $ 1 $ (3 ) Unrealized gain (loss) 27 5 (13 ) Less: Tax (benefit) provision 7 1 (5 ) Net unrealized gain (loss) 20 4 (8 ) Reclassifications out of AOCI (1) (3) (30 ) (5 ) 19 Less: Tax (benefit) provision (8 ) (2 ) 7 Net unrealized gain (loss) reclassified out of AOCI (22 ) (3 ) 12 Other comprehensive income/(loss), net of tax (2 ) 1 4 Ending balance $ — $ 2 $ 1 (1) Reclassifications are reported in other noninterest income in the Consolidated Statement of Operations. (2) Income tax effects of the Tax Cuts and Jobs Act are reclassified from AOCI to retained earnings due to early adoption of ASU 2018-02. (3) The year ended December 31, 2018 , includes $29 million of hedging gains reclassified from AOCI to net interest income in conjunction with the payment of long-term FHLB advances.

Earnings Per Share

Earnings Per Share	12 Months Ended
	Dec. 31, 2018
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: For the Years Ended December 31, 2018 2017 2016 (In millions, except share data) Net income $ 187 $ 63 $ 171 Deferred cumulative preferred stock dividends — — (18 ) Net income applicable to common stockholders $ 187 $ 63 $ 153 Weighted Average Shares Weighted average common shares outstanding 57,520,289 57,093,868 56,569,307 Effect of dilutive securities May Investor Warrants — 12,287 138,314 Stock-based awards 802,661 1,072,188 890,046 Weighted average diluted common shares 58,322,950 58,178,343 57,597,667 Earnings per common share Basic earnings per common share $ 3.26 $ 1.11 $ 2.71 Effect of dilutive securities May Investor Warrants — — (0.01 ) Stock-based awards (0.05 ) (0.02 ) (0.04 ) Diluted earnings per common share $ 3.21 $ 1.09 $ 2.66 Under the terms of the TARP Preferred, the Company elected to defer payments of preferred stock dividends beginning with the February 2012 dividend. Although, while being deferred, the impact was not included in quarterly net income from continuing operations, the deferral did impact net income applicable to common stock for the purpose of calculating earnings per share, as shown above. On July 29, 2016, we completed the $267 million redemption of TARP Preferred.

Stock-Based Compensation

Stock-Based Compensation	12 Months Ended
	Dec. 31, 2018
Disclosure of Compensation Related Costs, Share-based Payments [Abstract]
Stock-Based Compensation	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. During the year ended December 31, 2017 , a total of 237,627 May Investor Warrants were exercised, resulting in the issuance of 154,313 shares of Common Stock. As of December 31, 2018 and December 31, 2017 , there were no remaining May Investor Warrants outstanding and there is no related liability. TARP Warrant On January 30, 2009, in conjunction with the sale of 266,657 shares of TARP Preferred, 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"). The Warrant was exercisable through January 30, 2019 and has expired without being exercised. Stock-Based Compensation Our Board of Directors participates in stock-based and other incentive compensation plans. Certain key employees, officers, directors and others are eligible to receive stock awards. Awards that may be granted under the plan include stock options, cash-settled stock appreciation rights, restricted stock, restricted stock units, and other awards. Under the current plan, the exercise price of any award granted must be at least equal to the fair market value of common stock on the date of grant. Non-qualified stock options granted to directors expire 5 years from the date of grant. Grants other than non-qualified stock options have term limits set by the Board of Directors in the applicable agreement. Stock appreciation rights generally expire 7 years from the date of grant. Awards still outstanding under any of the prior plans will continue to be governed by their respective terms. The compensation expense recognized related to stock-based compensation was $11 million , during each of the years ended December 31, 2018 , 2017 and 2016 , respectively. Stock Options The following table summarizes stock option activity: For the Years Ended December 31, 2018 (1) 2017 2016 Number of Shares Weighted Average Exercise Price Number of Shares Weighted Average Exercise Price Number of Shares Weighted Average Exercise Price Options outstanding, beginning of year 40,718 $ 80.00 45,791 $ 80.00 53,284 $ 80.00 Options canceled, forfeited and expired (4,625 ) 80.00 (5,073 ) 80.00 (7,493 ) 80.00 Options outstanding, end of year 36,093 $ 80.00 40,718 $ 80.00 45,791 $ 80.00 Options vested or expected to vest, end of year 36,093 $ 80.00 40,718 $ 80.00 45,791 $ 80.00 Options exercisable, end of year 17,991 $ 80.00 20,286 $ 80.00 23,576 $ 80.00 (1) All outstanding options at December 31, 2018 are vested or expected to vest and have a weighted average remaining contractual life of 1.1 years . The total intrinsic value of options exercised during the years ended December 31, 2018 , 2017 and 2016 , was zero . Additionally, there was no aggregate intrinsic value of options outstanding and exercised at December 31, 2018 , 2017 and 2016 . Restricted Stock and Restricted Stock Units We have issued restricted stock units to officers, directors and certain employees under our long term incentive program (LTIP). Restricted stock units generally will vest in 3 increments on each annual anniversary of the date of grant beginning with the first anniversary or vest after three years subject to service and performance conditions. On October 20, 2015, our Board approved and adopted the Flagstar Bancorp, Inc. Executive Long-Term Incentive Program ("ExLTIP"). The ExLTIP provides for payouts to certain executives only if our stock achieves and sustains a specified market performance within ten years of the grant date. The ExLTIP awards were made in the form of restricted stock units under and subject to the terms of the 2016 Flagstar Bancorp, Inc. Stock and Incentive Plan, which was approved at the May 24, 2016 annual shareholder meeting. With the achievement of the performance hurdles and satisfactory quality reviews, installments were paid out in May 2017 and May 2018. The remaining three installments will be made annually on the vesting date anniversary. With the achievement of the performance-based ExLTIP, on March 20, 2018, the Board of Directors approved the adoption of the 2018 Executive Long Term Incentive Program II ("2018 ExLTIP II"). The 2018 ExLTIP II was provided to certain executives and is comprised of RSUs which are dependent on stock performance, time-based RSUs for which vesting is based on service over a four years period and RSUs that are performance and time vested with the same terms as those granted to other employees under the existing LTIP. At December 31, 2018 , the maximum number of shares of common stock that may be issued were 1,481,288 shares. The total fair value of awards vested during the years ended December 31, 2018 , 2017 , 2016 was $9 million , $7 million , and $3 million , respectively. As of December 31, 2018 , the total unrecognized compensation cost related to non-vested awards was $29 million with a weighted average expense recognition period of 2.6 years . The following table summarizes restricted stock activity: For the Years Ended December 31, 2018 2017 2016 Number of Shares Weighted Average Grant-Date Fair Value per Share Number of Shares Weighted Average Grant-Date Fair Value per Share Number of Shares Weighted Average Grant-Date Fair Value per Share Restricted Stock and Restricted Stock Units Non-vested balance at beginning of period 1,290,450 $ 20.52 1,461,910 $ 17.68 1,299,985 $ 16.36 Granted 875,352 34.32 357,058 28.06 310,209 22.97 Vested (401,379 ) 23.04 (385,454 ) 17.36 (134,767 ) 15.78 Canceled and forfeited (143,855 ) 21.46 (143,064 ) 18.89 (13,517 ) 17.24 Non-vested balance at end of period 1,620,568 $ 27.27 1,290,450 $ 20.52 1,461,910 $ 17.68 2017 Employee Stock Purchase Plan The Employee Stock Purchase Plan ("2017 ESPP") was approved on March 20, 2017 by our Board of Directors ("the Board") and on May 23, 2017 by our shareholders. The 2017 ESPP became effective July 1, 2017 and will remain effective until terminated by the Board. A total of 800,000 shares of the Company’s common stock are reserved and authorized for issuance for purchase under the 2017 ESPP. There were 114,385 and 48,032 shares issued under the 2017 ESPP during the years ended December 31, 2018 and 2017 , respectively, and the associated compensation expense was de minimis for both periods. Incentive Compensation Plans We had an expense of $30 million , $33 million and $33 million for the years ended December 31, 2018 , 2017 and 2016 , respectively, for annual employee incentive payments and commission based payments.

Income Taxes

Income Taxes	12 Months Ended
	Dec. 31, 2018
Income Tax Disclosure [Abstract]
Income Taxes	Income Taxes Components of the provision for income taxes consist of the following: For the Years Ended December 31, 2018 2017 2016 (Dollars in millions) Current Federal $ — $ 2 $ 4 State 1 — — Total current income tax expense 1 2 4 Deferred Federal 47 66 84 Federal impact of tax reform — 80 — State (3 ) — (1 ) Total deferred income tax expense 44 146 83 Total income tax expense $ 45 $ 148 $ 87 Our effective tax rate differs from the statutory federal tax rate. The following is a summary of such differences: For the Years Ended December 31, 2018 2017 2016 (Dollars in millions) Provision at statutory federal income tax rate (1) $ 49 $ 74 $ 90 Increases (decreases) resulting from: Non-deductible compensation 2 — — Bank Owned Life Insurance (2 ) (3 ) (3 ) State income tax benefit, net of federal income tax effect (includes valuation allowance) (2 ) — (1 ) Restricted stock compensation (1 ) (2 ) — Tax Reform — 80 — Warrant expense (income) — — 1 Other (1 ) (1 ) — Provision for income taxes $ 45 $ 148 $ 87 Effective tax provision rate 19.4 % 70.1 % 33.7 % (1) The statutory federal income tax rate was 21 percent for the year ended December 31, 2018 and 35 percent for both the years ended December 31, 2017 and 2016 . The decrease in our income tax provision and effective tax provision rate during the year ended December 31, 2018 as compared to the year ended December 31, 2017 , was primarily due to the 2017 tax legislation which resulted in a charge to the provision for income taxes in 2017 of approximately $80 million due to the revaluation of our DTAs at a lower corporate statutory rate. Temporary differences and carry forwards that give rise to DTAs and liabilities are comprised of the following: December 31, 2018 2017 (Dollars in millions) Deferred tax assets Net operating loss carryforwards (Federal and State) $ 58 $ 110 Allowance for loan losses 40 43 Litigation settlement 14 14 Accrued compensation 10 10 General business credits 7 3 Contingent consideration 3 6 Mortgage loan servicing rights 3 — Representation and warranty reserves 2 3 Loan deferred fees and costs 1 2 Non-accrual interest revenue 1 1 Deferred interest 1 1 Other 3 2 Total 143 195 Valuation allowance (14 ) (20 ) Total net 129 175 Deferred tax liabilities Mark-to-market adjustments (11 ) (10 ) Premises and equipment (8 ) (14 ) Commercial lease financing (4 ) (9 ) State and local taxes (3 ) (3 ) Mortgage loan servicing rights — (3 ) Total (26 ) (39 ) Net deferred tax asset $ 103 $ 136 We have not provided deferred income taxes for the Bank’s pre-1988 tax bad debt reserve at December 31, 2018 of approximately $4 million because it is not anticipated that this temporary difference will reverse in the foreseeable future. Such reserves would only be taken into taxable income if the Bank, or a successor institution, liquidates, redeems shares, pays dividends in excess of earnings, or ceases to qualify as a bank for tax purposes. During the years ended December 31, 2018 and 2017 , we had federal net operating loss carry forwards of $154 million and $381 million , respectively. These carry forwards, if unused, expire in calendar years 2029 through 2037 . As a result of a change in control occurring on January 30, 2009, Section 382 of the Internal Revenue Code places an annual limitation on the use of our new operating loss carry forwards that existed at that time. At December 31, 2018 we had $86 million of net operating loss carry forwards subject to certain annual use limitations which expire in calendar years 2029 through 2030 . We regularly evaluate the need for DTA valuation allowances based on a more likely than not standard as defined by generally accepted accounting principles. The ability to realize DTAs depends on the ability to generate sufficient taxable income within the carryback or carryforward periods provided for in the tax law for each applicable tax jurisdiction. We had a total state DTA before valuation allowance of $32 million which includes total state net operating loss carryforwards of $516 million at December 31, 2018 . In connection with our ongoing assessment of deferred taxes, we analyzed each state net operating loss separately and determined the amount of such net operating loss, estimated the amount which we expected to expire unused, and recorded a valuation allowance to reduce the DTA for state net operating losses to the amount which is more likely than not to be realized. At December 31, 2018 , the net state DTAs which will more likely than not be realized, was $18 million . We have a valuation allowance of $14 million due to state loss carryover limitations. We will continue to regularly assess the realizability of our DTAs. Changes in earnings performance and future earnings projections, among other factors, may cause us to adjust our valuation allowance. Our income tax returns are subject to review and examination by federal, state and local government authorities. On an ongoing basis, numerous federal, state and local examinations are in progress and cover multiple tax years. At December 31, 2018 , the Internal Revenue Service had completed an examination of us through the taxable year ended December 31, 2013 . The years open to examination by state and local government authorities vary by jurisdiction. We recognize interest and penalties related to uncertain tax positions in income tax expense. For the years ended December 31, 2018 , 2017 and 2016 , we did not recognize any interest income, interest expense, or increase or decreases to uncertain income tax positions of greater than $1 million , individually or in aggregate.

Regulatory Capital

Regulatory Capital	12 Months Ended
	Dec. 31, 2018
Banking and Thrift [Abstract]
Regulatory Capital	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. In preparation for the expected capital simplification rules, the Basel III implementation phase-in has been halted, as the agencies issued a final rule that will maintain the capital rules’ 2017 transition provisions for several regulatory capital deductions and certain other requirements that are subject to multi-year phase-in schedules in the regulatory capital rules. For additional information, see Item 1. Business and Item 1A. Risk Factors. 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 December 31, 2018 and December 31, 2017 . The following tables present the regulatory capital ratios as of the dates indicated: Flagstar Bancorp Actual For Capital Adequacy Purposes Well-Capitalized Under Prompt Corrective Action Provisions Amount Ratio Amount Ratio Amount Ratio (Dollars in millions) December 31, 2018 Tangible capital (to adjusted avg. total assets) $ 1,505 8.29 % N/A N/A N/A N/A Tier 1 capital (to adjusted avg. total assets) 1,505 8.29 % $ 726 4.0 % $ 908 5.0 % Common equity Tier 1 capital (to RWA) 1,265 10.54 % 540 4.5 % 780 6.5 % Tier 1 capital (to RWA) 1,505 12.54 % 720 6.0 % 960 8.0 % Total capital (to RWA) 1,637 13.63 % 960 8.0 % 1,201 10.0 % December 31, 2017 Tangible capital (to adjusted avg. total assets) $ 1,442 8.51 % N/A N/A N/A N/A Tier 1 capital (to adjusted avg. total assets) 1,442 8.51 % $ 678 4.0 % $ 848 5.0 % Common equity Tier 1 capital (to RWA) 1,216 11.50 % 476 4.5 % 688 6.5 % Tier 1 capital (to RWA) 1,442 13.63 % 635 6.0 % 846 8.0 % Total capital (to RWA) 1,576 14.90 % 846 8.0 % 1,058 10.0 % N/A - Not applicable. Flagstar Bank Actual For Capital Adequacy Purposes Well-Capitalized Under Prompt Corrective Action Provisions Amount Ratio Amount Ratio Amount Ratio (Dollars in millions) December 31, 2018 Tangible capital (to adjusted avg. total assets) $ 1,574 8.67 % N/A N/A N/A N/A Tier 1 capital (to adjusted avg. total assets) 1,574 8.67 % $ 726 4.0 % $ 908 5.0 % Common equity Tier 1 capital (to RWA) 1,574 13.12 % 540 4.5 % 780 6.5 % Tier 1 capital (to RWA) 1,574 13.12 % 720 6.0 % 960 8.0 % Total capital (to RWA) 1,705 14.21 % 960 8.0 % 1,200 10.0 % December 31, 2017 Tangible capital (to adjusted avg. total assets) $ 1,531 9.04 % N/A N/A N/A N/A Tier 1 capital (to adjusted avg. total assets) 1,531 9.04 % $ 677 4.0 % $ 847 5.0 % Common equity Tier 1 capital (to RWA) 1,531 14.46 % 476 4.5 % 688 6.5 % Tier 1 capital (to RWA) 1,531 14.46 % 635 6.0 % 847 8.0 % Total capital (to RWA) 1,664 15.72 % 847 8.0 % 1,059 10.0 % N/A - Not applicable.

Legal Proceedings, Contingencie

Legal Proceedings, Contingencies and Commitments	12 Months Ended
	Dec. 31, 2018
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 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 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. At December 31, 2018 , we do 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 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 in annual increments of up to $25 million upon meeting all conditions, which are evaluated quarterly and include: (a) the reversal of the DTA 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 third quarter of 2016; and (c) the Bank’s Tier 1 Leverage Capital Ratio equals 11 percent or greater as filed in the Call Report with the OCC. No payment would be required until six months after the Bank files its Call Report with the OCC first reporting that its Tier 1 Leverage Capital Ratio was 11 percent or greater. If all other conditions were then satisfied, an initial annual payment would be due at that time. The next annual payment is then only made if such other conditions continue to be satisfied, otherwise payments are delayed until all such conditions are met. Further, making such a payment must not violate any material banking regulatory requirement, and the OCC must 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. 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, annual payments must commence twelve months after the date of that business combination. The Settlement Agreement meets the definition of a financial instrument for which we elected the fair value option. We consider the assumptions a market participant would make to transfer the liability and evaluate the potential ways we might satisfy the Settlement Agreement and our estimates of the likelihood of these outcomes, which may change over time. The fair value of the liability is subject to significant uncertainty and is impacted by forecasted estimates of the timing of potential payments, some of which are impacted by inputs including estimates of equity, earnings, timing and amount of dividends and growth of the balance sheet and their related impacts on forecasted Tier 1 Leverage Capital Ratio, and the likelihood and types of potential business combinations. For further information on the fair value to the liability, see Note 22 - Fair Value Measurements. Other litigation accruals At December 31, 2018 and December 31, 2017 , excluding the fair value liability relating to the DOJ litigation settlement, our total accrual for contingent liabilities and settled litigation was $2 million and $1 million , respectively. Commitments The following table is a summary of the contractual amount of significant commitments: December 31, 2018 2017 (Dollars in millions) Commitments to extend credit Mortgage loan interest-rate lock commitments $ 2,293 $ 3,667 Warehouse loan commitments 2,334 1,618 Commercial and industrial commitments 918 695 Other commercial commitments 1,260 1,021 HELOC commitments 429 283 Other consumer commitments 108 15 Standby and commercial letters of credit 63 50 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. 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. 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. The types of credit we extend are as follows: Mortgage loan interest-rate lock commitments. We enter into mortgage interest-rate lock commitments with our customers. These commitments are considered to be derivative instruments and the fair value of these commitments is recorded in the Consolidated Statements of Financial Condition in other assets. For further information, see Note 12 - Derivative Financial Instruments. Warehouse loan commitments. 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. See Note 2 - Acquisitions, for further information on our mortgage loan warehouse business acquisition. Commercial and industrial and other commercial commitments. 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. HELOC commitments. 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 or a decline in the collateral value. Other consumer commitments. Conditional commitments issued to accommodate the financial needs of customers. The commitments are made under various terms to lend funds to consumers, which include revolving credit agreements, term loan commitments and short-term borrowing agreements. Standby and commercial letters of credit. 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. These financial standby letters of credit irrevocably obligate the bank to pay a third party beneficiary when a customer fails to repay an outstanding loan or debt instrument. 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. A reserve balance of $3 million at December 31, 2018 and December 31, 2017 , respectively, is reflected in other liabilities on the Consolidated Statements of Financial Condition.

Fair Value Measurements

Fair Value Measurements	12 Months Ended
	Dec. 31, 2018
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. Valuation Hierarchy U.S. GAAP establishes a three-level valuation hierarchy for disclosure of fair value measurements. The hierarchy is based on the transparency of the inputs used in the valuation process with the highest priority given to quoted prices available in active markets and the lowest priority to unobservable inputs where no active market exists, as discussed below. Level 1 - Quoted prices (unadjusted) for identical assets or liabilities in active markets in which we can participate as of the measurement date; Level 2 - Quoted prices for similar instruments in active markets, and other inputs that are observable for the asset or liability, either directly or indirectly, for substantially the full term of the financial instrument; and Level 3 - Unobservable inputs that reflect our own assumptions about the assumptions that market participants would use in pricing an asset or liability. A financial instrument's categorization within the valuation hierarchy is based upon the lowest level of input within the valuation hierarchy that is significant to the overall fair value measurement. Transfers between levels of the fair value hierarchy are recognized at the end of the reporting period. Assets and Liabilities Measured at Fair Value on a Recurring Basis The following tables present the financial instruments carried at fair value by caption on the Consolidated Statements of Financial Condition and by level in the valuation hierarchy: December 31, 2018 Level 1 Level 2 Level 3 Total Fair Value (Dollars in millions) Investment securities available-for-sale Agency - Commercial $ — $ 1,374 $ — $ 1,374 Agency - Residential — 662 — 662 Municipal obligations — 32 — 32 Corporate debt obligations — 42 — 42 Other MBS — 32 — 32 Loans held-for-sale Residential first mortgage loans — 3,732 — 3,732 Loans held-for-investment Residential first mortgage loans — 8 — 8 Home equity — — 2 2 Mortgage servicing rights — — 290 290 Derivative assets Rate lock commitments (fallout-adjusted) — — 20 20 Mortgage-backed securities forwards — 4 — 4 Interest rate swaps and swaptions — 23 — 23 Total assets at fair value $ — $ 5,909 $ 312 $ 6,221 Derivative liabilities Futures $ — $ (1 ) $ — $ (1 ) Mortgage-backed securities forwards — (31 ) — (31 ) Interest rate swaps — (7 ) — (7 ) DOJ litigation settlement — — (60 ) (60 ) Contingent consideration — — (6 ) (6 ) Total liabilities at fair value $ — $ (39 ) $ (66 ) $ (105 ) December 31, 2017 Level 1 Level 2 Level 3 Total Fair Value (Dollars in millions) Investment securities available-for-sale Agency - Commercial $ — $ 987 $ — $ 987 Agency - Residential — 794 — 794 Municipal obligations — 34 — 34 Corporate debt obligations — 38 — 38 Loans held-for-sale Residential first mortgage loans — 4,300 — 4,300 Loans held-for-investment Residential first mortgage loans — 8 — 8 Home equity — — 4 4 Mortgage servicing rights — — 291 291 Derivative assets Rate lock commitments (fallout-adjusted) — — 24 24 Mortgage-backed securities forwards — 4 — 4 Interest rate swaps and swaptions — 11 — 11 Total assets at fair value $ — $ 6,176 $ 319 $ 6,495 Derivative liabilities Interest rate swap on FHLB advances $ — $ (1 ) $ — $ (1 ) Mortgage-backed securities forwards — (6 ) — (6 ) Interest rate swaps — (4 ) — (4 ) DOJ litigation settlement — — (60 ) (60 ) Contingent consideration — — (25 ) (25 ) Total liabilities at fair value $ — $ (11 ) $ (85 ) $ (96 ) Fair Value Measurements Using Significant Unobservable Inputs The following tables include a roll forward of the Consolidated Statements of Financial Condition amounts (including the change in fair value) for financial instruments classified by us within Level 3 of the valuation hierarchy: Balance at Total Gains / Purchases / Originations Sales Settlement Transfers In (Out) Balance at End of Year (Dollars in millions) Year Ended December 31, 2018 Assets Loans held-for-investment Home equity $ 4 $ — $ — $ — $ (2 ) $ — $ 2 Mortgage servicing rights (2) 291 (18 ) 356 (339 ) — — 290 Rate lock commitments (net) (2)(3) 24 (34 ) 235 — — (205 ) 20 Totals $ 319 $ (52 ) $ 591 $ (339 ) $ (2 ) $ (205 ) $ 312 Liabilities DOJ litigation settlement $ (60 ) $ — $ — $ — $ — $ — $ (60 ) Contingent consideration (25 ) 13 — — 6 — (6 ) Totals $ (85 ) $ 13 $ — $ — $ 6 $ — $ (66 ) Year Ended December 31, 2017 Assets Loans held-for-sale Home equity $ — $ 1 $ — $ (52 ) $ (1 ) $ 52 $ — Loans held-for-investment Home equity 65 2 — — (8 ) (55 ) 4 Mortgage servicing rights (2) 335 (22 ) 288 (310 ) — — 291 Rate lock commitments (net) (2)(3) 18 54 267 — — (315 ) 24 Totals $ 418 $ 35 $ 555 $ (362 ) $ (9 ) $ (318 ) $ 319 Liabilities DOJ litigation settlement $ (60 ) $ — $ — $ — $ — $ — $ (60 ) Contingent consideration — (1 ) (25 ) — 1 — (25 ) Totals $ (60 ) $ (1 ) $ (25 ) $ — $ 1 $ — $ (85 ) Year Ended December 31, 2016 Assets Loans held-for-investment Home equity $ 106 $ 5 $ — $ — $ (46 ) $ — $ 65 Mortgage servicing rights (2) 296 (105 ) 228 (84 ) — — 335 Rate lock commitments (net) (2)(3) 26 25 325 — — (358 ) 18 Totals $ 428 $ (75 ) $ 553 $ (84 ) $ (46 ) $ (358 ) $ 418 Liabilities DOJ litigation settlement $ (84 ) $ 24 $ — $ — $ — $ — $ (60 ) (1) There were no unrealized gains/losses recorded in OCI during the years ended December 31, 2018 , 2017 and 2016 . (2) We utilized swaptions, 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 do not reflect the effect of our risk management activities related to such Level 3 instruments. (3) Rate lock commitments are reported on a fallout adjusted basis. Transfers out of Level 3 represent the settlement value of the commitments that are transferred to LHFS, which are classified as Level 2 assets. The following tables present the quantitative information about recurring Level 3 fair value financial instruments and the fair value measurements as of: Fair Value Valuation Technique Unobservable Input Range (Weighted Average) (Dollars in millions) December 31, 2018 Assets Loans held-for-investment Home equity $ 2 Discounted cash flows Discount rate 7.2% - 10.8% (9.0%) (1) Mortgage servicing rights $ 290 Discounted cash flows Option adjusted spread 2.1% - 25.9% (5.4%) (1) Rate lock commitments (net) $ 20 Consensus pricing Origination pull-through rate 75.0% - 87.2% (76.8%) (1) Liabilities DOJ litigation settlement $ (60 ) Discounted cash flows See description below See description below Contingent consideration $ (6 ) Discounted cash flows Beta 0.6 - 1.6 (1.1) (2) Fair Value Valuation Technique Unobservable Input Range (Weighted Average) (Dollars in millions) December 31, 2017 Assets Loans held-for-investment Home equity $ 4 Discounted cash flows Discount rate 7.2% - 10.8% (9.0%) (1) Mortgage servicing rights $ 291 Discounted cash flows Option adjusted spread 5.0% - 7.5% (6.3%) (1) Rate lock commitments (net) $ 24 Consensus pricing Origination pull-through rate 64.7% - 97.1% (82.0%) (1) Liabilities DOJ litigation settlement $ (60 ) Discounted cash flows See description below See description below Contingent consideration $ (25 ) Discounted cash flows Beta 0.6 - 1.6 (1.1) (2) (1) Unobservable inputs were weighted by their relative fair value of the instruments. (2) Unobservable inputs were not weighted as only one instrument exists. Recurring Significant Unobservable Inputs Home equity. The most significant unobservable inputs used in the fair value measurement of the home equity 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 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. MSRs. 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 result in a significantly lower (higher) fair value measurement. Weighted average life (in years) is used to determine the change in fair value of MSRs. For December 31, 2018 and December 31, 2017 the weighted average life (in years) for the entire MSR portfolio was 5.2 and 6.0 , respectively. DOJ litigation settlement. The significant unobservable inputs used in the fair value measurement of the DOJ litigation settlement include assumptions that a market participant would make to transfer the liability and probability-weighted estimates of the potential ways we might satisfy the Settlement Agreement. For further information on the fair value inputs related to the DOJ litigation settlement, see Note 21 - Legal Proceedings, Contingencies and Commitments. Rate lock commitments. 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 result in a significantly higher (lower) fair value measurement. Contingent consideration. The significant unobservable input used in the fair value of the contingent consideration is future forecasted target production volumes and profitability of the division. An increase or decrease to these inputs results in an increase or decrease of the liability. Other unobservable inputs include Beta and volatility which drive the risk adjusted discount rate utilized in a Monte Carlo simulation. Increases (decreases) in these inputs results in a lower (higher) to the liability. 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. The following table presents assets measured at fair value on a nonrecurring basis: Total (1) Level 2 Level 3 Gains/(Losses) (Dollars in millions) December 31, 2018 Loans held-for-sale (2) $ 5 $ 5 $ — $ (1 ) Impaired loans held-for-investment (2) Residential first mortgage loans 12 — 12 (4 ) Repossessed assets (3) 7 7 (3 ) Totals $ 24 $ 5 $ 19 $ (8 ) December 31, 2017 Loans held-for-sale (2) $ 6 $ 6 $ — $ (1 ) Impaired loans held-for-investment (2) Residential first mortgage loans 21 — 21 (10 ) Repossessed assets (3) 8 — 8 (4 ) Totals $ 35 $ 6 $ 29 $ (15 ) (1) The fair values are determined at various dates during the years ended December 31, 2018 and 2017 , respectively. (2) Gains/(losses) reflect fair value adjustments on assets for which we did not elect the fair value option. (3) Gains/(losses) reflect write downs of repossessed assets based on the estimated fair value of the specific assets. The following tables present the quantitative information about nonrecurring Level 3 fair value financial instruments and the fair value measurements: Fair Value Valuation Technique Unobservable Input Range (Weighted Average) (Dollars in millions) December 31, 2018 Impaired loans held-for-investment Residential first mortgage loans $ 12 Fair value of collateral Loss severity discount 25% - 30% (28.3%) (1) Repossessed assets $ 7 Fair value of collateral Loss severity discount 0% - 100% (25.8%) (1) December 31, 2017 Impaired loans held-for-investment Residential first mortgage loans $ 21 Fair value of collateral Loss severity discount 25% - 30% (27.9%) (1) Repossessed assets $ 8 Fair value of collateral Loss severity discount 0% - 100% (70.9%) (1) (1) Unobservable inputs were weighted by their relative fair value of the instruments. 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: December 31, 2018 Estimated Fair Value Carrying Value Total Level 1 Level 2 Level 3 (Dollars in millions) Assets Cash and cash equivalents $ 408 $ 408 $ 408 $ — $ — Investment securities available-for-sale 2,142 2,142 — 2,142 — Investment securities held-to-maturity 703 681 — 681 — Loans held-for-sale 3,869 3,870 — 3,870 — Loans held-for-investment 9,088 8,966 — 8 8,958 Loans with government guarantees 392 374 — 374 — Mortgage servicing rights 290 290 — — 290 Federal Home Loan Bank stock 303 303 — 303 — Bank owned life insurance 340 340 — 340 — Repossessed assets 7 7 — — 7 Other assets, foreclosure claims 50 50 — 50 — Derivative financial instruments, assets 47 47 — 27 20 Liabilities Retail deposits Demand deposits and savings accounts $ (6,467 ) $ (5,475 ) $ — $ (5,475 ) $ — Certificates of deposit (2,387 ) (2,379 ) — (2,379 ) — Wholesale deposits (583 ) (585 ) — (585 ) — Government deposits (1,202 ) (1,145 ) — (1,145 ) — Custodial deposits (1,741 ) (1,664 ) — (1,664 ) — Federal Home Loan Bank advances (3,394 ) (3,383 ) — (3,383 ) — Long-term debt (495 ) (463 ) — (463 ) — DOJ litigation settlement (60 ) (60 ) — — (60 ) Contingent consideration (6 ) (6 ) — — (6 ) Derivative financial instruments, liabilities (39 ) (39 ) — (39 ) — December 31, 2017 Estimated Fair Value Carrying Value Total Level 1 Level 2 Level 3 (Dollars in millions) Assets Cash and cash equivalents $ 204 $ 204 $ 204 $ — $ — Investment securities available-for-sale 1,853 1,853 — 1,853 — Investment securities held-to-maturity 939 924 — 924 — Loans held-for-sale 4,321 4,322 — 4,322 — Loans held-for-investment 7,713 7,667 — 8 7,659 Loans with government guarantees 271 261 — 261 — Mortgage servicing rights 291 291 — — 291 Federal Home Loan Bank stock 303 303 — 303 — Bank owned life insurance 330 330 — 330 — Repossessed assets 8 8 — — 8 Other assets, foreclosure claims 84 84 — 84 — Derivative financial instruments, assets 39 39 — 15 24 Liabilities Retail deposits Demand deposits and savings accounts $ (5,003 ) $ (4,557 ) $ — $ (4,557 ) $ — Certificates of deposit (1,494 ) (1,498 ) — (1,498 ) — Wholesale deposits (43 ) (43 ) — (43 ) — Government deposits (1,073 ) (1,048 ) — (1,048 ) — Custodial deposits (1,321 ) (1,311 ) — (1,311 ) — Federal Home Loan Bank advances (5,665 ) (5,662 ) — (5,662 ) — Long-term debt (494 ) (417 ) — (417 ) — DOJ litigation settlement (60 ) (60 ) — — (60 ) Contingent consideration (25 ) (25 ) — — (25 ) Derivative financial instruments, liabilities (11 ) (11 ) — (11 ) — Fair Value Option We elected the fair value option for certain items as discussed throughout the Notes to the Consolidated Financial Statements primarily to more closely align the accounting method with the underlying economic exposure. Interest income on LHFS 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: For the Years Ended December 31, 2018 2017 2016 (Dollars in millions) Assets Loans held-for-sale Net gain on loan sales $ (29 ) $ 283 $ 269 Loans held-for-investment Other noninterest income — 1 1 Liabilities DOJ litigation settlement Other noninterest income — — 24 The following table reflects the difference between the aggregate fair value and aggregate remaining contractual principal balance outstanding for assets and liabilities for which the fair value option has been elected: December 31, 2018 December 31, 2017 Unpaid Principal Balance Fair Value Fair Value Over / (Under) Unpaid Principal Balance Unpaid Principal Balance Fair Value Fair Value Over / (Under) Unpaid Principal Balance (Dollars in millions) Assets Nonaccrual loans Loans held-for-sale $ 6 $ 6 $ — $ 6 $ 5 $ (1 ) Loans held-for-investment 4 3 (1 ) 5 4 (1 ) Total nonaccrual loans 10 9 (1 ) 11 9 (2 ) Other performing loans Loans held-for-sale 3,601 3,726 125 4,167 4,295 128 Loans held-for-investment 8 7 (1 ) 10 8 (2 ) Total other performing loans 3,609 3,733 124 4,177 4,303 126 Total loans Loans held-for-sale 3,607 3,732 125 4,173 4,300 127 Loans held-for-investment 12 10 (2 ) 15 12 (3 ) Total loans $ 3,619 $ 3,742 $ 123 $ 4,188 $ 4,312 $ 124 Liabilities Litigation settlement (1) $ (118 ) $ (60 ) $ 58 $ (118 ) $ (60 ) $ 58 (1) We are obligated to pay $118 million in installment payments upon meeting certain performance conditions, as described in Note 21 - Legal Proceedings, Contingencies and Commitments.

Segment Information

Segment Information	12 Months Ended
	Dec. 31, 2018
Segment Reporting [Abstract]
Segment Information	Segment Information Our operations are conducted through three operating segments: Community Banking, Mortgage Originations, and Mortgage Servicing. The Other segment 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 Jan uary 1, 2018, the following changes were made with offsetting adjustments included in the Other segment to reconcile to the Consolidated Statements of Operations: 1) operating leases in Community Banking are reflected as loans by reclassifying rental income and depreciation expense to net interest income, and 2) the interest expense on custodial deposits on third party sub-servicing contracts, recognized in the Mortgage Servicing segment as loan administration income, is now reflected as a component of net interest income. Prior period segment financial information, related to these changes, has been recast to conform to the current presentation. 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 LHFI Portfolio groups. Products offered through these groups include checking accounts, savings accounts, money market accounts, certificates of deposit, consumer loans, commercial loans, commercial real estate loans, equipment finance and leasing, home builder finance loans and warehouse lines of credit. Other financial services available include consumer and corporate card services, customized treasury management solutions, merchant services and capital markets services such as loan syndications, and wealth management products and services. The Mortgage Originations segment originates and acquires one-to-four family residential mortgage loans to sell or hold on our balance sheet. Loans originated-to-sell, comprise the majority of the lending activity. These loans are originated through mortgage branches, call centers, the Internet and third party counterparties. The Mortgage Origination segment recognizes interest income on loans that are held for sale and the gains from sales associated with these loans, whereas the interest income on LHFI and a loss on sales for the purchase of these loans is recognized in the Community Banking segment. The Mortgage Servicing segment services and subservices mortgage loans for others on a fee for service basis and may also collect ancillary fees and earn income through the use of noninterest-bearing escrows. Revenue for those serviced and subserviced loans is earned on a contractual fee basis, with the fees varying based on our responsibilities and the status of the underlying loans. The Mortgage Servicing segment also provides servicing of residential mortgages for our own LHFI portfolio in the Community Banking segment and our own LHFS portfolio in the Mortgage Originations segment, for which it earns revenue via an intercompany service fee allocation. The Other segment includes the treasury functions, which include, the impact of interest rate risk management, balance sheet funding activities and the administration of the investment securities portfolios, as well as miscellaneous other expenses of a corporate nature. 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 Community Banking, Mortgage Originations or Mortgage Servicing operating segments. Revenues are comprised of net interest income (before the provision (benefit) for loan losses) and noninterest income. Noninterest expenses and provision (benefit) for income taxes, 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: Year Ended December 31, 2018 Community Banking Mortgage Originations Mortgage Servicing Other (1) Total (Dollars in millions) Summary of Operations Net interest income $ 314 $ 128 $ 7 $ 48 $ 497 Net gain (loss) on loan sales (12 ) 212 — — 200 Other noninterest income 40 101 94 4 239 Total net interest income and noninterest income 342 441 101 52 936 (Provision) benefit for loan losses (2 ) (2 ) — 12 8 Compensation and benefits (70 ) (105 ) (19 ) (124 ) (318 ) Other noninterest expense and directly allocated overhead (110 ) (161 ) (70 ) (53 ) (394 ) Total noninterest expense (180 ) (266 ) (89 ) (177 ) (712 ) Income (loss) before overhead allocations and income taxes 160 173 12 (113 ) 232 Overhead allocation (39 ) (68 ) (20 ) 127 — (Provision) benefit for income taxes (25 ) (22 ) 2 — (45 ) Net income (loss) $ 96 $ 83 $ (6 ) $ 14 $ 187 Intersegment (expense) revenue $ 1 $ 10 $ 19 $ (30 ) $ — Average balances Loans held-for-sale $ 24 $ 4,172 $ — $ — $ 4,196 Loans with government guarantees — 303 — — 303 Loans held-for-investment (2) 8,417 9 — 29 8,455 Total assets 8,615 5,406 34 3,925 17,980 Deposits 8,892 — 1,883 — 10,775 (1) Includes offsetting adjustments made to reclassify income and expenses relating to operating leases and custodial deposits for subservicing clients. (2) Includes adjustment made to reclassify operating lease assets to loans held-for-investment. Year Ended December 31, 2017 Community Banking Mortgage Originations Mortgage Servicing Other (1) Total (Dollars in millions) Summary of Operations Net interest income $ 238 $ 129 $ 11 $ 12 $ 390 Net gain (loss) on loan sales (10 ) 278 — — 268 Other noninterest income 31 92 66 13 202 Total net interest income and noninterest income 259 499 77 25 860 (Provision) benefit for loan losses (4 ) (4 ) — 2 (6 ) Compensation and benefits (62 ) (100 ) (16 ) (121 ) (299 ) Other noninterest expense and directly allocated overhead (92 ) (163 ) (61 ) (28 ) (344 ) Total noninterest expense (154 ) (263 ) (77 ) (149 ) (643 ) Income (loss) before overhead allocations and income taxes 101 232 — (122 ) 211 Overhead allocation (41 ) (63 ) (23 ) 127 — (Provision) benefit for income taxes (21 ) (59 ) 8 (76 ) (148 ) Net income (loss) $ 39 $ 110 $ (15 ) $ (71 ) $ 63 Intersegment (expense) revenue $ (6 ) $ 4 $ 19 $ (17 ) $ — Average balances Loans held-for-sale $ 16 $ 4,130 $ — $ — $ 4,146 Loans with government guarantees — 290 — — 290 Loans held-for-investment (2) 6,475 7 — 29 6,511 Total assets 6,544 5,414 36 3,852 15,846 Deposits 7,454 — 1,453 — 8,907 (1) Includes offsetting adjustments made to reclassify income and expenses relating to operating leases and custodial deposits for subservicing clients. (2) Includes adjustment made to reclassify operating lease assets to loans held-for-investment. Year Ended December 31, 2016 Community Banking Mortgage Originations Mortgage Servicing Other (1) Total (Dollars in millions) Summary of Operations Net interest income $ 206 $ 90 $ 21 $ 6 $ 323 Net gain on loan sales 6 310 — — 316 Other noninterest income 28 43 60 40 171 Total net interest income and noninterest income 240 443 81 46 810 (Provision) benefit for loan losses 10 (2 ) — — 8 Compensation and benefits (56 ) (81 ) (15 ) (117 ) (269 ) Other noninterest expense and directly allocated overhead (89 ) (123 ) (63 ) (16 ) (291 ) Total noninterest expense (145 ) (204 ) (78 ) (133 ) (560 ) Income (loss) before overhead allocations and income taxes 105 237 3 (87 ) 258 Overhead allocation (35 ) (54 ) (23 ) 112 — (Provision) benefit for income taxes (24 ) (64 ) 7 (6 ) (87 ) Net income (loss) $ 46 $ 119 $ (13 ) $ 19 $ 171 Intersegment (expense) revenue $ (3 ) $ (1 ) $ 23 $ (19 ) $ — Average balances Loans held-for-sale $ 66 $ 3,068 $ — $ — $ 3,134 Loans with government guarantees — 435 — — 435 Loans held-for-investment (2) 5,809 6 — — 5,815 Total assets 5,906 4,435 28 3,538 13,907 Deposits 7,151 — 1,611 — 8,762 (1) Includes offsetting adjustments made to reclassify income and expenses relating to operating leases and custodial deposits for subservicing clients. (2) Includes adjustment made to reclassify operating lease assets to loans held-for-investment.

Holding Company Only Financial

Holding Company Only Financial Statements	12 Months Ended
	Dec. 31, 2018
Condensed Financial Information Disclosure [Abstract]
Holding Company Only Financial Statements	Holding Company Only Financial Statements The following are the unconsolidated financial statements for the Holding Company on a stand-alone basis. These condensed financial statements should be read in conjunction with the Consolidated Financial Statements and Notes thereto. The Holding Company's principal sources of funds are cash dividends paid by the Bank to the Holding Company. Federal laws and regulations limit the amount of dividends or other capital distributions the Bank may pay the Holding Company. Flagstar Bancorp, Inc. Condensed Unconsolidated Statements of Financial Condition (Dollars in millions) December 31, 2018 2017 (Dollars in millions) Assets Cash and cash equivalents $ 201 $ 196 Investment in subsidiaries (1) 1,836 1,676 Other assets 52 44 Total assets $ 2,089 $ 1,916 Liabilities and Stockholders’ Equity Liabilities Long term debt $ 495 $ 494 Other liabilities 24 23 Total liabilities 519 517 Stockholders’ Equity Common stock 1 1 Additional paid in capital 1,522 1,512 Accumulated other comprehensive loss (47 ) (17 ) Retained earnings/(accumulated deficit) 94 (97 ) Total stockholders’ equity 1,570 1,399 Total liabilities and stockholders’ equity $ 2,089 $ 1,916 (1) Includes unconsolidated trusts of $7 million for December 31, 2018 and 2017 . Flagstar Bancorp, Inc. Condensed Unconsolidated Statements of Operations (Dollars in millions) For the Years Ended December 31, 2018 2017 2016 (Dollars in millions) Income Interest $ 1 $ — $ — Total 1 — — Expenses Interest $ 27 $ 25 $ 16 General and administrative 7 9 9 Total 34 34 25 Loss before undistributed income of subsidiaries (33 ) (34 ) (25 ) Equity in undistributed income of subsidiaries 212 110 188 Income before income taxes 179 76 163 Provision (benefit) for income taxes (8 ) 13 (8 ) Net income 187 63 171 Other comprehensive loss (1) (31 ) (9 ) (9 ) Comprehensive income $ 156 $ 54 $ 162 (1) See Consolidated Statements of Comprehensive Income for other comprehensive income (loss) detail. Flagstar Bancorp, Inc. Condensed Unconsolidated Statements of Cash Flows (Dollars in millions) For the Years Ended December 31, 2018 2017 2016 (Dollars in millions) Net income $ 187 $ 63 $ 171 Adjustments to reconcile net loss to net cash provided by operating activities Equity in (income) loss of subsidiaries (177 ) 47 12 Stock-based compensation 10 5 10 Change in other assets 8 18 (8 ) Change in other liabilities 2 (2 ) (22 ) Change in fair value and other non-cash changes (25 ) (5 ) (4 ) Net cash used in operating activities 5 126 159 Investing Activities Net cash provided by (used in) investment activities — — — Financing Activities Proceeds from the issuance of senior notes — — 245 Redemption of preferred stock — — (267 ) Dividends paid on preferred stock — — (104 ) Net cash used in financing activities — — (126 ) Net increase in cash and cash equivalents 5 126 33 Cash and cash equivalents, beginning of year 196 70 37 Cash and cash equivalents, end of year $ 201 $ 196 $ 70

Quarterly Financial Data (Unaud

Quarterly Financial Data (Unaudited)	12 Months Ended
	Dec. 31, 2018
Quarterly Financial Information Disclosure [Abstract]
Quarterly Financial Data (Unaudited)	Quarterly Financial Data (Unaudited) The following table represents summarized data for each of the quarters in 2018 and 2017 : 2018 Fourth Third Second First (Dollars in millions, except per share data) Interest income $ 181 $ 183 $ 167 $ 152 Interest expense 29 59 52 46 Net interest income 152 124 115 106 Provision (benefit) for loan losses (5 ) (2 ) (1 ) — Net interest income after provision for loan losses 157 126 116 106 Net gain on loan sales 34 43 63 60 Loan fees and charges 20 23 24 20 Deposit fees and charges 6 5 5 5 Loan administration income 8 5 5 5 Net return on the mortgage servicing rights 10 13 9 4 Other noninterest income 20 18 17 17 Noninterest expense 189 173 177 173 Income before income tax 66 60 62 44 Provision for income taxes 12 12 12 9 Net income from continuing operations $ 54 $ 48 $ 50 $ 35 Basic income per share $ 0.94 $ 0.84 $ 0.86 $ 0.61 Diluted income per share $ 0.93 $ 0.83 $ 0.85 $ 0.60 2017 Fourth Third Second First (Dollars in millions, except per share data) Interest income $ 148 $ 140 $ 129 $ 110 Interest expense 41 37 32 27 Net interest income 107 103 97 83 Provision (benefit) for loan losses 2 2 (1 ) 3 Net interest income after provision for loan losses 105 101 98 80 Net gain on loan sales 79 75 66 48 Loan fees and charges 24 23 20 15 Deposit fees and charges 4 5 5 4 Loan administration income 5 5 6 5 Net return (loss) on the mortgage servicing rights (4 ) 6 6 14 Other noninterest income 16 16 13 14 Noninterest expense 178 171 154 140 Income before income tax 51 60 60 40 Provision for income taxes 96 20 19 13 Net income from continuing operations $ (45 ) $ 40 $ 41 $ 27 Basic income per share $ (0.79 ) $ 0.71 $ 0.72 $ 0.47 Diluted income per share $ (0.79 ) $ 0.70 $ 0.71 $ 0.46

Description of Business, Basi_2

Description of Business, Basis of Presentation, and Summary of Significant Accounting Policies (Policies)	12 Months Ended
	Dec. 31, 2018
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Consolidation and Basis of Presentation	Consolidation and Basis of Presentation The accounting and financial reporting policies of us and our subsidiaries conform to accounting principles generally accepted in the United States. Additionally, where applicable the policies conform to the accounting and reporting guidelines prescribed by regulatory authorities. Certain prior period amounts have been reclassified to conform to the current period presentation. The preparation of the Consolidated Financial Statements, requires management to make estimates and assumptions that affect reported amounts of assets and liabilities, revenues and expenses and disclosures of contingent assets and liabilities. Actual results could be materially different from these estimates.
Cash, Cash Equivalents and Restricted Cash	Cash, Cash Equivalents and Restricted Cash Cash and cash equivalents include cash on hand, amounts due from correspondent banks and the FRB, and short-term investments that have a maturity at the date of acquisition of three months or less and are readily convertible to cash. Restricted cash includes cash that the Bank pledges as maintenance margin on centrally cleared derivatives and is included in other assets on the Consolidated Statements of Financial Condition.
Investment Securities	Investment Securities We measure securities classified as AFS at fair value, with unrealized gains and losses, net of tax, included in other comprehensive income (loss) in stockholders’ equity. We recognize realized gains and losses on AFS securities when securities are sold. The cost of securities sold is based on the specific identification method. Any gains or losses realized upon the sale of a security are reported in other noninterest income in the Consolidated Statements of Operations. The fair value of investment securities is based on observable market prices, when available. If observable market prices are not available, our valuations are based on alternative methods, including: quotes for similar fixed-income securities, matrix pricing, or discounted cash flow methods. The fair values, obtained through an independent third party utilizing a pricing service, are compared to independent pricing sources on a quarterly basis. For further information, see Note 3 - Investment Securities and Note 22 - Fair Value Measurements. Investment securities HTM are carried at amortized cost and adjusted for amortization of premiums and accretion of discounts using the interest method. Transfers of investment securities into the HTM category from the AFS category are accounted for at fair value at the date of transfer. Any related unrealized holding gain (loss), net of tax, that was included in the transfer is retained in other comprehensive income (loss) and is amortized as an adjustment to interest income over the remaining life of the securities. We evaluate AFS and HTM investment securities for OTTI on a quarterly basis. An OTTI is considered to have occurred when the fair value of a debt security is below its amortized costs and we (1) have the intent to sell the security, (2) will more likely than not be required to sell the security before recovery of its amortized cost, or (3) do not expect to recover the entire amortized cost basis of the security. Investments that have an OTTI are written down through a charge to earnings for the amount representing the credit loss on the security. Gains and losses related to all other factors are recognized in other comprehensive income (loss). For the three years ended December 31, 2018, we did not recognize any OTTI losses. Investment securities transactions are recorded on the trade date for purchases and sales. Interest earned on investment securities, including the amortization of premiums and the accretion of discounts, are determined using the effective interest method over the period of maturity and recorded in interest income in the Consolidated Statements of Operations.
Loans Held-for-Sale	Loans Held-for-Sale We classify loans as LHFS when we originate or purchase loans that we intend to sell. We have elected the fair value option for the majority of our LHFS. We estimate the fair value of mortgage loans based on quoted market prices for securities backed by similar types of loans, where available, or by discounting estimated cash flows using observable inputs inclusive of interest rates, prepayment speeds and loss assumptions for similar collateral. LHFS that are recorded at lower of cost or fair value may be carried at fair value on a nonrecurring basis when the fair value is less than cost. For further information, see Note 22 - Fair Value Measurements. Loans that are transferred into the LHFS portfolio from the LHFI portfolio, due to a change in intent, are recorded at the lower of cost or fair value. Gains or losses recognized upon the sale of loans are determined using the specific identification method.
Loans Held-for-Investment	Loans Held-for-Investment We classify loans that we have the intent and ability to hold for the foreseeable future or until maturity as LHFI. Loans held-for-investment are reported at their amortized cost, which includes the outstanding principal balance adjusted for any unamortized premiums, discounts, deferred fees and costs. Premiums and discounts on purchased loans and non-refundable loan origination and commitment fees, net of direct costs of originating or acquiring loans, are deferred and recognized over the estimated lives of the related loans as an adjustment to the loans’ effective yield, which is included in interest income on loans in the Consolidated Statements of Operations. Loans originally classified as LHFS, for which we have elected the fair value option, and subsequently transferred to LHFI continue to be measured and reported at fair value on a recurring basis. Changes in fair value are recorded to other noninterest income on the Consolidated Statements of Operations. The fair value of these loans is determined using the same methods described above for LHFS. For further information, see Note 22 - Fair Value Measurements. When loans originally classified as LHFS or as LHFI are reclassified due to a change in intent or ability to hold, cash flows associated with the loans are classified in the Consolidated Statements of Cash Flows as operating or investing, as appropriate, in accordance with the initial classification of the loans.
Past Due and Impaired Loans	Past Due and Impaired Loans Loans are considered to be past due when any payment of principal or interest is 30 days past the scheduled payment date. While it is the goal of management to collect on loans, we attempt to work out a satisfactory repayment schedule or modification with past due borrowers and will undertake foreclosure proceedings if the delinquency is not satisfactorily resolved. Our practices regarding past due loans are designed to both assist borrowers in meeting their contractual obligations and minimize losses incurred by the bank. We cease the accrual of interest on all classes of consumer and commercial loans upon the earlier of, becoming 90 days past due, or when doubt exists as to the ultimate collection of principal or interest (classified as nonaccrual or nonperforming loans). When a loan is placed on nonaccrual status, the accrued interest income is reversed against interest income and the loan may only return to accrual status when principal and interest become current and are anticipated to be fully collectible. Loans are considered impaired if it is probable that payment of interest and principal will not be made in accordance with the original contractual terms of the loan agreement or when any portion of principal or interest is 90 days past due. This classification includes both performing and nonperforming modified loans. For further information, see Note 5 - Loans Held-for-Investment. When a loan is considered impaired, the accrual of interest income is discontinued until the receipt of principal and interest is no longer in doubt. Interest income is recognized on impaired loans using a cost recovery method unless amounts contractually due are not in doubt. Cash received on impaired loans is applied entirely against principal until the loan has been collected in full, after which time any additional cash receipts are recognized as interest income.
Loan Modifications (Troubled Debt Restructurings)	Loan Modifications (Troubled Debt Restructurings) We may modify certain loans in both our 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 be classified as performing TDRs and begin to accrue interest. Performing and nonperforming TDRs remain impaired as interest and principal will not be received in accordance with the original contractual terms of the loan agreement. 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 nonperforming TDRs.
Allowance for Loan Losses	Allowance for Loan Losses The allowance for loan losses represents management's estimate of probable losses in our LHFI portfolio, excluding loans carried under the fair value option. We establish an allowance when (a) available information indicates that it is probable that a loss has occurred and (b) the amount of the loss can be reasonably estimated. The allowance provides for probable losses that have been specifically identified (TDR and NPL loans) and for probable losses believed to be inherent in the loan portfolio which are collectively evaluated through a model-based component. Management applies judgment and assigns qualitative factors to each loan portfolio segment based on consideration of the following factors: changes in lending policies and procedures, changes in economic and business conditions, changes in the nature and volume of the portfolio, changes in lending management, changes in credit quality statistics, changes in the quality of the loan review system, changes in the value of underlying collateral for collateral-dependent loans, changes in concentrations of credit, and other internal or external factor changes. A specific allowance is established on impaired loans when it is probable all amounts due will not be collected pursuant to the original contractual terms of the loan and the recorded investment in the loan exceeds its fair value. The required allowance is measured using either the present value of the expected future cash flows discounted at the loan's effective interest rate or the fair value of the collateral less estimated costs to sell if the loan is collateral dependent. A general allowance is established for losses inherent on non-impaired loans by segmenting the portfolio based upon common risk characteristics. The general loss is then determined by using a historical loss model which utilizes our loss history by specific product, or if the product is not sufficiently seasoned, per readily available industry peer loss data. The loss model utilizes average historical loss rates experienced during an identified look back period to outstanding principal balances over an estimated loss emergence period that represents the time period between the date at which the loss is estimated to have been incurred and the ultimate realization of that loss (by a charge-off). In addition to the loss history or peer data, we also include a qualitative adjustment that considers economic risks, industry and geographic concentrations and other factors not adequately captured in our methodology. Consumer loans secured by real estate are charged-off to the estimated fair value of the collateral when a loss is confirmed or at 180 days past due, whichever is sooner. Loss confirming events include, but are not limited to, bankruptcy (unsecured), continued delinquency, foreclosure or receipt of an asset valuation indicating a collateral deficiency and the asset is the sole source of repayment. For consumer loans not secured by real estate, the charge-off is taken upon the earlier of the confirmation of a loss or 120 days past due. Commercial loans are evaluated on a loan level basis and either charged-off or written down to net realizable value if a loss confirming event has occurred. Loss confirming events include, but are not limited to, bankruptcy (unsecured), continued delinquency, foreclosure, or receipt of an asset valuation indicating a collateral deficiency and that asset is the sole source of repayment.
Transfers of Financial Assets	Transfers of Financial Assets Our recognition of gain or loss on the sale of loans for which we surrender control is accounted for as a sale to the extent that 1) the transferred assets are legally isolated from us or our consolidated affiliates, even in bankruptcy or other receivership, 2) the transferee has the right to pledge or exchange the assets with no conditions that constrain the transferee and provide more than a trivial benefit to the Company, and 3) we do not maintain the obligation or unilateral ability to reclaim or repurchase the assets. If the sale criteria are met, the transferred financial assets are removed from the Consolidated Statements of Financial Condition and a gain or loss on sale is recognized.
Variable Interest Entities	Variable Interest Entities An entity that has a controlling financial interest in a variable interest entity (VIE) is referred to as the primary beneficiary and consolidates the VIE. An entity is deemed to have a controlling financial interest and is the primary beneficiary of a VIE if it has both the power to direct the activities of the VIE that most significantly impact the VIE’s economic performance and an obligation to absorb losses or the right to receive benefits that could potentially be significant to the VIE.
Repossessed Assets	Repossessed Assets Repossessed assets include one-to-four family residential property, commercial property and one-to-four family homes under construction that were acquired through foreclosure or acceptance of a deed-in-lieu of foreclosure. Repossessed assets are initially recorded in other assets at the estimated fair value of the collateral less estimated costs to sell. Losses arising from the initial acquisition of such properties are charged against the ALLL at the time of transfer. Subsequent valuation adjustments to reflect fair value, as well as gains and losses on disposal of these properties, are charged to other noninterest expense within noninterest expense in the Consolidated Statements of Operations as incurred.
Loans with Government Guarantees	Loans with Government Guarantees We originate government guaranteed loans which are pooled and sold as Ginnie Mae MBS. Pursuant to Ginnie Mae servicing guidelines, we have the unilateral right to repurchase loans 90 days or more past due securitized in Ginnie Mae pools. As a result, once the delinquency criteria have been met, and regardless of whether the repurchase option has been exercised, we account for the loans as if they had been repurchased. We recognize the loans and corresponding liability as loans with government guarantees and other liabilities, respectively, in the Consolidated Statements of Financial Condition. If the loan is repurchased, the liability is cash settled and the loan with government guarantee remains. Once repurchased, we may collect losses through a claims process with the government agency, as an approved lender.
Federal Home Loan Bank Stock	Federal Home Loan Bank Stock We own stock in the FHLB of Indianapolis, as required to permit us to obtain membership in and to borrow from the FHLB. No market quotes exist for the stock. The stock is redeemable at par and is carried at cost.
Premises and Equipment	Premises and Equipment Premises and equipment are carried at cost less accumulated depreciation. Land is carried at historical cost. Depreciation is calculated on a straight-line basis over the estimated useful lives of the assets which generally ranges from three to thirty years. Capitalized software is amortized on a straight-line basis over its useful life, which generally ranges from three to seven years. Software expenditures, repair and maintenance costs that are considered general, administrative, or of a maintenance nature are expensed as incurred.
Goodwill and Intangible Assets	Goodwill and Intangible Assets The excess of the cost of an acquisition over the fair value of the net assets acquired consists primarily of goodwill, core deposit intangibles and other identifiable intangible assets. Goodwill is not amortized, but rather tested annually for impairment, or more frequently as events occur or circumstances change that would indicate the fair value is below the carrying amount. The Company may assess qualitative factors to determine whether it is more-likely-than-not the fair value is less than its carrying amount. If the Company concludes based on the qualitative assessment that goodwill may be impaired, a quantitative one-step impairment test would then be applied. An impairment loss would be recognized for any excess of carrying value over fair value of the goodwill. Intangible assets subject to amortization are amortized over the estimated life, using a method that approximates the time the economic benefits are realized by the Company. Intangible assets are reviewed for impairment at least annually and whenever events or changes in circumstances indicate that the carrying amount of the assets may not be recoverable.
Mortgage Servicing Rights	Mortgage Servicing Rights We purchase and originate mortgage loans for sale to the secondary market and sell the loans on either a servicing-retained or servicing-released basis. If we retain the right to service the loan, an MSR is created at the time of sale which is recorded at fair value. We use an internal valuation model that utilizes an option-adjusted spread and other assumptions to determine the fair value of MSRs which include anticipated prepayment speeds (also known as the constant prepayment rate), product type (i.e., conventional, government, balloon), fixed or adjustable rate of interest, interest rate, term (i.e., 15 or 30 years), servicing costs per loan, discount rate and estimate of ancillary income such as late fees and prepayment fees. Management obtains third-party valuations of the MSR portfolio on a quarterly basis from independent valuation services to assess the reasonableness of the fair value calculated by our internal valuation model. Changes in the fair value of our mortgage servicing rights are reported on the Consolidated Statements of Operations in net return on mortgage servicing. For further information, see Note 11 - Mortgage Servicing Rights and Note 22 - Fair Value Measurements. We periodically enter into agreements to sell certain of our MSRs, which qualify as sales transactions. A transfer of servicing rights related to loans previously sold qualifies as a sale at the date on which title passes, if substantially all risks and rewards of ownership have irrevocably passed to the transferee and any protection provisions retained by the transferor are minor and can be reasonably estimated. In addition, if a sale is recognized and only minor protection provisions exist, a liability is accrued for the estimated obligation associated with those provisions.
Servicing Fee Income	Servicing Fee Income Servicing fee income, late fees and ancillary fees received on loans for which we own the MSR, are included in the net return on mortgage servicing asset line of the Consolidated Statements of Operations. The fees are based on the outstanding principal and are recorded as income when earned. Subservicing fees, which are included in loan administration income on the Consolidated Statements of Operations are based on a contractual monthly amount per loan including late fees and other ancillary income.
Derivatives	Derivatives We utilize derivative instruments to manage the fair value changes in our MSRs, interest rate lock commitments and LHFS portfolio which are exposed to price and interest rate risk, facilitate asset/liability management, minimize the variability of future cash flows on long-term debt, and to meet the needs of our customers. All derivatives are recognized on the Consolidated Statements of Financial Condition as other assets and liabilities, as applicable, at their estimated fair value. For those derivatives designated as qualified cash flow hedges, changes in the fair value of the derivatives, to the extent effective as a hedge, are recorded in accumulated other comprehensive income, net of income taxes, and reclassified into earnings concurrently with the earnings of the hedged item. For derivative instruments designated as qualified fair value hedges, which are used to hedge the exposure of fair value changes of an asset or liability attributable to a particular risk, the gain or loss on the derivative instrument, as well as the offsetting gain or loss on the hedged item attributable to the hedged risk, are recognized in current earnings during the period of the change in fair values. For all other derivatives, changes in the fair value of the derivative are recognized immediately in earnings. A majority of these derivatives are subject to master netting agreements and cleared through a Central Counterparty Clearing House, which mitigates non-performance risk with counterparties and enables us to settle activity on a net basis. We use interest rate swaps, swaptions, futures, and forward loan sale commitments to mitigate the impact of fluctuations in interest rates and interest rate volatility on the fair value of the MSRs. Changes in their fair value are reflected in current period earnings under the net return on mortgage servicing asset. These derivatives are valued based on quoted prices for similar assets in an active market with inputs that are observable. We also enter into various derivative agreements with customers and correspondents in the form of interest-rate lock commitments and forward purchase contracts which are commitments to originate or purchase mortgage loans whereby the interest rate on the loan is determined prior to funding and the customers have locked into that interest rate. The derivatives are valued using internal models that utilize market interest rates and other unobservable inputs. Changes in the fair value of these commitments due to fluctuations in interest rates that are to be originated to our LHFS portfolio are economically hedged through the use of forward loan sale commitments of MBS. The gains and losses arising from this derivative activity are reflected in current period earnings under the net gain on loan sales. Interest rate lock commitments are valued using internal models with significant unobservable market parameters. Forward loan sale commitments are valued based on quoted prices for similar assets in an active market with inputs that are observable. At certain times we may also enter into various derivative agreements with correspondents in the form of forward purchase contracts at the time the correspondent customer enters into an interest-rate lock commitment. The derivatives are valued using internal models that utilize market interest rates and other unobservable inputs. We may utilize interest rate swaps to hedge the forecasted cash flows from our underlying variable-rate FHLB advances and forecasted FHLB advances in qualifying cash flow hedge accounting relationships. Changes in the fair value of derivatives designated as cash flow hedges are recorded in other comprehensive income on the Consolidated Statement of Financial Condition and reclassified into interest expense concurrently with the interest expense on the debt. Interest rate swaps are valued based on quoted prices for similar assets in an active market with inputs that are observable. These hedges are evaluated for effectiveness using regression analysis at the time they are designated and throughout the hedge period. For forecasted FHLB advances being hedged, we evaluate the likelihood of the transaction occurring based on the current facts and circumstances each reporting period to ensure the hedge relationship still qualifies for hedge accounting. If we de-designate a hedge relationship or determine that an interest rate swap no longer qualifies for hedge accounting, changes in fair value are no longer recorded in other comprehensive income. The effective amounts previously recorded in other comprehensive income are recognized in earnings over the remaining life of the hedged item as an adjustment to yield, until the point it is determined the underlying transaction is probable to not occur, at which point it is reclassified immediately into earnings. We utilize interest rate swaps to manage fair value changes of our fixed-rate certificates of deposit in a qualifying fair value hedge accounting relationship. Changes in the fair value of derivatives designated as fair value hedges, as well as the change in fair value of the hedged item, are recognized in current period earnings. The corresponding adjustment is recorded as a basis adjustment to the hedged item and hedging instrument. Interest rate swaps are valued based on quoted prices for similar assets in an active market with inputs that are observable. These hedges are evaluated for effectiveness using regression analysis at the time they are designated and throughout the hedge period. If the Company determines an interest rate swap no longer qualifies for fair value hedge accounting or is de-designated, the hedged item will no longer be adjusted for changes in fair value and the amounts previously recorded as a basis adjustment are recognized in earnings over the remaining life of the hedged item as an adjustment to yield. If a previously hedged item is extinguished or sold, the remaining basis adjustment of the hedged item for prior fair value hedges will be reclassified to current period earnings. To assist our customers in meeting their needs to manage interest rate risk, we enter into interest rate swap derivative contracts. To economically hedge this risk, we enter into offsetting derivative contracts to effectively eliminate the interest rate risk associated with these contracts.
Income Taxes	Income Taxes We evaluate two components of income tax expense: current and deferred. Current income tax expense represents our estimated taxes to be paid or refunded for the current period. Deferred taxes are recognized for the future tax consequences attributable to differences between the financial statement carrying amounts of existing assets and liabilities and their respective tax bases. DTAs and liabilities are measured using enacted tax rates that will apply to taxable income in the years in which those temporary differences are expected to be recovered or settled. The effect on DTAs and liabilities of a change in tax rates is recognized as income or expense in the period that includes the enactment date. We evaluate our DTAs to determine if, based on all available evidence, it is more likely than not that they will be realized. If it is determined that it is more likely than not that the deferred taxes will not be realized, we establish a valuation allowance. For further information, see Note 19 - Income Taxes.
Representation and Warranty Reserve	Representation and Warranty Reserve When we sell mortgage loans into the secondary mortgage market, we make customary representations and warranties to the purchasers about various characteristics of each loan. For eligible loans sold to the Agencies after December 31, 2014, these representations and warranties generally expire after 36 months. If a defect in the origination process is identified, we may be required to either repurchase the loan, pay a fee or indemnify the purchaser for losses. Upon the sale of a loan, the Company recognizes a liability for that guarantee at its fair value as a reduction of our net gain on loan sales. Subsequent to the sale, the liability is re-measured on an ongoing basis based upon an estimate of probable future losses. These estimates are based on our most recent data including loss severity on repurchased and indemnified loans, repurchase requests and other factors. Changes to our previous estimates are recorded in noninterest income in the Consolidated Statements of Operations.
Advertising Costs	Advertising Costs Advertising costs are expensed in the period they are incurred and are included as part of other noninterest expense in the Consolidated Statements of Operations.
Stock-based Compensation	Stock-Based Compensation All share-based payments to employees, including grants of employee stock options and restricted stock units, are classified as equity with expenses being recognized in compensation and benefits in the Consolidated Statements of Operations based on their fair values. The amount of compensation is measured at the grant date and is expensed over the requisite service period, which is normally the vesting period, and for the year ended December 31, 2018 , any forfeitures were recognized as they occurred. In addition to share-based payments to employees, the discount provided to employees through the Employee Stock Purchase Plan is also recognized as stock-based compensation.
Department of Justice (DOJ) Litigation Settlement	Department of Justice Litigation Settlement The executed settlement agreement with the DOJ representing the obligation to make future additional payments establishes a legally enforceable contract with a stipulated payment plan that meets the definition of a financial liability. We have elected the fair value option to account for this financial liability included in other liabilities on the Consolidated Financial Statements.
Recently Issued Accounting Pronouncements	Recently Issued Accounting Pronouncements Adoption of New Accounting Standards We adopted the following accounting standard updates (ASU) during 2018 , none of which had a material impact to our financial statements: Standard Description Effective Date ASU 2018-13 Fair Value Measurement (Topic 820): Disclosure Framework—Changes to the Disclosure Requirements for Fair Value Measurement December 31, 2018 ASU 2018-03 Technical Corrections and Improvements to Financial Instruments—Overall (Subtopic 825-10) - Update to 2016-01 January 1, 2018 ASU 2018-02 Income Statement-Reporting Comprehensive Income (Topic 220); Reclassification of Certain Tax Effects from Accumulated Other Comprehensive Income January 1, 2019 ASU 2017-09 Update 2017-09—Compensation—Stock Compensation (Topic 718): Scope of Modification Accounting January 1, 2018 ASU 2017-05 Other Income - Gains and Losses from the De-recognition of Non-financial Assets (Subtopic 610-20): Clarifying the Scope of Asset De-recognition Guidance and Accounting for Partial Sales of Non-financial Assets January 1, 2018 ASU 2017-01 Business Combinations (Topic 805): Clarifying the Definition of a Business January 1, 2018 ASU 2016-18 Statement of Cash Flows (Topic 230): Restricted Cash January 1, 2018 ASU 2016-16 Income Taxes (Topic 740): Intra-Entity Transfers of Assets Other Than Inventory January 1, 2018 ASU 2016-15 Statement of Cash Flows (Topic 230): Classification of Certain Cash Receipts and Cash Payments January 1, 2018 ASU 2016-01 Financial Instruments - Overall (Subtopic 825-10): Recognition and Measurement of Financial Assets and Financial Liabilities January 1, 2018 Accounting Standards Adopted which had a Material Impact The following ASUs have been adopted which impact our significant accounting policies and/or have a significant financial impact: Revenue from Contracts with Customers - In May 2014, FASB issued 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 in exchange for those goods or services. Effective January 1, 2018, we have adopted the requirements of ASU 2014-09, Revenue from Contracts with Customers (Topic 606) and all related amendments. We have implemented the guidance utilizing the modified retrospective approach which did not have a material impact on the Company's financial position or results of operations. We undertook a process to evaluate all of our significant revenue sources under the new standard. As lease contracts and financial instruments, which include loans and securities, are excluded from the scope of this standard, the majority of our revenue falls outside of the scope of Topic 606. The adoption of this guidance does not result in changes to how revenue is recognized or the timing of recognition from our method prior to adoption. Revenue is recognized when obligations, under the terms of a contract with our customer, are satisfied, which generally occurs when services are performed. Revenue is measured as the amount of consideration we expect to receive in exchange for providing services. The disaggregation of our revenue from contracts with customers is provided below. For the Years Ended December 31, Location of Revenue (1) 2018 2017 (Dollars in millions) Deposit account and other banking income Deposit fees and charges $ 16 $ 15 Interchange fees Deposit fees and charges 5 3 Interchange fees Other noninterest income 1 1 Wealth management Other noninterest income 9 7 Total $ 31 $ 26 (1) Recognized within the Community Banking segment. Deposit account and other banking income - We charge depositors various deposit account service fees including those for outgoing wires, overdrafts, stop payments, and ATM fees. These fees are generated from a depositor’s option to purchase services offered under the contract and are only considered a contract when the depositor exercises their option to purchase these account services. Therefore we deem the term of our contracts with depositors to be day-to-day and do not extend beyond the services already provided. Deposit account and other banking fees are recorded at the point in time we perform the requested service. Interchange income - We collect interchange fee income when debit cards that we have issued to our customers, are used in merchant transactions. Our performance obligation is satisfied and revenue is recognized at the point we initiate the payment of funds from a customer’s account to a merchant account. Merchant fee income - We receive a percentage of merchant fees based upon card transactions processed through point of sale terminals at referred merchant locations. Our performance obligation is satisfied when our referral of a merchant to a payment processing vendor results in an executed agreement between the merchant and the vendor. Merchant fee revenue is recognized as received. Merchant fee income was less than $1 million for the years ended December 31, 2018 and December 31, 2017 . Wealth management revenue - We earn commission income through a revenue share program based on a tiered percentage of total gross commissions generated from the sales of investment and insurance services to Flagstar customers. Commissions are earned and our performance obligation has been satisfied at the point of sale or trade execution. Our portion of earned commissions is calculated, paid and recognized as revenue on a monthly basis. We also receive revenue from portfolio management services. We receive payment for portfolio management services in advance at the beginning of each quarter for services to be performed over the quarter which results an insignificant revenue liability. We recognize this revenue over the quarter on a straight-line basis, as we believe this is the most appropriate method to measure progress towards satisfaction of the performance obligation. Derivatives and Hedging - In August 2017, the FASB issued ASU 2017-12, Derivatives and Hedging (Topic 815): Targeted Improvements to Accounting for Hedging Activities. The amendments were designed to more closely align hedge accounting requirements with users’ risk management strategies. ASU 2017-12 is effective for fiscal years beginning after December 15, 2018 and early adoption is permitted. The Company early adopted this ASU during the first quarter of 2018. The guidance provides a broader range of hedge accounting opportunities and simplifies documentation requirements for our existing cash flow hedge relationships. In conjunction with adoption of this ASU, the Company elected to transfer $144 million of investment securities from HTM to AFS during the first quarter of 2018, as permitted by the standard, which resulted in an insignificant impact to AOCI. Accounting Standards Issued But Not Yet Adopted The following ASUs have been issued and are expected to result in a significant change to our significant accounting policies and/or have a significant financial impact: 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, we use the incurred loss method, whereas the new guidance requires financial assets to be presented at the net amount expected to be collected (i.e., net of expected credit losses). The measurement of expected credit losses should be based on relevant information about past events, including historical experience, current conditions, and reasonable and supportable forecasts that affect the collectability of the reported amount. ASU 2016-13 is effective for fiscal years beginning after December 15, 2019. Our cross-functional implementation team continues to execute on its project plan and is currently finalizing the development of our credit loss models which we expect to be capable of running a CECL parallel production in the second half of 2019 and will be ready for the adoption of the standard in the first quarter of 2020. We are currently evaluating the impact the adoption of the guidance will have on our Consolidated Financial Statements, and highlight that any impact will be contingent upon the underlying characteristics of the affected portfolio and macroeconomic and internal forecasts at adoption date. We do not expect any material allowance on held to maturity securities since the majority of this portfolio consists of agency-backed securities that inherently have an immaterial risk of credit loss. Leases - In February 2016, the FASB issued ASU 2016-02, Leases (Topic 842) which supersedes Topic 840. The guidance requires lessees to recognize substantially 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 under current lease accounting guidance. ASU 2016-02 is effective retrospectively for fiscal years beginning after December 15, 2018 and early adoption is permitted. Additional guidance per ASU 2018-11 provides the practical expedient of forgoing the restatement of comparative periods and we intend on exercising this option. Upon adoption and implementation, we will gross up assets and liabilities due to the recognition of lease liabilities and right of use assets associated with the underlying lease contracts. Further, we will elect the short-term lease exception, which allows entities to not apply the recognition requirements of ASC 842 to short-term leases. The adoption of the guidance will impact our total assets and total liabilities in the Consolidated Statements of Financial Condition by approximately 0.1 percent given our current inventory of leases. The following ASUs have been issued and are not expected to have a material impact on our Consolidated Financial Statements and/or significant accounting policies: Standard Description Effective Date ASU 2018-20 Leases (Topic 842): Narrow-Scope Improvements for Lessors January 1, 2019 ASU 2018-19 Codification Improvements to Topic 326, Financial Instruments—Credit Losses January 1, 2020 ASU 2018-18 Collaborative Arrangements (Topic 808): Clarifying the Interaction between Topic 808 and Topic 606 January 1, 2020 ASU 2018-17 Consolidation (Topic 810): Targeted Improvements to Related Party Guidance for Variable Interest Entities January 1, 2020 ASU 2018-16 Derivatives and hedging (Topic 815): Inclusion of the Secured Overnight Financing Rate (SOFR) Overnight Index Swap (OIS) Rate as a Benchmark Interest Rate for Hedge Accounting Purposes January 1, 2020 ASU 2018-15 Intangibles—Goodwill and Other—Internal-Use Software (Subtopic 350-40): Customer’s Accounting for Implementation Costs Incurred in a Cloud Computing Arrangement That Is a Service Contract (a consensus of the FASB Emerging Issues Task Force) January 1, 2020 ASU 2018-11 Leases (Topic 842): Targeted Improvements January 1, 2019 ASU 2018-10 Codification Improvements to Topic 842, Leases January 1, 2019 ASU 2018-07 Compensation—Stock Compensation (Topic 718): Improvements to Nonemployee Share-Based Payment Accounting January 1, 2019 ASU 2017-11 Earnings Per Share (Topic 260); Distinguishing Liabilities from Equity (Topic 480); Derivatives and Hedging (Topic 815): (Part I) Accounting for Certain Financial Instruments with Down Round Features, (Part II) Replacement of the Indefinite Deferral for Mandatorily Redeemable Financial Instruments of Certain Nonpublic Entities and Certain Mandatorily Redeemable Non-controlling Interests with a Scope. January 1, 2019 ASU 2017-08 Receivables - Nonrefundable Fees and Other Costs (Subtopic 310-20): Premium Amortization on Purchased Callable Debt Securities January 1, 2019 ASU 2017-06 Plan Accounting - Defined Benefit Pension Plans (Topic 960), Defined Contribution Pension Plans (Topic 962), Health and Welfare Benefit Plans (Topic 965): Employee Benefit Plan Master Trust Reporting January 1, 2019 ASU 2017-04 Intangibles - Goodwill and Other (Topic 350): Simplifying the Test for Goodwill Impairment January 1, 2020
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. Valuation Hierarchy U.S. GAAP establishes a three-level valuation hierarchy for disclosure of fair value measurements. The hierarchy is based on the transparency of the inputs used in the valuation process with the highest priority given to quoted prices available in active markets and the lowest priority to unobservable inputs where no active market exists, as discussed below. Level 1 - Quoted prices (unadjusted) for identical assets or liabilities in active markets in which we can participate as of the measurement date; Level 2 - Quoted prices for similar instruments in active markets, and other inputs that are observable for the asset or liability, either directly or indirectly, for substantially the full term of the financial instrument; and Level 3 - Unobservable inputs that reflect our own assumptions about the assumptions that market participants would use in pricing an asset or liability. A financial instrument's categorization within the valuation hierarchy is based upon the lowest level of input within the valuation hierarchy that is significant to the overall fair value measurement. Transfers between levels of the fair value hierarchy are recognized at the end of the reporting period.

Description of Business, Basi_3

Description of Business, Basis of Presentation, and Summary of Significant Accounting Policies (Tables)	12 Months Ended
	Dec. 31, 2018
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Adoption of New Accounting Standards and Accounting Standards Issued But Not Yet Adopted	The following ASUs have been issued and are not expected to have a material impact on our Consolidated Financial Statements and/or significant accounting policies: Standard Description Effective Date ASU 2018-20 Leases (Topic 842): Narrow-Scope Improvements for Lessors January 1, 2019 ASU 2018-19 Codification Improvements to Topic 326, Financial Instruments—Credit Losses January 1, 2020 ASU 2018-18 Collaborative Arrangements (Topic 808): Clarifying the Interaction between Topic 808 and Topic 606 January 1, 2020 ASU 2018-17 Consolidation (Topic 810): Targeted Improvements to Related Party Guidance for Variable Interest Entities January 1, 2020 ASU 2018-16 Derivatives and hedging (Topic 815): Inclusion of the Secured Overnight Financing Rate (SOFR) Overnight Index Swap (OIS) Rate as a Benchmark Interest Rate for Hedge Accounting Purposes January 1, 2020 ASU 2018-15 Intangibles—Goodwill and Other—Internal-Use Software (Subtopic 350-40): Customer’s Accounting for Implementation Costs Incurred in a Cloud Computing Arrangement That Is a Service Contract (a consensus of the FASB Emerging Issues Task Force) January 1, 2020 ASU 2018-11 Leases (Topic 842): Targeted Improvements January 1, 2019 ASU 2018-10 Codification Improvements to Topic 842, Leases January 1, 2019 ASU 2018-07 Compensation—Stock Compensation (Topic 718): Improvements to Nonemployee Share-Based Payment Accounting January 1, 2019 ASU 2017-11 Earnings Per Share (Topic 260); Distinguishing Liabilities from Equity (Topic 480); Derivatives and Hedging (Topic 815): (Part I) Accounting for Certain Financial Instruments with Down Round Features, (Part II) Replacement of the Indefinite Deferral for Mandatorily Redeemable Financial Instruments of Certain Nonpublic Entities and Certain Mandatorily Redeemable Non-controlling Interests with a Scope. January 1, 2019 ASU 2017-08 Receivables - Nonrefundable Fees and Other Costs (Subtopic 310-20): Premium Amortization on Purchased Callable Debt Securities January 1, 2019 ASU 2017-06 Plan Accounting - Defined Benefit Pension Plans (Topic 960), Defined Contribution Pension Plans (Topic 962), Health and Welfare Benefit Plans (Topic 965): Employee Benefit Plan Master Trust Reporting January 1, 2019 ASU 2017-04 Intangibles - Goodwill and Other (Topic 350): Simplifying the Test for Goodwill Impairment January 1, 2020 We adopted the following accounting standard updates (ASU) during 2018 , none of which had a material impact to our financial statements: Standard Description Effective Date ASU 2018-13 Fair Value Measurement (Topic 820): Disclosure Framework—Changes to the Disclosure Requirements for Fair Value Measurement December 31, 2018 ASU 2018-03 Technical Corrections and Improvements to Financial Instruments—Overall (Subtopic 825-10) - Update to 2016-01 January 1, 2018 ASU 2018-02 Income Statement-Reporting Comprehensive Income (Topic 220); Reclassification of Certain Tax Effects from Accumulated Other Comprehensive Income January 1, 2019 ASU 2017-09 Update 2017-09—Compensation—Stock Compensation (Topic 718): Scope of Modification Accounting January 1, 2018 ASU 2017-05 Other Income - Gains and Losses from the De-recognition of Non-financial Assets (Subtopic 610-20): Clarifying the Scope of Asset De-recognition Guidance and Accounting for Partial Sales of Non-financial Assets January 1, 2018 ASU 2017-01 Business Combinations (Topic 805): Clarifying the Definition of a Business January 1, 2018 ASU 2016-18 Statement of Cash Flows (Topic 230): Restricted Cash January 1, 2018 ASU 2016-16 Income Taxes (Topic 740): Intra-Entity Transfers of Assets Other Than Inventory January 1, 2018 ASU 2016-15 Statement of Cash Flows (Topic 230): Classification of Certain Cash Receipts and Cash Payments January 1, 2018 ASU 2016-01 Financial Instruments - Overall (Subtopic 825-10): Recognition and Measurement of Financial Assets and Financial Liabilities January 1, 2018
Disaggregation of Revenue from Contracts with Customers	The disaggregation of our revenue from contracts with customers is provided below. For the Years Ended December 31, Location of Revenue (1) 2018 2017 (Dollars in millions) Deposit account and other banking income Deposit fees and charges $ 16 $ 15 Interchange fees Deposit fees and charges 5 3 Interchange fees Other noninterest income 1 1 Wealth management Other noninterest income 9 7 Total $ 31 $ 26 (1) Recognized within the Community Banking segment.

Acquisitions (Tables)

Acquisitions (Tables)	12 Months Ended
	Dec. 31, 2018
Business Combinations [Abstract]
Preliminary Purchase Price Allocation to the Fair Value of Assets Acquired and Liabilities Assumed	The following table summarizes the preliminary allocation of the purchase price to the fair value of assets acquired and liabilities assumed as of the acquisition date. We deem the initial valuation of the assets and liabilities to be provisional and have left the measurement period open. These fair values may be adjusted in a future period, not to exceed one year after the acquisition date, to reflect new facts and circumstances which existed as of the acquisition date. (Dollars in millions) Assets acquired: Cash $ 9 Loans 107 Core deposit intangible (CDI) 60 Other assets 23 Total assets 199 Liabilities assumed: Deposits 1,760 Total liabilities 1,760 Fair value of net liabilities assumed (1,561 ) Cash consideration (received) (1,499 ) Goodwill $ 62
Pro Forma Information	The following table presents unaudited pro forma information as if the acquisition of the Wells Fargo branches had occurred on January 1, 2017. This pro forma information includes certain adjustments and assumptions including, but not limited to, reclassifications from 2018 net income to 2017 net income related to acquisition-related expenses of $15 million and hedging gains of $29 million . The pro forma information is not necessarily indicative of the results of operations that would have occurred had the transaction been completed on the assumed date. For the Years Ended December 31, 2018 2017 (Dollars in millions) Net interest income $ 540 $ 482 Net income $ 196 $ 83

Investment Securities (Tables)

Investment Securities (Tables)	12 Months Ended
	Dec. 31, 2018
Investments, Debt and Equity Securities [Abstract]
Schedule of Held-to-maturity and Available-for-sale Securities	Amortized Cost Gross Unrealized Gross Unrealized Fair Value (Dollars in millions) December 31, 2018 Available-for-sale securities Agency - Commercial $ 1,413 $ 4 $ (43 ) $ 1,374 Agency - Residential 686 — (24 ) 662 Corporate debt obligations 41 — — 41 Municipal obligations 33 — (1 ) 32 Other MBS 32 — — 32 Certificates of Deposit 1 1 Total available-for-sale securities (1) $ 2,206 $ 4 $ (68 ) $ 2,142 Held-to-maturity securities Agency - Commercial $ 349 $ — $ (13 ) $ 336 Agency - Residential 354 — (9 ) 345 Total held-to-maturity securities (1) $ 703 $ — $ (22 ) $ 681 December 31, 2017 Available-for-sale securities Agency - Commercial $ 1,004 $ — $ (17 ) $ 987 Agency - Residential 811 — (17 ) 794 Corporate debt obligations 37 1 — 38 Municipal obligations 35 — (1 ) 34 Total available-for-sale securities (1) $ 1,887 $ 1 $ (35 ) $ 1,853 Held-to-maturity securities Agency - Commercial $ 526 $ — $ (9 ) $ 517 Agency - Residential 413 — (6 ) 407 Total held-to-maturity securities (1) $ 939 $ — $ (15 ) $ 924 (1) There were no securities of a single issuer, which are not governmental or government-sponsored, that exceeded 10 percent of stockholders’ equity at December 31, 2018 or December 31, 2017 .
Summary of Unrealized Loss Positions on Investment Securities Available-for-Sale	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 (Dollars in millions) December 31, 2018 Available-for-sale securities Agency - Commercial $ 1,025 74 $ (43 ) $ 1 1 $ — Agency - Residential 647 79 (24 ) 14 5 — Municipal obligations 28 16 (1 ) 1 2 — Corporate debt obligations — — — 7 2 — Held-to-maturity securities Agency - Commercial $ 336 26 $ (13 ) $ — — $ — Agency - Residential 345 60 (9 ) — — — December 31, 2017 Available-for-sale securities Agency - Commercial $ 218 20 $ (7 ) $ 744 41 $ (11 ) Agency - Residential 452 36 (14 ) 263 33 (3 ) Municipal obligations 6 3 — 22 9 — Corporate debt obligations — — — 3 1 — Held-to-maturity securities Agency - Commercial $ 348 25 $ (8 ) $ 99 8 $ (1 ) Agency - Residential 111 16 (3 ) 293 43 (3 )
Summary of Unrealized Loss Positions on Investment Securities Held-to-Maturity	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 (Dollars in millions) December 31, 2018 Available-for-sale securities Agency - Commercial $ 1,025 74 $ (43 ) $ 1 1 $ — Agency - Residential 647 79 (24 ) 14 5 — Municipal obligations 28 16 (1 ) 1 2 — Corporate debt obligations — — — 7 2 — Held-to-maturity securities Agency - Commercial $ 336 26 $ (13 ) $ — — $ — Agency - Residential 345 60 (9 ) — — — December 31, 2017 Available-for-sale securities Agency - Commercial $ 218 20 $ (7 ) $ 744 41 $ (11 ) Agency - Residential 452 36 (14 ) 263 33 (3 ) Municipal obligations 6 3 — 22 9 — Corporate debt obligations — — — 3 1 — Held-to-maturity securities Agency - Commercial $ 348 25 $ (8 ) $ 99 8 $ (1 ) Agency - Residential 111 16 (3 ) 293 43 (3 )
Amortized Cost and Estimated Fair Value of Securities by Contractual Maturity	The following shows the amortized cost and estimated fair value of securities 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 (Dollars in millions) December 31, 2018 Due in one year or less $ 1 $ 1 1.31 % $ — $ — — % Due after one year through five years 60 59 2.51 % 10 10 2.45 % Due after five years through 10 years 59 59 4.41 % 11 11 2.21 % Due after 10 years 2,086 2,023 2.66 % 682 660 2.47 % Total $ 2,206 $ 2,142 $ 703 $ 681

Loans Held-for-Investment (Tabl

Loans Held-for-Investment (Tables)	12 Months Ended
	Dec. 31, 2018
Receivables [Abstract]
Summary of Loans Held-for-Investment and UPB of Loan Sales and Purchases in the Loans Held-for-Investment Portfolio	The following table presents our Loans-held-for-investment: December 31, 2018 December 31, 2017 (Dollars in millions) Consumer loans Residential first mortgage $ 2,999 $ 2,754 Home Equity 731 664 Other 314 25 Total consumer loans 4,044 3,443 Commercial loans Commercial real estate 2,152 1,932 Commercial and industrial 1,433 1,196 Warehouse lending 1,459 1,142 Total commercial loans 5,044 4,270 Total loans held-for-investment $ 9,088 $ 7,713 The following table presents the UPB of our loan sales and purchases in the loans held-for-investment portfolio: For the Year Ended 2018 2017 2016 (Dollars in millions) Loans Sold (1) Performing loans $ 158 $ 102 $ 1,194 Nonperforming loans — 25 110 Total performing and nonperforming loans sold $ 158 $ 127 $ 1,304 Net gain associated with loan sales (2) $ 2 $ 2 $ 12 Loans Purchased Residential first mortgage loans 3 8 175 HELOC — 250 — Other consumer 34 — — Total loans purchased $ 37 $ 258 $ 175 Premium associated with loans purchased $ — $ 9 $ 1 (1) Upon a change in our intent, the loans were transferred to LHFS and subsequently sold. (2) Recorded in net gain on loan sales on Consolidated Statement of Operations.
Changes in ALLL and Method of Evaluation by Class of Loan	We have pledged certain LHFI, LHFS, and loans with government guarantees to collateralize lines of credit and/or borrowings with the FRB of Chicago and the FHLB of Indianapolis. At December 31, 2018 and 2017 , we pledged loans of $6.8 billion and $7.1 billion , respectively. The following table presents changes in ALLL, by class of loan: Residential First Mortgage (1) Home Equity Other Consumer Commercial Real Estate Commercial and Industrial Warehouse Lending Total (Dollars in millions) Year Ended December 31, 2018 Beginning balance ALLL $ 47 $ 22 $ 1 $ 45 $ 19 $ 6 $ 140 Charge-offs (2) (4 ) (2 ) (2 ) — — — (8 ) Recoveries 2 1 1 — — — 4 Provision (benefit) (7 ) (6 ) 3 3 (1 ) — (8 ) Ending balance ALLL $ 38 $ 15 $ 3 $ 48 $ 18 $ 6 $ 128 Year Ended December 31, 2017 Beginning balance ALLL $ 65 $ 24 $ 1 $ 28 $ 17 $ 7 $ 142 Charge-offs (2) (8 ) (3 ) (2 ) (1 ) — — (14 ) Recoveries 1 2 1 1 1 — 6 Provision (benefit) (11 ) (1 ) 1 17 1 (1 ) 6 Ending balance ALLL $ 47 $ 22 $ 1 $ 45 $ 19 $ 6 $ 140 Year Ended December 31, 2016 Beginning balance ALLL $ 116 $ 32 $ 2 $ 18 $ 13 $ 6 $ 187 Charge-offs (2) (29 ) (4 ) (3 ) — — — (36 ) Recoveries 2 — 3 1 — — 6 Provision (benefit) (3) (24 ) (4 ) (1 ) 9 4 1 (15 ) Ending balance ALLL $ 65 $ 24 $ 1 $ 28 $ 17 $ 7 $ 142 (1) Includes allowance and charge-offs related to loans with government guarantees. (2) Includes charge-offs of zero , $1 million and $8 million related to the transfer and subsequent sale of loans during the years ended December 31, 2018 , 2017 and 2016 , respectively. Also includes charge-offs related to loans with government guarantees of $2 million , $4 million , and $14 million during the years ended December 31, 2018 , 2017 and 2016 , respectively. (3) Does not include $7 million for provision for loan losses expense recorded in the Consolidated Statements of Operations to reserve for repossessed loans with government guarantees at December 31, 2016 . The following table sets forth the method of evaluation, by class of loan: Residential First Mortgage (1) Home Equity Other Consumer Commercial Real Estate Commercial and Industrial Warehouse Lending Total (Dollars in millions) December 31, 2018 Loans held-for-investment (2) Individually evaluated $ 32 $ 23 $ — $ — $ — $ — $ 55 Collectively evaluated 2,959 706 314 2,152 1,433 1,459 9,023 Total loans $ 2,991 $ 729 $ 314 $ 2,152 $ 1,433 $ 1,459 $ 9,078 Allowance for loan losses (2) Individually evaluated $ 4 $ 7 $ — $ — $ — $ — $ 11 Collectively evaluated 34 8 3 48 18 6 117 Total allowance for loan losses $ 38 $ 15 $ 3 $ 48 $ 18 $ 6 $ 128 December 31, 2017 Loans held-for-investment (2) Individually evaluated $ 34 $ 27 $ — $ — $ — $ — $ 61 Collectively evaluated 2,712 633 25 1,932 1,196 1,142 7,640 Total loans $ 2,746 $ 660 $ 25 $ 1,932 $ 1,196 $ 1,142 $ 7,701 Allowance for loan losses (2) Individually evaluated $ 6 $ 10 $ — $ — $ — $ — $ 16 Collectively evaluated 41 12 1 45 19 6 124 Total allowance for loan losses $ 47 $ 22 $ 1 $ 45 $ 19 $ 6 $ 140 (1) Includes allowance related to loans with government guarantees. (2) Excludes loans carried under the fair value option.
Aging Analysis of Past Due and Current Loans	The following table sets forth the LHFI aging analysis of past due and current loans (for further information on our policy for past due and impaired loans, see Note 1 - Description of Business, Basis of Presentation, and Summary of Significant Accounting Policies): 30-59 Days Past Due 60-89 Days Past Due 90 Days or Greater Past Due (1) Total Past Due Current Total LHFI (Dollars in millions) December 31, 2018 Consumer loans Residential first mortgage $ 4 $ 2 $ 19 $ 25 $ 2,974 $ 2,999 Home equity 1 — 3 4 727 731 Other — — — — 314 314 Total consumer loans 5 2 22 29 4,015 $ 4,044 Commercial loans Commercial real estate — — — — 2,152 2,152 Commercial and industrial — — — — 1,433 1,433 Warehouse lending — — — — 1,459 1,459 Total commercial loans — — — — 5,044 5,044 Total loans (2) $ 5 $ 2 $ 22 $ 29 $ 9,059 $ 9,088 December 31, 2017 Consumer loans Residential first mortgage $ 2 $ 2 $ 23 $ 27 $ 2,727 $ 2,754 Home equity 1 — 6 7 657 664 Other — — — — 25 25 Total consumer loans 3 2 29 34 3,409 3,443 Commercial loans Commercial real estate — — — — 1,932 1,932 Commercial and industrial — — — — 1,196 1,196 Warehouse lending — — — — 1,142 1,142 Total commercial loans — — — — 4,270 4,270 Total loans (2) $ 3 $ 2 $ 29 $ 34 $ 7,679 $ 7,713 (1) Includes less than 90 days past due performing loans which are deemed nonaccrual. Interest is not being accrued on these loans. (2) Includes $3 million and $4 million of past due loans accounted for under the fair value option at December 31, 2018 and 2017 , respectively.
Summary of TDRs by Type and Performing Status and Newly Modified TDRs	The following table provides a summary of TDRs by type and performing status: TDRs Performing Nonperforming Total (Dollars in millions) December 31, 2018 Consumer loans Residential first mortgage $ 22 $ 8 $ 30 Home equity 22 2 24 Total TDRs (1)(2) $ 44 $ 10 $ 54 December 31, 2017 Consumer loans Residential first mortgage $ 19 $ 12 $ 31 Home Equity 24 4 28 Total TDRs (1)(2) $ 43 $ 16 $ 59 (1) The ALLL on TDR loans totaled $10 million and $13 million at December 31, 2018 and 2017 , respectively. (2) Includes $3 million of TDR loans accounted for under the fair value option at both December 31, 2018 and 2017 . The following table provides a summary of newly modified TDRs: New TDRs Number of Accounts Pre-Modification Unpaid Principal Balance Post-Modification Unpaid Principal Balance (1) Increase (Decrease) in Allowance at Modification (Dollars in millions) Year Ended December 31, 2018 Residential first mortgages 14 $ 3 $ 3 $ — Home equity (2)(3) 17 1 1 — Total TDR loans 31 $ 4 $ 4 $ — Year Ended December 31, 2017 Residential first mortgages 16 $ 4 $ 4 $ — Home equity (2)(3) 82 6 5 (1 ) Total TDR loans 98 $ 10 $ 9 $ (1 ) Year Ended December 31, 2016 Residential first mortgages 23 $ 4 $ 5 $ — Home equity (2)(3) 143 9 8 — Commercial & Industrial 1 2 1 — Total TDR loans 167 $ 15 $ 14 $ — (1) Post-modification balances include past due amounts that are capitalized at modification date. (2) Home equity post-modification UPB reflects write downs. (3) Includes loans carried at fair value option.
Impaired Loans	The following table presents individually evaluated impaired loans and the associated allowance: December 31, 2018 December 31, 2017 Recorded Investment Net Unpaid Principal Balance Related Allowance Recorded Investment Net Unpaid Principal Balance Related Allowance (Dollars in millions) With no related allowance recorded Consumer loans Residential first mortgage $ 13 $ 16 $ — $ 11 $ 12 $ — Home equity 1 4 — — — — Total loans with no related allowance recorded $ 14 $ 20 $ — $ 11 $ 12 $ — With an allowance recorded Consumer loans Residential first mortgage $ 19 $ 20 $ 4 $ 22 $ 22 $ 6 Home equity 22 23 7 24 27 10 Total loans with an allowance recorded $ 41 $ 43 $ 11 $ 46 $ 49 $ 16 Total impaired loans Consumer loans Residential first mortgage $ 32 $ 36 $ 4 $ 33 $ 34 $ 6 Home equity 23 27 7 24 27 10 Total impaired loans $ 55 $ 63 $ 11 $ 57 $ 61 $ 16 The following table presents average impaired loans and the interest income recognized: For the Years Ended December 31, 2018 2017 2016 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 $ 33 $ 1 $ 38 $ 1 $ 52 $ 1 Home equity 25 2 28 1 30 2 Commercial loans Commercial and industrial 2 — — — 2 — Total impaired loans $ 60 $ 3 $ 66 $ 2 $ 84 $ 3
Loan Credit Quality Indicators	December 31, 2018 Pass Watch Special Mention Substandard Total Loans (Dollars in millions) Consumer Loans Residential First Mortgage $ 2,952 $ 28 $ — $ 19 $ 2,999 Home equity 705 23 — 3 731 Other Consumer 314 — — — 314 Total Consumer Loans $ 3,971 $ 51 $ — $ 22 $ 4,044 Commercial Loans Commercial Real Estate $ 2,132 $ 14 $ 5 $ 1 $ 2,152 Commercial and Industrial 1,351 53 29 — 1,433 Warehouse 1,324 120 15 — 1,459 Total Commercial Loans $ 4,807 $ 187 $ 49 $ 1 $ 5,044 December 31, 2017 Pass Watch Special Mention Substandard Total Loans (Dollars in millions) Consumer Loans Residential First Mortgage $ 2,706 $ 23 $ — $ 25 $ 2,754 Home equity 633 25 — 6 664 Other Consumer 25 — — — 25 Total Consumer Loans $ 3,364 $ 48 $ — $ 31 $ 3,443 Commercial Loans Commercial Real Estate $ 1,902 $ 23 $ 7 $ — $ 1,932 Commercial and Industrial 1,135 32 24 5 1,196 Warehouse 1,014 128 — — 1,142 Total Commercial Loans $ 4,051 $ 183 $ 31 $ 5 $ 4,270

Repossessed Assets (Tables)

Repossessed Assets (Tables)	12 Months Ended
	Dec. 31, 2018
Repossessed Assets [Abstract]
Summary of Repossessed Assets	Repossessed assets include the following: December 31, 2018 2017 (Dollars in millions) One-to-four family properties $ 5 $ 5 Commercial properties 2 3 Total repossessed assets $ 7 $ 8
Activity in Repossessed Assets	The following schedule provides the activity for repossessed assets: For the Years Ended December 31, 2018 2017 2016 (Dollars in millions) Beginning balance $ 8 $ 14 $ 17 Additions, net 10 18 19 Disposals (8 ) (14 ) (19 ) Net (write down) gain on disposal (3 ) (9 ) (2 ) Transfers out — (1 ) (1 ) Ending balance $ 7 $ 8 $ 14

Premises and Equipment (Tables)

Premises and Equipment (Tables)	12 Months Ended
	Dec. 31, 2018
Property, Plant and Equipment [Abstract]
Premises and Equipment and Estimated Useful Lives	The following presents our premises and equipment balances and estimated useful lives: Estimated Useful Lives December 31, 2018 2017 (Dollars in millions) Land N/A $ 74 $ 61 Computer hardware and software 3 - 7 years 366 300 Office buildings and improvements 15 - 31.5 years 185 159 Furniture, fixtures and equipment 5 - 7 years 57 63 Leased equipment 3 - 10 years 50 40 Total 732 623 Less accumulated depreciation (342 ) (293 ) Premises and equipment, net $ 390 $ 330
Minimum Contractual Lease Obligations	The following outlines our minimum contractual lease obligations: December 31, 2018 (Dollars in millions) 2019 $ 9 2020 6 2021 4 2022 2 2023 1 Thereafter 3 Total $ 25

Mortgage Servicing Rights (Tabl

Mortgage Servicing Rights (Tables)	12 Months Ended
	Dec. 31, 2018
Transfers and Servicing [Abstract]
Changes in the Fair Value of Residential First Mortgage MSRs	Changes in the fair value of residential first mortgage MSRs were as follows: For the Years Ended December 31, 2018 2017 2016 (Dollars in millions) Balance at beginning of period $ 291 $ 335 $ 296 Additions from loans sold with servicing retained 356 288 228 Reductions from sales (339 ) (310 ) (84 ) Changes in fair value due to (1) : Decrease in MSR value due to pay-offs, pay-downs, and run-off (16 ) (22 ) (62 ) Changes in estimates of fair value (2) (2 ) — (43 ) Fair value of MSRs at end of period $ 290 $ 291 $ 335 (1) Changes in fair value are included within net return (loss) on mortgage servicing rights on the Consolidated Statements of Operations. (2) Represents estimated MSR value change resulting primarily from market-driven changes.
Summary of Adverse Changes to Weighted-Average Assumptions on the Fair Value of Servicing Rights	The following table summarizes the hypothetical effect on the fair value of servicing rights using adverse changes of 10 percent and 20 percent to the weighted-average of certain significant assumptions used in valuing these assets: December 31, 2018 December 31, 2017 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 5.42 % $ 284 $ 280 6.29 % $ 286 $ 282 Constant prepayment rate 9.57 % 278 268 9.93 % 283 277 Weighted average cost to service per loan $ 85.57 286 283 $ 73.00 288 286
Summary of Income and Fees	The following table summarizes income and fees associated with owned mortgage servicing rights: For the Years Ended December 31, 2018 2017 2016 (Dollars in millions) Net return (loss) on mortgage servicing rights Servicing fees, ancillary income and late fees (1) $ 65 $ 60 $ 81 Changes in fair value (18 ) (22 ) (109 ) Gain (loss) on MSR derivatives (2) (5 ) (8 ) — Net transaction costs (6 ) (8 ) 2 Total return (loss) included in net return on mortgage servicing rights $ 36 $ 22 $ (26 ) (1) Servicing fees are recorded on the accrual basis. Ancillary income and late fees are recorded on a cash basis. (2) 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 for others: For the Years Ended December 31, 2018 2017 2016 (Dollars in millions) Loan administration income on mortgage loans subserviced Servicing fees, ancillary income and late fees (1) $ 54 $ 35 $ 29 Other servicing charges (31 ) (14 ) (11 ) Total income on mortgage loans subserviced, included in loan administration $ 23 $ 21 $ 18 (1) Servicing fees are recorded on the accrual basis. Ancillary income and late fees are recorded on cash basis.

Derivative Financial Instrume_2

Derivative Financial Instruments (Tables)	12 Months Ended
	Dec. 31, 2018
Derivative Instruments and Hedging Activities Disclosure [Abstract]
Notional Amount, Estimated Fair Value and Maturity of Derivative Financial Instruments and Net Gain (Loss) Recognized on Designated Instruments	The following tables present the notional amount, estimated fair value and maturity of our derivative financial instruments: December 31, 2018 (1) Notional Amount Fair Value (2) Expiration Dates (Dollars in millions) Derivatives in fair value hedge relationships: Assets Interest rate swaps on CDs $ 20 $ — 2019 Liabilities Interest rate swaps on CDs $ 10 $ — 2019 Derivatives not designated as hedging instruments: Assets Futures $ 248 $ — 2019-2023 Mortgage-backed securities forwards 362 4 2019 Rate lock commitments 2,221 20 2019 Interest rate swaps and swaptions 1,662 23 2019-2049 Total derivative assets $ 4,493 $ 47 Liabilities Futures $ 1,513 $ 1 2019-2023 Mortgage-backed securities forwards 4,625 31 2019 Rate lock commitments 45 — 2019 Interest rate swaps 755 7 2019-2028 Total derivative liabilities $ 6,938 $ 39 (1) Variation margin pledged to or received from a Central Counterparty Clearing House to cover the prior days fair value of open positions, is considered settlement of the derivative position for accounting purposes. (2) Derivative assets and liabilities are included in other assets and other liabilities on the Consolidated Statements of Financial Condition, respectively. December 31, 2017 (1) Notional Amount Fair Value (2) Expiration Dates (Dollars in millions) Derivatives in cash flow hedge relationships: Liabilities Interest rate swaps on FHLB advances $ 830 $ 1 2023-2026 Derivatives not designated as hedging instruments: Assets Futures $ 1,597 $ — 2018-2022 Mortgage-backed securities forwards 2,646 4 2018 Rate lock commitments 3,629 24 2018 Interest rate swaps and swaptions 1,441 11 2018-2048 Total derivative assets $ 9,313 $ 39 Liabilities Futures $ 209 $ — 2018-2021 Mortgage-backed securities forwards 3,197 6 2018 Rate lock commitments 214 — 2018 Interest rate swaps 617 4 2018-2027 Total derivative liabilities $ 4,237 $ 10 (1) Variation margin pledged to or received from a Central Counterparty Clearing House to cover the prior days fair value of open positions, is considered settlement of the derivative position for accounting purposes. (2) Derivative assets and liabilities are included in other assets and other liabilities on the Consolidated Statements of Financial Condition, respectively. The following table presents the net gain recognized on designated instruments, net of the impact of offsetting positions: Amount Recorded in Net Interest Income (1) For the Years Ended December 31, 2018 (2) 2017 (Dollars in millions) Gain on cash flow hedging relationships in interest contracts Amount of gain reclassified from AOCI into income $ 30 $ 5 Total gain on hedges $ 30 $ 5 (1) The gain/(loss) on fair value hedging relationships in interest contracts for the years ending December 31, 2018 was de minimis and zero at December 31, 2017 . (2) Includes $29 million of hedging gains reclassified into net interest income in conjunction with the payment of long-term FHLB advances.
Derivatives Subject to a Master Netting Arrangement	The following tables present the derivatives subject to a master netting arrangement, including the cash pledged as collateral: Gross Amounts Netted in the Statement of Financial Position Net Amount Presented in the Statement of Financial Position Gross Amounts Not Offset in the Statement of Financial Position Gross Amount Financial Instruments Cash Collateral (Dollars in millions) December 31, 2018 Derivatives not designated as hedging instruments: Assets Mortgage-backed securities forwards $ 4 $ — $ 4 $ — $ — Interest rate swaps and swaptions (1) 23 — 23 — 14 Total derivative assets $ 27 $ — $ 27 $ — $ 14 Liabilities Futures $ 1 $ — $ 1 $ — $ 1 Mortgage-backed securities forwards 31 — 31 — 29 Interest rate swaps (1) 7 — 7 — 23 Total derivative liabilities $ 39 $ — $ 39 $ — $ 53 December 31, 2017 Derivatives designated as hedging instruments: Liabilities Interest rate swaps on FHLB advances (1) $ 1 $ — $ 1 $ — $ 17 Derivatives not designated as hedging instruments: Assets Mortgage-backed securities forwards $ 4 $ — $ 4 $ — $ 8 Interest rate swaps and swaptions (1) 11 — 11 — 10 Total derivative assets $ 15 $ — $ 15 $ — $ 18 Liabilities Futures $ — $ — $ — $ — $ 2 Mortgage-backed securities forwards 6 — 6 — 2 Interest rate swaps (1) 4 — 4 — 5 Total derivative liabilities $ 10 $ — $ 10 $ — $ 9 (1) Variation margin pledged to or received from a Central Counterparty Clearing House to cover the prior days fair value of open positions, is considered settlement of the derivative position for accounting purposes.
Net Gain (Loss) Recognized in Income on Derivative Instruments	The following table presents the net gain/(loss) recognized in income on derivative instruments, net of the impact of offsetting positions: For the Years Ended December 31, 2018 2017 2016 (Dollars in millions) Derivatives not designated as hedging instruments: Location of Gain/(Loss) Futures Net return (loss) on mortgage servicing rights $ (4 ) $ (1 ) $ — Interest rate swaps and swaptions Net return (loss) on mortgage servicing rights 1 (11 ) (5 ) Mortgage-backed securities forwards Net return (loss) on mortgage servicing rights (2 ) 4 5 Rate lock commitments and forward agency and loan sales Net gain (loss) on loan sales (31 ) (34 ) 26 Forward commitments Other noninterest income — — (2 ) Interest rate swaps (1) Other noninterest income 3 2 4 Total derivative (loss) gain $ (33 ) $ (40 ) $ 28 (1) Includes customer-initiated commercial interest rate swaps.

Deposit Accounts (Tables)

Deposit Accounts (Tables)	12 Months Ended
	Dec. 31, 2018
Deposits [Abstract]
Summary of Deposit Accounts	The deposit accounts are as follows: December 31, 2018 2017 (Dollars in millions) Retail deposits Branch retail deposits Demand deposit accounts $ 1,297 $ 560 Savings accounts 2,812 3,295 Money market demand accounts 628 91 Certificates of deposit/CDARS 2,387 1,494 Total branch retail deposits 7,124 5,440 Commercial deposits (1) Demand deposit accounts 1,243 697 Savings accounts 314 258 Money market demand accounts 173 102 Total commercial retail deposits 1,730 1,057 Total retail deposits 8,854 6,497 Government deposits Demand deposit accounts 326 251 Savings accounts 567 446 Certificates of deposit/CDARS 309 376 Total government deposits (2) 1,202 1,073 Wholesale deposits 583 43 Custodial deposits (3) 1,741 1,321 Total deposits $ 12,380 $ 8,934 (1) Includes deposits from commercial and business banking customers. (2) Government deposits include funds from municipalities and schools. (3) These accounts represent a portion of the investor custodial accounts and escrows controlled by us in connection with loans serviced or subserviced for others and that have been placed on deposit with the Bank.
Scheduled Maturities for Certificates of Deposit	The following indicates the scheduled maturities for certificates of deposit with a minimum denomination of $250,000 : December 31, 2018 2017 (Dollars in millions) Three months or less $ 251 $ 159 Over three months to six months 165 128 Over six months to twelve months 229 173 One to two years 139 167 Thereafter 33 31 Total $ 817 $ 658

Borrowings (Tables)

Borrowings (Tables)	12 Months Ended
	Dec. 31, 2018
Debt Disclosure [Abstract]
Breakdown of FHLB Advances and Other Borrowings Outstanding	The following is a breakdown of our FHLB advances and other borrowings outstanding: December 31, 2018 December 31, 2017 Amount Rate Amount Rate (Dollars in millions) Short-term fixed rate term advances $ 2,993 2.52 % $ 4,260 1.40 % Other short-term borrowings 251 2.87 % — — % Total short-term Federal Home Loan Bank advances and other borrowings 3,244 4,260 Long-term LIBOR adjustable advances — — % 1,130 1.76 % Long-term fixed rate advances (1) 150 1.53 % 275 1.41 % Total long-term Federal Home Loan Bank advances 150 1,405 Total Federal Home Loan Bank advances and other borrowings $ 3,394 $ 5,665 (1) Includes the current portion of fixed rate advances of $50 million and $125 million at December 31, 2018 and December 31, 2017 , respectively.
Detailed Information on FHLB Advances and Other Borrowings	The following table contains detailed information on our FHLB advances and other borrowings: For the Years Ended December 31, 2018 2017 2016 (Dollars in millions) Maximum outstanding at any month end $ 5,740 $ 5,665 $ 3,557 Average outstanding balance 4,713 4,590 2,833 Average remaining borrowing capacity 2,089 1,195 1,137 Weighted average interest rate 1.96 % 1.30 % 1.16 %
Maturity Dates of FHLB Advances and Other Borrowings	The following table outlines the maturity dates of our FHLB advances and other borrowings: December 31, 2018 (Dollars in millions) 2019 $ 3,294 2020 — 2021 — 2022 — Thereafter 100 Total $ 3,394
Summary of Long-Term Debt, Net of Debt Issuance Costs	The following table presents long-term debt, net of debt issuance costs: December 31, 2018 December 31, 2017 Amount Interest Rate Amount Interest Rate (Dollars in millions) Senior Notes Senior notes, matures 2021 $ 248 6.125 % $ 247 6.125 % Trust Preferred Securities Floating Three Month LIBOR Plus: Plus 3.25%, matures 2032 $ 26 6.07 % $ 26 4.92 % Plus 3.25%, matures 2033 26 5.69 % 26 4.61 % Plus 3.25%, matures 2033 26 6.05 % 26 4.94 % Plus 2.00%, matures 2035 26 4.44 % 26 3.36 % Plus 2.00%, matures 2035 26 4.44 % 26 3.36 % Plus 1.75%, matures 2035 51 4.54 % 51 3.34 % Plus 1.50%, matures 2035 25 3.94 % 25 2.86 % Plus 1.45%, matures 2037 25 4.24 % 25 3.04 % Plus 2.50%, matures 2037 16 5.29 % 16 4.09 % Total Trust Preferred Securities 247 247 Total other long-term debt $ 495 $ 494

Accumulated Other Comprehensi_2

Accumulated Other Comprehensive Income (Loss) (Tables)	12 Months Ended
	Dec. 31, 2018
Equity [Abstract]
Components in Accumulated Other Comprehensive Income (Loss)	The following table sets forth the components in accumulated other comprehensive income (loss): For the Years Ended December 31, 2018 2017 2016 (Dollars in millions) Investment Securities Beginning balance $ (18 ) $ (8 ) $ 5 Unrealized loss (30 ) (19 ) (10 ) Less: Tax benefit (7 ) (7 ) (3 ) Net unrealized loss (23 ) (12 ) (7 ) Reclassifications out of AOCI (1) (1 ) 3 (9 ) Less: Tax (benefit) provision — 1 (3 ) Net unrealized gain (loss) reclassified out of AOCI (1 ) 2 (6 ) Reclassification of certain income tax effects (2) (5 ) — — Other comprehensive loss, net of tax (29 ) (10 ) (13 ) Ending balance $ (47 ) $ (18 ) $ (8 ) Cash Flow Hedges Beginning balance $ 2 $ 1 $ (3 ) Unrealized gain (loss) 27 5 (13 ) Less: Tax (benefit) provision 7 1 (5 ) Net unrealized gain (loss) 20 4 (8 ) Reclassifications out of AOCI (1) (3) (30 ) (5 ) 19 Less: Tax (benefit) provision (8 ) (2 ) 7 Net unrealized gain (loss) reclassified out of AOCI (22 ) (3 ) 12 Other comprehensive income/(loss), net of tax (2 ) 1 4 Ending balance $ — $ 2 $ 1 (1) Reclassifications are reported in other noninterest income in the Consolidated Statement of Operations. (2) Income tax effects of the Tax Cuts and Jobs Act are reclassified from AOCI to retained earnings due to early adoption of ASU 2018-02. (3) The year ended December 31, 2018 , includes $29 million of hedging gains reclassified from AOCI to net interest income in conjunction with the payment of long-term FHLB advances.

Earnings Per Share (Tables)

Earnings Per Share (Tables)	12 Months Ended
	Dec. 31, 2018
Earnings Per Share [Abstract]
Computation of Basic and Diluted Earnings Per Share of Common Stock	The following table sets forth the computation of basic and diluted earnings per share of common stock: For the Years Ended December 31, 2018 2017 2016 (In millions, except share data) Net income $ 187 $ 63 $ 171 Deferred cumulative preferred stock dividends — — (18 ) Net income applicable to common stockholders $ 187 $ 63 $ 153 Weighted Average Shares Weighted average common shares outstanding 57,520,289 57,093,868 56,569,307 Effect of dilutive securities May Investor Warrants — 12,287 138,314 Stock-based awards 802,661 1,072,188 890,046 Weighted average diluted common shares 58,322,950 58,178,343 57,597,667 Earnings per common share Basic earnings per common share $ 3.26 $ 1.11 $ 2.71 Effect of dilutive securities May Investor Warrants — — (0.01 ) Stock-based awards (0.05 ) (0.02 ) (0.04 ) Diluted earnings per common share $ 3.21 $ 1.09 $ 2.66

Stock-Based Compensation (Table

Stock-Based Compensation (Tables)	12 Months Ended
	Dec. 31, 2018
Disclosure of Compensation Related Costs, Share-based Payments [Abstract]
Summary of Stock Option Activity	The following table summarizes stock option activity: For the Years Ended December 31, 2018 (1) 2017 2016 Number of Shares Weighted Average Exercise Price Number of Shares Weighted Average Exercise Price Number of Shares Weighted Average Exercise Price Options outstanding, beginning of year 40,718 $ 80.00 45,791 $ 80.00 53,284 $ 80.00 Options canceled, forfeited and expired (4,625 ) 80.00 (5,073 ) 80.00 (7,493 ) 80.00 Options outstanding, end of year 36,093 $ 80.00 40,718 $ 80.00 45,791 $ 80.00 Options vested or expected to vest, end of year 36,093 $ 80.00 40,718 $ 80.00 45,791 $ 80.00 Options exercisable, end of year 17,991 $ 80.00 20,286 $ 80.00 23,576 $ 80.00 (1) All outstanding options at December 31, 2018 are vested or expected to vest and have a weighted average remaining contractual life of 1.1 years .
Summary of Restricted Stock Activity	The following table summarizes restricted stock activity: For the Years Ended December 31, 2018 2017 2016 Number of Shares Weighted Average Grant-Date Fair Value per Share Number of Shares Weighted Average Grant-Date Fair Value per Share Number of Shares Weighted Average Grant-Date Fair Value per Share Restricted Stock and Restricted Stock Units Non-vested balance at beginning of period 1,290,450 $ 20.52 1,461,910 $ 17.68 1,299,985 $ 16.36 Granted 875,352 34.32 357,058 28.06 310,209 22.97 Vested (401,379 ) 23.04 (385,454 ) 17.36 (134,767 ) 15.78 Canceled and forfeited (143,855 ) 21.46 (143,064 ) 18.89 (13,517 ) 17.24 Non-vested balance at end of period 1,620,568 $ 27.27 1,290,450 $ 20.52 1,461,910 $ 17.68

Income Taxes (Tables)

Income Taxes (Tables) - Federal	12 Months Ended
	Dec. 31, 2018
Schedule of Income Tax Disclosure
Components of the Provision (Benefit) for Income Taxes	Components of the provision for income taxes consist of the following: For the Years Ended December 31, 2018 2017 2016 (Dollars in millions) Current Federal $ — $ 2 $ 4 State 1 — — Total current income tax expense 1 2 4 Deferred Federal 47 66 84 Federal impact of tax reform — 80 — State (3 ) — (1 ) Total deferred income tax expense 44 146 83 Total income tax expense $ 45 $ 148 $ 87
Summary of Differences Between the Effective Tax Rate and the Statutory Federal Tax Rate	Our effective tax rate differs from the statutory federal tax rate. The following is a summary of such differences: For the Years Ended December 31, 2018 2017 2016 (Dollars in millions) Provision at statutory federal income tax rate (1) $ 49 $ 74 $ 90 Increases (decreases) resulting from: Non-deductible compensation 2 — — Bank Owned Life Insurance (2 ) (3 ) (3 ) State income tax benefit, net of federal income tax effect (includes valuation allowance) (2 ) — (1 ) Restricted stock compensation (1 ) (2 ) — Tax Reform — 80 — Warrant expense (income) — — 1 Other (1 ) (1 ) — Provision for income taxes $ 45 $ 148 $ 87 Effective tax provision rate 19.4 % 70.1 % 33.7 % (1) The statutory federal income tax rate was 21 percent for the year ended December 31, 2018 and 35 percent for both the years ended December 31, 2017 and 2016 .
Temporary Differences and Carryforwards Giving Rise to DTAs and Liabilities	Temporary differences and carry forwards that give rise to DTAs and liabilities are comprised of the following: December 31, 2018 2017 (Dollars in millions) Deferred tax assets Net operating loss carryforwards (Federal and State) $ 58 $ 110 Allowance for loan losses 40 43 Litigation settlement 14 14 Accrued compensation 10 10 General business credits 7 3 Contingent consideration 3 6 Mortgage loan servicing rights 3 — Representation and warranty reserves 2 3 Loan deferred fees and costs 1 2 Non-accrual interest revenue 1 1 Deferred interest 1 1 Other 3 2 Total 143 195 Valuation allowance (14 ) (20 ) Total net 129 175 Deferred tax liabilities Mark-to-market adjustments (11 ) (10 ) Premises and equipment (8 ) (14 ) Commercial lease financing (4 ) (9 ) State and local taxes (3 ) (3 ) Mortgage loan servicing rights — (3 ) Total (26 ) (39 ) Net deferred tax asset $ 103 $ 136

Regulatory Capital (Tables)

Regulatory Capital (Tables)	12 Months Ended
	Dec. 31, 2018
Banking and Thrift [Abstract]
Regulatory Capital Ratios	The following tables present the regulatory capital ratios as of the dates indicated: Flagstar Bancorp Actual For Capital Adequacy Purposes Well-Capitalized Under Prompt Corrective Action Provisions Amount Ratio Amount Ratio Amount Ratio (Dollars in millions) December 31, 2018 Tangible capital (to adjusted avg. total assets) $ 1,505 8.29 % N/A N/A N/A N/A Tier 1 capital (to adjusted avg. total assets) 1,505 8.29 % $ 726 4.0 % $ 908 5.0 % Common equity Tier 1 capital (to RWA) 1,265 10.54 % 540 4.5 % 780 6.5 % Tier 1 capital (to RWA) 1,505 12.54 % 720 6.0 % 960 8.0 % Total capital (to RWA) 1,637 13.63 % 960 8.0 % 1,201 10.0 % December 31, 2017 Tangible capital (to adjusted avg. total assets) $ 1,442 8.51 % N/A N/A N/A N/A Tier 1 capital (to adjusted avg. total assets) 1,442 8.51 % $ 678 4.0 % $ 848 5.0 % Common equity Tier 1 capital (to RWA) 1,216 11.50 % 476 4.5 % 688 6.5 % Tier 1 capital (to RWA) 1,442 13.63 % 635 6.0 % 846 8.0 % Total capital (to RWA) 1,576 14.90 % 846 8.0 % 1,058 10.0 % N/A - Not applicable. Flagstar Bank Actual For Capital Adequacy Purposes Well-Capitalized Under Prompt Corrective Action Provisions Amount Ratio Amount Ratio Amount Ratio (Dollars in millions) December 31, 2018 Tangible capital (to adjusted avg. total assets) $ 1,574 8.67 % N/A N/A N/A N/A Tier 1 capital (to adjusted avg. total assets) 1,574 8.67 % $ 726 4.0 % $ 908 5.0 % Common equity Tier 1 capital (to RWA) 1,574 13.12 % 540 4.5 % 780 6.5 % Tier 1 capital (to RWA) 1,574 13.12 % 720 6.0 % 960 8.0 % Total capital (to RWA) 1,705 14.21 % 960 8.0 % 1,200 10.0 % December 31, 2017 Tangible capital (to adjusted avg. total assets) $ 1,531 9.04 % N/A N/A N/A N/A Tier 1 capital (to adjusted avg. total assets) 1,531 9.04 % $ 677 4.0 % $ 847 5.0 % Common equity Tier 1 capital (to RWA) 1,531 14.46 % 476 4.5 % 688 6.5 % Tier 1 capital (to RWA) 1,531 14.46 % 635 6.0 % 847 8.0 % Total capital (to RWA) 1,664 15.72 % 847 8.0 % 1,059 10.0 % N/A - Not applicable.

Legal Proceedings, Contingenc_2

Legal Proceedings, Contingencies and Commitments (Tables)	12 Months Ended
	Dec. 31, 2018
Commitments and Contingencies Disclosure [Abstract]
Summary of the Contractual Amount of Significant Commitments	The following table is a summary of the contractual amount of significant commitments: December 31, 2018 2017 (Dollars in millions) Commitments to extend credit Mortgage loan interest-rate lock commitments $ 2,293 $ 3,667 Warehouse loan commitments 2,334 1,618 Commercial and industrial commitments 918 695 Other commercial commitments 1,260 1,021 HELOC commitments 429 283 Other consumer commitments 108 15 Standby and commercial letters of credit 63 50

Fair Value Measurements (Tables

Fair Value Measurements (Tables)	12 Months Ended
	Dec. 31, 2018
Fair Value Disclosures [Abstract]
Financial Instruments Carried at Fair Value	The following tables present the financial instruments carried at fair value by caption on the Consolidated Statements of Financial Condition and by level in the valuation hierarchy: December 31, 2018 Level 1 Level 2 Level 3 Total Fair Value (Dollars in millions) Investment securities available-for-sale Agency - Commercial $ — $ 1,374 $ — $ 1,374 Agency - Residential — 662 — 662 Municipal obligations — 32 — 32 Corporate debt obligations — 42 — 42 Other MBS — 32 — 32 Loans held-for-sale Residential first mortgage loans — 3,732 — 3,732 Loans held-for-investment Residential first mortgage loans — 8 — 8 Home equity — — 2 2 Mortgage servicing rights — — 290 290 Derivative assets Rate lock commitments (fallout-adjusted) — — 20 20 Mortgage-backed securities forwards — 4 — 4 Interest rate swaps and swaptions — 23 — 23 Total assets at fair value $ — $ 5,909 $ 312 $ 6,221 Derivative liabilities Futures $ — $ (1 ) $ — $ (1 ) Mortgage-backed securities forwards — (31 ) — (31 ) Interest rate swaps — (7 ) — (7 ) DOJ litigation settlement — — (60 ) (60 ) Contingent consideration — — (6 ) (6 ) Total liabilities at fair value $ — $ (39 ) $ (66 ) $ (105 ) December 31, 2017 Level 1 Level 2 Level 3 Total Fair Value (Dollars in millions) Investment securities available-for-sale Agency - Commercial $ — $ 987 $ — $ 987 Agency - Residential — 794 — 794 Municipal obligations — 34 — 34 Corporate debt obligations — 38 — 38 Loans held-for-sale Residential first mortgage loans — 4,300 — 4,300 Loans held-for-investment Residential first mortgage loans — 8 — 8 Home equity — — 4 4 Mortgage servicing rights — — 291 291 Derivative assets Rate lock commitments (fallout-adjusted) — — 24 24 Mortgage-backed securities forwards — 4 — 4 Interest rate swaps and swaptions — 11 — 11 Total assets at fair value $ — $ 6,176 $ 319 $ 6,495 Derivative liabilities Interest rate swap on FHLB advances $ — $ (1 ) $ — $ (1 ) Mortgage-backed securities forwards — (6 ) — (6 ) Interest rate swaps — (4 ) — (4 ) DOJ litigation settlement — — (60 ) (60 ) Contingent consideration — — (25 ) (25 ) Total liabilities at fair value $ — $ (11 ) $ (85 ) $ (96 )
Roll Forward of Financial Instruments	The following tables include a roll forward of the Consolidated Statements of Financial Condition amounts (including the change in fair value) for financial instruments classified by us within Level 3 of the valuation hierarchy: Balance at Total Gains / Purchases / Originations Sales Settlement Transfers In (Out) Balance at End of Year (Dollars in millions) Year Ended December 31, 2018 Assets Loans held-for-investment Home equity $ 4 $ — $ — $ — $ (2 ) $ — $ 2 Mortgage servicing rights (2) 291 (18 ) 356 (339 ) — — 290 Rate lock commitments (net) (2)(3) 24 (34 ) 235 — — (205 ) 20 Totals $ 319 $ (52 ) $ 591 $ (339 ) $ (2 ) $ (205 ) $ 312 Liabilities DOJ litigation settlement $ (60 ) $ — $ — $ — $ — $ — $ (60 ) Contingent consideration (25 ) 13 — — 6 — (6 ) Totals $ (85 ) $ 13 $ — $ — $ 6 $ — $ (66 ) Year Ended December 31, 2017 Assets Loans held-for-sale Home equity $ — $ 1 $ — $ (52 ) $ (1 ) $ 52 $ — Loans held-for-investment Home equity 65 2 — — (8 ) (55 ) 4 Mortgage servicing rights (2) 335 (22 ) 288 (310 ) — — 291 Rate lock commitments (net) (2)(3) 18 54 267 — — (315 ) 24 Totals $ 418 $ 35 $ 555 $ (362 ) $ (9 ) $ (318 ) $ 319 Liabilities DOJ litigation settlement $ (60 ) $ — $ — $ — $ — $ — $ (60 ) Contingent consideration — (1 ) (25 ) — 1 — (25 ) Totals $ (60 ) $ (1 ) $ (25 ) $ — $ 1 $ — $ (85 ) Year Ended December 31, 2016 Assets Loans held-for-investment Home equity $ 106 $ 5 $ — $ — $ (46 ) $ — $ 65 Mortgage servicing rights (2) 296 (105 ) 228 (84 ) — — 335 Rate lock commitments (net) (2)(3) 26 25 325 — — (358 ) 18 Totals $ 428 $ (75 ) $ 553 $ (84 ) $ (46 ) $ (358 ) $ 418 Liabilities DOJ litigation settlement $ (84 ) $ 24 $ — $ — $ — $ — $ (60 ) (1) There were no unrealized gains/losses recorded in OCI during the years ended December 31, 2018 , 2017 and 2016 . (2) We utilized swaptions, 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 do not reflect the effect of our risk management activities related to such Level 3 instruments. (3) Rate lock commitments are reported on a fallout adjusted basis. Transfers out of Level 3 represent the settlement value of the commitments that are transferred to LHFS, which are classified as Level 2 assets.
Quantitative Information about Recurring Level 3 Fair Value Financial Instruments	The following tables present the quantitative information about recurring Level 3 fair value financial instruments and the fair value measurements as of: Fair Value Valuation Technique Unobservable Input Range (Weighted Average) (Dollars in millions) December 31, 2018 Assets Loans held-for-investment Home equity $ 2 Discounted cash flows Discount rate 7.2% - 10.8% (9.0%) (1) Mortgage servicing rights $ 290 Discounted cash flows Option adjusted spread 2.1% - 25.9% (5.4%) (1) Rate lock commitments (net) $ 20 Consensus pricing Origination pull-through rate 75.0% - 87.2% (76.8%) (1) Liabilities DOJ litigation settlement $ (60 ) Discounted cash flows See description below See description below Contingent consideration $ (6 ) Discounted cash flows Beta 0.6 - 1.6 (1.1) (2) Fair Value Valuation Technique Unobservable Input Range (Weighted Average) (Dollars in millions) December 31, 2017 Assets Loans held-for-investment Home equity $ 4 Discounted cash flows Discount rate 7.2% - 10.8% (9.0%) (1) Mortgage servicing rights $ 291 Discounted cash flows Option adjusted spread 5.0% - 7.5% (6.3%) (1) Rate lock commitments (net) $ 24 Consensus pricing Origination pull-through rate 64.7% - 97.1% (82.0%) (1) Liabilities DOJ litigation settlement $ (60 ) Discounted cash flows See description below See description below Contingent consideration $ (25 ) Discounted cash flows Beta 0.6 - 1.6 (1.1) (2) (1) Unobservable inputs were weighted by their relative fair value of the instruments. (2) Unobservable inputs were not weighted as only one instrument exists.
Assets Measured at Fair Value on a Nonrecurring Basis	The following table presents assets measured at fair value on a nonrecurring basis: Total (1) Level 2 Level 3 Gains/(Losses) (Dollars in millions) December 31, 2018 Loans held-for-sale (2) $ 5 $ 5 $ — $ (1 ) Impaired loans held-for-investment (2) Residential first mortgage loans 12 — 12 (4 ) Repossessed assets (3) 7 7 (3 ) Totals $ 24 $ 5 $ 19 $ (8 ) December 31, 2017 Loans held-for-sale (2) $ 6 $ 6 $ — $ (1 ) Impaired loans held-for-investment (2) Residential first mortgage loans 21 — 21 (10 ) Repossessed assets (3) 8 — 8 (4 ) Totals $ 35 $ 6 $ 29 $ (15 ) (1) The fair values are determined at various dates during the years ended December 31, 2018 and 2017 , respectively. (2) Gains/(losses) reflect fair value adjustments on assets for which we did not elect the fair value option. (3) Gains/(losses) reflect write downs of repossessed assets based on the estimated fair value of the specific assets
Quantitative Information about Nonrecurring Level 3 Fair Value Financial Instruments	The following tables present the quantitative information about nonrecurring Level 3 fair value financial instruments and the fair value measurements: Fair Value Valuation Technique Unobservable Input Range (Weighted Average) (Dollars in millions) December 31, 2018 Impaired loans held-for-investment Residential first mortgage loans $ 12 Fair value of collateral Loss severity discount 25% - 30% (28.3%) (1) Repossessed assets $ 7 Fair value of collateral Loss severity discount 0% - 100% (25.8%) (1) December 31, 2017 Impaired loans held-for-investment Residential first mortgage loans $ 21 Fair value of collateral Loss severity discount 25% - 30% (27.9%) (1) Repossessed assets $ 8 Fair value of collateral Loss severity discount 0% - 100% (70.9%) (1)
Carrying Amount and Estimated 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: December 31, 2018 Estimated Fair Value Carrying Value Total Level 1 Level 2 Level 3 (Dollars in millions) Assets Cash and cash equivalents $ 408 $ 408 $ 408 $ — $ — Investment securities available-for-sale 2,142 2,142 — 2,142 — Investment securities held-to-maturity 703 681 — 681 — Loans held-for-sale 3,869 3,870 — 3,870 — Loans held-for-investment 9,088 8,966 — 8 8,958 Loans with government guarantees 392 374 — 374 — Mortgage servicing rights 290 290 — — 290 Federal Home Loan Bank stock 303 303 — 303 — Bank owned life insurance 340 340 — 340 — Repossessed assets 7 7 — — 7 Other assets, foreclosure claims 50 50 — 50 — Derivative financial instruments, assets 47 47 — 27 20 Liabilities Retail deposits Demand deposits and savings accounts $ (6,467 ) $ (5,475 ) $ — $ (5,475 ) $ — Certificates of deposit (2,387 ) (2,379 ) — (2,379 ) — Wholesale deposits (583 ) (585 ) — (585 ) — Government deposits (1,202 ) (1,145 ) — (1,145 ) — Custodial deposits (1,741 ) (1,664 ) — (1,664 ) — Federal Home Loan Bank advances (3,394 ) (3,383 ) — (3,383 ) — Long-term debt (495 ) (463 ) — (463 ) — DOJ litigation settlement (60 ) (60 ) — — (60 ) Contingent consideration (6 ) (6 ) — — (6 ) Derivative financial instruments, liabilities (39 ) (39 ) — (39 ) — December 31, 2017 Estimated Fair Value Carrying Value Total Level 1 Level 2 Level 3 (Dollars in millions) Assets Cash and cash equivalents $ 204 $ 204 $ 204 $ — $ — Investment securities available-for-sale 1,853 1,853 — 1,853 — Investment securities held-to-maturity 939 924 — 924 — Loans held-for-sale 4,321 4,322 — 4,322 — Loans held-for-investment 7,713 7,667 — 8 7,659 Loans with government guarantees 271 261 — 261 — Mortgage servicing rights 291 291 — — 291 Federal Home Loan Bank stock 303 303 — 303 — Bank owned life insurance 330 330 — 330 — Repossessed assets 8 8 — — 8 Other assets, foreclosure claims 84 84 — 84 — Derivative financial instruments, assets 39 39 — 15 24 Liabilities Retail deposits Demand deposits and savings accounts $ (5,003 ) $ (4,557 ) $ — $ (4,557 ) $ — Certificates of deposit (1,494 ) (1,498 ) — (1,498 ) — Wholesale deposits (43 ) (43 ) — (43 ) — Government deposits (1,073 ) (1,048 ) — (1,048 ) — Custodial deposits (1,321 ) (1,311 ) — (1,311 ) — Federal Home Loan Bank advances (5,665 ) (5,662 ) — (5,662 ) — Long-term debt (494 ) (417 ) — (417 ) — DOJ litigation settlement (60 ) (60 ) — — (60 ) Contingent consideration (25 ) (25 ) — — (25 ) Derivative financial instruments, liabilities (11 ) (11 ) — (11 ) —
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: For the Years Ended December 31, 2018 2017 2016 (Dollars in millions) Assets Loans held-for-sale Net gain on loan sales $ (29 ) $ 283 $ 269 Loans held-for-investment Other noninterest income — 1 1 Liabilities DOJ litigation settlement Other noninterest income — — 24
Differences Between Aggregate Fair Value and Aggregate Remaining Contractual Principal Balance Outstanding	The following table reflects the difference between the aggregate fair value and aggregate remaining contractual principal balance outstanding for assets and liabilities for which the fair value option has been elected: December 31, 2018 December 31, 2017 Unpaid Principal Balance Fair Value Fair Value Over / (Under) Unpaid Principal Balance Unpaid Principal Balance Fair Value Fair Value Over / (Under) Unpaid Principal Balance (Dollars in millions) Assets Nonaccrual loans Loans held-for-sale $ 6 $ 6 $ — $ 6 $ 5 $ (1 ) Loans held-for-investment 4 3 (1 ) 5 4 (1 ) Total nonaccrual loans 10 9 (1 ) 11 9 (2 ) Other performing loans Loans held-for-sale 3,601 3,726 125 4,167 4,295 128 Loans held-for-investment 8 7 (1 ) 10 8 (2 ) Total other performing loans 3,609 3,733 124 4,177 4,303 126 Total loans Loans held-for-sale 3,607 3,732 125 4,173 4,300 127 Loans held-for-investment 12 10 (2 ) 15 12 (3 ) Total loans $ 3,619 $ 3,742 $ 123 $ 4,188 $ 4,312 $ 124 Liabilities Litigation settlement (1) $ (118 ) $ (60 ) $ 58 $ (118 ) $ (60 ) $ 58 (1) We are obligated to pay $118 million in installment payments upon meeting certain performance conditions, as described in Note 21 - Legal Proceedings, Contingencies and Commitments.

Segment Information (Tables)

Segment Information (Tables)	12 Months Ended
	Dec. 31, 2018
Segment Reporting [Abstract]
Financial Information by Business Segment	The following tables present financial information by business segment for the periods indicated: Year Ended December 31, 2018 Community Banking Mortgage Originations Mortgage Servicing Other (1) Total (Dollars in millions) Summary of Operations Net interest income $ 314 $ 128 $ 7 $ 48 $ 497 Net gain (loss) on loan sales (12 ) 212 — — 200 Other noninterest income 40 101 94 4 239 Total net interest income and noninterest income 342 441 101 52 936 (Provision) benefit for loan losses (2 ) (2 ) — 12 8 Compensation and benefits (70 ) (105 ) (19 ) (124 ) (318 ) Other noninterest expense and directly allocated overhead (110 ) (161 ) (70 ) (53 ) (394 ) Total noninterest expense (180 ) (266 ) (89 ) (177 ) (712 ) Income (loss) before overhead allocations and income taxes 160 173 12 (113 ) 232 Overhead allocation (39 ) (68 ) (20 ) 127 — (Provision) benefit for income taxes (25 ) (22 ) 2 — (45 ) Net income (loss) $ 96 $ 83 $ (6 ) $ 14 $ 187 Intersegment (expense) revenue $ 1 $ 10 $ 19 $ (30 ) $ — Average balances Loans held-for-sale $ 24 $ 4,172 $ — $ — $ 4,196 Loans with government guarantees — 303 — — 303 Loans held-for-investment (2) 8,417 9 — 29 8,455 Total assets 8,615 5,406 34 3,925 17,980 Deposits 8,892 — 1,883 — 10,775 (1) Includes offsetting adjustments made to reclassify income and expenses relating to operating leases and custodial deposits for subservicing clients. (2) Includes adjustment made to reclassify operating lease assets to loans held-for-investment. Year Ended December 31, 2017 Community Banking Mortgage Originations Mortgage Servicing Other (1) Total (Dollars in millions) Summary of Operations Net interest income $ 238 $ 129 $ 11 $ 12 $ 390 Net gain (loss) on loan sales (10 ) 278 — — 268 Other noninterest income 31 92 66 13 202 Total net interest income and noninterest income 259 499 77 25 860 (Provision) benefit for loan losses (4 ) (4 ) — 2 (6 ) Compensation and benefits (62 ) (100 ) (16 ) (121 ) (299 ) Other noninterest expense and directly allocated overhead (92 ) (163 ) (61 ) (28 ) (344 ) Total noninterest expense (154 ) (263 ) (77 ) (149 ) (643 ) Income (loss) before overhead allocations and income taxes 101 232 — (122 ) 211 Overhead allocation (41 ) (63 ) (23 ) 127 — (Provision) benefit for income taxes (21 ) (59 ) 8 (76 ) (148 ) Net income (loss) $ 39 $ 110 $ (15 ) $ (71 ) $ 63 Intersegment (expense) revenue $ (6 ) $ 4 $ 19 $ (17 ) $ — Average balances Loans held-for-sale $ 16 $ 4,130 $ — $ — $ 4,146 Loans with government guarantees — 290 — — 290 Loans held-for-investment (2) 6,475 7 — 29 6,511 Total assets 6,544 5,414 36 3,852 15,846 Deposits 7,454 — 1,453 — 8,907 (1) Includes offsetting adjustments made to reclassify income and expenses relating to operating leases and custodial deposits for subservicing clients. (2) Includes adjustment made to reclassify operating lease assets to loans held-for-investment. Year Ended December 31, 2016 Community Banking Mortgage Originations Mortgage Servicing Other (1) Total (Dollars in millions) Summary of Operations Net interest income $ 206 $ 90 $ 21 $ 6 $ 323 Net gain on loan sales 6 310 — — 316 Other noninterest income 28 43 60 40 171 Total net interest income and noninterest income 240 443 81 46 810 (Provision) benefit for loan losses 10 (2 ) — — 8 Compensation and benefits (56 ) (81 ) (15 ) (117 ) (269 ) Other noninterest expense and directly allocated overhead (89 ) (123 ) (63 ) (16 ) (291 ) Total noninterest expense (145 ) (204 ) (78 ) (133 ) (560 ) Income (loss) before overhead allocations and income taxes 105 237 3 (87 ) 258 Overhead allocation (35 ) (54 ) (23 ) 112 — (Provision) benefit for income taxes (24 ) (64 ) 7 (6 ) (87 ) Net income (loss) $ 46 $ 119 $ (13 ) $ 19 $ 171 Intersegment (expense) revenue $ (3 ) $ (1 ) $ 23 $ (19 ) $ — Average balances Loans held-for-sale $ 66 $ 3,068 $ — $ — $ 3,134 Loans with government guarantees — 435 — — 435 Loans held-for-investment (2) 5,809 6 — — 5,815 Total assets 5,906 4,435 28 3,538 13,907 Deposits 7,151 — 1,611 — 8,762 (1) Includes offsetting adjustments made to reclassify income and expenses relating to operating leases and custodial deposits for subservicing clients. (2) Includes adjustment made to reclassify operating lease assets to loans held-for-investment.

Holding Company Only Financia_2

Holding Company Only Financial Statements (Tables) - Parent Company	12 Months Ended
	Dec. 31, 2018
Condensed Financial Statements, Captions
Schedule of Condensed Unconsolidated Statements of Financial Condition	Flagstar Bancorp, Inc. Condensed Unconsolidated Statements of Financial Condition (Dollars in millions) December 31, 2018 2017 (Dollars in millions) Assets Cash and cash equivalents $ 201 $ 196 Investment in subsidiaries (1) 1,836 1,676 Other assets 52 44 Total assets $ 2,089 $ 1,916 Liabilities and Stockholders’ Equity Liabilities Long term debt $ 495 $ 494 Other liabilities 24 23 Total liabilities 519 517 Stockholders’ Equity Common stock 1 1 Additional paid in capital 1,522 1,512 Accumulated other comprehensive loss (47 ) (17 ) Retained earnings/(accumulated deficit) 94 (97 ) Total stockholders’ equity 1,570 1,399 Total liabilities and stockholders’ equity $ 2,089 $ 1,916 (1) Includes unconsolidated trusts of $7 million for December 31, 2018 and 2017 .
Schedule of Condensed Unconsolidated Statements of Operations	Flagstar Bancorp, Inc. Condensed Unconsolidated Statements of Operations (Dollars in millions) For the Years Ended December 31, 2018 2017 2016 (Dollars in millions) Income Interest $ 1 $ — $ — Total 1 — — Expenses Interest $ 27 $ 25 $ 16 General and administrative 7 9 9 Total 34 34 25 Loss before undistributed income of subsidiaries (33 ) (34 ) (25 ) Equity in undistributed income of subsidiaries 212 110 188 Income before income taxes 179 76 163 Provision (benefit) for income taxes (8 ) 13 (8 ) Net income 187 63 171 Other comprehensive loss (1) (31 ) (9 ) (9 ) Comprehensive income $ 156 $ 54 $ 162 (1) See Consolidated Statements of Comprehensive Income for other comprehensive income (loss) detail.
Schedule of Condensed Unconsolidated Statements of Cash Flows	Flagstar Bancorp, Inc. Condensed Unconsolidated Statements of Cash Flows (Dollars in millions) For the Years Ended December 31, 2018 2017 2016 (Dollars in millions) Net income $ 187 $ 63 $ 171 Adjustments to reconcile net loss to net cash provided by operating activities Equity in (income) loss of subsidiaries (177 ) 47 12 Stock-based compensation 10 5 10 Change in other assets 8 18 (8 ) Change in other liabilities 2 (2 ) (22 ) Change in fair value and other non-cash changes (25 ) (5 ) (4 ) Net cash used in operating activities 5 126 159 Investing Activities Net cash provided by (used in) investment activities — — — Financing Activities Proceeds from the issuance of senior notes — — 245 Redemption of preferred stock — — (267 ) Dividends paid on preferred stock — — (104 ) Net cash used in financing activities — — (126 ) Net increase in cash and cash equivalents 5 126 33 Cash and cash equivalents, beginning of year 196 70 37 Cash and cash equivalents, end of year $ 201 $ 196 $ 70

Quarterly Financial Data (Una_2

Quarterly Financial Data (Unaudited) (Tables)	12 Months Ended
	Dec. 31, 2018
Quarterly Financial Information Disclosure [Abstract]
Schedule of Quarterly Financial Information	The following table represents summarized data for each of the quarters in 2018 and 2017 : 2018 Fourth Third Second First (Dollars in millions, except per share data) Interest income $ 181 $ 183 $ 167 $ 152 Interest expense 29 59 52 46 Net interest income 152 124 115 106 Provision (benefit) for loan losses (5 ) (2 ) (1 ) — Net interest income after provision for loan losses 157 126 116 106 Net gain on loan sales 34 43 63 60 Loan fees and charges 20 23 24 20 Deposit fees and charges 6 5 5 5 Loan administration income 8 5 5 5 Net return on the mortgage servicing rights 10 13 9 4 Other noninterest income 20 18 17 17 Noninterest expense 189 173 177 173 Income before income tax 66 60 62 44 Provision for income taxes 12 12 12 9 Net income from continuing operations $ 54 $ 48 $ 50 $ 35 Basic income per share $ 0.94 $ 0.84 $ 0.86 $ 0.61 Diluted income per share $ 0.93 $ 0.83 $ 0.85 $ 0.60 2017 Fourth Third Second First (Dollars in millions, except per share data) Interest income $ 148 $ 140 $ 129 $ 110 Interest expense 41 37 32 27 Net interest income 107 103 97 83 Provision (benefit) for loan losses 2 2 (1 ) 3 Net interest income after provision for loan losses 105 101 98 80 Net gain on loan sales 79 75 66 48 Loan fees and charges 24 23 20 15 Deposit fees and charges 4 5 5 4 Loan administration income 5 5 6 5 Net return (loss) on the mortgage servicing rights (4 ) 6 6 14 Other noninterest income 16 16 13 14 Noninterest expense 178 171 154 140 Income before income tax 51 60 60 40 Provision for income taxes 96 20 19 13 Net income from continuing operations $ (45 ) $ 40 $ 41 $ 27 Basic income per share $ (0.79 ) $ 0.71 $ 0.72 $ 0.47 Diluted income per share $ (0.79 ) $ 0.70 $ 0.71 $ 0.46

Description of Business, Basi_4

Description of Business, Basis of Presentation, and Summary of Significant Accounting Policies - Narrative (Details) - USD ($) $ in Millions	3 Months Ended	12 Months Ended
	Mar. 31, 2018	Dec. 31, 2018	Dec. 31, 2017	Dec. 31, 2016	Jan. 01, 2019
Schedule of Trading and Available-for-sale Securities [Line Items]
Loans receivable, minimum number of days past due to be placed on non-accrual status		90 days
Representation and warranty reserve		$ 7	$ 15
Intangible asset amortization		5	0	$ 0
Estimated future aggregate amortization expense on intangible assets:
2,019		15
2,020		13
2,021		11
2,022		9
2,023		7
Advertising expense		26	16	$ 11
Merchant fee income		$ 1	$ 1
Investment securities transferred from HTM to AFS	$ 144
ASU 2016-02 | Forecast | Subsequent Event
Estimated future aggregate amortization expense on intangible assets:
Impact on total assets and liabilities					0.10%
Range (Weighted Average)
Schedule of Trading and Available-for-sale Securities [Line Items]
Estimated useful lives		3 years
Maximum
Schedule of Trading and Available-for-sale Securities [Line Items]
Estimated useful lives		30 years
Computer Hardware and Software | Range (Weighted Average)
Schedule of Trading and Available-for-sale Securities [Line Items]
Estimated useful lives		3 years
Computer Hardware and Software | Maximum
Schedule of Trading and Available-for-sale Securities [Line Items]
Estimated useful lives		7 years
Consumer Loan Secured by Real Estate
Schedule of Trading and Available-for-sale Securities [Line Items]
Loans receivable, excluding real estate loans, minimum number of days past due for charge-off		180 days
Consumer Loan Not Secured by Real Estate
Schedule of Trading and Available-for-sale Securities [Line Items]
Loans receivable, excluding real estate loans, minimum number of days past due for charge-off		120 days

Description of Business, Basi_5

Description of Business, Basis of Presentation, and Summary of Significant Accounting Policies - Disaggregation of Revenue from Contracts with Customers (Details) - Community Banking Segment - USD ($) $ in Millions	12 Months Ended
	Dec. 31, 2018	Dec. 31, 2017
Disaggregation of Revenue [Line Items]
Revenue from contracts with customers	$ 31	$ 26
Deposit fees and charges | Deposit account and other banking income
Disaggregation of Revenue [Line Items]
Revenue from contracts with customers	16	15
Deposit fees and charges | Interchange fees
Disaggregation of Revenue [Line Items]
Revenue from contracts with customers	5	3
Other noninterest income | Interchange fees
Disaggregation of Revenue [Line Items]
Revenue from contracts with customers	1	1
Other noninterest income | Wealth management
Disaggregation of Revenue [Line Items]
Revenue from contracts with customers	$ 9	$ 7

Acquisitions - Preliminary Purc

Acquisitions - Preliminary Purchase Price Allocation to the Fair Value of Assets Acquired and Liabilities Assumed (Details) - USD ($) $ in Millions	Nov. 30, 2018	Dec. 31, 2018	Dec. 31, 2017	Dec. 31, 2016
Liabilities assumed:
Cash consideration (received)		$ 1,499	$ (8)	$ 0
Wells Fargo Branches Acquisition
Assets acquired:
Cash	$ 9
Loans	107
Core deposit intangible (CDI)	60
Other assets	23
Total assets	199
Liabilities assumed:
Deposits	1,760	$ 1,800
Total liabilities	1,760
Fair value of net liabilities assumed	(1,561)
Cash consideration (received)	(1,499)
Goodwill	$ 62

Acquisitions - Narrative (Detai

Acquisitions - Narrative (Details) $ in Millions	Nov. 30, 2018USD ($)branch	Dec. 31, 2018USD ($)	Dec. 31, 2017USD ($)	Mar. 19, 2018USD ($)	Mar. 12, 2018USD ($)
Business Acquisition [Line Items]
Goodwill and intangible assets		$ 190	$ 21
Wells Fargo Branches Acquisition
Business Acquisition [Line Items]
Number of branches acquired | branch	52
Goodwill	$ 62
Acquisition-related costs expensed in period		15
Pro forma reclassification of acquisition-related expenses		(15)	15
Pro forma reclassification of hedging gains		(29)	$ 29
Loans	107
Deposits	$ 1,760	$ 1,800
Wells Fargo Branches Acquisition | Core Deposit Intangible
Business Acquisition [Line Items]
Estimated useful life	10 years
Santander and Desert Community Bank Acquisitions
Business Acquisition [Line Items]
Goodwill and intangible assets				$ 51
Santander Bank Mortgage Loan Warehouse Business
Business Acquisition [Line Items]
Loans					$ 499
Commitments					$ 1,700
Desert Community Bank Branch Acquisition
Business Acquisition [Line Items]
Loans				59
Deposits				$ 614

Acquisitions - Pro Forma Inform

Acquisitions - Pro Forma Information (Details) - Wells Fargo Branches Acquisition - USD ($) $ in Millions	12 Months Ended
	Dec. 31, 2018	Dec. 31, 2017
Business Acquisition [Line Items]
Net interest income	$ 540	$ 482
Net income	$ 196	$ 83

Investment Securities - Summary

Investment Securities - Summary of Investment Securities (Details) - USD ($) $ in Millions	Dec. 31, 2018	Dec. 31, 2017
Available-for-sale securities
Amortized Cost	$ 2,206	$ 1,887
Gross Unrealized Gains	4	1
Gross Unrealized Losses	(68)	(35)
Fair Value	2,142	1,853
Held-to-maturity securities
Amortized Cost	703	939
Gross Unrealized Gains	0	0
Gross Unrealized Losses	(22)	(15)
Fair Value	681	924
Agency - Commercial
Available-for-sale securities
Amortized Cost	1,413	1,004
Gross Unrealized Gains	4	0
Gross Unrealized Losses	(43)	(17)
Fair Value	1,374	987
Held-to-maturity securities
Amortized Cost	349	526
Gross Unrealized Gains	0	0
Gross Unrealized Losses	(13)	(9)
Fair Value	336	517
Agency - Residential
Available-for-sale securities
Amortized Cost	686	811
Gross Unrealized Gains	0	0
Gross Unrealized Losses	(24)	(17)
Fair Value	662	794
Held-to-maturity securities
Amortized Cost	354	413
Gross Unrealized Gains	0	0
Gross Unrealized Losses	(9)	(6)
Fair Value	345	407
Corporate debt obligations
Available-for-sale securities
Amortized Cost	41	37
Gross Unrealized Gains	0	1
Gross Unrealized Losses	0	0
Fair Value	41	38
Municipal obligations
Available-for-sale securities
Amortized Cost	33	35
Gross Unrealized Gains	0	0
Gross Unrealized Losses	(1)	(1)
Fair Value	32	$ 34
Other MBS
Available-for-sale securities
Amortized Cost	32
Gross Unrealized Gains	0
Gross Unrealized Losses	0
Fair Value	32
Certificates of Deposit
Available-for-sale securities
Amortized Cost	1
Gross Unrealized Gains
Gross Unrealized Losses
Fair Value	$ 1

Investment Securities - Investm

Investment Securities - Investment Securities, Narrative (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2018	Dec. 31, 2017	Dec. 31, 2016
Schedule of Trading and Available-for-sale Securities [Line Items]
Other than temporary impairment	$ 0	$ 0	$ 0
Agency Securities
Schedule of Trading and Available-for-sale Securities [Line Items]
Percentage of total securities	96.00%

Investment Securities - Availab

Investment Securities - Available-for-Sale Securities (Details) - USD ($)	12 Months Ended
	Dec. 31, 2018	Dec. 31, 2017	Dec. 31, 2016
Debt Securities, Available-for-sale [Line Items]
Payments to Acquire Held-to-maturity Securities	$ 0	$ 0	$ 15,000,000
Purchase of AFS securities	340,000,000	904,000,000	680,000,000
Investment securities available-for-sale	2,142,000,000	1,853,000,000
AFS securities sold	0
Pledged as Collateral
Debt Securities, Available-for-sale [Line Items]
Investment securities pledged	1,900,000,000	2,000,000,000
Corporate Debt Obligations
Debt Securities, Available-for-sale [Line Items]
Purchase of AFS securities	340,000,000
Investment securities available-for-sale	41,000,000	38,000,000
Other MBS
Debt Securities, Available-for-sale [Line Items]
Investment securities available-for-sale	$ 33,000,000
US Government-Sponsored Agency Securities
Debt Securities, Available-for-sale [Line Items]
Purchase of AFS securities		904,000,000
AFS securities sold		289,000,000	291,000,000
Gain on AFS securities		$ 3,000,000	$ 4,000,000

Investment Securities - Held-to

Investment Securities - Held-to-Maturity Securities (Details) - USD ($)	3 Months Ended	12 Months Ended
	Mar. 31, 2018	Dec. 31, 2018	Dec. 31, 2017	Dec. 31, 2016
Investments, Debt and Equity Securities [Abstract]
Investment securities transferred from HTM to AFS	$ 144,000,000
Purchase of HTM securities		$ 0	$ 0	$ 15,000,000
Proceeds from the sale of HTM securities		$ 0	$ 0	$ 0

Investment Securities - Summa_2

Investment Securities - Summary of Unrealized Loss Positions on Investment Securities (Details) $ in Millions	Dec. 31, 2018USD ($)security	Dec. 31, 2017USD ($)security
Agency - Commercial
Fair Value
Unrealized Loss Position with Duration 12 Months and Over	$ 1,025	$ 218
Unrealized Loss Position with Duration Under 12 Months	$ 1	$ 744
Number of Securities
Unrealized Loss Position with Duration 12 Months and Over | security	74	20
Unrealized Loss Position with Duration Under 12 Months | security	1	41
Unrealized Loss
Unrealized Loss Position with Duration 12 Months and Over	$ (43)	$ (7)
Unrealized Loss Position with Duration Under 12 Months	0	(11)
Fair Value
Unrealized Loss Position with Duration 12 Months and Over	336	348
Unrealized Loss Position with Duration Under 12 Months	$ 0	$ 99
Number of Securities
Unrealized Loss Position with Duration 12 Months and Over | security	26	25
Unrealized Loss Position with Duration Under 12 Months | security	0	8
Unrealized Loss
Unrealized Loss Position with Duration 12 Months and Over	$ (13)	$ (8)
Unrealized Loss Position with Duration Under 12 Months	0	(1)
Agency - Residential
Fair Value
Unrealized Loss Position with Duration 12 Months and Over	647	452
Unrealized Loss Position with Duration Under 12 Months	$ 14	$ 263
Number of Securities
Unrealized Loss Position with Duration 12 Months and Over | security	79	36
Unrealized Loss Position with Duration Under 12 Months | security	5	33
Unrealized Loss
Unrealized Loss Position with Duration 12 Months and Over	$ (24)	$ (14)
Unrealized Loss Position with Duration Under 12 Months	0	(3)
Fair Value
Unrealized Loss Position with Duration 12 Months and Over	345	111
Unrealized Loss Position with Duration Under 12 Months	$ 0	$ 293
Number of Securities
Unrealized Loss Position with Duration 12 Months and Over | security	60	16
Unrealized Loss Position with Duration Under 12 Months | security	0	43
Unrealized Loss
Unrealized Loss Position with Duration 12 Months and Over	$ (9)	$ (3)
Unrealized Loss Position with Duration Under 12 Months	0	(3)
Municipal obligations
Fair Value
Unrealized Loss Position with Duration 12 Months and Over	28	6
Unrealized Loss Position with Duration Under 12 Months	$ 1	$ 22
Number of Securities
Unrealized Loss Position with Duration 12 Months and Over | security	16	3
Unrealized Loss Position with Duration Under 12 Months | security	2	9
Unrealized Loss
Unrealized Loss Position with Duration 12 Months and Over	$ (1)	$ 0
Unrealized Loss Position with Duration Under 12 Months	0	0
Corporate debt obligations
Fair Value
Unrealized Loss Position with Duration 12 Months and Over	0	0
Unrealized Loss Position with Duration Under 12 Months	$ 7	$ 3
Number of Securities
Unrealized Loss Position with Duration 12 Months and Over | security	0	0
Unrealized Loss Position with Duration Under 12 Months | security	2	1
Unrealized Loss
Unrealized Loss Position with Duration 12 Months and Over	$ 0	$ 0
Unrealized Loss Position with Duration Under 12 Months	$ 0	$ 0

Investment Securities - Amortiz

Investment Securities - Amortized Cost and Estimated Fair Value of Securities by Contractual Maturity (Details) - USD ($) $ in Millions	Dec. 31, 2018	Dec. 31, 2017
Amortized Cost
Due in one year or less	$ 1
Due after one year through five years	60
Due after five years through 10 years	59
Due after 10 years	2,086
Amortized Cost	2,206	$ 1,887
Fair Value
Due in one year or less	1
Due after one year through five years	59
Due after five years through 10 years	59
Due after 10 years	2,023
Fair Value	$ 2,142	1,853
Weighted-Average Yield
Due in one year or less	1.31%
Due after one year through five years	2.51%
Due after five years through 10 years	4.41%
Due after 10 years	2.66%
Amortized Cost
Due in one year or less	$ 0
Due after one year through five years	10
Due after five years through 10 years	11
Due after 10 years	682
Amortized Cost	703	939
Fair Value
Due in one year or less	0
Due after one year through five years	10
Due after five years through 10 years	11
Due after 10 years	660
Fair Value	$ 681	$ 924
Weighted-Average Yield
Due in one year or less	0.00%
Due after one year through five years	2.45%
Due after five years through 10 years	2.21%
Due after 10 years	2.47%

Loans Held-for-Sale (Details)

Loans Held-for-Sale (Details) - USD ($) $ in Millions	3 Months Ended								12 Months Ended
	Dec. 31, 2018	Sep. 30, 2018	Jun. 30, 2018	Mar. 31, 2018	Dec. 31, 2017	Sep. 30, 2017	Jun. 30, 2017	Mar. 31, 2017	Dec. 31, 2018	Dec. 31, 2017	Dec. 31, 2016
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans held-for-sale	$ 3,869				$ 4,321				$ 3,869	$ 4,321
Net gain on loan sales	34	$ 43	$ 63	$ 60	79	$ 75	$ 66	$ 48	200	268	$ 316
Loans held-for-sale recorded at lower of cost or fair value	$ 137				$ 21				137	21
Loans held-for-sale
Accounts, Notes, Loans and Financing Receivable [Line Items]
Net gain on loan sales									$ 197	$ 267	$ 301

Loans Held-for-Investment - Sum

Loans Held-for-Investment - Summary of Loans Held-for-Investment (Details) - USD ($) $ in Millions	Dec. 31, 2018	Dec. 31, 2017
Loans and Leases Receivable, Net Amount [Abstract]
Loans held-for-investment	$ 9,088	$ 7,713
Total consumer loans
Loans and Leases Receivable, Net Amount [Abstract]
Loans held-for-investment	4,044	3,443
Residential first mortgage
Loans and Leases Receivable, Net Amount [Abstract]
Loans held-for-investment	2,999	2,754
Home Equity
Loans and Leases Receivable, Net Amount [Abstract]
Loans held-for-investment	731	664
Other
Loans and Leases Receivable, Net Amount [Abstract]
Loans held-for-investment	314	25
Total commercial loans
Loans and Leases Receivable, Net Amount [Abstract]
Loans held-for-investment	5,044	4,270
Commercial real estate
Loans and Leases Receivable, Net Amount [Abstract]
Loans held-for-investment	2,152	1,932
Commercial and industrial
Loans and Leases Receivable, Net Amount [Abstract]
Loans held-for-investment	1,433	1,196
Warehouse lending
Loans and Leases Receivable, Net Amount [Abstract]
Loans held-for-investment	$ 1,459	$ 1,142

Loans Held-for-Investment - UPB

Loans Held-for-Investment - UPB of Loan Sales and Purchases in the Loans Held-for-Investment Portfolio (Details) - USD ($) $ in Millions	12 Months Ended
	Dec. 31, 2018	Dec. 31, 2017	Dec. 31, 2016
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans purchased	$ 37	$ 258	$ 175
Premium associated with loans purchased	0	9	1
Residential first mortgage
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans sold	158	127	1,304
Net gain associated with loan sales	2	2	12
Loans purchased	3	8	175
HELOC
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans purchased	0	250	0
Other consumer
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans purchased	34	0	0
Performing loans | Residential first mortgage
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans sold	158	102	1,194
Nonperforming loans | Residential first mortgage
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans sold	$ 0	$ 25	$ 110

Loans Held-for-Investment - Loa

Loans Held-for-Investment - Loans Held-for-Investment, Narrative (Details) - USD ($)	12 Months Ended
	Dec. 31, 2018	Dec. 31, 2017	Dec. 31, 2016
Accounts, Notes, Loans and Financing Receivable [Line Items]
Interest lost on nonaccrual loans	$ 1,000,000	$ 1,000,000	$ 2,000,000
Loans 90 days or greater past due and still accruing	0	0
Loans held-for-investment
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans pledged as collateral	6,800,000,000	$ 7,100,000,000
Residential first mortgage
Accounts, Notes, Loans and Financing Receivable [Line Items]
Unpaid principal balance transferred to LHFS	$ 116,000,000

Loans Held-for-Investment - Cha

Loans Held-for-Investment - Changes in ALLL by Class of Loan (Details) - USD ($) $ in Millions	12 Months Ended
	Dec. 31, 2018	Dec. 31, 2017	Dec. 31, 2016
Allowance for Loan Losses
Beginning balance ALLL	$ 140	$ 142	$ 187
Charge-offs	(8)	(14)	(36)
Recoveries	4	6	6
Provision (benefit)	(8)	6	(15)
Ending balance ALLL	128	140	142
Residential first mortgage
Allowance for Loan Losses
Charge-offs	0	(1)	(8)
Loans with government guarantees
Allowance for Loan Losses
Charge-offs	(2)	(4)	(14)
Residential first mortgage
Allowance for Loan Losses
Beginning balance ALLL	47	65	116
Charge-offs	(4)	(8)	(29)
Recoveries	2	1	2
Provision (benefit)	(7)	(11)	(24)
Ending balance ALLL	38	47	65
Home Equity
Allowance for Loan Losses
Beginning balance ALLL	22	24	32
Charge-offs	(2)	(3)	(4)
Recoveries	1	2	0
Provision (benefit)	(6)	(1)	(4)
Ending balance ALLL	15	22	24
Other
Allowance for Loan Losses
Beginning balance ALLL	1	1	2
Charge-offs	(2)	(2)	(3)
Recoveries	1	1	3
Provision (benefit)	3	1	(1)
Ending balance ALLL	3	1	1
Commercial real estate
Allowance for Loan Losses
Beginning balance ALLL	45	28	18
Charge-offs	0	(1)	0
Recoveries	0	1	1
Provision (benefit)	3	17	9
Ending balance ALLL	48	45	28
Commercial and industrial
Allowance for Loan Losses
Beginning balance ALLL	19	17	13
Charge-offs	0	0	0
Recoveries	0	1	0
Provision (benefit)	(1)	1	4
Ending balance ALLL	18	19	17
Warehouse lending
Allowance for Loan Losses
Beginning balance ALLL	6	7	6
Charge-offs	0	0	0
Recoveries	0	0	0
Provision (benefit)	0	(1)	1
Ending balance ALLL	$ 6	$ 6	7
Government guarantees
Allowance for Loan Losses
Provision (benefit)			$ 7

Loans Held-for-Investment - Met

Loans Held-for-Investment - Method of Evaluation by Class of Loan (Details) - USD ($) $ in Millions	Dec. 31, 2018	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2015
Allowance for Loan Losses, Additional Disclosure
Loans held-for-investment, individually evaluated	$ 55	$ 61
Loans held-for-investment, collectively evaluated	9,023	7,640
Total loans	9,078	7,701
Allowance for loan losses, individually evaluated	11	16
Allowance for loan losses, collectively evaluated	117	124
Total allowance for loan losses	128	140	$ 142	$ 187
Residential first mortgage
Allowance for Loan Losses, Additional Disclosure
Loans held-for-investment, individually evaluated	32	34
Loans held-for-investment, collectively evaluated	2,959	2,712
Total loans	2,991	2,746
Allowance for loan losses, individually evaluated	4	6
Allowance for loan losses, collectively evaluated	34	41
Total allowance for loan losses	38	47	65	116
Home Equity
Allowance for Loan Losses, Additional Disclosure
Loans held-for-investment, individually evaluated	23	27
Loans held-for-investment, collectively evaluated	706	633
Total loans	729	660
Allowance for loan losses, individually evaluated	7	10
Allowance for loan losses, collectively evaluated	8	12
Total allowance for loan losses	15	22	24	32
Other
Allowance for Loan Losses, Additional Disclosure
Loans held-for-investment, individually evaluated	0	0
Loans held-for-investment, collectively evaluated	314	25
Total loans	314	25
Allowance for loan losses, individually evaluated	0	0
Allowance for loan losses, collectively evaluated	3	1
Total allowance for loan losses	3	1	1	2
Commercial real estate
Allowance for Loan Losses, Additional Disclosure
Loans held-for-investment, individually evaluated	0	0
Loans held-for-investment, collectively evaluated	2,152	1,932
Total loans	2,152	1,932
Allowance for loan losses, individually evaluated	0	0
Allowance for loan losses, collectively evaluated	48	45
Total allowance for loan losses	48	45	28	18
Commercial and industrial
Allowance for Loan Losses, Additional Disclosure
Loans held-for-investment, individually evaluated	0	0
Loans held-for-investment, collectively evaluated	1,433	1,196
Total loans	1,433	1,196
Allowance for loan losses, individually evaluated	0	0
Allowance for loan losses, collectively evaluated	18	19
Total allowance for loan losses	18	19	17	13
Warehouse lending
Allowance for Loan Losses, Additional Disclosure
Loans held-for-investment, individually evaluated	0	0
Loans held-for-investment, collectively evaluated	1,459	1,142
Total loans	1,459	1,142
Allowance for loan losses, individually evaluated	0	0
Allowance for loan losses, collectively evaluated	6	6
Total allowance for loan losses	$ 6	$ 6	$ 7	$ 6

Loans Held-for-Investment - Agi

Loans Held-for-Investment - Aging Analysis of Past Due and Current Loans (Details) - USD ($)	12 Months Ended
	Dec. 31, 2018	Dec. 31, 2017	Dec. 31, 2016
Loans Held-for-Investment, Aging
Total Past Due	$ 29,000,000	$ 34,000,000
Current	9,059,000,000	7,679,000,000
Net investment in commercial financing leases	9,088,000,000	7,713,000,000
90 days or greater past due, fair value option	3,000,000	4,000,000
Interest lost on nonaccrual loans	1,000,000	1,000,000	$ 2,000,000
90 days and still accruing	0	0
Consumer loans
Loans Held-for-Investment, Aging
Total Past Due	29,000,000	34,000,000
Current	4,015,000,000	3,409,000,000
Net investment in commercial financing leases	4,044,000,000	3,443,000,000
Residential first mortgage
Loans Held-for-Investment, Aging
Total Past Due	25,000,000	27,000,000
Current	2,974,000,000	2,727,000,000
Net investment in commercial financing leases	2,999,000,000	2,754,000,000
Home Equity
Loans Held-for-Investment, Aging
Total Past Due	4,000,000	7,000,000
Current	727,000,000	657,000,000
Net investment in commercial financing leases	731,000,000	664,000,000
Other
Loans Held-for-Investment, Aging
Total Past Due	0	0
Current	314,000,000	25,000,000
Net investment in commercial financing leases	314,000,000	25,000,000
Total commercial loans
Loans Held-for-Investment, Aging
Total Past Due	0	0
Current	5,044,000,000	4,270,000,000
Net investment in commercial financing leases	5,044,000,000	4,270,000,000
Commercial real estate
Loans Held-for-Investment, Aging
Total Past Due	0	0
Current	2,152,000,000	1,932,000,000
Net investment in commercial financing leases	2,152,000,000	1,932,000,000
Commercial and industrial
Loans Held-for-Investment, Aging
Total Past Due	0	0
Current	1,433,000,000	1,196,000,000
Net investment in commercial financing leases	1,433,000,000	1,196,000,000
Warehouse lending
Loans Held-for-Investment, Aging
Total Past Due	0	0
Current	1,459,000,000	1,142,000,000
Net investment in commercial financing leases	1,459,000,000	1,142,000,000
30-59 Days Past Due
Loans Held-for-Investment, Aging
Total Past Due	5,000,000	3,000,000
30-59 Days Past Due | Consumer loans
Loans Held-for-Investment, Aging
Total Past Due	5,000,000	3,000,000
30-59 Days Past Due | Residential first mortgage
Loans Held-for-Investment, Aging
Total Past Due	4,000,000	2,000,000
30-59 Days Past Due | Home Equity
Loans Held-for-Investment, Aging
Total Past Due	1,000,000	1,000,000
30-59 Days Past Due | Other
Loans Held-for-Investment, Aging
Total Past Due	0	0
30-59 Days Past Due | Total commercial loans
Loans Held-for-Investment, Aging
Total Past Due	0	0
30-59 Days Past Due | Commercial real estate
Loans Held-for-Investment, Aging
Total Past Due	0	0
30-59 Days Past Due | Commercial and industrial
Loans Held-for-Investment, Aging
Total Past Due	0	0
30-59 Days Past Due | Warehouse lending
Loans Held-for-Investment, Aging
Total Past Due	0	0
60-89 Days Past Due
Loans Held-for-Investment, Aging
Total Past Due	2,000,000	2,000,000
60-89 Days Past Due | Consumer loans
Loans Held-for-Investment, Aging
Total Past Due	2,000,000	2,000,000
60-89 Days Past Due | Residential first mortgage
Loans Held-for-Investment, Aging
Total Past Due	2,000,000	2,000,000
60-89 Days Past Due | Home Equity
Loans Held-for-Investment, Aging
Total Past Due	0	0
60-89 Days Past Due | Other
Loans Held-for-Investment, Aging
Total Past Due	0	0
60-89 Days Past Due | Total commercial loans
Loans Held-for-Investment, Aging
Total Past Due	0	0
60-89 Days Past Due | Commercial real estate
Loans Held-for-Investment, Aging
Total Past Due	0	0
60-89 Days Past Due | Commercial and industrial
Loans Held-for-Investment, Aging
Total Past Due	0	0
60-89 Days Past Due | Warehouse lending
Loans Held-for-Investment, Aging
Total Past Due	0	0
90 Days or Greater Past Due
Loans Held-for-Investment, Aging
Total Past Due	22,000,000	29,000,000
90 Days or Greater Past Due | Consumer loans
Loans Held-for-Investment, Aging
Total Past Due	22,000,000	29,000,000
90 Days or Greater Past Due | Residential first mortgage
Loans Held-for-Investment, Aging
Total Past Due	19,000,000	23,000,000
90 Days or Greater Past Due | Home Equity
Loans Held-for-Investment, Aging
Total Past Due	3,000,000	6,000,000
90 Days or Greater Past Due | Other
Loans Held-for-Investment, Aging
Total Past Due	0	0
90 Days or Greater Past Due | Total commercial loans
Loans Held-for-Investment, Aging
Total Past Due	0	0
90 Days or Greater Past Due | Commercial real estate
Loans Held-for-Investment, Aging
Total Past Due	0	0
90 Days or Greater Past Due | Commercial and industrial
Loans Held-for-Investment, Aging
Total Past Due	0	0
90 Days or Greater Past Due | Warehouse lending
Loans Held-for-Investment, Aging
Total Past Due	$ 0	$ 0

Loans Held-for-Investment - S_2

Loans Held-for-Investment - Summary of TDRs by Type and Performing Status (Details) - USD ($) $ in Millions	Dec. 31, 2018	Dec. 31, 2017
Troubled Debt Restructurings
TDR balance	$ 54	$ 59
Allowance for loan losses on TDR loans	10	13
TDR loans under fair value option	3	3
Consumer loans | Residential first mortgage
Troubled Debt Restructurings
TDR balance	30	31
Consumer loans | Home Equity
Troubled Debt Restructurings
TDR balance	24	28
Performing
Troubled Debt Restructurings
TDR balance	44	43
Performing | Consumer loans | Residential first mortgage
Troubled Debt Restructurings
TDR balance	22	19
Performing | Consumer loans | Home Equity
Troubled Debt Restructurings
TDR balance	22	24
Nonperforming
Troubled Debt Restructurings
TDR balance	10	16
Nonperforming | Consumer loans | Residential first mortgage
Troubled Debt Restructurings
TDR balance	8	12
Nonperforming | Consumer loans | Home Equity
Troubled Debt Restructurings
TDR balance	$ 2	$ 4

Loans Held-for-Investment - S_3

Loans Held-for-Investment - Summary of Newly Modified TDRs (Details) $ in Millions	12 Months Ended
	Dec. 31, 2018USD ($)loan	Dec. 31, 2017USD ($)loan	Dec. 31, 2016USD ($)loan
Financing Receivable, Modifications [Line Items]
Number of Accounts | loan	31	98	167
Pre-Modification Unpaid Principal Balance	$ 4	$ 10	$ 15
Post-Modification Unpaid Principal Balance	4	9	14
Increase (Decrease) in Allowance at Modification	$ 0	$ (1)	$ 0
Residential first mortgage
Financing Receivable, Modifications [Line Items]
Number of Accounts | loan	14	16	23
Pre-Modification Unpaid Principal Balance	$ 3	$ 4	$ 4
Post-Modification Unpaid Principal Balance	3	4	5
Increase (Decrease) in Allowance at Modification	$ 0	$ 0	$ 0
Home Equity
Financing Receivable, Modifications [Line Items]
Number of Accounts | loan	17	82	143
Pre-Modification Unpaid Principal Balance	$ 1	$ 6	$ 9
Post-Modification Unpaid Principal Balance	1	5	8
Increase (Decrease) in Allowance at Modification	$ 0	$ (1)	$ 0
Commercial and industrial
Financing Receivable, Modifications [Line Items]
Number of Accounts | loan			1
Pre-Modification Unpaid Principal Balance			$ 2
Post-Modification Unpaid Principal Balance			1
Increase (Decrease) in Allowance at Modification			$ 0

Loans Held-for-Investment - Tro

Loans Held-for-Investment - Troubled Debt Restructurings, Narrative (Details)	12 Months Ended
	Dec. 31, 2018USD ($)loan	Dec. 31, 2017USD ($)loan	Dec. 31, 2016USD ($)loan
Receivables [Abstract]
Loans modified in the preceding 12 months that subsequently defaulted | loan	0	1	8
Modifications subsequent to default (less than)	$ 0	$ 1,000,000	$ 1,000,000
Increase (decrease) in allowance associated with TDRs at subsequent default	$ 0

Loans Held-for-Investment - Imp

Loans Held-for-Investment - Impaired Loans (Details) - USD ($) $ in Millions	12 Months Ended
	Dec. 31, 2018	Dec. 31, 2017	Dec. 31, 2016
Financing Receivable, Impaired
With no related allowance recorded, recorded investment	$ 14	$ 11
With no related allowance recorded, unpaid principal balance	20	12
With an allowance recorded, recorded investment	41	46
With an allowance recorded, unpaid principal balance	43	49
With an allowance recorded, related allowance	11	16
Total recorded investment	55	57
Total unpaid principal balance	63	61
Average Recorded Investment	60	66	$ 84
Interest Income Recognized	3	2	3
Residential first mortgage
Financing Receivable, Impaired
With no related allowance recorded, recorded investment	13	11
With no related allowance recorded, unpaid principal balance	16	12
With an allowance recorded, recorded investment	19	22
With an allowance recorded, unpaid principal balance	20	22
With an allowance recorded, related allowance	4	6
Total recorded investment	32	33
Total unpaid principal balance	36	34
Average Recorded Investment	33	38	52
Interest Income Recognized	1	1	1
Home Equity
Financing Receivable, Impaired
With no related allowance recorded, recorded investment	1	0
With no related allowance recorded, unpaid principal balance	4	0
With an allowance recorded, recorded investment	22	24
With an allowance recorded, unpaid principal balance	23	27
With an allowance recorded, related allowance	7	10
Total recorded investment	23	24
Total unpaid principal balance	27	27
Average Recorded Investment	25	28	30
Interest Income Recognized	2	1	2
Commercial and industrial
Financing Receivable, Impaired
Average Recorded Investment	2	0	2
Interest Income Recognized	$ 0	$ 0	$ 0

Loans Held-for-Investment - L_2

Loans Held-for-Investment - Loan Credit Quality Indicators (Details) - USD ($) $ in Millions	Dec. 31, 2018	Dec. 31, 2017
Financing Receivable, Recorded Investment
Loans held-for-investment	$ 9,078	$ 7,701
Loans held-for-investment, net	9,088	7,713
Total consumer loans
Financing Receivable, Recorded Investment
Loans held-for-investment, net	4,044	3,443
Total consumer loans | Pass
Financing Receivable, Recorded Investment
Loans held-for-investment	3,971	3,364
Total consumer loans | Watch
Financing Receivable, Recorded Investment
Loans held-for-investment	51	48
Total consumer loans | Special Mention
Financing Receivable, Recorded Investment
Loans held-for-investment	0	0
Total consumer loans | Substandard
Financing Receivable, Recorded Investment
Loans held-for-investment	22	31
Residential first mortgage
Financing Receivable, Recorded Investment
Loans held-for-investment	2,991	2,746
Loans held-for-investment, net	2,999	2,754
Residential first mortgage | Pass
Financing Receivable, Recorded Investment
Loans held-for-investment	2,952	2,706
Residential first mortgage | Watch
Financing Receivable, Recorded Investment
Loans held-for-investment	28	23
Residential first mortgage | Special Mention
Financing Receivable, Recorded Investment
Loans held-for-investment	0	0
Residential first mortgage | Substandard
Financing Receivable, Recorded Investment
Loans held-for-investment	19	25
Home Equity
Financing Receivable, Recorded Investment
Loans held-for-investment	729	660
Loans held-for-investment, net	731	664
Home Equity | Pass
Financing Receivable, Recorded Investment
Loans held-for-investment	705	633
Home Equity | Watch
Financing Receivable, Recorded Investment
Loans held-for-investment	23	25
Home Equity | Special Mention
Financing Receivable, Recorded Investment
Loans held-for-investment	0	0
Home Equity | Substandard
Financing Receivable, Recorded Investment
Loans held-for-investment	3	6
Other
Financing Receivable, Recorded Investment
Loans held-for-investment	314	25
Loans held-for-investment, net	314	25
Other | Pass
Financing Receivable, Recorded Investment
Loans held-for-investment	314	25
Other | Watch
Financing Receivable, Recorded Investment
Loans held-for-investment	0	0
Other | Special Mention
Financing Receivable, Recorded Investment
Loans held-for-investment	0	0
Other | Substandard
Financing Receivable, Recorded Investment
Loans held-for-investment	0	0
Total commercial loans
Financing Receivable, Recorded Investment
Loans held-for-investment, net	5,044	4,270
Total commercial loans | Pass
Financing Receivable, Recorded Investment
Loans held-for-investment	4,807	4,051
Total commercial loans | Watch
Financing Receivable, Recorded Investment
Loans held-for-investment	187	183
Total commercial loans | Special Mention
Financing Receivable, Recorded Investment
Loans held-for-investment	49	31
Total commercial loans | Substandard
Financing Receivable, Recorded Investment
Loans held-for-investment	1	5
Commercial real estate
Financing Receivable, Recorded Investment
Loans held-for-investment	2,152	1,932
Loans held-for-investment, net	2,152	1,932
Commercial real estate | Pass
Financing Receivable, Recorded Investment
Loans held-for-investment	2,132	1,902
Commercial real estate | Watch
Financing Receivable, Recorded Investment
Loans held-for-investment	14	23
Commercial real estate | Special Mention
Financing Receivable, Recorded Investment
Loans held-for-investment	5	7
Commercial real estate | Substandard
Financing Receivable, Recorded Investment
Loans held-for-investment	1	0
Commercial and industrial
Financing Receivable, Recorded Investment
Loans held-for-investment	1,433	1,196
Loans held-for-investment, net	1,433	1,196
Commercial and industrial | Pass
Financing Receivable, Recorded Investment
Loans held-for-investment	1,351	1,135
Commercial and industrial | Watch
Financing Receivable, Recorded Investment
Loans held-for-investment	53	32
Commercial and industrial | Special Mention
Financing Receivable, Recorded Investment
Loans held-for-investment	29	24
Commercial and industrial | Substandard
Financing Receivable, Recorded Investment
Loans held-for-investment	0	5
Warehouse lending
Financing Receivable, Recorded Investment
Loans held-for-investment	1,459	1,142
Loans held-for-investment, net	1,459	1,142
Warehouse lending | Pass
Financing Receivable, Recorded Investment
Loans held-for-investment	1,324	1,014
Warehouse lending | Watch
Financing Receivable, Recorded Investment
Loans held-for-investment	120	128
Warehouse lending | Special Mention
Financing Receivable, Recorded Investment
Loans held-for-investment	15	0
Warehouse lending | Substandard
Financing Receivable, Recorded Investment
Loans held-for-investment	$ 0	$ 0

Loans with Government Guarant_2

Loans with Government Guarantees (Details) - USD ($) $ in Millions	12 Months Ended
	Dec. 31, 2018	Dec. 31, 2017
Loans and Leases Receivable Disclosure [Abstract]
Debt instrument, term	10 years
Loans with government guarantees	$ 392	$ 271
Repossessed assets and associated claims	$ 50	$ 84

Repossessed Assets - Summary of

Repossessed Assets - Summary of Repossessed Assets (Details) - USD ($) $ in Millions	Dec. 31, 2018	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2015
Repossessed Assets [Line Items]
Repossessed assets	$ 7	$ 8	$ 14	$ 17
One-to-four family properties
Repossessed Assets [Line Items]
Repossessed assets	5	5
Commercial properties
Repossessed Assets [Line Items]
Repossessed assets	$ 2	$ 3

Repossessed Assets - Activity i

Repossessed Assets - Activity in Repossessed Assets (Details) - USD ($) $ in Millions	12 Months Ended
	Dec. 31, 2018	Dec. 31, 2017	Dec. 31, 2016
Repossessed Assets [Roll Forward]
Beginning balance	$ 8	$ 14	$ 17
Additions, net	10	18	19
Disposals	(8)	(14)	(19)
Net (write down) gain on disposal	(3)	(9)	(2)
Transfers out	0	(1)	(1)
Ending balance	$ 7	$ 8	$ 14

Variable Interest Entities (Det

Variable Interest Entities (Details) $ in Millions	12 Months Ended
	Dec. 31, 2018USD ($)loanentity	Dec. 31, 2017USD ($)loanentity
Securitized Loans [Abstract]
Number of variable interest entities | entity	0	0
Agency - Commercial
Securitized Loans [Abstract]
Ownership interest in investment	5.00%
FSTAR 2007-1 Mortgage Securitization
Securitized Loans [Abstract]
Number of loans | loan	1,513	1,911
Aggregate principal balance | $	$ 49	$ 65

Federal Home Loan Bank Stock (D

Federal Home Loan Bank Stock (Details) - USD ($)	12 Months Ended
	Dec. 31, 2018	Dec. 31, 2017	Dec. 31, 2016
Federal Home Loan Bank Stock [Abstract]
Federal Home Loan Bank stock	$ 303,000,000	$ 303,000,000
Federal Home Loan Bank stock, minimum investment requirement, percentage of unpaid principal of mortgage loans, home purchase contracts and similar obligations	1.00%
Federal Home Loan Bank minimum percentage of advances required held	4.50%
Payments to acquire FHLB stock	$ 0	123,000,000	$ 10,000,000
Proceeds from redemption of FHLB stock	0	0	0
Dividend income	$ 15,000,000	$ 9,000,000	$ 7,000,000

Premises and Equipment - Premis

Premises and Equipment - Premises and Equipment and Estimated Useful Lives (Details) - USD ($) $ in Millions	12 Months Ended
	Dec. 31, 2018	Dec. 31, 2017
Premises and Equipment, Net, by Type
Premises and equipment, gross	$ 732	$ 623
Less accumulated depreciation	(342)	(293)
Premises and equipment, net	$ 390	330
Range (Weighted Average)
Premises and Equipment, Net, by Type
Estimated useful lives	3 years
Maximum
Premises and Equipment, Net, by Type
Estimated useful lives	30 years
Land
Premises and Equipment, Net, by Type
Premises and equipment, gross	$ 74	61
Computer hardware and software
Premises and Equipment, Net, by Type
Premises and equipment, gross	$ 366	300
Computer hardware and software | Range (Weighted Average)
Premises and Equipment, Net, by Type
Estimated useful lives	3 years
Computer hardware and software | Maximum
Premises and Equipment, Net, by Type
Estimated useful lives	7 years
Office buildings and improvements
Premises and Equipment, Net, by Type
Premises and equipment, gross	$ 185	159
Office buildings and improvements | Range (Weighted Average)
Premises and Equipment, Net, by Type
Estimated useful lives	15 years
Office buildings and improvements | Maximum
Premises and Equipment, Net, by Type
Estimated useful lives	31 years 6 months
Furniture, fixtures and equipment
Premises and Equipment, Net, by Type
Premises and equipment, gross	$ 57	63
Furniture, fixtures and equipment | Range (Weighted Average)
Premises and Equipment, Net, by Type
Estimated useful lives	5 years
Furniture, fixtures and equipment | Maximum
Premises and Equipment, Net, by Type
Estimated useful lives	7 years
Leased equipment
Premises and Equipment, Net, by Type
Premises and equipment, gross	$ 50	$ 40
Leased equipment | Range (Weighted Average)
Premises and Equipment, Net, by Type
Estimated useful lives	3 years
Leased equipment | Maximum
Premises and Equipment, Net, by Type
Estimated useful lives	10 years

Premises and Equipment - Narrat

Premises and Equipment - Narrative (Details) - USD ($) $ in Millions	12 Months Ended
	Dec. 31, 2018	Dec. 31, 2017	Dec. 31, 2016
Property, Plant and Equipment [Abstract]
Depreciation expense	$ 50	$ 39	$ 31
Lease rental expense	$ 11	$ 9	$ 5

Premises and Equipment - Minimu

Premises and Equipment - Minimum Contractual Lease Obligations (Details) $ in Millions	Dec. 31, 2018USD ($)
Operating Leases, Future Minimum Payments
2,019	$ 9
2,020	6
2,021	4
2,022	2
2,023	1
Thereafter	3
Total	$ 25

Mortgage Servicing Rights - Cha

Mortgage Servicing Rights - Changes in the Fair Value of Residential First Mortgage MSRs (Details) - USD ($) $ in Millions	12 Months Ended
	Dec. 31, 2018	Dec. 31, 2017	Dec. 31, 2016
Servicing Asset at Fair Value
Balance at beginning of period	$ 291
Changes in fair value due to:
Fair value of MSRs at end of period	290	$ 291
Residential first mortgage
Servicing Asset at Fair Value
Balance at beginning of period	291	335	$ 296
Additions from loans sold with servicing retained	356	288	228
Reductions from sales	(339)	(310)	(84)
Changes in fair value due to:
Decrease in MSR value due to pay-offs, pay-downs, and run-off	(16)	(22)	(62)
Changes in estimates of fair value	(2)	0	(43)
Fair value of MSRs at end of period	$ 290	$ 291	$ 335

Mortgage Servicing Rights - Sum

Mortgage Servicing Rights - Summary of Adverse Changes to Weighted-Average Assumptions on the Fair Value of Servicing Rights (Details) - Mortgage Servicing Rights $ in Millions	12 Months Ended
	Dec. 31, 2018USD ($)$ / loan	Dec. 31, 2017USD ($)$ / loan
Actual
Option adjusted spread	5.42%	6.29%
Constant prepayment rate	9.57%	9.93%
Weighted average cost to service per loan (in dollars per share) | $ / loan	85.57	73
Fair value impact due to 10% adverse change
Option adjusted spread	$ 284	$ 286
Constant prepayment rate	278	283
Weighted average cost to service per loan (in dollars per share)	286	288
Fair value impact due to 20% adverse change
Option adjusted spread	280	282
Constant prepayment rate	268	277
Weighted average cost to service per loan (in dollars per share)	$ 283	$ 286

Mortgage Servicing Rights - S_2

Mortgage Servicing Rights - Summary of Income and Fees (Details) - Residential first mortgage loans subserviced for others - USD ($) $ in Millions	12 Months Ended
	Dec. 31, 2018	Dec. 31, 2017	Dec. 31, 2016
Servicing Assets at Fair Value
Total return (loss) included in net return on mortgage servicing rights	$ 36	$ 22	$ (26)
Net (loss) return on mortgage servicing rights
Servicing Assets at Fair Value
Servicing fees, ancillary income and late fees	65	60	81
Changes in fair value	(18)	(22)	(109)
Gain (loss) on MSR derivatives	(5)	(8)	0
Net transaction costs	(6)	(8)	2
Loan Administration Income
Servicing Assets at Fair Value
Servicing fees, ancillary income and late fees	54	35	29
Other servicing charges	(31)	(14)	(11)
Total income on mortgage loans subserviced, included in loan administration	$ 23	$ 21	$ 18

Derivative Financial Instrume_3

Derivative Financial Instruments - Narrative (Details) - USD ($) $ in Millions	3 Months Ended								12 Months Ended
	Dec. 31, 2018	Sep. 30, 2018	Jun. 30, 2018	Mar. 31, 2018	Dec. 31, 2017	Sep. 30, 2017	Jun. 30, 2017	Mar. 31, 2017	Dec. 31, 2018	Dec. 31, 2017	Dec. 31, 2016	Nov. 30, 2018	Dec. 31, 2015
Derivative Instruments, Gain (Loss) [Line Items]
Stockholders' equity	$ 1,570				$ 1,399				$ 1,570	$ 1,399	$ 1,336		$ 1,529
Net interest income	152	$ 124	$ 115	$ 106	107	$ 103	$ 97	$ 83	497	390	323
Interest rate cash flow hedge gain (loss) to be reclassified during next 12 months	0								0
Right to claim cash	53				26				53	26
Obligation to return cash	14				18				14	18
Not Designated as Hedging Instrument
Derivative Instruments, Gain (Loss) [Line Items]
Right to claim cash	53				9				53	9
Obligation to receive cash irrespective of position	30				7				30	7
Obligation to return cash	14				18				14	18
Designated as Hedging Instrument
Derivative Instruments, Gain (Loss) [Line Items]
Right to claim cash	23				19				23	19
Interest rate swaps on CDs | Designated as Hedging Instrument
Derivative Instruments, Gain (Loss) [Line Items]
Right to claim cash					17					17
Interest rate swaps on CDs | Carrying Value
Derivative Instruments, Gain (Loss) [Line Items]
Carrying amount of hedged CDs	30				0				30	0
Fair value hedging adjustment					0					0
Wells Fargo Branch Acquisition
Derivative Instruments, Gain (Loss) [Line Items]
Additions of deposits	1,800								1,800			$ 1,760
Cash Flow Hedges
Derivative Instruments, Gain (Loss) [Line Items]
Stockholders' equity	$ 0				$ 2				0	2	$ 1		$ (3)
Cash Flow Hedges | Reclassification from AOCI
Derivative Instruments, Gain (Loss) [Line Items]
Net interest income									29
Cash Flow Hedges | Reclassification from AOCI | Designated as Hedging Instrument
Derivative Instruments, Gain (Loss) [Line Items]
Net interest income									$ 30	$ 5

Derivative Financial Instrume_4

Derivative Financial Instruments - Notional Amount, Estimated Fair Value and Maturity of Derivative Financial Instruments (Details) - USD ($) $ in Millions	Dec. 31, 2018	Dec. 31, 2017
Other liabilities
Liabilities
Notional Amount		$ 4,237
Fair Value		10
Designated as Hedging Instrument | Interest rate swaps on CDs
Liabilities
Fair Value		1
Designated as Hedging Instrument | Interest rate swaps on CDs | Other liabilities
Assets
Notional Amount	$ 20
Fair Value	0
Liabilities
Notional Amount	10	830
Fair Value	0	1
Not Designated as Hedging Instrument
Assets
Fair Value	27	15
Liabilities
Fair Value	39	10
Not Designated as Hedging Instrument | Other assets
Assets
Notional Amount	4,493	9,313
Fair Value	47	39
Not Designated as Hedging Instrument | Other liabilities
Liabilities
Notional Amount	6,938
Fair Value	39
Not Designated as Hedging Instrument | Futures
Liabilities
Fair Value	1	0
Not Designated as Hedging Instrument | Futures | Other assets
Assets
Notional Amount	248	1,597
Fair Value	0	0
Not Designated as Hedging Instrument | Futures | Other liabilities
Liabilities
Notional Amount	1,513	209
Fair Value	1	0
Not Designated as Hedging Instrument | Mortgage-backed securities forwards
Assets
Fair Value	4	4
Liabilities
Fair Value	31	6
Not Designated as Hedging Instrument | Mortgage-backed securities forwards | Other assets
Assets
Notional Amount	362	2,646
Fair Value	4	4
Not Designated as Hedging Instrument | Mortgage-backed securities forwards | Other liabilities
Liabilities
Notional Amount	4,625	3,197
Fair Value	31	6
Not Designated as Hedging Instrument | Rate lock commitments | Other assets
Assets
Notional Amount	2,221	3,629
Fair Value	20	24
Not Designated as Hedging Instrument | Rate lock commitments | Other liabilities
Liabilities
Notional Amount	45	214
Fair Value	0	0
Not Designated as Hedging Instrument | Interest rate swaps and swaptions
Assets
Fair Value	23	11
Not Designated as Hedging Instrument | Interest rate swaps and swaptions | Other assets
Assets
Notional Amount	1,662	1,441
Fair Value	23	11
Not Designated as Hedging Instrument | Interest rate swaps
Liabilities
Fair Value	7	4
Not Designated as Hedging Instrument | Interest rate swaps | Other liabilities
Liabilities
Notional Amount	755	617
Fair Value	$ 7	$ 4

Derivative Financial Instrume_5

Derivative Financial Instruments - Derivatives Subject to a Master Netting Arrangement (Details) - USD ($) $ in Millions	Dec. 31, 2018	Dec. 31, 2017
Assets
Derivative, Collateral, Obligation to Return Cash	$ 14	$ 18
Liabilities
Gross Amounts Not Offset in the Statement of Financial Position, Cash Collateral	53	26
Designated as Hedging Instrument
Liabilities
Gross Amounts Not Offset in the Statement of Financial Position, Cash Collateral	23	19
Designated as Hedging Instrument | Interest rate swaps on CDs
Liabilities
Gross Amount		1
Gross Amounts Offset 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 Position, Financial Instruments		0
Gross Amounts Not Offset in the Statement of Financial Position, Cash Collateral		17
Not Designated as Hedging Instrument
Assets
Gross Amount	27	15
Gross Amounts Offset in the Statement of Financial Position	0	0
Net Amount Presented in the Statement of Financial Position	27	15
Gross Amounts Not Offset in the Statement of Financial Position, Financial Instruments	0	0
Derivative, Collateral, Obligation to Return Cash	14	18
Liabilities
Gross Amount	39	10
Gross Amounts Offset in the Statement of Financial Position	0	0
Net Amount Presented in the Statement of Financial Position	39	10
Gross Amounts Not Offset in the Statement of Financial Position, Financial Instruments	0	0
Gross Amounts Not Offset in the Statement of Financial Position, Cash Collateral	53	9
Not Designated as Hedging Instrument | Futures
Liabilities
Gross Amount	1	0
Gross Amounts Offset in the Statement of Financial Position	0	0
Net Amount Presented in the Statement of Financial Position	1	0
Gross Amounts Not Offset in the Statement of Financial Position, Financial Instruments	0	0
Gross Amounts Not Offset in the Statement of Financial Position, Cash Collateral	1	2
Not Designated as Hedging Instrument | Mortgage-backed securities forwards
Assets
Gross Amount	4	4
Gross Amounts Offset in the Statement of Financial Position	0	0
Net Amount Presented in the Statement of Financial Position	4	4
Gross Amounts Not Offset in the Statement of Financial Position, Financial Instruments	0	0
Derivative, Collateral, Obligation to Return Cash	0	8
Liabilities
Gross Amount	31	6
Gross Amounts Offset in the Statement of Financial Position	0	0
Net Amount Presented in the Statement of Financial Position	31	6
Gross Amounts Not Offset in the Statement of Financial Position, Financial Instruments	0	0
Gross Amounts Not Offset in the Statement of Financial Position, Cash Collateral	29	2
Not Designated as Hedging Instrument | Interest rate swaps
Liabilities
Gross Amount	7	4
Gross Amounts Offset in the Statement of Financial Position	0	0
Net Amount Presented in the Statement of Financial Position	7	4
Gross Amounts Not Offset in the Statement of Financial Position, Financial Instruments	0	0
Gross Amounts Not Offset in the Statement of Financial Position, Cash Collateral	23	5
Not Designated as Hedging Instrument | Interest rate swaps and swaptions
Assets
Gross Amount	23	11
Gross Amounts Offset in the Statement of Financial Position	0	0
Net Amount Presented in the Statement of Financial Position	23	11
Gross Amounts Not Offset in the Statement of Financial Position, Financial Instruments	0	0
Derivative, Collateral, Obligation to Return Cash	$ 14	$ 10

Derivative Financial Instrume_6

Derivative Financial Instruments - Net Gain (Loss) Recognized on Designated Instruments (Details) - USD ($)	3 Months Ended								12 Months Ended
	Dec. 31, 2018	Sep. 30, 2018	Jun. 30, 2018	Mar. 31, 2018	Dec. 31, 2017	Sep. 30, 2017	Jun. 30, 2017	Mar. 31, 2017	Dec. 31, 2018	Dec. 31, 2017	Dec. 31, 2016
Derivative Instruments, Gain (Loss) [Line Items]
Net interest income	$ 152,000,000	$ 124,000,000	$ 115,000,000	$ 106,000,000	$ 107,000,000	$ 103,000,000	$ 97,000,000	$ 83,000,000	$ 497,000,000	$ 390,000,000	$ 323,000,000
Fair Value Hedging
Derivative Instruments, Gain (Loss) [Line Items]
Gain on hedges									0
Cash Flow Hedges | Reclassification from AOCI
Derivative Instruments, Gain (Loss) [Line Items]
Net interest income									29,000,000
Designated as Hedging Instrument
Derivative Instruments, Gain (Loss) [Line Items]
Gain on hedges									30,000,000	5,000,000
Designated as Hedging Instrument | Cash Flow Hedges | Reclassification from AOCI
Derivative Instruments, Gain (Loss) [Line Items]
Net interest income									$ 30,000,000	$ 5,000,000

Derivative Financial Instrume_7

Derivative Financial Instruments - Net Gain (Loss) Recognized in Income on Derivative Instruments (Details) - Not Designated as Hedging Instrument - USD ($) $ in Millions	12 Months Ended
	Dec. 31, 2018	Dec. 31, 2017	Dec. 31, 2016
Derivative Instruments, Gain (Loss) [Line Items]
Net gain (loss) recognized in income on derivative instruments	$ (33)	$ (40)	$ 28
Futures | Net (loss) return on mortgage servicing rights
Derivative Instruments, Gain (Loss) [Line Items]
Net gain (loss) recognized in income on derivative instruments	(4)	(1)	0
Interest rate swaps | Net (loss) return on mortgage servicing rights
Derivative Instruments, Gain (Loss) [Line Items]
Net gain (loss) recognized in income on derivative instruments	1	(11)	(5)
Interest rate swaps | Other noninterest income
Derivative Instruments, Gain (Loss) [Line Items]
Net gain (loss) recognized in income on derivative instruments	3	2	4
Mortgage-backed securities forwards | Net (loss) return on mortgage servicing rights
Derivative Instruments, Gain (Loss) [Line Items]
Net gain (loss) recognized in income on derivative instruments	(2)	4	5
Rate lock commitments and forward agency and loan sales | Net gain on loan sales
Derivative Instruments, Gain (Loss) [Line Items]
Net gain (loss) recognized in income on derivative instruments	(31)	(34)	26
Forward commitments | Other noninterest income
Derivative Instruments, Gain (Loss) [Line Items]
Net gain (loss) recognized in income on derivative instruments	$ 0	$ 0	$ (2)

Deposit Accounts - Summary of D

Deposit Accounts - Summary of Deposit Accounts (Details) - USD ($) $ in Millions	Dec. 31, 2018	Dec. 31, 2017
Deposits
Total deposits	$ 12,380	$ 8,934
Branch retail deposits
Deposits
Demand deposit accounts	1,297	560
Savings accounts	2,812	3,295
Money market demand accounts	628	91
Certificates of deposit/CDARS	2,387	1,494
Total deposits	7,124	5,440
Commercial deposits
Deposits
Demand deposit accounts	1,243	697
Savings accounts	314	258
Money market demand accounts	173	102
Total deposits	1,730	1,057
Retail deposits
Deposits
Total deposits	8,854	6,497
Government deposits
Deposits
Demand deposit accounts	326	251
Savings accounts	567	446
Certificates of deposit/CDARS	309	376
Total deposits	1,202	1,073
Wholesale deposits
Deposits
Total deposits	583	43
Custodial deposits
Deposits
Total deposits	$ 1,741	$ 1,321

Deposit Accounts - Scheduled Ma

Deposit Accounts - Scheduled Maturities for Certificates of Deposit (Details) - USD ($) $ in Millions	Dec. 31, 2018	Dec. 31, 2017
Contractual Maturities, Certificates of Deposit, $100,000 or More
Three months or less	$ 251	$ 159
Over three months to six months	165	128
Over six months to twelve months	229	173
One to two years	139	167
Thereafter	33	31
Total	$ 817	$ 658

Borrowings - Breakdown of FHLB

Borrowings - Breakdown of FHLB Advances and Other Borrowings Outstanding (Details) - USD ($) $ in Millions	Dec. 31, 2018	Dec. 31, 2017
Federal Home Loan Bank, Advances, Branch of FHLB Bank
FHLB, current	$ 3,244	$ 4,260
FHLB, non-current	150	1,405
Total	3,394	5,665
Long-term fixed rate advances
Federal Home Loan Bank, Advances, Branch of FHLB Bank
FHLB, non-current	50	125
Short-term fixed rate term advances
Federal Home Loan Bank, Advances, Branch of FHLB Bank
FHLB, current	$ 2,993	$ 4,260
FHLB, interest rate	2.52%	1.40%
Other short-term borrowings
Federal Home Loan Bank, Advances, Branch of FHLB Bank
FHLB, current	$ 251	$ 0
FHLB, interest rate	2.87%	0.00%
Long-term LIBOR adjustable advances
Federal Home Loan Bank, Advances, Branch of FHLB Bank
FHLB, interest rate	0.00%	1.76%
FHLB, non-current	$ 0	$ 1,130
Long-term fixed rate advances
Federal Home Loan Bank, Advances, Branch of FHLB Bank
FHLB, interest rate	1.53%	1.41%
FHLB, non-current	$ 150	$ 275

Borrowings - Narrative (Details

Borrowings - Narrative (Details) - USD ($)	Jul. 11, 2016	Dec. 31, 2018
Federal Home Loan Bank, Advances
Repayment of long-term FHLB advances		$ 1,100,000,000
Payment of interest on trust preferred securities		$ 0
Senior Notes | Senior Notes Maturing in 2021
Federal Home Loan Bank, Advances
Debt instrument face amount	$ 250,000,000
Redemption price percentage	100.00%
Senior Notes | Senior Notes Maturing in 2021 | Treasury rate
Federal Home Loan Bank, Advances
Variable rate on spread	0.50%

Borrowings - Detailed Informati

Borrowings - Detailed Information on FHLB Advances and Other Borrowings (Details) - USD ($) $ in Millions	12 Months Ended
	Dec. 31, 2018	Dec. 31, 2017	Dec. 31, 2016
Federal Home Loan Bank, Advances, Activity for Year
Maximum outstanding at any month end	$ 5,740	$ 5,665	$ 3,557
Average outstanding balance	4,713	4,590	2,833
Average remaining borrowing capacity	$ 2,089	$ 1,195	$ 1,137
Weighted average interest rate	1.96%	1.30%	1.16%

Borrowings - Maturity Dates of

Borrowings - Maturity Dates of FHLB Advances and Other Borrowings (Details) - USD ($) $ in Millions	Dec. 31, 2018	Dec. 31, 2017
Federal Home Loan Bank, Advances by Interest Rate Type, by Maturity
2,019	$ 3,294
2,020	0
2,021	0
2,022	0
Thereafter	100
Total	$ 3,394	$ 5,665

Borrowings - Summary of Long-Te

Borrowings - Summary of Long-Term Debt, Net of Debt Issuance Costs (Details) - USD ($) $ in Millions	Dec. 31, 2018	Dec. 31, 2017
Debt Instrument
Trust Preferred Securities	$ 247	$ 247
Total other long-term debt	495	494
Senior notes, matures 2021
Debt Instrument
Senior Notes	$ 248	$ 247
Interest Rate	6.125%	6.125%
Plus 3.25%, matures 2032
Debt Instrument
Trust Preferred Securities	$ 26	$ 26
Interest Rate	6.07%	4.92%
Plus 3.25%, matures 2033
Debt Instrument
Trust Preferred Securities	$ 26	$ 26
Interest Rate	5.69%	4.61%
Plus 3.25%, matures 2033
Debt Instrument
Trust Preferred Securities	$ 26	$ 26
Interest Rate	6.05%	4.94%
Plus 2.00%, matures 2035
Debt Instrument
Trust Preferred Securities	$ 26	$ 26
Interest Rate	4.44%	3.36%
Plus 2.00%, matures 2035
Debt Instrument
Trust Preferred Securities	$ 26	$ 26
Interest Rate	4.44%	3.36%
Plus 1.75%, matures 2035
Debt Instrument
Trust Preferred Securities	$ 51	$ 51
Interest Rate	4.54%	3.34%
Plus 1.50%, matures 2035
Debt Instrument
Trust Preferred Securities	$ 25	$ 25
Interest Rate	3.94%	2.86%
Plus 1.45%, matures 2037
Debt Instrument
Trust Preferred Securities	$ 25	$ 25
Interest Rate	4.24%	3.04%
Plus 2.50%, matures 2037
Debt Instrument
Trust Preferred Securities	$ 16	$ 16
Interest Rate	5.29%	4.09%

Warrants (Details)

Warrants (Details) - USD ($)	12 Months Ended
	Dec. 31, 2018	Dec. 31, 2017	Jan. 30, 2009
Preferred Stock
Class of Warrant or Right [Line Items]
Shares of preferred stock outstanding (in shares)			266,657
May Investors
Class of Warrant or Right [Line Items]
Warrants exercised to purchase common stock (in shares)	237,627
Warrants outstanding (in shares)		0
Warrant liabilities		$ 0
May Investors | Common Stock
Class of Warrant or Right [Line Items]
Common stock issued (in shares)		154,313
TARP
Class of Warrant or Right [Line Items]
Warrants to purchase common stock issued (in shares)			645,138
Exercise price of warrants (in dollars per share)			$ 62

Accumulated Other Comprehensi_3

Accumulated Other Comprehensive Income (Loss) (Details) - USD ($) $ in Millions	3 Months Ended								12 Months Ended
	Dec. 31, 2018	Sep. 30, 2018	Jun. 30, 2018	Mar. 31, 2018	Dec. 31, 2017	Sep. 30, 2017	Jun. 30, 2017	Mar. 31, 2017	Dec. 31, 2018	Dec. 31, 2017	Dec. 31, 2016
Accumulated Other Comprehensive Income (Loss) [Line Items]
Balance				$ 1,399				$ 1,336	$ 1,399	$ 1,336	$ 1,529
Other comprehensive loss, net of tax									(31)	(9)	(9)
Balance	$ 1,570				$ 1,399				1,570	1,399	1,336
Net interest income	(152)	$ (124)	$ (115)	(106)	(107)	$ (103)	$ (97)	(83)	(497)	(390)	(323)
Investment Securities
Accumulated Other Comprehensive Income (Loss) [Line Items]
Balance				(18)				(8)	(18)	(8)	5
Unrealized loss									(30)	(19)	(10)
Less: Tax benefit									(7)	(7)	(3)
Net unrealized loss									(23)	(12)	(7)
Reclassifications out of AOCI									(1)	3	(9)
Less: Tax (benefit) provision									0	1	(3)
Net unrealized gain (loss) reclassified out of AOCI									(1)	2	(6)
Reclassification of certain income tax effects									(5)	0	0
Other comprehensive loss, net of tax									(29)	(10)	(13)
Balance	(47)				(18)				(47)	(18)	(8)
Cash Flow Hedges
Accumulated Other Comprehensive Income (Loss) [Line Items]
Balance				$ 2				$ 1	2	1	(3)
Unrealized loss									27	5	(13)
Less: Tax benefit									7	1	(5)
Net unrealized loss									20	4	(8)
Reclassifications out of AOCI									(30)	(5)	19
Less: Tax (benefit) provision									(8)	(2)	7
Net unrealized gain (loss) reclassified out of AOCI									(22)	(3)	12
Other comprehensive loss, net of tax									(2)	1	4
Balance	$ 0				$ 2				0	$ 2	$ 1
Cash Flow Hedges | Reclassification from AOCI
Accumulated Other Comprehensive Income (Loss) [Line Items]
Net interest income									$ (29)

Earnings Per Share - Computatio

Earnings Per Share - Computation of Basic and Diluted Earnings Per Share of Common Stock (Details) - USD ($)	3 Months Ended								12 Months Ended
	Dec. 31, 2018	Sep. 30, 2018	Jun. 30, 2018	Mar. 31, 2018	Dec. 31, 2017	Sep. 30, 2017	Jun. 30, 2017	Mar. 31, 2017	Dec. 31, 2018	Dec. 31, 2017	Dec. 31, 2016
Earnings Per Share [Abstract]
Net income	$ 54,000,000	$ 48,000,000	$ 50,000,000	$ 35,000,000	$ (45,000,000)	$ 40,000,000	$ 41,000,000	$ 27,000,000	$ 187,000,000	$ 63,000,000	$ 171,000,000
Deferred cumulative preferred stock dividends									0	0	(18,000,000)
Net income applicable to common stockholders									$ 187,000,000	$ 63,000,000	$ 153,000,000
Weighted Average Shares
Weighted average common shares outstanding (in shares)									57,520,289	57,093,868	56,569,307
Effect of dilutive securities
May Investor Warrants (in shares)									0	12,287	138,314
Stock-based Awards (in shares)									802,661	1,072,188	890,046
Weighted average diluted common shares (in shares)									58,322,950	58,178,343	57,597,667
Earnings per common share
Basic income (loss) per share (in usd per share)	$ 0.94	$ 0.84	$ 0.86	$ 0.61	$ (0.79)	$ 0.71	$ 0.72	$ 0.47	$ 3.26	$ 1.11	$ 2.71
Effect of dilutive securities
Effect of dilutive securities - May Investor Warrants (in usd per share)									0	0	(0.01)
Effect of dilutive securities - Stock-based awards (in usd per share)									(0.05)	(0.02)	(0.04)
Diluted earnings per common share (in usd per share)	$ 0.93	$ 0.83	$ 0.85	$ 0.60	$ (0.79)	$ 0.70	$ 0.71	$ 0.46	$ 3.21	$ 1.09	$ 2.66

Earnings Per Share - Narrative

Earnings Per Share - Narrative (Details) $ in Millions	Jul. 29, 2016USD ($)
Preferred Stock
Antidilutive Securities Excluded from Computation of Earnings Per Share
Preferred stock, redemption amount	$ 267

Stock-Based Compensation - Summ

Stock-Based Compensation - Summary of Stock Option Activity (Details) - $ / shares	12 Months Ended
	Dec. 31, 2018	Dec. 31, 2017	Dec. 31, 2016
Number of Shares
Options outstanding, beginning of year (in shares)	40,718	45,791	53,284
Options canceled, forfeited and expired (in shares)	(4,625)	(5,073)	(7,493)
Options outstanding, end of year (in shares)	36,093	40,718	45,791
Options vested and expected to vest, end of year (in shares)	36,093	40,718	45,791
Options exercisable, end of year (in shares)	17,991	20,286	23,576
Weighted Average Exercise Price
Options outstanding, beginning of year (in dollars per share)	$ 80	$ 80	$ 80
Options canceled, forfeited and expired (in dollars per share)	80	80	80
Options outstanding, end of year (in dollars per share)	80	80	80
Options vested and expected to vest, end of year (in dollars per share)	80	80	80
Options exercisable, end of year (in dollars per share)	$ 80	$ 80	$ 80
Weighted average remaining contractual life	1 year 1 month 6 days

Stock-Based Compensation - Narr

Stock-Based Compensation - Narrative (Details) - USD ($)	Mar. 20, 2018	Dec. 31, 2018	Dec. 31, 2017	Dec. 31, 2016	Jul. 01, 2017
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Intrinsic value of options exercised		$ 0	$ 0	$ 0
Aggregate intrinsic value of options outstanding		0	0	0
Restricted Stock Units
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Share-based compensation expense		9,000,000	7,000,000	3,000,000
Unrecognized stock based compensation expense		$ 29,000,000
Period to be recognized		2 years 7 months 6 days
2006 Plan
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Share-based compensation expense		$ 11,000,000	$ 11,000,000	11,000,000
2006 Plan | Non-Qualified Stock Options
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Contractual term		5 years
2006 Plan | Stock Appreciation Rights (SARs)
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Contractual term		7 years
2006 Plan | Restricted Stock Units
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Options available for future grants (in shares)		1,481,288
LTIP | Restricted Stock Units
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Vesting period		3 years
2018 ExLTIP II | Restricted Stock Units
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Vesting period	4 years
2017 ESPP | Employee Stock
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Number of shares authorized					800,000
Number of shares issued		114,385	48,032
Other Incentive Plans
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Share-based compensation expense		$ 30,000,000	$ 33,000,000	$ 33,000,000

Stock-Based Compensation - Su_2

Stock-Based Compensation - Summary of Restricted Stock Activity (Details) - Restricted Stock Units - $ / shares	12 Months Ended
	Dec. 31, 2018	Dec. 31, 2017	Dec. 31, 2016
Number of Shares
Non-vested balance at beginning of period (in shares)	1,290,450	1,461,910	1,299,985
Granted (in shares)	875,352	357,058	310,209
Vested (in shares)	(401,379)	(385,454)	(134,767)
Canceled and forfeited (in shares)	(143,855)	(143,064)	(13,517)
Non-vested balance at end of period (in shares)	1,620,568	1,290,450	1,461,910
Weighted Average Grant-Date Fair Value per Share
Non-vested balance at beginning of period (in dollars per share)	$ 20.52	$ 17.68	$ 16.36
Granted (in dollars per share)	34.32	28.06	22.97
Vested (in dollars per share)	23.04	17.36	15.78
Canceled and forfeited (in dollars per share)	21.46	18.89	17.24
Non-vested balance at end of period (in dollars per share)	$ 27.27	$ 20.52	$ 17.68

Income Taxes - Components of th

Income Taxes - Components of the Provision (Benefit) for Income Taxes (Details) - USD ($) $ in Millions	3 Months Ended								12 Months Ended
	Dec. 31, 2018	Sep. 30, 2018	Jun. 30, 2018	Mar. 31, 2018	Dec. 31, 2017	Sep. 30, 2017	Jun. 30, 2017	Mar. 31, 2017	Dec. 31, 2018	Dec. 31, 2017	Dec. 31, 2016
Current
Federal									$ 0	$ 2	$ 4
State									1	0	0
Total current income tax expense									1	2	4
Deferred
Federal									47	66	84
Federal impact of tax reform									0	80	0
State									(3)	0	(1)
Total deferred income tax expense (benefit)									44	146	83
Total income tax expense	$ 12	$ 12	$ 12	$ 9	$ 96	$ 20	$ 19	$ 13	$ 45	$ 148	$ 87

Income Taxes - Summary of Diffe

Income Taxes - Summary of Differences Between the Effective Tax Rate and the Statutory Federal Tax Rate (Details) - USD ($) $ in Millions	3 Months Ended								12 Months Ended
	Dec. 31, 2018	Sep. 30, 2018	Jun. 30, 2018	Mar. 31, 2018	Dec. 31, 2017	Sep. 30, 2017	Jun. 30, 2017	Mar. 31, 2017	Dec. 31, 2018	Dec. 31, 2017	Dec. 31, 2016
Effective Income Tax Rate Reconciliation, Amount
Provision at statutory federal income tax rate									$ 49	$ 74	$ 90
Non-deductible compensation									2	0	0
Bank Owned Life Insurance									(2)	(3)	(3)
State income tax benefit, net of federal income tax effect (includes valuation allowance)									(2)	0	(1)
Restricted stock compensation									(1)	(2)	0
Tax Reform									0	80	0
Warrant expense (income)									0	0	1
Other									(1)	(1)	0
Total income tax expense	$ 12	$ 12	$ 12	$ 9	$ 96	$ 20	$ 19	$ 13	$ 45	$ 148	$ 87
Effective tax provision rate									19.40%	70.10%	33.70%
Statutory federal income tax rate									21.00%	35.00%	35.00%

Income Taxes - Narrative (Detai

Income Taxes - Narrative (Details) - USD ($) $ in Millions	12 Months Ended
	Dec. 31, 2018	Dec. 31, 2017	Dec. 31, 2016
Operating Loss Carryforwards
Tax reform impact to tax rate	$ 0	$ 80	$ 0
Temporary differences related to provision for loan losses not expected to reverse therefore not included in deferred tax assets	4
Operating loss carryforwards, amount subject to annual use limitation	86
Total state net operating loss carryforwards	516
Valuation allowance	14	20
Income tax penalties and interest expense (less than)	1	1	$ 1
Federal
Operating Loss Carryforwards
Operating loss carryforwards	154	$ 381
State and Local Jurisdiction
Operating Loss Carryforwards
Operating loss carryforwards, amount subject to annual use limitation	18
Total state deferred tax asset	32
Valuation allowance	$ 14

Income Taxes - Temporary Differ

Income Taxes - Temporary Differences and Carryforwards Giving Rise to DTAs and Liabilities (Details) - USD ($) $ in Millions	Dec. 31, 2018	Dec. 31, 2017
Deferred tax assets
Net operating loss carryforwards (Federal and State)	$ 58	$ 110
Allowance for loan losses	40	43
Litigation settlement	14	14
Accrued compensation	2	3
General business credits	10	10
Contingent consideration	3	6
Mortgage loan servicing rights	3	0
Loan deferred fees and costs	1	2
Non-accrual interest revenue	1	1
Deferred interest	1	1
General business credits	7	3
Other	3	2
Total	143	195
Valuation allowance	(14)	(20)
Total net	129	175
Deferred tax liabilities
Mark-to-market adjustments	(11)	(10)
Premises and equipment	(8)	(14)
Commercial lease financing	(4)	(9)
State and local taxes	(3)	(3)
Mortgage loan servicing rights	0	(3)
Total	(26)	(39)
Net deferred tax asset	$ 103	$ 136

Regulatory Capital (Details)

Regulatory Capital (Details) - USD ($) $ in Millions	Dec. 31, 2018	Dec. 31, 2017
Tangible Capital
Tangible capital (to tangible assets), actual amount	$ 1,505	$ 1,442
Tangible capital (to tangible assets), actual ratio (percent)	8.29%	8.51%
Tier 1 Capital
Tier 1 capital, actual amount	$ 1,505	$ 1,442
Tier 1 capital (to adjusted tangible assets), actual ratio	8.29%	8.51%
Tier 1 capital, for capital adequacy purposes amount	$ 726	$ 678
Tier 1 capital (to adjusted tangible assets), for capital adequacy purposes ratio (percent)	4.00%	4.00%
Tier 1 capital, capitalized under prompt corrective action provision amount	$ 908	$ 848
Tier 1 capital (to adjusted tangible assets), capitalized under prompt corrective action provision ratio	5.00%	5.00%
Common Equity Tier 1 Capital
Common equity Tier 1 capital (to RWA), actual amount	$ 1,265	$ 1,216
Common equity Tier 1 capital (to RWA), actual ratio (percent)	10.54%	11.50%
Common equity Tier 1 capital (to RWA), For Capital Adequacy Purposes, Amount	$ 540	$ 476
Common equity Tier 1 capital (to RWA), For Capital Adequacy Purposes, Ratio (percent)	4.50%	4.50%
Common equity Tier 1 capital (to RWA), Well Capitalized Under Prompt Corrective Action Provisions, Amount	$ 780	$ 688
Common equity Tier 1 capital (to RWA), Well Capitalized Under Prompt Corrective Action Provisions, Ratio (percent)	6.50%	6.50%
Tier One Risk Based Capital
Tier 1 capital, actual amount	$ 1,505	$ 1,442
Tier 1 capital (to risk weighted assets), actual ratio (percent)	12.54%	13.63%
Tier 1 capital, for capital adequacy purposes amount	$ 720	$ 635
Tier 1 capital (to risk weighted assets), for capital adequacy purposes ratio (percent)	6.00%	6.00%
Tier 1 capital, capitalized under prompt corrective action provision amount	$ 960	$ 846
Tier 1 capital (to risk weighted assets), capitalized under prompt corrective action provision ratio (percent)	8.00%	8.00%
Capital
Total capital, actual amount	$ 1,637	$ 1,576
Total capital (to risk weighted assets), actual ratio (percent)	13.63%	14.90%
Total capital, for capital adequacy purposes amount	$ 960	$ 846
Total capital (to risk weighted assets), for capital adequacy purposes ratio (percent)	8.00%	8.00%
Total capital, capitalized under prompt corrective action provisions amount	$ 1,201	$ 1,058
Total capital (to risk weighted assets), capitalized under prompt corrective action provisions ratio (percent)	10.00%	10.00%
Bank
Tangible Capital
Tangible capital (to tangible assets), actual amount	$ 1,574	$ 1,531
Tangible capital (to tangible assets), actual ratio (percent)	8.67%	9.04%
Tier 1 Capital
Tier 1 capital, actual amount	$ 1,574	$ 1,531
Tier 1 capital (to adjusted tangible assets), actual ratio	8.67%	9.04%
Tier 1 capital, for capital adequacy purposes amount	$ 726	$ 677
Tier 1 capital (to adjusted tangible assets), for capital adequacy purposes ratio (percent)	4.00%	4.00%
Tier 1 capital, capitalized under prompt corrective action provision amount	$ 908	$ 847
Tier 1 capital (to adjusted tangible assets), capitalized under prompt corrective action provision ratio	5.00%	5.00%
Common Equity Tier 1 Capital
Common equity Tier 1 capital (to RWA), actual amount	$ 1,574	$ 1,531
Common equity Tier 1 capital (to RWA), actual ratio (percent)	13.12%	14.46%
Common equity Tier 1 capital (to RWA), For Capital Adequacy Purposes, Amount	$ 540	$ 476
Common equity Tier 1 capital (to RWA), For Capital Adequacy Purposes, Ratio (percent)	4.50%	4.50%
Common equity Tier 1 capital (to RWA), Well Capitalized Under Prompt Corrective Action Provisions, Amount	$ 780	$ 688
Common equity Tier 1 capital (to RWA), Well Capitalized Under Prompt Corrective Action Provisions, Ratio (percent)	6.50%	6.50%
Tier One Risk Based Capital
Tier 1 capital, actual amount	$ 1,574	$ 1,531
Tier 1 capital (to risk weighted assets), actual ratio (percent)	13.12%	14.46%
Tier 1 capital, for capital adequacy purposes amount	$ 720	$ 635
Tier 1 capital (to risk weighted assets), for capital adequacy purposes ratio (percent)	6.00%	6.00%
Tier 1 capital, capitalized under prompt corrective action provision amount	$ 960	$ 847
Tier 1 capital (to risk weighted assets), capitalized under prompt corrective action provision ratio (percent)	8.00%	8.00%
Capital
Total capital, actual amount	$ 1,705	$ 1,664
Total capital (to risk weighted assets), actual ratio (percent)	14.21%	15.72%
Total capital, for capital adequacy purposes amount	$ 960	$ 847
Total capital (to risk weighted assets), for capital adequacy purposes ratio (percent)	8.00%	8.00%
Total capital, capitalized under prompt corrective action provisions amount	$ 1,200	$ 1,059
Total capital (to risk weighted assets), capitalized under prompt corrective action provisions ratio (percent)	10.00%	10.00%

Legal Proceedings, Contingenc_3

Legal Proceedings, Contingencies and Commitments - Narrative (Details) - USD ($) $ in Millions	12 Months Ended
	Dec. 31, 2018	Dec. 31, 2017
Loss Contingency, Settlement
Tier 1 capital (to adjusted tangible assets), capitalized under prompt corrective action provision ratio	5.00%	5.00%
Business acquisition threshold	33.30%
Accrued reserve for contingent liabilities	$ 2	$ 1
Letter of credit, reserve amount	$ 3	$ 3
Bank
Loss Contingency, Settlement
Tier 1 capital (to adjusted tangible assets), capitalized under prompt corrective action provision ratio	5.00%	5.00%
DOJ Agreement
Loss Contingency, Settlement
Litigation settlement, initial payment	$ 15
Litigation settlement payment amount	$ 118
DOJ Agreement | Bank
Loss Contingency, Settlement
Tier 1 capital (to adjusted tangible assets), capitalized under prompt corrective action provision ratio	11.00%
DOJ Agreement | Subsequent Payments
Loss Contingency, Settlement
Litigation expense	$ 25

Legal Proceedings, Contingenc_4

Legal Proceedings, Contingencies and Commitments - Summary of the Contractual Amount of Significant Commitmments (Details) - USD ($) $ in Millions	Dec. 31, 2018	Dec. 31, 2017
Mortgage loan interest-rate lock commitments
Commitments
Commitments to extend credit	$ 2,293	$ 3,667
Warehouse loan commitments
Commitments
Commitments to extend credit	2,334	1,618
Commercial and industrial commitments
Commitments
Commitments to extend credit	918	695
Other commercial commitments
Commitments
Commitments to extend credit	1,260	1,021
HELOC commitments
Commitments
Commitments to extend credit	429	283
Other consumer commitments
Commitments
Commitments to extend credit	108	15
Standby and commercial letters of credit
Commitments
Commitments to extend credit	$ 63	$ 50

Fair Value Measurements - FInan

Fair Value Measurements - FInancial Instruments Carried at Fair Value (Details) - USD ($) $ in Millions	Dec. 31, 2018	Dec. 31, 2017
Assets, Fair Value Disclosure
Investment securities available-for-sale	$ 2,142	$ 1,853
Loans held-for-sale	3,732	4,300
Loans held-for-investment	10	12
Mortgage servicing rights	290	291
Total assets at fair value	3,742	4,312
Agency - Commercial
Assets, Fair Value Disclosure
Investment securities available-for-sale	1,374	987
Agency - Residential
Assets, Fair Value Disclosure
Investment securities available-for-sale	662	794
Municipal obligations
Assets, Fair Value Disclosure
Investment securities available-for-sale	32	34
Corporate debt obligations
Assets, Fair Value Disclosure
Investment securities available-for-sale	41	38
Other MBS
Assets, Fair Value Disclosure
Investment securities available-for-sale	33
Total fair value
Assets, Fair Value Disclosure
Investment securities available-for-sale	2,142	1,853
Loans held-for-sale	3,870	4,322
Loans held-for-investment	8,966	7,667
Mortgage servicing rights	290	291
Liabilities, Fair Value Disclosure
Contingent consideration	(6)	(25)
Total fair value | Level 1
Assets, Fair Value Disclosure
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
Contingent consideration	0	0
Total fair value | Level 2
Assets, Fair Value Disclosure
Investment securities available-for-sale	2,142	1,853
Loans held-for-sale	3,870	4,322
Loans held-for-investment	8	8
Mortgage servicing rights	0	0
Liabilities, Fair Value Disclosure
Contingent consideration	0	0
Total fair value | Level 3
Assets, Fair Value Disclosure
Investment securities available-for-sale	0	0
Loans held-for-sale	0	0
Loans held-for-investment	8,958	7,659
Mortgage servicing rights	290	291
Liabilities, Fair Value Disclosure
Contingent consideration	(6)	(25)
Recurring | Level 1
Assets, Fair Value Disclosure
Mortgage servicing rights	0	0
Total assets at fair value	0	0
Liabilities, Fair Value Disclosure
DOJ litigation settlement	0	0
Total liabilities at fair value	0	0
Recurring | Level 1 | Rate lock commitments
Assets, Fair Value Disclosure
Derivative assets	0	0
Recurring | Level 1 | Futures
Liabilities, Fair Value Disclosure
Derivative liabilities	0
Recurring | Level 1 | Interest rate swaps on CDs
Liabilities, Fair Value Disclosure
Derivative liabilities		0
Recurring | Level 1 | Mortgage-backed securities forwards
Assets, Fair Value Disclosure
Derivative assets	0	0
Liabilities, Fair Value Disclosure
Derivative liabilities	0	0
Recurring | Level 1 | Interest rate swaps and swaptions
Assets, Fair Value Disclosure
Derivative assets	0	0
Recurring | Level 1 | Interest rate swaps
Liabilities, Fair Value Disclosure
Derivative liabilities	0	0
Recurring | Level 1 | Contingent consideration
Liabilities, Fair Value Disclosure
Contingent consideration	0	0
Recurring | Level 1 | Residential first mortgage loans
Assets, Fair Value Disclosure
Loans held-for-sale	0	0
Loans held-for-investment	0	0
Recurring | Level 1 | Home Equity
Assets, Fair Value Disclosure
Loans held-for-investment	0	0
Recurring | Level 1 | Agency - Commercial
Assets, Fair Value Disclosure
Investment securities available-for-sale	0	0
Recurring | Level 1 | Agency - Residential
Assets, Fair Value Disclosure
Investment securities available-for-sale	0	0
Recurring | Level 1 | Municipal obligations
Assets, Fair Value Disclosure
Investment securities available-for-sale	0	0
Recurring | Level 1 | Corporate debt obligations
Assets, Fair Value Disclosure
Investment securities available-for-sale	0	0
Recurring | Level 1 | Other MBS
Assets, Fair Value Disclosure
Investment securities available-for-sale	0
Recurring | Level 2
Assets, Fair Value Disclosure
Mortgage servicing rights	0	0
Total assets at fair value	5,909	6,176
Liabilities, Fair Value Disclosure
DOJ litigation settlement	0	0
Total liabilities at fair value	(39)	(11)
Recurring | Level 2 | Rate lock commitments
Assets, Fair Value Disclosure
Derivative assets	0	0
Recurring | Level 2 | Futures
Liabilities, Fair Value Disclosure
Derivative liabilities	(1)
Recurring | Level 2 | Interest rate swaps on CDs
Liabilities, Fair Value Disclosure
Derivative liabilities		(1)
Recurring | Level 2 | Mortgage-backed securities forwards
Assets, Fair Value Disclosure
Derivative assets	4	4
Liabilities, Fair Value Disclosure
Derivative liabilities	(31)	(6)
Recurring | Level 2 | Interest rate swaps and swaptions
Assets, Fair Value Disclosure
Derivative assets	23	11
Recurring | Level 2 | Interest rate swaps
Liabilities, Fair Value Disclosure
Derivative liabilities	(7)	(4)
Recurring | Level 2 | Contingent consideration
Liabilities, Fair Value Disclosure
Contingent consideration	0	0
Recurring | Level 2 | Residential first mortgage loans
Assets, Fair Value Disclosure
Loans held-for-sale	3,732	4,300
Loans held-for-investment	8	8
Recurring | Level 2 | Home Equity
Assets, Fair Value Disclosure
Loans held-for-investment	0	0
Recurring | Level 2 | Agency - Commercial
Assets, Fair Value Disclosure
Investment securities available-for-sale	1,374	987
Recurring | Level 2 | Agency - Residential
Assets, Fair Value Disclosure
Investment securities available-for-sale	662	794
Recurring | Level 2 | Municipal obligations
Assets, Fair Value Disclosure
Investment securities available-for-sale	32	34
Recurring | Level 2 | Corporate debt obligations
Assets, Fair Value Disclosure
Investment securities available-for-sale	42	38
Recurring | Level 2 | Other MBS
Assets, Fair Value Disclosure
Investment securities available-for-sale	32
Recurring | Level 3
Assets, Fair Value Disclosure
Mortgage servicing rights	290	291
Total assets at fair value	312	319
Liabilities, Fair Value Disclosure
DOJ litigation settlement	(60)	(60)
Total liabilities at fair value	(66)	(85)
Recurring | Level 3 | Rate lock commitments
Assets, Fair Value Disclosure
Derivative assets	20	24
Recurring | Level 3 | Futures
Liabilities, Fair Value Disclosure
Derivative liabilities	0
Recurring | Level 3 | Interest rate swaps on CDs
Liabilities, Fair Value Disclosure
Derivative liabilities		0
Recurring | Level 3 | Mortgage-backed securities forwards
Assets, Fair Value Disclosure
Derivative assets	0	0
Liabilities, Fair Value Disclosure
Derivative liabilities	0	0
Recurring | Level 3 | Interest rate swaps and swaptions
Assets, Fair Value Disclosure
Derivative assets	0	0
Recurring | Level 3 | Interest rate swaps
Liabilities, Fair Value Disclosure
Derivative liabilities	0	0
Recurring | Level 3 | Contingent consideration
Liabilities, Fair Value Disclosure
Contingent consideration	(6)	(25)
Recurring | Level 3 | Residential first mortgage loans
Assets, Fair Value Disclosure
Loans held-for-sale	0	0
Loans held-for-investment	0	0
Recurring | Level 3 | Home Equity
Assets, Fair Value Disclosure
Loans held-for-investment	2	4
Recurring | Level 3 | Agency - Commercial
Assets, Fair Value Disclosure
Investment securities available-for-sale	0	0
Recurring | Level 3 | Agency - Residential
Assets, Fair Value Disclosure
Investment securities available-for-sale	0	0
Recurring | Level 3 | Municipal obligations
Assets, Fair Value Disclosure
Investment securities available-for-sale	0	0
Recurring | Level 3 | Corporate debt obligations
Assets, Fair Value Disclosure
Investment securities available-for-sale	0	0
Recurring | Level 3 | Other MBS
Assets, Fair Value Disclosure
Investment securities available-for-sale	0
Recurring | Total fair value
Assets, Fair Value Disclosure
Mortgage servicing rights	290	291
Total assets at fair value	6,221	6,495
Liabilities, Fair Value Disclosure
DOJ litigation settlement	(60)	(60)
Total liabilities at fair value	(105)	(96)
Recurring | Total fair value | Rate lock commitments
Assets, Fair Value Disclosure
Derivative assets	20	24
Recurring | Total fair value | Futures
Liabilities, Fair Value Disclosure
Derivative liabilities	(1)
Recurring | Total fair value | Interest rate swaps on CDs
Liabilities, Fair Value Disclosure
Derivative liabilities		(1)
Recurring | Total fair value | Mortgage-backed securities forwards
Assets, Fair Value Disclosure
Derivative assets	4	4
Liabilities, Fair Value Disclosure
Derivative liabilities	(31)	(6)
Recurring | Total fair value | Interest rate swaps and swaptions
Assets, Fair Value Disclosure
Derivative assets	23	11
Recurring | Total fair value | Interest rate swaps
Liabilities, Fair Value Disclosure
Derivative liabilities	(7)	(4)
Recurring | Total fair value | Contingent consideration
Liabilities, Fair Value Disclosure
Contingent consideration	(6)	(25)
Recurring | Total fair value | Residential first mortgage loans
Assets, Fair Value Disclosure
Loans held-for-sale	3,732	4,300
Loans held-for-investment	8	8
Recurring | Total fair value | Home Equity
Assets, Fair Value Disclosure
Loans held-for-investment	2	4
Recurring | Total fair value | Agency - Commercial
Assets, Fair Value Disclosure
Investment securities available-for-sale	1,374	987
Recurring | Total fair value | Agency - Residential
Assets, Fair Value Disclosure
Investment securities available-for-sale	662	794
Recurring | Total fair value | Municipal obligations
Assets, Fair Value Disclosure
Investment securities available-for-sale	32	34
Recurring | Total fair value | Corporate debt obligations
Assets, Fair Value Disclosure
Investment securities available-for-sale	42	$ 38
Recurring | Total fair value | Other MBS
Assets, Fair Value Disclosure
Investment securities available-for-sale	$ 32

Fair Value Measurements - Narra

Fair Value Measurements - Narrative (Details)	12 Months Ended
	Dec. 31, 2018	Dec. 31, 2017
Measurement Input, Expected Term | Level 3 | Residential mortgage servicing rights capitalized
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis
Weighted-average life	5 years 2 months 12 days	6 years

Fair Value Measurements - Roll

Fair Value Measurements - Roll Forward of Financial Instruments (Details) - Recurring - USD ($) $ in Millions	12 Months Ended
	Dec. 31, 2018	Dec. 31, 2017	Dec. 31, 2016
Assets, Unobservable Input Reconciliation
Balance at Beginning of Year	$ 319	$ 418	$ 428
Total Gains/(Losses) Recorded in Earnings	(52)	35	(75)
Purchases / Originations	591	555	553
Sales	(339)	(362)	(84)
Settlement	(2)	(9)	(46)
Transfers In (Out)	(205)	(318)	(358)
Balance at End of Year	312	319	418
Liabilities, Unobservable Input Reconciliation
Balance at Beginning of Year	(85)	(60)
Total Gains/(Losses) Recorded in Earnings	13	(1)
Purchases / Originations	0	(25)
Sales	0	0
Settlement	6	1
Transfers In (Out)	0	0
Balance at End of Year	(66)	(85)	(60)
Home Equity
Assets, Unobservable Input Reconciliation
Balance at Beginning of Year	4	65	106
Total Gains/(Losses) Recorded in Earnings	0	2	5
Purchases / Originations	0	0	0
Sales	0	0	0
Settlement	(2)	(8)	(46)
Transfers In (Out)	0	(55)	0
Balance at End of Year	2	4	65
Home Equity | Loans held-for-sale
Assets, Unobservable Input Reconciliation
Balance at Beginning of Year	0	0
Total Gains/(Losses) Recorded in Earnings		1
Purchases / Originations		0
Sales		(52)
Settlement		(1)
Transfers In (Out)		52
Balance at End of Year		0	0
Mortgage servicing rights
Assets, Unobservable Input Reconciliation
Balance at Beginning of Year	291	335	296
Total Gains/(Losses) Recorded in Earnings	(18)	(22)	(105)
Purchases / Originations	356	288	228
Sales	(339)	(310)	(84)
Settlement	0	0	0
Transfers In (Out)	0	0	0
Balance at End of Year	290	291	335
Rate lock commitments
Assets, Unobservable Input Reconciliation
Balance at Beginning of Year	24	18	26
Total Gains/(Losses) Recorded in Earnings	(34)	54	25
Purchases / Originations	235	267	325
Sales	0	0	0
Settlement	0	0	0
Transfers In (Out)	(205)	(315)	(358)
Balance at End of Year	20	24	18
DOJ litigation settlement
Liabilities, Unobservable Input Reconciliation
Balance at Beginning of Year	(60)	(60)	(84)
Total Gains/(Losses) Recorded in Earnings	0	0	24
Purchases / Originations	0	0	0
Sales	0	0	0
Settlement	0	0	0
Transfers In (Out)	0	0	0
Balance at End of Year	(60)	(60)	(60)
Contingent consideration
Liabilities, Unobservable Input Reconciliation
Balance at Beginning of Year	(25)	0
Total Gains/(Losses) Recorded in Earnings	13	(1)
Purchases / Originations	0	(25)
Sales	0	0
Settlement	6	1
Transfers In (Out)	0	0
Balance at End of Year	$ (6)	$ (25)	$ 0

Fair Value Measurements - Quant

Fair Value Measurements - Quantitative Information about Recurring Level 3 Fair Value Financial Instruments (Details) - Recurring - Level 3 $ in Millions	Dec. 31, 2018USD ($)$ / loan	Dec. 31, 2017USD ($)$ / loan
Home Equity
Fair Value Inputs, Assets and Liabilities, Quantitative Information
Loans held-for-investment	$ 2	$ 4
Home Equity | Discount rate | Range (Weighted Average)
Fair Value Inputs, Assets and Liabilities, Quantitative Information
Loans held for investment, fair value input	0.072	0.072
Home Equity | Discount rate | Maximum
Fair Value Inputs, Assets and Liabilities, Quantitative Information
Loans held for investment, fair value input	0.108	0.108
Home Equity | Discount rate | Weighted Average
Fair Value Inputs, Assets and Liabilities, Quantitative Information
Loans held for investment, fair value input	0.090	0.090
Home Equity | Constant prepayment rate | Range (Weighted Average)
Fair Value Inputs, Assets and Liabilities, Quantitative Information
Loans held for investment, fair value input	0.136	0.051
Home Equity | Constant prepayment rate | Maximum
Fair Value Inputs, Assets and Liabilities, Quantitative Information
Loans held for investment, fair value input	0.203	0.077
Home Equity | Constant prepayment rate | Weighted Average
Fair Value Inputs, Assets and Liabilities, Quantitative Information
Loans held for investment, fair value input	0.169	0.064
Home Equity | Constant default rate | Range (Weighted Average)
Fair Value Inputs, Assets and Liabilities, Quantitative Information
Loans held for investment, fair value input	0.030	0.030
Home Equity | Constant default rate | Maximum
Fair Value Inputs, Assets and Liabilities, Quantitative Information
Loans held for investment, fair value input	0.046	0.045
Home Equity | Constant default rate | Weighted Average
Fair Value Inputs, Assets and Liabilities, Quantitative Information
Loans held for investment, fair value input	0.038	0.036
Mortgage servicing rights
Fair Value Inputs, Assets and Liabilities, Quantitative Information
Mortgage servicing rights	$ 290	$ 291
Mortgage servicing rights | Constant prepayment rate | Range (Weighted Average)
Fair Value Inputs, Assets and Liabilities, Quantitative Information
Weighted average cost to service per loan (in dollars per loan)	0	0.080
Mortgage servicing rights | Constant prepayment rate | Maximum
Fair Value Inputs, Assets and Liabilities, Quantitative Information
Weighted average cost to service per loan (in dollars per loan)	0.107	0.118
Mortgage servicing rights | Constant prepayment rate | Weighted Average
Fair Value Inputs, Assets and Liabilities, Quantitative Information
Weighted average cost to service per loan (in dollars per loan)	0.096	0.099
Mortgage servicing rights | Option adjusted spread | Range (Weighted Average)
Fair Value Inputs, Assets and Liabilities, Quantitative Information
Weighted average cost to service per loan (in dollars per loan)	0.021	0.050
Mortgage servicing rights | Option adjusted spread | Maximum
Fair Value Inputs, Assets and Liabilities, Quantitative Information
Weighted average cost to service per loan (in dollars per loan)	0.259	0.075
Mortgage servicing rights | Option adjusted spread | Weighted Average
Fair Value Inputs, Assets and Liabilities, Quantitative Information
Weighted average cost to service per loan (in dollars per loan)	0.054	0.063
Mortgage servicing rights | Weighted average cost to service per loan | Range (Weighted Average)
Fair Value Inputs, Assets and Liabilities, Quantitative Information
Weighted average cost to service per loan (in dollars per loan) | $ / loan	67	58
Mortgage servicing rights | Weighted average cost to service per loan | Maximum
Fair Value Inputs, Assets and Liabilities, Quantitative Information
Weighted average cost to service per loan (in dollars per loan) | $ / loan	95	87
Mortgage servicing rights | Weighted average cost to service per loan | Weighted Average
Fair Value Inputs, Assets and Liabilities, Quantitative Information
Weighted average cost to service per loan (in dollars per loan) | $ / loan	86	73
Rate lock commitments
Fair Value Inputs, Assets and Liabilities, Quantitative Information
Derivative assets	$ 20	$ 24
Rate lock commitments | Origination pull-through rate | Range (Weighted Average)
Fair Value Inputs, Assets and Liabilities, Quantitative Information
Rate lock commitment, fair value input	0.750	0.647
Rate lock commitments | Origination pull-through rate | Maximum
Fair Value Inputs, Assets and Liabilities, Quantitative Information
Rate lock commitment, fair value input	0.872	0.971
Rate lock commitments | Origination pull-through rate | Weighted Average
Fair Value Inputs, Assets and Liabilities, Quantitative Information
Rate lock commitment, fair value input	0.768	0.820
DOJ litigation settlement
Fair Value Inputs, Assets and Liabilities, Quantitative Information
DOJ litigation settlement	$ (60)	$ (60)
Contingent consideration
Fair Value Inputs, Assets and Liabilities, Quantitative Information
Contingent consideration	$ (6)	$ (25)
Contingent consideration | Beta | Range (Weighted Average)
Fair Value Inputs, Assets and Liabilities, Quantitative Information
Fair value inputs, equity volatility	0.006	0.006
Contingent consideration | Beta | Maximum
Fair Value Inputs, Assets and Liabilities, Quantitative Information
Fair value inputs, equity volatility	0.016	0.016
Contingent consideration | Beta | Weighted Average
Fair Value Inputs, Assets and Liabilities, Quantitative Information
Fair value inputs, equity volatility	0.011	0.011
Contingent consideration | Equity volatility | Range (Weighted Average)
Fair Value Inputs, Assets and Liabilities, Quantitative Information
Fair value inputs, equity volatility	0.266	0.266
Contingent consideration | Equity volatility | Maximum
Fair Value Inputs, Assets and Liabilities, Quantitative Information
Fair value inputs, equity volatility	0.589	0.589
Contingent consideration | Equity volatility | Weighted Average
Fair Value Inputs, Assets and Liabilities, Quantitative Information
Fair value inputs, equity volatility	0.400	0.400

Fair Value Measurements - Asset

Fair Value Measurements - Assets Measured at Fair Value on a Nonrecurring Basis (Details) - USD ($) $ in Millions	3 Months Ended								12 Months Ended
	Dec. 31, 2018	Sep. 30, 2018	Jun. 30, 2018	Mar. 31, 2018	Dec. 31, 2017	Sep. 30, 2017	Jun. 30, 2017	Mar. 31, 2017	Dec. 31, 2018	Dec. 31, 2017	Dec. 31, 2016
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis
Loans held-for-sale	$ 3,732				$ 4,300				$ 3,732	$ 4,300
Total assets at fair value	3,742				4,312				3,742	4,312
Total Gains/(Losses)	34	$ 43	$ 63	$ 60	79	$ 75	$ 66	$ 48	200	268	$ 316
Nonrecurring
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis
Loans held-for-sale	5				6				5	6
Repossessed assets	7				8				7	8
Total assets at fair value	24				35				24	35
Fair value gains (losses) on loans									(1)	(1)
Fair value gains (losses) on repossessed assets									(3)	(4)
Total Gains/(Losses)									(8)	(15)
Nonrecurring | Level 2
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis
Loans held-for-sale	5				6				5	6
Repossessed assets					0					0
Total assets at fair value	5				6				5	6
Nonrecurring | Level 3
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis
Loans held-for-sale	0				0				0	0
Repossessed assets	7				8				7	8
Total assets at fair value	19				29				19	29
Nonrecurring | Residential first mortgage
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis
Impaired loans held-for-investment	12				21				12	21
Fair value gains (losses) on loans									(4)	(10)
Nonrecurring | Residential first mortgage | Level 2
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis
Impaired loans held-for-investment	0				0				0	0
Nonrecurring | Residential first mortgage | Level 3
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis
Impaired loans held-for-investment	$ 12				$ 21				$ 12	$ 21

Fair Value Measurements - Qua_2

Fair Value Measurements - Quantitative Information about Nonrecurring Level 3 Fair Value Financial Instruments (Details) - Nonrecurring - Level 3 $ in Millions	Dec. 31, 2018USD ($)	Dec. 31, 2017USD ($)
Residential first mortgage
Fair Value Inputs, Assets, Quantitative Information
Loans held-for-investment	$ 12	$ 21
Repossessed assets
Fair Value Inputs, Assets, Quantitative Information
Loans held-for-investment	$ 7	$ 8
Loss severity discount | Residential first mortgage | Range (Weighted Average)
Fair Value Inputs, Assets, Quantitative Information
Loans held for investment, fair value input	0.25	0.25
Loss severity discount | Residential first mortgage | High Range
Fair Value Inputs, Assets, Quantitative Information
Loans held for investment, fair value input	0.30	0.30
Loss severity discount | Residential first mortgage | Weighted Average
Fair Value Inputs, Assets, Quantitative Information
Loans held for investment, fair value input	0.283	0.279
Loss severity discount | Repossessed assets | Range (Weighted Average)
Fair Value Inputs, Assets, Quantitative Information
Repossessed asset, fair value input (as a percent)	0	0
Loss severity discount | Repossessed assets | High Range
Fair Value Inputs, Assets, Quantitative Information
Repossessed asset, fair value input (as a percent)	1	1
Loss severity discount | Repossessed assets | Weighted Average
Fair Value Inputs, Assets, Quantitative Information
Repossessed asset, fair value input (as a percent)	0.26	0.709

Fair Value Measurements - Carry

Fair Value Measurements - Carrying Amount and Estimated Fair Value of Financial Instruments (Details) - USD ($) $ in Millions	Dec. 31, 2018	Dec. 31, 2017
Assets
Investment securities available-for-sale	$ 2,142	$ 1,853
Investment securities held-to-maturity	681	924
Loans held-for-sale	3,732	4,300
Loans held-for-investment	10	12
Mortgage servicing rights	290	291
Carrying Value
Assets
Cash and cash equivalents	408	204
Investment securities available-for-sale	2,142	1,853
Investment securities held-to-maturity	703	939
Loans held-for-sale	3,869	4,321
Loans held-for-investment	9,088	7,713
Loans with government guarantees	392	271
Mortgage servicing rights	290	291
Federal Home Loan Bank stock	303	303
Bank owned life insurance	340	330
Repossessed assets	7	8
Other assets, foreclosure claims	50	84
Derivative financial instruments, assets	47	39
Liabilities
Federal Home Loan Bank advances	(3,394)	(5,665)
Long-term debt	(495)	(494)
DOJ litigation settlement	(60)	(60)
Contingent consideration	(6)	(25)
Derivative financial instruments, liabilities	(39)	(11)
Carrying Value | Demand deposits and savings accounts
Liabilities
Deposits	(6,467)	(5,003)
Carrying Value | Certificates of deposit
Liabilities
Deposits	(2,387)	(1,494)
Carrying Value | Wholesale deposits
Liabilities
Deposits	(583)	(43)
Carrying Value | Government deposits
Liabilities
Deposits	(1,202)	(1,073)
Carrying Value | Custodial deposits
Liabilities
Deposits	(1,741)	(1,321)
Total fair value
Assets
Cash and cash equivalents	408	204
Investment securities available-for-sale	2,142	1,853
Investment securities held-to-maturity	681	924
Loans held-for-sale	3,870	4,322
Loans held-for-investment	8,966	7,667
Loans with government guarantees	374	261
Mortgage servicing rights	290	291
Federal Home Loan Bank stock	303	303
Bank owned life insurance	340	330
Repossessed assets	7	8
Other assets, foreclosure claims	50	84
Derivative financial instruments, assets	47	39
Liabilities
Federal Home Loan Bank advances	(3,383)	(5,662)
Long-term debt	(463)	(417)
DOJ litigation settlement	(60)	(60)
Contingent consideration	(6)	(25)
Derivative financial instruments, liabilities	(39)	(11)
Total fair value | Demand deposits and savings accounts
Liabilities
Deposits	(5,475)	(4,557)
Total fair value | Certificates of deposit
Liabilities
Deposits	(2,379)	(1,498)
Total fair value | Wholesale deposits
Liabilities
Deposits	(585)	(43)
Total fair value | Government deposits
Liabilities
Deposits	(1,145)	(1,048)
Total fair value | Custodial deposits
Liabilities
Deposits	(1,664)	(1,311)
Total fair value | Level 1
Assets
Cash and cash equivalents	408	204
Investment securities available-for-sale	0	0
Investment securities held-to-maturity	0	0
Loans held-for-sale	0	0
Loans held-for-investment	0	0
Loans with government guarantees	0	0
Mortgage servicing rights	0	0
Federal Home Loan Bank stock	0	0
Bank owned life insurance	0	0
Repossessed assets	0	0
Other assets, foreclosure claims	0	0
Derivative financial instruments, assets	0	0
Liabilities
Federal Home Loan Bank advances	0	0
Long-term debt	0	0
DOJ litigation settlement	0	0
Contingent consideration	0	0
Derivative financial instruments, liabilities	0	0
Total fair value | Level 1 | Demand deposits and savings accounts
Liabilities
Deposits	0	0
Total fair value | Level 1 | Certificates of deposit
Liabilities
Deposits	0	0
Total fair value | Level 1 | Wholesale deposits
Liabilities
Deposits	0	0
Total fair value | Level 1 | Government deposits
Liabilities
Deposits	0	0
Total fair value | Level 1 | Custodial deposits
Liabilities
Deposits	0	0
Total fair value | Level 2
Assets
Cash and cash equivalents	0	0
Investment securities available-for-sale	2,142	1,853
Investment securities held-to-maturity	681	924
Loans held-for-sale	3,870	4,322
Loans held-for-investment	8	8
Loans with government guarantees	374	261
Mortgage servicing rights	0	0
Federal Home Loan Bank stock	303	303
Bank owned life insurance	340	330
Repossessed assets	0	0
Other assets, foreclosure claims	50	84
Derivative financial instruments, assets	27	15
Liabilities
Federal Home Loan Bank advances	(3,383)	(5,662)
Long-term debt	(463)	(417)
DOJ litigation settlement	0	0
Contingent consideration	0	0
Derivative financial instruments, liabilities	(39)	(11)
Total fair value | Level 2 | Demand deposits and savings accounts
Liabilities
Deposits	(5,475)	(4,557)
Total fair value | Level 2 | Certificates of deposit
Liabilities
Deposits	(2,379)	(1,498)
Total fair value | Level 2 | Wholesale deposits
Liabilities
Deposits	(585)	(43)
Total fair value | Level 2 | Government deposits
Liabilities
Deposits	(1,145)	(1,048)
Total fair value | Level 2 | Custodial deposits
Liabilities
Deposits	(1,664)	(1,311)
Total 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 held-for-investment	8,958	7,659
Loans with government guarantees	0	0
Mortgage servicing rights	290	291
Federal Home Loan Bank stock	0	0
Bank owned life insurance	0	0
Repossessed assets	7	8
Other assets, foreclosure claims	0	0
Derivative financial instruments, assets	20	24
Liabilities
Federal Home Loan Bank advances	0	0
Long-term debt	0	0
DOJ litigation settlement	(60)	(60)
Contingent consideration	(6)	(25)
Derivative financial instruments, liabilities	0	0
Total fair value | Level 3 | Demand deposits and savings accounts
Liabilities
Deposits	0	0
Total fair value | Level 3 | Certificates of deposit
Liabilities
Deposits	0	0
Total fair value | Level 3 | Wholesale deposits
Liabilities
Deposits	0	0
Total fair value | Level 3 | Government deposits
Liabilities
Deposits	0	0
Total fair value | Level 3 | Custodial deposits
Liabilities
Deposits	$ 0	$ 0

Fair Value Measurements - Chang

Fair Value Measurements - Changes in Fair Value Included in Earnings (Details) - USD ($) $ in Millions	12 Months Ended
	Dec. 31, 2018	Dec. 31, 2017	Dec. 31, 2016
Loans held-for-sale | Net gain on loan sales
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis
Changes in fair value, gain (loss)	$ (29)	$ 283	$ 269
Loans held-for-investment | Other noninterest income
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis
Changes in fair value, gain (loss)	0	1	1
DOJ litigation settlement | Other noninterest income
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis
Changes in fair value, gain (loss)	$ 0	$ 0	$ 24

Fair Value Measurements - Diffe

Fair Value Measurements - Differences Between Aggregate Fair Value and Aggregate Remaining Contractual Principal Balance Outstanding (Details) - USD ($) $ in Millions	12 Months Ended
	Dec. 31, 2018	Dec. 31, 2017
Fair Value, Option, Quantitative Disclosures
Assets, unpaid principal balance (UPB)	$ 3,619	$ 4,188
Total assets at fair value	3,742	4,312
Assets, fair value over/(under) UPB	123	124
DOJ Agreement
Fair Value, Option, Quantitative Disclosures
Litigation settlement payment amount	118
Loans held-for-sale
Fair Value, Option, Quantitative Disclosures
Assets, unpaid principal balance (UPB)	3,607	4,173
Total assets at fair value	3,732	4,300
Assets, fair value over/(under) UPB	125	127
Loans held-for-investment
Fair Value, Option, Quantitative Disclosures
Assets, unpaid principal balance (UPB)	12	15
Total assets at fair value	10	12
Assets, fair value over/(under) UPB	(2)	(3)
DOJ litigation settlement
Fair Value, Option, Quantitative Disclosures
Liabilities, unpaid principal balance (UPB)	(118)	(118)
Long-term debt, fair value	(60)	(60)
Liabilities, fair value over/(under) UPB	58	58
Nonperforming
Fair Value, Option, Quantitative Disclosures
Assets, unpaid principal balance (UPB)	10	11
Total assets at fair value	9	9
Assets, fair value over/(under) UPB	(1)	(2)
Nonperforming | Loans held-for-sale
Fair Value, Option, Quantitative Disclosures
Assets, unpaid principal balance (UPB)	6	6
Total assets at fair value	6	5
Assets, fair value over/(under) UPB	0	(1)
Nonperforming | Loans held-for-investment
Fair Value, Option, Quantitative Disclosures
Assets, unpaid principal balance (UPB)	4	5
Total assets at fair value	3	4
Assets, fair value over/(under) UPB	(1)	(1)
Performing
Fair Value, Option, Quantitative Disclosures
Assets, unpaid principal balance (UPB)	3,609	4,177
Total assets at fair value	3,733	4,303
Assets, fair value over/(under) UPB	124	126
Performing | Loans held-for-sale
Fair Value, Option, Quantitative Disclosures
Assets, unpaid principal balance (UPB)	3,601	4,167
Total assets at fair value	3,726	4,295
Assets, fair value over/(under) UPB	125	128
Performing | Loans held-for-investment
Fair Value, Option, Quantitative Disclosures
Assets, unpaid principal balance (UPB)	8	10
Total assets at fair value	7	8
Assets, fair value over/(under) UPB	$ (1)	$ (2)

Segment Information (Details)

Segment Information (Details) $ in Millions	3 Months Ended								12 Months Ended
	Dec. 31, 2018USD ($)	Sep. 30, 2018USD ($)	Jun. 30, 2018USD ($)	Mar. 31, 2018USD ($)	Dec. 31, 2017USD ($)	Sep. 30, 2017USD ($)	Jun. 30, 2017USD ($)	Mar. 31, 2017USD ($)	Dec. 31, 2018USD ($)segment	Dec. 31, 2017USD ($)	Dec. 31, 2016USD ($)
Segment Reporting Information
Number of business segments | segment									3
Summary of Operations
Net interest income	$ 152	$ 124	$ 115	$ 106	$ 107	$ 103	$ 97	$ 83	$ 497	$ 390	$ 323
Net gain on loan sales	34	43	63	60	79	75	66	48	200	268	316
Other noninterest income									239	202	171
Total net interest income and noninterest income									936	860	810
(Provision) benefit for loan losses	5	2	1	0	(2)	(2)	1	(3)	8	(6)	8
Compensation and benefits									(318)	(299)	(269)
Other noninterest expense and directly allocated overhead									(394)	(344)	(291)
Total noninterest expense									(712)	(643)	(560)
Income before income taxes									232	211	258
Overhead allocation									0	0	0
(Provision) benefit for income taxes	(12)	(12)	(12)	(9)	(96)	(20)	(19)	(13)	(45)	(148)	(87)
Net income	$ 54	$ 48	$ 50	$ 35	$ (45)	$ 40	$ 41	$ 27	187	63	171
Average balances
Loans held-for-sale									4,196	4,146	3,134
Loans with government guarantees									303	290	435
Loans held-for-investment									8,455	6,511	5,815
Total assets									17,980	15,846	13,907
Deposits									10,775	8,907	8,762
Community Banking
Summary of Operations
Net interest income									314	238	206
Net gain on loan sales									(12)	(10)	6
Other noninterest income									40	31	28
Total net interest income and noninterest income									342	259	240
(Provision) benefit for loan losses									(2)	(4)	10
Compensation and benefits									(70)	(62)	(56)
Other noninterest expense and directly allocated overhead									(110)	(92)	(89)
Total noninterest expense									(180)	(154)	(145)
Income before income taxes									160	101	105
Overhead allocation									(39)	(41)	(35)
(Provision) benefit for income taxes									(25)	(21)	(24)
Net income									96	39	46
Average balances
Loans held-for-sale									24	16	66
Loans with government guarantees									0	0	0
Loans held-for-investment									8,417	6,475	5,809
Total assets									8,615	6,544	5,906
Deposits									8,892	7,454	7,151
Mortgage Originations
Summary of Operations
Net interest income									128	129	90
Net gain on loan sales									212	278	310
Other noninterest income									101	92	43
Total net interest income and noninterest income									441	499	443
(Provision) benefit for loan losses									(2)	(4)	(2)
Compensation and benefits									(105)	(100)	(81)
Other noninterest expense and directly allocated overhead									(161)	(163)	(123)
Total noninterest expense									(266)	(263)	(204)
Income before income taxes									173	232	237
Overhead allocation									(68)	(63)	(54)
(Provision) benefit for income taxes									(22)	(59)	(64)
Net income									83	110	119
Average balances
Loans held-for-sale									4,172	4,130	3,068
Loans with government guarantees									303	290	435
Loans held-for-investment									9	7	6
Total assets									5,406	5,414	4,435
Deposits									0	0	0
Mortgage Servicing
Summary of Operations
Net interest income									7	11	21
Net gain on loan sales									0	0	0
Other noninterest income									94	66	60
Total net interest income and noninterest income									101	77	81
(Provision) benefit for loan losses									0	0	0
Compensation and benefits									(19)	(16)	(15)
Other noninterest expense and directly allocated overhead									(70)	(61)	(63)
Total noninterest expense									(89)	(77)	(78)
Income before income taxes									12	0	3
Overhead allocation									(20)	(23)	(23)
(Provision) benefit for income taxes									2	8	7
Net income									(6)	(15)	(13)
Average balances
Loans held-for-sale									0	0	0
Loans with government guarantees									0	0	0
Loans held-for-investment									0	0	0
Total assets									34	36	28
Deposits									1,883	1,453	1,611
Other
Summary of Operations
Net interest income									48	12	6
Net gain on loan sales									0	0	0
Other noninterest income									4	13	40
Total net interest income and noninterest income									52	25	46
(Provision) benefit for loan losses									12	2	0
Compensation and benefits									(124)	(121)	(117)
Other noninterest expense and directly allocated overhead									(53)	(28)	(16)
Total noninterest expense									(177)	(149)	(133)
Income before income taxes									(113)	(122)	(87)
Overhead allocation									127	127	112
(Provision) benefit for income taxes									0	(76)	(6)
Net income									14	(71)	19
Average balances
Loans held-for-sale									0	0	0
Loans with government guarantees									0	0	0
Loans held-for-investment									29	29	0
Total assets									3,925	3,852	3,538
Deposits									0	0	0
Intersegment Eliminations
Summary of Operations
Total net interest income and noninterest income									0	0	0
Intersegment Eliminations | Community Banking
Summary of Operations
Total net interest income and noninterest income									1	(6)	(3)
Intersegment Eliminations | Mortgage Originations
Summary of Operations
Total net interest income and noninterest income									10	4	(1)
Intersegment Eliminations | Mortgage Servicing
Summary of Operations
Total net interest income and noninterest income									19	19	23
Intersegment Eliminations | Other
Summary of Operations
Total net interest income and noninterest income									$ (30)	$ (17)	$ (19)

Holding Company Only Financia_3

Holding Company Only Financial Statements - Condensed Unconsolidated Statements of Financial Condition (Details) - USD ($) $ in Millions	Dec. 31, 2018	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2015
Assets
Cash and cash equivalents	$ 408	$ 204
Other assets	781	670
Total assets	18,531	16,912
Liabilities
Long term debt	495	494
Other liabilities	692	420
Total liabilities	16,961	15,513
Stockholders’ Equity
Common stock	1	1
Additional paid in capital	1,522	1,512
Accumulated other comprehensive loss	(47)	(16)
Retained earnings/(accumulated deficit)	94	(98)
Total stockholders’ equity	1,570	1,399	$ 1,336	$ 1,529
Total liabilities and stockholders’ equity	18,531	16,912
Unconsolidated trusts	7	7
Parent Company
Assets
Cash and cash equivalents	201	196	$ 70	$ 37
Investment in subsidiaries	1,836	1,676
Other assets	52	44
Total assets	2,089	1,916
Liabilities
Long term debt	495	494
Other liabilities	24	23
Total liabilities	519	517
Stockholders’ Equity
Common stock	1	1
Additional paid in capital	1,522	1,512
Accumulated other comprehensive loss	(47)	(17)
Retained earnings/(accumulated deficit)	94	(97)
Total stockholders’ equity	1,570	1,399
Total liabilities and stockholders’ equity	$ 2,089	$ 1,916

Holding Company Only Financia_4

Holding Company Only Financial Statements - Condensed Unconsolidated Statements of Operations (Details) - USD ($) $ in Millions	3 Months Ended								12 Months Ended
	Dec. 31, 2018	Sep. 30, 2018	Jun. 30, 2018	Mar. 31, 2018	Dec. 31, 2017	Sep. 30, 2017	Jun. 30, 2017	Mar. 31, 2017	Dec. 31, 2018	Dec. 31, 2017	Dec. 31, 2016
Income
Total interest income	$ 181	$ 183	$ 167	$ 152	$ 148	$ 140	$ 129	$ 110	$ 683	$ 527	$ 417
Expenses
Interest	29	59	52	46	41	37	32	27	186	137	94
Income before income taxes	66	60	62	44	51	60	60	40	232	211	258
Provision (benefit) for income taxes	12	12	12	9	96	20	19	13	45	148	87
Net income	$ 54	$ 48	$ 50	$ 35	$ (45)	$ 40	$ 41	$ 27	187	63	171
Other comprehensive loss									(31)	(9)	(9)
Comprehensive income									156	54	162
Parent Company
Income
Interest									1	0	0
Total interest income									1	0	0
Expenses
Interest									27	25	16
General and administrative									7	9	9
Total									34	34	25
Loss before undistributed income of subsidiaries									(33)	(34)	(25)
Equity in undistributed income of subsidiaries									212	110	188
Income before income taxes									179	76	163
Provision (benefit) for income taxes									(8)	13	(8)
Net income									187	63	171
Other comprehensive loss									(31)	(9)	(9)
Comprehensive income									$ 156	$ 54	$ 162

Holding Company Only Financia_5

Holding Company Only Financial Statements - Condensed Unconsolidated Statements of Cash Flow (Details) - USD ($) $ in Millions	3 Months Ended								12 Months Ended
	Dec. 31, 2018	Sep. 30, 2018	Jun. 30, 2018	Mar. 31, 2018	Dec. 31, 2017	Sep. 30, 2017	Jun. 30, 2017	Mar. 31, 2017	Dec. 31, 2018	Dec. 31, 2017	Dec. 31, 2016
Operating Activities
Net income	$ 54	$ 48	$ 50	$ 35	$ (45)	$ 40	$ 41	$ 27	$ 187	$ 63	$ 171
Adjustments to reconcile net income to net cash used in operating activities:
Change in other assets									(100)	(299)	(152)
Net cash (used in) operating activities									(23,378)	(25,322)	(16,340)
Investing Activities
Net cash provided by (used in) investment activities									24,607	22,494	16,201
Financing Activities
Redemption of preferred stock									0	0	(267)
Dividends paid on preferred stock									0	0	(105)
Net cash (used) provided by financing activities									(1,020)	2,843	109
Cash and cash equivalents, beginning of year				204					204
Cash and cash equivalents, end of year	408				204				408	204
Parent Company
Operating Activities
Net income									187	63	171
Adjustments to reconcile net income to net cash used in operating activities:
Equity in (income) loss of subsidiaries									(177)	47	12
Stock-based compensation									10	5	10
Change in other assets									8	18	(8)
Change in other liabilities									2	(2)	(22)
Change in fair value and other non-cash changes									(25)	(5)	(4)
Net cash (used in) operating activities									5	126	159
Investing Activities
Net cash provided by (used in) investment activities									0	0	0
Financing Activities
Proceeds from the issuance of senior notes									0	0	245
Redemption of preferred stock									0	0	(267)
Dividends paid on preferred stock									0	0	(104)
Net cash (used) provided by financing activities									0	0	(126)
Net increase in cash and cash equivalents									5	126	33
Cash and cash equivalents, beginning of year				$ 196				$ 70	196	70	37
Cash and cash equivalents, end of year	$ 201				$ 196				$ 201	$ 196	$ 70

Quarterly Financial Data (Una_3

Quarterly Financial Data (Unaudited) (Details) - USD ($) $ / shares in Units, $ in Millions	3 Months Ended								12 Months Ended
	Dec. 31, 2018	Sep. 30, 2018	Jun. 30, 2018	Mar. 31, 2018	Dec. 31, 2017	Sep. 30, 2017	Jun. 30, 2017	Mar. 31, 2017	Dec. 31, 2018	Dec. 31, 2017	Dec. 31, 2016
Quarterly Financial Information Disclosure [Abstract]
Interest income	$ 181	$ 183	$ 167	$ 152	$ 148	$ 140	$ 129	$ 110	$ 683	$ 527	$ 417
Interest expense	29	59	52	46	41	37	32	27	186	137	94
Net interest income	152	124	115	106	107	103	97	83	497	390	323
Provision (benefit) for loan losses	(5)	(2)	(1)	0	2	2	(1)	3	(8)	6	(8)
Net interest income after provision (benefit) for loan losses	157	126	116	106	105	101	98	80	505	384	331
Net gain on loan sales	34	43	63	60	79	75	66	48	200	268	316
Loan fees and charges	20	23	24	20	24	23	20	15	87	82	76
Deposit fees and charges	6	5	5	5	4	5	5	4	21	18	22
Loan administration income	8	5	5	5	5	5	6	5	23	21	18
Net return on the mortgage servicing rights	10	13	9	4	(4)	6	6	14	36	22	(26)
Other noninterest income	20	18	17	17	16	16	13	14	72	59	81
Noninterest expense	189	173	177	173	178	171	154	140	712	643	560
Income before income taxes	66	60	62	44	51	60	60	40	232	211	258
Provision for income taxes	12	12	12	9	96	20	19	13	45	148	87
Net income	$ 54	$ 48	$ 50	$ 35	$ (45)	$ 40	$ 41	$ 27	$ 187	$ 63	$ 171
Basic income (loss) per share (in usd per share)	$ 0.94	$ 0.84	$ 0.86	$ 0.61	$ (0.79)	$ 0.71	$ 0.72	$ 0.47	$ 3.26	$ 1.11	$ 2.71
Diluted income (loss) per share (in usd per share)	$ 0.93	$ 0.83	$ 0.85	$ 0.60	$ (0.79)	$ 0.70	$ 0.71	$ 0.46	$ 3.21	$ 1.09	$ 2.66