Cover Page
Cover Page - USD ($) $ in Billions | 12 Months Ended | ||
Dec. 31, 2022 | Feb. 22, 2023 | Jun. 30, 2022 | |
Cover [Abstract] | |||
Document Type | 10-K | ||
Document Annual Report | true | ||
Document Period End Date | Dec. 31, 2022 | ||
Current Fiscal Year End Date | --12-31 | ||
Document Transition Report | false | ||
Entity File Number | 1-3754 | ||
Entity Registrant Name | ALLY FINANCIAL INC. | ||
Entity Incorporation, State or Country Code | DE | ||
Entity Tax Identification Number | 38-0572512 | ||
Entity Address, Address Description | Ally Detroit Center | ||
Entity Address, Address Line One | 500 Woodward Ave. | ||
Entity Address, Address Line Two | Floor 10 | ||
Entity Address, City or Town | Detroit | ||
Entity Address, State or Province | MI | ||
Entity Address, Postal Zip Code | 48226 | ||
City Area Code | 866 | ||
Local Phone Number | 710-4623 | ||
Title of 12(b) Security | Common Stock, par value $0.01 per share | ||
Trading Symbol | ALLY | ||
Security Exchange Name | NYSE | ||
Entity Well-known Seasoned Issuer | Yes | ||
Entity Voluntary Filers | No | ||
Entity Current Reporting Status | Yes | ||
Entity Interactive Data Current | Yes | ||
Entity Filer Category | Large Accelerated Filer | ||
Entity Small Business | false | ||
Entity Emerging Growth Company | false | ||
ICFR Auditor Attestation Flag | true | ||
Entity Shell Company | false | ||
Entity public float | $ 10.5 | ||
Entity Common Stock, Shares Outstanding | 300,809,630 | ||
Documents Incorporated by Reference | portions of the Registrant’s Proxy Statement for the annual meeting of stockholders to be held on May 3, 2023, are incorporated by reference in this Form 10-K in response to Items 10, 11, 12, 13, and 14 of Part III. | ||
Entity Central Index Key | 0000040729 | ||
Document Fiscal Year Focus | 2022 | ||
Document Fiscal Period Focus | FY | ||
Amendment Flag | false |
Audit Information
Audit Information | 12 Months Ended |
Dec. 31, 2022 | |
Audit Information [Abstract] | |
Auditor Name | Deloitte & Touche LLP |
Auditor Location | Detroit, Michigan |
Auditor Firm ID | 34 |
Consolidated Statement of Incom
Consolidated Statement of Income - USD ($) $ in Millions | 12 Months Ended | |||||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | ||||
Financing revenue and other interest income | ||||||
Interest and fees on finance receivables and loans | $ 8,099 | $ 6,468 | $ 6,581 | |||
Interest on loans held-for-sale | 31 | 18 | 17 | |||
Interest and dividends on investment securities and other earning assets | 841 | 600 | 736 | |||
Interest on cash and cash equivalents | 54 | 15 | 28 | |||
Operating leases | 1,596 | 1,550 | 1,435 | |||
Total financing revenue and other interest income | 10,621 | 8,651 | 8,797 | |||
Interest expense | ||||||
Interest on deposits | 1,987 | 1,045 | 1,952 | |||
Interest on short-term borrowings | 107 | 1 | 42 | |||
Interest on long-term debt | 763 | 860 | 1,249 | |||
Interest on other | 0 | 8 | 0 | |||
Total interest expense | 2,857 | 1,914 | 3,243 | |||
Net depreciation expense on operating lease assets | 914 | 570 | 851 | |||
Net financing revenue and other interest income | 6,850 | 6,167 | 4,703 | |||
Other revenue | ||||||
Insurance premiums and service revenue earned | 1,151 | 1,117 | 1,103 | |||
Gain on mortgage and automotive loans, net | 52 | 87 | 110 | |||
Loss on extinguishment of debt | 0 | (136) | (102) | |||
Other (loss) gain on investments, net | (120) | 285 | 307 | |||
Other income, net of losses | 495 | 686 | 565 | |||
Total other revenue | 1,578 | 2,039 | 1,983 | |||
Total net revenue | 8,428 | 8,206 | 6,686 | |||
Provision for credit losses | 1,399 | 241 | 1,439 | |||
Noninterest expense | ||||||
Compensation and benefits expense | 1,900 | 1,643 | 1,376 | |||
Insurance losses and loss adjustment expenses | 280 | 261 | 363 | |||
Goodwill impairment | 0 | 0 | 50 | |||
Other operating expenses | 2,507 | 2,206 | 2,044 | |||
Total noninterest expense | 4,687 | 4,110 | 3,833 | |||
Income from continuing operations before income tax expense | 2,342 | 3,855 | 1,414 | |||
Income tax expense from continuing operations | 627 | 790 | 328 | |||
Net income from continuing operations | [1] | 1,715 | 3,065 | 1,086 | ||
Loss from discontinued operations, net of tax | (1) | (5) | (1) | |||
Net income | 1,714 | 3,060 | 1,085 | |||
Net income from continuing operations attributable to common stockholders | [1] | 1,605 | 3,008 | 1,086 | ||
Loss from discontinued operations, net of tax | (1) | (5) | [1] | (1) | [1] | |
Net income attributable to common stockholders | [1] | $ 1,604 | $ 3,003 | $ 1,085 | ||
Basic weighted-average common shares outstanding (in shares) | [1],[2] | 316,690,000 | 362,583,000 | 375,629,000 | ||
Diluted weighted-average common shares outstanding (in shares) | [1],[2] | 318,629,000 | 365,180,000 | 377,101,000 | ||
Basic earnings per common share | ||||||
Net income from continuing operations (in dollars per share) | [1] | $ 5.07 | $ 8.30 | $ 2.89 | ||
Loss from discontinued operations, net of tax (in dollars per share) | [1] | 0 | (0.01) | 0 | ||
Net income (in dollars per share) | [1] | 5.06 | 8.28 | 2.89 | ||
Diluted earnings per common share | ||||||
Net income from continuing operations (in dollars per share) | [1] | 5.04 | 8.24 | 2.88 | ||
Loss from discontinued operations, net of tax (in dollars per share) | [1] | 0 | (0.01) | 0 | ||
Net income (in dollars per share) | [1] | 5.03 | 8.22 | 2.88 | ||
Cash dividends declared per common share (in dollars per share) | [1] | $ 1.20 | $ 0.88 | $ 0.76 | ||
Antidilutive securities excluded from computation of earnings per share, amount (in shares) | 0 | 0 | 800,000 | |||
[1]Figures in the table may not recalculate exactly due to rounding. Earnings per share is calculated based on unrounded numbers.[2]Includes shares related to share-based compensation that vested but were not yet issued. (c) During the year ended December 31, 2020, there were 0.8 million in shares underlying share-based awards excluded because their inclusion would have been antidilutive. There were no antidilutive shares during the years ended December 31, 2022, and 2021. |
Consolidated Statement of Compr
Consolidated Statement of Comprehensive Income - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Statement of Comprehensive Income [Abstract] | |||
Net income | $ 1,714 | $ 3,060 | $ 1,085 |
Investment securities | |||
Net unrealized (losses) gains arising during the period | (3,982) | (656) | 564 |
Less: Net realized gains reclassified to net income | 18 | 79 | 132 |
Net change | (4,000) | (735) | 432 |
Translation adjustments | |||
Net unrealized (losses) gains arising during the period | (8) | 0 | 3 |
Net unrealized gains (losses) arising during the period | 7 | 0 | (3) |
Translation adjustments and net investment hedges, net change | (1) | 0 | 0 |
Cash flow hedges | |||
Net unrealized (losses) gains arising during the period | (2) | 0 | 129 |
Less: Net realized gains reclassified to net income | 15 | 47 | 49 |
Net change | (17) | (47) | 80 |
Defined benefit pension plans | |||
Net unrealized gains (losses) arising during the period | 2 | (8) | (4) |
Less: Net realized losses reclassified to net income | (115) | (1) | 0 |
Net change | 117 | (7) | (4) |
Other comprehensive (loss) income, net of tax | (3,901) | (789) | 508 |
Comprehensive (loss) income | $ (2,187) | $ 2,271 | $ 1,593 |
Consolidated Balance Sheet
Consolidated Balance Sheet - USD ($) $ in Millions | Dec. 31, 2022 | Dec. 31, 2021 | |
Cash and cash equivalents | |||
Noninterest-bearing | $ 542 | $ 502 | |
Interest-bearing | 5,029 | 4,560 | |
Total cash and cash equivalents | 5,571 | 5,062 | |
Carrying amount, equity investments without a readily determinable fair value | 681 | 1,102 | |
Available-for-sale securities | [1] | 29,541 | 33,587 |
Held-to-maturity securities | 1,062 | 1,170 | |
Loans held-for-sale, net | 654 | 549 | |
Finance receivables and loans, net | |||
Finance receivables and loans, net of unearned income | 135,748 | 122,268 | |
Allowance for loan losses | (3,711) | (3,267) | |
Total finance receivables and loans, net | 132,037 | 119,001 | |
Investment in operating leases, net | 10,444 | 10,862 | |
Premiums receivable and other insurance assets | 2,698 | 2,724 | |
Other assets | 9,138 | 8,057 | |
Total assets | 191,826 | 182,114 | |
Deposit liabilities | |||
Noninterest-bearing | 185 | 150 | |
Interest-bearing | 152,112 | 141,408 | |
Total deposit liabilities | 152,297 | 141,558 | |
Short-term borrowings | 2,399 | 0 | |
Long-term debt | 17,762 | 17,029 | |
Interest payable | 408 | 210 | |
Unearned insurance premiums and service revenue | 3,453 | 3,514 | |
Accrued expenses and other liabilities | 2,648 | 2,753 | |
Total liabilities | 178,967 | 165,064 | |
Commitments and contingencies (refer to Note 28 and Note 29) | |||
Equity | |||
Common stock and paid-in capital ($0.01 par value, shares authorized 1,100,000,000; issued 507,682,838 and 504,521,535; and outstanding 299,324,357 and 337,940,636) | 21,816 | 21,671 | |
Preferred stock | 2,324 | 2,324 | |
Accumulated deficit | (384) | (1,599) | |
Accumulated other comprehensive loss | (4,059) | (158) | |
Treasury stock, at cost (208,358,481 and 166,580,899 shares) | (6,838) | (5,188) | |
Total equity | 12,859 | 17,050 | |
Total liabilities and equity | $ 191,826 | $ 182,114 | |
[1]Refer to Note 8 for discussion of investment securities pledged as collateral. |
Consolidated Balance Sheet (Par
Consolidated Balance Sheet (Parenthetical) - USD ($) $ in Millions | Dec. 31, 2022 | Dec. 31, 2021 |
Statement of Financial Position [Abstract] | ||
Available-for-sale securities, amortized cost | $ 34,863 | $ 33,650 |
Held-to-maturity securities, fair value | $ 884 | $ 1,204 |
Common stock, par value per share (in dollars per share) | $ 0.01 | $ 0.01 |
Common stock, shares authorized (in shares) | 1,100,000,000 | 1,100,000,000 |
Common stock, shares issued (in shares) | 507,682,838 | 504,521,535 |
Common stock, shares outstanding (in shares) | 299,324,357 | 337,940,636 |
Treasury stock, shares (in shares) | 208,358,481 | 166,580,899 |
Condensed Consolidated Balance
Condensed Consolidated Balance Sheet (VIEs) - USD ($) $ in Millions | Dec. 31, 2022 | Dec. 31, 2021 | |
Finance receivables and loans, net | $ 135,748 | $ 122,268 | |
Allowance for loan losses | (3,711) | (3,267) | |
Total finance receivables and loans, net | 132,037 | 119,001 | |
Other assets | 9,138 | 8,057 | |
Total assets | 191,826 | 182,114 | |
Long-term debt | 17,762 | 17,029 | |
Accrued expenses and other liabilities | 2,648 | 2,753 | |
Total liabilities | 178,967 | 165,064 | |
Consumer | |||
Finance receivables and loans, net | 106,610 | 98,226 | |
Consumer | Automotive | |||
Finance receivables and loans, net | 83,286 | 78,252 | |
Allowance for loan losses | (3,020) | (2,769) | |
Consumer | Other | |||
Finance receivables and loans, net | 3,589 | 1,962 | |
Allowance for loan losses | (426) | (221) | |
On-balance sheet variable interest entities | |||
Allowance for loan losses | (336) | (278) | |
Total finance receivables and loans, net | 9,211 | 6,946 | |
Other assets | 645 | 563 | |
Total assets | 9,856 | 7,509 | |
Long-term debt | 2,436 | 1,337 | |
Accrued expenses and other liabilities | 5 | 2 | |
Total liabilities | 2,441 | 1,339 | |
On-balance sheet variable interest entities | Consumer | Automotive | |||
Finance receivables and loans, net | 9,547 | 6,871 | |
Total assets | 20,415 | 18,158 | |
Total liabilities | 2,553 | 1,162 | |
On-balance sheet variable interest entities | Consumer | Other | |||
Finance receivables and loans, net | [1] | $ 0 | 353 |
Total assets | 318 | ||
Total liabilities | $ 300 | ||
[1]Comprised of credit card finance receivables and loans, net. |
Consolidated Statement of Chang
Consolidated Statement of Changes in Equity - USD ($) $ in Millions | Total | Cumulative Effect, Period of Adoption, Adjustment | Cumulative Effect, Period of Adoption, Adjusted Balance | Series B Preferred Stock | Series C Preferred Stock | Common stock and paid-in capital | Common stock and paid-in capital Cumulative Effect, Period of Adoption, Adjusted Balance | Preferred stock | Preferred stock Cumulative Effect, Period of Adoption, Adjusted Balance | Preferred stock Series B Preferred Stock | Preferred stock Series C Preferred Stock | Accumulated deficit | Accumulated deficit Cumulative Effect, Period of Adoption, Adjustment | Accumulated deficit Cumulative Effect, Period of Adoption, Adjusted Balance | Accumulated deficit Series B Preferred Stock | Accumulated deficit Series C Preferred Stock | Accumulated other comprehensive income (loss) | Accumulated other comprehensive income (loss) Cumulative Effect, Period of Adoption, Adjusted Balance | Treasury stock | Treasury stock Cumulative Effect, Period of Adoption, Adjusted Balance |
Beginning balance at Dec. 31, 2019 | $ 14,416 | $ (1,017) | $ 13,399 | $ 21,438 | $ 21,438 | $ 0 | $ 0 | $ (4,057) | $ (1,017) | $ (5,074) | $ 123 | $ 123 | $ (3,088) | $ (3,088) | ||||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||||||||||||||||
Net income | 1,085 | 1,085 | ||||||||||||||||||
Share-based compensation | 106 | 106 | ||||||||||||||||||
Other comprehensive income (loss) | 508 | 508 | ||||||||||||||||||
Common stock repurchases | (106) | (106) | ||||||||||||||||||
Common stock dividends | (289) | (289) | ||||||||||||||||||
Ending balance at Dec. 31, 2020 | 14,703 | 21,544 | 0 | (4,278) | 631 | (3,194) | ||||||||||||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||||||||||||||||
Net income | 3,060 | 3,060 | ||||||||||||||||||
Net proceeds from issuance of series preferred stock | $ 1,335 | $ 989 | $ 1,335 | $ 989 | ||||||||||||||||
Preferred stock dividends | (36) | (21) | $ (36) | $ (21) | ||||||||||||||||
Share-based compensation | 127 | 127 | ||||||||||||||||||
Other comprehensive income (loss) | (789) | (789) | ||||||||||||||||||
Common stock repurchases | (1,994) | (1,994) | ||||||||||||||||||
Common stock dividends | (324) | (324) | ||||||||||||||||||
Ending balance at Dec. 31, 2021 | 17,050 | 21,671 | 2,324 | (1,599) | (158) | (5,188) | ||||||||||||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||||||||||||||||
Net income | 1,714 | 1,714 | ||||||||||||||||||
Preferred stock dividends | $ (63) | $ (47) | $ (63) | $ (47) | ||||||||||||||||
Share-based compensation | 145 | 145 | ||||||||||||||||||
Other comprehensive income (loss) | (3,901) | (3,901) | ||||||||||||||||||
Common stock repurchases | (1,650) | (1,650) | ||||||||||||||||||
Common stock dividends | (389) | (389) | ||||||||||||||||||
Ending balance at Dec. 31, 2022 | $ 12,859 | $ 21,816 | $ 2,324 | $ (384) | $ (4,059) | $ (6,838) |
Consolidated Statement of Cha_2
Consolidated Statement of Changes in Equity (Parenthetical) - $ / shares | 12 Months Ended | |||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | ||
Statement of Stockholders' Equity [Abstract] | ||||
Cash dividends declared per common share (in dollars per share) | [1] | $ 1.20 | $ 0.88 | $ 0.76 |
[1]Figures in the table may not recalculate exactly due to rounding. Earnings per share is calculated based on unrounded numbers. |
Consolidated Statement of Cash
Consolidated Statement of Cash Flows - USD ($) $ in Millions | 12 Months Ended | |||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | ||
Operating activities | ||||
Net income | $ 1,714 | $ 3,060 | $ 1,085 | |
Reconciliation of net income to net cash provided by operating activities | ||||
Depreciation and amortization | 1,327 | 1,261 | 1,550 | |
Goodwill impairment | 0 | 0 | 50 | |
Provision for credit losses | 1,399 | 241 | 1,439 | |
Gain on mortgage and automotive loans, net | (52) | (87) | (110) | |
Other loss (gain) on investments, net | 120 | (285) | (307) | |
Loss on extinguishment of debt | 0 | 136 | 102 | |
Originations and purchases of loans held-for-sale | (3,907) | (4,255) | (3,199) | |
Proceeds from sales and repayments of loans held-for-sale | 3,774 | 4,107 | 3,161 | |
Net change in | ||||
Deferred income taxes | 553 | 120 | 242 | |
Interest payable | 198 | (204) | (229) | |
Other assets | 957 | (302) | 15 | |
Other liabilities | (103) | 356 | 33 | |
Other, net | 267 | (106) | (93) | |
Net cash provided by operating activities | 6,247 | 4,042 | 3,739 | |
Investing activities | ||||
Purchases of equity securities | (539) | (1,346) | (1,219) | |
Proceeds from sales of equity securities | 846 | 1,508 | 1,087 | |
Purchases of available-for-sale securities | (6,723) | (21,557) | (17,377) | |
Proceeds from sales of available-for-sale securities | 820 | 5,745 | 6,563 | |
Proceeds from repayments of available-for-sale securities | 4,276 | 10,724 | 11,903 | |
Purchases of held-to-maturity securities | (47) | (292) | (154) | |
Proceeds from repayments of held-to-maturity securities | 154 | 372 | 457 | |
Purchases of finance receivables and loans held-for-investment | (7,165) | (6,756) | (7,020) | |
Proceeds from sales of finance receivables and loans initially held-for-investment | 55 | 376 | 506 | |
Originations and repayments of finance receivables and loans held-for-investment and other, net | (7,927) | 2,896 | 15,353 | |
Purchases of operating lease assets | (3,532) | (5,120) | (4,320) | |
Disposals of operating lease assets | 3,023 | 3,438 | 2,681 | |
Acquisitions, net of cash acquired | 0 | (699) | 0 | |
Net change in nonmarketable equity investments | 27 | 56 | 417 | |
Other, net | (531) | (443) | (450) | |
Net cash (used in) provided by investing activities | (17,263) | (11,098) | 8,427 | |
Financing activities | ||||
Net change in short-term borrowings | 2,399 | (2,136) | (3,395) | |
Net increase in deposits | 10,703 | 4,511 | 16,262 | |
Proceeds from issuance of long-term debt | 7,125 | 2,997 | 3,660 | |
Repayments of long-term debt | (6,464) | (6,068) | (16,107) | |
Purchases of land and buildings in satisfaction of finance lease liabilities | (44) | (391) | 0 | |
Repurchases of common stock | (1,650) | (1,994) | (106) | |
Preferred stock issuance | 0 | 2,324 | 0 | |
Trust preferred securities redemption | 0 | (2,710) | 0 | |
Common stock dividends paid | (384) | (324) | (289) | |
Preferred stock dividends paid | (110) | (57) | 0 | |
Net cash provided by (used in) financing activities | 11,575 | (3,848) | 25 | |
Effect of exchange-rate changes on cash and cash equivalents and restricted cash | (7) | 0 | 3 | |
Net increase (decrease) in cash and cash equivalents and restricted cash | 552 | (10,904) | 12,194 | |
Cash and cash equivalents and restricted cash at beginning of year | 5,670 | 16,574 | 4,380 | |
Cash and cash equivalents and restricted cash at December 31, | 6,222 | 5,670 | 16,574 | |
Cash paid (received) for | ||||
Interest | 2,583 | 2,033 | 3,366 | |
Income taxes | (425) | 1,292 | 53 | |
Noncash items | ||||
Loans held-for-sale transferred to finance receivables and loans held-for-investment | 120 | 136 | 75 | |
Additions of property and equipment | 0 | 46 | 0 | |
Finance receivables and loans held-for-investment transferred to loans held-for-sale | 23 | 414 | 495 | |
Transfer of equity-method investments to equity securities | 40 | 0 | 0 | |
Transfer of nonmarketable equity investments to equity securities | 1 | 0 | 0 | |
In-kind distribution from equity-method investee | 0 | 1 | 226 | |
Equity consideration received in exchange for restructured loans | 0 | 0 | 5 | |
Decrease in held-to-maturity securities due to the consolidation of a VIE | 0 | 0 | 10 | |
Increase in held-for-investment loans and other, net, due to the consolidation of a VIE | 0 | 0 | 224 | |
Increase in collateralized borrowings, net, due to the consolidation of a VIE | 0 | 0 | 214 | |
Additional Cash Flow Elements and Supplemental Cash Flow Information [Abstract] | ||||
Cash and cash equivalents on the Consolidated Balance Sheet | 5,571 | 5,062 | ||
Restricted cash included in other assets on the Consolidated Balance Sheet | [1] | 651 | 608 | |
Total cash and cash equivalents and restricted cash in the Consolidated Statement of Cash Flows | $ 6,222 | $ 5,670 | $ 16,574 | |
[1]Restricted cash balances relate primarily to our securitization arrangements. Refer to Note 13 for additional details describing the nature of restricted cash balances. |
Description of Business, Basis
Description of Business, Basis of Presentation, and Significant Accounting Policies | 12 Months Ended |
Dec. 31, 2022 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Description of Business, Basis of Presentation, and Significant Accounting Policies | Description of Business, Basis of Presentation, and Significant Accounting Policies Ally Financial Inc. (together with its consolidated subsidiaries unless the context otherwise requires, Ally, the Company, we, us, or our) is a financial-services company with the nation’s largest all-digital bank and an industry-leading automotive financing and insurance business, driven by a mission to “Do It Right” and be a relentless ally for customers and communities. The Company serves customers through a full range of online banking services (including deposits, mortgage lending, point-of-sale personal lending and credit-card products) and securities brokerage and investment advisory services. The Company also includes a corporate finance business that offers capital for equity sponsors and middle-market companies. Ally is a Delaware corporation and is registered as a BHC under the BHC Act, and an FHC under the GLB Act. Consolidation and Basis of Presentation The Consolidated Financial Statements include the accounts of the parent and its consolidated subsidiaries, of which it is deemed to possess control, after eliminating intercompany balances and transactions, and include all VIEs in which we are the primary beneficiary. Refer to Note 11 for further details on our VIEs. Other entities in which we have invested and have the ability to exercise significant influence over operating and financial policies of the investee, but upon which we do not possess control, are accounted for using the equity method of accounting within the financial statements and are therefore not consolidated. Our accounting and reporting policies conform to U.S. GAAP. Additionally, where applicable, the policies conform to the accounting and reporting guidelines prescribed by bank regulatory authorities. Certain reclassifications may have been made to the prior periods’ financial statements and notes to conform to the current period’s presentation, which did not have a material impact on our Consolidated Financial Statements. We operate our international subsidiaries in a similar manner as we operate in the United States of America (U.S. or United States), subject to local laws or other circumstances that may cause us to modify our procedures accordingly. The financial statements of subsidiaries that operate outside of the United States generally are measured using the local currency as the functional currency. Use of Estimates and Assumptions The preparation of financial statements in conformity with U.S. GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and the related disclosure, including those of contingent assets and liabilities at the date of the financial statements. It also includes estimates related to the income and expenses during the reporting period and the related disclosures. In developing the estimates and assumptions, management uses all available evidence; however, actual results could differ because of uncertainties associated with estimating the amounts, timing, and likelihood of possible outcomes. Our most significant estimates pertain to the allowance for loan losses, the valuations of automotive operating lease assets and residuals, the fair value of financial instruments, and the determination of the provision for income taxes. Significant Accounting Policies Cash and Cash Equivalents Cash and cash equivalents include cash on hand, cash on deposit at other financial institutions, cash items in process of collection, and certain highly liquid investments with original maturities of three months or less from the date of purchase. The book value of cash equivalents approximates fair value because of the short maturities of these instruments and the insignificant risk they present to changes in value with respect to changes in interest rates. We may hold securities with original maturities of three months or less from the date of purchase that are held as part of a longer-term investment strategy and classify them as investment securities. Cash and cash equivalents with legal restrictions limiting our ability to withdraw and use the funds are considered restricted cash and restricted cash equivalents and are presented as other assets on our Consolidated Balance Sheet. Investments Our investment portfolio includes various debt and equity securities. Debt securities are classified based on management’s intent to sell or hold the security. We classify debt securities as held-to-maturity only when we have both the intent and ability to hold the securities to maturity. We classify debt securities as trading when the securities are acquired for the purpose of selling or holding them for a short period of time. Debt securities not classified as either held-to-maturity or trading are classified as available-for-sale. We do not hold any debt securities classified as trading. Our available-for-sale securities are carried at fair value with unrealized gains and losses included in accumulated other comprehensive income, while our held-to-maturity securities are carried at amortized cost. We establish an allowance for credit losses for lifetime expected credit losses on our held-to-maturity securities, as necessary. The estimate of expected credit losses considers historical credit loss information that is adjusted for current conditions and reasonable and supportable forecasts. Accrued interest receivable on held-to-maturity securities is excluded from the estimate of credit losses. Our held-to-maturity securities portfolio is mostly composed of residential mortgage-backed debt securities that are issued by U.S. government entities and agencies. These securities are either explicitly or implicitly guaranteed by the U.S. government, are highly rated by major ratings agencies, and have a long history of zero credit losses and therefore generally do not require an allowance for credit losses. We regularly assess our available-for-sale securities for impairment. When the amortized cost basis of an available-for-sale security exceeds its fair value, the security is impaired. If we determine that we intend to sell, or it is more likely than not that we will be required to sell the security before recovery of the amortized cost basis, any previously recorded allowance for credit losses is written off and the security’s amortized cost basis is written down to fair value at the reporting date, with any incremental impairment recorded through earnings. Alternatively, if we do not intend to sell, or it is not more likely than not that we will be required to sell the security before anticipated recovery of the amortized cost basis, we evaluate, among other factors, the magnitude of the decline in fair value, the financial health of and business outlook for the issuer, and the performance of the underlying assets for interests in securitized assets to determine if a credit loss has occurred. The present value of expected future cash flows are compared to the security’s amortized cost basis to measure the credit loss component of the impairment after determining a credit loss has occurred. If the present value of expected cash flows is less than the amortized cost basis, we record an allowance for credit losses for that difference. The amount of credit loss is limited to the difference between the security’s amortized cost basis and its fair value. Any remaining impairment that is considered a noncredit loss is recorded in other comprehensive income. Changes in the allowance for credit losses are recorded as provision for, or reversal of, provision for credit losses. Accrued interest receivable on available-for-sale securities is excluded from the estimate of credit losses. Premiums and discounts on debt securities are generally amortized over the stated maturity of the security as an adjustment to investment yield. Premiums on debt securities that have non-contingent call features that are callable at fixed prices on preset dates are amortized to the earliest call date as an adjustment to investment yield. A debt security is placed on nonaccrual status at the time any principal or interest payments become 90 days past due. The receivable for interest income that is accrued but not collected is reversed against interest income when the debt security is placed on nonaccrual status. Our investments in equity securities include securities that are recognized at fair value and equity securities that are recognized using other measurement principles. Equity securities that have a readily determinable fair value are recorded at fair value with changes in fair value recorded in earnings and reported in other gain on investments, net in our Consolidated Statement of Income. These investments are included in equity securities on our Consolidated Balance Sheet. In some instances, we may account for equity securities using the net asset value practical expedient to estimate fair value. Refer to Note 24 for further information on equity securities that are held at fair value. Our equity securities recognized using other measurement principles include investments in FHLB and FRB stock held to meet regulatory requirements, equity investments related to LIHTCs and the CRA, which do not have a readily determinable fair value, and other equity investments that do not have a readily determinable fair value. Our LIHTC investments are accounted for using the proportional amortization method of accounting for qualified affordable housing investments. Our obligations related to unfunded commitments for our LIHTC investments are included in other liabilities. The majority of our other CRA investments are accounted for using the equity method of accounting. Our investments in LIHTCs and other CRA investments are included in investments in qualified affordable housing projects and equity-method investments, respectively, within other assets on our Consolidated Balance Sheet. Our investments in FHLB and FRB stock are carried at cost, less impairment, if any. Our remaining investments in equity securities are recorded at cost, less impairment and adjusted for observable price changes under the measurement alternative provided under U.S. GAAP. These investments, along with our investments in FHLB and FRB stock, are included in nonmarketable equity investments in other assets on our Consolidated Balance Sheet. Investments recorded under the measurement alternative are also reviewed at each reporting period to determine if any adjustments are required for observable price changes in identical or similar securities of the same issuer. As conditions warrant, we review these investments, as well as investments in FHLB and FRB stock, for impairment and adjust the carrying value of the investment if it is deemed to be impaired. Adjustments related to observable price changes or impairment on securities using the measurement alternative and FHLB and FRB stock are recorded in earnings and reported in other income, net of losses in our Consolidated Statement of Income. Realized gains and losses on the sale of debt securities and equity securities with a readily determinable fair value are determined using the specific identification method and are reported in other (loss) gain on investments, net in our Consolidated Statement of Income. Finance Receivables and Loans We initially classify finance receivables and loans as either loans held-for-sale or loans held-for-investment based on management’s assessment of our intent and ability to hold the loans for the foreseeable future or until maturity. Management’s view of the foreseeable future is based on the longest reliable forecasted period, including events known when performing periodic evaluations. Management’s intent and ability with respect to certain loans may change from time to time depending on a number of factors, for example, economic, liquidity, and capital conditions. In order to reclassify loans to held-for-sale, management must have the intent to sell the loans and must reasonably identify the specific loans to be sold. Loans classified as held-for-sale are presented as loans held-for-sale, net on our Consolidated Balance Sheet and are carried at the lower of their net carrying value or fair value, unless the fair value option was elected, in which case those loans are carried at fair value. For loans originated as held-for-sale for which we have not elected the fair value option, loan origination fees and costs are included in the initial carrying value. For held-for-sale loans for which we have elected the fair value option, loan origination fees and costs are recognized in earnings when earned or incurred. We have elected the fair value option for conforming mortgage direct-to-consumer originations for which we have a commitment to sell. The interest rate lock commitment that we enter into for a mortgage loan originated as held-for-sale and certain forward commitments are considered derivatives, which are carried at fair value on our Consolidated Balance Sheet. We have elected the fair value option to measure our nonderivative forward commitments. Changes in the fair value of our interest rate lock commitments, derivative forward commitments, and nonderivative forward commitments related to mortgage loans originated as held-for-sale, as well as changes in the carrying value of loans classified as held-for-sale, are reported through gain on mortgage and automotive loans, net in our Consolidated Statement of Income. Interest income on our loans classified as held-for-sale is recognized based upon the contractual rate of interest on the loan and the unpaid principal balance. We report accrued interest receivable on our loans classified as held-for-sale in other assets on our Consolidated Balance Sheet. We have also elected the fair value option for certain loans within our consumer other portfolio segment. Changes in fair value related to these loans are reported through other income, net of losses in our Consolidated Statement of Income. Loans classified as held-for-investment are presented as finance receivables and loans, net on our Consolidated Balance Sheet. Finance receivables and loans are reported at their amortized cost basis, which includes the principal amount outstanding, net of unamortized deferred fees and costs on originated loans, unamortized premiums and discounts on purchased loans, unamortized basis adjustments arising from the designation of finance receivables and loans as the hedged item in qualifying fair value hedge relationships, and cumulative principal net charge-offs. We refer to the amortized cost basis less the allowance for loan losses as the net carrying value in finance receivables and loans. Unearned rate support received from an automotive manufacturer on certain automotive loans, deferred origination fees and costs, and premiums and discounts on purchased loans, are amortized over the contractual life of the related finance receivable or loan using the effective interest method. We make various incentive payments for consumer automotive loan originations to automotive dealers and account for these payments as direct loan origination costs. Additionally, we make incentive payments to certain commercial automobile wholesale borrowers and account for these payments as a reduction to interest income in the period they are earned. Interest income on our finance receivables and loans is recognized based on the contractual rate of interest plus the amortization of deferred amounts using the effective interest method, except for origination fees and costs on our credit card loans, which amortize straight line over a twelve-month period. In addition, annual fees on credit cards are amortized into other income, net of losses over a twelve-month period. We report accrued interest receivable on our finance receivables and loans in other assets on our Consolidated Balance Sheet, except for billed interest on our credit card loans, which is included in finance receivables and loans, net. Loan commitment fees are generally deferred and amortized over the commitment period. For information on finance receivables and loans, refer to Note 9. We have elected to exclude accrued interest receivable from the measurement of our allowance for loan losses for each class of financing receivables, except for billed interest on our credit card loans which is included within finance receivables and loans, net. We have also elected to write-off accrued interest receivable by reversing interest income when loans are placed on nonaccrual status for each class of finance receivable. This includes the reversal of the billed interest on credit card loans that occurs at the time of charge-off, which is initially included in the measurement of our allowance for loan losses. Our portfolio segments are based on the level at which we develop and document our methodology for determining the allowance for loan losses. Additionally, the classes of finance receivables are based on several factors, including the method for monitoring and assessing credit risk, the method of measuring carrying value, and the risk characteristics of the finance receivable. Based on an evaluation of our process for developing the allowance for loan losses, including the nature and extent of exposure to credit risk arising from finance receivables, we have determined our portfolio segments to be consumer automotive, consumer mortgage, consumer other, and commercial. • Consumer automotive — Consists of retail automotive financing for new and used vehicles. • Consumer mortgage — Consists of the following classes of finance receivables. ◦ Mortgage Finance — Consists of consumer first-lien mortgages from our ongoing mortgage operations including direct-to-consumer originations, refinancing of high-quality jumbo mortgages and LMI mortgages, and bulk acquisitions. ◦ Mortgage — Legacy — Consists of consumer mortgage assets originated prior to January 1, 2009, including first-lien mortgages, subordinate-lien mortgages, and home equity mortgages. • Consumer other — Consists of the following classes of finance receivables. • Personal Lending — Consists of unsecured consumer lending from point-of-sale financing. • Credit Card — Consists of consumer credit card loans. • Commercial — Consists of the following classes of finance receivables. ◦ Commercial and Industrial ▪ Automotive — Consists of financing operations to fund dealer purchases of new and used vehicles through wholesale floorplan financing. Additional commercial offerings include automotive dealer term loans, revolving lines, and dealer fleet financing. ▪ Other — Consists primarily of senior secured leveraged asset-based and cash flow loans related to our corporate-finance business. ◦ Commercial Real Estate — Consists of term loans primarily secured by dealership land and buildings, and other commercial lending secured by real estate. Nonaccrual Loans Generally, we recognize loans of all classes as past due when they are 30 days delinquent on making a contractually required payment, and loans are placed on nonaccrual status when principal or interest has been delinquent for at least 90 days, or when full collection is not expected. Interest income recognition is suspended when finance receivables and loans are placed on nonaccrual status. Additionally, amortization of premiums and discounts and deferred fees and costs ceases when finance receivables and loans are placed on nonaccrual. Exceptions include commercial real estate loans that are placed on nonaccrual status when delinquent for 60 days or when full collection is not probable, if sooner. Additionally, our policy is to generally place all loans that have been modified in a TDR on nonaccrual status until the loan has been brought fully current, the collection of contractual principal and interest is reasonably assured, and six consecutive months of repayment performance is achieved. In certain cases, if a borrower has been current up to the time of the modification and repayment of the debt subsequent to the modification is reasonably assured, we may choose to continue to accrue interest on the loan. Nonperforming loans on nonaccrual status are reported in Note 9. For all of our portfolio segments, the receivable for interest income that is accrued, but not collected, at the date finance receivables and loans are placed on nonaccrual status is reversed against interest income and subsequently recognized only to the extent it is received in cash or until it qualifies for return to accrual status. However, for credit card loans, billed interest is included in the receivables balance and therefore is not reversed against interest income until the loan is charged-off. Where there is doubt regarding the ultimate collectability of loan principal, all cash received is applied to reduce the carrying value of such loans. Generally, finance receivables and loans are restored to accrual status only when contractually current and the collection of future payments is reasonably assured. Troubled Debt Restructurings When the terms of finance receivables or loans are modified, consideration must be given as to whether or not the modification results in a TDR. A modification is considered to be a TDR when both the borrower is experiencing financial difficulty and we grant a concession to the borrower. These considerations require significant judgment and vary by portfolio segment. In all cases, the cumulative impacts of all modifications are considered at the time of the most recent modification. For consumer loans of all classes, various qualitative factors are utilized for assessing the financial difficulty of the borrower. These factors include, but are not limited to, the borrower’s default status on any of its debts, bankruptcy, and recent changes in financial circumstances (for instance, loss of employment). A concession has been granted when, as a result of the modification, we do not expect to collect all amounts due under the original loan terms, including interest accrued at the original contract rate. Types of modifications that may be considered concessions include, but are not limited to, extensions of terms at a rate that does not constitute a market rate, a reduction, deferral or forgiveness of principal or interest owed, and loans that have been discharged in bankruptcy proceedings and have not been reaffirmed by the borrower. In addition to the modifications noted above, in our consumer automotive portfolio segment of loans we also provide extensions or deferrals of payments to borrowers whom we deem to be experiencing only temporary financial difficulty. In these cases, there are limits within our operational policies to minimize the number of times a loan can be extended, as well as limits to the length of each extension, including a cumulative cap over the life of the loan. If these limits are breached, the modification is considered a TDR as noted in the following paragraph. Before offering an extension or deferral, we evaluate the capacity of the customer to make the scheduled payments after the deferral period. During the deferral period, we continue to accrue interest on the loan as part of the deferral agreement. We grant these extensions or deferrals when we expect to collect all amounts due including interest accrued at the original contract rate. A restructuring that results in only a delay in payment that is deemed to be insignificant is not a concession and the modification is not considered to be a TDR. In order to assess whether a restructuring that results in a delay in payment is insignificant, we consider the amount of the restructured payments subject to delay in conjunction with the unpaid principal balance or the collateral value of the loan, whether or not the delay is significant with respect to the frequency of payments under the original contract, or the loan’s original expected duration. In the cases where payment extensions on our automotive loan portfolio cumulatively extend beyond 90 days and are more than 10% of the original contractual term or where the cumulative payment extension is beyond 180 days, we deem the delay in payment to be more than insignificant, and as such, classify these types of modifications as TDRs. Otherwise, the modifications do not represent a concessionary modification and accordingly, they are not classified as TDRs. Refer to Note 9 for additional information. For commercial loans of all classes, similar qualitative factors are considered when assessing the financial difficulty of the borrower. In addition to the factors noted above, consideration is also given to the borrower’s forecasted ability to service the debt in accordance with the contractual terms, possible regulatory actions, and other potential business disruptions (for example, the loss of a significant customer or other revenue stream). Consideration of a concession is also similar for commercial loans. In addition to the factors noted above, consideration is also given to whether additional guarantees or collateral have been provided. For all loans, TDR classification typically results from our loss mitigation activities. For loans held-for-investment that are not carried at fair value and are TDRs, impairment is typically measured based on the difference between the amortized cost basis of the loan and the present value of the expected future cash flows of the loan. The present value is calculated using the loan’s original effective interest rate, as opposed to the interest rate specified within the restructuring. The loan may also be measured for impairment based on the fair value of the underlying collateral less costs to sell for loans that are collateral dependent. We recognize impairment by either establishing a valuation allowance or recording a charge-off. The financial impacts of modifications that meet the definition of a TDR are reported in the period in which they are identified as TDRs. Additionally, if a loan that is classified as a TDR redefaults within 12 months of the modification, we are required to disclose the instances of redefault. For the purpose of this disclosure, we have determined that a loan is considered to have redefaulted when the loan meets the requirements for evaluation under our charge-off policy except for commercial loans where redefault is defined as 90 days past due. Nonaccrual loans may return to accrual status as discussed in the preceding nonaccrual loans section, at which time, the normal accrual of interest income resumes. Net Charge-offs We disclose the measurement of net charge-offs as the amount of gross charge-offs recognized less recoveries received. Gross charge-offs reflect the amount of the amortized cost basis directly written-off. Generally, we recognize recoveries when they are received and record them as an increase to the allowance for loan losses. As a general rule, consumer automotive loans are fully charged off once a loan becomes 120 days past due. In instances where upon becoming 120 days past due repossession is assured and in process, consumer automotive loans are written down to estimated collateral value, less costs to sell. In our consumer mortgage portfolio segment, first-lien mortgages and a subset of our home equity portfolio that are secured by real estate in a first-lien position are written down to the estimated fair value of the collateral, less costs to sell, once a mortgage loan becomes 180 days past due. Consumer mortgage loans that represent second-lien positions are charged off at 180 days past due. In our consumer other segment, loans within our personal lending class of receivables are charged off at 120 days past due and loans in our credit card class of receivables are charged off at 180 days past due. Within 60 days of receipt of notification of filing from the bankruptcy court, or within the time frames noted above, consumer automotive and first-lien consumer mortgage loans in bankruptcy are written down to their expected future cash flows, which is generally fair value of the collateral, less costs to sell, and second-lien consumer mortgage loans and other consumer loans are fully charged-off, unless it can be clearly demonstrated that repayment is likely to occur. Regardless of other timelines noted within this policy, loans are considered collateral dependent when the borrower is experiencing financial difficulty and repayment of the loan is expected to only be through sale or operation of the collateral. Collateral dependent loans are charged-off to the estimated fair value of the underlying collateral, less costs to sell when foreclosure or repossession proceedings begin. Commercial loans are individually evaluated and are written down to the estimated fair value of the collateral less costs to sell when collectability of the recorded balance is in doubt. Generally, all commercial loans are charged-off when it becomes unlikely that the borrower is willing or able to repay the remaining balance of the loan and any underlying collateral is not sufficient to recover the outstanding principal. Collateral dependent loans are charged-off to the fair market value of collateral less costs to sell when appropriate. Non-collateral dependent loans are fully charged-off. Allowance for Loan Losses The allowance for loan losses (the allowance) is deducted from, or added to, the loan’s amortized cost basis to present the net amount expected to be collected from our lending portfolios. We estimate the allowance using relevant available information, which includes both internal and external sources, relating to past events, current conditions, and reasonable and supportable forecasts. Additions and reductions to the allowance are charged to current period earnings through the provision for credit losses and amounts determined to be uncollectible are charged directly against the allowance, net of amounts recovered on previously charged-off accounts. Expected recoveries do not exceed the total of amounts previously charged-off and amounts expected to be charged-off. Expected credit losses are estimated over the contractual term of the loans, adjusted for expected prepayments when appropriate. The contractual term excludes expected extensions or renewals, unless the extension or renewal option is included in the original or modified contract at the reporting date and we are not able to unconditionally cancel the option. Expected loan modifications are also not included in the contractual term, unless we have a reasonable expectation at period end that a TDR will be executed with a borrower. For the purpose of calculating portfolio-level reserves, we have grouped our loans into four portfolio segments: consumer automotive, consumer mortgage, consumer other, and commercial. The allowance is measured on a collective basis using statistical models when loans have similar risk characteristics. These statistical models are designed to correlate certain macroeconomic variables to expected future credit losses. The macroeconomic data used in the models are based on forecasted factors for the next 12-months. These forecasted variables are derived from both internal and external sources. Beyond this forecasted period, we revert each variable to a historical average. This reversion to the mean is performed on a straight-line basis over 24 months. The historical average is calculated using historical data beginning in January 2008 through the current period. Loans that do not share similar risk characteristics are evaluated on an individual basis and are not included in the collective evaluation. The allowance calculation is supplemented with qualitative overlays that take into consideration current portfolio and asset-level factors, such as the impacts of changes in underwriting standards, collections and account management effectiveness, geographic concentrations, and economic events that have occurred but are not yet reflected in the quantitative model component. Qualitative adjustments are documented, reviewed, and approved through our established risk governance processes and follow regulatory guidance. Management also considers the need for a reserve on unfunded nonderivative loan commitments across our portfolio segments, including lines of credit and standby letters of credit. We estimate expected credit losses over the contractual period in which we are exposed to credit risk, unless we have the option to unconditionally cancel the obligation. Expected credit losses on the commitments include consideration of the likelihood that funding will occur under the commitment and an estimate of expected credit losses on amo |
Acquisitions
Acquisitions | 12 Months Ended |
Dec. 31, 2022 | |
Business Combination and Asset Acquisition [Abstract] | |
Acquisitions | AcquisitionsOn December 1, 2021, we acquired 100% of the equity of Fair Square Financial Holdings LLC and its subsidiaries, including Fair Square Financial LLC (collectively, Fair Square) for $741 million in cash. Fair Square, which we rebranded Ally Credit Card, is a digital-first, credit-card company that operates in the United States. Fair Square operates as a wholly owned subsidiary of Ally. We applied the acquisition method of accounting to this transaction, which generally requires the initial recognition of assets acquired, including identifiable intangible assets, and liabilities assumed at their respective fair value. Goodwill is recognized as the excess of the acquisition price after the recognition of the net assets, including the identifiable intangible assets. Beginning in December 2021, financial information related to Fair Square is included within Corporate and Other. The following table summarizes the allocation of cash consideration paid for Fair Square and the amounts of the identifiable assets acquired and liabilities assumed at the acquisition date. ($ in millions) Purchase price Cash consideration $ 741 Allocation of purchase price to net assets acquired Finance receivables and loans (a) 870 Intangible assets (b) 98 Cash and short-term investments 42 Other assets 46 Debt (765) Other liabilities (29) Goodwill $ 479 (a) Included $22 million of PCD loans that have experienced a more-than-insignificant deterioration of credit quality since origination. We recognized an initial allowance for loan losses of $12 million on these PCD loans. (b) The weighted average amortization period on the acquired intangible assets is 7 years. Refer to Note 1 and Note 13 for further information on our intangible assets. The goodwill of $479 million arising from the acquisition consists largely of expected growth of the business as we leverage the Ally brand and our marketing capabilities to scale the acquired credit card provider and expand the suite of financial products we offer to our existing growing customer base. The goodwill recognized is generally expected to be amortized for income tax purposes over a 15-year period. Refer to Note 13 for the carrying amount of goodwill at the beginning and end of the reporting period. |
Revenue from Contracts with Cus
Revenue from Contracts with Customers | 12 Months Ended |
Dec. 31, 2022 | |
Revenue from Contract with Customer [Abstract] | |
Revenue from Contracts with Customers | Revenue from Contracts with Customers Our primary revenue sources, which include financing revenue and other interest income, are addressed by other U.S. GAAP topics and are not in the scope of ASC Topic 606, Revenue from Contracts with Customers. As part of our Insurance operations, we recognize revenue from insurance contracts, which are addressed by other U.S. GAAP topics and are not included in the scope of this standard. Certain noninsurance contracts within our Insurance operations, including VSCs, GAP contracts, and VMCs, are included in the scope of this standard. All revenue associated with noninsurance contracts is recognized over the contract term on a basis proportionate to the anticipated cost emergence. Further, commissions and sales expense incurred to obtain these contracts are amortized over the terms of the related policies and service contracts on the same basis as premiums and service revenue are earned, and all advertising costs are recognized as expense when incurred. The following is a description of our primary revenue sources that are derived from contracts with customers. Revenue from contracts with customers is recognized when control of the promised goods or services is transferred to our customers, and in an amount that reflects the consideration that we expect to receive in exchange for those goods or services. For information regarding our revenue recognition policies outside the scope of the revenue recognition principles of ASC Topic 606, Revenue from Contracts with Customers , refer to Note 1. • Noninsurance contracts — We sell VSCs that offer owners mechanical repair protection and roadside assistance for new and used vehicles beyond the manufacturer’s new vehicle limited warranty. We sell GAP contracts that protect the customer against having to pay certain amounts to a lender above the fair market value of their vehicle if the vehicle is damaged and declared a total loss or stolen. We also sell VMCs that provide coverage for certain agreed-upon services, such as oil changes and tire rotations, over the coverage period. We receive payment in full at the inception of each of these contracts. Our performance obligation for these contracts is satisfied over the term of the contract and we recognize revenue over the contract term on a basis proportionate to the anticipated incurrence of costs, as we believe this is the most appropriate method to measure progress towards satisfaction of the performance obligation. This revenue is recorded within insurance premiums and service revenue earned in our Consolidated Statement of Income, while associated cancellation and transfer fees are recorded as other income. • Sale of off-lease vehicles — When a customer’s vehicle lease matures, the customer has the option of purchasing or returning the vehicle. If the vehicle is returned to us, we obtain possession with the intent to sell through SmartAuction—our online auction platform, our dealer channel, or through various other physical auctions. Our performance obligation is satisfied and the remarketing gain or loss is recognized when control of the vehicle has passed to the buyer, which coincides with the sale date. Our actual sales proceeds from remarketing the vehicle may be higher or lower than the estimated residual value resulting in a gain or loss on remarketing recorded through depreciation expense on operating lease assets in our Consolidated Statement of Income. • Remarketing fee income — In addition to using SmartAuction as a remarketing channel for our returned lease vehicles, we maintain the SmartAuction internet auction site and administer the auction process for third-party use. We earn a service fee from dealers for every third-party vehicle sold through SmartAuction. Our performance obligation is to provide the online marketplace for used vehicle transactions to be consummated. This obligation is satisfied and revenue is recognized when control of the vehicle has passed to the buyer, which coincides with the sale date. This revenue is recorded as remarketing fees within other income in our Consolidated Statement of Income. • Brokerage commissions and other revenues through Ally Invest — We charge fees to customers related to their use of certain services on our Ally Invest digital wealth management and online brokerage platform. These fees include commissions on low-priced securities, option contracts, certain other security types, account service fees, account management fees on professional portfolio management services, and other ancillary fees. Commissions on customer-directed trades and account service fees are based on published fee schedules and are generated from a customer option to purchase the services offered under the contract. These options do not represent a material right and are only considered a contract when the customer executes their option to purchase these services. Based on this, the term of the contract does not extend beyond the services provided, and accordingly revenue is recognized upon the completion of our performance obligation, which we view as the successful execution of the trade or service. Revenue on professional portfolio management services is calculated monthly based upon a fixed percentage of the client’s assets under management. Due to the fact that this revenue stream is composed of variable consideration that is based on factors outside of our control, we have deemed this revenue as constrained and we are unable to estimate the initial transaction price at the inception of the contract. We have elected to use the practical expedient under GAAP to recognize revenue monthly based on the amount we are able to invoice the customer. Additionally, we earn revenue when we route customers’ orders to market makers, who then execute customers’ trades. The market makers compensate us for the right to fill the customers’ orders. We also earn revenue from a fee-sharing agreement with our clearing broker related to the interest income the clearing broker earns on customer cash balances, securities lending, and margin loans made to our customers. We concluded the initial transaction price is exclusively variable consideration and, based on the nature of our performance obligation to allow the clearing broker to collect interest income from cash deposits and customer loans from our customers, we are unable to determine the amount of revenue to be recognized until the total customer cash balance or the total interest income recognized on margin loans has been determined, which occurs monthly. These revenue streams are recorded as other income in our Consolidated Statement of Income. • Brokered/agent commissions through Insurance operations — We have agreements with third parties to offer various vehicle protection products to consumers. We also have agreements with third-party insurers to offer various insurance coverages to dealers. Our performance obligation for these arrangements is satisfied when a customer or dealer has purchased a vehicle protection product or an insurance policy through the third-party provider. In determining the initial transaction price for these agreements, we noted that revenue on brokered/agent commissions is based on the volume of vehicle protection product contracts sold or a percentage of insurance premium written, which is not known to us at the inception of the agreements with these third-party providers. We concluded the initial transaction price is exclusively variable consideration and, based on the nature of the performance obligation, we are unable to determine the amount of revenue we will record until the customer purchases a vehicle protection product or a dealer purchases an insurance policy from the third-party provider. Once we are notified of vehicle protection product sales or insurance policies issued by the third-party providers, we record the commission earned as insurance premiums and service revenues earned in our Consolidated Statement of Income. • Banking fees and interchange income — We charge depositors various account service fees including those for outgoing wires, excessive transactions, stop payments, and returned deposits. These fees are generated from a customer option to purchase services offered under the contract. These options do not represent a material right and are only considered a contract in accordance with the revenue recognition principles when the customer exercises their option to purchase these account services. Based on this, the term for our contracts with customers is considered day-to-day, and the contract does not extend beyond the services already provided. In May 2021, we eliminated all overdraft fees for Ally Bank deposit accounts. Revenue derived from deposit account fees is recorded at the point in time we perform the requested service, and is recorded as other income in our Consolidated Statement of Income. As a debit and credit card issuer, we also generate interchange fee income from merchants during debit and credit card transactions and incur certain corresponding charges from merchant card networks. For debit card transactions, our performance obligation is satisfied when we have initiated the payment of funds from a customer’s account to a merchant through our contractual agreements with the merchant card networks. For credit card transactions, our performance obligation is satisfied at the time each transaction is captured for settlement with the interchange networks. Interchange fees are reported net of processing fees and customer rewards as other income in our Consolidated Statement of Income. • Other revenue — Other revenue primarily includes service revenue related to various account management functions and fee income derived from third-party lenders arranged through our online automotive lender exchange. These revenue streams are recorded as other income in our Consolidated Statement of Income. The following table presents a disaggregated view of our revenue from contracts with customers included in other revenue that falls within the scope of the revenue recognition principles of ASC Topic 606, Revenue from Contracts with Customers . Year ended December 31, ($ in millions) Automotive Finance operations Insurance operations Mortgage Finance operations Corporate Finance operations Corporate and Other Consolidated 2022 Revenue from contracts with customers Noninsurance contracts (a) (b) (c) $ — $ 655 $ — $ — $ — $ 655 Remarketing fee income 107 — — — — 107 Brokerage commissions and other revenue — — — — 64 64 Banking fees and interchange income (d) (e) — — — — 44 44 Brokered/agent commissions — 14 — — — 14 Other 20 — — — 4 24 Total revenue from contracts with customers 127 669 — — 112 908 All other revenue 179 354 27 122 (12) 670 Total other revenue (f) $ 306 $ 1,023 $ 27 $ 122 $ 100 $ 1,578 2021 Revenue from contracts with customers Noninsurance contracts (a) (b) (c) $ — $ 627 $ — $ — $ — $ 627 Remarketing fee income 107 — — — — 107 Brokerage commissions and other revenue — — — — 58 58 Banking fees and interchange income (d) (e) — — — — 18 18 Brokered/agent commissions — 16 — — — 16 Other 22 — — — 4 26 Total revenue from contracts with customers 129 643 — — 80 852 All other revenue 122 702 94 128 141 1,187 Total other revenue (f) $ 251 $ 1,345 $ 94 $ 128 $ 221 $ 2,039 2020 Revenue from contracts with customers Noninsurance contracts (a) (b) (c) $ — $ 584 $ — $ — $ — $ 584 Remarketing fee income 73 — — — — 73 Brokerage commissions and other revenue — — — — 52 52 Banking fees and interchange income — — — — 12 12 Brokered/agent commissions — 16 — — — 16 Other 15 1 — — — 16 Total revenue from contracts with customers 88 601 — — 64 753 All other revenue 116 733 102 45 234 1,230 Total other revenue (f) $ 204 $ 1,334 $ 102 $ 45 $ 298 $ 1,983 (a) We had opening balances of $3.1 billion, $3.0 billion, and $2.9 billion in unearned revenue associated with outstanding contracts at January 1, 2022, 2021, and 2020 respectively, and $939 million, $909 million, and $866 million of these balances were recognized as insurance premiums and service revenue earned in our Consolidated Statement of Income during the years ended December 31, 2022, 2021, and 2020, respectively. (b) At December 31, 2022, we had unearned revenue of $3.0 billion associated with outstanding contracts, and with respect to this balance we expect to recognize revenue of $883 million in 2023, $747 million in 2024, $565 million in 2025, $384 million in 2026, and $402 million thereafter. We had unearned revenue of $3.1 billion and $3.0 billion associated with outstanding contracts at December 31, 2021, and 2020, respectively. (c) We had deferred insurance assets of $1.8 billion at both December 31, 2022, and 2020, and $1.9 billion at December 31, 2021. We recognized $564 million, $537 million, and $498 million of expense during the years ended December 31, 2022, 2021, and 2020, respectively. (d) Effective May 25, 2021, we eliminated all overdraft fees for Ally Bank deposit accounts. (e) Interchange income is reported net of customer rewards. Customer rewards expense was $14 million and $1 million for the years ended December 31, 2022, and 2021, respectively. (f) Represents a component of total net revenue. Refer to Note 26 for further information on our reportable operating segments. |
Insurance Premiums and Service
Insurance Premiums and Service Revenue | 12 Months Ended |
Dec. 31, 2022 | |
Insurance Premiums and Service Revenue [Abstract] | |
Insurance Premiums and Service Revenue Disclosure | Insurance Premiums and Service Revenue The following table is a summary of insurance premiums and service revenue written and earned. 2022 2021 2020 Year ended December 31, ($ in millions) Written Earned Written Earned Written Earned Insurance premiums Direct $ 388 $ 379 $ 397 $ 389 $ 438 $ 429 Assumed 42 29 15 8 3 3 Gross insurance premiums 430 408 412 397 441 432 Ceded (216) (211) (200) (205) (211) (208) Net insurance premiums 214 197 212 192 230 224 Service revenue 889 954 985 925 999 879 Insurance premiums and service revenue written and earned $ 1,103 $ 1,151 $ 1,197 $ 1,117 $ 1,229 $ 1,103 |
Other Income, Net of Losses
Other Income, Net of Losses | 12 Months Ended |
Dec. 31, 2022 | |
Other Nonoperating Income (Expense) [Abstract] | |
Other Income, Net of Losses | Other Income, Net of Losses Details of other income, net of losses, were as follows. Year ended December 31, ($ in millions) 2022 2021 2020 Late charges and other administrative fees $ 162 $ 123 $ 93 Remarketing fees 107 107 73 Income from equity-method investments 102 132 161 (Loss) gain on nonmarketable equity investments, net (a) (132) 142 99 Other, net 256 182 139 Total other income, net of losses $ 495 $ 686 $ 565 (a) Refer to Note 13 for further information on our nonmarketable equity investments. |
Reserves for Insurance Losses a
Reserves for Insurance Losses and Loss Adjustment Expenses | 12 Months Ended |
Dec. 31, 2022 | |
Short-Duration Insurance Contracts, Liability for Unpaid Claims and Allocated Claim Adjustment Expense, Net [Abstract] | |
Reserves for Insurance Losses and Loss Adjustment Expenses | Reserves for Insurance Losses and Loss Adjustment Expenses The following table shows incurred claims and allocated loss adjustment expenses, net of reinsurance. For the years ended December 31, ($ in millions) December 31, 2022 ($ in millions) (unaudited supplementary information) Total of incurred-but-not-reported liabilities plus expected development on reported claims (a) Cumulative number of reported claims (a) Accident year 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022 2013 $ 376 $ 365 $ 370 $ 370 $ 369 $ 368 $ 368 $ 368 $ 368 $ 368 $ — 672,284 2014 390 389 388 388 388 388 388 388 388 — 525,298 2015 274 271 272 272 272 272 272 272 — 342,280 2016 326 327 328 328 328 328 328 — 476,056 2017 310 314 315 315 315 315 — 481,750 2018 271 272 272 273 273 — 506,449 2019 303 306 305 305 — 542,314 2020 343 339 339 — 494,382 2021 243 237 1 493,222 2022 258 28 483,742 Total $ 3,083 (a) Claims are reported on a claimant basis. Claimant is defined as one vehicle for GAP products, one repair for VSCs and VMCs, one dealership for dealer inventory products, and per individual/coverage for run-off personal automotive products. The following table shows cumulative paid claims and allocated loss adjustment expenses, net of reinsurance. For the years ended December 31, ($ in millions) (unaudited supplementary information) Accident year 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022 2013 $ 347 $ 364 $ 366 $ 368 $ 368 $ 368 $ 368 $ 368 368 $ 368 2014 369 388 388 388 388 388 388 388 388 2015 252 272 272 272 272 272 272 272 2016 302 327 328 328 328 328 328 2017 289 315 315 315 315 315 2018 245 273 273 273 273 2019 278 306 305 305 2020 313 339 339 2021 213 236 2022 225 Total 3,049 All outstanding liabilities for loss and allocated loss adjustment expenses before 2013, net of reinsurance 10 Reserves for insurance losses and allocated loss adjustment expenses, net of reinsurance $ 44 The following table shows the average annual percentage payout of incurred claims by age, net of reinsurance. The information presented is unaudited supplementary information. Year 1 2 3 4 5 6 7 8 9 10 Percentage payout of incurred claims 92.3 % 7.5 % 0.1 % 0.1 % — % — % — % — % — % — % The following table shows a reconciliation of the disclosures of incurred and paid claims development to the reserves for insurance losses and loss adjustment expenses. December 31, ($ in millions) 2022 2021 2020 Reserves for insurance losses and loss adjustment expenses, net of reinsurance $ 44 $ 39 $ 37 Total reinsurance recoverable on unpaid claims 72 81 90 Unallocated loss adjustment expenses 3 2 2 Total gross reserves for insurance losses and loss adjustment expenses $ 119 $ 122 $ 129 The following table shows a rollforward of our reserves for insurance losses and loss adjustment expenses. ($ in millions) 2022 2021 2020 Total gross reserves for insurance losses and loss adjustment expenses at January 1, $ 122 $ 129 $ 122 Less: Reinsurance recoverable 81 90 88 Net reserves for insurance losses and loss adjustment expenses at January 1, 41 39 34 Net insurance losses and loss adjustment expenses incurred related to: Current year 282 259 360 Prior years (a) (2) 2 3 Total net insurance losses and loss adjustment expenses incurred 280 261 363 Net insurance losses and loss adjustment expenses paid or payable related to: Current year (246) (229) (328) Prior years (28) (30) (30) Total net insurance losses and loss adjustment expenses paid or payable (274) (259) (358) Net reserves for insurance losses and loss adjustment expenses at December 31, 47 41 39 Plus: Reinsurance recoverable 72 81 90 Total gross reserves for insurance losses and loss adjustment expenses at December 31, $ 119 $ 122 $ 129 (a) There have been no material adverse changes to the reserve for prior years. |
Other Operating Expenses
Other Operating Expenses | 12 Months Ended |
Dec. 31, 2022 | |
Operating Expenses [Abstract] | |
Other Operating Expenses | Other Operating Expenses Details of other operating expenses were as follows. Year ended December 31 , ($ in millions) 2022 2021 2020 Insurance commissions $ 610 $ 562 $ 517 Technology and communications 406 345 314 Advertising and marketing 366 241 171 Lease and loan administration 201 222 203 Professional services 173 146 118 Property and equipment depreciation 165 153 136 Regulatory and licensing fees 119 75 96 Vehicle remarketing and repossession 91 74 73 Amortization of intangible assets (a) 31 20 18 Charitable contributions (b) 16 63 43 Other 329 305 355 Total other operating expenses $ 2,507 $ 2,206 $ 2,044 (a) Refer to Note 1 and Note 13 for further information on our intangible assets. (b) Includes contributions made to the Ally Charitable Foundation, a nonconsolidated entity. |
Investment Securities
Investment Securities | 12 Months Ended |
Dec. 31, 2022 | |
Investments, Debt and Equity Securities [Abstract] | |
Investment Securities | Investment Securities Our investment portfolio includes various debt and equity securities. Our debt securities, which are classified as available-for-sale or held-to-maturity, include government securities, corporate bonds, asset-backed securities, and mortgage-backed securities. The cost, fair value, and gross unrealized gains and losses on available-for-sale and held-to-maturity securities were as follows. 2022 2021 Amortized cost Gross unrealized Fair value Amortized cost Gross unrealized Fair value December 31, ($ in millions) gains losses gains losses Available-for-sale securities Debt securities U.S. Treasury and federal agencies $ 2,272 $ — $ (256) $ 2,016 $ 2,173 $ 2 $ (20) $ 2,155 U.S. States and political subdivisions 841 1 (82) 760 841 27 (4) 864 Foreign government 158 — (12) 146 157 2 (2) 157 Agency mortgage-backed residential (a) 19,668 3 (3,038) 16,633 19,044 219 (224) 19,039 Mortgage-backed residential 5,154 — (855) 4,299 4,448 11 (34) 4,425 Agency mortgage-backed commercial (a) 4,380 — (845) 3,535 4,573 66 (113) 4,526 Asset-backed 459 — (26) 433 536 1 (3) 534 Corporate debt 1,931 1 (213) 1,719 1,878 30 (21) 1,887 Total available-for-sale securities (b) (c) (d) (e) (f) $ 34,863 $ 5 $ (5,327) $ 29,541 $ 33,650 $ 358 $ (421) $ 33,587 Held-to-maturity securities Debt securities Agency mortgage-backed residential $ 1,062 $ — $ (178) $ 884 $ 1,170 $ 48 $ (14) $ 1,204 Total held-to-maturity securities (f) (g) $ 1,062 $ — $ (178) $ 884 $ 1,170 $ 48 $ (14) $ 1,204 (a) Fair value includes a $12 million liability for agency mortgage-backed residential securities and a $15 million asset for agency mortgage-backed commercial securities related to basis adjustments for securities in closed portfolios with active hedges under the portfolio layer method at December 31, 2022. These basis adjustments would be allocated to the amortized cost of specific securities within the pool if the hedge was dedesignated. Refer to Note 21 for additional information. (b) Certain available-for-sale securities are included in fair value hedging relationships. Refer to Note 21 for additional information. (c) Certain entities related to our Insurance operations are required to deposit securities with state regulatory authorities. These deposited securities totaled $12 million and $13 million at December 31, 2022, and December 31, 2021, respectively. (d) Available-for-sale securities with a fair value of $3.9 billion and $203 million were pledged as collateral at December 31, 2022, and December 31, 2021, respectively. This primarily included $3.0 billion pledged to secure advances from the FHLB at December 31, 2022. This also included securities pledged for other purposes as required by contractual obligations or law, under which agreements we granted the counterparty the right to sell or pledge $899 million and $203 million of the underlying available-for-sale securities at December 31, 2022, and December 31, 2021, respectively. (e) Totals do not include accrued interest receivable, which was $91 million and $84 million at December 31, 2022, and December 31, 2021, respectively. Accrued interest receivable is included in other assets (f) There was no allowance for credit losses recorded at both December 31, 2022, or December 31, 2021, as management determined that there were no expected credit losses in our portfolio of available-for-sale and held-to-maturity securities. (g) Totals do not include accrued interest receivable, which was $2 million and $3 million at December 31, 2022, and December 31, 2021, respectively. Accrued interest receivable is included in other assets on our Consolidated Balance Sheet. The maturity distribution of debt securities outstanding is summarized in the following tables based upon contractual maturities. Call or prepayment options may cause actual maturities to differ from contractual maturities. Total Due in one year or less Due after one year through five years Due after five years through ten years Due after ten years ($ in millions) Amount Yield Amount Yield Amount Yield Amount Yield Amount Yield December 31, 2022 Fair value of available-for-sale securities (a) U.S. Treasury and federal agencies $ 2,016 1.6 % $ — — % $ 716 1.3 % $ 1,300 1.7 % $ — — % U.S. States and political subdivisions 760 3.2 26 2.7 60 2.7 112 3.3 562 3.2 Foreign government 146 1.8 13 0.8 74 1.8 59 1.9 — — Agency mortgage-backed residential (b) 16,633 2.6 — — — — 27 2.0 16,606 2.6 Mortgage-backed residential 4,299 2.8 — — — — 14 2.9 4,285 2.8 Agency mortgage-backed commercial (b) 3,535 2.2 — — 66 3.1 1,234 2.1 2,235 2.1 Asset-backed 433 1.7 — — 401 1.7 25 1.8 7 3.5 Corporate debt 1,719 2.4 86 2.4 912 2.3 705 2.6 16 4.9 Total available-for-sale securities $ 29,541 2.5 $ 125 2.3 $ 2,229 1.9 $ 3,476 2.1 $ 23,711 2.6 Amortized cost of available-for-sale securities $ 34,863 $ 126 $ 2,403 $ 4,048 $ 28,286 Amortized cost of held-to-maturity securities Agency mortgage-backed residential $ 1,062 2.8 % $ — — % $ — — % $ — — % $ 1,062 2.8 % Total held-to-maturity securities $ 1,062 2.8 $ — — $ — — $ — — $ 1,062 2.8 December 31, 2021 Fair value of available-for-sale securities (a) U.S. Treasury and federal agencies $ 2,155 1.1 % $ 288 1.0 % $ 525 0.9 % $ 1,342 1.2 % $ — — % U.S. States and political subdivisions 864 3.0 26 1.6 77 2.8 128 3.3 633 3.0 Foreign government 157 1.9 2 2.1 97 2.0 58 1.8 — — Agency mortgage-backed residential 19,039 2.5 — — — — 26 2.0 19,013 2.5 Mortgage-backed residential 4,425 2.6 — — — — 23 2.9 4,402 2.6 Agency mortgage-backed commercial 4,526 1.9 — — 26 2.4 1,578 2.4 2,922 1.7 Asset-backed 534 1.9 — — 350 2.0 175 1.5 9 3.4 Corporate debt 1,887 2.3 54 2.9 830 2.3 994 2.3 9 2.5 Total available-for-sale securities $ 33,587 2.3 $ 370 1.3 $ 1,905 1.9 $ 4,324 2.0 $ 26,988 2.4 Amortized cost of available-for-sale securities $ 33,650 $ 368 $ 1,893 $ 4,291 $ 27,098 Amortized cost of held-to-maturity securities Agency mortgage-backed residential $ 1,170 2.8 % $ — — % $ — — % $ — — % $ 1,170 2.8 % Total held-to-maturity securities $ 1,170 2.8 $ — — $ — — $ — — $ 1,170 2.8 (a) Yield is calculated using the effective yield of each security at the end of the period, weighted based on the market value. The effective yield considers the contractual coupon and amortized cost, and excludes expected capital gains and losses. (b) Fair value includes a $12 million liability for agency mortgage-backed residential securities and a $15 million asset for agency mortgage-backed commercial securities related to basis adjustments for securities in closed portfolios with active hedges under the portfolio layer method at December 31, 2022. These basis adjustments would be allocated to the amortized cost of specific securities within the pool if the hedge was dedesignated. Refer to Note 21 for additional information. The balances of cash equivalents were $18 million and $40 million at December 31, 2022, and December 31, 2021, respectively, and were composed primarily of money-market funds and short-term securities, including U.S. Treasury bills. The following table presents interest and dividends on investment securities. Year ended December 31, ($ in millions) 2022 2021 2020 Taxable interest $ 765 $ 533 $ 654 Taxable dividends 17 27 21 Interest and dividends exempt from U.S. federal income tax 22 19 17 Interest and dividends on investment securities $ 804 $ 579 $ 692 The following table presents gross gains and losses realized upon the sales of available-for-sale securities, and net gains or losses on equity securities held during the period. Year ended December 31, ( $ in millions) 2022 2021 2020 Available-for-sale securities Gross realized gains $ 23 $ 102 $ 173 Gross realized losses (a) — — (2) Net realized gain on available-for-sale securities 23 102 171 Net realized gain on equity securities 72 190 107 Net unrealized (loss) gain on equity securities (215) (7) 29 Other (loss) gain on investments, net $ (120) $ 285 $ 307 (a) Certain available-for-sale securities were sold at a loss during the year ended December 31, 2020, as a result of identifiable market or credit events, or a loss was realized based on corporate actions outside of our control (such as a call by the issuer). Any such sales were made in accordance with our risk-management policies and practices. The following table presents the credit quality of our held-to-maturity securities, based on the latest available information as of December 31, 2022, and December 31, 2021. The credit ratings are sourced from nationally recognized statistical rating organizations, which include S&P, Moody’s, and Fitch. The ratings presented are a composite of the ratings sourced from the agencies or, if the ratings cannot be sourced from the agencies, are based on the asset type of the particular security. All our held-to-maturity securities were current in their payment of principal and interest as of both December 31, 2022, and December 31, 2021. We have not recorded any interest income reversals on our held-to-maturity securities during the years ended December 31, 2022, or 2021. 2022 2021 December 31, ($ in millions) AA Total (a) AA Total (a) Debt securities Agency mortgage-backed residential $ 1,062 $ 1,062 $ 1,170 $ 1,170 Total held-to-maturity securities $ 1,062 $ 1,062 $ 1,170 $ 1,170 (a) Rating agencies indicate that they base their ratings on many quantitative and qualitative factors, which may include capital adequacy, liquidity, asset quality, business mix, level and quality of earnings, and the current operating, legislative, and regulatory environment. A credit rating is not a recommendation to buy, sell, or hold securities, and the ratings are subject to revision or withdrawal at any time by the assigning rating agency. The following table summarizes available-for-sale securities in an unrealized loss position, which we evaluated to determine if a credit loss exists requiring the recognition of an allowance for credit losses. For additional information on our methodology, refer to Note 1. As of December 31, 2022, and December 31, 2021, we did not have the intent to sell the available-for-sale securities with an unrealized loss position and we do not believe it is more likely than not that we will be required to sell these securities before recovery of their amortized cost basis. We have not recorded any interest income reversals on our available-for-sale securities during the years ended December 31, 2022, or 2021. 2022 2021 Less than 12 months 12 months or longer Less than 12 months 12 months or longer December 31, ($ in millions) Fair value Unrealized loss Fair value Unrealized loss Fair value Unrealized loss Fair value Unrealized loss Available-for-sale securities Debt securities U.S. Treasury and federal agencies $ 529 $ (68) $ 1,487 $ (188) $ 1,682 $ (20) $ — $ — U.S. States and political subdivisions 547 (55) 135 (27) 160 (3) 31 (1) Foreign government 75 (4) 71 (8) 76 (2) 7 — Agency mortgage-backed residential (a) 7,472 (892) 8,978 (2,146) 12,244 (223) 38 (1) Mortgage-backed residential 1,985 (289) 2,287 (566) 3,243 (34) 22 — Agency mortgage-backed commercial (a) 996 (124) 2,535 (721) 2,553 (70) 749 (43) Asset-backed 162 (4) 272 (22) 360 (3) — — Corporate debt 782 (67) 895 (146) 970 (18) 49 (3) Total available-for-sale securities $ 12,548 $ (1,503) $ 16,660 $ (3,824) $ 21,288 $ (373) $ 896 $ (48) (a) Amounts include a $12 million liability for agency mortgage-backed residential securities and a $15 million asset for agency mortgage-backed commercial securities related to basis adjustments for securities in closed portfolios with active hedges under the portfolio layer method at December 31, 2022. These basis adjustments would be allocated to the amortized cost of specific securities within the pool if the hedge was dedesignated. Refer to Note 21 for additional information. During the years ended December 31, 2022, and 2021, management determined that there were no expected credit losses for securities in an unrealized loss position. This analysis considered a variety of factors including, but not limited to, performance indicators of the issuer, default rates, industry analyst reports, credit ratings, and other relevant information, which indicated that contractual cash flows are expected to occur. As a result of this evaluation, management determined that no credit reserves were required at December 31, 2022, or December 31, 2021. |
Finance Receivables and Loans,
Finance Receivables and Loans, Net | 12 Months Ended |
Dec. 31, 2022 | |
Receivables [Abstract] | |
Finance Receivables and Loans, Net | Finance Receivables and Loans, Net The composition of finance receivables and loans reported at amortized cost basis was as follows. December 31, ($ in millions) 2022 2021 Consumer automotive (a) $ 83,286 $ 78,252 Consumer mortgage Mortgage Finance (b) 19,445 17,644 Mortgage — Legacy (c) 290 368 Total consumer mortgage 19,735 18,012 Consumer other Personal Lending (d) 1,990 1,009 Credit Card (e) 1,599 953 Total consumer other 3,589 1,962 Total consumer 106,610 98,226 Commercial Commercial and industrial Automotive 14,595 12,229 Other 9,154 6,874 Commercial real estate 5,389 4,939 Total commercial 29,138 24,042 Total finance receivables and loans (f) (g) $ 135,748 $ 122,268 (a) Certain finance receivables and loans are included in fair value hedging relationships. Refer to Note 21 for additional information. (b) Includes loans originated as interest-only mortgage loans of $3 million and $5 million at December 31, 2022, and December 31, 2021, respectively, of which all have exited the interest-only period. (c) Includes loans originated as interest-only mortgage loans of $17 million and $21 million at December 31, 2022, and December 31, 2021, respectively, of which all have exited the interest-only period. (d) Includes $3 million and $7 million of finance receivables at December 31, 2022, and December 31, 2021, respectively, for which we have elected the fair value option. (e) Refer to Note 2 for information regarding our acquisition of Ally Credit Card. (f) Totals include net unearned income, unamortized premiums and discounts, and deferred fees and costs of $2.3 billion at both December 31, 2022, and December 31, 2021. (g) Totals do not include accrued interest receivable, which was $707 million and $514 million at December 31, 2022, and December 31, 2021, respectively. Accrued interest receivable is included in other assets on our Consolidated Balance Sheet. Billed interest on our credit card loans is included within finance receivables and loans, net. The following tables present an analysis of the activity in the allowance for loan losses on finance receivables and loans for the years ended December 31, 2022, and 2021, respectively. ($ in millions) Consumer automotive Consumer mortgage Consumer other (a) Commercial Total Allowance at January 1, 2022 $ 2,769 $ 27 $ 221 $ 250 $ 3,267 Charge-offs (b) (1,434) (3) (133) (58) (1,628) Recoveries 649 12 12 3 676 Net charge-offs (785) 9 (121) (55) (952) Provision for credit losses (c) 1,036 (8) 326 42 1,396 Other — (1) — 1 — Allowance at December 31, 2022 $ 3,020 $ 27 $ 426 $ 238 $ 3,711 (a) Excludes $7 million and $3 million of finance receivables and loans at January 1, 2022, and December 31, 2022, respectively, for which we have elected the fair value option and incorporate no allowance for loan losses. (b) Refer to Note 1 for information regarding our charge-off policies. (c) Excludes $3 million of provision for credit losses related to our reserve for unfunded commitments. The liability related to the reserve for unfunded commitments is included in accrued expenses and other liabilities on our Consolidated Balance Sheet. ($ in millions) Consumer automotive Consumer mortgage Consumer other (a) Commercial Total Allowance at January 1, 2021 $ 2,902 $ 33 $ 73 $ 275 $ 3,283 Charge-offs (b) (923) (6) (30) (22) (981) Recoveries 686 13 2 11 712 Net charge-offs (237) 7 (28) (11) (269) Provision for credit losses (c) 104 (14) 163 (12) 241 Other (d) — 1 13 (2) 12 Allowance at December 31, 2021 $ 2,769 $ 27 $ 221 $ 250 $ 3,267 (a) Excludes $8 million and $7 million of finance receivables and loans at January 1, 2021, and December 31, 2021, respectively, for which we have elected the fair value option and incorporate no allowance for loan losses. (b) Refer to Note 1 for information regarding our charge-off policies. (c) Consumer other includes $97 million of provision for credit losses recorded to establish an initial reserve on loans acquired in the Ally Credit Card acquisition. (d) Consumer other includes $12 million of allowance for credit losses recognized on PCD loans acquired in the Ally Credit Card acquisition. Refer to Note 2 for additional details. The following table presents information about sales of finance receivables and loans and transfers of finance receivables and loans from held-for-investment to held-for-sale based on net carrying value. Year ended December 31, ($ in millions) 2022 2021 Consumer automotive $ 23 $ — Consumer mortgage 4 414 Total sales and transfers $ 27 $ 414 The following table presents information about purchases of finance receivables and loans based on unpaid principal balance at the time of purchase. Year ended December 31, ($ in millions) 2022 2021 Consumer automotive $ 4,092 $ 2,506 Consumer mortgage 2,781 3,853 Consumer other (a) — 882 Commercial 18 6 Total purchases of finance receivables and loans (b) $ 6,891 $ 7,247 (a) During the year ended December 31, 2021, we obtained $882 million of finance receivables and loans from our acquisition of Ally Credit Card. For additional information on our acquisition, refer to Note 2. (b) Excludes $12 million and $14 million of finance receivables and loans purchased during the years ended December 31, 2022, and December 31, 2021, respectively, for which we have elected the fair value option. Nonaccrual Loans The following tables present the amortized cost of our finance receivables and loans on nonaccrual status. All consumer or commercial finance receivables and loans that were 90 days or more past due were on nonaccrual status as of December 31, 2022, and December 31, 2021. December 31, 2022 ($ in millions) Nonaccrual status at Jan. 1, 2022 Nonaccrual status Nonaccrual with no allowance (a) Consumer automotive $ 1,078 $ 1,187 $ 445 Consumer mortgage Mortgage Finance 59 34 25 Mortgage — Legacy 26 15 14 Total consumer mortgage 85 49 39 Consumer other Personal Lending 5 13 — Credit Card 11 43 — Total consumer other 16 56 — Total consumer 1,179 1,292 484 Commercial Commercial and industrial Automotive 33 5 2 Other 221 157 33 Commercial real estate 3 — — Total commercial 257 162 35 Total finance receivables and loans $ 1,436 $ 1,454 $ 519 (a) Represents a component of nonaccrual status at end of period. December 31, 2021 ($ in millions) Nonaccrual status at Jan. 1, 2021 Nonaccrual status Nonaccrual with no allowance (a) Consumer automotive $ 1,256 $ 1,078 $ 423 Consumer mortgage Mortgage Finance 67 59 39 Mortgage — Legacy 35 26 23 Total consumer mortgage 102 85 62 Consumer other Personal Lending 3 5 — Credit Card — 11 — Total consumer other 3 16 — Total consumer 1,361 1,179 485 Commercial Commercial and industrial Automotive 40 33 32 Other 116 221 48 Commercial real estate 5 3 3 Total commercial 161 257 83 Total finance receivables and loans $ 1,522 $ 1,436 $ 568 (a) Represents a component of nonaccrual status at end of period. We recorded interest income from cash payments associated with finance receivables and loans on nonaccrual status of $13 million for both the years ended December 31, 2022, and 2021. Credit Quality Indicators We evaluate the credit quality of our consumer loan portfolio based on the aging status of the loan and by payment activity. Loan delinquency reporting is generally based upon borrower payment activity, relative to the contractual terms of the loan. The following tables present the amortized cost basis of our consumer finance receivables and loans by credit quality indicator based on delinquency status and origination year. Origination year Revolving loans converted to term December 31, 2022 ($ in millions) 2022 2021 2020 2019 2018 2017 and prior Revolving loans Total Consumer automotive Current $ 36,127 $ 22,102 $ 10,341 $ 6,451 $ 3,237 $ 1,890 $ — $ — $ 80,148 30–59 days past due 707 878 370 284 165 120 — — 2,524 60–89 days past due 207 324 135 99 55 38 — — 858 90 or more days past due 73 111 47 38 23 24 — — 316 Total consumer automotive (a) 37,114 23,415 10,893 6,872 3,480 2,072 — — 83,846 Consumer mortgage Mortgage Finance Current 2,292 10,893 1,946 815 577 2,805 — — 19,328 30–59 days past due 15 29 4 3 4 26 — — 81 60–89 days past due 2 4 — 1 1 3 — — 11 90 or more days past due — 1 — 2 8 14 — — 25 Total Mortgage Finance 2,309 10,927 1,950 821 590 2,848 — — 19,445 Mortgage — Legacy Current — — — — — 62 191 18 271 30–59 days past due — — — — — 4 1 — 5 60–89 days past due — — — — — — — 1 1 90 or more days past due — — — — — 8 3 2 13 Total Mortgage — Legacy — — — — — 74 195 21 290 Total consumer mortgage 2,309 10,927 1,950 821 590 2,922 195 21 19,735 Consumer other Personal Lending Current 1,492 392 48 5 1 — — — 1,938 30–59 days past due 14 6 1 — — — — — 21 60–89 days past due 9 5 1 — — — — — 15 90 or more days past due 8 5 — — — — — — 13 Total Personal Lending (b) 1,523 408 50 5 1 — — — 1,987 Credit Card Current — — — — — — 1,518 — 1,518 30–59 days past due — — — — — — 22 — 22 60–89 days past due — — — — — — 18 — 18 90 or more days past due — — — — — — 41 — 41 Total Credit Card — — — — — — 1,599 — 1,599 Total consumer other 1,523 408 50 5 1 — 1,599 — 3,586 Total consumer $ 40,946 $ 34,750 $ 12,893 $ 7,698 $ 4,071 $ 4,994 $ 1,794 $ 21 $ 107,167 (a) Certain consumer automotive loans are included in fair value hedging relationships. The amortized cost excludes a liability of $560 million related to basis adjustments for loans in closed portfolios with active hedges under the portfolio layer method at December 31, 2022. These basis adjustments would be allocated to the amortized cost of specific loans within the pool if the hedge was dedesignated. Refer to Note 21 for additional information. (b) Excludes $3 million of finance receivables at December 31, 2022, for which we have elected the fair value option. Origination year Revolving loans converted to term December 31, 2021 ($ in millions) 2021 2020 2019 2018 2017 2016 and prior Revolving loans Total Consumer automotive Current $ 35,222 $ 17,218 $ 11,512 $ 6,692 $ 3,403 $ 1,911 $ — $ — $ 75,958 30–59 days past due 424 353 334 226 139 101 — — 1,577 60–89 days past due 115 114 108 70 41 28 — — 476 90 or more days past due 41 51 56 40 27 26 — — 241 Total consumer automotive 35,802 17,736 12,010 7,028 3,610 2,066 — — 78,252 Consumer mortgage Mortgage Finance Current 10,169 2,212 977 744 1,041 2,363 — — 17,506 30–59 days past due 50 3 3 7 2 12 — — 77 60–89 days past due 8 — 1 — — 5 — — 14 90 or more days past due — — 5 16 7 19 — — 47 Total Mortgage Finance 10,227 2,215 986 767 1,050 2,399 — — 17,644 Mortgage — Legacy Current — — — — — 79 238 23 340 30–59 days past due — — — — — 2 1 — 3 60–89 days past due — — — — — 1 — 1 2 90 or more days past due — — — — — 15 5 3 23 Total Mortgage — Legacy — — — — — 97 244 27 368 Total consumer mortgage 10,227 2,215 986 767 1,050 2,496 244 27 18,012 Consumer other Personal Lending Current 821 133 18 5 1 — — — 978 30–59 days past due 9 2 — — — — — — 11 60–89 days past due 6 1 1 — — — — — 8 90 or more days past due 4 1 — — — — — — 5 Total Personal Lending (a) 840 137 19 5 1 — — — 1,002 Credit Card Current — — — — — — 932 — 932 30–59 days past due — — — — — — 6 — 6 60–89 days past due — — — — — — 5 — 5 90 or more days past due — — — — — — 10 — 10 Total Credit Card — — — — — — 953 — 953 Total consumer other 840 137 19 5 1 — 953 — 1,955 Total consumer $ 46,869 $ 20,088 $ 13,015 $ 7,800 $ 4,661 $ 4,562 $ 1,197 $ 27 $ 98,219 (a) Excludes $7 million of finance receivables at December 31, 2021, for which we have elected the fair value option. We evaluate the credit quality of our commercial loan portfolio using regulatory risk ratings, which are based on relevant information about the borrower’s financial condition, including current financial information, historical payment experience, credit documentation, and current economic trends, among other factors. We use the following definitions for risk rankings below Pass. • Special mention — Loans that have a potential weakness that deserves management’s close attention. If left uncorrected, these potential weaknesses may result in deterioration of the repayment prospects for the loan or the institution’s credit position at some future date. • Substandard — Loans that are inadequately protected by the current net worth and paying capacity of the obligor or of the collateral pledged, if any. These loans have a well-defined weakness or weakness that jeopardize the liquidation of the debt. They are characterized by the distinct possibility that the institution will sustain some loss if the deficiencies are not corrected. • Doubtful — Loans that have all the weaknesses inherent in those classified as substandard, with the additional characteristic that the weaknesses make collection or liquidation in full, based on the basis of currently existing facts, conditions, and values, highly questionable and improbable. The regulatory risk classification utilized is influenced by internal credit risk ratings, which are based on a variety of factors. A borrower’s internal credit risk rating is updated at least annually, and more frequently when a borrower’s credit profile changes, including when we become aware of potential credit deterioration. The following tables present the amortized cost basis of our commercial finance receivables and loans by credit quality indicator based on risk rating and origination year. Origination year Revolving loans converted to term December 31, 2022 ($ in millions) 2022 2021 2020 2019 2018 2017 and prior Revolving loans Total Commercial Commercial and industrial Automotive Pass $ 640 $ 211 $ 132 $ 78 $ 28 $ 34 $ 12,327 $ — $ 13,450 Special mention 23 47 — — 10 21 1,016 — 1,117 Substandard — — — 1 — — 27 — 28 Total automotive 663 258 132 79 38 55 13,370 — 14,595 Other Pass 594 469 607 419 54 133 5,344 89 7,709 Special mention 177 158 175 95 47 128 278 35 1,093 Substandard — — 4 51 — 139 55 13 262 Doubtful — — — 64 — 25 — — 89 Loss — — — — — — 1 — 1 Total other 771 627 786 629 101 425 5,678 137 9,154 Commercial real estate Pass 1,481 1,118 951 679 369 716 9 13 5,336 Special mention — 32 2 19 — — — — 53 Total commercial real estate 1,481 1,150 953 698 369 716 9 13 5,389 Total commercial $ 2,915 $ 2,035 $ 1,871 $ 1,406 $ 508 $ 1,196 $ 19,057 $ 150 $ 29,138 Origination year Revolving loans converted to term December 31, 2021 ($ in millions) 2021 2020 2019 2018 2017 2016 and prior Revolving loans Total Commercial Commercial and industrial Automotive Pass $ 347 $ 190 $ 112 $ 49 $ 23 $ 56 $ 10,741 $ — $ 11,518 Special mention 7 1 7 15 31 18 589 — 668 Substandard — 1 — 1 — — 41 — 43 Total automotive 354 192 119 65 54 74 11,371 — 12,229 Other Pass 739 448 374 86 99 68 4,032 83 5,929 Special mention 15 169 96 21 10 122 93 17 543 Substandard — 22 95 — 140 83 13 23 376 Doubtful — — — — — 26 — — 26 Total other 754 639 565 107 249 299 4,138 123 6,874 Commercial real estate Pass 1,298 1,060 873 604 342 653 3 8 4,841 Special mention 13 5 29 7 18 19 — — 91 Substandard — — — — — 7 — — 7 Total commercial real estate 1,311 1,065 902 611 360 679 3 8 4,939 Total commercial $ 2,419 $ 1,896 $ 1,586 $ 783 $ 663 $ 1,052 $ 15,512 $ 131 $ 24,042 The following table presents an analysis of our past-due commercial finance receivables and loans recorded at amortized cost basis. ($ in millions) 30–59 days past due 60–89 days past due 90 days or more past due Total past due Current Total finance receivables and loans December 31, 2022 Commercial Commercial and industrial Automotive $ — $ — $ — $ — $ 14,595 $ 14,595 Other — 1 2 3 9,151 9,154 Commercial real estate — — — — 5,389 5,389 Total commercial $ — $ 1 $ 2 $ 3 $ 29,135 $ 29,138 December 31, 2021 Commercial Commercial and industrial Automotive $ — $ — $ — $ — $ 12,229 $ 12,229 Other — — 1 1 6,873 6,874 Commercial real estate — — — — 4,939 4,939 Total commercial $ — $ — $ 1 $ 1 $ 24,041 $ 24,042 Troubled Debt Restructurings TDRs are loan modifications where concessions were granted to borrowers experiencing financial difficulties. For consumer automotive loans, we may offer several types of assistance to aid our customers, including payment extensions and rewrites of the loan terms. Additionally, for mortgage loans, as part of certain programs, we offer mortgage loan modifications to qualified borrowers. These programs are in place to provide support to our mortgage customers in financial distress, including principal forgiveness, maturity extensions, delinquent interest capitalization, and changes to contractual interest rates. Total TDRs recorded at amortized cost were $2.4 billion at both December 31, 2022, and 2021, and $2.2 billion at December 31, 2020. Total commitments to lend additional funds to borrowers whose terms had been modified in a TDR were $61 million, $18 million, and $14 million at December 31, 2022, 2021, and 2020, respectively. Refer to Note 1 for additional information. The following tables present information related to finance receivables and loans recorded at amortized cost modified in connection with a TDR during the period. Year ended December 31, ($ in millions) Number of loans Pre-modification amortized cost basis Post-modification amortized cost basis 2022 Consumer automotive 49,773 $ 831 $ 805 Consumer mortgage Mortgage Finance 18 12 12 Mortgage — Legacy 13 1 1 Total consumer mortgage 31 13 13 Consumer other Credit Card 2,853 5 5 Total consumer other 2,853 5 5 Total consumer 52,657 849 823 Commercial Commercial and industrial Other 5 461 466 Total commercial 5 461 466 Total finance receivables and loans 52,662 $ 1,310 $ 1,289 Year ended December 31, ($ in millions) Number of loans Pre-modification amortized cost basis Post-modification amortized cost basis 2021 Consumer automotive 77,991 $ 1,395 $ 1,371 Consumer mortgage Mortgage Finance 38 22 22 Mortgage — Legacy 16 2 2 Total consumer mortgage 54 24 24 Consumer other Credit Card 113 — — Total consumer other 113 — — Total consumer 78,158 1,419 1,395 Commercial Commercial and industrial Automotive 1 2 2 Other 1 33 33 Commercial real estate 2 4 4 Total commercial 4 39 39 Total finance receivables and loans 78,162 $ 1,458 $ 1,434 Year ended December 31, ($ in millions) Number of loans Pre-modification amortized cost basis Post-modification amortized cost basis 2020 Consumer automotive 114,595 $ 1,908 $ 1,835 Consumer mortgage Mortgage Finance 41 20 20 Mortgage — Legacy 74 9 9 Total consumer mortgage 115 29 29 Total consumer 114,710 1,937 1,864 Commercial Commercial and industrial Automotive 5 45 40 Other 3 81 61 Total commercial 8 126 101 Total finance receivables and loans 114,718 $ 2,063 $ 1,965 The following table presents information about finance receivables and loans recorded at amortized cost that have redefaulted during the reporting period and were within 12 months or less of being modified as a TDR. Redefault is when finance receivables and loans meet the requirements for evaluation under our charge-off policy (refer to Note 1 for additional information) except for commercial finance receivables and loans, where redefault is defined as 90 days past due. Year ended December 31, ($ in millions) Number of loans Amortized cost Charge-off amount 2022 Consumer automotive 9,227 $ 143 $ 64 Consumer mortgage Mortgage Finance 4 2 — Total consumer mortgage 4 2 — Consumer other Credit Card 457 — — Total consumer other 457 — — Total consumer 9,688 $ 145 $ 64 Commercial Commercial and industrial Other 1 1 31 Total commercial 1 1 31 Total finance receivables and loans 9,689 $ 146 $ 95 2021 Consumer automotive 9,295 $ 119 $ 61 Consumer mortgage Mortgage Finance 1 — — Mortgage — Legacy 4 — — Total consumer mortgage 5 — — Total consumer finance receivables and loans 9,300 119 61 Total finance receivables and loans 9,300 $ 119 $ 61 2020 Consumer automotive 10,070 $ 104 $ 71 Consumer mortgage Mortgage Finance 1 — — Mortgage — Legacy 1 — — Total consumer mortgage 2 — — Total consumer finance receivables and loans 10,072 104 71 Total finance receivables and loans 10,072 $ 104 $ 71 Concentration Risk Consumer We monitor our consumer loan portfolio for concentration risk across the states in which we lend. The highest concentrations of consumer loans are in California and Texas, which represented an aggregate of 26.5% and 26.4% of our total consumer finance receivables and loans at December 31, 2022, and December 31, 2021, respectively. The following table shows the percentage of consumer automotive, consumer mortgage, and consumer other finance receivables and loans by state concentration based on amortized cost. 2022 (a) 2021 December 31, Consumer automotive Consumer mortgage Consumer other (b) Consumer automotive Consumer mortgage Consumer other (b) California 8.7 % 38.8 % 8.4 % 8.7 % 39.6 % 9.4 % Texas 13.6 7.3 7.7 13.0 7.3 7.4 Florida 9.5 6.6 7.8 9.3 6.3 8.4 Pennsylvania 4.5 2.1 4.6 4.4 2.3 4.5 Georgia 4.1 2.9 3.5 4.0 3.0 3.4 North Carolina 4.1 1.9 4.6 4.1 1.6 3.4 Illinois 3.5 2.8 4.3 3.7 3.1 4.4 New York 3.6 1.9 4.8 3.3 2.1 5.5 New Jersey 3.2 2.4 3.6 3.0 2.5 3.4 Ohio 3.4 0.4 3.6 3.4 0.5 3.9 Other United States 41.8 32.9 47.1 43.1 31.7 46.3 Total consumer loans 100.0 % 100.0 % 100.0 % 100.0 % 100.0 % 100.0 % (a) Presentation is in descending order as a percentage of total consumer finance receivables and loans at December 31, 2022. (b) Excludes $3 million and $7 million of finance receivables at December 31, 2022, and December 31, 2021, respectively, for which we have elected the fair value option. Commercial Real Estate The commercial real estate portfolio consists of finance receivables and loans issued primarily to automotive dealers. The following table presents the percentage of total commercial real estate finance receivables and loans by state concentration based on amortized cost. December 31, 2022 2021 Florida 17.9 % 16.4 % Texas 14.9 13.9 California 8.4 8.3 New York 6.3 3.8 North Carolina 5.3 5.8 Michigan 4.2 5.8 Ohio 4.2 3.4 Georgia 3.1 3.3 Utah 2.9 3.0 Illinois 2.7 2.9 Other United States 30.1 33.4 Total commercial real estate finance receivables and loans 100.0 % 100.0 % Commercial Criticized Exposure Finance receivables and loans classified as special mention, substandard, or doubtful are reported as criticized. These classifications are based on regulatory definitions and generally represent finance receivables and loans within our portfolio that have a higher default risk or have already defaulted. These finance receivables and loans require additional monitoring and review including specific actions to mitigate our potential loss. The following table presents the percentage of total commercial criticized finance receivables and loans by industry concentration based on amortized cost. December 31, 2022 2021 Industry Automotive 53.4 % 50.8 % Chemicals 14.7 14.4 Electronics 11.9 3.6 Other 20.0 31.2 Total commercial criticized finance receivables and loans 100.0 % 100.0 % |
Leasing
Leasing | 12 Months Ended |
Dec. 31, 2022 | |
Leases [Abstract] | |
Leasing | Leasing Ally as the Lessee We have operating leases for certain of our corporate facilities, which have remaining lease terms of 8 months to 8 years. Most of the property leases have fixed payment terms with annual fixed-escalation clauses and include options to extend the leases for periods that range from 1 to 15 years. Some of those lease agreements also include options to terminate the leases approximately 6 years after the commencement of the leases. We have not included any of these term extensions or termination provisions in our estimates of the lease term, as we do not consider it reasonably certain that the options will be exercised. We also have operating leases for a fleet of vehicles that is used by our sales force for business purposes, with noncancelable lease terms of 367 days. Thereafter, the leases are month-to-month, up to a maximum of 48 months from inception. During the years ended December 31, 2022, and December 31, 2021, we paid $38 million and $51 million in cash for amounts included in the measurement of lease liabilities at December 31, 2022, and December 31, 2021, respectively. These amounts are included in net cash provided by operating activities in the Consolidated Statement of Cash Flows. During the years ended December 31, 2022, and December 31, 2021, we obtained $41 million and $361 million, respectively, of ROU assets in exchange for new lease liabilities. As of December 31, 2022, the weighted-average remaining lease term of our operating lease portfolio was 5 years, and the weighted-average discount rate was 2.57%, compared to 6 years and 1.96% as of December 31, 2021. The following table presents future minimum rental payments we are required to make under operating leases that have commenced as of December 31, 2022, and that have noncancelable lease terms expiring after December 31, 2022. Year ended December 31, ($ in millions) 2023 $ 35 2024 32 2025 26 2026 20 2027 16 2028 and thereafter 18 Total undiscounted cash flows 147 Difference between undiscounted cash flows and discounted cash flows (10) Total lease liability $ 137 In March 2021, we commenced the lease for a new corporate facility in Charlotte, North Carolina, which included an underlying purchase option. We provided notice of our intent to exercise the purchase option in April 2021, and executed on the purchase agreement in July 2021. Additionally, we agreed to lease a portion of this corporate facility in exchange for $13 million in future lease payments over a ten-year lease term. During the year ended December 31, 2022, we recognized $1 million of income associated with this lease agreement. In June 2022, we purchased an operations center in Lewisville, Texas, which consisted of a previously leased facility. Upon closing the transaction, the lease ROU asset and liability were derecognized and new fixed assets totaling approximately $44 million were recognized as property and equipment at cost within other assets of the Consolidated Balance Sheet. The following table details the components of total net operating lease expense. Year ended December 31, ($ in millions) 2022 2021 2020 Operating lease expense $ 33 $ 46 $ 46 Variable lease expense 4 7 8 Total lease expense, net (a) $ 37 $ 53 $ 54 (a) Included in other operating expenses in our Consolidated Statement of Income. Ally as the Lessor Investment in Operating Leases We purchase consumer operating lease contracts and the associated vehicles from dealerships after those contracts are executed by the dealers and the consumers. The amount we pay a dealer for an operating lease contract is based on the negotiated price for the vehicle less vehicle trade-in, down payment from the consumer, and available automotive manufacturer incentives. Under the operating lease, the consumer is obligated to make payments in amounts equal to the amount by which the negotiated purchase price of the vehicle (less any trade-in value, down payment, or available manufacturer incentives) exceeds the contract residual value (including residual support) of the vehicle at lease termination, plus operating lease rental charges. The customer can terminate the lease at any point after commencement, subject to additional charges and fees. Both the consumer and the dealership have the option to purchase the vehicle at the end of the lease term, which generally range from 24 to 60 months, at the residual value of the vehicle, however it is not reasonably certain this option will be exercised and accordingly our consumer leases are classified as operating leases. In addition to the charges described above, the consumer is generally responsible for certain charges related to excess mileage or excessive wear and tear on the vehicle. These charges are deemed variable lease payments and, as these payments are not based on a rate or index, they are recognized as net depreciation expense on operating lease assets in our Consolidated Statement of Income as incurred. When we acquire a consumer operating lease, we assume ownership of the vehicle from the dealer. We require that property damage, bodily injury, collision, and comprehensive insurance be obtained by the lessee on all consumer operating leases. Neither the consumer nor the dealer is responsible for the value of the vehicle at the time of lease termination. When vehicles are not purchased by customers or the receiving dealer at scheduled lease termination, the vehicle is returned to us for remarketing. We generally bear the risk of loss to the extent the value of a leased vehicle upon remarketing is below the expected residual value. At termination, our actual sales proceeds from remarketing the vehicle may be higher or lower than the estimated residual value resulting in a gain or loss on remarketing, which is included in net depreciation expense on operating lease assets in our Consolidated Statement of Income. Excessive mileage or excessive wear and tear on the vehicle during the lease may impact the sales proceeds received upon remarketing. As of December 31, 2022, and December 31, 2021, consumer operating leases with a carrying value, net of accumulated depreciation, of $56 million and $165 million, respectively, were covered by a residual value guarantee of 15% of the manufacturer’s suggested retail price. The following table details our investment in operating leases. Year ended December 31, ($ in millions) 2022 2021 Vehicles $ 12,304 $ 12,384 Accumulated depreciation (1,860) (1,522) Investment in operating leases, net $ 10,444 $ 10,862 The following table presents future minimum rental payments we have the right to receive under operating leases with noncancelable lease terms expiring after December 31, 2022. Year ended December 31, ($ in millions) 2023 $ 1,529 2024 964 2025 445 2026 105 2027 8 Total lease payments from operating leases $ 3,051 We recognized operating lease revenue of $1.6 billion for both the years ended, December 31, 2022, and 2021, and $1.4 billion for the year ended December 31, 2020. Depreciation expense on operating lease assets includes net remarketing gains recognized on the sale of operating lease assets. The following table summarizes the components of depreciation expense on operating lease assets. Year ended December 31, ($ in millions) 2022 2021 2020 Depreciation expense on operating lease assets (excluding remarketing gains) (a) $ 1,084 $ 914 $ 978 Remarketing gains, net (170) (344) (127) Net depreciation expense on operating lease assets $ 914 $ 570 $ 851 (a) Includes variable lease payments related to excess mileage and excessive wear and tear on vehicles of $7 million during the year ended December 31, 2022, $16 million during the year ended December 31, 2021, and $23 million during the year ended December 31, 2020. Finance Leases In our Automotive Finance operations, we also hold automotive leases that require finance lease treatment as prescribed by ASC Topic 842, Leases . Our total gross investment in finance leases, which is included in finance receivables and loans, net, on our Consolidated Balance Sheet was $481 million and $470 million as of December 31, 2022, and December 31, 2021, respectively. This includes lease payment receivables of $468 million and $457 million at December 31, 2022, and December 31, 2021, respectively, and unguaranteed residual assets of $13 million at both December 31, 2022, and 2021. Interest income on finance lease receivables was $30 million for the year ended December 31, 2022, and $27 million for the year ended December 31, 2021, and is included in interest and fees on finance receivables and loans in our Consolidated Statement of Income. The following table presents future minimum rental payments we have the right to receive under finance leases with noncancelable lease terms expiring after December 31, 2022. Year ended December 31, ($ in millions) 2023 $ 166 2024 132 2025 116 2026 63 2027 33 2028 and thereafter 10 Total undiscounted cash flows 520 Difference between undiscounted cash flows and discounted cash flows (53) Present value of lease payments recorded as lease receivable $ 467 |
Leasing | Leasing Ally as the Lessee We have operating leases for certain of our corporate facilities, which have remaining lease terms of 8 months to 8 years. Most of the property leases have fixed payment terms with annual fixed-escalation clauses and include options to extend the leases for periods that range from 1 to 15 years. Some of those lease agreements also include options to terminate the leases approximately 6 years after the commencement of the leases. We have not included any of these term extensions or termination provisions in our estimates of the lease term, as we do not consider it reasonably certain that the options will be exercised. We also have operating leases for a fleet of vehicles that is used by our sales force for business purposes, with noncancelable lease terms of 367 days. Thereafter, the leases are month-to-month, up to a maximum of 48 months from inception. During the years ended December 31, 2022, and December 31, 2021, we paid $38 million and $51 million in cash for amounts included in the measurement of lease liabilities at December 31, 2022, and December 31, 2021, respectively. These amounts are included in net cash provided by operating activities in the Consolidated Statement of Cash Flows. During the years ended December 31, 2022, and December 31, 2021, we obtained $41 million and $361 million, respectively, of ROU assets in exchange for new lease liabilities. As of December 31, 2022, the weighted-average remaining lease term of our operating lease portfolio was 5 years, and the weighted-average discount rate was 2.57%, compared to 6 years and 1.96% as of December 31, 2021. The following table presents future minimum rental payments we are required to make under operating leases that have commenced as of December 31, 2022, and that have noncancelable lease terms expiring after December 31, 2022. Year ended December 31, ($ in millions) 2023 $ 35 2024 32 2025 26 2026 20 2027 16 2028 and thereafter 18 Total undiscounted cash flows 147 Difference between undiscounted cash flows and discounted cash flows (10) Total lease liability $ 137 In March 2021, we commenced the lease for a new corporate facility in Charlotte, North Carolina, which included an underlying purchase option. We provided notice of our intent to exercise the purchase option in April 2021, and executed on the purchase agreement in July 2021. Additionally, we agreed to lease a portion of this corporate facility in exchange for $13 million in future lease payments over a ten-year lease term. During the year ended December 31, 2022, we recognized $1 million of income associated with this lease agreement. In June 2022, we purchased an operations center in Lewisville, Texas, which consisted of a previously leased facility. Upon closing the transaction, the lease ROU asset and liability were derecognized and new fixed assets totaling approximately $44 million were recognized as property and equipment at cost within other assets of the Consolidated Balance Sheet. The following table details the components of total net operating lease expense. Year ended December 31, ($ in millions) 2022 2021 2020 Operating lease expense $ 33 $ 46 $ 46 Variable lease expense 4 7 8 Total lease expense, net (a) $ 37 $ 53 $ 54 (a) Included in other operating expenses in our Consolidated Statement of Income. Ally as the Lessor Investment in Operating Leases We purchase consumer operating lease contracts and the associated vehicles from dealerships after those contracts are executed by the dealers and the consumers. The amount we pay a dealer for an operating lease contract is based on the negotiated price for the vehicle less vehicle trade-in, down payment from the consumer, and available automotive manufacturer incentives. Under the operating lease, the consumer is obligated to make payments in amounts equal to the amount by which the negotiated purchase price of the vehicle (less any trade-in value, down payment, or available manufacturer incentives) exceeds the contract residual value (including residual support) of the vehicle at lease termination, plus operating lease rental charges. The customer can terminate the lease at any point after commencement, subject to additional charges and fees. Both the consumer and the dealership have the option to purchase the vehicle at the end of the lease term, which generally range from 24 to 60 months, at the residual value of the vehicle, however it is not reasonably certain this option will be exercised and accordingly our consumer leases are classified as operating leases. In addition to the charges described above, the consumer is generally responsible for certain charges related to excess mileage or excessive wear and tear on the vehicle. These charges are deemed variable lease payments and, as these payments are not based on a rate or index, they are recognized as net depreciation expense on operating lease assets in our Consolidated Statement of Income as incurred. When we acquire a consumer operating lease, we assume ownership of the vehicle from the dealer. We require that property damage, bodily injury, collision, and comprehensive insurance be obtained by the lessee on all consumer operating leases. Neither the consumer nor the dealer is responsible for the value of the vehicle at the time of lease termination. When vehicles are not purchased by customers or the receiving dealer at scheduled lease termination, the vehicle is returned to us for remarketing. We generally bear the risk of loss to the extent the value of a leased vehicle upon remarketing is below the expected residual value. At termination, our actual sales proceeds from remarketing the vehicle may be higher or lower than the estimated residual value resulting in a gain or loss on remarketing, which is included in net depreciation expense on operating lease assets in our Consolidated Statement of Income. Excessive mileage or excessive wear and tear on the vehicle during the lease may impact the sales proceeds received upon remarketing. As of December 31, 2022, and December 31, 2021, consumer operating leases with a carrying value, net of accumulated depreciation, of $56 million and $165 million, respectively, were covered by a residual value guarantee of 15% of the manufacturer’s suggested retail price. The following table details our investment in operating leases. Year ended December 31, ($ in millions) 2022 2021 Vehicles $ 12,304 $ 12,384 Accumulated depreciation (1,860) (1,522) Investment in operating leases, net $ 10,444 $ 10,862 The following table presents future minimum rental payments we have the right to receive under operating leases with noncancelable lease terms expiring after December 31, 2022. Year ended December 31, ($ in millions) 2023 $ 1,529 2024 964 2025 445 2026 105 2027 8 Total lease payments from operating leases $ 3,051 We recognized operating lease revenue of $1.6 billion for both the years ended, December 31, 2022, and 2021, and $1.4 billion for the year ended December 31, 2020. Depreciation expense on operating lease assets includes net remarketing gains recognized on the sale of operating lease assets. The following table summarizes the components of depreciation expense on operating lease assets. Year ended December 31, ($ in millions) 2022 2021 2020 Depreciation expense on operating lease assets (excluding remarketing gains) (a) $ 1,084 $ 914 $ 978 Remarketing gains, net (170) (344) (127) Net depreciation expense on operating lease assets $ 914 $ 570 $ 851 (a) Includes variable lease payments related to excess mileage and excessive wear and tear on vehicles of $7 million during the year ended December 31, 2022, $16 million during the year ended December 31, 2021, and $23 million during the year ended December 31, 2020. Finance Leases In our Automotive Finance operations, we also hold automotive leases that require finance lease treatment as prescribed by ASC Topic 842, Leases . Our total gross investment in finance leases, which is included in finance receivables and loans, net, on our Consolidated Balance Sheet was $481 million and $470 million as of December 31, 2022, and December 31, 2021, respectively. This includes lease payment receivables of $468 million and $457 million at December 31, 2022, and December 31, 2021, respectively, and unguaranteed residual assets of $13 million at both December 31, 2022, and 2021. Interest income on finance lease receivables was $30 million for the year ended December 31, 2022, and $27 million for the year ended December 31, 2021, and is included in interest and fees on finance receivables and loans in our Consolidated Statement of Income. The following table presents future minimum rental payments we have the right to receive under finance leases with noncancelable lease terms expiring after December 31, 2022. Year ended December 31, ($ in millions) 2023 $ 166 2024 132 2025 116 2026 63 2027 33 2028 and thereafter 10 Total undiscounted cash flows 520 Difference between undiscounted cash flows and discounted cash flows (53) Present value of lease payments recorded as lease receivable $ 467 |
Leasing | Leasing Ally as the Lessee We have operating leases for certain of our corporate facilities, which have remaining lease terms of 8 months to 8 years. Most of the property leases have fixed payment terms with annual fixed-escalation clauses and include options to extend the leases for periods that range from 1 to 15 years. Some of those lease agreements also include options to terminate the leases approximately 6 years after the commencement of the leases. We have not included any of these term extensions or termination provisions in our estimates of the lease term, as we do not consider it reasonably certain that the options will be exercised. We also have operating leases for a fleet of vehicles that is used by our sales force for business purposes, with noncancelable lease terms of 367 days. Thereafter, the leases are month-to-month, up to a maximum of 48 months from inception. During the years ended December 31, 2022, and December 31, 2021, we paid $38 million and $51 million in cash for amounts included in the measurement of lease liabilities at December 31, 2022, and December 31, 2021, respectively. These amounts are included in net cash provided by operating activities in the Consolidated Statement of Cash Flows. During the years ended December 31, 2022, and December 31, 2021, we obtained $41 million and $361 million, respectively, of ROU assets in exchange for new lease liabilities. As of December 31, 2022, the weighted-average remaining lease term of our operating lease portfolio was 5 years, and the weighted-average discount rate was 2.57%, compared to 6 years and 1.96% as of December 31, 2021. The following table presents future minimum rental payments we are required to make under operating leases that have commenced as of December 31, 2022, and that have noncancelable lease terms expiring after December 31, 2022. Year ended December 31, ($ in millions) 2023 $ 35 2024 32 2025 26 2026 20 2027 16 2028 and thereafter 18 Total undiscounted cash flows 147 Difference between undiscounted cash flows and discounted cash flows (10) Total lease liability $ 137 In March 2021, we commenced the lease for a new corporate facility in Charlotte, North Carolina, which included an underlying purchase option. We provided notice of our intent to exercise the purchase option in April 2021, and executed on the purchase agreement in July 2021. Additionally, we agreed to lease a portion of this corporate facility in exchange for $13 million in future lease payments over a ten-year lease term. During the year ended December 31, 2022, we recognized $1 million of income associated with this lease agreement. In June 2022, we purchased an operations center in Lewisville, Texas, which consisted of a previously leased facility. Upon closing the transaction, the lease ROU asset and liability were derecognized and new fixed assets totaling approximately $44 million were recognized as property and equipment at cost within other assets of the Consolidated Balance Sheet. The following table details the components of total net operating lease expense. Year ended December 31, ($ in millions) 2022 2021 2020 Operating lease expense $ 33 $ 46 $ 46 Variable lease expense 4 7 8 Total lease expense, net (a) $ 37 $ 53 $ 54 (a) Included in other operating expenses in our Consolidated Statement of Income. Ally as the Lessor Investment in Operating Leases We purchase consumer operating lease contracts and the associated vehicles from dealerships after those contracts are executed by the dealers and the consumers. The amount we pay a dealer for an operating lease contract is based on the negotiated price for the vehicle less vehicle trade-in, down payment from the consumer, and available automotive manufacturer incentives. Under the operating lease, the consumer is obligated to make payments in amounts equal to the amount by which the negotiated purchase price of the vehicle (less any trade-in value, down payment, or available manufacturer incentives) exceeds the contract residual value (including residual support) of the vehicle at lease termination, plus operating lease rental charges. The customer can terminate the lease at any point after commencement, subject to additional charges and fees. Both the consumer and the dealership have the option to purchase the vehicle at the end of the lease term, which generally range from 24 to 60 months, at the residual value of the vehicle, however it is not reasonably certain this option will be exercised and accordingly our consumer leases are classified as operating leases. In addition to the charges described above, the consumer is generally responsible for certain charges related to excess mileage or excessive wear and tear on the vehicle. These charges are deemed variable lease payments and, as these payments are not based on a rate or index, they are recognized as net depreciation expense on operating lease assets in our Consolidated Statement of Income as incurred. When we acquire a consumer operating lease, we assume ownership of the vehicle from the dealer. We require that property damage, bodily injury, collision, and comprehensive insurance be obtained by the lessee on all consumer operating leases. Neither the consumer nor the dealer is responsible for the value of the vehicle at the time of lease termination. When vehicles are not purchased by customers or the receiving dealer at scheduled lease termination, the vehicle is returned to us for remarketing. We generally bear the risk of loss to the extent the value of a leased vehicle upon remarketing is below the expected residual value. At termination, our actual sales proceeds from remarketing the vehicle may be higher or lower than the estimated residual value resulting in a gain or loss on remarketing, which is included in net depreciation expense on operating lease assets in our Consolidated Statement of Income. Excessive mileage or excessive wear and tear on the vehicle during the lease may impact the sales proceeds received upon remarketing. As of December 31, 2022, and December 31, 2021, consumer operating leases with a carrying value, net of accumulated depreciation, of $56 million and $165 million, respectively, were covered by a residual value guarantee of 15% of the manufacturer’s suggested retail price. The following table details our investment in operating leases. Year ended December 31, ($ in millions) 2022 2021 Vehicles $ 12,304 $ 12,384 Accumulated depreciation (1,860) (1,522) Investment in operating leases, net $ 10,444 $ 10,862 The following table presents future minimum rental payments we have the right to receive under operating leases with noncancelable lease terms expiring after December 31, 2022. Year ended December 31, ($ in millions) 2023 $ 1,529 2024 964 2025 445 2026 105 2027 8 Total lease payments from operating leases $ 3,051 We recognized operating lease revenue of $1.6 billion for both the years ended, December 31, 2022, and 2021, and $1.4 billion for the year ended December 31, 2020. Depreciation expense on operating lease assets includes net remarketing gains recognized on the sale of operating lease assets. The following table summarizes the components of depreciation expense on operating lease assets. Year ended December 31, ($ in millions) 2022 2021 2020 Depreciation expense on operating lease assets (excluding remarketing gains) (a) $ 1,084 $ 914 $ 978 Remarketing gains, net (170) (344) (127) Net depreciation expense on operating lease assets $ 914 $ 570 $ 851 (a) Includes variable lease payments related to excess mileage and excessive wear and tear on vehicles of $7 million during the year ended December 31, 2022, $16 million during the year ended December 31, 2021, and $23 million during the year ended December 31, 2020. Finance Leases In our Automotive Finance operations, we also hold automotive leases that require finance lease treatment as prescribed by ASC Topic 842, Leases . Our total gross investment in finance leases, which is included in finance receivables and loans, net, on our Consolidated Balance Sheet was $481 million and $470 million as of December 31, 2022, and December 31, 2021, respectively. This includes lease payment receivables of $468 million and $457 million at December 31, 2022, and December 31, 2021, respectively, and unguaranteed residual assets of $13 million at both December 31, 2022, and 2021. Interest income on finance lease receivables was $30 million for the year ended December 31, 2022, and $27 million for the year ended December 31, 2021, and is included in interest and fees on finance receivables and loans in our Consolidated Statement of Income. The following table presents future minimum rental payments we have the right to receive under finance leases with noncancelable lease terms expiring after December 31, 2022. Year ended December 31, ($ in millions) 2023 $ 166 2024 132 2025 116 2026 63 2027 33 2028 and thereafter 10 Total undiscounted cash flows 520 Difference between undiscounted cash flows and discounted cash flows (53) Present value of lease payments recorded as lease receivable $ 467 |
Leasing | Leasing Ally as the Lessee We have operating leases for certain of our corporate facilities, which have remaining lease terms of 8 months to 8 years. Most of the property leases have fixed payment terms with annual fixed-escalation clauses and include options to extend the leases for periods that range from 1 to 15 years. Some of those lease agreements also include options to terminate the leases approximately 6 years after the commencement of the leases. We have not included any of these term extensions or termination provisions in our estimates of the lease term, as we do not consider it reasonably certain that the options will be exercised. We also have operating leases for a fleet of vehicles that is used by our sales force for business purposes, with noncancelable lease terms of 367 days. Thereafter, the leases are month-to-month, up to a maximum of 48 months from inception. During the years ended December 31, 2022, and December 31, 2021, we paid $38 million and $51 million in cash for amounts included in the measurement of lease liabilities at December 31, 2022, and December 31, 2021, respectively. These amounts are included in net cash provided by operating activities in the Consolidated Statement of Cash Flows. During the years ended December 31, 2022, and December 31, 2021, we obtained $41 million and $361 million, respectively, of ROU assets in exchange for new lease liabilities. As of December 31, 2022, the weighted-average remaining lease term of our operating lease portfolio was 5 years, and the weighted-average discount rate was 2.57%, compared to 6 years and 1.96% as of December 31, 2021. The following table presents future minimum rental payments we are required to make under operating leases that have commenced as of December 31, 2022, and that have noncancelable lease terms expiring after December 31, 2022. Year ended December 31, ($ in millions) 2023 $ 35 2024 32 2025 26 2026 20 2027 16 2028 and thereafter 18 Total undiscounted cash flows 147 Difference between undiscounted cash flows and discounted cash flows (10) Total lease liability $ 137 In March 2021, we commenced the lease for a new corporate facility in Charlotte, North Carolina, which included an underlying purchase option. We provided notice of our intent to exercise the purchase option in April 2021, and executed on the purchase agreement in July 2021. Additionally, we agreed to lease a portion of this corporate facility in exchange for $13 million in future lease payments over a ten-year lease term. During the year ended December 31, 2022, we recognized $1 million of income associated with this lease agreement. In June 2022, we purchased an operations center in Lewisville, Texas, which consisted of a previously leased facility. Upon closing the transaction, the lease ROU asset and liability were derecognized and new fixed assets totaling approximately $44 million were recognized as property and equipment at cost within other assets of the Consolidated Balance Sheet. The following table details the components of total net operating lease expense. Year ended December 31, ($ in millions) 2022 2021 2020 Operating lease expense $ 33 $ 46 $ 46 Variable lease expense 4 7 8 Total lease expense, net (a) $ 37 $ 53 $ 54 (a) Included in other operating expenses in our Consolidated Statement of Income. Ally as the Lessor Investment in Operating Leases We purchase consumer operating lease contracts and the associated vehicles from dealerships after those contracts are executed by the dealers and the consumers. The amount we pay a dealer for an operating lease contract is based on the negotiated price for the vehicle less vehicle trade-in, down payment from the consumer, and available automotive manufacturer incentives. Under the operating lease, the consumer is obligated to make payments in amounts equal to the amount by which the negotiated purchase price of the vehicle (less any trade-in value, down payment, or available manufacturer incentives) exceeds the contract residual value (including residual support) of the vehicle at lease termination, plus operating lease rental charges. The customer can terminate the lease at any point after commencement, subject to additional charges and fees. Both the consumer and the dealership have the option to purchase the vehicle at the end of the lease term, which generally range from 24 to 60 months, at the residual value of the vehicle, however it is not reasonably certain this option will be exercised and accordingly our consumer leases are classified as operating leases. In addition to the charges described above, the consumer is generally responsible for certain charges related to excess mileage or excessive wear and tear on the vehicle. These charges are deemed variable lease payments and, as these payments are not based on a rate or index, they are recognized as net depreciation expense on operating lease assets in our Consolidated Statement of Income as incurred. When we acquire a consumer operating lease, we assume ownership of the vehicle from the dealer. We require that property damage, bodily injury, collision, and comprehensive insurance be obtained by the lessee on all consumer operating leases. Neither the consumer nor the dealer is responsible for the value of the vehicle at the time of lease termination. When vehicles are not purchased by customers or the receiving dealer at scheduled lease termination, the vehicle is returned to us for remarketing. We generally bear the risk of loss to the extent the value of a leased vehicle upon remarketing is below the expected residual value. At termination, our actual sales proceeds from remarketing the vehicle may be higher or lower than the estimated residual value resulting in a gain or loss on remarketing, which is included in net depreciation expense on operating lease assets in our Consolidated Statement of Income. Excessive mileage or excessive wear and tear on the vehicle during the lease may impact the sales proceeds received upon remarketing. As of December 31, 2022, and December 31, 2021, consumer operating leases with a carrying value, net of accumulated depreciation, of $56 million and $165 million, respectively, were covered by a residual value guarantee of 15% of the manufacturer’s suggested retail price. The following table details our investment in operating leases. Year ended December 31, ($ in millions) 2022 2021 Vehicles $ 12,304 $ 12,384 Accumulated depreciation (1,860) (1,522) Investment in operating leases, net $ 10,444 $ 10,862 The following table presents future minimum rental payments we have the right to receive under operating leases with noncancelable lease terms expiring after December 31, 2022. Year ended December 31, ($ in millions) 2023 $ 1,529 2024 964 2025 445 2026 105 2027 8 Total lease payments from operating leases $ 3,051 We recognized operating lease revenue of $1.6 billion for both the years ended, December 31, 2022, and 2021, and $1.4 billion for the year ended December 31, 2020. Depreciation expense on operating lease assets includes net remarketing gains recognized on the sale of operating lease assets. The following table summarizes the components of depreciation expense on operating lease assets. Year ended December 31, ($ in millions) 2022 2021 2020 Depreciation expense on operating lease assets (excluding remarketing gains) (a) $ 1,084 $ 914 $ 978 Remarketing gains, net (170) (344) (127) Net depreciation expense on operating lease assets $ 914 $ 570 $ 851 (a) Includes variable lease payments related to excess mileage and excessive wear and tear on vehicles of $7 million during the year ended December 31, 2022, $16 million during the year ended December 31, 2021, and $23 million during the year ended December 31, 2020. Finance Leases In our Automotive Finance operations, we also hold automotive leases that require finance lease treatment as prescribed by ASC Topic 842, Leases . Our total gross investment in finance leases, which is included in finance receivables and loans, net, on our Consolidated Balance Sheet was $481 million and $470 million as of December 31, 2022, and December 31, 2021, respectively. This includes lease payment receivables of $468 million and $457 million at December 31, 2022, and December 31, 2021, respectively, and unguaranteed residual assets of $13 million at both December 31, 2022, and 2021. Interest income on finance lease receivables was $30 million for the year ended December 31, 2022, and $27 million for the year ended December 31, 2021, and is included in interest and fees on finance receivables and loans in our Consolidated Statement of Income. The following table presents future minimum rental payments we have the right to receive under finance leases with noncancelable lease terms expiring after December 31, 2022. Year ended December 31, ($ in millions) 2023 $ 166 2024 132 2025 116 2026 63 2027 33 2028 and thereafter 10 Total undiscounted cash flows 520 Difference between undiscounted cash flows and discounted cash flows (53) Present value of lease payments recorded as lease receivable $ 467 |
Securitizations and Variable In
Securitizations and Variable Interest Entities | 12 Months Ended |
Dec. 31, 2022 | |
Securitizations And Variable Interest Entities [Abstract] | |
Securitizations and Variable Interest Entities | Securitizations and Variable Interest Entities Overview We securitize, transfer, and service consumer automotive loans. We often securitize these loans (also referred to as financial assets) using SPEs. An SPE is a legal entity that is designed to fulfill a specified limited need of the sponsor. Our principal use of SPEs is to obtain liquidity by securitizing certain of our financial assets. SPEs are often VIEs and may or may not be included on our Consolidated Balance Sheet. Additionally, we opportunistically sell consumer automotive and credit card whole-loans to SPEs where we have a continuing involvement. Securitizations In executing a securitization, we typically sell pools of financial assets to a wholly owned, bankruptcy-remote SPE, which then transfers the financial assets to a separate, transaction-specific SPE for cash, and typically, other retained interests. The SPE is funded through the issuance of beneficial interests, which could take the form of notes or residual interests and can be sold to investors or retained by us. We typically hold retained beneficial interests in our securitizations including, but not limited to, retained notes, certificated residual interests, as well as certain noncertificated interests retained from the sale of automotive finance receivables. If sold, the beneficial interests only entitle the investors to specified cash flows generated from the underlying securitized assets. If retained, the interests provide credit enhancement to the SPE as they may absorb credit losses or other cash shortfalls and may represent a form of significant continuing economic interests. In addition to providing a source of liquidity and cost-efficient funding, securitizing these financial assets also reduces our credit exposure to the borrowers beyond any economic interest we may retain. The SPEs are limited to specific activities by their respective legal documents, but are generally allowed to acquire the financial assets, to issue beneficial interests to investors to fund the acquisition of the financial assets, and to enter into interest rate hedges to mitigate certain risks related to the financial assets or beneficial interests of the entity. A servicer, who is generally us, is appointed pursuant to the underlying legal documents to service the assets the SPE holds and the beneficial interests it issues. Servicing functions include, but are not limited to, general collections activity on current and noncurrent accounts, loss mitigation efforts including repossession and sale of collateral, as well as preparing and furnishing statements summarizing the asset and beneficial interest performance. These servicing responsibilities constitute continued involvement in the transferred financial assets. Cash flows from the securitized financial assets represent the sole source for payment of distributions on the beneficial interests issued by the SPE and for payments to the parties that perform services for the SPE, such as the servicer or the trustee. We generally hold certain conditional repurchase options specific to securitizations that allow us to repurchase assets from the securitization entity. The majority of the securitizations provide us, as servicer, with a call option that allows us to repurchase the remaining transferred financial assets or redeem outstanding beneficial interests at our discretion once the asset pool reaches a predefined level, which represents the point where servicing becomes administratively burdensome (a clean-up call option). The repurchase price is typically the securitization balance of the assets plus accrued interest when applicable. We generally have discretion regarding when or if we will exercise these options, but we would do so only when it is in our best interest. Other than our customary representation, warranty, and covenant provisions, these securitizations are nonrecourse to us, thereby transferring the risk of future credit losses to the extent the beneficial interests in the SPEs are held by third parties. Representation, warranty, and certain covenant provisions generally require us to repurchase assets or indemnify the investor or other party for incurred losses to the extent it is determined that the assets were ineligible or were otherwise defective at the time of sale, or otherwise not in compliance with the ongoing covenant obligations. We did not provide any noncontractual financial support to any of these entities during 2022 or 2021. However in 2020, we voluntarily provided cumulative support of less than $1 million to our commercial securitization entity. This entity was temporarily impacted by our COVID-19 deferral program provided to commercial automotive customers. Variable Interest Entities The VIEs included on the Consolidated Balance Sheet represent SPEs where we are deemed to be the primary beneficiary, primarily due to our servicing activities and our beneficial interests in the VIE that could be potentially significant. We determine whether we have a potentially significant beneficial interest in the VIE based on the consideration of both qualitative and quantitative factors regarding the nature, size, and form of our involvement in the VIE. The third-party investors in the obligations of consolidated VIEs have legal recourse only to the assets of the VIEs and do not have such recourse to us, except for the customary representation, warranty, and covenant provisions. In addition, the cash flows from the assets are restricted only to pay such liabilities. Thus, our economic exposure to loss from outstanding third-party financing related to consolidated VIEs is limited to the carrying value of the consolidated VIE assets. Generally, all assets of consolidated VIEs are restricted for the beneficial interest holders. For additional information regarding our significant accounting policies for consolidated VIEs, refer to the Variable Interest Entities and Securitizations section of Note 1. The nature, purpose, and activities of nonconsolidated SPEs are similar to those of our consolidated SPEs with the primary difference being the nature and extent of our continuing involvement. For nonconsolidated SPEs, the transferred financial assets are removed from our balance sheet provided the conditions for sale accounting are met. The financial assets obtained from the sale are primarily reported as cash or retained interests (if applicable). Liabilities incurred as part of these sales, are recorded at fair value at the time of sale and are reported as accrued expenses and other liabilities on our Consolidated Balance Sheet. Upon the sale of the loans, we recognize a gain or loss on sale for the difference between the assets recognized, the assets derecognized, and the liabilities recognized as part of the transaction. With respect to our ongoing right to service the assets we sell, the servicing fee we receive represents adequate compensation, and consequently, we do not recognize a servicing asset or liability. The pretax gain on sales of financial assets into nonconsolidated VIEs was $1 million for the year ended December 31, 2022. We had no pretax gains or losses on sales of financial assets into nonconsolidated VIEs during the years ended December 31, 2021, or 2020. For additional information regarding our significant accounting policies for nonconsolidated VIEs, refer to the Variable Interest Entities and Securitizations section of Note 1. We provide long-term guarantee contracts to investors in certain nonconsolidated affordable housing entities and have extended a line of credit to provide liquidity. Since we do not have control over the entities or the power to make decisions, we do not consolidate the entities and our involvement is limited to the guarantee and the line of credit. We are involved with various other nonconsolidated equity investments, including affordable housing entities and venture capital funds and loan funds. We do not consolidate these entities and our involvement is limited to our outstanding investment, additional capital committed to these funds plus any previously recognized low-income housing tax credits that are subject to recapture. The following table presents our involvement in consolidated and nonconsolidated VIEs in which we hold variable interests. We have excluded certain transactions with nonconsolidated entities from the balances presented in the table below, where our only continuing involvement relates to financial interests obtained through the ordinary course of business, primarily from lending and investing arrangements. For additional detail related to the assets and liabilities of consolidated variable interest entities refer to the Consolidated Balance Sheet. December 31, ($ in millions) Carrying value of total assets Carrying value of total liabilities Assets sold to nonconsolidated VIEs (a) Maximum exposure to loss in nonconsolidated VIEs 2022 On-balance sheet variable interest entities Consumer automotive $ 20,415 (b) $ 2,553 (c) $ — $ — Off-balance sheet variable interest entities Consumer automotive — — 227 227 (d) Consumer other (e) — — 103 103 Commercial other 2,199 (f) 873 (g) — 2,767 (h) Total $ 22,614 $ 3,426 $ 330 $ 3,097 2021 On-balance sheet variable interest entities Consumer automotive $ 18,158 (b) $ 1,162 (c) $ — $ — Consumer other (e) 318 300 — — Off-balance sheet variable interest entities Commercial other 1,814 (f) 726 (g) — 2,416 (h) Total $ 20,290 $ 2,188 $ — $ 2,416 (a) Asset values represent the current unpaid principal balance of outstanding consumer automotive and credit card finance receivables and loans within the VIEs. (b) Includes $10.6 billion and $11.0 billion of assets that were not encumbered by VIE beneficial interests held by third parties at December 31, 2022, and December 31, 2021, respectively. Ally or consolidated affiliates hold the interests in these assets. (c) Includes $113 million and $124 million of liabilities that were not obligations to third-party beneficial interest holders at December 31, 2022, and December 31, 2021, respectively. (d) Maximum exposure to loss represents the current unpaid principal balance of outstanding loans based on our customary representation and warranty provisions. This measure is based on the unlikely event that all the loans have underwriting defects or other defects that trigger a representation and warranty provision and the collateral supporting the loans are worthless. This required disclosure is not an indication of our expected loss. (e) Represents balances from our credit card business. (f) Amounts are classified as other assets except for $38 million and $8 million classified as equity securities at December 31, 2022, and December 31, 2021, respectively. (g) Amounts are classified as accrued expenses and other liabilities. (h) For certain nonconsolidated affordable housing entities, maximum exposure to loss represents the yield we guaranteed investors through long-term guarantee contracts. The amount disclosed is based on the unlikely event that the yield delivered to investors in the form of low-income tax housing credits is recaptured. For nonconsolidated equity investments, maximum exposure to loss represents our outstanding investment, additional committed capital, and low-income housing tax credits subject to recapture. The amount disclosed is based on the unlikely event that our committed capital is funded, our investments become worthless, and the tax credits previously delivered to us are recaptured. This required disclosure is not an indication of our expected loss. Cash Flows with Nonconsolidated Special-Purpose Entities The following table summarizes cash flows received and paid related to SPEs and asset-backed financings where the transfer is accounted for as a sale and we have a continuing involvement with the transferred consumer automotive and credit card assets (for example, servicing) that were outstanding during the years ended December 31, 2022, 2021, and 2020. Additionally, this table contains information regarding cash flows received from and paid to nonconsolidated SPEs that existed during each period. Year ended December 31, ($ in millions) 2022 2021 2020 Consumer automotive Cash proceeds from transfers completed during the period $ 238 $ — $ — Cash flows received on retained interests in securitization entities — — 12 Servicing fees 1 — 3 Cash disbursements for repurchases during the period — — (2) Consumer other (a) Cash proceeds from transfers completed during the period 137 4 — Servicing fees 13 — — Total $ 389 $ 4 $ 13 (a) Represents activity from our credit card business. Delinquencies and Net Credit Losses The following tables present quantitative information about off-balance sheet whole-loan sales where we have continuing involvement. Total amount Amount 60 days or more past due December 31, ($ in millions) 2022 2021 2022 2021 Whole-loan sales (a) Consumer automotive $ 227 $ — $ 2 $ — Consumer other 103 4 8 — Total $ 330 $ 4 $ 10 $ — (a) Whole-loan sales are not part of a securitization transaction, but represent consumer automotive and credit card pools of loans sold to third-party investors. Net credit losses Year ended December 31, ($ in millions) 2022 2021 Whole-loan sales (a) Consumer other $ 2 $ — Total $ 2 $ — (a) Whole-loan sales are not part of a securitization transaction, but represent credit card pools of loans sold to third-party investors. Affordable Housing Investments We have investments in various limited partnerships that sponsor affordable housing projects, which meet the definition of a VIE. The purpose of these investments is to achieve a satisfactory return on capital through the receipt of LIHTC and to assist us in achieving goals associated with the CRA. Our affordable housing investments are accounted for using the proportional amortization method of accounting, which recognizes the amortized cost of the investment as a component of income tax expense. The following table summarizes information about our affordable housing investments. Year ended December 31, ($ in millions) 2022 2021 2020 Affordable housing tax credits and other tax benefits (a) $ 177 $ 144 $ 109 Tax credit amortization expense recognized as a component of income tax expense 147 118 90 (a) There were no impairment losses recognized during the years ended December 31, 2022, 2021, and 2020, resulting from the forfeiture or ineligibility of tax credits or other circumstances. |
Premiums Receivable and Other I
Premiums Receivable and Other Insurance Assets | 12 Months Ended |
Dec. 31, 2022 | |
Premiums Receivable Disclosure [Abstract] | |
Premiums Receivable and Other Insurance Assets | Premiums Receivable and Other Insurance Assets Premiums receivable and other insurance assets consisted of the following. December 31, ($ in millions) 2022 2021 Prepaid reinsurance premiums $ 553 $ 549 Reinsurance recoverable on unpaid losses 72 81 Reinsurance recoverable on paid losses 26 23 Premiums receivable 114 97 Deferred policy acquisition costs 1,933 1,974 Total premiums receivable and other insurance assets $ 2,698 $ 2,724 |
Other Assets
Other Assets | 12 Months Ended |
Dec. 31, 2022 | |
Other Assets [Abstract] | |
Other Assets | Other Assets The components of other assets were as follows. December 31, ($ in millions) 2022 2021 Property and equipment at cost $ 2,352 $ 2,139 Accumulated depreciation (1,076) (955) Net property and equipment 1,276 1,184 Investment in qualified affordable housing projects 1,596 1,378 Net deferred tax assets 1,087 254 Nonmarketable equity investments 842 998 Goodwill 822 822 Accrued interest, fees, and rent receivables 786 600 Equity-method investments (a) 608 472 Restricted cash held for securitization trusts (b) 585 516 Other accounts receivable 164 127 Operating lease right-of-use assets 111 148 Net intangible assets 98 129 Restricted cash and cash equivalents (c) 66 92 Other assets 1,097 1,337 Total other assets $ 9,138 $ 8,057 (a) Primarily relates to investments made in connection with our CRA program. (b) Includes restricted cash collected from customer payments on securitized receivables, which are distributed by us to investors as payments on the related secured debt, and cash reserve deposits utilized as a form of credit enhancement for various securitization transactions. (c) Primarily represents a number of arrangements with third parties where certain restrictions are placed on balances we hold due to collateral agreements associated with operational processes with a third-party bank, or letter of credit arrangements and corresponding collateral requirements. The total carrying value of the nonmarketable equity investments held at December 31, 2022, and December 31, 2021, including cumulative unrealized gains and losses was as follows. December 31, ($ in millions) 2022 2021 FHLB stock $ 318 $ 289 FRB stock 401 449 Equity investments without a readily determinable fair value Cost basis at acquisition 89 89 Adjustments Upward adjustments 177 183 Downward adjustments (including impairment) (143) (12) Carrying amount, equity investments without a readily determinable fair value 123 260 Nonmarketable equity investments $ 842 $ 998 During the years ended December 31, 2022, and 2021, unrealized gains and losses included in the carrying value of the nonmarketable equity investments still held as of December 31, 2022, and 2021, were as follows. Year ended December 31, ($ in millions) 2022 2021 Upward adjustments $ 1 $ 88 Downward adjustments (including impairment) (a) (138) (1) (a) No impairment on FHLB and FRB stock was recognized during the years ended December 31, 2022, and 2021. Total (loss) gain on nonmarketable equity investments, net, which includes both realized and unrealized gains and losses, was a loss of $132 million for the year ended December 31, 2022, compared to a gain of $142 million for the year ended December 31, 2021. The downward adjustments (including impairment) during the year ended December 31, 2022, was primarily driven by an impairment in our investment in the parent of BMC (BMC Holdco). • During 2021, we sold a portion of our investment in BMC Holdco for proceeds of $45 million and realized gains totaling $38 million. In addition, during 2021, BMC Holdco and Aurora announced several agreements relevant to the valuation of our remaining investment in BMC Holdco. ◦ BMC Holdco entered into a merger agreement (together with all 2021 amendments, the Merger Agreement) with Aurora that provides for our remaining investment in BMC Holdco to be converted into publicly traded common stock of the entity surviving the merger. The Merger Agreement established a price per share reflecting a pre-money equity valuation of approximately $6.9 billion for BMC Holdco and included an Agreement End Date (as defined in the Merger Agreement) of September 30, 2022. ◦ BMC Holdco and Aurora entered into a bridge note purchase agreement with investors to issue debt (the Notes) that converts into publicly traded common stock of the entity surviving the merger as contemplated by the Merger Agreement. • During the third quarter of 2022, BMC Holdco and Aurora announced a further amendment of the Merger Agreement that extends the Agreement End Date to March 8, 2023. Contemporaneously, BMC Holdco and Aurora entered into a letter agreement with one of its existing investors that, in part and subject to specified conditions, (i) extends the maturity date of the investor’s Notes to March 8, 2023, and (ii) without limiting the investor’s rights under the bridge note purchase agreement, if the merger has not been consummated by the maturity date of the Notes, provides the investor with an option to alternatively exchange its Notes for Class B common stock and preferred stock of BMC Holdco at specified valuations. • On February 7, 2023, Aurora announced the filing of a definitive proxy statement to hold a special meeting of its shareholders on February 24, 2023, to extend the date by which Aurora must consummate an initial business combination under its articles of association from March 8, 2023, to September 30, 2023, or any earlier date determined by its board. On the same day, Aurora also announced its entry into a second letter agreement with BMC Holdco and the existing investor that, in part and subject to specified conditions, (i) obligates Aurora and BMC Holdco to use reasonable best efforts to obtain shareholder approval of the extension proposal, to extend the Agreement End Date to September 30, 2023, prior to that approval, and to further extend that date to March 30, 2024, if necessary to provide sufficient time for the merger to be consummated, (ii) defers the maturity date of the investor’s Notes to September 30, 2023, and (iii) without limiting the investor’s rights under the bridge note purchase agreement, if the merger has not been consummated by the maturity date of the Notes, provides the investor with an option to alternatively exchange its Notes for Class B common stock and Series D equivalent preferred stock of BMC Holdco at specified valuations. The letter agreement entered into during the third quarter of 2022 was a triggering event to assess our remaining investment in BMC Holdco for impairment. We recognized an impairment charge on this investment of $136 million during the third quarter of 2022. As of December 31, 2022, both the cost basis at acquisition and the carrying value of this investment were $19 million. The carrying value of this investment reflects cumulative upward adjustments of $136 million and cumulative downward adjustments (including impairment) of $136 million since acquisition. The carrying balance of goodwill by reportable operating segment was as follows. ($ in millions) Automotive Finance operations Insurance operations Corporate and Other (a) Total Goodwill at December 31, 2020 $ 20 $ 27 $ 296 $ 343 Goodwill acquired — — 479 479 Goodwill at December 31, 2021 $ 20 $ 27 $ 775 $ 822 Goodwill acquired — — — — Goodwill at December 31, 2022 $ 20 $ 27 $ 775 $ 822 (a) Includes $479 million of goodwill associated with Ally Credit Card at both December 31, 2022, and December 31, 2021, and $153 million of goodwill associated with Ally Lending at both December 31, 2022, and December 31, 2021, and $143 million of goodwill associated with Ally Invest at both December 31, 2022, and December 31, 2021. The net carrying value of intangible assets by class was as follows. 2022 (a) 2021 December 31, ($ in millions) Gross intangible assets Accumulated amortization Net carrying value Gross intangible assets Accumulated amortization Net carrying value Technology $ 122 $ (53) $ 69 $ 122 $ (36) $ 86 Customer lists 58 (51) 7 58 (42) 16 Purchased credit card relationships 25 (4) 21 25 — 25 Trademarks 2 (1) 1 2 — 2 Total intangible assets $ 207 $ (109) $ 98 $ 207 $ (78) $ 129 (a) We expect to recognize amortization expense of $26 million and $19 million for the years ended December 31, 2023, and 2024, respectively, and $14 million for each of the years ended December 31, 2025, 2026, and 2027. |
Deposit Liabilities
Deposit Liabilities | 12 Months Ended |
Dec. 31, 2022 | |
Deposits [Abstract] | |
Deposit Liabilities | Deposit Liabilities Deposit liabilities consisted of the following. December 31, ($ in millions) 2022 2021 Noninterest-bearing deposits $ 185 $ 150 Interest-bearing deposits Savings, money market, and checking accounts 110,776 102,455 Certificates of deposit 41,336 38,953 Total deposit liabilities $ 152,297 $ 141,558 At December 31, 2022, and December 31, 2021, certificates of deposit included $5.6 billion and $7.2 billion, respectively, of those in denominations in excess of $250 thousand federal insurance limits. The following table presents the scheduled maturity of total certificates of deposit at December 31, 2022. ($ in millions) Due in 2023 $ 26,072 Due in 2024 10,341 Due in 2025 3,143 Due in 2026 863 Due in 2027 917 Total certificates of deposit (a) $ 41,336 (a) Includes $4.2 billion of certificates of deposit that are estimated to be uninsured. In some instances, certificates of deposits in excess of federal insurance limits may be insured based upon the number of account owners, beneficiaries, and accounts held. |
Debt
Debt | 12 Months Ended |
Dec. 31, 2022 | |
Debt Disclosure [Abstract] | |
Debt | Debt Short-Term Borrowings The following table presents the composition of our short-term borrowings portfolio. 2022 2021 December 31, ($ in millions) Unsecured Secured (a) Total Unsecured Secured (a) Total Federal Home Loan Bank $ — $ 1,900 $ 1,900 $ — $ — $ — Securities sold under agreements to repurchase — 499 499 — — — Total short-term borrowings $ — $ 2,399 $ 2,399 $ — $ — $ — Weighted average interest rate (b) 4.5 % — % (a) Refer to the section below titled Long-Term Debt for further details on assets restricted as collateral for payment of the related debt. (b) Based on the debt outstanding and the interest rate at December 31 of each year. We periodically enter into term repurchase agreements—short-term borrowing agreements in which we sell securities to one or more investors while simultaneously committing to repurchase them at a specified future date, at the stated price plus accrued interest. As of December 31, 2022, the securities sold under agreements to repurchase consisted of $499 million of agency mortgage-backed residential debt securities. The repurchase agreements are set to mature within 31 to 60 days. Refer to Note 8 and Note 21 for further details. The primary risk associated with these repurchase agreements is that the counterparty will be unable to perform under the terms of the contract. As the borrower, we are exposed to the excess market value of the securities pledged over the amount borrowed. Daily mark-to-market collateral management is designed to limit this risk to the initial margin. However, should a counterparty declare bankruptcy or become insolvent, we may incur additional delays and costs. In some instances, we may place or receive cash collateral with counterparties under collateral arrangements associated with our repurchase agreements. At December 31, 2022, we placed cash collateral of $1 million subsequent to the execution of the repurchase agreements, and we did not receive any collateral. At December 31, 2021, we did not place or receive any collateral. Long-Term Debt The following tables present the composition of our long-term debt portfolio. December 31, ($ in millions) Amount Interest rate Weighted average stated interest rate (a) Due date range 2022 Unsecured debt Fixed rate (b) $ 9,929 Hedge basis adjustments (c) 108 Total unsecured debt 10,037 0.60–8.00% 5.08 % 2023–2032 Secured debt Fixed rate 7,603 Variable rate (d) 118 Hedge basis adjustment (c) 4 Total secured debt (e) (f) 7,725 0.72–5.29% 2.71 % 2023–2027 Total long-term debt $ 17,762 2021 Unsecured debt Fixed rate (b) $ 9,297 Hedge basis adjustments (c) 113 Total unsecured debt 9,410 0.60–8.00% 4.87 % 2022–2031 Secured debt Fixed rate 7,502 Variable rate (d) 120 Hedge basis adjustment (c) (3) Total secured debt (e) (f) 7,619 0.72–6.86% 2.14 % 2022–2025 Total long-term debt $ 17,029 (a) Based on the debt outstanding and the interest rate at December 31 of each year excluding any impacts of interest rate hedges. (b) Includes subordinated debt of $1.0 billion at both December 31, 2022, and 2021. (c) Represents the basis adjustment associated with the application of hedge accounting on certain of our long-term debt positions. Refer to Note 21 for additional information. (d) Represents long-term debt that does not have a stated interest rate. (e) Includes $2.4 billion and $1.3 billion of VIE secured debt at December 31, 2022, and 2021, respectively. (f) Includes advances from the FHLB of Pittsburgh of $5.3 billion and $6.3 billion at December 31, 2022, and 2021, respectively. 2022 2021 December 31, ($ in millions) Unsecured Secured Total Unsecured Secured Total Long-term debt (a) Due within one year $ 2,023 $ 2,395 $ 4,418 $ 1,028 $ 4,841 $ 5,869 Due after one year 8,014 5,330 13,344 8,382 2,778 11,160 Total long-term debt $ 10,037 $ 7,725 $ 17,762 $ 9,410 $ 7,619 $ 17,029 (a) Includes basis adjustments related to the application of hedge accounting. Refer to Note 21 for additional information. To achieve the desired balance between fixed- and variable-rate debt, we may utilize interest rate swap agreements. These derivative financial instruments have the effect of synthetically converting our fixed-rate debt into variable-rate obligations. As of December 31, 2022, we had $2.5 billion of interest rate swap agreements outstanding. We did not have any derivative financial instruments that synthetically converted fixed-rate debt into variable-rate obligations or variable-rate debt into fixed-rate obligations at December 31, 2021. The following table presents the scheduled remaining maturity of long-term debt at December 31, 2022, assuming no early redemptions will occur. The amounts below include adjustments to the carrying value resulting from the application of hedge accounting. The actual payment of secured debt may vary based on the payment activity of the related pledged assets. ($ in millions) 2023 2024 2025 2026 2027 2028 and thereafter Total Unsecured Long-term debt $ 2,084 $ 1,474 $ 2,471 $ 23 $ 1,539 $ 3,328 $ 10,919 Original issue discount (61) (68) (73) (82) (93) (505) (882) Total unsecured 2,023 1,406 2,398 (59) 1,446 2,823 10,037 Secured Long-term debt 2,395 2,930 1,420 894 76 10 7,725 Total long-term debt $ 4,418 $ 4,336 $ 3,818 $ 835 $ 1,522 $ 2,833 $ 17,762 The following summarizes assets restricted as collateral for the payment of the related debt obligation. December 31, ($ in millions) 2022 2021 Consumer mortgage finance receivables $ 19,771 $ 17,941 Consumer automotive finance receivables 11,759 9,122 Commercial finance receivables 4,210 10 Investment securities (a) 3,525 — Credit card receivables — 347 Total assets restricted as collateral (b) (c) (d) $ 39,265 $ 27,420 Secured debt (e) $ 10,124 $ 7,619 (a) A portion of the restricted investment securities at December 31, 2022, was restricted under repurchase agreements. Refer to the section above titled Short-Term Borrowings for information on the repurchase agreements. (b) All restricted assets are those of Ally Bank. (c) Ally Bank has an advance agreement with the FHLB, and had assets pledged to secure borrowings that were restricted as collateral to the FHLB totaling $27.0 billion and $18.0 billion at December 31, 2022, and December 31, 2021, respectively. These assets were composed primarily of consumer mortgage finance receivables and loans. Ally Bank has access to the FRB Discount Window and had assets pledged and restricted as collateral to the FRB totaling $2.4 billion at both December 31, 2022, and December 31, 2021. These assets were composed of consumer automotive finance receivables and loans. Availability under these programs is only for the operations of Ally Bank and cannot be used to fund the operations or liabilities of Ally or its other subsidiaries. (d) Excludes restricted cash and cash reserves for securitization trusts recorded within other assets on the Consolidated Balance Sheet. Refer to Note 13 for additional information. (e) Includes $2.4 billion of short-term borrowings at December 31, 2022. |
Accrued Expenses and Other Liab
Accrued Expenses and Other Liabilities | 12 Months Ended |
Dec. 31, 2022 | |
Accounts Payable and Accrued Liabilities [Abstract] | |
Accrued Expenses and Other Liabilities | Accrued Expenses and Other Liabilities The components of accrued expenses and other liabilities were as follows. December 31, ($ in millions) 2022 2021 Unfunded commitments for investment in qualified affordable housing projects $ 869 $ 724 Accounts payable 435 584 Employee compensation and benefits 424 512 Deferred revenue 169 176 Operating lease liabilities 137 175 Reserves for insurance losses and loss adjustment expenses 119 122 Other liabilities 495 460 Total accrued expenses and other liabilities $ 2,648 $ 2,753 |
Equity
Equity | 12 Months Ended |
Dec. 31, 2022 | |
Equity [Abstract] | |
Equity | Equity Common Stock The following table presents changes in the number of shares issued and outstanding. (shares in thousands) (a) 2022 2021 2020 Common stock Total issued at January 1, 504,522 501,237 496,958 New issuances Employee benefits and compensation plans 3,161 3,284 4,279 Total issued at December 31, 507,683 504,522 501,237 Treasury balance at January 1, (166,581) (126,563) (122,626) Repurchase of common stock (b) (41,778) (40,018) (3,937) Total treasury stock at December 31, (208,358) (166,581) (126,563) Total outstanding at December 31, 299,324 337,941 374,674 (a) Figures in the table may not recalculate exactly due to rounding. Number of shares issued, in treasury, and outstanding are calculated based on unrounded numbers. (b) Includes shares of common stock withheld to cover income taxes owed by participants in our share-based incentive plans. Refer to the section titled Capital Planning and Stress Tests in Note 20 for additional information regarding our common-stock-repurchase program. Preferred Stock Series B Preferred Stock In April 2021, we issued 1,350,000 shares of 4.700% Fixed-Rate Reset Non-Cumulative Perpetual Preferred Stock, Series B, with $0.01 par value and liquidation preference of $1,000 per share. Proceeds from the offering were used to redeem a portion of our 8.125% Fixed Rate/Floating Rate Trust Preferred Securities, Series 2 of GMAC Capital Trust I. Dividends on shares of the Series B Preferred Stock are discretionary and are not cumulative. Holders of the Series B Preferred Stock will be entitled to receive, if, when and as declared by our Board, or a duly authorized committee of the Board, out of legally available assets, non-cumulative cash dividends quarterly in arrears on February 15, May 15, August 15 and November 15 of each year, beginning on August 15, 2021. Dividends will accrue (i) from the date of original issue to, but excluding, May 15, 2026, at a fixed rate of 4.700% per annum and (ii) from, and including, May 15, 2026, during each five-year reset period, at a rate per annum equal to the five-year treasury rate as of the most recent reset dividend determination date plus 3.868% on the liquidation preference amount of $1,000 per share. So long as any share of Series B Preferred Stock remains outstanding, unless the dividends for the most recently completed dividend period have been paid in full, or set aside for payment, on all outstanding shares of Series B Preferred Stock, we will be prohibited, subject to certain specified exceptions, from (i) declaring or paying any dividends or making any distributions with respect to any stock that ranks on a parity basis with, or junior in interest to, the Series B Preferred Stock or (ii) repurchasing, redeeming, or otherwise acquiring for consideration, directly or indirectly, any stock that ranks on a parity basis with, or junior in interest to, the Series B Preferred Stock. The holders of the Series B Preferred Stock do not have voting rights other than those set forth in the certificate of designations for the Series B Preferred Stock included in Ally’s Certificate of Incorporation. The Series B Preferred Stock does not have a stated maturity date, and will be perpetual unless redeemed at Ally’s option. Ally is not required to redeem the Series B Preferred Stock and holders of the Series B Preferred Stock have no right to require Ally to redeem their shares. Ally may, at its option, redeem the shares of Series B Preferred stock (i) in whole or in part, on any dividend payment date on or after May 15, 2026, or (ii) in whole, but not in part, at any time within 90 days following a regulatory capital treatment event. In the event of any liquidation, dissolution or winding up of the affairs of Ally, holders of the Series B Preferred Stock will be entitled to receive the liquidation amount per share of Series B Preferred Stock and an amount equal to all declared, but unpaid dividends declared prior to the date of payment out of assets available for distribution, before any distribution is made for holders of stock that ranks junior in interest to the Series B Preferred Stock, subject to the rights of Ally’s creditors. Series C Preferred Stock In June 2021, we issued 1,000,000 shares of 4.700% Fixed-Rate Reset Non-Cumulative Perpetual Preferred Stock, Series C, with $0.01 par value and liquidation preference of $1,000 per share. Proceeds from the offering were used to redeem a portion of our 8.125% Fixed Rate/Floating Rate Trust Preferred Securities, Series 2 of GMAC Capital Trust I. Dividends on shares of the Series C Preferred Stock are discretionary and are not cumulative. Holders of the Series C Preferred Stock will be entitled to receive, if, when and as declared by our Board, or a duly authorized committee of the Board, out of legally available assets, non-cumulative cash dividends quarterly in arrears on February 15, May 15, August 15 and November 15 of each year, beginning on August 15, 2021. Dividends will accrue (i) from the date of original issue to, but excluding, May 15, 2028, at a fixed rate of 4.700% per annum and (ii) from, and including, May 15, 2028, during each seven-year reset period, at a rate per annum equal to the seven-year treasury rate as of the most recent reset dividend determination date plus 3.481% on the liquidation preference amount of $1,000 per share. So long as any share of Series C Preferred Stock remains outstanding, unless the dividends for the most recently completed dividend period have been paid in full, or set aside for payment, on all outstanding shares of Series C Preferred Stock, we will be prohibited, subject to certain specified exceptions, from (i) declaring or paying any dividends or making any distributions with respect to any stock that ranks on a parity basis with, or junior in interest to, the Series C Preferred Stock or (ii) repurchasing, redeeming, or otherwise acquiring for consideration, directly or indirectly, any stock that ranks on a parity basis with, or junior in interest to, the Series C Preferred Stock. The holders of the Series C Preferred Stock do not have voting rights other than those set forth in the certificate of designations for the Series C Preferred Stock included in Ally’s Certificate of Incorporation. The Series C Preferred Stock does not have a stated maturity date, and will be perpetual unless redeemed at Ally’s option. Ally is not required to redeem the Series C Preferred Stock and holders of the Series C Preferred Stock have no right to require Ally to redeem their shares. Ally may, at its option, redeem the shares of Series C Preferred stock (i) in whole or in part, on any dividend payment date on or after May 15, 2028, or (ii) in whole, but not in part, at any time within 90 days following a regulatory capital treatment event. In the event of any liquidation, dissolution or winding up of the affairs of Ally, holders of the Series C Preferred Stock will be entitled to receive the liquidation amount per share of Series C Preferred Stock and an amount equal to all declared, but unpaid dividends declared prior to the date of payment out of assets available for distribution, before any distribution is made for holders of stock that ranks junior in interest to the Series C Preferred Stock, subject to the rights of Ally’s creditors. The following table summarizes information about our preferred stock. December 31, 2022 Series B preferred stock (a) Issuance date April 22, 2021 Carrying value ($ in millions) $ 1,335 Par value (per share) $ 0.01 Liquidation preference (per share) $ 1,000 Number of shares authorized 1,350,000 Number of shares issued and outstanding 1,350,000 Dividend/coupon Prior to May 15, 2026 4.700% On and after May 15, 2026 Five Year Treasury + 3.868% Series C preferred stock (a) Issuance date June 2, 2021 Carrying value ($ in millions) $ 989 Par value (per share) $ 0.01 Liquidation preference (per share) $ 1,000 Number of shares authorized 1,000,000 Number of shares issued and outstanding 1,000,000 Dividend/coupon Prior to May 15, 2028 4.700% On and after May 15, 2028 Seven Year Treasury + 3.481% (a) We may, at our option, redeem the Series B and Series C shares on any dividend payment date on or after May 15, 2026, or May 15, 2028, respectively, or at any time within 90 days following a regulatory event that precludes the instruments from being included in additional Tier 1 capital. |
Accumulated Other Comprehensive
Accumulated Other Comprehensive Loss | 12 Months Ended |
Dec. 31, 2022 | |
Equity [Abstract] | |
Accumulated Other Comprehensive Loss | Accumulated Other Comprehensive Loss The following tables present changes, net of tax, in each component of accumulated other comprehensive loss. ($ in millions) Unrealized gains (losses) on investment securities (a) Translation adjustments and net investment hedges (b) Cash flow hedges (b) Defined benefit pension plans Accumulated other comprehensive income (loss) Balance at January 1, 2020 $ 208 $ 19 $ 2 $ (106) $ 123 Net change 432 — 80 (4) 508 Balance at December 31, 2020 640 19 82 (110) 631 Net change (735) — (47) (7) (789) Balance at December 31, 2021 (95) 19 35 (117) (158) Net change (4,000) (1) (17) 117 (3,901) Balance at December 31, 2022 $ (4,095) $ 18 $ 18 $ — $ (4,059) (a) Represents the after-tax difference between the fair value and amortized cost of our available-for-sale securities portfolio. (b) For additional information on derivative instruments and hedging activities, refer to Note 21. Our qualified defined benefit pension plan was frozen in 2006. As of December 31, 2021, we disclosed our intention to settle the qualified defined benefit pension plan in the future. During 2022, we executed our plan to settle the liability in two phases: (1) a single, lump-sum payment window program; and (2) the purchase of an annuity contract from an independent insurance company for the remainder of the liability. The independent insurance company has assumed the obligation to pay the outstanding accrued benefits to the participants and beneficiaries of the plan. As a result of this action, we realized a loss of $115 million upon reclassification from accumulated other comprehensive loss, which included $71 million of compensation and benefits expense and $44 million of income tax expense, which included $61 million of realized stranded tax effects. The following tables present the before- and after-tax changes in each component of accumulated other comprehensive loss. Year ended December 31, 2022 ($ in millions) Before tax Tax effect After tax Investment securities Net unrealized losses arising during the period $ (5,222) $ 1,240 $ (3,982) Less: Net realized gains reclassified to income from continuing operations 23 (a) (5) (b) 18 Net change (5,245) 1,245 (4,000) Translation adjustments Net unrealized losses arising during the period (10) 2 (8) Net investment hedges (c) Net unrealized gains arising during the period 8 (1) 7 Cash flow hedges (c) Net unrealized losses arising during the period (2) — (2) Less: Net realized gains reclassified to income from continuing operations 21 (d) (6) (b) 15 Net change (23) 6 (17) Defined benefit pension plans Net unrealized gains arising during the period 2 — 2 Less: Net realized losses reclassified to income from continuing operations (71) (e) (44) (b) (115) Net change 73 44 117 Other comprehensive loss $ (5,197) $ 1,296 $ (3,901) (a) Includes gains reclassified to other gain on investments, net in our Consolidated Statement of Income. (b) Includes amounts reclassified to income tax expense from continuing operations in our Consolidated Statement of Income. (c) For additional information on derivative instruments and hedging activities, refer to Note 21. (d) Includes gains reclassified to interest and fees on finance receivables and loans in our Consolidated Statement of Income. (e) Includes losses reclassified to compensation and benefits expense in our Consolidated Statement of Income as a result of the settlement of our qualified defined benefit pension plan. Year ended December 31, 2021 ($ in millions) Before tax Tax effect After tax Investment securities Net unrealized losses arising during the period $ (859) $ 203 $ (656) Less: Net realized gains reclassified to income from continuing operations 102 (a) (23) (b) 79 Net change (961) 226 (735) Cash flow hedges (c) Less: Net realized gains reclassified to income from continuing operations 61 (d) (14) (b) 47 Defined benefit pension plans Net unrealized losses arising during the period (11) 3 (8) Less: Net realized losses reclassified to income from continuing operations (1) — (b) (1) Net change (10) 3 (7) Other comprehensive loss $ (1,032) $ 243 $ (789) (a) Includes gains reclassified to other gain on investments, net in our Consolidated Statement of Income. (b) Includes amounts reclassified to income tax expense from continuing operations in our Consolidated Statement of Income. (c) For additional information on derivative instruments and hedging activities, refer to Note 21. (d) Includes gains reclassified to interest and fees on finance receivables and loans in our Consolidated Statement of Income. Year ended December 31, 2020 ($ in millions) Before tax Tax effect After tax Investment securities Net unrealized gains arising during the period $ 737 $ (173) $ 564 Less: Net realized gains reclassified to income from continuing operations 171 (a) (39) (b) 132 Net change 566 (134) 432 Translation adjustments Net unrealized gains arising during the period 4 (1) 3 Net investment hedges (c) Net unrealized losses arising during the period (4) 1 (3) Cash flow hedges (c) Net unrealized gains arising during the period 169 (40) 129 Less: Net realized gains reclassified to income from continuing operations 64 (d) (15) (b) 49 Net change 105 (25) 80 Defined benefit pension plans Net unrealized losses arising during the period (5) 1 (4) Other comprehensive income $ 666 $ (158) $ 508 (a) Includes gains reclassified to other gain on investments, net in our Consolidated Statement of Income. (b) Includes amounts reclassified to income tax expense from continuing operations in our Consolidated Statement of Income. (c) For additional information on derivative instruments and hedging activities, refer to Note 21. (d) Includes gains reclassified to interest and fees on finance receivables and loans in our Consolidated Statement of Income. |
Earnings per Common Share
Earnings per Common Share | 12 Months Ended |
Dec. 31, 2022 | |
Earnings Per Share [Abstract] | |
Earnings per Common Share | Earnings per Common Share The following table presents the calculation of basic and diluted earnings per common share. Year ended December 31, ($ in millions, except per share data; shares in thousands) (a) 2022 2021 2020 Net income from continuing operations $ 1,715 $ 3,065 $ 1,086 Preferred stock dividends — Series B (63) (36) — Preferred stock dividends — Series C (47) (21) — Net income from continuing operations attributable to common stockholders $ 1,605 $ 3,008 $ 1,086 Loss from discontinued operations, net of tax (1) (5) (1) Net income attributable to common stockholders $ 1,604 $ 3,003 $ 1,085 Basic weighted-average common shares outstanding (b) 316,690 362,583 375,629 Diluted weighted-average common shares outstanding (b) (c) 318,629 365,180 377,101 Basic earnings per common share Net income from continuing operations $ 5.07 $ 8.30 $ 2.89 Loss from discontinued operations, net of tax — (0.01) — Net income $ 5.06 $ 8.28 $ 2.89 Diluted earnings per common share Net income from continuing operations $ 5.04 $ 8.24 $ 2.88 Loss from discontinued operations, net of tax — (0.01) — Net income $ 5.03 $ 8.22 $ 2.88 (a) Figures in the table may not recalculate exactly due to rounding. Earnings per share is calculated based on unrounded numbers. (b) Includes shares related to share-based compensation that vested but were not yet issued. (c) During the year ended December 31, 2020, there were 0.8 million in shares underlying share-based awards excluded because their inclusion would have been antidilutive. There were no antidilutive shares during the years ended December 31, 2022, and 2021. |
Regulatory Capital and Other Re
Regulatory Capital and Other Regulatory Matters | 12 Months Ended |
Dec. 31, 2022 | |
Broker-Dealer, Net Capital Requirement, SEC Regulation [Abstract] | |
Regulatory Capital and Other Regulatory Matters | Regulatory Capital and Other Regulatory Matters Ally is subject to enhanced prudential standards that have been established by the FRB under the Dodd-Frank Act, as amended by the EGRRCP Act and as applied to Category IV firms under the Tailoring Rules. As a Category IV firm, Ally is (1) subject to supervisory stress testing on a two-year cycle, (2) required to submit an annual capital plan to the FRB, (3) exempted from company-run capital stress testing requirements, (4) required to maintain a buffer of unencumbered highly liquid assets to meet projected net stressed cash outflows over a 30-day planning horizon, (5) exempted from the requirements of the LCR and the net stable funding ratio (provided that our average wSTWF continues to remain under $50 billion), and (6) exempted from the requirements of the supplementary leverage ratio, the countercyclical capital buffer, and single-counterparty credit limits. Even so, we are subject to rules enabling the FRB to conduct supervisory stress testing on a more or less frequent basis based on our financial condition, size, complexity, risk profile, scope of operations, or activities or based on risks to the U.S. economy. Further, we are subject to rules requiring the resubmission of our capital plan if we determine that there has been or will be a material change in our risk profile, financial condition, or corporate structure since we last submitted the capital plan or if the FRB determines that (a) our capital plan is incomplete or our capital plan or internal capital adequacy process contains material weaknesses, (b) there has been, or will likely be, a material change in our risk profile (including a material change in our business strategy or any risk exposure), financial condition, or corporate structure, or (c) the BHC stress scenario(s) are not appropriate for our business model and portfolios, or changes in the financial markets or the macroeconomic outlook that could have a material impact on our risk profile and financial condition require the use of updated scenarios. While a resubmission is pending, without prior approval of the FRB, we would generally be prohibited from paying dividends, repurchasing our common stock, or making other capital distributions. In addition, to satisfy the FRB in its review of our capital plan, we may be required to further cease or limit these capital distributions or to issue capital instruments that could be dilutive to stockholders. The FRB also may prevent us from maintaining or expanding lending or other business activities. Basel Capital Framework The FRB and other U.S. banking agencies have adopted risk-based and leverage capital rules that establish minimum capital-to-asset ratios for BHCs, like Ally, and depository institutions, like Ally Bank. The risk-based capital ratios are based on a banking organization’s RWAs, which are generally determined under the standardized approach applicable to Ally and Ally Bank by (1) assigning on-balance-sheet exposures to broad risk-weight categories according to the counterparty or, if relevant, the guarantor or collateral (with higher risk weights assigned to categories of exposures perceived as representing greater risk), and (2) multiplying off-balance-sheet exposures by specified credit conversion factors to calculate credit equivalent amounts and assigning those credit equivalent amounts to the relevant risk-weight categories. The leverage ratio, in contrast, is based on an institution’s average unweighted on-balance-sheet exposures. Under U.S. Basel III, Ally and Ally Bank must maintain a minimum Common Equity Tier 1 risk-based capital ratio of 4.5%, a minimum Tier 1 risk-based capital ratio of 6%, and a minimum total risk-based capital ratio of 8%. On top of the minimum risk-based capital ratios, Ally and Ally Bank are subject to a capital conservation buffer requirement, which must be satisfied entirely with capital that qualifies as Common Equity Tier 1 capital. Failure to maintain more than the full amount of the capital conservation buffer requirement would result in automatic restrictions on the ability of Ally and Ally Bank to make capital distributions, including dividend payments and stock repurchases and redemptions, and to pay discretionary bonuses to executive officers. U.S. Basel III also subjects Ally and Ally Bank to a minimum Tier 1 leverage ratio of 4%. While the capital conservation buffer requirement for Ally Bank is fixed at 2.5% of RWAs, the capital conservation buffer requirement for a Category IV firm like Ally is equal to its stress capital buffer requirement. The stress capital buffer requirement for Ally, in turn, is the greater of 2.5% and the result of the following calculation: (1) the difference between Ally’s starting and minimum projected Common Equity Tier 1 capital ratios under the severely adverse scenario in the supervisory stress test, plus (2) the sum of the dollar amount of Ally’s planned common stock dividends for each of the fourth through seventh quarters of its nine-quarter capital planning horizon, as a percentage of RWAs. As of December 31, 2022, the stress capital buffer requirement for Ally is 2.5%. Ally and Ally Bank are subject to the U.S. Basel III standardized approach for counterparty credit risk but not to the U.S. Basel III advanced approaches for credit risk or operational risk. Ally is also not subject to the U.S. market-risk capital rule, which applies only to banking organizations with significant trading assets and liabilities. Failure to satisfy regulatory-capital requirements could result in significant sanctions—such as bars or other limits on capital distributions and discretionary bonuses to executive officers, limitations on acquisitions and new activities, restrictions on our acceptance of brokered deposits, a loss of our status as an FHC, or informal or formal enforcement and other supervisory actions—and could have a significant adverse effect on the Consolidated Financial Statements or the business, results of operations, financial condition, or prospects of Ally and Ally Bank. The risk-based capital ratios and the Tier 1 leverage ratio play a central role in PCA, which is an enforcement framework used by the U.S. banking agencies to constrain the activities of depository institutions based on their levels of regulatory capital. Five categories have been established using thresholds for the Common Equity Tier 1 risk-based capital ratio, the Tier 1 risk-based capital ratio, the total risk-based capital ratio, and the Tier 1 leverage ratio: well capitalized, adequately capitalized, undercapitalized, significantly undercapitalized, and critically undercapitalized. FDICIA generally prohibits a depository institution from making any capital distribution, including any payment of a cash dividend or a management fee to its BHC, if the depository institution would become undercapitalized after the distribution. An undercapitalized institution is also subject to growth limitations and must submit and fulfill a capital restoration plan. Although BHCs are not subject to the PCA framework, the FRB is empowered to compel a BHC to take measures—such as the execution of financial or performance guarantees—when PCA is required in connection with one of its depository-institution subsidiaries. At both December 31, 2022, and December 31, 2021, Ally Bank met the capital ratios required to be well capitalized under the PCA framework. Under FDICIA and the PCA framework, insured depository institutions such as Ally Bank must be well capitalized or, with a waiver from the FDIC, adequately capitalized in order to accept brokered deposits, and even adequately capitalized institutions are subject to some restrictions on the rates they may offer for brokered deposits. Brokered deposits totaled $12.6 billion at December 31, 2022, which represented 8.3% of Ally Bank’s total deposits. The following table summarizes our capital ratios under U.S. Basel III. December 31, 2022 December 31, 2021 Required minimum (a) Well-capitalized minimum ($ in millions) Amount Ratio Amount Ratio Capital ratios Common Equity Tier 1 (to risk-weighted assets) Ally Financial Inc. $ 14,592 9.27 % $ 15,143 10.34 % 4.50 % (b) Ally Bank 17,011 11.38 17,253 12.39 4.50 6.50 % Tier 1 (to risk-weighted assets) Ally Financial Inc. $ 16,867 10.72 % $ 17,403 11.89 % 6.00 % 6.00 % Ally Bank 17,011 11.38 17,253 12.39 6.00 8.00 Total (to risk-weighted assets) Ally Financial Inc. $ 19,209 12.21 % $ 19,724 13.47 % 8.00 % 10.00 % Ally Bank 18,888 12.64 18,995 13.64 8.00 10.00 Tier 1 leverage (to adjusted quarterly average assets) (c) Ally Financial Inc. $ 16,867 8.65 % $ 17,403 9.67 % 4.00 % (b) Ally Bank 17,011 9.23 17,253 10.12 4.00 5.00 % (a) In addition to the minimum risk-based capital requirements for the Common Equity Tier 1 capital, Tier 1 capital, and total capital ratios, Ally was required to maintain a minimum capital conservation buffer of 2.5% and 3.5% at December 31, 2022, and December 31, 2021, respectively, and Ally Bank was required to maintain a minimum capital conservation buffer of 2.5% at both December 31, 2022, and December 31, 2021. (b) Currently, there is no ratio component for determining whether a BHC is “well-capitalized.” (c) Federal regulatory reporting guidelines require the calculation of adjusted quarterly average assets using a daily average methodology. On January 1, 2020, we adopted CECL. Refer to Note 1 for additional information about our allowance for loan losses accounting policy. Under a rule finalized by the FRB and other U.S. banking agencies in 2020, we delayed recognizing the estimated impact of CECL on regulatory capital until after a two-year deferral period, which for us extended through December 31, 2021. Beginning on January 1, 2022, we were required to phase in 25% of the previously deferred estimated capital impact of CECL, with an additional 25% to be phased in at the beginning of each subsequent year until fully phased in by the first quarter of 2025. The estimated impact of CECL on regulatory capital that we deferred and began phasing in on January 1, 2022, is generally calculated as the entire day-one impact at adoption plus 25% of the subsequent change in allowance during the two-year deferral period. As of December 31, 2022, the total deferred impact on Common Equity Tier 1 capital related to our adoption of CECL was $887 million. In December 2017, the Basel Committee approved revisions to the global Basel III capital framework (commonly known as the Basel III endgame or as Basel IV), many of which—if adopted in the United States—could heighten regulatory capital standards. While these revisions were planned for implementation by member countries by January 1, 2023, the U.S. banking agencies have yet to propose rules to do so. At this time, how the revisions will be harmonized and finalized in the United States remains unclear. Capital Planning and Stress Tests Under the Tailoring Rules, we are generally subject to supervisory stress testing on a two-year cycle and exempted from mandated company-run capital stress testing requirements. We are also required to submit an annual capital plan to the FRB. Our annual capital plan must include an assessment of our expected uses and sources of capital and a description of all planned capital actions over a nine-quarter planning horizon, including any issuance of a debt or equity capital instrument, any dividend or other capital distribution, and any similar action that the FRB determines could have an impact on our capital. The plan must also include a detailed description of our process for assessing capital adequacy, including a discussion of how we, under expected and stressful conditions, will maintain capital commensurate with our risks and above the minimum regulatory capital ratios, will serve as a source of strength to Ally Bank, and will maintain sufficient capital to continue our operations by maintaining ready access to funding, meeting our obligations to creditors and other counterparties, and continuing to serve as a credit intermediary. The Tailoring Rules align capital planning, supervisory stress testing, and stress capital buffer requirements for large banking organizations like Ally. As a Category IV firm, Ally is expected to have the ability to elect to participate in the supervisory stress test—and receive a correspondingly updated stress capital buffer requirement—in a year in which Ally would not generally be subject to the supervisory stress test. Refer to the section titled Basel Capital Framework above for further discussion about our stress capital buffer requirements. During a year in which Ally does not undergo a supervisory stress test, we would receive an updated stress capital buffer requirement only to reflect our updated planned common-stock dividends. Ally did not elect to participate in the 2021 or 2023 supervisory stress test but was subject to the 2022 supervisory stress test. We submitted our 2021 capital plan on April 5, 2021, which included planned capital distributions to common stockholders through share repurchases and cash dividends and other capital actions over the nine-quarter planning horizon. On January 11, 2021, our Board authorized a stock-repurchase program, permitting us to repurchase up to $1.6 billion of our common stock from time to time from the first quarter of 2021 through the fourth quarter of 2021 subject to restrictions imposed by the FRB. On July 12, 2021, our Board authorized an increase in the maximum amount of this stock-repurchase program, from $1.6 billion to $2.0 billion. During the second quarter of 2021, we issued $1.35 billion of Series B Preferred Stock and $1.0 billion of Series C Preferred Stock, both of which qualify as additional Tier 1 capital under U.S. Basel III. The proceeds from these issuances were used to redeem a portion of the Series 2 TRUPS then outstanding. Refer to Note 17 for additional details about these instruments and capital actions. In June 2021, we submitted an updated capital plan to the FRB reflecting these capital actions and increases in our stock-repurchase program and common-stock dividend. This updated capital plan was used by the FRB to recalculate Ally’s final stress capital buffer requirement, which was announced in August 2021 and remained unchanged at 3.5%. We submitted our 2022 capital plan to the FRB on April 5, 2022. Ally received an updated preliminary stress capital buffer requirement from the FRB in June 2022, which was determined to be 2.5%. The updated 2.5% stress capital buffer requirement was finalized in August 2022 and became effective on October 1, 2022. On January 10, 2022, our Board authorized a stock-repurchase program, permitting us to repurchase up to $2.0 billion of our common stock from time to time from the first quarter of 2022 through the fourth quarter of 2022 subject to restrictions imposed by the FRB, and an increase in our cash dividend on common stock from $0.25 per share for the fourth quarter of 2021 to $0.30 per share for the first quarter of 2022. During the year ended December 31, 2022, we repurchased $1.65 billion of common stock under our stock-repurchase program. Since the commencement of our initial stock-repurchase program in the third quarter of 2016, we have reduced the number of outstanding shares of our common stock by 38%, from 484 million as of June 30, 2016, to 299 million as of December 31, 2022. Our ability to make capital distributions, including our ability to pay dividends or repurchase shares of our common stock, will continue to be subject to the FRB’s review and our internal governance requirements, including approval by our Board. The amount and size of any future dividends and share repurchases also will be subject to various factors, including Ally’s capital and liquidity positions, accounting and regulatory considerations (including any restrictions that may be imposed by the FRB), the taxation of share repurchases, financial and operational performance, alternative uses of capital, common-stock price, and general market conditions, and may be extended, modified, or discontinued at any time. The following table presents information related to our common stock and distributions to our common stockholders. Common stock repurchased during period (a) Number of common shares outstanding Cash dividends declared per common share (b) ($ in millions, except per share data; shares in thousands) Approximate dollar value Number of shares Beginning of period End of period 2021 First quarter $ 219 5,276 374,674 371,805 $ 0.19 Second quarter 502 9,641 371,805 362,639 0.19 Third quarter 679 13,055 362,639 349,599 0.25 Fourth quarter 594 12,046 349,599 337,941 0.25 2022 First quarter $ 584 12,548 337,941 327,306 $ 0.30 Second quarter 600 15,031 327,306 312,781 0.30 Third quarter 415 12,468 312,781 300,335 0.30 Fourth quarter 51 1,731 300,335 299,324 0.30 (a) Includes shares of common stock withheld to cover income taxes owed by participants in our share-based incentive plans. (b) On January 17, 2023, our Board declared a quarterly cash dividend of $0.30 per share on all common stock, payable on February 15, 2023, to stockholders of record at the close of business on February 1, 2023. Refer to Note 30 for further information regarding this common-stock dividend. Depository Institutions Ally Bank is a member of the Federal Reserve System and is subject to regulation, supervision, and examination by the FRB, the UDFI, the FDIC, and the CFPB. Ally Bank is an insured depository institution and, as such, is required to file periodic reports with the FDIC about its financial condition. Total assets of Ally Bank were $181.9 billion and $172.8 billion at December 31, 2022, and 2021, respectively. Federal and Utah law place a number of conditions, limits, and other restrictions on dividends and other capital distributions that may be paid by Ally Bank to IB Finance and thus indirectly to Ally. Dividends or other distributions made by Ally Bank indirectly to Ally were $3.2 billion and $3.5 billion in 2022 and 2021, respectively. Under rules of the FDIC, Ally Bank is required to periodically submit to the FDIC a resolution plan (commonly known as a living will) that would enable the FDIC, as receiver, to resolve Ally Bank in the event of its insolvency under the FDI Act in a manner that ensures that depositors receive access to their insured deposits within one business day of Ally Bank’s failure (two business days if the failure occurs on a day other than Friday), maximizes the net present value return from the sale or disposition of its assets, and minimizes the amount of any loss realized by creditors in the resolution. In June 2021, the FDIC issued a Statement on Resolution Plans for Insured Depository Institutions, which in part establishes a three-year filing cycle for banks with $100 billion or more in total assets like Ally Bank. Ally Bank submitted its most recent resolution plan on December 1, 2022, which is now under review by the FDIC for a period of up to 12 months. Insurance Companies Some of our insurance operations—including in the United States, Canada, and Bermuda—are subject to certain minimum aggregate capital requirements, net asset and dividend restrictions, and rules and regulations promulgated by various U.S. and foreign regulatory agencies. Under state and foreign insurance laws, dividend distributions may be made only from statutory unassigned surplus with approvals required from applicable regulatory authorities for dividends in excess of statutory limitations. At December 31, 2022, the maximum dividend that could be paid by the U.S. insurance subsidiaries over the next 12 months without prior statutory approval was $101 million. |
Derivative Instruments and Hedg
Derivative Instruments and Hedging Activities | 12 Months Ended |
Dec. 31, 2022 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Derivative Instruments and Hedging Activities | Derivative Instruments and Hedging Activities We enter into derivative instruments, which may include interest rate swaps, foreign-currency forwards, equity options, and interest rate options in connection with our risk-management activities. Our primary objective for using derivative financial instruments is to manage interest rate risk associated with our fixed-rate and variable-rate assets and liabilities, foreign exchange risks related to our net investments in foreign subsidiaries, as well as foreign-currency denominated assets and liabilities, and other market risks related to our investment portfolio. Interest Rate Risk We monitor our mix of fixed-rate and variable-rate assets and liabilities and may enter into interest rate swaps, forwards, and options to achieve our desired mix of fixed-rate and variable-rate assets and liabilities. We execute these trades to modify our exposure to interest rate risk by converting certain fixed-rate instruments to a variable-rate and certain variable-rate instruments to a fixed-rate. We use a mix of both derivatives that qualify for hedge accounting treatment and economic hedges that do not qualify for hedge accounting treatment. Derivatives qualifying for hedge accounting treatment can include receive-fixed swaps designated as fair value hedges of specific fixed-rate unsecured debt obligations, receive-fixed swaps designated as fair value hedges of specific fixed-rate FHLB advances, pay-fixed swaps designated as fair value hedges of securities within our available-for-sale portfolio, and pay-fixed swaps designated as fair value hedges of fixed-rate held-for-investment consumer automotive loan assets. Other derivatives qualifying for hedge accounting consist of interest rate floor contracts designated as cash flow hedges of the expected future cash flows in the form of interest receipts on a portion of our dealer floorplan commercial loans, as well as pay-fixed swaps designated as cash flow hedges of the expected future cash flows in the form of interest payments on deposit liabilities and other forecasted transactions. We execute economic hedges, which may consist of interest rate swaps, interest rate caps, forwards, and options to mitigate interest rate risk. We also enter into interest rate lock commitments and forward commitments that are executed as part of our mortgage business that meet the accounting definition of a derivative. Foreign Exchange Risk We enter into derivative financial instrument contracts to mitigate the risk associated with variability in cash flows related to our various foreign-currency exposures. We enter into foreign-currency forwards with external counterparties as net investment hedges of foreign exchange exposure on our investment in foreign subsidiaries. Our equity is impacted by the cumulative translation adjustments resulting from the translation of foreign subsidiary results; this impact is reflected in our accumulated other comprehensive income. We also periodically enter into foreign-currency forwards to economically hedge any foreign-denominated debt, centralized lending, and foreign-denominated third-party loans. These foreign-currency forwards that are used as economic hedges are recorded at fair value with changes recorded as income or expense offsetting the gains and losses on the associated foreign-currency transactions. Investment Risk We enter into equity options to mitigate the risk associated with our exposure to the equity markets. Credit Risk We enter into various retail automotive-loan purchase agreements with certain counterparties. As part of those agreements, we may withhold a portion of the purchase price from the counterparty and be required to pay the counterparty all or part of the amount withheld at agreed upon measurement dates and determinable amounts if actual credit performance of the acquired loans on the measurement date is better than or equal to what was estimated at the time of acquisition. Based upon these terms, these contracts meet the accounting definition of a derivative. Counterparty Credit Risk Derivative financial instruments contain an element of credit risk if counterparties are unable to meet the terms of the agreements. Credit risk associated with derivative financial instruments is measured as the net replacement cost should the counterparties that owe us under the contract completely fail to perform under the terms of those contracts, assuming no recoveries of underlying collateral as measured by the market value of the derivative financial instrument. We manage our risk to financial counterparties through internal credit analysis, limits, and monitoring. Additionally, derivatives and repurchase agreements are entered into with approved counterparties using industry standard agreements. We execute certain OTC derivatives, such as interest rate caps and floors, using bilateral agreements with financial counterparties. Bilateral agreements generally require both parties to post collateral in the event the fair values of the derivative financial instruments meet posting thresholds established under the agreements. If either party defaults on the obligation, the secured party may seize the collateral. Payments related to the exchange of collateral for OTC derivatives are recognized as collateral. We also execute certain derivatives, such as interest rate swaps, with clearinghouses, which requires us to post and receive collateral. For these clearinghouse derivatives, these payments are recognized as settlements rather than collateral. Certain derivative instruments contain provisions that require us to either post additional collateral or immediately settle any outstanding liability balances upon the occurrence of a specified credit-risk-related event. No such specified credit-risk-related events occurred during the years ended December 31, 2022, 2021, or 2020. We placed cash and noncash collateral totaling $2 million and $384 million, respectively, supporting our derivative positions at December 31, 2022, compared to $2 million and $203 million of cash and noncash collateral at December 31, 2021, in accounts maintained by counterparties. These amounts include noncash collateral placed at clearinghouses and exclude cash and noncash collateral pledged under repurchase agreements. The receivables for cash collateral placed are included on our Consolidated Balance Sheet in other assets. We granted our counterparties the right to sell or pledge the noncash collateral. We received cash collateral from counterparties totaling $23 million and $4 million in accounts maintained by counterparties at December 31, 2022, and 2021, respectively. These amounts exclude cash and noncash collateral pledged under repurchase agreements. The payables for cash collateral received are included on our Consolidated Balance Sheet in accrued expenses and other liabilities. Balance Sheet Presentation The following table summarizes the amounts of derivative instruments reported on our Consolidated Balance Sheet. The amounts are presented on a gross basis, are segregated by derivatives that are designated and qualifying as hedging instruments or those that are not, and are further segregated by type of contract within those two categories. Derivative contracts in a receivable and payable position exclude open trade equity on derivatives cleared through central clearing counterparties. Any associated margin exchanged with our central clearing counterparties are treated as settlements of the derivative exposure, rather than collateral. Such payments are recognized as settlements of the derivatives contracts in a receivable and payable position on our Consolidated Balance Sheet. Notional amounts are reference amounts from which contractual obligations are derived and are not recorded on the balance sheet. In our view, derivative notional is not an accurate measure of our derivative exposure when viewed in isolation from other factors, such as market rate fluctuations and counterparty credit risk. 2022 2021 Derivative contracts in a Notional amount Derivative contracts in a Notional amount December 31, ($ in millions) receivable position payable position receivable position payable position Derivatives designated as accounting hedges Interest rate contracts Swaps $ — $ — $ 30,619 $ — $ — $ 17,039 Purchased options 22 — 2,800 — — — Foreign exchange contracts Forwards — 1 151 — 2 171 Total derivatives designated as accounting hedges 22 1 33,570 — 2 17,210 Derivatives not designated as accounting hedges Interest rate contracts Futures and forwards — — 37 1 — 223 Written options — — 79 5 2 580 Total interest rate risk — — 116 6 2 803 Foreign exchange contracts Futures and forwards — 1 147 — 1 154 Total foreign exchange risk — 1 147 — 1 154 Credit contracts (a) Other credit derivatives — 39 n/a — 56 n/a Total credit risk — 39 n/a — 56 n/a Equity contracts Written options — 1 — — 1 2 Purchased options 1 — — 1 — — Total equity risk 1 1 — 1 1 2 Total derivatives not designated as accounting hedges 1 41 263 7 60 959 Total derivatives $ 23 $ 42 $ 33,833 $ 7 $ 62 $ 18,169 n/a = not applicable (a) The maximum potential amount of undiscounted future payments that could be required under these credit derivatives was $82 million and $119 million as of December 31, 2022, and December 31, 2021, respectively. The following table presents amounts recorded on our Consolidated Balance Sheet related to cumulative basis adjustments for fair value hedges. December 31, ($ in millions) Carrying amount of the hedged items Cumulative amount of fair value hedging adjustment included in the carrying amount of the hedged items Total Discontinued (a) 2022 2021 2022 2021 2022 2021 Assets Available-for-sale securities (b) $ 11,265 $ 5,119 $ (180) $ (14) $ (181) $ (30) Finance receivables and loans, net (c) 46,390 44,098 (617) (37) (57) 46 Liabilities Long-term debt $ 7,697 $ 7,213 $ 112 $ 110 $ 120 $ 110 (a) Represents the fair value hedging adjustment on qualifying hedges for which the hedging relationship was discontinued. This represents a subset of the amounts reported in the total hedging adjustment. (b) These amounts include the amortized cost basis and unallocated basis adjustments of closed portfolios of available-for-sale securities used to designate hedging relationships in which the hedged item is the stated amount of assets in the closed portfolios anticipated to be outstanding for the designated hedge period. At December 31, 2022, and December 31, 2021, the amortized cost basis and unallocated basis adjustments of the closed portfolios used in these hedging relationships was $10.0 billion and $3.9 billion, respectively, of which $9.7 billion and $1.6 billion, respectively, represents the amortized cost basis and unallocated basis adjustments of closed portfolios designated in an active hedge relationship. At December 31, 2022, and December 31, 2021, the total cumulative basis adjustments associated with these hedging relationships was a $135 million liability and a $6 million liability, respectively, of which the portion related to discontinued hedging relationships was a $138 million liability and a $20 million liability, respectively. At December 31, 2022, and December 31, 2021, the notional amounts of the designated hedged items were $4.0 billion and $1.2 billion, respectively, with cumulative basis adjustments of a $3 million asset and a $14 million asset, respectively, which would be allocated across the entire remaining closed pool upon termination or maturity of the hedge relationship. Refer to Note 8 for a reconciliation of the amortized cost and fair value of available-for-sale securities. (c) These amounts include the carrying value of closed portfolios of loan receivables used to designate hedging relationships in which the hedged item is the stated amount of assets in the closed portfolios anticipated to be outstanding for the designated hedge period. At December 31, 2022, and December 31, 2021, the carrying value of the closed portfolios used in these hedging relationships was $46.4 billion and $44.1 billion, respectively, of which $46.1 billion and $43.5 billion, respectively, represents the carrying value of closed portfolios designated in an active hedge relationship. At December 31, 2022, and December 31, 2021, the total cumulative basis adjustments associated with these hedging relationships was a $617 million liability and a $37 million liability, respectively, of which the portion related to discontinued hedging relationships was a $57 million liability and a $46 million asset, respectively. At December 31, 2022, and December 31, 2021, the notional amounts of the designated hedged items were $22.8 billion and $15.6 billion, respectively, with cumulative basis adjustments of a $560 million liability and an $82 million liability, respectively, which would be allocated across the entire remaining closed pool upon termination or maturity of the hedge relationship. Statement of Income Presentation The following table summarizes the location and amounts of gains and losses on derivative instruments not designated as accounting hedges reported in our Consolidated Statement of Income. Year ended December 31 , ($ in millions) 2022 2021 2020 Gain (loss) recognized in earnings Interest rate contracts Gain (loss) on mortgage and automotive loans, net $ 14 $ (12) $ (10) Other income, net of losses 8 8 (19) Total interest rate contracts 22 (4) (29) Foreign exchange contracts Other operating expenses 8 (1) (7) Total foreign exchange contracts 8 (1) (7) Credit contracts Interest and fees on finance receivables and loans — — (4) Other income, net of losses (2) (24) (1) Total credit contracts (2) (24) (5) Total gain (loss) recognized in earnings $ 28 $ (29) $ (41) The following table summarizes the location and amounts of gains and losses on derivative instruments designated as qualifying fair value and cash flow hedges reported in our Consolidated Statement of Income. Interest and fees on finance receivables and loans Interest and dividends on investment securities and other earning assets Interest on deposits Interest on long-term debt Year ended December 31, ($ in millions) 2022 2021 2020 2022 2021 2020 2022 2021 2020 2022 2021 2020 Gain (loss) on fair value hedging relationships Interest rate contracts Hedged fixed-rate unsecured debt $ — $ — $ — $ — $ — $ — $ — $ — $ — $ 1 $ 68 $ (135) Derivatives designated as hedging instruments on fixed-rate unsecured debt — — — — — — — — — (1) (68) 135 Hedged fixed-rate FHLB advances — — — — — — — — — (5) — — Derivatives designated as hedging instruments on fixed-rate FHLB advances — — — — — — — — — 5 — — Hedged available-for-sale securities — — — (185) (40) 38 — — — — — — Derivatives designated as hedging instruments on available-for-sale securities — — — 185 40 (38) — — — — — — Hedged fixed-rate consumer automotive loans (599) (215) 139 — — — — — — — — — Derivatives designated as hedging instruments on fixed-rate consumer automotive loans 599 215 (139) — — — — — — — — — Total gain on fair value hedging relationships — — — — — — — — — — — — Gain (loss) on cash flow hedging relationships Interest rate contracts Hedged deposit liabilities Reclassified from accumulated other comprehensive income into income — — — — — — — (1) (8) — — — Hedged variable-rate commercial loans Reclassified from accumulated other comprehensive income into income 21 58 73 — — — — — — — — — Reclassified from accumulated other comprehensive income into income as a result of a forecasted transaction being probable not to occur — 4 — — — — — — — — — — Other hedged forecasted transactions Reclassified from accumulated other comprehensive income into income — — — — — — — — — (1) — — Total gain (loss) on cash flow hedging relationships $ 21 $ 62 $ 73 $ — $ — $ — $ — $ (1) $ (8) $ (1) $ — $ — Total amounts presented in the Consolidated Statement of Income $ 8,099 $ 6,468 $ 6,581 $ 841 $ 600 $ 736 $ 1,987 $ 1,045 $ 1,952 $ 763 $ 860 $ 1,249 During the next 12 months, we estimate $14 million of gains will be reclassified into pretax earnings from derivatives designated as cash flow hedges. The following table summarizes the location and amounts of gains and losses related to interest and amortization on derivative instruments designated as qualifying fair value and cash flow hedges reported in our Consolidated Statement of Income. Interest and fees on finance receivables and loans Interest and dividends on investment securities and other earning assets Interest on long-term debt Year ended December 31, ($ in millions) 2022 2021 2020 2022 2021 2020 2022 2021 2020 Gain (loss) on fair value hedging relationships Interest rate contracts Amortization of deferred unsecured debt basis adjustments $ — $ — $ — $ — $ — $ — $ 5 $ 4 $ 12 Interest for qualifying accounting hedges of unsecured debt — — — — — — 1 5 — Amortization of deferred secured debt basis adjustments (FHLB advances) — — — — — — (3) (13) (22) Amortization of deferred basis adjustments of available-for-sale securities — — — 17 (4) (7) — — — Interest for qualifying accounting hedges of available-for-sale securities — — — (1) (6) (6) — — — Amortization of deferred loan basis adjustments 18 (46) (49) — — — — — — Interest for qualifying accounting hedges of consumer automotive loans held for investment 129 (122) (121) — — — — — — Total gain (loss) on fair value hedging relationships $ 147 $ (168) $ (170) $ 16 $ (10) $ (13) $ 3 $ (4) $ (10) Gain on cash flow hedging relationships Interest rate contracts Interest for qualifying accounting hedges of variable-rate commercial loans $ — $ — $ 1 $ — $ — $ — $ — $ — $ — Total gain on cash flow hedging relationships $ — $ — $ 1 $ — $ — $ — $ — $ — $ — The following table summarizes the effect of cash flow hedges on accumulated other comprehensive loss. Year ended December 31 , ($ in millions) 2022 2021 2020 Interest rate contracts (Loss) gain recognized in other comprehensive loss $ (23) $ (61) $ 105 The following table summarizes the effect of net investment hedges on accumulated other comprehensive loss. Year ended December 31, ($ in millions) 2022 2021 2020 Foreign exchange contracts (a) (b) Gain (loss) recognized in other comprehensive loss $ 8 $ — $ (4) (a) There were no amounts excluded from effectiveness testing for the years ended December 31, 2022, 2021, or 2020. (b) Gains and losses reclassified from accumulated other comprehensive loss are reported as other income, net of losses, in the Consolidated Statement of Income. There were no amounts reclassified for the years ended December 31, 2022, 2021, or 2020. |
Income Taxes
Income Taxes | 12 Months Ended |
Dec. 31, 2022 | |
Income Tax Disclosure [Abstract] | |
Income Taxes | Income Taxes The significant components of income tax expense from continuing operations were as follows. Year ended December 31, ($ in millions) 2022 2021 2020 Current income tax expense U.S. federal $ 1 $ 502 $ — Foreign 3 4 6 State and local 9 168 80 Total current expense 13 674 86 Deferred income tax expense (benefit) U.S. federal 493 151 280 Foreign (1) — 1 State and local 61 (35) (39) Total deferred expense 553 116 242 Other tax expense (a) 61 — — Total income tax expense from continuing operations $ 627 $ 790 $ 328 (a) Represents the realization of stranded tax amounts, under the portfolio method, connected to our qualified defined benefit pension plan that was settled during the year ended December 31, 2022. These stranded tax amounts had accumulated in other comprehensive loss over time. Refer to Note 18 for additional information. A reconciliation of income tax expense from continuing operations with the amounts at the statutory U.S. federal income tax rate is shown in the following table. Year ended December 31, ($ in millions) 2022 2021 2020 Statutory U.S. federal tax expense $ 492 $ 810 $ 297 Change in tax resulting from State and local income taxes, net of federal income tax benefit 77 106 36 Tax credits, excluding expirations (73) (58) (29) Settlement of qualified defined benefit pension plan 61 — — Valuation allowance change, excluding expirations 54 (78) (3) Nondeductible expenses 31 30 37 Other, net (15) (20) (10) Total income tax expense from continuing operations $ 627 $ 790 $ 328 For the year ended December 31, 2022, consolidated income tax expense from continuing operations was largely driven by pretax earnings, the settlement of our qualified defined benefit pension plan, and an increase of the valuation allowance on foreign tax credit carryforwards, partially offset by an income tax benefit related to various tax credits. The increase in the valuation allowance was primarily driven by a reduction in forecasted foreign-sourced income caused by revised estimates from certain previously executed and forecasted securitization transactions. During 2022, we lowered our income tax benefit from these securitization transactions due to the recharacterization of certain income that was previously foreign-sourced income as domestically sourced and higher interest expense assumptions. For the year ended December 31, 2021, consolidated income tax expense from continuing operations was largely driven by pretax earnings for the year, partially offset by an income tax benefit from the release of valuation allowance on foreign tax credit carryforwards during the second quarter of 2021. The release of valuation allowance was primarily driven by an increase in forecasted foreign-sourced income related to our capacity to engage in certain securitization transactions and the market demand from investors related to these transactions, coupled with the anticipated timing of the forecasted expiration of foreign tax credit carryforwards, resulting in a nonrecurring tax benefit. For the year ended December 31, 2020, consolidated income tax expense from continuing operations was largely driven by pretax earnings for the year. The significant components of deferred tax assets and liabilities are reflected in the following table. December 31, ($ in millions) 2022 2021 Deferred tax assets Adjustments to available-for-sale securities, equity securities, and hedging transactions (a) $ 1,095 $ 124 Tax credit carryforwards 960 1,014 Adjustments to loan value 822 920 U.S. federal tax loss carryforwards (b) 428 256 State and local taxes 310 233 Other 470 480 Gross deferred tax assets 4,085 3,027 Valuation allowance (c) (644) (839) Deferred tax assets, net of valuation allowance 3,441 2,188 Deferred tax liabilities Lease transactions 1,831 1,385 Deferred acquisition costs 394 403 Other 145 156 Gross deferred tax liabilities 2,370 1,944 Net deferred tax assets (d) $ 1,071 $ 244 (a) Amounts primarily include $1.0 billion and $104 million of deferred tax assets related to available-for-sale securities at December 31, 2022, and 2021, respectively. (b) Primarily the result of a 100% bonus depreciation election for 2022 and 2021 operating lease originations. (c) The valuation allowance decreased $195 million to $644 million at December 31, 2022, as a result of a $249 million reduction related to the expiration of foreign tax credit carryforwards, partially offset by an increase of $54 million predominantly related to a reduction in forecasted foreign-sourced income. (d) Amounts include $1.1 billion and $254 million of net deferred tax assets included in other assets on our Consolidated Balance Sheet for tax jurisdictions in a total net deferred tax asset position, and $16 million and $10 million included in accrued expenses and other liabilities on our Consolidated Balance Sheet for tax jurisdictions in a total net deferred tax liability position at December 31, 2022, and 2021, respectively. As of each reporting date, we consider existing evidence, both positive and negative, that could impact our view with regard to future realization of deferred tax assets. We continue to believe it is more likely than not that the benefit for certain foreign tax credit carryforwards and state net operating loss carryforwards will not be realized. In recognition of this risk, we continue to provide a partial valuation allowance on the deferred tax assets relating to these carryforwards and it is reasonably possible that the valuation allowance may change in the next 12 months. The following table summarizes net deferred tax assets including related valuation allowances at December 31, 2022. ($ in millions) Deferred tax asset Valuation allowance Net deferred tax asset Years of expiration Tax credit carryforwards Foreign tax credits $ 765 $ (517) $ 248 2023–2032 General business credits $ 195 $ — $ 195 2023–2042 Total tax credit carryforwards 960 (517) 443 Tax loss carryforwards Net operating losses — federal 428 — 428 2027–Indefinite Net operating losses — state 166 (a) (127) 39 2023–Indefinite Total U.S. federal and state tax loss carryforwards 594 (127) 467 Other net deferred tax assets 161 — 161 n/a Net deferred tax assets (liabilities) $ 1,715 $ (644) $ 1,071 n/a = not applicable (a) State net operating loss carryforwards are included in the state and local taxes and other liabilities totals disclosed in our deferred inventory table above. As of December 31, 2022, we have recognized negligible deferred tax liabilities for incremental U.S. federal taxes that stem from temporary differences related to investment in foreign subsidiaries or corporate joint ventures as there is no assertion of indefinite reinvestment outside of the United States. The following table provides a reconciliation of the beginning and ending amount of unrecognized tax benefits. ($ in millions) 2022 2021 2020 Balance at January 1, $ 53 $ 53 $ 48 Additions based on tax positions related to the current year — — — Additions for tax positions of prior years 2 7 5 Reductions for tax positions of prior years (2) (7) — Settlements (7) — — Expiration of statute of limitations — — — Balance at December 31, $ 46 $ 53 $ 53 Included in the unrecognized tax benefits balances are some items, the recognition of which would not affect the effective tax rate, such as the tax effect of certain temporary differences and the portion of gross state unrecognized tax benefits that would be offset by the tax benefit of the associated U.S. federal deduction. The balance of unrecognized tax benefits that, if recognized, would affect our effective tax rate is $36 million for the year ended December 31, 2022, and $42 million for both of the years ended December 31, 2021, and 2020. We recognize accrued interest and penalties related to uncertain income tax positions in interest expense and other operating expenses, respectively. For the year ended December 31, 2022, the cumulative accrued balance for interest and penalties was $3 million and penalties of $2 million were accrued during the year. For both of the years ended December 31, 2021, and 2020, the cumulative accrued balance for interest and penalties was $1 million or less and interest and penalties of less than $1 million were accrued each year. It is reasonably possible that the unrecognized tax benefits will decrease by up to $45 million over the next 12 months if certain tax matters ultimately settle with the applicable taxing jurisdictions. We file tax returns in the U.S. federal jurisdiction and various states and foreign jurisdictions. Our most significant operations are in the United States and Canada. The oldest tax years that remain subject to examination for those jurisdictions are 2019 and 2011, respectively. |
Share-based Compensation Plans
Share-based Compensation Plans | 12 Months Ended |
Dec. 31, 2022 | |
Share-Based Payment Arrangement [Abstract] | |
Share-based Compensation Plans | Share-based Compensation Plans Awards of equity-based compensation to our named executive officers and other employees are governed by the Company’s ICP, which was approved by the Company’s stockholders and amended and restated effective as of May 4, 2021. These awards primarily take the form of (1) stock-settled and cash-settled PSUs that vest in whole on the third anniversary of the grant date, subject to the achievement of applicable performance goals and continued employment through that time, and (2) stock-settled RSUs that vest one-third on each of the first, second, and third anniversaries of the grant date, in each case, subject to continued employment through that time. Other awards—such as those granted under our #OwnIt Annual Grant Program—may take the form of RSUs that vest in whole on the third anniversary of the grant date, subject to continued employment through that time. For PSUs and RSUs, any dividends declared over the vesting period are accumulated and paid at or after the time of settlement. All awards under the ICP are structured to align with the Company’s performance, prudent but not excessive risk-taking, long-term value creation for our stockholders, and other elements of our compensation philosophy. Awards also typically include provisions that address vesting and settlement in the case of a qualifying termination or retirement. The ICP is administered by the Compensation, Nominating, and Governance Committee of our Board. At December 31, 2022, we had approximately 39.8 million shares available for future grants of equity-based awards under the ICP. Equity-based awards that settle in Ally common stock are classified as equity awards under GAAP, and the cost of the awards is ratably charged to compensation and benefits expense in our Consolidated Statement of Income over their applicable service period based on the grant date fair value of Ally common stock. Equity-based awards that settle in cash are subject to liability accounting, with the expense adjusted to fair value based on changes in the share price of Ally common stock up to the settlement date. We had non-vested stock-settled and cash-settled PSUs and RSUs outstanding of approximately 5.1 million and 0.6 million, respectively, at December 31, 2022. We recognized expense related to PSUs and RSUs of $100 million, $140 million, and $80 million for the years ended December 31, 2022, 2021, and 2020, respectively. The following table presents the changes in outstanding non-vested PSUs and RSUs activity for share-settled awards during 2022. (in thousands, except per share data) Number of units Weighted-average grant date fair value per share RSUs and PSUs Outstanding non-vested at January 1, 2022 4,568 $ 36.27 Granted 3,130 45.50 Vested (2,136) 37.66 Forfeited (474) 42.03 Outstanding non-vested at December 31, 2022 5,088 40.83 |
Fair Value
Fair Value | 12 Months Ended |
Dec. 31, 2022 | |
Fair Value Disclosures [Abstract] | |
Fair Value | Fair Value Fair Value Measurements For purposes of this disclosure, fair value is defined as the exchange price that would be received to sell an asset or paid to transfer a liability (exit price) in the principal or most advantageous market in an orderly transaction between market participants at the measurement date under current market conditions. Fair value is based on the assumptions we believe market participants would use when pricing an asset or liability. Additionally, entities are required to consider all aspects of nonperformance risk, including the entity’s own credit standing, when measuring the fair value of a liability. U.S. GAAP specifies a three-level hierarchy that is used when measuring and disclosing fair value. The fair value hierarchy gives the highest priority to quoted prices available in active markets (i.e., observable inputs) and the lowest priority to data lacking transparency (i.e., unobservable inputs). An instrument’s categorization within the fair value hierarchy is based on the lowest level of significant input to its valuation. The following is a description of the three hierarchy levels. Level 1 Inputs are quoted prices in active markets for identical assets or liabilities at the measurement date. Additionally, the entity must have the ability to access the active market, and the quoted prices cannot be adjusted by the entity. Level 2 Inputs are other than quoted prices included in Level 1 that are observable for the asset or liability, either directly or indirectly. Level 2 inputs include quoted prices in active markets for similar assets or liabilities; quoted prices in inactive markets for identical or similar assets or liabilities; or inputs that are observable or can be corroborated by observable market data by correlation or other means for substantially the full term of the assets or liabilities. Level 3 Unobservable inputs are supported by little or no market activity. The unobservable inputs represent management’s best assumptions of how market participants would price the assets or liabilities. Generally, Level 3 assets and liabilities are valued using pricing models, discounted cash flow methodologies, or similar techniques that require significant judgment or estimation. Judgment is used in estimating inputs to our internal valuation models used to estimate our Level 3 fair value measurements. Level 3 inputs such as interest rate movements, prepayment speeds, credit losses, and discount rates are inherently difficult to estimate. Changes to these inputs can have a significant effect on fair value measurements and amounts that could be realized. The following are descriptions of the valuation methodologies used to measure material assets and liabilities at fair value and details of the valuation models, key inputs to those models, and significant assumptions utilized. • Equity securities — We hold various marketable equity securities measured at fair value with changes in fair value recognized in net income. Measurements based on observable market prices are classified as Level 1. • Available-for-sale securities — We carry our available-for-sale securities at fair value based on external pricing sources. We classify our securities as Level 1 when fair value is determined using quoted prices available for the same instruments trading in active markets. We classify our securities as Level 2 when fair value is determined using prices for similar instruments trading in active markets. We perform pricing validation procedures for our available-for-sale securities. • Derivative instruments — We enter into a variety of derivative financial instruments as part of our risk-management strategies. Certain of these derivatives are exchange traded, such as equity options. To determine the fair value of these instruments, we utilize the quoted market prices for those particular derivative contracts; therefore, we classified these contracts as Level 1. We also execute OTC and centrally cleared derivative contracts, such as interest rate swaps, foreign-currency denominated forward contracts, caps, floors, and agency to-be-announced securities. We utilize third-party-developed valuation models that are widely accepted in the market to value these derivative contracts. The specific terms of the contract and market observable inputs (such as interest rate forward curves, interpolated volatility assumptions, or equity pricing) are used in the model. We classified these derivative contracts as Level 2 because all significant inputs into these models were market observable. We also enter into interest rate lock commitments and forward commitments that are executed as part of our mortgage business, certain of which meet the accounting definition of a derivative and therefore are recorded as derivatives on our Consolidated Balance Sheet. Interest rate lock commitments are valued using internal pricing models with unobservable inputs, so they are classified as Level 3. We purchase automotive finance receivables and loans from third parties as part of forward flow arrangements and, from time-to-time, execute opportunistic ad-hoc bulk purchases. As part of those agreements, we may withhold a portion of the purchase price from the counterparty and be required to pay the counterparty all or part of the amount withheld at agreed upon measurement dates and determinable amounts if actual credit performance of the acquired loans on the measurement date is better than or equal to what was estimated at the time of acquisition. Because these contracts meet the accounting definition of a derivative, we recognize a liability at fair value for these deferred purchase price payments. The fair value of these liabilities is determined using a discounted cash flow method. To estimate cash flows, we utilize various significant assumptions, including market observable inputs (for example, forward interest rates) and internally developed inputs (for example, prepayment speeds, delinquency levels, and expected credit losses). These liabilities are valued using internal loss models with unobservable inputs, and are classified as Level 3. We are required to consider all aspects of nonperformance risk, including our own credit standing, when measuring fair value of derivative assets and liabilities. We reduce credit risk on the majority of our derivatives by entering into legally enforceable agreements that enable the posting and receiving of collateral associated with the fair value of our derivative positions on an ongoing basis. In the event that we do not enter into legally enforceable agreements that enable the posting and receiving of collateral, we will consider our credit risk in the valuation of derivative liabilities through a DVA and the credit risk of our counterparties in the valuation of derivative assets through a CVA, if warranted. When measuring these valuation adjustments, we generally use credit default swap spreads. Recurring Fair Value The following tables display the assets and liabilities measured at fair value on a recurring basis including financial instruments elected for the fair value option. We often economically hedge the fair value change of our assets or liabilities with derivatives and other financial instruments. The tables below display the hedges separately from the hedged items; therefore, they do not directly display the impact of our risk-management activities. Recurring fair value measurements December 31, 2022 ($ in millions) Level 1 Level 2 Level 3 Total Assets Investment securities Equity securities (a) (b) $ 642 $ — $ 1 $ 643 Available-for-sale securities Debt securities U.S. Treasury and federal agencies 2,016 — — 2,016 U.S. States and political subdivisions — 756 4 760 Foreign government 39 107 — 146 Agency mortgage-backed residential — 16,633 — 16,633 Mortgage-backed residential — 4,299 — 4,299 Agency mortgage-backed commercial — 3,535 — 3,535 Asset-backed — 433 — 433 Corporate debt — 1,719 — 1,719 Total available-for-sale securities 2,055 27,482 4 29,541 Mortgage loans held-for-sale (c) — 13 — 13 Finance receivables and loans, net Consumer other (c) — — 3 3 Other assets Derivative contracts in a receivable position Interest rate — 22 — 22 Equity contracts 1 — — 1 Total derivative contracts in a receivable position 1 22 — 23 Total assets $ 2,698 $ 27,517 $ 8 $ 30,223 Liabilities Accrued expenses and other liabilities Derivative contracts in a payable position Foreign currency $ — $ 2 $ — $ 2 Credit contracts — — 39 39 Equity contracts 1 — — 1 Total derivative contracts in a payable position 1 2 39 42 Total liabilities $ 1 $ 2 $ 39 $ 42 (a) Our direct investment in any one industry did not exceed 15%. (b) Excludes $38 million of equity securities that are measured at fair value using the net asset value practical expedient and therefore are not classified in the fair value hierarchy. (c) Carried at fair value due to fair value option elections. Recurring fair value measurements December 31, 2021 ($ in millions) Level 1 Level 2 Level 3 Total Assets Investment securities Equity securities (a) $ 1,093 $ — $ 9 $ 1,102 Available-for-sale securities Debt securities U.S. Treasury and federal agencies 2,155 — — 2,155 U.S. States and political subdivisions — 855 9 864 Foreign government 19 138 — 157 Agency mortgage-backed residential — 19,039 — 19,039 Mortgage-backed residential — 4,425 — 4,425 Agency mortgage-backed commercial — 4,526 — 4,526 Asset-backed — 534 — 534 Corporate debt — 1,887 — 1,887 Total available-for-sale securities 2,174 31,404 9 33,587 Mortgage loans held-for-sale (b) — 80 — 80 Finance receivables and loans, net Consumer other (b) — — 7 7 Other assets Derivative contracts in a receivable position Interest rate — 1 5 6 Equity contracts 1 — — 1 Total derivative contracts in a receivable position 1 1 5 7 Total assets $ 3,268 $ 31,485 $ 30 $ 34,783 Liabilities Accrued expenses and other liabilities Derivative contracts in a payable position Interest rate $ — $ — $ 2 $ 2 Foreign currency — 3 — 3 Credit contracts — — 56 56 Equity contracts 1 — — 1 Total derivative contracts in a payable position 1 3 58 62 Total liabilities $ 1 $ 3 $ 58 $ 62 (a) Our direct investment in any one industry did not exceed 8%. (b) Carried at fair value due to fair value option elections. The following tables present the reconciliation for all Level 3 assets and liabilities measured at fair value on a recurring basis. We often economically hedge the fair value change of our assets or liabilities with derivatives and other financial instruments. The Level 3 items presented below may be hedged by derivatives and other financial instruments that are classified as Level 1 or Level 2. Thus, the following tables do not fully reflect the impact of our risk-management activities. Equity securities (a) Available-for-sale securities Mortgage loans held-for-sale (b) (c) Finance receivables and loans, net (b) (d) ($ in millions) 2022 2021 2022 2021 2022 2021 2022 2021 Assets Fair value at January 1, $ 9 $ 7 $ 9 $ 7 $ — $ 91 $ 7 $ 8 Net realized/unrealized gains (losses) Included in earnings 1 4 — — — 64 (1) 2 Included in OCI — — — — — — — — Purchases — — 6 2 — 2,640 12 14 Sales (9) (3) — — — (2,693) — — Issuances — — — — — — — — Settlements — — (11) — — — (15) (17) Transfers into Level 3 — 1 — — — — — — Transfers out of Level 3 (e) — — — — — (102) — — Fair value at December 31, $ 1 $ 9 $ 4 $ 9 $ — $ — $ 3 $ 7 Net unrealized gains still held at December 31, Included in earnings $ — $ 4 $ — $ — $ — $ — $ — $ — Included in OCI — — — — — — — — (a) Net realized/unrealized gains are reported as other gain on investments, net, in the Consolidated Statement of Income. (b) Carried at fair value due to fair value option elections. (c) Net realized/unrealized gains are reported as gain on mortgage and automotive loans, net, in the Consolidated Statement of Income. (d) Net realized/unrealized (losses) gains are reported as other income, net of losses, in the Consolidated Statement of Income. (e) During the year ended December 31, 2021, mortgage loans held for sale were transferred out of Level 3 and into Level 2 of the fair value hierarchy. This transfer reflects that the underlying assets are valued based on observable prices in an active market for similar assets, and is deemed to have occurred at the end of the third quarter of 2021. Derivative liabilities, net of derivative assets (a) ($ in millions) 2022 2021 Liabilities Fair value at January 1, $ 53 $ 12 Net realized/unrealized (gains) losses Included in earnings (5) 35 Included in OCI — — Purchases — — Sales — — Issuances — 5 Settlements (19) (1) Transfers into Level 3 — — Transfers out of Level 3 (b) (c) 10 2 Fair value at December 31, $ 39 $ 53 Net unrealized (gains) losses still held at December 31, Included in earnings $ (11) $ 26 Included in OCI — — (a) Net realized/unrealized (gains) losses are reported as gain on mortgage and automotive loans, net, and other income, net of losses, in the Consolidated Statement of Income. (b) Represents the settlement value of interest rate derivative assets that are transferred to loans held-for-sale within Level 2 of the fair value hierarchy during the year ended December 31, 2022. (c) During the year ended December 31, 2021, certain derivative assets were transferred out of Level 3 and into Level 2 of the fair value hierarchy. This transfer reflects that the underlying assets are valued based on observable prices in an active market for similar assets, and is deemed to have occurred at the end of the third quarter of 2021. Nonrecurring Fair Value We may be required to measure certain assets and liabilities at fair value from time to time. These periodic fair value measures typically result from the application of lower-of-cost or fair value accounting or certain impairment measures. These items would constitute nonrecurring fair value measures. The following tables display assets and liabilities measured at fair value on a nonrecurring basis and still held at December 31, 2022, and December 31, 2021, respectively. The amounts are generally as of the end of each period presented, which approximate the fair value measurements that occurred during each period. Nonrecurring fair value measurements Lower-of-cost-or-fair-value reserve, valuation reserve, or cumulative adjustments Total gain (loss) included in earnings December 31, 2022 ($ in millions) Level 1 Level 2 Level 3 Total Assets Loans held-for-sale, net $ — $ — $ 641 $ 641 $ — n/m (a) Commercial finance receivables and loans, net (b) Automotive — — 3 3 — n/m (a) Other — — 39 39 (89) n/m (a) Total commercial finance receivables and loans, net — — 42 42 (89) n/m (a) Other assets Nonmarketable equity investments — — 12 12 3 n/m (a) Repossessed and foreclosed assets (c) — — 5 5 — n/m (a) Total assets $ — $ — $ 700 $ 700 $ (86) n/m n/m = not meaningful (a) We consider the applicable valuation allowance, allowance for loan losses, or cumulative adjustments to be the most relevant indicator of the impact on earnings caused by the fair value measurement. Accordingly, the table above excludes total gains and losses included in earnings for these items. The carrying values are inclusive of the respective valuation reserve, loan loss allowance, or cumulative adjustment. (b) Represents collateral-dependent loans held for investment for which a nonrecurring measurement was made. The related allowance for loan losses represents the cumulative fair value adjustments for those specific receivables. (c) The allowance provided for repossessed and foreclosed assets represents any cumulative valuation adjustment recognized to adjust the assets to fair value. Nonrecurring fair value measurements Lower-of-cost-or-fair-value reserve, valuation reserve, or cumulative adjustments Total gain (loss) included in earnings December 31, 2021 ($ in millions) Level 1 Level 2 Level 3 Total Assets Loans held-for-sale, net $ — $ — $ 468 $ 468 $ — n/m (a) Commercial finance receivables and loans, net (b) Automotive — — 4 4 — n/m (a) Other — — 112 112 (65) n/m (a) Total commercial finance receivables and loans, net — — 116 116 (65) n/m (a) Other assets Nonmarketable equity investments — — 7 7 (5) n/m (a) Repossessed and foreclosed assets (c) — — 4 4 — n/m (a) Total assets $ — $ — $ 595 $ 595 $ (70) n/m n/m = not meaningful (a) We consider the applicable valuation allowance, allowance for loan losses, or cumulative adjustments to be the most relevant indicator of the impact on earnings caused by the fair value measurement. Accordingly, the table above excludes total gains and losses included in earnings for these items. The carrying values are inclusive of the respective valuation reserve, loan loss allowance, or cumulative adjustment. (b) Represents collateral-dependent loans held for investment for which a nonrecurring measurement was made. The related allowance for loan losses represents the cumulative fair value adjustments for those specific receivables. (c) The allowance provided for repossessed and foreclosed assets represents any cumulative valuation adjustment recognized to adjust the assets to fair value. Fair Value Option for Financial Assets We elected the fair value option for an insignificant amount of conforming mortgage loans held-for-sale and certain personal lending finance receivables. We elected the fair value option for conforming mortgage loans held-for-sale to mitigate earnings volatility by better matching the accounting for the assets with the related derivatives. We elected the fair value option for certain personal lending finance receivables to mitigate the complexities of recording these loans at amortized cost. Our intent in electing fair value measurement was to mitigate a divergence between accounting gains or losses and economic exposure for certain assets and liabilities. Fair Value of Financial Instruments The following table presents the carrying and estimated fair value of financial instruments, except for those recorded at fair value on a recurring basis presented in the previous section of this note titled Recurring Fair Value. When possible, we use quoted market prices to determine fair value. Where quoted market prices are not available, the fair value is internally derived based on appropriate valuation methodologies with respect to the amount and timing of future cash flows and estimated discount rates. However, considerable judgment is required in interpreting current market data to develop the market assumptions and inputs necessary to estimate fair value. As such, the actual amount received to sell an asset or the amount paid to settle a liability could differ from our estimates. Fair value information presented herein was based on information available at December 31, 2022, and December 31, 2021. Estimated fair value ($ in millions) Carrying value Level 1 Level 2 Level 3 Total December 31, 2022 Financial assets Held-to-maturity securities $ 1,062 $ — $ 884 $ — $ 884 Loans held-for-sale, net 641 — — 641 641 Finance receivables and loans, net 132,034 — — 133,856 133,856 FHLB/FRB stock (a) 719 — 719 — 719 Financial liabilities Deposit liabilities $ 42,336 $ — $ — $ 41,909 $ 41,909 Short-term borrowings 2,399 — — 2,417 2,417 Long-term debt 17,762 — 12,989 5,263 18,252 December 31, 2021 Financial assets Held-to-maturity securities $ 1,170 $ — $ 1,204 $ — $ 1,204 Loans held-for-sale, net 469 — — 469 469 Finance receivables and loans, net 118,994 — — 126,044 126,044 FHLB/FRB stock (a) 738 — 738 — 738 Financial liabilities Deposit liabilities $ 40,953 $ — $ — $ 41,164 $ 41,164 Long-term debt 17,029 — 12,637 6,892 19,529 (a) Included in other assets on our Consolidated Balance Sheet. In addition to the financial instruments presented in the above table, we have various financial instruments for which the carrying value approximates the fair value due to their short-term nature and limited credit risk. These instruments include cash and cash equivalents, restricted cash, cash collateral, accrued interest receivable, accrued interest payable, trade receivables and payables, and other short-term receivables and payables. Included in cash and cash equivalents are highly liquid investments that are readily convertible to known amounts of cash and which are subject to an insignificant risk of change in value due to interest rate, quoted price, or penalty on withdrawal. Classified as Level 1 under the fair value hierarchy, cash and cash equivalents generally expose us to limited credit risk and are so near maturity that they present insignificant risk of changes in value because of changes in interest rates. |
Offsetting Assets and Liabiliti
Offsetting Assets and Liabilities | 12 Months Ended |
Dec. 31, 2022 | |
Offsetting [Abstract] | |
Offsetting Assets and Liabilities | Offsetting Assets and LiabilitiesOur derivative contracts and repurchase/reverse repurchase transactions are supported by qualifying master netting and master repurchase agreements. These agreements are legally enforceable bilateral agreements that (i) create a single legal obligation for all individual transactions covered by the agreement to the nondefaulting entity upon an event of default of the counterparty, including bankruptcy, insolvency, or similar proceeding, and (ii) provide the nondefaulting entity the right to accelerate, terminate, and close-out on a net basis all transactions under the agreement and to liquidate or set off collateral promptly upon an event of default of the counterparty. To further mitigate the risk of counterparty default related to derivative instruments, we maintain collateral agreements with certain counterparties. The agreements require both parties to maintain collateral in the event the fair values of the derivative financial instruments meet established thresholds. In the event that either party defaults on the obligation, the secured party may seize the collateral. Generally, our collateral arrangements are bilateral such that we and the counterparty post collateral for the obligation. Contractual terms provide for standard and customary exchange of collateral based on changes in the market value of the outstanding derivatives. A party posts additional collateral when their obligation rises or removes collateral when it falls, such that the net replacement cost of the nondefaulting party is covered in the event of counterparty default. In certain instances, as it relates to our derivative instruments, we have the option to report derivative assets and liabilities as well as assets and liabilities associated with cash collateral received or delivered that is governed by a master netting agreement on a net basis as long as certain qualifying criteria are met. Similarly, for our repurchase/reverse repurchase transactions, we have the option to report recognized assets and liabilities subject to a master netting agreement on a net basis if certain qualifying criteria are met. At December 31, 2022, these instruments are reported as gross assets and gross liabilities on the Consolidated Balance Sheet. For additional information on derivative instruments and hedging activities, refer to Note 21. The composition of offsetting derivative instruments, financial assets, and financial liabilities was as follows. Gross amounts of recognized assets/liabilities Gross amounts offset on the Consolidated Balance Sheet Net amounts of assets/liabilities presented on the Consolidated Balance Sheet Gross amounts not offset on the Consolidated Balance Sheet December 31, ($ in millions) Financial instruments Collateral (a) (b) (c) Net amount 2022 Assets Derivative assets in net asset positions $ 23 $ — $ 23 $ (1) $ (22) $ — Total assets $ 23 $ — $ 23 $ (1) $ (22) $ — Liabilities Derivative liabilities in net liability positions $ 2 $ — $ 2 $ — $ (1) $ 1 Derivative liabilities in net asset positions 1 — 1 (1) — — Derivative liabilities with no offsetting arrangements 39 — 39 — — 39 Securities sold under agreements to repurchase (d) 499 — 499 — (499) — Total liabilities $ 541 $ — $ 541 $ (1) $ (500) $ 40 2021 Assets Derivative assets in net asset positions $ 1 $ — $ 1 $ (1) $ — $ — Derivative assets with no offsetting arrangements 6 — 6 — — 6 Total assets $ 7 $ — $ 7 $ (1) $ — $ 6 Liabilities Derivative liabilities in net liability positions $ 3 $ — $ 3 $ — $ (2) $ 1 Derivative liabilities in net asset positions 1 — 1 (1) — — Derivative liabilities with no offsetting arrangements 58 — 58 — — 58 Total liabilities $ 62 $ — $ 62 $ (1) $ (2) $ 59 (a) Financial collateral received/pledged shown as a balance based on the sum of all net asset and liability positions between Ally and each individual derivative counterparty. (b) Amounts disclosed are limited to the financial asset or liability balance and, accordingly, exclude excess collateral received or pledged and noncash collateral received. We do not record noncash collateral received on our Consolidated Balance Sheet unless certain conditions are met. (c) Certain agreements grant us the right to sell or pledge the noncash assets we receive as collateral. We have not sold or pledged any of the noncash collateral received under these agreements. (d) For additional information on securities sold under agreements to repurchase, refer to Note 15. |
Segment Information
Segment Information | 12 Months Ended |
Dec. 31, 2022 | |
Segment Reporting [Abstract] | |
Segment Information | Segment Information 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 our chief operating decision maker in deciding how to allocate resources and in assessing performance. We report our results of operations on a business-line basis through four operating segments: Automotive Finance operations, Insurance operations, Mortgage Finance operations, and Corporate Finance operations, with the remaining activity reported in Corporate and Other. The operating segments are determined based on the products and services offered, and reflect the manner in which financial information is currently evaluated by management. The following is a description of each of our reportable operating segments. Dealer Financial Services Dealer Financial Services comprises the following two segments. • Automotive Finance operations — One of the largest full-service automotive finance operations in the United States providing automotive financing services to consumers, automotive dealers and retailers, companies, and municipalities. Our automotive finance services include providing retail installment sales contracts, loans and operating leases, offering term loans to dealers, financing dealer floorplans and other lines of credit to dealers, warehouse lines to automotive retailers, fleet financing, providing financing to companies and municipalities for the purchase or lease of vehicles, and vehicle-remarketing services. • Insurance operations — A complementary automotive-focused business offering both consumer finance protection and insurance products sold primarily through the automotive dealer channel, and commercial insurance products sold directly to dealers. As part of our focus on offering dealers a broad range of consumer financial and insurance products, we provide VSCs, VMCs, and GAP products. We also underwrite select commercial insurance coverages, which primarily insure dealers’ vehicle inventory. Mortgage Finance operations Our held-for-investment portfolio includes our direct-to-consumer Ally Home mortgage offering and bulk purchases of high-quality jumbo and LMI mortgage loans originated by third parties. Through our direct-to-consumer channel, we offer a variety of competitively priced jumbo and conforming fixed- and adjustable-rate mortgage products through a third party. Through the bulk loan channel, we purchase loans from several qualified sellers on a servicing-released basis, allowing us to directly oversee servicing activities and manage refinancing through our direct-to-consumer channel. Corporate Finance operations Our Corporate Finance operations provide senior secured leveraged asset-based and cash flow loans to mostly U.S.-based middle-market companies, with a focus on businesses owned by private equity sponsors. These loans are typically used for leveraged buyouts, refinancing and recapitalizations, mergers and acquisitions, growth, turnarounds, and debtor-in-possession financings. We also provide, through our Lender Finance business, nonbank wholesale-funded managers with partial funding for their direct-lending activities, which is principally leveraged loans. Additionally, we offer a commercial real estate product to serve companies in the healthcare industry. Corporate and Other Corporate and Other primarily consists of centralized corporate treasury activities, such as management of the cash and corporate investment securities and loan portfolios, short- and long-term debt, retail and brokered deposit liabilities, derivative instruments, original issue discount, and the residual impacts of our corporate FTP and treasury ALM activities. Corporate and Other also includes certain equity investments, which primarily consist of FHLB and FRB stock—as well as other equity investments through Ally Ventures, our strategic investment business—and the management of our legacy mortgage portfolio, which primarily consists of loans originated prior to January 1, 2009, and reclassifications and eliminations between the reportable operating segments. Financial results related to Ally Invest, our digital brokerage and wealth management offering, Ally Lending, our point-of-sale financing business, Ally Credit Card, and CRA loans and related investments are also included within Corporate and Other. We utilize an FTP methodology for the majority of our business operations. The FTP methodology assigns charge rates and credit rates to classes of assets and liabilities on a match funded basis, aligned with the expected duration and the benchmark rate curve plus an assumed credit spread. Match funding allocates interest income and interest expense to these reportable segments so their respective results are insulated from interest rate risk. This methodology is consistent with our ALM practices, which includes managing interest rate risk centrally at a corporate level. The net residual impact of the FTP methodology is included within the results of Corporate and Other. The information presented in our reportable operating segments is based in part on internal allocations and methodologies, including a COH methodology, which involves management judgment. COH methodology is used for measuring the profit and loss of our reportable operating segments. We have various enterprise functions, such as technology, marketing, finance, compliance, internal audit, and risk. Operating expenses from the enterprise functions are either directly allocated to the reportable operating segment, indirectly allocated to the reportable operating segment utilizing the COH methodology, or remain in Corporate and Other. COH methodology considers the reportable operating segment expense base and enterprise function expenses. The reportable operating segment expense base is used to determine the allocation mix. This mix is applied to the allocable expenses in Corporate and Other to determine the COH for the respective reportable operating segment. Allocable enterprise function costs are primarily technology and marketing expenses. Generally, costs that remain within Corporate and Other that are not allocated to our reportable operating segments include marketing sponsorships, treasury and other corporate activities, and charitable contributions. Financial information for our reportable operating segments is summarized as follows. Year ended December 31, ($ in millions) Automotive Finance operations Insurance operations Mortgage Finance operations Corporate Finance operations Corporate and Other Consolidated (a) 2022 Net financing revenue and other interest income $ 5,224 $ 89 $ 221 $ 334 $ 982 $ 6,850 Other revenue 306 1,023 27 122 100 1,578 Total net revenue 5,530 1,112 248 456 1,082 8,428 Provision for credit losses 1,036 — 3 43 317 1,399 Total noninterest expense 2,244 1,150 190 131 972 4,687 Income (loss) from continuing operations before income tax expense $ 2,250 $ (38) $ 55 $ 282 $ (207) $ 2,342 Total assets $ 111,463 $ 8,659 $ 19,529 $ 10,544 $ 41,631 $ 191,826 2021 Net financing revenue and other interest income $ 5,209 $ 59 $ 124 $ 308 $ 467 $ 6,167 Other revenue 251 1,345 94 128 221 2,039 Total net revenue 5,460 1,404 218 436 688 8,206 Provision for credit losses 53 — (1) 38 151 241 Total noninterest expense 2,023 1,061 187 116 723 4,110 Income (loss) from continuing operations before income tax expense $ 3,384 $ 343 $ 32 $ 282 $ (186) $ 3,855 Total assets $ 103,653 $ 9,381 $ 17,847 $ 7,950 $ 43,283 $ 182,114 2020 Net financing revenue and other interest income (loss) $ 4,284 $ 42 $ 118 $ 299 $ (40) $ 4,703 Other revenue 204 1,334 102 45 298 1,983 Total net revenue 4,488 1,376 220 344 258 6,686 Provision for credit losses 1,236 — 7 149 47 1,439 Total noninterest expense 1,967 1,092 160 107 507 3,833 Income (loss) from continuing operations before income tax expense $ 1,285 $ 284 $ 53 $ 88 $ (296) $ 1,414 Total assets $ 104,794 $ 9,137 $ 14,889 $ 6,108 $ 47,237 $ 182,165 (a) Net financing revenue and other interest income after the provision for credit losses totaled $5.5 billion, $5.9 billion, and $3.3 billion for the years ended December 31, 2022, 2021, and 2020, respectively. |
Parent Company Condensed Financ
Parent Company Condensed Financial Information | 12 Months Ended |
Dec. 31, 2022 | |
Condensed Financial Information Disclosure [Abstract] | |
Parent Company Condensed Financial Information | Parent Company Condensed Financial Information The following tables present standalone condensed financial statements for Ally Financial Inc. (referred to within this section as the Parent). These condensed statements are provided in accordance with SEC rules, which require disclosure when the restricted net assets of consolidated subsidiaries exceed 25% of consolidated net assets, and should be read in conjunction with the Consolidated Financial Statements and the accompanying Notes to the Consolidated Financial Statements. For purposes of these condensed financial statements, the Parent’s wholly owned subsidiaries are presented in accordance with the equity method of accounting. Condensed Statement of Comprehensive (Loss) Income Year ended December 31, ($ in millions) 2022 2021 2020 Net financing loss and other interest income (a) $ (1,000) $ (1,070) $ (1,049) Dividends from bank subsidiaries 3,150 3,450 1,150 Dividends from nonbank subsidiaries 1 27 66 Total other revenue 103 243 367 Total net revenue 2,254 2,650 534 Provision for credit losses (32) (106) (68) Total noninterest expense 665 650 693 Income (loss) from continuing operations before income tax benefit and undistributed (loss) income of subsidiaries 1,621 2,106 (91) Income tax benefit from continuing operations (b) (253) (412) (300) Net income from continuing operations 1,874 2,518 209 Loss from discontinued operations, net of tax (1) (5) (1) Equity in undistributed earnings of subsidiaries (159) 547 877 Net income 1,714 3,060 1,085 Other comprehensive (loss) income, net of tax (3,901) (789) 508 Comprehensive (loss) income $ (2,187) $ 2,271 $ 1,593 (a) Net financing loss and other interest income is primarily driven by interest expense on long-term debt. Refer to Note 15 for further discussion. (b) There is a significant variation in the customary relationship between pretax income (loss) and income tax benefit due to our accounting policy elections and consolidated tax adjustments. The income tax benefit excludes tax effects on dividends from subsidiaries. Condensed Balance Sheet December 31, ($ in millions) 2022 2021 Assets Cash and cash equivalents (a) $ 3,333 $ 3,647 Equity securities — 6 Finance receivables and loans, net of unearned income 560 663 Allowance for loan losses 23 26 Total finance receivables and loans, net 583 689 Investments in subsidiaries Bank subsidiaries 13,197 16,728 Nonbank subsidiaries 5,191 5,890 Intercompany receivables from subsidiaries 223 216 Investment in operating leases, net 21 21 Other assets 1,307 1,157 Total assets $ 23,855 $ 28,354 Liabilities and equity Long-term debt (b) $ 10,035 $ 9,410 Interest payable 84 87 Intercompany debt to subsidiaries 545 1,040 Intercompany payables to subsidiaries 41 98 Accrued expenses and other liabilities 291 669 Total liabilities 10,996 11,304 Total equity 12,859 17,050 Total liabilities and equity $ 23,855 $ 28,354 (a) Includes $3.3 billion and $3.6 billion deposited by the Parent at Ally Bank as of December 31, 2022, and 2021, respectively. These funds are available to the Parent for liquidity purposes. (b) Includes $2.0 billion of the outstanding principal balance of senior notes fully and unconditionally guaranteed by subsidiaries of the Parent as of both December 31, 2022, and 2021. Condensed Statement of Cash Flows Year ended December 31, ($ in millions) 2022 2021 2020 Operating activities Net cash provided by operating activities $ 1,733 $ 3,753 $ 848 Investing activities Proceeds from sales of finance receivables and loans initially held-for-investment 64 378 1,187 Originations and repayments of finance receivables and loans held-for-investment and other, net (7) 189 601 Net change in loans — intercompany (65) (10) (36) Purchases of equity securities — (8) — Proceeds from sales of equity securities 1 — — Disposals of operating lease assets — — 1 Capital contributions to subsidiaries — — (8) Returns of contributed capital 52 24 23 Net change in nonmarketable equity investments 8 29 (7) Other, net (27) 44 (15) Net cash provided by investing activities 26 646 1,746 Financing activities Net change in short-term borrowings — (2,136) (445) Proceeds from issuance of long-term debt 1,655 765 2,885 Repayments of long-term debt (1,088) (777) (2,444) Net change in debt — intercompany (496) (336) 169 Repurchase of common stock (1,650) (1,994) (106) Preferred stock issuance — 2,324 — Trust preferred securities redemption — (2,710) — Common stock dividends paid (384) (324) (290) Preferred stock dividends paid (110) (57) — Net cash used in financing activities (2,073) (5,245) (231) Net (decrease) increase in cash and cash equivalents and restricted cash (314) (846) 2,363 Cash and cash equivalents and restricted cash at beginning of year 3,680 4,526 2,163 Cash and cash equivalents and restricted cash at end of year $ 3,366 $ 3,680 $ 4,526 The following table provides a reconciliation of cash and cash equivalents and restricted cash from the Condensed Balance Sheet to the Condensed Statement of Cash Flows. Year ended December 31, ($ in millions) 2022 2021 Cash and cash equivalents on the Condensed Balance Sheet $ 3,333 $ 3,647 Restricted cash included in other assets on the Condensed Balance Sheet (a) 33 33 Total cash and cash equivalents and restricted cash in the Condensed Statement of Cash Flows $ 3,366 $ 3,680 (a) Restricted cash balances relate primarily to Ally securitization arrangements. Refer to Note 13 for additional details describing the nature of restricted cash balances. |
Guarantees and Commitments
Guarantees and Commitments | 12 Months Ended |
Dec. 31, 2022 | |
Guarantees and Product Warranties [Abstract] | |
Guarantees and Commitments | Guarantees and Commitments Guarantees Guarantees are defined as contracts or indemnification agreements that contingently require us to make payments to third parties based on changes in the underlying agreements with the guaranteed parties. The following summarizes our outstanding guarantees, including those of our discontinued operations, made to third parties on our Consolidated Balance Sheet, for the periods shown. 2022 2021 December 31, ($ in millions) Maximum liability Carrying value of liability Maximum liability Carrying value of liability Standby letters of credit and other guarantees $ 272 $ 1 $ 234 $ 3 Our Corporate Finance operations has exposure to standby letters of credit that represent irrevocable guarantees of payment of specified financial obligations. Third-party beneficiaries primarily accept standby letters of credit as insurance in the event of nonperformance by our borrowers. Our borrowers may request letters of credit under their revolving loan facility up to a certain sub-limit amount. We may also require collateral to be posted by our borrowers. We received $12 million of cash collateral related to these letters of credit at December 31, 2022. Expiration dates on letters of credit range from certain ongoing commitments that will expire during the upcoming year to terms of several years for certain letters of credit. If the beneficiary draws under a letter of credit, we will be liable to the beneficiary for payment of the amount drawn under such letter of credit, with our recourse being a charge to the borrower’s loan facility or transfer of ownership to us of the related collateral. As many of these commitments are subject to borrowing base agreements and other restrictive covenants or may expire without being fully drawn, the stated amounts of the letters of credit are not necessarily indicative of future cash requirements. In connection with our Ally Invest wealth management business, we introduce customer securities accounts to a clearing broker, which clears and maintains custody of all customer assets and account activity. We are responsible for obtaining from each customer funds or securities as are required to be deposited or maintained in their accounts. As a result, we are liable for any loss, liability, damage, cost, or expense incurred or sustained by the clearing broker as a result of the failure of any customer to timely make payments or deposits of securities to satisfy their contractual obligations. In addition, customer securities activities are transacted on either a cash or margin basis. In margin transactions, we may extend credit to the customer, through our clearing broker, subject to various regulatory rules and margin lending practices, collateralized by cash and securities in the customer’s account. In connection with these activities, we also execute customer transactions involving the sale of securities not yet purchased. These transactions may expose us to credit risk in the event the customer’s assets are not sufficient to fully cover losses, which the customer may incur. In the event the customer fails to satisfy its obligations, we will purchase or sell financial instruments in the customer’s account in order to fulfill the customer’s obligations. The maximum potential exposure under these arrangements is difficult to estimate; however, the potential for us to incur material losses pursuant to these arrangements is remote. Commitments Financing Commitments The contractual commitments were as follows. December 31, ($ in millions) 2022 2021 Unused revolving credit line commitments and other (a) $ 9,156 $ 6,337 Commitments to provide capital to investees (b) 1,112 1,069 Construction-lending commitments (c) 178 53 Home equity lines of credit (d) 145 168 Mortgage loan origination commitments (e) 14 708 (a) The unused portion of revolving lines of credit reset at prevailing market rates and, approximate fair value. (b) We are committed to contribute capital to certain investees. (c) We are committed to fund the remaining unused balance while loans are in the construction period. (d) We are committed to fund the remaining unused balances on home equity lines of credit. (e) Commitments with mortgage loan applicants in which the loan terms, including interest rate and price, are guaranteed for a designated period of time subject to the completion of underwriting procedures. Revolving credit line commitments contain an element of credit risk. We manage the credit risk for unused revolving credit line commitments by applying the same credit policies in making commitments as we do for extending loans. The information presented above excludes the unused portion of commitments that are unconditionally cancelable by us. We had $23.6 billion and $26.7 billion of unfunded commitments related to unconditionally cancelable arrangements at December 31, 2022, and 2021, respectively, which primarily consisted of wholesale floorplan financing and consumer credit card lines. Lease Commitments For details about our future minimum payments under operating leases with noncancelable lease terms, refer to Note 10. Contractual Commitments We have entered into multiple agreements for sponsorship, information technology, voice and communication technology, and related maintenance. Many of the agreements are subject to variable price provisions, fixed or minimum price provisions, and termination or renewal provisions. The following table presents our total future payment obligations expiring after December 31, 2022. Year ended December 31, ($ in millions) 2023 $ 176 2024 75 2025 57 2026 47 2027 17 2028 and thereafter 8 Total future payment obligations $ 380 |
Contingencies and Other Risks
Contingencies and Other Risks | 12 Months Ended |
Dec. 31, 2022 | |
Loss Contingency [Abstract] | |
Contingencies and Other Risks | Contingencies and Other Risks Concentration with GM and Stellantis While we continue to diversify our automotive finance and insurance businesses and expand into other financial services, GM and Stellantis dealers and their retail customers continue to constitute a significant portion of our customer base. GM, Stellantis, and their captive finance companies compete vigorously with us and could take further actions that negatively impact the amount of business that we do with GM and Stellantis dealers and their customers. A significant adverse change in GM’s or Stellantis’ business—including, for example, in the production or sale of GM or Stellantis vehicles, the quality or resale value of GM or Stellantis vehicles, GM’s or Stellantis’ relationships with its key suppliers, or the rate or volume of recalls of GM or Stellantis vehicles—could negatively impact our GM and Stellantis dealer and retail customer bases and the value of collateral securing our extensions of credit to them. Any future reductions in GM and Stellantis business that we are not able to offset could adversely affect our business and financial results. Legal Matters and Other Contingencies As a financial-services company, we are regularly involved in pending or threatened legal proceedings and other matters and are or may be subject to potential liability in connection with them. These legal matters may be formal or informal and include litigation and arbitration with one or more identified claimants, certified or purported class actions with yet-to-be-identified claimants, and regulatory or other governmental information-gathering requests, examinations, investigations, and enforcement proceedings. Our legal matters exist in varying stages of adjudication, arbitration, negotiation, or investigation and span our business lines and operations. Claims may be based in law or equity—such as those arising under contracts or in tort and those involving banking, consumer-protection, securities, tax, employment, and other laws—and some can present novel legal theories and allege substantial or indeterminate damages. Ally and its subsidiaries, including Ally Bank, also are or may be subject to potential liability under other contingent exposures, including indemnification, tax, self-insurance, and other miscellaneous contingencies. We accrue for a legal matter or other contingent exposure when a loss becomes probable and the amount of loss can be reasonably estimated. Accruals are evaluated each quarter and may be adjusted, upward or downward, based on our best judgment after consultation with counsel. No assurance exists that our accruals will not need to be adjusted in the future. When a probable or reasonably possible loss on a legal matter or other contingent exposure could be material to our consolidated financial condition, results of operations, or cash flows, we provide disclosure in this note as prescribed by ASC Topic 450, Contingencies . Refer to Note 1 to the Consolidated Financial Statements for additional information related to our policy for establishing accruals. The course and outcome of legal matters are inherently unpredictable. This is especially so when a matter is still in its early stages, the damages sought are indeterminate or unsupported, significant facts are unclear or disputed, novel questions of law or other meaningful legal uncertainties exist, a request to certify a proceeding as a class action is outstanding or granted, multiple parties are named, or regulatory or other governmental entities are involved. Other contingent exposures and their ultimate resolution are similarly unpredictable for reasons that can vary based on the circumstances. As a result, we often are unable to determine how or when threatened or pending legal matters and other contingent exposures will be resolved and what losses may be incrementally and ultimately incurred. Actual losses may be higher or lower than any amounts accrued or estimated for those matters and other exposures, possibly to a significant degree. |
Subsequent Events
Subsequent Events | 12 Months Ended |
Dec. 31, 2022 | |
Subsequent Events [Abstract] | |
Subsequent Events | Subsequent Events Declaration of Common Dividend On January 17, 2023, our Board declared a quarterly cash dividend of $0.30 per share on all common stock. The dividend was paid on February 15, 2023, to stockholders of record at the close of business on February 1, 2023. Unsecured Debt Issuance On February 13, 2023, we accessed the unsecured debt capital markets and issued $500 million of subordinated notes, which provided additional liquidity at Ally Financial Inc. and qualify as Tier 2 capital under U.S. Basel III. The notes are scheduled to mature in 2033. |
Description of Business, Basi_2
Description of Business, Basis of Presentation, and Significant Accounting Policies (Policies) | 12 Months Ended |
Dec. 31, 2022 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Consolidation | The Consolidated Financial Statements include the accounts of the parent and its consolidated subsidiaries, of which it is deemed to possess control, after eliminating intercompany balances and transactions, and include all VIEs in which we are the primary beneficiary. Refer to Note 11 for further details on our VIEs. Other entities in which we have invested and have the ability to exercise significant influence over operating and financial policies of the investee, but upon which we do not possess control, are accounted for using the equity method of accounting within the financial statements and are therefore not consolidated. |
Basis of Presentation | Our accounting and reporting policies conform to U.S. GAAP. Additionally, where applicable, the policies conform to the accounting and reporting guidelines prescribed by bank regulatory authorities. Certain reclassifications may have been made to the prior periods’ financial statements and notes to conform to the current period’s presentation, which did not have a material impact on our Consolidated Financial Statements. |
Use of Estimates and Assumptions | Use of Estimates and Assumptions The preparation of financial statements in conformity with U.S. GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and the related disclosure, including those of contingent assets and liabilities at the date of the financial statements. It also includes estimates related to the income and expenses during the reporting period and the related disclosures. In developing the estimates and assumptions, management uses all available evidence; however, actual results could differ because of uncertainties associated with estimating the amounts, timing, and likelihood of possible outcomes. Our most significant estimates pertain to the allowance for loan losses, the valuations of automotive operating lease assets and residuals, the fair value of financial instruments, and the determination of the provision for income taxes. |
Cash and Cash Equivalents | Cash and Cash Equivalents Cash and cash equivalents include cash on hand, cash on deposit at other financial institutions, cash items in process of collection, and certain highly liquid investments with original maturities of three months or less from the date of purchase. The book value of cash equivalents approximates fair value because of the short maturities of these instruments and the insignificant risk they present to changes in value with respect to changes in interest rates. We may hold securities with original maturities of three months or less from the date of purchase that are held as part of a longer-term investment strategy and classify them as investment securities. Cash and cash equivalents with legal restrictions limiting our ability to withdraw and use the funds are considered restricted cash and restricted cash equivalents and are presented as other assets on our Consolidated Balance Sheet. |
Investments | Investments Our investment portfolio includes various debt and equity securities. Debt securities are classified based on management’s intent to sell or hold the security. We classify debt securities as held-to-maturity only when we have both the intent and ability to hold the securities to maturity. We classify debt securities as trading when the securities are acquired for the purpose of selling or holding them for a short period of time. Debt securities not classified as either held-to-maturity or trading are classified as available-for-sale. We do not hold any debt securities classified as trading. Our available-for-sale securities are carried at fair value with unrealized gains and losses included in accumulated other comprehensive income, while our held-to-maturity securities are carried at amortized cost. We establish an allowance for credit losses for lifetime expected credit losses on our held-to-maturity securities, as necessary. The estimate of expected credit losses considers historical credit loss information that is adjusted for current conditions and reasonable and supportable forecasts. Accrued interest receivable on held-to-maturity securities is excluded from the estimate of credit losses. Our held-to-maturity securities portfolio is mostly composed of residential mortgage-backed debt securities that are issued by U.S. government entities and agencies. These securities are either explicitly or implicitly guaranteed by the U.S. government, are highly rated by major ratings agencies, and have a long history of zero credit losses and therefore generally do not require an allowance for credit losses. We regularly assess our available-for-sale securities for impairment. When the amortized cost basis of an available-for-sale security exceeds its fair value, the security is impaired. If we determine that we intend to sell, or it is more likely than not that we will be required to sell the security before recovery of the amortized cost basis, any previously recorded allowance for credit losses is written off and the security’s amortized cost basis is written down to fair value at the reporting date, with any incremental impairment recorded through earnings. Alternatively, if we do not intend to sell, or it is not more likely than not that we will be required to sell the security before anticipated recovery of the amortized cost basis, we evaluate, among other factors, the magnitude of the decline in fair value, the financial health of and business outlook for the issuer, and the performance of the underlying assets for interests in securitized assets to determine if a credit loss has occurred. The present value of expected future cash flows are compared to the security’s amortized cost basis to measure the credit loss component of the impairment after determining a credit loss has occurred. If the present value of expected cash flows is less than the amortized cost basis, we record an allowance for credit losses for that difference. The amount of credit loss is limited to the difference between the security’s amortized cost basis and its fair value. Any remaining impairment that is considered a noncredit loss is recorded in other comprehensive income. Changes in the allowance for credit losses are recorded as provision for, or reversal of, provision for credit losses. Accrued interest receivable on available-for-sale securities is excluded from the estimate of credit losses. Premiums and discounts on debt securities are generally amortized over the stated maturity of the security as an adjustment to investment yield. Premiums on debt securities that have non-contingent call features that are callable at fixed prices on preset dates are amortized to the earliest call date as an adjustment to investment yield. A debt security is placed on nonaccrual status at the time any principal or interest payments become 90 days past due. The receivable for interest income that is accrued but not collected is reversed against interest income when the debt security is placed on nonaccrual status. Our investments in equity securities include securities that are recognized at fair value and equity securities that are recognized using other measurement principles. Equity securities that have a readily determinable fair value are recorded at fair value with changes in fair value recorded in earnings and reported in other gain on investments, net in our Consolidated Statement of Income. These investments are included in equity securities on our Consolidated Balance Sheet. In some instances, we may account for equity securities using the net asset value practical expedient to estimate fair value. Refer to Note 24 for further information on equity securities that are held at fair value. Our equity securities recognized using other measurement principles include investments in FHLB and FRB stock held to meet regulatory requirements, equity investments related to LIHTCs and the CRA, which do not have a readily determinable fair value, and other equity investments that do not have a readily determinable fair value. Our LIHTC investments are accounted for using the proportional amortization method of accounting for qualified affordable housing investments. Our obligations related to unfunded commitments for our LIHTC investments are included in other liabilities. The majority of our other CRA investments are accounted for using the equity method of accounting. Our investments in LIHTCs and other CRA investments are included in investments in qualified affordable housing projects and equity-method investments, respectively, within other assets on our Consolidated Balance Sheet. Our investments in FHLB and FRB stock are carried at cost, less impairment, if any. Our remaining investments in equity securities are recorded at cost, less impairment and adjusted for observable price changes under the measurement alternative provided under U.S. GAAP. These investments, along with our investments in FHLB and FRB stock, are included in nonmarketable equity investments in other assets on our Consolidated Balance Sheet. Investments recorded under the measurement alternative are also reviewed at each reporting period to determine if any adjustments are required for observable price changes in identical or similar securities of the same issuer. As conditions warrant, we review these investments, as well as investments in FHLB and FRB stock, for impairment and adjust the carrying value of the investment if it is deemed to be impaired. Adjustments related to observable price changes or impairment on securities using the measurement alternative and FHLB and FRB stock are recorded in earnings and reported in other income, net of losses in our Consolidated Statement of Income. Realized gains and losses on the sale of debt securities and equity securities with a readily determinable fair value are determined using the specific identification method and are reported in other (loss) gain on investments, net in our Consolidated Statement of Income. |
Finance Receivables and Loans | Finance Receivables and Loans We initially classify finance receivables and loans as either loans held-for-sale or loans held-for-investment based on management’s assessment of our intent and ability to hold the loans for the foreseeable future or until maturity. Management’s view of the foreseeable future is based on the longest reliable forecasted period, including events known when performing periodic evaluations. Management’s intent and ability with respect to certain loans may change from time to time depending on a number of factors, for example, economic, liquidity, and capital conditions. In order to reclassify loans to held-for-sale, management must have the intent to sell the loans and must reasonably identify the specific loans to be sold. Loans classified as held-for-sale are presented as loans held-for-sale, net on our Consolidated Balance Sheet and are carried at the lower of their net carrying value or fair value, unless the fair value option was elected, in which case those loans are carried at fair value. For loans originated as held-for-sale for which we have not elected the fair value option, loan origination fees and costs are included in the initial carrying value. For held-for-sale loans for which we have elected the fair value option, loan origination fees and costs are recognized in earnings when earned or incurred. We have elected the fair value option for conforming mortgage direct-to-consumer originations for which we have a commitment to sell. The interest rate lock commitment that we enter into for a mortgage loan originated as held-for-sale and certain forward commitments are considered derivatives, which are carried at fair value on our Consolidated Balance Sheet. We have elected the fair value option to measure our nonderivative forward commitments. Changes in the fair value of our interest rate lock commitments, derivative forward commitments, and nonderivative forward commitments related to mortgage loans originated as held-for-sale, as well as changes in the carrying value of loans classified as held-for-sale, are reported through gain on mortgage and automotive loans, net in our Consolidated Statement of Income. Interest income on our loans classified as held-for-sale is recognized based upon the contractual rate of interest on the loan and the unpaid principal balance. We report accrued interest receivable on our loans classified as held-for-sale in other assets on our Consolidated Balance Sheet. We have also elected the fair value option for certain loans within our consumer other portfolio segment. Changes in fair value related to these loans are reported through other income, net of losses in our Consolidated Statement of Income. Loans classified as held-for-investment are presented as finance receivables and loans, net on our Consolidated Balance Sheet. Finance receivables and loans are reported at their amortized cost basis, which includes the principal amount outstanding, net of unamortized deferred fees and costs on originated loans, unamortized premiums and discounts on purchased loans, unamortized basis adjustments arising from the designation of finance receivables and loans as the hedged item in qualifying fair value hedge relationships, and cumulative principal net charge-offs. We refer to the amortized cost basis less the allowance for loan losses as the net carrying value in finance receivables and loans. Unearned rate support received from an automotive manufacturer on certain automotive loans, deferred origination fees and costs, and premiums and discounts on purchased loans, are amortized over the contractual life of the related finance receivable or loan using the effective interest method. We make various incentive payments for consumer automotive loan originations to automotive dealers and account for these payments as direct loan origination costs. Additionally, we make incentive payments to certain commercial automobile wholesale borrowers and account for these payments as a reduction to interest income in the period they are earned. Interest income on our finance receivables and loans is recognized based on the contractual rate of interest plus the amortization of deferred amounts using the effective interest method, except for origination fees and costs on our credit card loans, which amortize straight line over a twelve-month period. In addition, annual fees on credit cards are amortized into other income, net of losses over a twelve-month period. We report accrued interest receivable on our finance receivables and loans in other assets on our Consolidated Balance Sheet, except for billed interest on our credit card loans, which is included in finance receivables and loans, net. Loan commitment fees are generally deferred and amortized over the commitment period. For information on finance receivables and loans, refer to Note 9. We have elected to exclude accrued interest receivable from the measurement of our allowance for loan losses for each class of financing receivables, except for billed interest on our credit card loans which is included within finance receivables and loans, net. We have also elected to write-off accrued interest receivable by reversing interest income when loans are placed on nonaccrual status for each class of finance receivable. This includes the reversal of the billed interest on credit card loans that occurs at the time of charge-off, which is initially included in the measurement of our allowance for loan losses. Our portfolio segments are based on the level at which we develop and document our methodology for determining the allowance for loan losses. Additionally, the classes of finance receivables are based on several factors, including the method for monitoring and assessing credit risk, the method of measuring carrying value, and the risk characteristics of the finance receivable. Based on an evaluation of our process for developing the allowance for loan losses, including the nature and extent of exposure to credit risk arising from finance receivables, we have determined our portfolio segments to be consumer automotive, consumer mortgage, consumer other, and commercial. • Consumer automotive — Consists of retail automotive financing for new and used vehicles. • Consumer mortgage — Consists of the following classes of finance receivables. ◦ Mortgage Finance — Consists of consumer first-lien mortgages from our ongoing mortgage operations including direct-to-consumer originations, refinancing of high-quality jumbo mortgages and LMI mortgages, and bulk acquisitions. ◦ Mortgage — Legacy — Consists of consumer mortgage assets originated prior to January 1, 2009, including first-lien mortgages, subordinate-lien mortgages, and home equity mortgages. • Consumer other — Consists of the following classes of finance receivables. • Personal Lending — Consists of unsecured consumer lending from point-of-sale financing. • Credit Card — Consists of consumer credit card loans. • Commercial — Consists of the following classes of finance receivables. ◦ Commercial and Industrial ▪ Automotive — Consists of financing operations to fund dealer purchases of new and used vehicles through wholesale floorplan financing. Additional commercial offerings include automotive dealer term loans, revolving lines, and dealer fleet financing. ▪ Other — Consists primarily of senior secured leveraged asset-based and cash flow loans related to our corporate-finance business. ◦ Commercial Real Estate — Consists of term loans primarily secured by dealership land and buildings, and other commercial lending secured by real estate. Nonaccrual Loans Generally, we recognize loans of all classes as past due when they are 30 days delinquent on making a contractually required payment, and loans are placed on nonaccrual status when principal or interest has been delinquent for at least 90 days, or when full collection is not expected. Interest income recognition is suspended when finance receivables and loans are placed on nonaccrual status. Additionally, amortization of premiums and discounts and deferred fees and costs ceases when finance receivables and loans are placed on nonaccrual. Exceptions include commercial real estate loans that are placed on nonaccrual status when delinquent for 60 days or when full collection is not probable, if sooner. Additionally, our policy is to generally place all loans that have been modified in a TDR on nonaccrual status until the loan has been brought fully current, the collection of contractual principal and interest is reasonably assured, and six consecutive months of repayment performance is achieved. In certain cases, if a borrower has been current up to the time of the modification and repayment of the debt subsequent to the modification is reasonably assured, we may choose to continue to accrue interest on the loan. Nonperforming loans on nonaccrual status are reported in Note 9. For all of our portfolio segments, the receivable for interest income that is accrued, but not collected, at the date finance receivables and loans are placed on nonaccrual status is reversed against interest income and subsequently recognized only to the extent it is received in cash or until it qualifies for return to accrual status. However, for credit card loans, billed interest is included in the receivables balance and therefore is not reversed against interest income until the loan is charged-off. Where there is doubt regarding the ultimate collectability of loan principal, all cash received is applied to reduce the carrying value of such loans. Generally, finance receivables and loans are restored to accrual status only when contractually current and the collection of future payments is reasonably assured. Troubled Debt Restructurings When the terms of finance receivables or loans are modified, consideration must be given as to whether or not the modification results in a TDR. A modification is considered to be a TDR when both the borrower is experiencing financial difficulty and we grant a concession to the borrower. These considerations require significant judgment and vary by portfolio segment. In all cases, the cumulative impacts of all modifications are considered at the time of the most recent modification. For consumer loans of all classes, various qualitative factors are utilized for assessing the financial difficulty of the borrower. These factors include, but are not limited to, the borrower’s default status on any of its debts, bankruptcy, and recent changes in financial circumstances (for instance, loss of employment). A concession has been granted when, as a result of the modification, we do not expect to collect all amounts due under the original loan terms, including interest accrued at the original contract rate. Types of modifications that may be considered concessions include, but are not limited to, extensions of terms at a rate that does not constitute a market rate, a reduction, deferral or forgiveness of principal or interest owed, and loans that have been discharged in bankruptcy proceedings and have not been reaffirmed by the borrower. In addition to the modifications noted above, in our consumer automotive portfolio segment of loans we also provide extensions or deferrals of payments to borrowers whom we deem to be experiencing only temporary financial difficulty. In these cases, there are limits within our operational policies to minimize the number of times a loan can be extended, as well as limits to the length of each extension, including a cumulative cap over the life of the loan. If these limits are breached, the modification is considered a TDR as noted in the following paragraph. Before offering an extension or deferral, we evaluate the capacity of the customer to make the scheduled payments after the deferral period. During the deferral period, we continue to accrue interest on the loan as part of the deferral agreement. We grant these extensions or deferrals when we expect to collect all amounts due including interest accrued at the original contract rate. A restructuring that results in only a delay in payment that is deemed to be insignificant is not a concession and the modification is not considered to be a TDR. In order to assess whether a restructuring that results in a delay in payment is insignificant, we consider the amount of the restructured payments subject to delay in conjunction with the unpaid principal balance or the collateral value of the loan, whether or not the delay is significant with respect to the frequency of payments under the original contract, or the loan’s original expected duration. In the cases where payment extensions on our automotive loan portfolio cumulatively extend beyond 90 days and are more than 10% of the original contractual term or where the cumulative payment extension is beyond 180 days, we deem the delay in payment to be more than insignificant, and as such, classify these types of modifications as TDRs. Otherwise, the modifications do not represent a concessionary modification and accordingly, they are not classified as TDRs. Refer to Note 9 for additional information. For commercial loans of all classes, similar qualitative factors are considered when assessing the financial difficulty of the borrower. In addition to the factors noted above, consideration is also given to the borrower’s forecasted ability to service the debt in accordance with the contractual terms, possible regulatory actions, and other potential business disruptions (for example, the loss of a significant customer or other revenue stream). Consideration of a concession is also similar for commercial loans. In addition to the factors noted above, consideration is also given to whether additional guarantees or collateral have been provided. For all loans, TDR classification typically results from our loss mitigation activities. For loans held-for-investment that are not carried at fair value and are TDRs, impairment is typically measured based on the difference between the amortized cost basis of the loan and the present value of the expected future cash flows of the loan. The present value is calculated using the loan’s original effective interest rate, as opposed to the interest rate specified within the restructuring. The loan may also be measured for impairment based on the fair value of the underlying collateral less costs to sell for loans that are collateral dependent. We recognize impairment by either establishing a valuation allowance or recording a charge-off. The financial impacts of modifications that meet the definition of a TDR are reported in the period in which they are identified as TDRs. Additionally, if a loan that is classified as a TDR redefaults within 12 months of the modification, we are required to disclose the instances of redefault. For the purpose of this disclosure, we have determined that a loan is considered to have redefaulted when the loan meets the requirements for evaluation under our charge-off policy except for commercial loans where redefault is defined as 90 days past due. Nonaccrual loans may return to accrual status as discussed in the preceding nonaccrual loans section, at which time, the normal accrual of interest income resumes. Net Charge-offs We disclose the measurement of net charge-offs as the amount of gross charge-offs recognized less recoveries received. Gross charge-offs reflect the amount of the amortized cost basis directly written-off. Generally, we recognize recoveries when they are received and record them as an increase to the allowance for loan losses. As a general rule, consumer automotive loans are fully charged off once a loan becomes 120 days past due. In instances where upon becoming 120 days past due repossession is assured and in process, consumer automotive loans are written down to estimated collateral value, less costs to sell. In our consumer mortgage portfolio segment, first-lien mortgages and a subset of our home equity portfolio that are secured by real estate in a first-lien position are written down to the estimated fair value of the collateral, less costs to sell, once a mortgage loan becomes 180 days past due. Consumer mortgage loans that represent second-lien positions are charged off at 180 days past due. In our consumer other segment, loans within our personal lending class of receivables are charged off at 120 days past due and loans in our credit card class of receivables are charged off at 180 days past due. Within 60 days of receipt of notification of filing from the bankruptcy court, or within the time frames noted above, consumer automotive and first-lien consumer mortgage loans in bankruptcy are written down to their expected future cash flows, which is generally fair value of the collateral, less costs to sell, and second-lien consumer mortgage loans and other consumer loans are fully charged-off, unless it can be clearly demonstrated that repayment is likely to occur. Regardless of other timelines noted within this policy, loans are considered collateral dependent when the borrower is experiencing financial difficulty and repayment of the loan is expected to only be through sale or operation of the collateral. Collateral dependent loans are charged-off to the estimated fair value of the underlying collateral, less costs to sell when foreclosure or repossession proceedings begin. Commercial loans are individually evaluated and are written down to the estimated fair value of the collateral less costs to sell when collectability of the recorded balance is in doubt. Generally, all commercial loans are charged-off when it becomes unlikely that the borrower is willing or able to repay the remaining balance of the loan and any underlying collateral is not sufficient to recover the outstanding principal. Collateral dependent loans are charged-off to the fair market value of collateral less costs to sell when appropriate. Non-collateral dependent loans are fully charged-off. Allowance for Loan Losses The allowance for loan losses (the allowance) is deducted from, or added to, the loan’s amortized cost basis to present the net amount expected to be collected from our lending portfolios. We estimate the allowance using relevant available information, which includes both internal and external sources, relating to past events, current conditions, and reasonable and supportable forecasts. Additions and reductions to the allowance are charged to current period earnings through the provision for credit losses and amounts determined to be uncollectible are charged directly against the allowance, net of amounts recovered on previously charged-off accounts. Expected recoveries do not exceed the total of amounts previously charged-off and amounts expected to be charged-off. Expected credit losses are estimated over the contractual term of the loans, adjusted for expected prepayments when appropriate. The contractual term excludes expected extensions or renewals, unless the extension or renewal option is included in the original or modified contract at the reporting date and we are not able to unconditionally cancel the option. Expected loan modifications are also not included in the contractual term, unless we have a reasonable expectation at period end that a TDR will be executed with a borrower. For the purpose of calculating portfolio-level reserves, we have grouped our loans into four portfolio segments: consumer automotive, consumer mortgage, consumer other, and commercial. The allowance is measured on a collective basis using statistical models when loans have similar risk characteristics. These statistical models are designed to correlate certain macroeconomic variables to expected future credit losses. The macroeconomic data used in the models are based on forecasted factors for the next 12-months. These forecasted variables are derived from both internal and external sources. Beyond this forecasted period, we revert each variable to a historical average. This reversion to the mean is performed on a straight-line basis over 24 months. The historical average is calculated using historical data beginning in January 2008 through the current period. Loans that do not share similar risk characteristics are evaluated on an individual basis and are not included in the collective evaluation. The allowance calculation is supplemented with qualitative overlays that take into consideration current portfolio and asset-level factors, such as the impacts of changes in underwriting standards, collections and account management effectiveness, geographic concentrations, and economic events that have occurred but are not yet reflected in the quantitative model component. Qualitative adjustments are documented, reviewed, and approved through our established risk governance processes and follow regulatory guidance. Management also considers the need for a reserve on unfunded nonderivative loan commitments across our portfolio segments, including lines of credit and standby letters of credit. We estimate expected credit losses over the contractual period in which we are exposed to credit risk, unless we have the option to unconditionally cancel the obligation. Expected credit losses on the commitments include consideration of the likelihood that funding will occur under the commitment and an estimate of expected credit losses on amounts expected to be funded over the estimated life. The reserve for unfunded loan commitments is recorded within other liabilities on our Consolidated Balance Sheet. Provision for credit losses related to our reserve for unfunded commitments is recorded within provision for credit losses on our Consolidated Statement of Income. Refer to Note 28 for information on our unfunded loan commitments. Consumer Automotive The allowance within the consumer automotive portfolio segment is calculated using proprietary statistical models and other risk indicators applied to pools of loans with similar risk characteristics, including credit bureau score and LTV ratios. The model generates projections of default rates, prepayment rates, loss severity rates, and recovery rates using macroeconomic and historical loan data. These projections are used to develop transition scenarios to predict the portfolio’s migration from the current or past-due status to various future states over the life of the loan. While the macroeconomic data that is used to calculate expected credit losses includes light vehicle sales and state-level real personal income, state-level unemployment rates are the most impactful macroeconomic factors in calculating expected lifetime credit losses. The loss severity within the consumer automotive portfolio segment is impacted by the market values of vehicles that are repossessed. Vehicle market values are affected by numerous factors including vehicle supply, the condition of the vehicle upon repossession, the overall price and volatility of fuel, consumer preference related to specific vehicle segments, and other factors. The model output is aggregated to calculate expected lifetime gross credit losses, net of expected recoveries. Consumer Mortgage The allowance within the consumer mortgage portfolio segment is calculated by using statistical models based on pools of loans with similar risk characteristics, including credit score, LTV, loan age, documentation type, product type, and loan purpose. Expected losses are statistically derived based on a suite of behavioral based transition models. This transition framework predicts various stages of delinquency, default, and voluntary prepayment over the course of the life of the loan. The transition probability is a function of certain loan and borrower characteristics, including factors, such as loan balance and term, the borrower’s credit score, LTV ratios, and economic variables, as well as consideration of historical factors such as loss frequency and severity. When a default event is predicted, a severity model is applied to estimate future loan losses. Loss severity within the consumer mortgage portfolio segment is impacted by the market values of foreclosed properties, which is affected by numerous factors, including geographic considerations and the condition of the foreclosed property. Macroeconomic data that is used to calculate expected credit losses includes certain interest rates and home price indices. The model output is aggregated to calculate expected lifetime credit losses. Consumer Other The allowance within the personal lending receivables class is calculated by using a vintage analysis that analyzes historical performance for groups of loans with similar risk characteristics, including vintage level historical balance paydown rates and delinquency and roll rate behaviors by risk tier and product type, to arrive at an estimate of expected lifetime credit losses. The risk tier segmentation is based upon borrower risk characteristics, including credit score and past performance history, as well as certain loan specific characteristics, such as loan type and origination year. The allowance within our credit card receivables class is calculated by using a statistical model that considers loan-specific and economy-wide factors to project default events, positive closure, EAD, and LGD events across all active loans in the portfolio. Macroeconomic data that is used to calculate expected credit losses include state and national-level unemployment rate, revolving consumer credit, and retail sales. Estimated expected lifetime credit losses are the summation of the simulated losses and recoveries for all credit card loans in the portfolio. Commercial Loans The allowance within the commercial loan portfolio segment is calculated using an expected loss framework that uses historical loss experience, concentrations, macroeconomic factors, and performance trends. The determination of the allowance is influenced by numerous assumptions and factors that may materially affect estimates of loss, including changes to the PD, LGD, and EAD. PD factors are determined based on our historical performance data, which considers ongoing reviews of the financial performance of borrowers within our portfolio, including cash flow, debt-service coverage ratio, and an assessment of borrowers’ industry and future prospects. The determination of PD also incorporates historical loss experience and, when necessary, macroeconomic information obtained from external sources. LGD factors consider the type of collateral, relative LTV ratios, and historical loss information. In addition, LGD factors may be influenced by macroeconomic information and situations in which automotive manufacturers repurchase vehicles used as collateral to secure the loans in default situations . EAD factors are derived from outstanding balance levels, including estimated prepayment assumptions based on historical experience. |
Variable Interest Entities and Securitizations | Variable Interest Entities and Securitizations A legal entity is considered a VIE if, by design, has any of the following characteristics: the equity at risk is insufficient for the entity to finance its activities without additional subordinated financial support or, as a group, the holders of the equity investment at risk lack the ability to directly or indirectly make decisions about the entity’s activities that most significantly impact economic performance through voting or similar rights, do not have the obligation to absorb the expected losses, do not have the right to receive expected residual returns of the entity, or do not have voting rights that are proportionate to their interests and substantially all the activities are conducted on behalf of an investor with a disproportionately small voting interest. For all VIEs in which we are involved, we assess whether we are the primary beneficiary of the VIE on an ongoing basis. In circumstances where we have both the power to direct the activities that most significantly impact the VIEs’ performance and the obligation to absorb losses or the right to receive the benefits of the VIE that could be significant, we would conclude that we are the primary beneficiary of the VIE, and would consolidate the VIE (also referred to as on-balance sheet). In situations where we are not deemed to be the primary beneficiary of the VIE, we do not consolidate the VIE and only recognize our interests in the VIE (also referred to as off-balance sheet). We are involved in securitizations that typically involve the use of VIEs. For information regarding our securitization activities, refer to Note 11. In the case of a consolidated on-balance-sheet VIE used for a securitization, the underlying assets remain on our Consolidated Balance Sheet with the corresponding obligations to third-party beneficial interest holders reflected as debt. We recognize income on the assets and interest expense on the debt issued by the VIE on an accrual basis. We reserve for expected losses on the assets primarily under CECL. Consolidation of the VIE precludes us from recording an accounting sale on the transaction. In securitizations where we are not determined to be the primary beneficiary of the VIE, we must determine whether we achieve a sale for accounting purposes. To achieve a sale for accounting purposes, the financial assets being transferred must be legally isolated, not be constrained by restrictions from further transfer, and be deemed to be beyond our control. We would deem the transaction to be an off-balance-sheet securitization if the preceding three criteria for sale accounting are met. If we were to fail any of these three criteria for sale accounting, the transfer would be accounted for as a secured borrowing, consistent with the preceding paragraph regarding on-balance sheet VIEs. The gain or loss recognized on off-balance-sheet securitizations take into consideration any assets received or liabilities assumed, including any retained interests, and servicing assets or liabilities (if applicable), which are initially recorded at fair value at the date of sale. Upon the sale of the financial assets, we recognize a gain or loss on sale for the difference between the assets and liabilities recognized, and the assets derecognized. The financial assets obtained from off-balance-sheet securitizations are primarily reported as cash or if applicable, retained interests. Retained interests are classified as securities or as other assets depending on their form and structure. The estimate of the fair value of the retained interests and servicing requires us to exercise significant judgment about the timing and amount of future cash flows from the interests. For a discussion on fair value estimates, refer to Note 24. Gains or losses on off-balance-sheet securitizations are reported in gain on mortgage and automotive loans, net, in our Consolidated Statement of Income. We retain the right to service our consumer and commercial automotive loan securitizations. We may receive servicing fees for off-balance-sheet securitizations based on the securitized asset balances and certain ancillary fees, all of which are reported in other income, net of losses in the Consolidated Statement of Income. Typically, the fee we are paid for servicing represents adequate compensation, and consequently, does not result in the recognition of a servicing asset or liability. |
Repossessed and Foreclosed Assets | Repossessed and Foreclosed Assets Assets securing our finance receivables and loans are classified as repossessed and foreclosed and included in other assets when physical possession of the collateral is taken, which includes the transfer of title through foreclosure or other similar proceedings. Repossessed and foreclosed assets are initially recognized at the lower of the outstanding balance of the loan at the time of repossession or foreclosure or the fair value of the asset less estimated costs to sell. Losses on the initial revaluation of repossessed and foreclosed assets (and generally, declines in value shortly after repossession or foreclosure) are recognized as a charge-off of the allowance for loan losses. Subsequent declines in value are charged to other operating expenses. |
Lease Accounting | Lease Accounting At contract inception, we determine whether the contract is or contains a lease based on the terms and conditions of the contract. Refer to Investment in Operating Leases below for leases in which we are the lessor. Lease contracts for which we are the lessee are recognized on our Consolidated Balance Sheet as ROU assets and lease liabilities. Lease liabilities and their corresponding ROU assets are initially recorded based on the present value of the future lease payments over the expected lease term. We utilize our incremental borrowing rate, which is the rate we would incur to borrow on a collateralized basis over a similar term on an amount equal to the lease payments in a similar economic environment since the interest rate implicit in the lease contract is typically not readily determinable. The ROU asset also includes initial direct costs paid less lease incentives received from the lessor. Our lease contracts are generally classified as operating and, as a result, we recognize a single lease cost within other operating expenses on the income statement on a straight-line basis over the lease term. Our leases primarily consist of property-leases and fleet vehicle leases. Our property-lease agreements generally contain a lease component, which includes the right to use the real estate, and non-lease components, which generally include utilities and common area maintenance services. We elected the practical expedient to account for the lease and non-lease components in our property leases as a single lease component for recognition and measurement of our ROU assets and lease liabilities. Our property leases that include variable-rent payments made during the lease term that are not based on a rate or index, are excluded from the measurement of the ROU assets and lease liabilities, and are recognized as a component of variable lease expense as incurred. We have elected not to recognize ROU assets and lease liabilities on property-leases with terms of one year or less. Our fleet vehicle leases also include a lease component, which includes the right to use the vehicle, and non-lease components, which include maintenance, fuel, and administrative services. However, we have elected to account for the lease and non-lease components in our fleet vehicle leases separately. Accordingly, the non-lease components are excluded from the measurement of the ROU asset and lease liability and are recognized as other operating expenses as incurred. Investment in Operating Leases Investment in operating leases, net, represents the vehicles that are underlying our automotive operating lease contracts where we are the lessor and is reported at cost, less accumulated depreciation and net of impairment charges, if any, and origination fees or costs. Depreciation of vehicles is recorded on a straight-line basis to an estimated residual value over the lease term. Manufacturer support payments that we receive upfront are treated as a reduction to the cost-basis in the underlying operating lease asset, which has the effect of reducing depreciation expense over the life of the contract. Income from operating lease assets including lease origination fees, net of lease origination costs, is recognized as operating lease revenue on a straight-line basis over the scheduled lease term. We have elected to exclude sales taxes collected from the lessee from our consideration in the lease contract and from variable lease payments that are not included in contract consideration. We accrue rental income on our operating leases when collection is reasonably assured. We generally discontinue the accrual of revenue on operating leases at the time an account is determined to be uncollectible, which we determine to be the earliest of (i) the time of repossession, (ii) within 60 days of bankruptcy notification, unless it can be clearly demonstrated that repayment is likely to occur, or (iii) greater than 120 days past due. We have significant investments in the residual values of the assets in our operating lease portfolio. The residual values represent an estimate of the values of the assets at the end of the lease contracts. At contract inception, we determine pricing based on the projected residual value of the leased vehicle. This evaluation is primarily based on a proprietary model, which includes variables such as age, expected mileage, seasonality, segment factors, vehicle type, economic indicators, production cycle, automotive manufacturer incentives, and shifts in used vehicle supply. This internally generated data is compared against third-party, independent data for reasonableness. Realization of the residual values is dependent on our future ability to market the vehicles under the prevailing market conditions. Over the life of the lease, we evaluate the adequacy of our estimate of the residual value and may make adjustments to the depreciation rates to the extent the expected value of the vehicle at lease termination changes meaningfully. In addition to estimating the residual value at lease termination, we also evaluate the current value of the operating lease asset and test for impairment to the extent necessary when there is an indication of impairment based on market considerations and portfolio characteristics. Impairment is determined to exist if the fair value of the leased asset is less than carrying value and it is determined that the net carrying value is not recoverable. The net carrying value of a leased asset is not recoverable if it exceeds the sum of the undiscounted expected future cash flows expected to result from the operating lease payments and the estimated residual value upon eventual disposition. If our operating lease assets are considered to be impaired, the impairment is measured as the amount by which the carrying amount of the assets exceeds the fair value as estimated by discounted cash flows. No impairment was recognized in 2022, 2021, or 2020. When a leased vehicle is returned to us, either at the end of the lease term or through repossession, the asset is reclassified from investment in operating leases, net, to other assets and recorded at the lower-of-cost or estimated fair value, less costs to sell, on our Consolidated Balance Sheet. Any losses recognized at this time are recorded as depreciation expense. Subsequent decline in value and any gain or loss recognized at the time of sale is recognized as a remarketing gain or loss and presented as a component of depreciation expense. |
Impairment of Long-lived Assets | Impairment of Long-lived Assets The net carrying values of long-lived assets (including property and equipment) are evaluated for impairment whenever events or changes in circumstances indicate that their net carrying values may exceed undiscounted future net cash flows. Long-lived assets are considered impaired when the carrying amount is deemed unrecoverable and the carrying amount exceeds fair value. Recoverability is measured by comparing the net carrying amount to future net undiscounted cash flows expected to be generated by the assets. If these assets are considered to be impaired, the impairment is measured as the amount by which the net carrying amount of the assets exceeds the fair value using a discounted cash flow method. No material impairment was recognized in 2022, 2021, or 2020. An impairment test on an asset group to be sold or otherwise disposed of, is performed upon occurrence of a triggering event or when certain criteria are met (for example, the asset is planned to be disposed of within 12 months, appropriate levels of authority have approved the sale, there is an active program to locate a buyer, etc.), which cause the disposal group to be classified as held-for-sale. Long-lived assets held-for-sale are recorded at the lower of their carrying amount or estimated fair value less cost to sell. If the net carrying value of the assets held-for-sale exceeds the fair value less cost to sell, we recognize an impairment loss based on the excess of the net carrying amount over the fair value of the assets less cost to sell. |
Property and Equipment | Property and Equipment Property and equipment stated at cost, net of accumulated depreciation and amortization, are reported in other assets on our Consolidated Balance Sheet. Included in property and equipment are certain buildings, furniture and fixtures, leasehold improvements, IT hardware and software, capitalized software costs, and assets under construction. We begin depreciating these assets when they are ready for their intended use, except for assets under construction, which begin depreciating when they are ready to be placed into service. Depreciation is recorded on a straight-line basis over the estimated useful lives of the assets, which generally ranges from three three |
Goodwill and Other Intangibles | Goodwill and Other Intangibles Goodwill and intangible assets, net of accumulated amortization, are reported in other assets in our Consolidated Balance Sheet. Our intangible assets primarily consist of acquired customer relationships and developed technology, and are amortized using a straight-line methodology over their estimated useful lives. We review intangible assets with a definite useful life for impairment whenever events or changes in circumstances indicate that the carrying amount of the asset may not be recoverable. If it is determined the carrying amount of the asset is not recoverable, an impairment charge is recorded. Goodwill represents the excess of the cost of an acquisition over the fair value of net assets acquired, including identifiable intangibles. We allocate goodwill to applicable reporting units based on the relative fair value of the other net assets allocated to those reporting units at the time of the acquisition. In the event we restructure our business, we may reallocate goodwill. We test goodwill for impairment annually as of July 31 of each year, or more frequently if events and changes in circumstances indicate that it is more likely than not that impairment exists. In certain situations, we may perform a qualitative assessment to test goodwill for impairment. We may also decide to bypass the qualitative assessment and perform a quantitative assessment. If we perform the qualitative assessment to test goodwill for impairment and conclude that it is more likely than not that the reporting unit’s fair value is greater than its carrying value, then the quantitative assessment is not required. However, if we perform the qualitative assessment and determine that it is more likely than not that a reporting unit’s fair value is less than its carrying value, then we must perform the quantitative assessment. The quantitative assessment requires us to compare the fair value of each of the reporting units to their respective carrying value. The fair value of the reporting units in our quantitative assessment is determined based on various analyses including discounted cash flow projections using assumptions a market participant would use. If the fair value of a reporting unit exceeds its carrying amount, goodwill is not considered impaired. If the carrying amount of a reporting unit exceeds its fair value, a goodwill impairment loss is recorded for the excess of the carrying value of the reporting unit over its fair value. |
Unearned Insurance Premiums and Service Revenue | Unearned Insurance Premiums and Service RevenueInsurance premiums, net of premiums ceded to reinsurers, and service revenue are earned over the terms of the policies. The portion of premiums and service revenue written applicable to the unexpired terms of the policies is recorded as unearned insurance premiums or unearned service revenue. For vehicle service, GAP, and maintenance contracts, premiums and service revenues are earned on a basis proportionate to the anticipated cost emergence. |
Deferred Insurance Policy Acquisition Costs | Deferred Insurance Policy Acquisition Costs Incremental direct costs incurred to originate a policy are deferred and recorded in premiums receivable and other insurance assets on our Consolidated Balance Sheet. These costs primarily include commissions paid to dealers to originate these policies and vary with the production of business. Deferred policy acquisition costs are amortized over the terms of the related policies and service contracts on the same basis as premiums and service revenue are earned. We group costs incurred for acquiring like contracts and consider anticipated investment income in determining the recoverability of these costs. |
Reserves for Insurance Losses and Loss Adjustment Expenses | Reserves for Insurance Losses and Loss Adjustment Expenses Reserves for insurance losses and loss adjustment expenses are reported in accrued expenses and other liabilities on our Consolidated Balance Sheet. They are established for the unpaid cost of insured events that have occurred as of a point in time. More specifically, the reserves for insurance losses and loss adjustment expenses represent the accumulation of estimates for both reported losses and those incurred, but not reported, including loss adjustment expenses relating to direct insurance and assumed reinsurance agreements. We use a combination of methods commonly used in the insurance industry, including the chain ladder development factor, expected loss, BF, and frequency and severity methods to determine the ultimate losses for an individual business line as well as accident year basis depending on the maturity of the accident period and business-line specifics. These methodologies are based on different assumptions and use various inputs to develop alternative estimates of losses. The chain ladder development factor is used for more mature years while the expected loss, BF, and frequency and severity methods are used for less mature years. Both paid and incurred loss and loss adjustment expenses are reviewed where available and a weighted average of estimates or a single method may be considered in selecting the final estimate for an individual accident period. We did not change our methodology for developing reserves for insurance losses for the year ended December 31, 2022. Estimates for salvage and subrogation recoverable are recognized in accordance with historical patterns and netted against the provision for insurance losses and loss adjustment expenses. Reserves are established for each product-type at the lowest meaningful level of homogeneous data. Since the reserves are based on estimates, the ultimate liability may vary from these estimates. The estimates are regularly reviewed and adjustments, which can potentially be significant, are included in earnings in the period in which they are deemed necessary. |
Legal and Regulatory Reserves | Legal and Regulatory Reserves Liabilities for legal and regulatory matters are accrued and established when those matters present loss contingencies that are both probable and estimable, with a corresponding amount recorded to other operating expenses in the Consolidated Statement of Income. In cases where we have an accrual for losses, we include an estimate for probable and estimable legal expenses related to the case. |
Earnings per Common Share | Earnings per Common Share We compute basic earnings per common share by dividing net income from continuing operations attributable to common stockholders after deducting dividends on preferred stock by the weighted-average number of common shares outstanding during the period. We compute diluted earnings per common share by dividing net income from continuing operations after deducting dividends on preferred stock by the weighted-average number of common shares outstanding during the period plus the dilution resulting from incremental shares that would have been outstanding if dilutive potential common shares had been issued (assuming it does not have the effect of antidilution), if applicable. |
Derivative Instruments and Hedging Activities | Derivative Instruments and Hedging Activities We use derivative instruments primarily for risk management purposes. We do not use derivative instruments for speculative purposes. Certain of our derivative instruments are designated as accounting hedges in qualifying relationships, whereas other derivative instruments have not been designated as accounting hedges. In accordance with applicable accounting standards, all derivative instruments, whether designated as accounting hedges or not, are recorded on the balance sheet as assets or liabilities and measured at fair value. We have elected to report the fair value of derivative assets and liabilities on a gross basis—including the fair value for the right to reclaim cash collateral or the obligation to return cash collateral—arising from instruments executed with the same counterparty under a master netting arrangement where we do not have the intent to offset. For additional information on derivative instruments and hedging activities, refer to Note 21. At the inception of a qualifying hedge accounting relationship, we designate each qualifying relationship as a hedge of the fair value of a specifically identified asset or liability or portfolio of assets (fair value hedge); as a hedge of the variability of cash flows to be received or paid, or forecasted to be received or paid, related to a recognized asset or liability (cash flow hedge); or as a hedge of the foreign-currency exposure of a net investment in a foreign operation (net investment hedge). We formally document all relationships between hedging instruments and hedged items, as well as the risk management objectives for undertaking such hedge transactions. Both at hedge inception and on an ongoing basis, we formally assess whether the derivatives that are used in hedging relationships are highly effective in offsetting changes in fair values or cash flows of hedged items. Changes in the fair value of derivative instruments qualifying as fair value hedges, along with the gain or loss on the hedged asset or liability attributable to the hedged risk, are recorded in current period earnings. For non-portfolio layer method hedges, the hedge basis (the amount of the change in fair value) is added to (or subtracted from) the carrying amount of the hedged item. For portfolio layer method hedges, the hedge basis does not adjust the carrying value of the hedged item and is instead maintained on a closed portfolio basis. For qualifying cash flow hedges, changes in the fair value of the derivative financial instruments are recorded in accumulated other comprehensive income and recognized in the income statement when the hedged cash flows affect earnings. For a qualifying net investment hedge, the gain or loss is reported in accumulated other comprehensive income as part of the cumulative translation adjustment. Hedge accounting treatment is no longer applied if a derivative financial instrument is terminated, the hedge designation is removed, or the derivative instrument is assessed to no longer be highly effective. For terminated fair value hedges, the hedge basis remains as part of the basis of the hedged asset or liability and is recognized into income over the remaining life of the asset or liability. For terminated portfolio layer method hedges, the hedge basis associated with the discontinued portion of the hedged item is allocated to the remaining individual assets within the closed portfolio that supported the discontinued hedged layer and is recognized into income over the remaining life of those assets. For terminated cash flow hedges, the changes in fair value of the derivative instrument remain in accumulated other comprehensive income and are recognized in the income statement when the hedged cash flows affect earnings. However, if it is probable that the forecasted cash flows will not occur within a specified period, any changes in fair value of the derivative financial instrument remaining in accumulated other comprehensive income are reclassified into earnings immediately. Any previously recognized gain or loss for a net investment hedge continues to remain in accumulated other comprehensive income until earnings are impacted by a sale or liquidation of the associated foreign operation. In all instances, after hedge accounting is no longer applied, any subsequent changes in fair value of the derivative instrument will be recorded into earnings. Changes in the fair value of derivative financial instruments held for risk management purposes that are not designated as accounting hedges under GAAP (economic hedge) are reported in current period earnings. |
Income Taxes | Income Taxes Our income tax expense, deferred tax assets and liabilities, and reserves for unrecognized tax benefits reflect management’s best assessment of estimated current and future taxes to be paid. We are subject to income taxes predominantly in the United States. Significant judgments and estimates are required in determining the consolidated income tax expense. Deferred income taxes arise from temporary differences between the tax and financial statement recognition of revenue and expense. Deferred tax assets are reduced by a valuation allowance, if based on the weight of all available evidence, it is more likely than not, that some or all of the deferred tax assets will not be realized. We use the portfolio approach with respect to reclassification of stranded income tax effects in accumulated other comprehensive income. |
Share-based Compensation | Share-based CompensationOur compensation and benefits expenses include the cost of share-based awards issued to employees. For equity classified share-based awards, compensation cost is ratably charged to expense based on the grant date fair value of the awards over the applicable service periods. For liability classified share-based awards, the associated liability is measured quarterly at fair value based on our share price and services rendered at the time of measurement until the awards are paid, with changes in fair value charged to compensation expense in the period in which the change occurs. We have made an accounting policy election to account for forfeitures of share-based awards as they occur. |
Foreign Exchange | Foreign Exchange Foreign-denominated assets and liabilities resulting from foreign-currency transactions are valued using period-end foreign-exchange rates and the results of operations and cash flows are determined using approximate weighted average exchange rates for the period. Translation adjustments are related to foreign subsidiaries using local currency as their functional currency and are reported as a separate component of accumulated other comprehensive income. Translation gains or losses are reclassified to earnings upon the substantial sale or liquidation of our investments in foreign operations. We may elect to enter into foreign-currency derivatives to mitigate our exposure to changes in foreign-exchange rates. Refer to the Derivative Instruments and Hedging Activities section above for a discussion of our hedging activities of the foreign-currency exposure of a net investment in a foreign operation. |
Recently Adopted and Issued Accounting Standards | Recently Adopted Accounting Standards Fair Value Hedging—Portfolio Layer Method (ASU 2022-01) In the third quarter of 2022, we adopted ASU 2022-01, Derivatives and Hedging (Topic 815): Fair Value Hedging—Portfolio Layer Method . The amendments in this guidance expand the current last-of-layer method to allow multiple hedged layers of a single closed portfolio and allow hedge accounting to be achieved using different types of derivatives and layering techniques, including the use of amortizing swaps with clarification that such a trade would be viewed as being a single layer. Under this expanded scope, both prepayable and nonprepayable financial assets may be included in a single closed portfolio hedge. This update also provides clarifications to breach requirements and disclosures. As a result of these changes, the last-of-layer method has been renamed the portfolio layer method. No cumulative-effect adjustment to the opening balance of retained earnings was required upon adoption of these amendments. The amendments related to disclosures were applied on a prospective basis. Recently Issued Accounting Standards Troubled Debt Restructurings and Vintage Disclosures (ASU 2022-02) In March 2022, the FASB issued ASU 2022-02, Financial Instruments—Credit Losses (Topic 326): Troubled Debt Restructurings and Vintage Disclosures . The purpose of this guidance is twofold. First, the guidance eliminates TDR recognition and measurement guidance that has been deemed no longer necessary under CECL. The guidance also adds a requirement to incorporate current year gross charge-offs by origination year into the vintage tables. With respect to the TDR impacts, under CECL, credit losses for financial assets measured at amortized cost are determined based on the total current expected credit losses over the life of the financial asset or group of financial assets. Therefore, credit losses on financial assets that have been modified as TDRs would have largely been incorporated in the allowance upon initial recognition. Under ASU 2022-02, we will be required to evaluate whether loan modifications previously characterized as TDRs represent a new loan or a continuation of an existing loan in accordance with ASC Topic 310, Receivables . The guidance also adds new disclosures that will require an entity to provide information related to loan modifications that are made to borrowers that are deemed to be in financial difficulty. We adopted the ASU on January 1, 2023, on a prospective basis. The impact of these amendments was not material. Fair Value Measurement of Equity Securities Subject to Contractual Sale Restrictions (ASU 2022-03) In June 2022, the FASB issued ASU 2022-03, Fair Value Measurement (Topic 820): Fair Value Measurement of Equity Securities Subject to Contractual Sale Restrictions . The purpose of this guidance is to clarify that a contractual restriction on the ability to sell an equity security is not considered part of the unit of account of the equity security, and therefore should not be considered when measuring the equity security’s fair value. Additionally, an entity cannot separately recognize and measure a contractual-sale restriction. This guidance also adds specific disclosures related to equity securities that are subject to contractual-sale restrictions, including (1) the fair value of equity securities subject to contractual sale restrictions reflected in the balance sheet, (2) the nature and remaining duration of the restrictions, and (3) the circumstances that could cause a lapse in the restrictions. The amendments are effective on January 1, 2024, with early adoption permitted. The amendments must be applied using a prospective approach with any adjustments from the adoption of the amendments recognized in earnings and disclosed upon adoption. Management does not expect the impact of these amendments to be material. |
Fair Value Measurements | The following are descriptions of the valuation methodologies used to measure material assets and liabilities at fair value and details of the valuation models, key inputs to those models, and significant assumptions utilized. • Equity securities — We hold various marketable equity securities measured at fair value with changes in fair value recognized in net income. Measurements based on observable market prices are classified as Level 1. • Available-for-sale securities — We carry our available-for-sale securities at fair value based on external pricing sources. We classify our securities as Level 1 when fair value is determined using quoted prices available for the same instruments trading in active markets. We classify our securities as Level 2 when fair value is determined using prices for similar instruments trading in active markets. We perform pricing validation procedures for our available-for-sale securities. • Derivative instruments — We enter into a variety of derivative financial instruments as part of our risk-management strategies. Certain of these derivatives are exchange traded, such as equity options. To determine the fair value of these instruments, we utilize the quoted market prices for those particular derivative contracts; therefore, we classified these contracts as Level 1. We also execute OTC and centrally cleared derivative contracts, such as interest rate swaps, foreign-currency denominated forward contracts, caps, floors, and agency to-be-announced securities. We utilize third-party-developed valuation models that are widely accepted in the market to value these derivative contracts. The specific terms of the contract and market observable inputs (such as interest rate forward curves, interpolated volatility assumptions, or equity pricing) are used in the model. We classified these derivative contracts as Level 2 because all significant inputs into these models were market observable. We also enter into interest rate lock commitments and forward commitments that are executed as part of our mortgage business, certain of which meet the accounting definition of a derivative and therefore are recorded as derivatives on our Consolidated Balance Sheet. Interest rate lock commitments are valued using internal pricing models with unobservable inputs, so they are classified as Level 3. We purchase automotive finance receivables and loans from third parties as part of forward flow arrangements and, from time-to-time, execute opportunistic ad-hoc bulk purchases. As part of those agreements, we may withhold a portion of the purchase price from the counterparty and be required to pay the counterparty all or part of the amount withheld at agreed upon measurement dates and determinable amounts if actual credit performance of the acquired loans on the measurement date is better than or equal to what was estimated at the time of acquisition. Because these contracts meet the accounting definition of a derivative, we recognize a liability at fair value for these deferred purchase price payments. The fair value of these liabilities is determined using a discounted cash flow method. To estimate cash flows, we utilize various significant assumptions, including market observable inputs (for example, forward interest rates) and internally developed inputs (for example, prepayment speeds, delinquency levels, and expected credit losses). These liabilities are valued using internal loss models with unobservable inputs, and are classified as Level 3. We are required to consider all aspects of nonperformance risk, including our own credit standing, when measuring fair value of derivative assets and liabilities. We reduce credit risk on the majority of our derivatives by entering into legally enforceable agreements that enable the posting and receiving of collateral associated with the fair value of our derivative positions on an ongoing basis. In the event that we do not enter into legally enforceable agreements that enable the posting and receiving of collateral, we will consider our credit risk in the valuation of derivative liabilities through a DVA and the credit risk of our counterparties in the valuation of derivative assets through a CVA, if warranted. When measuring these valuation adjustments, we generally use credit default swap spreads. |
Revenue from Contract with Cust
Revenue from Contract with Customer (Policies) | 12 Months Ended |
Dec. 31, 2022 | |
Revenue from Contract with Customer [Abstract] | |
Revenue from Contract with Customer | The following is a description of our primary revenue sources that are derived from contracts with customers. Revenue from contracts with customers is recognized when control of the promised goods or services is transferred to our customers, and in an amount that reflects the consideration that we expect to receive in exchange for those goods or services. For information regarding our revenue recognition policies outside the scope of the revenue recognition principles of ASC Topic 606, Revenue from Contracts with Customers , refer to Note 1. • Noninsurance contracts — We sell VSCs that offer owners mechanical repair protection and roadside assistance for new and used vehicles beyond the manufacturer’s new vehicle limited warranty. We sell GAP contracts that protect the customer against having to pay certain amounts to a lender above the fair market value of their vehicle if the vehicle is damaged and declared a total loss or stolen. We also sell VMCs that provide coverage for certain agreed-upon services, such as oil changes and tire rotations, over the coverage period. We receive payment in full at the inception of each of these contracts. Our performance obligation for these contracts is satisfied over the term of the contract and we recognize revenue over the contract term on a basis proportionate to the anticipated incurrence of costs, as we believe this is the most appropriate method to measure progress towards satisfaction of the performance obligation. This revenue is recorded within insurance premiums and service revenue earned in our Consolidated Statement of Income, while associated cancellation and transfer fees are recorded as other income. • Sale of off-lease vehicles — When a customer’s vehicle lease matures, the customer has the option of purchasing or returning the vehicle. If the vehicle is returned to us, we obtain possession with the intent to sell through SmartAuction—our online auction platform, our dealer channel, or through various other physical auctions. Our performance obligation is satisfied and the remarketing gain or loss is recognized when control of the vehicle has passed to the buyer, which coincides with the sale date. Our actual sales proceeds from remarketing the vehicle may be higher or lower than the estimated residual value resulting in a gain or loss on remarketing recorded through depreciation expense on operating lease assets in our Consolidated Statement of Income. • Remarketing fee income — In addition to using SmartAuction as a remarketing channel for our returned lease vehicles, we maintain the SmartAuction internet auction site and administer the auction process for third-party use. We earn a service fee from dealers for every third-party vehicle sold through SmartAuction. Our performance obligation is to provide the online marketplace for used vehicle transactions to be consummated. This obligation is satisfied and revenue is recognized when control of the vehicle has passed to the buyer, which coincides with the sale date. This revenue is recorded as remarketing fees within other income in our Consolidated Statement of Income. • Brokerage commissions and other revenues through Ally Invest — We charge fees to customers related to their use of certain services on our Ally Invest digital wealth management and online brokerage platform. These fees include commissions on low-priced securities, option contracts, certain other security types, account service fees, account management fees on professional portfolio management services, and other ancillary fees. Commissions on customer-directed trades and account service fees are based on published fee schedules and are generated from a customer option to purchase the services offered under the contract. These options do not represent a material right and are only considered a contract when the customer executes their option to purchase these services. Based on this, the term of the contract does not extend beyond the services provided, and accordingly revenue is recognized upon the completion of our performance obligation, which we view as the successful execution of the trade or service. Revenue on professional portfolio management services is calculated monthly based upon a fixed percentage of the client’s assets under management. Due to the fact that this revenue stream is composed of variable consideration that is based on factors outside of our control, we have deemed this revenue as constrained and we are unable to estimate the initial transaction price at the inception of the contract. We have elected to use the practical expedient under GAAP to recognize revenue monthly based on the amount we are able to invoice the customer. Additionally, we earn revenue when we route customers’ orders to market makers, who then execute customers’ trades. The market makers compensate us for the right to fill the customers’ orders. We also earn revenue from a fee-sharing agreement with our clearing broker related to the interest income the clearing broker earns on customer cash balances, securities lending, and margin loans made to our customers. We concluded the initial transaction price is exclusively variable consideration and, based on the nature of our performance obligation to allow the clearing broker to collect interest income from cash deposits and customer loans from our customers, we are unable to determine the amount of revenue to be recognized until the total customer cash balance or the total interest income recognized on margin loans has been determined, which occurs monthly. These revenue streams are recorded as other income in our Consolidated Statement of Income. • Brokered/agent commissions through Insurance operations — We have agreements with third parties to offer various vehicle protection products to consumers. We also have agreements with third-party insurers to offer various insurance coverages to dealers. Our performance obligation for these arrangements is satisfied when a customer or dealer has purchased a vehicle protection product or an insurance policy through the third-party provider. In determining the initial transaction price for these agreements, we noted that revenue on brokered/agent commissions is based on the volume of vehicle protection product contracts sold or a percentage of insurance premium written, which is not known to us at the inception of the agreements with these third-party providers. We concluded the initial transaction price is exclusively variable consideration and, based on the nature of the performance obligation, we are unable to determine the amount of revenue we will record until the customer purchases a vehicle protection product or a dealer purchases an insurance policy from the third-party provider. Once we are notified of vehicle protection product sales or insurance policies issued by the third-party providers, we record the commission earned as insurance premiums and service revenues earned in our Consolidated Statement of Income. • Banking fees and interchange income — We charge depositors various account service fees including those for outgoing wires, excessive transactions, stop payments, and returned deposits. These fees are generated from a customer option to purchase services offered under the contract. These options do not represent a material right and are only considered a contract in accordance with the revenue recognition principles when the customer exercises their option to purchase these account services. Based on this, the term for our contracts with customers is considered day-to-day, and the contract does not extend beyond the services already provided. In May 2021, we eliminated all overdraft fees for Ally Bank deposit accounts. Revenue derived from deposit account fees is recorded at the point in time we perform the requested service, and is recorded as other income in our Consolidated Statement of Income. As a debit and credit card issuer, we also generate interchange fee income from merchants during debit and credit card transactions and incur certain corresponding charges from merchant card networks. For debit card transactions, our performance obligation is satisfied when we have initiated the payment of funds from a customer’s account to a merchant through our contractual agreements with the merchant card networks. For credit card transactions, our performance obligation is satisfied at the time each transaction is captured for settlement with the interchange networks. Interchange fees are reported net of processing fees and customer rewards as other income in our Consolidated Statement of Income. • Other revenue — Other revenue primarily includes service revenue related to various account management functions and fee income derived from third-party lenders arranged through our online automotive lender exchange. These revenue streams are recorded as other income in our Consolidated Statement of Income. |
Acquisitions (Tables)
Acquisitions (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Business Combination and Asset Acquisition [Abstract] | |
Schedule of Business Acquisitions, by Acquisition | The following table summarizes the allocation of cash consideration paid for Fair Square and the amounts of the identifiable assets acquired and liabilities assumed at the acquisition date. ($ in millions) Purchase price Cash consideration $ 741 Allocation of purchase price to net assets acquired Finance receivables and loans (a) 870 Intangible assets (b) 98 Cash and short-term investments 42 Other assets 46 Debt (765) Other liabilities (29) Goodwill $ 479 (a) Included $22 million of PCD loans that have experienced a more-than-insignificant deterioration of credit quality since origination. We recognized an initial allowance for loan losses of $12 million on these PCD loans. (b) The weighted average amortization period on the acquired intangible assets is 7 years. Refer to Note 1 and Note 13 for further information on our intangible assets. |
Revenue from Contracts with C_2
Revenue from Contracts with Customers (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Revenue from Contract with Customer [Abstract] | |
Disaggregation of Revenue | The following table presents a disaggregated view of our revenue from contracts with customers included in other revenue that falls within the scope of the revenue recognition principles of ASC Topic 606, Revenue from Contracts with Customers . Year ended December 31, ($ in millions) Automotive Finance operations Insurance operations Mortgage Finance operations Corporate Finance operations Corporate and Other Consolidated 2022 Revenue from contracts with customers Noninsurance contracts (a) (b) (c) $ — $ 655 $ — $ — $ — $ 655 Remarketing fee income 107 — — — — 107 Brokerage commissions and other revenue — — — — 64 64 Banking fees and interchange income (d) (e) — — — — 44 44 Brokered/agent commissions — 14 — — — 14 Other 20 — — — 4 24 Total revenue from contracts with customers 127 669 — — 112 908 All other revenue 179 354 27 122 (12) 670 Total other revenue (f) $ 306 $ 1,023 $ 27 $ 122 $ 100 $ 1,578 2021 Revenue from contracts with customers Noninsurance contracts (a) (b) (c) $ — $ 627 $ — $ — $ — $ 627 Remarketing fee income 107 — — — — 107 Brokerage commissions and other revenue — — — — 58 58 Banking fees and interchange income (d) (e) — — — — 18 18 Brokered/agent commissions — 16 — — — 16 Other 22 — — — 4 26 Total revenue from contracts with customers 129 643 — — 80 852 All other revenue 122 702 94 128 141 1,187 Total other revenue (f) $ 251 $ 1,345 $ 94 $ 128 $ 221 $ 2,039 2020 Revenue from contracts with customers Noninsurance contracts (a) (b) (c) $ — $ 584 $ — $ — $ — $ 584 Remarketing fee income 73 — — — — 73 Brokerage commissions and other revenue — — — — 52 52 Banking fees and interchange income — — — — 12 12 Brokered/agent commissions — 16 — — — 16 Other 15 1 — — — 16 Total revenue from contracts with customers 88 601 — — 64 753 All other revenue 116 733 102 45 234 1,230 Total other revenue (f) $ 204 $ 1,334 $ 102 $ 45 $ 298 $ 1,983 (a) We had opening balances of $3.1 billion, $3.0 billion, and $2.9 billion in unearned revenue associated with outstanding contracts at January 1, 2022, 2021, and 2020 respectively, and $939 million, $909 million, and $866 million of these balances were recognized as insurance premiums and service revenue earned in our Consolidated Statement of Income during the years ended December 31, 2022, 2021, and 2020, respectively. (b) At December 31, 2022, we had unearned revenue of $3.0 billion associated with outstanding contracts, and with respect to this balance we expect to recognize revenue of $883 million in 2023, $747 million in 2024, $565 million in 2025, $384 million in 2026, and $402 million thereafter. We had unearned revenue of $3.1 billion and $3.0 billion associated with outstanding contracts at December 31, 2021, and 2020, respectively. (c) We had deferred insurance assets of $1.8 billion at both December 31, 2022, and 2020, and $1.9 billion at December 31, 2021. We recognized $564 million, $537 million, and $498 million of expense during the years ended December 31, 2022, 2021, and 2020, respectively. (d) Effective May 25, 2021, we eliminated all overdraft fees for Ally Bank deposit accounts. (e) Interchange income is reported net of customer rewards. Customer rewards expense was $14 million and $1 million for the years ended December 31, 2022, and 2021, respectively. (f) Represents a component of total net revenue. Refer to Note 26 for further information on our reportable operating segments. |
Insurance Premiums and Servic_2
Insurance Premiums and Service Revenue (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Insurance Premiums and Service Revenue [Abstract] | |
Insurance Premiums and Service Revenue | The following table is a summary of insurance premiums and service revenue written and earned. 2022 2021 2020 Year ended December 31, ($ in millions) Written Earned Written Earned Written Earned Insurance premiums Direct $ 388 $ 379 $ 397 $ 389 $ 438 $ 429 Assumed 42 29 15 8 3 3 Gross insurance premiums 430 408 412 397 441 432 Ceded (216) (211) (200) (205) (211) (208) Net insurance premiums 214 197 212 192 230 224 Service revenue 889 954 985 925 999 879 Insurance premiums and service revenue written and earned $ 1,103 $ 1,151 $ 1,197 $ 1,117 $ 1,229 $ 1,103 |
Other Income, Net of Losses (Ta
Other Income, Net of Losses (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Other Nonoperating Income (Expense) [Abstract] | |
Schedule of Other Income, by Component | Details of other income, net of losses, were as follows. Year ended December 31, ($ in millions) 2022 2021 2020 Late charges and other administrative fees $ 162 $ 123 $ 93 Remarketing fees 107 107 73 Income from equity-method investments 102 132 161 (Loss) gain on nonmarketable equity investments, net (a) (132) 142 99 Other, net 256 182 139 Total other income, net of losses $ 495 $ 686 $ 565 (a) Refer to Note 13 for further information on our nonmarketable equity investments. |
Reserves for Insurance Losses_2
Reserves for Insurance Losses and Loss Adjustment Expenses (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Short-Duration Insurance Contracts, Liability for Unpaid Claims and Allocated Claim Adjustment Expense, Net [Abstract] | |
Schedule of Liability for Unpaid Claims and Claims Adjustment Expense | The following table shows incurred claims and allocated loss adjustment expenses, net of reinsurance. For the years ended December 31, ($ in millions) December 31, 2022 ($ in millions) (unaudited supplementary information) Total of incurred-but-not-reported liabilities plus expected development on reported claims (a) Cumulative number of reported claims (a) Accident year 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022 2013 $ 376 $ 365 $ 370 $ 370 $ 369 $ 368 $ 368 $ 368 $ 368 $ 368 $ — 672,284 2014 390 389 388 388 388 388 388 388 388 — 525,298 2015 274 271 272 272 272 272 272 272 — 342,280 2016 326 327 328 328 328 328 328 — 476,056 2017 310 314 315 315 315 315 — 481,750 2018 271 272 272 273 273 — 506,449 2019 303 306 305 305 — 542,314 2020 343 339 339 — 494,382 2021 243 237 1 493,222 2022 258 28 483,742 Total $ 3,083 (a) Claims are reported on a claimant basis. Claimant is defined as one vehicle for GAP products, one repair for VSCs and VMCs, one dealership for dealer inventory products, and per individual/coverage for run-off personal automotive products. The following table shows cumulative paid claims and allocated loss adjustment expenses, net of reinsurance. For the years ended December 31, ($ in millions) (unaudited supplementary information) Accident year 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022 2013 $ 347 $ 364 $ 366 $ 368 $ 368 $ 368 $ 368 $ 368 368 $ 368 2014 369 388 388 388 388 388 388 388 388 2015 252 272 272 272 272 272 272 272 2016 302 327 328 328 328 328 328 2017 289 315 315 315 315 315 2018 245 273 273 273 273 2019 278 306 305 305 2020 313 339 339 2021 213 236 2022 225 Total 3,049 All outstanding liabilities for loss and allocated loss adjustment expenses before 2013, net of reinsurance 10 Reserves for insurance losses and allocated loss adjustment expenses, net of reinsurance $ 44 The following table shows a rollforward of our reserves for insurance losses and loss adjustment expenses. ($ in millions) 2022 2021 2020 Total gross reserves for insurance losses and loss adjustment expenses at January 1, $ 122 $ 129 $ 122 Less: Reinsurance recoverable 81 90 88 Net reserves for insurance losses and loss adjustment expenses at January 1, 41 39 34 Net insurance losses and loss adjustment expenses incurred related to: Current year 282 259 360 Prior years (a) (2) 2 3 Total net insurance losses and loss adjustment expenses incurred 280 261 363 Net insurance losses and loss adjustment expenses paid or payable related to: Current year (246) (229) (328) Prior years (28) (30) (30) Total net insurance losses and loss adjustment expenses paid or payable (274) (259) (358) Net reserves for insurance losses and loss adjustment expenses at December 31, 47 41 39 Plus: Reinsurance recoverable 72 81 90 Total gross reserves for insurance losses and loss adjustment expenses at December 31, $ 119 $ 122 $ 129 (a) There have been no material adverse changes to the reserve for prior years. |
Short-duration Insurance Contracts, Schedule of Historical Claims Duration | The following table shows the average annual percentage payout of incurred claims by age, net of reinsurance. The information presented is unaudited supplementary information. Year 1 2 3 4 5 6 7 8 9 10 Percentage payout of incurred claims 92.3 % 7.5 % 0.1 % 0.1 % — % — % — % — % — % — % |
Short-duration Insurance Contracts, Reconciliation of Claims Development to Liability | The following table shows a reconciliation of the disclosures of incurred and paid claims development to the reserves for insurance losses and loss adjustment expenses. December 31, ($ in millions) 2022 2021 2020 Reserves for insurance losses and loss adjustment expenses, net of reinsurance $ 44 $ 39 $ 37 Total reinsurance recoverable on unpaid claims 72 81 90 Unallocated loss adjustment expenses 3 2 2 Total gross reserves for insurance losses and loss adjustment expenses $ 119 $ 122 $ 129 |
Other Operating Expenses (Table
Other Operating Expenses (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Operating Expenses [Abstract] | |
Schedule of Other Operating Cost and Expense, by Component | Details of other operating expenses were as follows. Year ended December 31 , ($ in millions) 2022 2021 2020 Insurance commissions $ 610 $ 562 $ 517 Technology and communications 406 345 314 Advertising and marketing 366 241 171 Lease and loan administration 201 222 203 Professional services 173 146 118 Property and equipment depreciation 165 153 136 Regulatory and licensing fees 119 75 96 Vehicle remarketing and repossession 91 74 73 Amortization of intangible assets (a) 31 20 18 Charitable contributions (b) 16 63 43 Other 329 305 355 Total other operating expenses $ 2,507 $ 2,206 $ 2,044 (a) Refer to Note 1 and Note 13 for further information on our intangible assets. (b) Includes contributions made to the Ally Charitable Foundation, a nonconsolidated entity. |
Investment Securities (Tables)
Investment Securities (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Investments, Debt and Equity Securities [Abstract] | |
Investment Portfolio | The cost, fair value, and gross unrealized gains and losses on available-for-sale and held-to-maturity securities were as follows. 2022 2021 Amortized cost Gross unrealized Fair value Amortized cost Gross unrealized Fair value December 31, ($ in millions) gains losses gains losses Available-for-sale securities Debt securities U.S. Treasury and federal agencies $ 2,272 $ — $ (256) $ 2,016 $ 2,173 $ 2 $ (20) $ 2,155 U.S. States and political subdivisions 841 1 (82) 760 841 27 (4) 864 Foreign government 158 — (12) 146 157 2 (2) 157 Agency mortgage-backed residential (a) 19,668 3 (3,038) 16,633 19,044 219 (224) 19,039 Mortgage-backed residential 5,154 — (855) 4,299 4,448 11 (34) 4,425 Agency mortgage-backed commercial (a) 4,380 — (845) 3,535 4,573 66 (113) 4,526 Asset-backed 459 — (26) 433 536 1 (3) 534 Corporate debt 1,931 1 (213) 1,719 1,878 30 (21) 1,887 Total available-for-sale securities (b) (c) (d) (e) (f) $ 34,863 $ 5 $ (5,327) $ 29,541 $ 33,650 $ 358 $ (421) $ 33,587 Held-to-maturity securities Debt securities Agency mortgage-backed residential $ 1,062 $ — $ (178) $ 884 $ 1,170 $ 48 $ (14) $ 1,204 Total held-to-maturity securities (f) (g) $ 1,062 $ — $ (178) $ 884 $ 1,170 $ 48 $ (14) $ 1,204 (a) Fair value includes a $12 million liability for agency mortgage-backed residential securities and a $15 million asset for agency mortgage-backed commercial securities related to basis adjustments for securities in closed portfolios with active hedges under the portfolio layer method at December 31, 2022. These basis adjustments would be allocated to the amortized cost of specific securities within the pool if the hedge was dedesignated. Refer to Note 21 for additional information. (b) Certain available-for-sale securities are included in fair value hedging relationships. Refer to Note 21 for additional information. (c) Certain entities related to our Insurance operations are required to deposit securities with state regulatory authorities. These deposited securities totaled $12 million and $13 million at December 31, 2022, and December 31, 2021, respectively. (d) Available-for-sale securities with a fair value of $3.9 billion and $203 million were pledged as collateral at December 31, 2022, and December 31, 2021, respectively. This primarily included $3.0 billion pledged to secure advances from the FHLB at December 31, 2022. This also included securities pledged for other purposes as required by contractual obligations or law, under which agreements we granted the counterparty the right to sell or pledge $899 million and $203 million of the underlying available-for-sale securities at December 31, 2022, and December 31, 2021, respectively. (e) Totals do not include accrued interest receivable, which was $91 million and $84 million at December 31, 2022, and December 31, 2021, respectively. Accrued interest receivable is included in other assets (f) There was no allowance for credit losses recorded at both December 31, 2022, or December 31, 2021, as management determined that there were no expected credit losses in our portfolio of available-for-sale and held-to-maturity securities. (g) Totals do not include accrued interest receivable, which was $2 million and $3 million at December 31, 2022, and December 31, 2021, respectively. Accrued interest receivable is included in other assets on our Consolidated Balance Sheet. |
Investments Classified by Contractual Maturity Date | The maturity distribution of debt securities outstanding is summarized in the following tables based upon contractual maturities. Call or prepayment options may cause actual maturities to differ from contractual maturities. Total Due in one year or less Due after one year through five years Due after five years through ten years Due after ten years ($ in millions) Amount Yield Amount Yield Amount Yield Amount Yield Amount Yield December 31, 2022 Fair value of available-for-sale securities (a) U.S. Treasury and federal agencies $ 2,016 1.6 % $ — — % $ 716 1.3 % $ 1,300 1.7 % $ — — % U.S. States and political subdivisions 760 3.2 26 2.7 60 2.7 112 3.3 562 3.2 Foreign government 146 1.8 13 0.8 74 1.8 59 1.9 — — Agency mortgage-backed residential (b) 16,633 2.6 — — — — 27 2.0 16,606 2.6 Mortgage-backed residential 4,299 2.8 — — — — 14 2.9 4,285 2.8 Agency mortgage-backed commercial (b) 3,535 2.2 — — 66 3.1 1,234 2.1 2,235 2.1 Asset-backed 433 1.7 — — 401 1.7 25 1.8 7 3.5 Corporate debt 1,719 2.4 86 2.4 912 2.3 705 2.6 16 4.9 Total available-for-sale securities $ 29,541 2.5 $ 125 2.3 $ 2,229 1.9 $ 3,476 2.1 $ 23,711 2.6 Amortized cost of available-for-sale securities $ 34,863 $ 126 $ 2,403 $ 4,048 $ 28,286 Amortized cost of held-to-maturity securities Agency mortgage-backed residential $ 1,062 2.8 % $ — — % $ — — % $ — — % $ 1,062 2.8 % Total held-to-maturity securities $ 1,062 2.8 $ — — $ — — $ — — $ 1,062 2.8 December 31, 2021 Fair value of available-for-sale securities (a) U.S. Treasury and federal agencies $ 2,155 1.1 % $ 288 1.0 % $ 525 0.9 % $ 1,342 1.2 % $ — — % U.S. States and political subdivisions 864 3.0 26 1.6 77 2.8 128 3.3 633 3.0 Foreign government 157 1.9 2 2.1 97 2.0 58 1.8 — — Agency mortgage-backed residential 19,039 2.5 — — — — 26 2.0 19,013 2.5 Mortgage-backed residential 4,425 2.6 — — — — 23 2.9 4,402 2.6 Agency mortgage-backed commercial 4,526 1.9 — — 26 2.4 1,578 2.4 2,922 1.7 Asset-backed 534 1.9 — — 350 2.0 175 1.5 9 3.4 Corporate debt 1,887 2.3 54 2.9 830 2.3 994 2.3 9 2.5 Total available-for-sale securities $ 33,587 2.3 $ 370 1.3 $ 1,905 1.9 $ 4,324 2.0 $ 26,988 2.4 Amortized cost of available-for-sale securities $ 33,650 $ 368 $ 1,893 $ 4,291 $ 27,098 Amortized cost of held-to-maturity securities Agency mortgage-backed residential $ 1,170 2.8 % $ — — % $ — — % $ — — % $ 1,170 2.8 % Total held-to-maturity securities $ 1,170 2.8 $ — — $ — — $ — — $ 1,170 2.8 (a) Yield is calculated using the effective yield of each security at the end of the period, weighted based on the market value. The effective yield considers the contractual coupon and amortized cost, and excludes expected capital gains and losses. (b) Fair value includes a $12 million liability for agency mortgage-backed residential securities and a $15 million asset for agency mortgage-backed commercial securities related to basis adjustments for securities in closed portfolios with active hedges under the portfolio layer method at December 31, 2022. These basis adjustments would be allocated to the amortized cost of specific securities within the pool if the hedge was dedesignated. Refer to Note 21 for additional information. |
Investment Income | The following table presents interest and dividends on investment securities. Year ended December 31, ($ in millions) 2022 2021 2020 Taxable interest $ 765 $ 533 $ 654 Taxable dividends 17 27 21 Interest and dividends exempt from U.S. federal income tax 22 19 17 Interest and dividends on investment securities $ 804 $ 579 $ 692 |
Schedule of Realized Gain (Loss) | The following table presents gross gains and losses realized upon the sales of available-for-sale securities, and net gains or losses on equity securities held during the period. Year ended December 31, ( $ in millions) 2022 2021 2020 Available-for-sale securities Gross realized gains $ 23 $ 102 $ 173 Gross realized losses (a) — — (2) Net realized gain on available-for-sale securities 23 102 171 Net realized gain on equity securities 72 190 107 Net unrealized (loss) gain on equity securities (215) (7) 29 Other (loss) gain on investments, net $ (120) $ 285 $ 307 (a) Certain available-for-sale securities were sold at a loss during the year ended December 31, 2020, as a result of identifiable market or credit events, or a loss was realized based on corporate actions outside of our control (such as a call by the issuer). Any such sales were made in accordance with our risk-management policies and practices. |
Held to Maturity Debt Securities by Credit Quality | The following table presents the credit quality of our held-to-maturity securities, based on the latest available information as of December 31, 2022, and December 31, 2021. The credit ratings are sourced from nationally recognized statistical rating organizations, which include S&P, Moody’s, and Fitch. The ratings presented are a composite of the ratings sourced from the agencies or, if the ratings cannot be sourced from the agencies, are based on the asset type of the particular security. All our held-to-maturity securities were current in their payment of principal and interest as of both December 31, 2022, and December 31, 2021. We have not recorded any interest income reversals on our held-to-maturity securities during the years ended December 31, 2022, or 2021. 2022 2021 December 31, ($ in millions) AA Total (a) AA Total (a) Debt securities Agency mortgage-backed residential $ 1,062 $ 1,062 $ 1,170 $ 1,170 Total held-to-maturity securities $ 1,062 $ 1,062 $ 1,170 $ 1,170 (a) Rating agencies indicate that they base their ratings on many quantitative and qualitative factors, which may include capital adequacy, liquidity, asset quality, business mix, level and quality of earnings, and the current operating, legislative, and regulatory environment. A credit rating is not a recommendation to buy, sell, or hold securities, and the ratings are subject to revision or withdrawal at any time by the assigning rating agency. |
Schedule of Available-for-Sale Securities in Unrealized Loss Position | The following table summarizes available-for-sale securities in an unrealized loss position, which we evaluated to determine if a credit loss exists requiring the recognition of an allowance for credit losses. For additional information on our methodology, refer to Note 1. As of December 31, 2022, and December 31, 2021, we did not have the intent to sell the available-for-sale securities with an unrealized loss position and we do not believe it is more likely than not that we will be required to sell these securities before recovery of their amortized cost basis. We have not recorded any interest income reversals on our available-for-sale securities during the years ended December 31, 2022, or 2021. 2022 2021 Less than 12 months 12 months or longer Less than 12 months 12 months or longer December 31, ($ in millions) Fair value Unrealized loss Fair value Unrealized loss Fair value Unrealized loss Fair value Unrealized loss Available-for-sale securities Debt securities U.S. Treasury and federal agencies $ 529 $ (68) $ 1,487 $ (188) $ 1,682 $ (20) $ — $ — U.S. States and political subdivisions 547 (55) 135 (27) 160 (3) 31 (1) Foreign government 75 (4) 71 (8) 76 (2) 7 — Agency mortgage-backed residential (a) 7,472 (892) 8,978 (2,146) 12,244 (223) 38 (1) Mortgage-backed residential 1,985 (289) 2,287 (566) 3,243 (34) 22 — Agency mortgage-backed commercial (a) 996 (124) 2,535 (721) 2,553 (70) 749 (43) Asset-backed 162 (4) 272 (22) 360 (3) — — Corporate debt 782 (67) 895 (146) 970 (18) 49 (3) Total available-for-sale securities $ 12,548 $ (1,503) $ 16,660 $ (3,824) $ 21,288 $ (373) $ 896 $ (48) (a) Amounts include a $12 million liability for agency mortgage-backed residential securities and a $15 million asset for agency mortgage-backed commercial securities related to basis adjustments for securities in closed portfolios with active hedges under the portfolio layer method at December 31, 2022. These basis adjustments would be allocated to the amortized cost of specific securities within the pool if the hedge was dedesignated. Refer to Note 21 for additional information. |
Finance Receivables and Loans_2
Finance Receivables and Loans, Net (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Receivables [Abstract] | |
Schedule of Accounts, Notes, Loans and Financing Receivable | The composition of finance receivables and loans reported at amortized cost basis was as follows. December 31, ($ in millions) 2022 2021 Consumer automotive (a) $ 83,286 $ 78,252 Consumer mortgage Mortgage Finance (b) 19,445 17,644 Mortgage — Legacy (c) 290 368 Total consumer mortgage 19,735 18,012 Consumer other Personal Lending (d) 1,990 1,009 Credit Card (e) 1,599 953 Total consumer other 3,589 1,962 Total consumer 106,610 98,226 Commercial Commercial and industrial Automotive 14,595 12,229 Other 9,154 6,874 Commercial real estate 5,389 4,939 Total commercial 29,138 24,042 Total finance receivables and loans (f) (g) $ 135,748 $ 122,268 (a) Certain finance receivables and loans are included in fair value hedging relationships. Refer to Note 21 for additional information. (b) Includes loans originated as interest-only mortgage loans of $3 million and $5 million at December 31, 2022, and December 31, 2021, respectively, of which all have exited the interest-only period. (c) Includes loans originated as interest-only mortgage loans of $17 million and $21 million at December 31, 2022, and December 31, 2021, respectively, of which all have exited the interest-only period. (d) Includes $3 million and $7 million of finance receivables at December 31, 2022, and December 31, 2021, respectively, for which we have elected the fair value option. (e) Refer to Note 2 for information regarding our acquisition of Ally Credit Card. (f) Totals include net unearned income, unamortized premiums and discounts, and deferred fees and costs of $2.3 billion at both December 31, 2022, and December 31, 2021. (g) Totals do not include accrued interest receivable, which was $707 million and $514 million at December 31, 2022, and December 31, 2021, respectively. Accrued interest receivable is included in other assets on our Consolidated Balance Sheet. Billed interest on our credit card loans is included within finance receivables and loans, net. |
Allowance for Credit Losses on Financing Receivables | The following tables present an analysis of the activity in the allowance for loan losses on finance receivables and loans for the years ended December 31, 2022, and 2021, respectively. ($ in millions) Consumer automotive Consumer mortgage Consumer other (a) Commercial Total Allowance at January 1, 2022 $ 2,769 $ 27 $ 221 $ 250 $ 3,267 Charge-offs (b) (1,434) (3) (133) (58) (1,628) Recoveries 649 12 12 3 676 Net charge-offs (785) 9 (121) (55) (952) Provision for credit losses (c) 1,036 (8) 326 42 1,396 Other — (1) — 1 — Allowance at December 31, 2022 $ 3,020 $ 27 $ 426 $ 238 $ 3,711 (a) Excludes $7 million and $3 million of finance receivables and loans at January 1, 2022, and December 31, 2022, respectively, for which we have elected the fair value option and incorporate no allowance for loan losses. (b) Refer to Note 1 for information regarding our charge-off policies. (c) Excludes $3 million of provision for credit losses related to our reserve for unfunded commitments. The liability related to the reserve for unfunded commitments is included in accrued expenses and other liabilities on our Consolidated Balance Sheet. ($ in millions) Consumer automotive Consumer mortgage Consumer other (a) Commercial Total Allowance at January 1, 2021 $ 2,902 $ 33 $ 73 $ 275 $ 3,283 Charge-offs (b) (923) (6) (30) (22) (981) Recoveries 686 13 2 11 712 Net charge-offs (237) 7 (28) (11) (269) Provision for credit losses (c) 104 (14) 163 (12) 241 Other (d) — 1 13 (2) 12 Allowance at December 31, 2021 $ 2,769 $ 27 $ 221 $ 250 $ 3,267 (a) Excludes $8 million and $7 million of finance receivables and loans at January 1, 2021, and December 31, 2021, respectively, for which we have elected the fair value option and incorporate no allowance for loan losses. (b) Refer to Note 1 for information regarding our charge-off policies. (c) Consumer other includes $97 million of provision for credit losses recorded to establish an initial reserve on loans acquired in the Ally Credit Card acquisition. (d) Consumer other includes $12 million of allowance for credit losses recognized on PCD loans acquired in the Ally Credit Card acquisition. Refer to Note 2 for additional details. |
Schedule of Sales of Financing Receivables and Loans | The following table presents information about sales of finance receivables and loans and transfers of finance receivables and loans from held-for-investment to held-for-sale based on net carrying value. Year ended December 31, ($ in millions) 2022 2021 Consumer automotive $ 23 $ — Consumer mortgage 4 414 Total sales and transfers $ 27 $ 414 |
Schedule of Purchases of Financing Receivables and Loans | The following table presents information about purchases of finance receivables and loans based on unpaid principal balance at the time of purchase. Year ended December 31, ($ in millions) 2022 2021 Consumer automotive $ 4,092 $ 2,506 Consumer mortgage 2,781 3,853 Consumer other (a) — 882 Commercial 18 6 Total purchases of finance receivables and loans (b) $ 6,891 $ 7,247 (a) During the year ended December 31, 2021, we obtained $882 million of finance receivables and loans from our acquisition of Ally Credit Card. For additional information on our acquisition, refer to Note 2. (b) Excludes $12 million and $14 million of finance receivables and loans purchased during the years ended December 31, 2022, and December 31, 2021, respectively, for which we have elected the fair value option. |
Schedule of Financing Receivables, Nonaccrual Status | The following tables present the amortized cost of our finance receivables and loans on nonaccrual status. All consumer or commercial finance receivables and loans that were 90 days or more past due were on nonaccrual status as of December 31, 2022, and December 31, 2021. December 31, 2022 ($ in millions) Nonaccrual status at Jan. 1, 2022 Nonaccrual status Nonaccrual with no allowance (a) Consumer automotive $ 1,078 $ 1,187 $ 445 Consumer mortgage Mortgage Finance 59 34 25 Mortgage — Legacy 26 15 14 Total consumer mortgage 85 49 39 Consumer other Personal Lending 5 13 — Credit Card 11 43 — Total consumer other 16 56 — Total consumer 1,179 1,292 484 Commercial Commercial and industrial Automotive 33 5 2 Other 221 157 33 Commercial real estate 3 — — Total commercial 257 162 35 Total finance receivables and loans $ 1,436 $ 1,454 $ 519 (a) Represents a component of nonaccrual status at end of period. December 31, 2021 ($ in millions) Nonaccrual status at Jan. 1, 2021 Nonaccrual status Nonaccrual with no allowance (a) Consumer automotive $ 1,256 $ 1,078 $ 423 Consumer mortgage Mortgage Finance 67 59 39 Mortgage — Legacy 35 26 23 Total consumer mortgage 102 85 62 Consumer other Personal Lending 3 5 — Credit Card — 11 — Total consumer other 3 16 — Total consumer 1,361 1,179 485 Commercial Commercial and industrial Automotive 40 33 32 Other 116 221 48 Commercial real estate 5 3 3 Total commercial 161 257 83 Total finance receivables and loans $ 1,522 $ 1,436 $ 568 (a) Represents a component of nonaccrual status at end of period. |
Financing Receivable Credit Quality Indicators | The following tables present the amortized cost basis of our consumer finance receivables and loans by credit quality indicator based on delinquency status and origination year. Origination year Revolving loans converted to term December 31, 2022 ($ in millions) 2022 2021 2020 2019 2018 2017 and prior Revolving loans Total Consumer automotive Current $ 36,127 $ 22,102 $ 10,341 $ 6,451 $ 3,237 $ 1,890 $ — $ — $ 80,148 30–59 days past due 707 878 370 284 165 120 — — 2,524 60–89 days past due 207 324 135 99 55 38 — — 858 90 or more days past due 73 111 47 38 23 24 — — 316 Total consumer automotive (a) 37,114 23,415 10,893 6,872 3,480 2,072 — — 83,846 Consumer mortgage Mortgage Finance Current 2,292 10,893 1,946 815 577 2,805 — — 19,328 30–59 days past due 15 29 4 3 4 26 — — 81 60–89 days past due 2 4 — 1 1 3 — — 11 90 or more days past due — 1 — 2 8 14 — — 25 Total Mortgage Finance 2,309 10,927 1,950 821 590 2,848 — — 19,445 Mortgage — Legacy Current — — — — — 62 191 18 271 30–59 days past due — — — — — 4 1 — 5 60–89 days past due — — — — — — — 1 1 90 or more days past due — — — — — 8 3 2 13 Total Mortgage — Legacy — — — — — 74 195 21 290 Total consumer mortgage 2,309 10,927 1,950 821 590 2,922 195 21 19,735 Consumer other Personal Lending Current 1,492 392 48 5 1 — — — 1,938 30–59 days past due 14 6 1 — — — — — 21 60–89 days past due 9 5 1 — — — — — 15 90 or more days past due 8 5 — — — — — — 13 Total Personal Lending (b) 1,523 408 50 5 1 — — — 1,987 Credit Card Current — — — — — — 1,518 — 1,518 30–59 days past due — — — — — — 22 — 22 60–89 days past due — — — — — — 18 — 18 90 or more days past due — — — — — — 41 — 41 Total Credit Card — — — — — — 1,599 — 1,599 Total consumer other 1,523 408 50 5 1 — 1,599 — 3,586 Total consumer $ 40,946 $ 34,750 $ 12,893 $ 7,698 $ 4,071 $ 4,994 $ 1,794 $ 21 $ 107,167 (a) Certain consumer automotive loans are included in fair value hedging relationships. The amortized cost excludes a liability of $560 million related to basis adjustments for loans in closed portfolios with active hedges under the portfolio layer method at December 31, 2022. These basis adjustments would be allocated to the amortized cost of specific loans within the pool if the hedge was dedesignated. Refer to Note 21 for additional information. (b) Excludes $3 million of finance receivables at December 31, 2022, for which we have elected the fair value option. Origination year Revolving loans converted to term December 31, 2021 ($ in millions) 2021 2020 2019 2018 2017 2016 and prior Revolving loans Total Consumer automotive Current $ 35,222 $ 17,218 $ 11,512 $ 6,692 $ 3,403 $ 1,911 $ — $ — $ 75,958 30–59 days past due 424 353 334 226 139 101 — — 1,577 60–89 days past due 115 114 108 70 41 28 — — 476 90 or more days past due 41 51 56 40 27 26 — — 241 Total consumer automotive 35,802 17,736 12,010 7,028 3,610 2,066 — — 78,252 Consumer mortgage Mortgage Finance Current 10,169 2,212 977 744 1,041 2,363 — — 17,506 30–59 days past due 50 3 3 7 2 12 — — 77 60–89 days past due 8 — 1 — — 5 — — 14 90 or more days past due — — 5 16 7 19 — — 47 Total Mortgage Finance 10,227 2,215 986 767 1,050 2,399 — — 17,644 Mortgage — Legacy Current — — — — — 79 238 23 340 30–59 days past due — — — — — 2 1 — 3 60–89 days past due — — — — — 1 — 1 2 90 or more days past due — — — — — 15 5 3 23 Total Mortgage — Legacy — — — — — 97 244 27 368 Total consumer mortgage 10,227 2,215 986 767 1,050 2,496 244 27 18,012 Consumer other Personal Lending Current 821 133 18 5 1 — — — 978 30–59 days past due 9 2 — — — — — — 11 60–89 days past due 6 1 1 — — — — — 8 90 or more days past due 4 1 — — — — — — 5 Total Personal Lending (a) 840 137 19 5 1 — — — 1,002 Credit Card Current — — — — — — 932 — 932 30–59 days past due — — — — — — 6 — 6 60–89 days past due — — — — — — 5 — 5 90 or more days past due — — — — — — 10 — 10 Total Credit Card — — — — — — 953 — 953 Total consumer other 840 137 19 5 1 — 953 — 1,955 Total consumer $ 46,869 $ 20,088 $ 13,015 $ 7,800 $ 4,661 $ 4,562 $ 1,197 $ 27 $ 98,219 (a) Excludes $7 million of finance receivables at December 31, 2021, for which we have elected the fair value option. Origination year Revolving loans converted to term December 31, 2022 ($ in millions) 2022 2021 2020 2019 2018 2017 and prior Revolving loans Total Commercial Commercial and industrial Automotive Pass $ 640 $ 211 $ 132 $ 78 $ 28 $ 34 $ 12,327 $ — $ 13,450 Special mention 23 47 — — 10 21 1,016 — 1,117 Substandard — — — 1 — — 27 — 28 Total automotive 663 258 132 79 38 55 13,370 — 14,595 Other Pass 594 469 607 419 54 133 5,344 89 7,709 Special mention 177 158 175 95 47 128 278 35 1,093 Substandard — — 4 51 — 139 55 13 262 Doubtful — — — 64 — 25 — — 89 Loss — — — — — — 1 — 1 Total other 771 627 786 629 101 425 5,678 137 9,154 Commercial real estate Pass 1,481 1,118 951 679 369 716 9 13 5,336 Special mention — 32 2 19 — — — — 53 Total commercial real estate 1,481 1,150 953 698 369 716 9 13 5,389 Total commercial $ 2,915 $ 2,035 $ 1,871 $ 1,406 $ 508 $ 1,196 $ 19,057 $ 150 $ 29,138 Origination year Revolving loans converted to term December 31, 2021 ($ in millions) 2021 2020 2019 2018 2017 2016 and prior Revolving loans Total Commercial Commercial and industrial Automotive Pass $ 347 $ 190 $ 112 $ 49 $ 23 $ 56 $ 10,741 $ — $ 11,518 Special mention 7 1 7 15 31 18 589 — 668 Substandard — 1 — 1 — — 41 — 43 Total automotive 354 192 119 65 54 74 11,371 — 12,229 Other Pass 739 448 374 86 99 68 4,032 83 5,929 Special mention 15 169 96 21 10 122 93 17 543 Substandard — 22 95 — 140 83 13 23 376 Doubtful — — — — — 26 — — 26 Total other 754 639 565 107 249 299 4,138 123 6,874 Commercial real estate Pass 1,298 1,060 873 604 342 653 3 8 4,841 Special mention 13 5 29 7 18 19 — — 91 Substandard — — — — — 7 — — 7 Total commercial real estate 1,311 1,065 902 611 360 679 3 8 4,939 Total commercial $ 2,419 $ 1,896 $ 1,586 $ 783 $ 663 $ 1,052 $ 15,512 $ 131 $ 24,042 |
Past Due Financing Receivables | The following table presents an analysis of our past-due commercial finance receivables and loans recorded at amortized cost basis. ($ in millions) 30–59 days past due 60–89 days past due 90 days or more past due Total past due Current Total finance receivables and loans December 31, 2022 Commercial Commercial and industrial Automotive $ — $ — $ — $ — $ 14,595 $ 14,595 Other — 1 2 3 9,151 9,154 Commercial real estate — — — — 5,389 5,389 Total commercial $ — $ 1 $ 2 $ 3 $ 29,135 $ 29,138 December 31, 2021 Commercial Commercial and industrial Automotive $ — $ — $ — $ — $ 12,229 $ 12,229 Other — — 1 1 6,873 6,874 Commercial real estate — — — — 4,939 4,939 Total commercial $ — $ — $ 1 $ 1 $ 24,041 $ 24,042 |
Troubled Debt Restructurings on Financing Receivables | The following tables present information related to finance receivables and loans recorded at amortized cost modified in connection with a TDR during the period. Year ended December 31, ($ in millions) Number of loans Pre-modification amortized cost basis Post-modification amortized cost basis 2022 Consumer automotive 49,773 $ 831 $ 805 Consumer mortgage Mortgage Finance 18 12 12 Mortgage — Legacy 13 1 1 Total consumer mortgage 31 13 13 Consumer other Credit Card 2,853 5 5 Total consumer other 2,853 5 5 Total consumer 52,657 849 823 Commercial Commercial and industrial Other 5 461 466 Total commercial 5 461 466 Total finance receivables and loans 52,662 $ 1,310 $ 1,289 Year ended December 31, ($ in millions) Number of loans Pre-modification amortized cost basis Post-modification amortized cost basis 2021 Consumer automotive 77,991 $ 1,395 $ 1,371 Consumer mortgage Mortgage Finance 38 22 22 Mortgage — Legacy 16 2 2 Total consumer mortgage 54 24 24 Consumer other Credit Card 113 — — Total consumer other 113 — — Total consumer 78,158 1,419 1,395 Commercial Commercial and industrial Automotive 1 2 2 Other 1 33 33 Commercial real estate 2 4 4 Total commercial 4 39 39 Total finance receivables and loans 78,162 $ 1,458 $ 1,434 Year ended December 31, ($ in millions) Number of loans Pre-modification amortized cost basis Post-modification amortized cost basis 2020 Consumer automotive 114,595 $ 1,908 $ 1,835 Consumer mortgage Mortgage Finance 41 20 20 Mortgage — Legacy 74 9 9 Total consumer mortgage 115 29 29 Total consumer 114,710 1,937 1,864 Commercial Commercial and industrial Automotive 5 45 40 Other 3 81 61 Total commercial 8 126 101 Total finance receivables and loans 114,718 $ 2,063 $ 1,965 |
Finance Receivables and Loans Redefaulted During the Period | The following table presents information about finance receivables and loans recorded at amortized cost that have redefaulted during the reporting period and were within 12 months or less of being modified as a TDR. Redefault is when finance receivables and loans meet the requirements for evaluation under our charge-off policy (refer to Note 1 for additional information) except for commercial finance receivables and loans, where redefault is defined as 90 days past due. Year ended December 31, ($ in millions) Number of loans Amortized cost Charge-off amount 2022 Consumer automotive 9,227 $ 143 $ 64 Consumer mortgage Mortgage Finance 4 2 — Total consumer mortgage 4 2 — Consumer other Credit Card 457 — — Total consumer other 457 — — Total consumer 9,688 $ 145 $ 64 Commercial Commercial and industrial Other 1 1 31 Total commercial 1 1 31 Total finance receivables and loans 9,689 $ 146 $ 95 2021 Consumer automotive 9,295 $ 119 $ 61 Consumer mortgage Mortgage Finance 1 — — Mortgage — Legacy 4 — — Total consumer mortgage 5 — — Total consumer finance receivables and loans 9,300 119 61 Total finance receivables and loans 9,300 $ 119 $ 61 2020 Consumer automotive 10,070 $ 104 $ 71 Consumer mortgage Mortgage Finance 1 — — Mortgage — Legacy 1 — — Total consumer mortgage 2 — — Total consumer finance receivables and loans 10,072 104 71 Total finance receivables and loans 10,072 $ 104 $ 71 |
Consumer Concentration Risk | The following table shows the percentage of consumer automotive, consumer mortgage, and consumer other finance receivables and loans by state concentration based on amortized cost. 2022 (a) 2021 December 31, Consumer automotive Consumer mortgage Consumer other (b) Consumer automotive Consumer mortgage Consumer other (b) California 8.7 % 38.8 % 8.4 % 8.7 % 39.6 % 9.4 % Texas 13.6 7.3 7.7 13.0 7.3 7.4 Florida 9.5 6.6 7.8 9.3 6.3 8.4 Pennsylvania 4.5 2.1 4.6 4.4 2.3 4.5 Georgia 4.1 2.9 3.5 4.0 3.0 3.4 North Carolina 4.1 1.9 4.6 4.1 1.6 3.4 Illinois 3.5 2.8 4.3 3.7 3.1 4.4 New York 3.6 1.9 4.8 3.3 2.1 5.5 New Jersey 3.2 2.4 3.6 3.0 2.5 3.4 Ohio 3.4 0.4 3.6 3.4 0.5 3.9 Other United States 41.8 32.9 47.1 43.1 31.7 46.3 Total consumer loans 100.0 % 100.0 % 100.0 % 100.0 % 100.0 % 100.0 % (a) Presentation is in descending order as a percentage of total consumer finance receivables and loans at December 31, 2022. (b) Excludes $3 million and $7 million of finance receivables at December 31, 2022, and December 31, 2021, respectively, for which we have elected the fair value option. |
Commercial Concentration Risk | The following table presents the percentage of total commercial real estate finance receivables and loans by state concentration based on amortized cost. December 31, 2022 2021 Florida 17.9 % 16.4 % Texas 14.9 13.9 California 8.4 8.3 New York 6.3 3.8 North Carolina 5.3 5.8 Michigan 4.2 5.8 Ohio 4.2 3.4 Georgia 3.1 3.3 Utah 2.9 3.0 Illinois 2.7 2.9 Other United States 30.1 33.4 Total commercial real estate finance receivables and loans 100.0 % 100.0 % |
Commercial Criticized Risk Exposure | The following table presents the percentage of total commercial criticized finance receivables and loans by industry concentration based on amortized cost. December 31, 2022 2021 Industry Automotive 53.4 % 50.8 % Chemicals 14.7 14.4 Electronics 11.9 3.6 Other 20.0 31.2 Total commercial criticized finance receivables and loans 100.0 % 100.0 % |
Leasing (Tables)
Leasing (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Leases [Abstract] | |
Lessee, Operating Lease, Liability, Maturity | The following table presents future minimum rental payments we are required to make under operating leases that have commenced as of December 31, 2022, and that have noncancelable lease terms expiring after December 31, 2022. Year ended December 31, ($ in millions) 2023 $ 35 2024 32 2025 26 2026 20 2027 16 2028 and thereafter 18 Total undiscounted cash flows 147 Difference between undiscounted cash flows and discounted cash flows (10) Total lease liability $ 137 |
Lease, Cost | The following table details the components of total net operating lease expense. Year ended December 31, ($ in millions) 2022 2021 2020 Operating lease expense $ 33 $ 46 $ 46 Variable lease expense 4 7 8 Total lease expense, net (a) $ 37 $ 53 $ 54 (a) Included in other operating expenses in our Consolidated Statement of Income. |
Schedule of Investment in Operating Lease | The following table details our investment in operating leases. Year ended December 31, ($ in millions) 2022 2021 Vehicles $ 12,304 $ 12,384 Accumulated depreciation (1,860) (1,522) Investment in operating leases, net $ 10,444 $ 10,862 |
Lessor, Operating Lease, Payments to be Received, Maturity | The following table presents future minimum rental payments we have the right to receive under operating leases with noncancelable lease terms expiring after December 31, 2022. Year ended December 31, ($ in millions) 2023 $ 1,529 2024 964 2025 445 2026 105 2027 8 Total lease payments from operating leases $ 3,051 |
Depreciation Expense on Operating Lease Assets | The following table summarizes the components of depreciation expense on operating lease assets. Year ended December 31, ($ in millions) 2022 2021 2020 Depreciation expense on operating lease assets (excluding remarketing gains) (a) $ 1,084 $ 914 $ 978 Remarketing gains, net (170) (344) (127) Net depreciation expense on operating lease assets $ 914 $ 570 $ 851 (a) Includes variable lease payments related to excess mileage and excessive wear and tear on vehicles of $7 million during the year ended December 31, 2022, $16 million during the year ended December 31, 2021, and $23 million during the year ended December 31, 2020. |
Finance Lease, Liability, Maturity | The following table presents future minimum rental payments we have the right to receive under finance leases with noncancelable lease terms expiring after December 31, 2022. Year ended December 31, ($ in millions) 2023 $ 166 2024 132 2025 116 2026 63 2027 33 2028 and thereafter 10 Total undiscounted cash flows 520 Difference between undiscounted cash flows and discounted cash flows (53) Present value of lease payments recorded as lease receivable $ 467 |
Securitizations and Variable _2
Securitizations and Variable Interest Entities (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Securitizations And Variable Interest Entities [Abstract] | |
Schedule of Variable Interest Entities | The following table presents our involvement in consolidated and nonconsolidated VIEs in which we hold variable interests. We have excluded certain transactions with nonconsolidated entities from the balances presented in the table below, where our only continuing involvement relates to financial interests obtained through the ordinary course of business, primarily from lending and investing arrangements. For additional detail related to the assets and liabilities of consolidated variable interest entities refer to the Consolidated Balance Sheet. December 31, ($ in millions) Carrying value of total assets Carrying value of total liabilities Assets sold to nonconsolidated VIEs (a) Maximum exposure to loss in nonconsolidated VIEs 2022 On-balance sheet variable interest entities Consumer automotive $ 20,415 (b) $ 2,553 (c) $ — $ — Off-balance sheet variable interest entities Consumer automotive — — 227 227 (d) Consumer other (e) — — 103 103 Commercial other 2,199 (f) 873 (g) — 2,767 (h) Total $ 22,614 $ 3,426 $ 330 $ 3,097 2021 On-balance sheet variable interest entities Consumer automotive $ 18,158 (b) $ 1,162 (c) $ — $ — Consumer other (e) 318 300 — — Off-balance sheet variable interest entities Commercial other 1,814 (f) 726 (g) — 2,416 (h) Total $ 20,290 $ 2,188 $ — $ 2,416 (a) Asset values represent the current unpaid principal balance of outstanding consumer automotive and credit card finance receivables and loans within the VIEs. (b) Includes $10.6 billion and $11.0 billion of assets that were not encumbered by VIE beneficial interests held by third parties at December 31, 2022, and December 31, 2021, respectively. Ally or consolidated affiliates hold the interests in these assets. (c) Includes $113 million and $124 million of liabilities that were not obligations to third-party beneficial interest holders at December 31, 2022, and December 31, 2021, respectively. (d) Maximum exposure to loss represents the current unpaid principal balance of outstanding loans based on our customary representation and warranty provisions. This measure is based on the unlikely event that all the loans have underwriting defects or other defects that trigger a representation and warranty provision and the collateral supporting the loans are worthless. This required disclosure is not an indication of our expected loss. (e) Represents balances from our credit card business. (f) Amounts are classified as other assets except for $38 million and $8 million classified as equity securities at December 31, 2022, and December 31, 2021, respectively. (g) Amounts are classified as accrued expenses and other liabilities. (h) For certain nonconsolidated affordable housing entities, maximum exposure to loss represents the yield we guaranteed investors through long-term guarantee contracts. The amount disclosed is based on the unlikely event that the yield delivered to investors in the form of low-income tax housing credits is recaptured. For nonconsolidated equity investments, maximum exposure to loss represents our outstanding investment, additional committed capital, and low-income housing tax credits subject to recapture. The amount disclosed is based on the unlikely event that our committed capital is funded, our investments become worthless, and the tax credits previously delivered to us are recaptured. This required disclosure is not an indication of our expected loss. |
Schedule of Cash Flows with Nonconsolidated Special-Purpose Entities | The following table summarizes cash flows received and paid related to SPEs and asset-backed financings where the transfer is accounted for as a sale and we have a continuing involvement with the transferred consumer automotive and credit card assets (for example, servicing) that were outstanding during the years ended December 31, 2022, 2021, and 2020. Additionally, this table contains information regarding cash flows received from and paid to nonconsolidated SPEs that existed during each period. Year ended December 31, ($ in millions) 2022 2021 2020 Consumer automotive Cash proceeds from transfers completed during the period $ 238 $ — $ — Cash flows received on retained interests in securitization entities — — 12 Servicing fees 1 — 3 Cash disbursements for repurchases during the period — — (2) Consumer other (a) Cash proceeds from transfers completed during the period 137 4 — Servicing fees 13 — — Total $ 389 $ 4 $ 13 (a) Represents activity from our credit card business. |
Schedule of Quantitative Information and Net Credit Losses about Securitized and Other Financial Assets Managed Together | The following tables present quantitative information about off-balance sheet whole-loan sales where we have continuing involvement. Total amount Amount 60 days or more past due December 31, ($ in millions) 2022 2021 2022 2021 Whole-loan sales (a) Consumer automotive $ 227 $ — $ 2 $ — Consumer other 103 4 8 — Total $ 330 $ 4 $ 10 $ — (a) Whole-loan sales are not part of a securitization transaction, but represent consumer automotive and credit card pools of loans sold to third-party investors. Net credit losses Year ended December 31, ($ in millions) 2022 2021 Whole-loan sales (a) Consumer other $ 2 $ — Total $ 2 $ — (a) Whole-loan sales are not part of a securitization transaction, but represent credit card pools of loans sold to third-party investors. Affordable Housing Investments We have investments in various limited partnerships that sponsor affordable housing projects, which meet the definition of a VIE. The purpose of these investments is to achieve a satisfactory return on capital through the receipt of LIHTC and to assist us in achieving goals associated with the CRA. Our affordable housing investments are accounted for using the proportional amortization method of accounting, which recognizes the amortized cost of the investment as a component of income tax expense. The following table summarizes information about our affordable housing investments. Year ended December 31, ($ in millions) 2022 2021 2020 Affordable housing tax credits and other tax benefits (a) $ 177 $ 144 $ 109 Tax credit amortization expense recognized as a component of income tax expense 147 118 90 (a) There were no impairment losses recognized during the years ended December 31, 2022, 2021, and 2020, resulting from the forfeiture or ineligibility of tax credits or other circumstances. |
Activity in Affordable Housing Program Obligation | The following table summarizes information about our affordable housing investments. Year ended December 31, ($ in millions) 2022 2021 2020 Affordable housing tax credits and other tax benefits (a) $ 177 $ 144 $ 109 Tax credit amortization expense recognized as a component of income tax expense 147 118 90 (a) There were no impairment losses recognized during the years ended December 31, 2022, 2021, and 2020, resulting from the forfeiture or ineligibility of tax credits or other circumstances. |
Premiums Receivable and Other_2
Premiums Receivable and Other Insurance Assets (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Premiums Receivable Disclosure [Abstract] | |
Premiums Receivable and Other Insurance Assets | Premiums receivable and other insurance assets consisted of the following. December 31, ($ in millions) 2022 2021 Prepaid reinsurance premiums $ 553 $ 549 Reinsurance recoverable on unpaid losses 72 81 Reinsurance recoverable on paid losses 26 23 Premiums receivable 114 97 Deferred policy acquisition costs 1,933 1,974 Total premiums receivable and other insurance assets $ 2,698 $ 2,724 |
Other Assets (Tables)
Other Assets (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Other Assets [Abstract] | |
Schedule of Other Assets | The components of other assets were as follows. December 31, ($ in millions) 2022 2021 Property and equipment at cost $ 2,352 $ 2,139 Accumulated depreciation (1,076) (955) Net property and equipment 1,276 1,184 Investment in qualified affordable housing projects 1,596 1,378 Net deferred tax assets 1,087 254 Nonmarketable equity investments 842 998 Goodwill 822 822 Accrued interest, fees, and rent receivables 786 600 Equity-method investments (a) 608 472 Restricted cash held for securitization trusts (b) 585 516 Other accounts receivable 164 127 Operating lease right-of-use assets 111 148 Net intangible assets 98 129 Restricted cash and cash equivalents (c) 66 92 Other assets 1,097 1,337 Total other assets $ 9,138 $ 8,057 (a) Primarily relates to investments made in connection with our CRA program. (b) Includes restricted cash collected from customer payments on securitized receivables, which are distributed by us to investors as payments on the related secured debt, and cash reserve deposits utilized as a form of credit enhancement for various securitization transactions. (c) Primarily represents a number of arrangements with third parties where certain restrictions are placed on balances we hold due to collateral agreements associated with operational processes with a third-party bank, or letter of credit arrangements and corresponding collateral requirements. |
Summary of Equity Securities without Readily Determinable Fair Value | The total carrying value of the nonmarketable equity investments held at December 31, 2022, and December 31, 2021, including cumulative unrealized gains and losses was as follows. December 31, ($ in millions) 2022 2021 FHLB stock $ 318 $ 289 FRB stock 401 449 Equity investments without a readily determinable fair value Cost basis at acquisition 89 89 Adjustments Upward adjustments 177 183 Downward adjustments (including impairment) (143) (12) Carrying amount, equity investments without a readily determinable fair value 123 260 Nonmarketable equity investments $ 842 $ 998 During the years ended December 31, 2022, and 2021, unrealized gains and losses included in the carrying value of the nonmarketable equity investments still held as of December 31, 2022, and 2021, were as follows. Year ended December 31, ($ in millions) 2022 2021 Upward adjustments $ 1 $ 88 Downward adjustments (including impairment) (a) (138) (1) (a) No impairment on FHLB and FRB stock was recognized during the years ended December 31, 2022, and 2021. |
Schedule of Goodwill | The carrying balance of goodwill by reportable operating segment was as follows. ($ in millions) Automotive Finance operations Insurance operations Corporate and Other (a) Total Goodwill at December 31, 2020 $ 20 $ 27 $ 296 $ 343 Goodwill acquired — — 479 479 Goodwill at December 31, 2021 $ 20 $ 27 $ 775 $ 822 Goodwill acquired — — — — Goodwill at December 31, 2022 $ 20 $ 27 $ 775 $ 822 (a) Includes $479 million of goodwill associated with Ally Credit Card at both December 31, 2022, and December 31, 2021, and $153 million of goodwill associated with Ally Lending at both December 31, 2022, and December 31, 2021, and $143 million of goodwill associated with Ally Invest at both December 31, 2022, and December 31, 2021. |
Schedule of Finite-Lived Intangible Assets | The net carrying value of intangible assets by class was as follows. 2022 (a) 2021 December 31, ($ in millions) Gross intangible assets Accumulated amortization Net carrying value Gross intangible assets Accumulated amortization Net carrying value Technology $ 122 $ (53) $ 69 $ 122 $ (36) $ 86 Customer lists 58 (51) 7 58 (42) 16 Purchased credit card relationships 25 (4) 21 25 — 25 Trademarks 2 (1) 1 2 — 2 Total intangible assets $ 207 $ (109) $ 98 $ 207 $ (78) $ 129 (a) We expect to recognize amortization expense of $26 million and $19 million for the years ended December 31, 2023, and 2024, respectively, and $14 million for each of the years ended December 31, 2025, 2026, and 2027. |
Deposit Liabilities (Tables)
Deposit Liabilities (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Deposits [Abstract] | |
Schedule of Deposit Liabilities | Deposit liabilities consisted of the following. December 31, ($ in millions) 2022 2021 Noninterest-bearing deposits $ 185 $ 150 Interest-bearing deposits Savings, money market, and checking accounts 110,776 102,455 Certificates of deposit 41,336 38,953 Total deposit liabilities $ 152,297 $ 141,558 |
Time Deposit Maturities | The following table presents the scheduled maturity of total certificates of deposit at December 31, 2022. ($ in millions) Due in 2023 $ 26,072 Due in 2024 10,341 Due in 2025 3,143 Due in 2026 863 Due in 2027 917 Total certificates of deposit (a) $ 41,336 (a) Includes $4.2 billion of certificates of deposit that are estimated to be uninsured. In some instances, certificates of deposits in excess of federal insurance limits may be insured based upon the number of account owners, beneficiaries, and accounts held. |
Debt (Tables)
Debt (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Debt Disclosure [Abstract] | |
Schedule of Short-term Debt | The following table presents the composition of our short-term borrowings portfolio. 2022 2021 December 31, ($ in millions) Unsecured Secured (a) Total Unsecured Secured (a) Total Federal Home Loan Bank $ — $ 1,900 $ 1,900 $ — $ — $ — Securities sold under agreements to repurchase — 499 499 — — — Total short-term borrowings $ — $ 2,399 $ 2,399 $ — $ — $ — Weighted average interest rate (b) 4.5 % — % (a) Refer to the section below titled Long-Term Debt for further details on assets restricted as collateral for payment of the related debt. (b) Based on the debt outstanding and the interest rate at December 31 of each year. |
Long-term Debt | The following tables present the composition of our long-term debt portfolio. December 31, ($ in millions) Amount Interest rate Weighted average stated interest rate (a) Due date range 2022 Unsecured debt Fixed rate (b) $ 9,929 Hedge basis adjustments (c) 108 Total unsecured debt 10,037 0.60–8.00% 5.08 % 2023–2032 Secured debt Fixed rate 7,603 Variable rate (d) 118 Hedge basis adjustment (c) 4 Total secured debt (e) (f) 7,725 0.72–5.29% 2.71 % 2023–2027 Total long-term debt $ 17,762 2021 Unsecured debt Fixed rate (b) $ 9,297 Hedge basis adjustments (c) 113 Total unsecured debt 9,410 0.60–8.00% 4.87 % 2022–2031 Secured debt Fixed rate 7,502 Variable rate (d) 120 Hedge basis adjustment (c) (3) Total secured debt (e) (f) 7,619 0.72–6.86% 2.14 % 2022–2025 Total long-term debt $ 17,029 (a) Based on the debt outstanding and the interest rate at December 31 of each year excluding any impacts of interest rate hedges. (b) Includes subordinated debt of $1.0 billion at both December 31, 2022, and 2021. (c) Represents the basis adjustment associated with the application of hedge accounting on certain of our long-term debt positions. Refer to Note 21 for additional information. (d) Represents long-term debt that does not have a stated interest rate. (e) Includes $2.4 billion and $1.3 billion of VIE secured debt at December 31, 2022, and 2021, respectively. (f) Includes advances from the FHLB of Pittsburgh of $5.3 billion and $6.3 billion at December 31, 2022, and 2021, respectively. 2022 2021 December 31, ($ in millions) Unsecured Secured Total Unsecured Secured Total Long-term debt (a) Due within one year $ 2,023 $ 2,395 $ 4,418 $ 1,028 $ 4,841 $ 5,869 Due after one year 8,014 5,330 13,344 8,382 2,778 11,160 Total long-term debt $ 10,037 $ 7,725 $ 17,762 $ 9,410 $ 7,619 $ 17,029 (a) Includes basis adjustments related to the application of hedge accounting. Refer to Note 21 for additional information. To achieve the desired balance between fixed- and variable-rate debt, we may utilize interest rate swap agreements. These derivative financial instruments have the effect of synthetically converting our fixed-rate debt into variable-rate obligations. As of December 31, 2022, we had $2.5 billion of interest rate swap agreements outstanding. We did not have any derivative financial instruments that synthetically converted fixed-rate debt into variable-rate obligations or variable-rate debt into fixed-rate obligations at December 31, 2021. |
Schedule of Maturities of Long-term Debt | The following table presents the scheduled remaining maturity of long-term debt at December 31, 2022, assuming no early redemptions will occur. The amounts below include adjustments to the carrying value resulting from the application of hedge accounting. The actual payment of secured debt may vary based on the payment activity of the related pledged assets. ($ in millions) 2023 2024 2025 2026 2027 2028 and thereafter Total Unsecured Long-term debt $ 2,084 $ 1,474 $ 2,471 $ 23 $ 1,539 $ 3,328 $ 10,919 Original issue discount (61) (68) (73) (82) (93) (505) (882) Total unsecured 2,023 1,406 2,398 (59) 1,446 2,823 10,037 Secured Long-term debt 2,395 2,930 1,420 894 76 10 7,725 Total long-term debt $ 4,418 $ 4,336 $ 3,818 $ 835 $ 1,522 $ 2,833 $ 17,762 |
Pledged Assets for the Payment of the Related Secured Borrowings and Repurchase Agreements | The following summarizes assets restricted as collateral for the payment of the related debt obligation. December 31, ($ in millions) 2022 2021 Consumer mortgage finance receivables $ 19,771 $ 17,941 Consumer automotive finance receivables 11,759 9,122 Commercial finance receivables 4,210 10 Investment securities (a) 3,525 — Credit card receivables — 347 Total assets restricted as collateral (b) (c) (d) $ 39,265 $ 27,420 Secured debt (e) $ 10,124 $ 7,619 (a) A portion of the restricted investment securities at December 31, 2022, was restricted under repurchase agreements. Refer to the section above titled Short-Term Borrowings for information on the repurchase agreements. (b) All restricted assets are those of Ally Bank. (c) Ally Bank has an advance agreement with the FHLB, and had assets pledged to secure borrowings that were restricted as collateral to the FHLB totaling $27.0 billion and $18.0 billion at December 31, 2022, and December 31, 2021, respectively. These assets were composed primarily of consumer mortgage finance receivables and loans. Ally Bank has access to the FRB Discount Window and had assets pledged and restricted as collateral to the FRB totaling $2.4 billion at both December 31, 2022, and December 31, 2021. These assets were composed of consumer automotive finance receivables and loans. Availability under these programs is only for the operations of Ally Bank and cannot be used to fund the operations or liabilities of Ally or its other subsidiaries. (d) Excludes restricted cash and cash reserves for securitization trusts recorded within other assets on the Consolidated Balance Sheet. Refer to Note 13 for additional information. (e) Includes $2.4 billion of short-term borrowings at December 31, 2022. |
Accrued Expenses and Other Li_2
Accrued Expenses and Other Liabilities (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Accounts Payable and Accrued Liabilities [Abstract] | |
Schedule of Accrued Expenses and Other Liabilities | The components of accrued expenses and other liabilities were as follows. December 31, ($ in millions) 2022 2021 Unfunded commitments for investment in qualified affordable housing projects $ 869 $ 724 Accounts payable 435 584 Employee compensation and benefits 424 512 Deferred revenue 169 176 Operating lease liabilities 137 175 Reserves for insurance losses and loss adjustment expenses 119 122 Other liabilities 495 460 Total accrued expenses and other liabilities $ 2,648 $ 2,753 |
Equity (Tables)
Equity (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Equity [Abstract] | |
Schedule of Stockholders Equity | The following table presents changes in the number of shares issued and outstanding. (shares in thousands) (a) 2022 2021 2020 Common stock Total issued at January 1, 504,522 501,237 496,958 New issuances Employee benefits and compensation plans 3,161 3,284 4,279 Total issued at December 31, 507,683 504,522 501,237 Treasury balance at January 1, (166,581) (126,563) (122,626) Repurchase of common stock (b) (41,778) (40,018) (3,937) Total treasury stock at December 31, (208,358) (166,581) (126,563) Total outstanding at December 31, 299,324 337,941 374,674 (a) Figures in the table may not recalculate exactly due to rounding. Number of shares issued, in treasury, and outstanding are calculated based on unrounded numbers. (b) Includes shares of common stock withheld to cover income taxes owed by participants in our share-based incentive plans. Refer to the section titled Capital Planning and Stress Tests |
Schedule of Preferred Stock | The following table summarizes information about our preferred stock. December 31, 2022 Series B preferred stock (a) Issuance date April 22, 2021 Carrying value ($ in millions) $ 1,335 Par value (per share) $ 0.01 Liquidation preference (per share) $ 1,000 Number of shares authorized 1,350,000 Number of shares issued and outstanding 1,350,000 Dividend/coupon Prior to May 15, 2026 4.700% On and after May 15, 2026 Five Year Treasury + 3.868% Series C preferred stock (a) Issuance date June 2, 2021 Carrying value ($ in millions) $ 989 Par value (per share) $ 0.01 Liquidation preference (per share) $ 1,000 Number of shares authorized 1,000,000 Number of shares issued and outstanding 1,000,000 Dividend/coupon Prior to May 15, 2028 4.700% On and after May 15, 2028 Seven Year Treasury + 3.481% (a) We may, at our option, redeem the Series B and Series C shares on any dividend payment date on or after May 15, 2026, or May 15, 2028, respectively, or at any time within 90 days following a regulatory event that precludes the instruments from being included in additional Tier 1 capital. |
Accumulated Other Comprehensi_2
Accumulated Other Comprehensive Loss (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Equity [Abstract] | |
Schedule of Accumulated Other Comprehensive Income | The following tables present changes, net of tax, in each component of accumulated other comprehensive loss. ($ in millions) Unrealized gains (losses) on investment securities (a) Translation adjustments and net investment hedges (b) Cash flow hedges (b) Defined benefit pension plans Accumulated other comprehensive income (loss) Balance at January 1, 2020 $ 208 $ 19 $ 2 $ (106) $ 123 Net change 432 — 80 (4) 508 Balance at December 31, 2020 640 19 82 (110) 631 Net change (735) — (47) (7) (789) Balance at December 31, 2021 (95) 19 35 (117) (158) Net change (4,000) (1) (17) 117 (3,901) Balance at December 31, 2022 $ (4,095) $ 18 $ 18 $ — $ (4,059) (a) Represents the after-tax difference between the fair value and amortized cost of our available-for-sale securities portfolio. (b) For additional information on derivative instruments and hedging activities, refer to Note 21. |
Reclassification Out of Accumulated Other Comprehensive Income | The following tables present the before- and after-tax changes in each component of accumulated other comprehensive loss. Year ended December 31, 2022 ($ in millions) Before tax Tax effect After tax Investment securities Net unrealized losses arising during the period $ (5,222) $ 1,240 $ (3,982) Less: Net realized gains reclassified to income from continuing operations 23 (a) (5) (b) 18 Net change (5,245) 1,245 (4,000) Translation adjustments Net unrealized losses arising during the period (10) 2 (8) Net investment hedges (c) Net unrealized gains arising during the period 8 (1) 7 Cash flow hedges (c) Net unrealized losses arising during the period (2) — (2) Less: Net realized gains reclassified to income from continuing operations 21 (d) (6) (b) 15 Net change (23) 6 (17) Defined benefit pension plans Net unrealized gains arising during the period 2 — 2 Less: Net realized losses reclassified to income from continuing operations (71) (e) (44) (b) (115) Net change 73 44 117 Other comprehensive loss $ (5,197) $ 1,296 $ (3,901) (a) Includes gains reclassified to other gain on investments, net in our Consolidated Statement of Income. (b) Includes amounts reclassified to income tax expense from continuing operations in our Consolidated Statement of Income. (c) For additional information on derivative instruments and hedging activities, refer to Note 21. (d) Includes gains reclassified to interest and fees on finance receivables and loans in our Consolidated Statement of Income. (e) Includes losses reclassified to compensation and benefits expense in our Consolidated Statement of Income as a result of the settlement of our qualified defined benefit pension plan. Year ended December 31, 2021 ($ in millions) Before tax Tax effect After tax Investment securities Net unrealized losses arising during the period $ (859) $ 203 $ (656) Less: Net realized gains reclassified to income from continuing operations 102 (a) (23) (b) 79 Net change (961) 226 (735) Cash flow hedges (c) Less: Net realized gains reclassified to income from continuing operations 61 (d) (14) (b) 47 Defined benefit pension plans Net unrealized losses arising during the period (11) 3 (8) Less: Net realized losses reclassified to income from continuing operations (1) — (b) (1) Net change (10) 3 (7) Other comprehensive loss $ (1,032) $ 243 $ (789) (a) Includes gains reclassified to other gain on investments, net in our Consolidated Statement of Income. (b) Includes amounts reclassified to income tax expense from continuing operations in our Consolidated Statement of Income. (c) For additional information on derivative instruments and hedging activities, refer to Note 21. (d) Includes gains reclassified to interest and fees on finance receivables and loans in our Consolidated Statement of Income. Year ended December 31, 2020 ($ in millions) Before tax Tax effect After tax Investment securities Net unrealized gains arising during the period $ 737 $ (173) $ 564 Less: Net realized gains reclassified to income from continuing operations 171 (a) (39) (b) 132 Net change 566 (134) 432 Translation adjustments Net unrealized gains arising during the period 4 (1) 3 Net investment hedges (c) Net unrealized losses arising during the period (4) 1 (3) Cash flow hedges (c) Net unrealized gains arising during the period 169 (40) 129 Less: Net realized gains reclassified to income from continuing operations 64 (d) (15) (b) 49 Net change 105 (25) 80 Defined benefit pension plans Net unrealized losses arising during the period (5) 1 (4) Other comprehensive income $ 666 $ (158) $ 508 (a) Includes gains reclassified to other gain on investments, net in our Consolidated Statement of Income. (b) Includes amounts reclassified to income tax expense from continuing operations in our Consolidated Statement of Income. (c) For additional information on derivative instruments and hedging activities, refer to Note 21. (d) Includes gains reclassified to interest and fees on finance receivables and loans in our Consolidated Statement of Income. |
Earnings per Common Share (Tabl
Earnings per Common Share (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Earnings Per Share [Abstract] | |
Schedule of Earnings Per Share, Basic and Diluted | The following table presents the calculation of basic and diluted earnings per common share. Year ended December 31, ($ in millions, except per share data; shares in thousands) (a) 2022 2021 2020 Net income from continuing operations $ 1,715 $ 3,065 $ 1,086 Preferred stock dividends — Series B (63) (36) — Preferred stock dividends — Series C (47) (21) — Net income from continuing operations attributable to common stockholders $ 1,605 $ 3,008 $ 1,086 Loss from discontinued operations, net of tax (1) (5) (1) Net income attributable to common stockholders $ 1,604 $ 3,003 $ 1,085 Basic weighted-average common shares outstanding (b) 316,690 362,583 375,629 Diluted weighted-average common shares outstanding (b) (c) 318,629 365,180 377,101 Basic earnings per common share Net income from continuing operations $ 5.07 $ 8.30 $ 2.89 Loss from discontinued operations, net of tax — (0.01) — Net income $ 5.06 $ 8.28 $ 2.89 Diluted earnings per common share Net income from continuing operations $ 5.04 $ 8.24 $ 2.88 Loss from discontinued operations, net of tax — (0.01) — Net income $ 5.03 $ 8.22 $ 2.88 (a) Figures in the table may not recalculate exactly due to rounding. Earnings per share is calculated based on unrounded numbers. (b) Includes shares related to share-based compensation that vested but were not yet issued. (c) During the year ended December 31, 2020, there were 0.8 million in shares underlying share-based awards excluded because their inclusion would have been antidilutive. There were no antidilutive shares during the years ended December 31, 2022, and 2021. |
Regulatory Capital and Other _2
Regulatory Capital and Other Regulatory Matters (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Broker-Dealer, Net Capital Requirement, SEC Regulation [Abstract] | |
Schedule of Compliance with Regulatory Capital Requirements under Banking Regulations | The following table summarizes our capital ratios under U.S. Basel III. December 31, 2022 December 31, 2021 Required minimum (a) Well-capitalized minimum ($ in millions) Amount Ratio Amount Ratio Capital ratios Common Equity Tier 1 (to risk-weighted assets) Ally Financial Inc. $ 14,592 9.27 % $ 15,143 10.34 % 4.50 % (b) Ally Bank 17,011 11.38 17,253 12.39 4.50 6.50 % Tier 1 (to risk-weighted assets) Ally Financial Inc. $ 16,867 10.72 % $ 17,403 11.89 % 6.00 % 6.00 % Ally Bank 17,011 11.38 17,253 12.39 6.00 8.00 Total (to risk-weighted assets) Ally Financial Inc. $ 19,209 12.21 % $ 19,724 13.47 % 8.00 % 10.00 % Ally Bank 18,888 12.64 18,995 13.64 8.00 10.00 Tier 1 leverage (to adjusted quarterly average assets) (c) Ally Financial Inc. $ 16,867 8.65 % $ 17,403 9.67 % 4.00 % (b) Ally Bank 17,011 9.23 17,253 10.12 4.00 5.00 % (a) In addition to the minimum risk-based capital requirements for the Common Equity Tier 1 capital, Tier 1 capital, and total capital ratios, Ally was required to maintain a minimum capital conservation buffer of 2.5% and 3.5% at December 31, 2022, and December 31, 2021, respectively, and Ally Bank was required to maintain a minimum capital conservation buffer of 2.5% at both December 31, 2022, and December 31, 2021. (b) Currently, there is no ratio component for determining whether a BHC is “well-capitalized.” (c) Federal regulatory reporting guidelines require the calculation of adjusted quarterly average assets using a daily average methodology. |
Schedule of Common Share Distribution Activity | The following table presents information related to our common stock and distributions to our common stockholders. Common stock repurchased during period (a) Number of common shares outstanding Cash dividends declared per common share (b) ($ in millions, except per share data; shares in thousands) Approximate dollar value Number of shares Beginning of period End of period 2021 First quarter $ 219 5,276 374,674 371,805 $ 0.19 Second quarter 502 9,641 371,805 362,639 0.19 Third quarter 679 13,055 362,639 349,599 0.25 Fourth quarter 594 12,046 349,599 337,941 0.25 2022 First quarter $ 584 12,548 337,941 327,306 $ 0.30 Second quarter 600 15,031 327,306 312,781 0.30 Third quarter 415 12,468 312,781 300,335 0.30 Fourth quarter 51 1,731 300,335 299,324 0.30 (a) Includes shares of common stock withheld to cover income taxes owed by participants in our share-based incentive plans. (b) On January 17, 2023, our Board declared a quarterly cash dividend of $0.30 per share on all common stock, payable on February 15, 2023, to stockholders of record at the close of business on February 1, 2023. Refer to Note 30 for further information regarding this common-stock dividend. |
Derivative Instruments and He_2
Derivative Instruments and Hedging Activities (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Schedule of Derivative Instruments in Statement of Financial Position | The following table summarizes the amounts of derivative instruments reported on our Consolidated Balance Sheet. The amounts are presented on a gross basis, are segregated by derivatives that are designated and qualifying as hedging instruments or those that are not, and are further segregated by type of contract within those two categories. Derivative contracts in a receivable and payable position exclude open trade equity on derivatives cleared through central clearing counterparties. Any associated margin exchanged with our central clearing counterparties are treated as settlements of the derivative exposure, rather than collateral. Such payments are recognized as settlements of the derivatives contracts in a receivable and payable position on our Consolidated Balance Sheet. Notional amounts are reference amounts from which contractual obligations are derived and are not recorded on the balance sheet. In our view, derivative notional is not an accurate measure of our derivative exposure when viewed in isolation from other factors, such as market rate fluctuations and counterparty credit risk. 2022 2021 Derivative contracts in a Notional amount Derivative contracts in a Notional amount December 31, ($ in millions) receivable position payable position receivable position payable position Derivatives designated as accounting hedges Interest rate contracts Swaps $ — $ — $ 30,619 $ — $ — $ 17,039 Purchased options 22 — 2,800 — — — Foreign exchange contracts Forwards — 1 151 — 2 171 Total derivatives designated as accounting hedges 22 1 33,570 — 2 17,210 Derivatives not designated as accounting hedges Interest rate contracts Futures and forwards — — 37 1 — 223 Written options — — 79 5 2 580 Total interest rate risk — — 116 6 2 803 Foreign exchange contracts Futures and forwards — 1 147 — 1 154 Total foreign exchange risk — 1 147 — 1 154 Credit contracts (a) Other credit derivatives — 39 n/a — 56 n/a Total credit risk — 39 n/a — 56 n/a Equity contracts Written options — 1 — — 1 2 Purchased options 1 — — 1 — — Total equity risk 1 1 — 1 1 2 Total derivatives not designated as accounting hedges 1 41 263 7 60 959 Total derivatives $ 23 $ 42 $ 33,833 $ 7 $ 62 $ 18,169 n/a = not applicable (a) The maximum potential amount of undiscounted future payments that could be required under these credit derivatives was $82 million and $119 million as of December 31, 2022, and December 31, 2021, respectively. |
Schedule of Fair Value Hedging Instruments, Statements of Financial Performance and Financial Position, Location | The following table presents amounts recorded on our Consolidated Balance Sheet related to cumulative basis adjustments for fair value hedges. December 31, ($ in millions) Carrying amount of the hedged items Cumulative amount of fair value hedging adjustment included in the carrying amount of the hedged items Total Discontinued (a) 2022 2021 2022 2021 2022 2021 Assets Available-for-sale securities (b) $ 11,265 $ 5,119 $ (180) $ (14) $ (181) $ (30) Finance receivables and loans, net (c) 46,390 44,098 (617) (37) (57) 46 Liabilities Long-term debt $ 7,697 $ 7,213 $ 112 $ 110 $ 120 $ 110 (a) Represents the fair value hedging adjustment on qualifying hedges for which the hedging relationship was discontinued. This represents a subset of the amounts reported in the total hedging adjustment. (b) These amounts include the amortized cost basis and unallocated basis adjustments of closed portfolios of available-for-sale securities used to designate hedging relationships in which the hedged item is the stated amount of assets in the closed portfolios anticipated to be outstanding for the designated hedge period. At December 31, 2022, and December 31, 2021, the amortized cost basis and unallocated basis adjustments of the closed portfolios used in these hedging relationships was $10.0 billion and $3.9 billion, respectively, of which $9.7 billion and $1.6 billion, respectively, represents the amortized cost basis and unallocated basis adjustments of closed portfolios designated in an active hedge relationship. At December 31, 2022, and December 31, 2021, the total cumulative basis adjustments associated with these hedging relationships was a $135 million liability and a $6 million liability, respectively, of which the portion related to discontinued hedging relationships was a $138 million liability and a $20 million liability, respectively. At December 31, 2022, and December 31, 2021, the notional amounts of the designated hedged items were $4.0 billion and $1.2 billion, respectively, with cumulative basis adjustments of a $3 million asset and a $14 million asset, respectively, which would be allocated across the entire remaining closed pool upon termination or maturity of the hedge relationship. Refer to Note 8 for a reconciliation of the amortized cost and fair value of available-for-sale securities. (c) These amounts include the carrying value of closed portfolios of loan receivables used to designate hedging relationships in which the hedged item is the stated amount of assets in the closed portfolios anticipated to be outstanding for the designated hedge period. At December 31, 2022, and December 31, 2021, the carrying value of the closed portfolios used in these hedging relationships was $46.4 billion and $44.1 billion, respectively, of which $46.1 billion and $43.5 billion, respectively, represents the carrying value of closed portfolios designated in an active hedge relationship. At December 31, 2022, and December 31, 2021, the total cumulative basis adjustments associated with these hedging relationships was a $617 million liability and a $37 million liability, respectively, of which the portion related to discontinued hedging relationships was a $57 million liability and a $46 million asset, respectively. At December 31, 2022, and December 31, 2021, the notional amounts of the designated hedged items were $22.8 billion and $15.6 billion, respectively, with cumulative basis adjustments of a $560 million liability and an $82 million liability, respectively, which would be allocated across the entire remaining closed pool upon termination or maturity of the hedge relationship. |
Schedule of Derivative Instruments Not Designated as Accounting Hedge | The following table summarizes the location and amounts of gains and losses on derivative instruments not designated as accounting hedges reported in our Consolidated Statement of Income. Year ended December 31 , ($ in millions) 2022 2021 2020 Gain (loss) recognized in earnings Interest rate contracts Gain (loss) on mortgage and automotive loans, net $ 14 $ (12) $ (10) Other income, net of losses 8 8 (19) Total interest rate contracts 22 (4) (29) Foreign exchange contracts Other operating expenses 8 (1) (7) Total foreign exchange contracts 8 (1) (7) Credit contracts Interest and fees on finance receivables and loans — — (4) Other income, net of losses (2) (24) (1) Total credit contracts (2) (24) (5) Total gain (loss) recognized in earnings $ 28 $ (29) $ (41) |
Schedule of Location and Amounts of Gains and Losses on Derivative Instruments | The following table summarizes the location and amounts of gains and losses on derivative instruments designated as qualifying fair value and cash flow hedges reported in our Consolidated Statement of Income. Interest and fees on finance receivables and loans Interest and dividends on investment securities and other earning assets Interest on deposits Interest on long-term debt Year ended December 31, ($ in millions) 2022 2021 2020 2022 2021 2020 2022 2021 2020 2022 2021 2020 Gain (loss) on fair value hedging relationships Interest rate contracts Hedged fixed-rate unsecured debt $ — $ — $ — $ — $ — $ — $ — $ — $ — $ 1 $ 68 $ (135) Derivatives designated as hedging instruments on fixed-rate unsecured debt — — — — — — — — — (1) (68) 135 Hedged fixed-rate FHLB advances — — — — — — — — — (5) — — Derivatives designated as hedging instruments on fixed-rate FHLB advances — — — — — — — — — 5 — — Hedged available-for-sale securities — — — (185) (40) 38 — — — — — — Derivatives designated as hedging instruments on available-for-sale securities — — — 185 40 (38) — — — — — — Hedged fixed-rate consumer automotive loans (599) (215) 139 — — — — — — — — — Derivatives designated as hedging instruments on fixed-rate consumer automotive loans 599 215 (139) — — — — — — — — — Total gain on fair value hedging relationships — — — — — — — — — — — — Gain (loss) on cash flow hedging relationships Interest rate contracts Hedged deposit liabilities Reclassified from accumulated other comprehensive income into income — — — — — — — (1) (8) — — — Hedged variable-rate commercial loans Reclassified from accumulated other comprehensive income into income 21 58 73 — — — — — — — — — Reclassified from accumulated other comprehensive income into income as a result of a forecasted transaction being probable not to occur — 4 — — — — — — — — — — Other hedged forecasted transactions Reclassified from accumulated other comprehensive income into income — — — — — — — — — (1) — — Total gain (loss) on cash flow hedging relationships $ 21 $ 62 $ 73 $ — $ — $ — $ — $ (1) $ (8) $ (1) $ — $ — Total amounts presented in the Consolidated Statement of Income $ 8,099 $ 6,468 $ 6,581 $ 841 $ 600 $ 736 $ 1,987 $ 1,045 $ 1,952 $ 763 $ 860 $ 1,249 |
Schedule of Derivative Instruments | The following table summarizes the location and amounts of gains and losses related to interest and amortization on derivative instruments designated as qualifying fair value and cash flow hedges reported in our Consolidated Statement of Income. Interest and fees on finance receivables and loans Interest and dividends on investment securities and other earning assets Interest on long-term debt Year ended December 31, ($ in millions) 2022 2021 2020 2022 2021 2020 2022 2021 2020 Gain (loss) on fair value hedging relationships Interest rate contracts Amortization of deferred unsecured debt basis adjustments $ — $ — $ — $ — $ — $ — $ 5 $ 4 $ 12 Interest for qualifying accounting hedges of unsecured debt — — — — — — 1 5 — Amortization of deferred secured debt basis adjustments (FHLB advances) — — — — — — (3) (13) (22) Amortization of deferred basis adjustments of available-for-sale securities — — — 17 (4) (7) — — — Interest for qualifying accounting hedges of available-for-sale securities — — — (1) (6) (6) — — — Amortization of deferred loan basis adjustments 18 (46) (49) — — — — — — Interest for qualifying accounting hedges of consumer automotive loans held for investment 129 (122) (121) — — — — — — Total gain (loss) on fair value hedging relationships $ 147 $ (168) $ (170) $ 16 $ (10) $ (13) $ 3 $ (4) $ (10) Gain on cash flow hedging relationships Interest rate contracts Interest for qualifying accounting hedges of variable-rate commercial loans $ — $ — $ 1 $ — $ — $ — $ — $ — $ — Total gain on cash flow hedging relationships $ — $ — $ 1 $ — $ — $ — $ — $ — $ — |
Schedule of Cash Flow Hedges Included in Accumulated Other Comprehensive Income (Loss) | The following table summarizes the effect of cash flow hedges on accumulated other comprehensive loss. Year ended December 31 , ($ in millions) 2022 2021 2020 Interest rate contracts (Loss) gain recognized in other comprehensive loss $ (23) $ (61) $ 105 |
Schedule of Net Investment Hedges in Accumulated Other Comprehensive Income (Loss) | The following table summarizes the effect of net investment hedges on accumulated other comprehensive loss. Year ended December 31, ($ in millions) 2022 2021 2020 Foreign exchange contracts (a) (b) Gain (loss) recognized in other comprehensive loss $ 8 $ — $ (4) (a) There were no amounts excluded from effectiveness testing for the years ended December 31, 2022, 2021, or 2020. (b) Gains and losses reclassified from accumulated other comprehensive loss are reported as other income, net of losses, in the Consolidated Statement of Income. There were no amounts reclassified for the years ended December 31, 2022, 2021, or 2020. |
Income Taxes (Tables)
Income Taxes (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Income Tax Disclosure [Abstract] | |
Schedule of Components of Income Tax Expense (Benefit) | The significant components of income tax expense from continuing operations were as follows. Year ended December 31, ($ in millions) 2022 2021 2020 Current income tax expense U.S. federal $ 1 $ 502 $ — Foreign 3 4 6 State and local 9 168 80 Total current expense 13 674 86 Deferred income tax expense (benefit) U.S. federal 493 151 280 Foreign (1) — 1 State and local 61 (35) (39) Total deferred expense 553 116 242 Other tax expense (a) 61 — — Total income tax expense from continuing operations $ 627 $ 790 $ 328 (a) Represents the realization of stranded tax amounts, under the portfolio method, connected to our qualified defined benefit pension plan that was settled during the year ended December 31, 2022. These stranded tax amounts had accumulated in other comprehensive loss over time. Refer to Note 18 for additional information. |
Schedule of Effective Income Tax Rate Reconciliation | A reconciliation of income tax expense from continuing operations with the amounts at the statutory U.S. federal income tax rate is shown in the following table. Year ended December 31, ($ in millions) 2022 2021 2020 Statutory U.S. federal tax expense $ 492 $ 810 $ 297 Change in tax resulting from State and local income taxes, net of federal income tax benefit 77 106 36 Tax credits, excluding expirations (73) (58) (29) Settlement of qualified defined benefit pension plan 61 — — Valuation allowance change, excluding expirations 54 (78) (3) Nondeductible expenses 31 30 37 Other, net (15) (20) (10) Total income tax expense from continuing operations $ 627 $ 790 $ 328 |
Schedule of Deferred Tax Assets and Liabilities | The significant components of deferred tax assets and liabilities are reflected in the following table. December 31, ($ in millions) 2022 2021 Deferred tax assets Adjustments to available-for-sale securities, equity securities, and hedging transactions (a) $ 1,095 $ 124 Tax credit carryforwards 960 1,014 Adjustments to loan value 822 920 U.S. federal tax loss carryforwards (b) 428 256 State and local taxes 310 233 Other 470 480 Gross deferred tax assets 4,085 3,027 Valuation allowance (c) (644) (839) Deferred tax assets, net of valuation allowance 3,441 2,188 Deferred tax liabilities Lease transactions 1,831 1,385 Deferred acquisition costs 394 403 Other 145 156 Gross deferred tax liabilities 2,370 1,944 Net deferred tax assets (d) $ 1,071 $ 244 (a) Amounts primarily include $1.0 billion and $104 million of deferred tax assets related to available-for-sale securities at December 31, 2022, and 2021, respectively. (b) Primarily the result of a 100% bonus depreciation election for 2022 and 2021 operating lease originations. (c) The valuation allowance decreased $195 million to $644 million at December 31, 2022, as a result of a $249 million reduction related to the expiration of foreign tax credit carryforwards, partially offset by an increase of $54 million predominantly related to a reduction in forecasted foreign-sourced income. (d) Amounts include $1.1 billion and $254 million of net deferred tax assets included in other assets on our Consolidated Balance Sheet for tax jurisdictions in a total net deferred tax asset position, and $16 million and $10 million included in accrued expenses and other liabilities on our Consolidated Balance Sheet for tax jurisdictions in a total net deferred tax liability position at December 31, 2022, and 2021, respectively. |
Summary of Valuation Allowance | The following table summarizes net deferred tax assets including related valuation allowances at December 31, 2022. ($ in millions) Deferred tax asset Valuation allowance Net deferred tax asset Years of expiration Tax credit carryforwards Foreign tax credits $ 765 $ (517) $ 248 2023–2032 General business credits $ 195 $ — $ 195 2023–2042 Total tax credit carryforwards 960 (517) 443 Tax loss carryforwards Net operating losses — federal 428 — 428 2027–Indefinite Net operating losses — state 166 (a) (127) 39 2023–Indefinite Total U.S. federal and state tax loss carryforwards 594 (127) 467 Other net deferred tax assets 161 — 161 n/a Net deferred tax assets (liabilities) $ 1,715 $ (644) $ 1,071 n/a = not applicable (a) State net operating loss carryforwards are included in the state and local taxes and other liabilities totals disclosed in our deferred inventory table above. |
Schedule of Unrecognized Tax Benefits Roll Forward | The following table provides a reconciliation of the beginning and ending amount of unrecognized tax benefits. ($ in millions) 2022 2021 2020 Balance at January 1, $ 53 $ 53 $ 48 Additions based on tax positions related to the current year — — — Additions for tax positions of prior years 2 7 5 Reductions for tax positions of prior years (2) (7) — Settlements (7) — — Expiration of statute of limitations — — — Balance at December 31, $ 46 $ 53 $ 53 |
Share-based Compensation Plans
Share-based Compensation Plans (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Share-Based Payment Arrangement [Abstract] | |
Summary of Non-Vested PSUs and RSUs Activity | The following table presents the changes in outstanding non-vested PSUs and RSUs activity for share-settled awards during 2022. (in thousands, except per share data) Number of units Weighted-average grant date fair value per share RSUs and PSUs Outstanding non-vested at January 1, 2022 4,568 $ 36.27 Granted 3,130 45.50 Vested (2,136) 37.66 Forfeited (474) 42.03 Outstanding non-vested at December 31, 2022 5,088 40.83 |
Fair Value (Tables)
Fair Value (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Fair Value Disclosures [Abstract] | |
Schedule of Fair Value, Assets and Liabilities Measured on a Recurring Basis | The following tables display the assets and liabilities measured at fair value on a recurring basis including financial instruments elected for the fair value option. We often economically hedge the fair value change of our assets or liabilities with derivatives and other financial instruments. The tables below display the hedges separately from the hedged items; therefore, they do not directly display the impact of our risk-management activities. Recurring fair value measurements December 31, 2022 ($ in millions) Level 1 Level 2 Level 3 Total Assets Investment securities Equity securities (a) (b) $ 642 $ — $ 1 $ 643 Available-for-sale securities Debt securities U.S. Treasury and federal agencies 2,016 — — 2,016 U.S. States and political subdivisions — 756 4 760 Foreign government 39 107 — 146 Agency mortgage-backed residential — 16,633 — 16,633 Mortgage-backed residential — 4,299 — 4,299 Agency mortgage-backed commercial — 3,535 — 3,535 Asset-backed — 433 — 433 Corporate debt — 1,719 — 1,719 Total available-for-sale securities 2,055 27,482 4 29,541 Mortgage loans held-for-sale (c) — 13 — 13 Finance receivables and loans, net Consumer other (c) — — 3 3 Other assets Derivative contracts in a receivable position Interest rate — 22 — 22 Equity contracts 1 — — 1 Total derivative contracts in a receivable position 1 22 — 23 Total assets $ 2,698 $ 27,517 $ 8 $ 30,223 Liabilities Accrued expenses and other liabilities Derivative contracts in a payable position Foreign currency $ — $ 2 $ — $ 2 Credit contracts — — 39 39 Equity contracts 1 — — 1 Total derivative contracts in a payable position 1 2 39 42 Total liabilities $ 1 $ 2 $ 39 $ 42 (a) Our direct investment in any one industry did not exceed 15%. (b) Excludes $38 million of equity securities that are measured at fair value using the net asset value practical expedient and therefore are not classified in the fair value hierarchy. (c) Carried at fair value due to fair value option elections. Recurring fair value measurements December 31, 2021 ($ in millions) Level 1 Level 2 Level 3 Total Assets Investment securities Equity securities (a) $ 1,093 $ — $ 9 $ 1,102 Available-for-sale securities Debt securities U.S. Treasury and federal agencies 2,155 — — 2,155 U.S. States and political subdivisions — 855 9 864 Foreign government 19 138 — 157 Agency mortgage-backed residential — 19,039 — 19,039 Mortgage-backed residential — 4,425 — 4,425 Agency mortgage-backed commercial — 4,526 — 4,526 Asset-backed — 534 — 534 Corporate debt — 1,887 — 1,887 Total available-for-sale securities 2,174 31,404 9 33,587 Mortgage loans held-for-sale (b) — 80 — 80 Finance receivables and loans, net Consumer other (b) — — 7 7 Other assets Derivative contracts in a receivable position Interest rate — 1 5 6 Equity contracts 1 — — 1 Total derivative contracts in a receivable position 1 1 5 7 Total assets $ 3,268 $ 31,485 $ 30 $ 34,783 Liabilities Accrued expenses and other liabilities Derivative contracts in a payable position Interest rate $ — $ — $ 2 $ 2 Foreign currency — 3 — 3 Credit contracts — — 56 56 Equity contracts 1 — — 1 Total derivative contracts in a payable position 1 3 58 62 Total liabilities $ 1 $ 3 $ 58 $ 62 (a) Our direct investment in any one industry did not exceed 8%. (b) Carried at fair value due to fair value option elections. |
Fair Value, Assets Measured on a Recurring Basis, Unobservable Input Reconciliation | The following tables present the reconciliation for all Level 3 assets and liabilities measured at fair value on a recurring basis. We often economically hedge the fair value change of our assets or liabilities with derivatives and other financial instruments. The Level 3 items presented below may be hedged by derivatives and other financial instruments that are classified as Level 1 or Level 2. Thus, the following tables do not fully reflect the impact of our risk-management activities. Equity securities (a) Available-for-sale securities Mortgage loans held-for-sale (b) (c) Finance receivables and loans, net (b) (d) ($ in millions) 2022 2021 2022 2021 2022 2021 2022 2021 Assets Fair value at January 1, $ 9 $ 7 $ 9 $ 7 $ — $ 91 $ 7 $ 8 Net realized/unrealized gains (losses) Included in earnings 1 4 — — — 64 (1) 2 Included in OCI — — — — — — — — Purchases — — 6 2 — 2,640 12 14 Sales (9) (3) — — — (2,693) — — Issuances — — — — — — — — Settlements — — (11) — — — (15) (17) Transfers into Level 3 — 1 — — — — — — Transfers out of Level 3 (e) — — — — — (102) — — Fair value at December 31, $ 1 $ 9 $ 4 $ 9 $ — $ — $ 3 $ 7 Net unrealized gains still held at December 31, Included in earnings $ — $ 4 $ — $ — $ — $ — $ — $ — Included in OCI — — — — — — — — (a) Net realized/unrealized gains are reported as other gain on investments, net, in the Consolidated Statement of Income. (b) Carried at fair value due to fair value option elections. (c) Net realized/unrealized gains are reported as gain on mortgage and automotive loans, net, in the Consolidated Statement of Income. (d) Net realized/unrealized (losses) gains are reported as other income, net of losses, in the Consolidated Statement of Income. (e) During the year ended December 31, 2021, mortgage loans held for sale were transferred out of Level 3 and into Level 2 of the fair value hierarchy. This transfer reflects that the underlying assets are valued based on observable prices in an active market for similar assets, and is deemed to have occurred at the end of the third quarter of 2021. Derivative liabilities, net of derivative assets (a) ($ in millions) 2022 2021 Liabilities Fair value at January 1, $ 53 $ 12 Net realized/unrealized (gains) losses Included in earnings (5) 35 Included in OCI — — Purchases — — Sales — — Issuances — 5 Settlements (19) (1) Transfers into Level 3 — — Transfers out of Level 3 (b) (c) 10 2 Fair value at December 31, $ 39 $ 53 Net unrealized (gains) losses still held at December 31, Included in earnings $ (11) $ 26 Included in OCI — — (a) Net realized/unrealized (gains) losses are reported as gain on mortgage and automotive loans, net, and other income, net of losses, in the Consolidated Statement of Income. (b) Represents the settlement value of interest rate derivative assets that are transferred to loans held-for-sale within Level 2 of the fair value hierarchy during the year ended December 31, 2022. (c) During the year ended December 31, 2021, certain derivative assets were transferred out of Level 3 and into Level 2 of the fair value hierarchy. This transfer reflects that the underlying assets are valued based on observable prices in an active market for similar assets, and is deemed to have occurred at the end of the third quarter of 2021. |
Fair Value Measurements - Nonrecurring Basis | The following tables display assets and liabilities measured at fair value on a nonrecurring basis and still held at December 31, 2022, and December 31, 2021, respectively. The amounts are generally as of the end of each period presented, which approximate the fair value measurements that occurred during each period. Nonrecurring fair value measurements Lower-of-cost-or-fair-value reserve, valuation reserve, or cumulative adjustments Total gain (loss) included in earnings December 31, 2022 ($ in millions) Level 1 Level 2 Level 3 Total Assets Loans held-for-sale, net $ — $ — $ 641 $ 641 $ — n/m (a) Commercial finance receivables and loans, net (b) Automotive — — 3 3 — n/m (a) Other — — 39 39 (89) n/m (a) Total commercial finance receivables and loans, net — — 42 42 (89) n/m (a) Other assets Nonmarketable equity investments — — 12 12 3 n/m (a) Repossessed and foreclosed assets (c) — — 5 5 — n/m (a) Total assets $ — $ — $ 700 $ 700 $ (86) n/m n/m = not meaningful (a) We consider the applicable valuation allowance, allowance for loan losses, or cumulative adjustments to be the most relevant indicator of the impact on earnings caused by the fair value measurement. Accordingly, the table above excludes total gains and losses included in earnings for these items. The carrying values are inclusive of the respective valuation reserve, loan loss allowance, or cumulative adjustment. (b) Represents collateral-dependent loans held for investment for which a nonrecurring measurement was made. The related allowance for loan losses represents the cumulative fair value adjustments for those specific receivables. (c) The allowance provided for repossessed and foreclosed assets represents any cumulative valuation adjustment recognized to adjust the assets to fair value. Nonrecurring fair value measurements Lower-of-cost-or-fair-value reserve, valuation reserve, or cumulative adjustments Total gain (loss) included in earnings December 31, 2021 ($ in millions) Level 1 Level 2 Level 3 Total Assets Loans held-for-sale, net $ — $ — $ 468 $ 468 $ — n/m (a) Commercial finance receivables and loans, net (b) Automotive — — 4 4 — n/m (a) Other — — 112 112 (65) n/m (a) Total commercial finance receivables and loans, net — — 116 116 (65) n/m (a) Other assets Nonmarketable equity investments — — 7 7 (5) n/m (a) Repossessed and foreclosed assets (c) — — 4 4 — n/m (a) Total assets $ — $ — $ 595 $ 595 $ (70) n/m n/m = not meaningful (a) We consider the applicable valuation allowance, allowance for loan losses, or cumulative adjustments to be the most relevant indicator of the impact on earnings caused by the fair value measurement. Accordingly, the table above excludes total gains and losses included in earnings for these items. The carrying values are inclusive of the respective valuation reserve, loan loss allowance, or cumulative adjustment. (b) Represents collateral-dependent loans held for investment for which a nonrecurring measurement was made. The related allowance for loan losses represents the cumulative fair value adjustments for those specific receivables. (c) The allowance provided for repossessed and foreclosed assets represents any cumulative valuation adjustment recognized to adjust the assets to fair value. |
Fair Value, by Balance Sheet Grouping | The following table presents the carrying and estimated fair value of financial instruments, except for those recorded at fair value on a recurring basis presented in the previous section of this note titled Recurring Fair Value. When possible, we use quoted market prices to determine fair value. Where quoted market prices are not available, the fair value is internally derived based on appropriate valuation methodologies with respect to the amount and timing of future cash flows and estimated discount rates. However, considerable judgment is required in interpreting current market data to develop the market assumptions and inputs necessary to estimate fair value. As such, the actual amount received to sell an asset or the amount paid to settle a liability could differ from our estimates. Fair value information presented herein was based on information available at December 31, 2022, and December 31, 2021. Estimated fair value ($ in millions) Carrying value Level 1 Level 2 Level 3 Total December 31, 2022 Financial assets Held-to-maturity securities $ 1,062 $ — $ 884 $ — $ 884 Loans held-for-sale, net 641 — — 641 641 Finance receivables and loans, net 132,034 — — 133,856 133,856 FHLB/FRB stock (a) 719 — 719 — 719 Financial liabilities Deposit liabilities $ 42,336 $ — $ — $ 41,909 $ 41,909 Short-term borrowings 2,399 — — 2,417 2,417 Long-term debt 17,762 — 12,989 5,263 18,252 December 31, 2021 Financial assets Held-to-maturity securities $ 1,170 $ — $ 1,204 $ — $ 1,204 Loans held-for-sale, net 469 — — 469 469 Finance receivables and loans, net 118,994 — — 126,044 126,044 FHLB/FRB stock (a) 738 — 738 — 738 Financial liabilities Deposit liabilities $ 40,953 $ — $ — $ 41,164 $ 41,164 Long-term debt 17,029 — 12,637 6,892 19,529 (a) Included in other assets on our Consolidated Balance Sheet. |
Offsetting Assets and Liabili_2
Offsetting Assets and Liabilities (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Offsetting [Abstract] | |
Offsetting Assets | The composition of offsetting derivative instruments, financial assets, and financial liabilities was as follows. Gross amounts of recognized assets/liabilities Gross amounts offset on the Consolidated Balance Sheet Net amounts of assets/liabilities presented on the Consolidated Balance Sheet Gross amounts not offset on the Consolidated Balance Sheet December 31, ($ in millions) Financial instruments Collateral (a) (b) (c) Net amount 2022 Assets Derivative assets in net asset positions $ 23 $ — $ 23 $ (1) $ (22) $ — Total assets $ 23 $ — $ 23 $ (1) $ (22) $ — Liabilities Derivative liabilities in net liability positions $ 2 $ — $ 2 $ — $ (1) $ 1 Derivative liabilities in net asset positions 1 — 1 (1) — — Derivative liabilities with no offsetting arrangements 39 — 39 — — 39 Securities sold under agreements to repurchase (d) 499 — 499 — (499) — Total liabilities $ 541 $ — $ 541 $ (1) $ (500) $ 40 2021 Assets Derivative assets in net asset positions $ 1 $ — $ 1 $ (1) $ — $ — Derivative assets with no offsetting arrangements 6 — 6 — — 6 Total assets $ 7 $ — $ 7 $ (1) $ — $ 6 Liabilities Derivative liabilities in net liability positions $ 3 $ — $ 3 $ — $ (2) $ 1 Derivative liabilities in net asset positions 1 — 1 (1) — — Derivative liabilities with no offsetting arrangements 58 — 58 — — 58 Total liabilities $ 62 $ — $ 62 $ (1) $ (2) $ 59 (a) Financial collateral received/pledged shown as a balance based on the sum of all net asset and liability positions between Ally and each individual derivative counterparty. (b) Amounts disclosed are limited to the financial asset or liability balance and, accordingly, exclude excess collateral received or pledged and noncash collateral received. We do not record noncash collateral received on our Consolidated Balance Sheet unless certain conditions are met. (c) Certain agreements grant us the right to sell or pledge the noncash assets we receive as collateral. We have not sold or pledged any of the noncash collateral received under these agreements. (d) For additional information on securities sold under agreements to repurchase, refer to Note 15. |
Offsetting Liabilities | The composition of offsetting derivative instruments, financial assets, and financial liabilities was as follows. Gross amounts of recognized assets/liabilities Gross amounts offset on the Consolidated Balance Sheet Net amounts of assets/liabilities presented on the Consolidated Balance Sheet Gross amounts not offset on the Consolidated Balance Sheet December 31, ($ in millions) Financial instruments Collateral (a) (b) (c) Net amount 2022 Assets Derivative assets in net asset positions $ 23 $ — $ 23 $ (1) $ (22) $ — Total assets $ 23 $ — $ 23 $ (1) $ (22) $ — Liabilities Derivative liabilities in net liability positions $ 2 $ — $ 2 $ — $ (1) $ 1 Derivative liabilities in net asset positions 1 — 1 (1) — — Derivative liabilities with no offsetting arrangements 39 — 39 — — 39 Securities sold under agreements to repurchase (d) 499 — 499 — (499) — Total liabilities $ 541 $ — $ 541 $ (1) $ (500) $ 40 2021 Assets Derivative assets in net asset positions $ 1 $ — $ 1 $ (1) $ — $ — Derivative assets with no offsetting arrangements 6 — 6 — — 6 Total assets $ 7 $ — $ 7 $ (1) $ — $ 6 Liabilities Derivative liabilities in net liability positions $ 3 $ — $ 3 $ — $ (2) $ 1 Derivative liabilities in net asset positions 1 — 1 (1) — — Derivative liabilities with no offsetting arrangements 58 — 58 — — 58 Total liabilities $ 62 $ — $ 62 $ (1) $ (2) $ 59 (a) Financial collateral received/pledged shown as a balance based on the sum of all net asset and liability positions between Ally and each individual derivative counterparty. (b) Amounts disclosed are limited to the financial asset or liability balance and, accordingly, exclude excess collateral received or pledged and noncash collateral received. We do not record noncash collateral received on our Consolidated Balance Sheet unless certain conditions are met. (c) Certain agreements grant us the right to sell or pledge the noncash assets we receive as collateral. We have not sold or pledged any of the noncash collateral received under these agreements. (d) For additional information on securities sold under agreements to repurchase, refer to Note 15. |
Segment Information (Tables)
Segment Information (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Segment Reporting [Abstract] | |
Schedule of Segment Reporting Information, by Segment | Financial information for our reportable operating segments is summarized as follows. Year ended December 31, ($ in millions) Automotive Finance operations Insurance operations Mortgage Finance operations Corporate Finance operations Corporate and Other Consolidated (a) 2022 Net financing revenue and other interest income $ 5,224 $ 89 $ 221 $ 334 $ 982 $ 6,850 Other revenue 306 1,023 27 122 100 1,578 Total net revenue 5,530 1,112 248 456 1,082 8,428 Provision for credit losses 1,036 — 3 43 317 1,399 Total noninterest expense 2,244 1,150 190 131 972 4,687 Income (loss) from continuing operations before income tax expense $ 2,250 $ (38) $ 55 $ 282 $ (207) $ 2,342 Total assets $ 111,463 $ 8,659 $ 19,529 $ 10,544 $ 41,631 $ 191,826 2021 Net financing revenue and other interest income $ 5,209 $ 59 $ 124 $ 308 $ 467 $ 6,167 Other revenue 251 1,345 94 128 221 2,039 Total net revenue 5,460 1,404 218 436 688 8,206 Provision for credit losses 53 — (1) 38 151 241 Total noninterest expense 2,023 1,061 187 116 723 4,110 Income (loss) from continuing operations before income tax expense $ 3,384 $ 343 $ 32 $ 282 $ (186) $ 3,855 Total assets $ 103,653 $ 9,381 $ 17,847 $ 7,950 $ 43,283 $ 182,114 2020 Net financing revenue and other interest income (loss) $ 4,284 $ 42 $ 118 $ 299 $ (40) $ 4,703 Other revenue 204 1,334 102 45 298 1,983 Total net revenue 4,488 1,376 220 344 258 6,686 Provision for credit losses 1,236 — 7 149 47 1,439 Total noninterest expense 1,967 1,092 160 107 507 3,833 Income (loss) from continuing operations before income tax expense $ 1,285 $ 284 $ 53 $ 88 $ (296) $ 1,414 Total assets $ 104,794 $ 9,137 $ 14,889 $ 6,108 $ 47,237 $ 182,165 (a) Net financing revenue and other interest income after the provision for credit losses totaled $5.5 billion, $5.9 billion, and $3.3 billion for the years ended December 31, 2022, 2021, and 2020, respectively. |
Parent Company Condensed Fina_2
Parent Company Condensed Financial Information (Tables) - Parent company | 12 Months Ended |
Dec. 31, 2022 | |
Entity Listings [Line Items] | |
Condensed Statement of Comprehensive Income | Condensed Statement of Comprehensive (Loss) Income Year ended December 31, ($ in millions) 2022 2021 2020 Net financing loss and other interest income (a) $ (1,000) $ (1,070) $ (1,049) Dividends from bank subsidiaries 3,150 3,450 1,150 Dividends from nonbank subsidiaries 1 27 66 Total other revenue 103 243 367 Total net revenue 2,254 2,650 534 Provision for credit losses (32) (106) (68) Total noninterest expense 665 650 693 Income (loss) from continuing operations before income tax benefit and undistributed (loss) income of subsidiaries 1,621 2,106 (91) Income tax benefit from continuing operations (b) (253) (412) (300) Net income from continuing operations 1,874 2,518 209 Loss from discontinued operations, net of tax (1) (5) (1) Equity in undistributed earnings of subsidiaries (159) 547 877 Net income 1,714 3,060 1,085 Other comprehensive (loss) income, net of tax (3,901) (789) 508 Comprehensive (loss) income $ (2,187) $ 2,271 $ 1,593 (a) Net financing loss and other interest income is primarily driven by interest expense on long-term debt. Refer to Note 15 for further discussion. (b) There is a significant variation in the customary relationship between pretax income (loss) and income tax benefit due to our accounting policy elections and consolidated tax adjustments. The income tax benefit excludes tax effects on dividends from subsidiaries. |
Condensed Balance Sheet | Condensed Balance Sheet December 31, ($ in millions) 2022 2021 Assets Cash and cash equivalents (a) $ 3,333 $ 3,647 Equity securities — 6 Finance receivables and loans, net of unearned income 560 663 Allowance for loan losses 23 26 Total finance receivables and loans, net 583 689 Investments in subsidiaries Bank subsidiaries 13,197 16,728 Nonbank subsidiaries 5,191 5,890 Intercompany receivables from subsidiaries 223 216 Investment in operating leases, net 21 21 Other assets 1,307 1,157 Total assets $ 23,855 $ 28,354 Liabilities and equity Long-term debt (b) $ 10,035 $ 9,410 Interest payable 84 87 Intercompany debt to subsidiaries 545 1,040 Intercompany payables to subsidiaries 41 98 Accrued expenses and other liabilities 291 669 Total liabilities 10,996 11,304 Total equity 12,859 17,050 Total liabilities and equity $ 23,855 $ 28,354 (a) Includes $3.3 billion and $3.6 billion deposited by the Parent at Ally Bank as of December 31, 2022, and 2021, respectively. These funds are available to the Parent for liquidity purposes. (b) Includes $2.0 billion of the outstanding principal balance of senior notes fully and unconditionally guaranteed by subsidiaries of the Parent as of both December 31, 2022, and 2021. |
Condensed Statement of Cash Flows | Condensed Statement of Cash Flows Year ended December 31, ($ in millions) 2022 2021 2020 Operating activities Net cash provided by operating activities $ 1,733 $ 3,753 $ 848 Investing activities Proceeds from sales of finance receivables and loans initially held-for-investment 64 378 1,187 Originations and repayments of finance receivables and loans held-for-investment and other, net (7) 189 601 Net change in loans — intercompany (65) (10) (36) Purchases of equity securities — (8) — Proceeds from sales of equity securities 1 — — Disposals of operating lease assets — — 1 Capital contributions to subsidiaries — — (8) Returns of contributed capital 52 24 23 Net change in nonmarketable equity investments 8 29 (7) Other, net (27) 44 (15) Net cash provided by investing activities 26 646 1,746 Financing activities Net change in short-term borrowings — (2,136) (445) Proceeds from issuance of long-term debt 1,655 765 2,885 Repayments of long-term debt (1,088) (777) (2,444) Net change in debt — intercompany (496) (336) 169 Repurchase of common stock (1,650) (1,994) (106) Preferred stock issuance — 2,324 — Trust preferred securities redemption — (2,710) — Common stock dividends paid (384) (324) (290) Preferred stock dividends paid (110) (57) — Net cash used in financing activities (2,073) (5,245) (231) Net (decrease) increase in cash and cash equivalents and restricted cash (314) (846) 2,363 Cash and cash equivalents and restricted cash at beginning of year 3,680 4,526 2,163 Cash and cash equivalents and restricted cash at end of year $ 3,366 $ 3,680 $ 4,526 The following table provides a reconciliation of cash and cash equivalents and restricted cash from the Condensed Balance Sheet to the Condensed Statement of Cash Flows. Year ended December 31, ($ in millions) 2022 2021 Cash and cash equivalents on the Condensed Balance Sheet $ 3,333 $ 3,647 Restricted cash included in other assets on the Condensed Balance Sheet (a) 33 33 Total cash and cash equivalents and restricted cash in the Condensed Statement of Cash Flows $ 3,366 $ 3,680 (a) Restricted cash balances relate primarily to Ally securitization arrangements. Refer to Note 13 for additional details describing the nature of restricted cash balances. |
Guarantees and Commitments (Tab
Guarantees and Commitments (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Guarantees and Product Warranties [Abstract] | |
Schedule of Guarantor Obligations | Guarantees are defined as contracts or indemnification agreements that contingently require us to make payments to third parties based on changes in the underlying agreements with the guaranteed parties. The following summarizes our outstanding guarantees, including those of our discontinued operations, made to third parties on our Consolidated Balance Sheet, for the periods shown. 2022 2021 December 31, ($ in millions) Maximum liability Carrying value of liability Maximum liability Carrying value of liability Standby letters of credit and other guarantees $ 272 $ 1 $ 234 $ 3 |
Financing Commitments | The contractual commitments were as follows. December 31, ($ in millions) 2022 2021 Unused revolving credit line commitments and other (a) $ 9,156 $ 6,337 Commitments to provide capital to investees (b) 1,112 1,069 Construction-lending commitments (c) 178 53 Home equity lines of credit (d) 145 168 Mortgage loan origination commitments (e) 14 708 (a) The unused portion of revolving lines of credit reset at prevailing market rates and, approximate fair value. (b) We are committed to contribute capital to certain investees. (c) We are committed to fund the remaining unused balance while loans are in the construction period. (d) We are committed to fund the remaining unused balances on home equity lines of credit. (e) Commitments with mortgage loan applicants in which the loan terms, including interest rate and price, are guaranteed for a designated period of time subject to the completion of underwriting procedures. |
Contractual Commitments | We have entered into multiple agreements for sponsorship, information technology, voice and communication technology, and related maintenance. Many of the agreements are subject to variable price provisions, fixed or minimum price provisions, and termination or renewal provisions. The following table presents our total future payment obligations expiring after December 31, 2022. Year ended December 31, ($ in millions) 2023 $ 176 2024 75 2025 57 2026 47 2027 17 2028 and thereafter 8 Total future payment obligations $ 380 |
Description of Business, Basi_3
Description of Business, Basis of Presentation, and Significant Accounting Policies (Details) | 12 Months Ended |
Dec. 31, 2022 | |
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |
Troubled debt restructuring threshold | 10% |
Minimum | |
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |
Useful life | 3 years |
Minimum | Capitalized software | |
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |
Useful life | 3 years |
Maximum | |
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |
Useful life | 30 years |
Maximum | Capitalized software | |
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |
Useful life | 5 years |
Acquisitions (Narrative) (Detai
Acquisitions (Narrative) (Details) - USD ($) $ in Millions | Dec. 01, 2021 | Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 |
Business Acquisition [Line Items] | ||||
Goodwill | $ 822 | $ 822 | $ 343 | |
Fair Square Financial Holdings LLC | ||||
Business Acquisition [Line Items] | ||||
Percentage of voting interests acquired | 100% | |||
Cash consideration | $ 741 | |||
Goodwill | $ 479 |
Acquisitions (Details)
Acquisitions (Details) - USD ($) $ in Millions | Dec. 01, 2021 | Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 |
Business Acquisition [Line Items] | ||||
Goodwill | $ 822 | $ 822 | $ 343 | |
Fair Square Financial Holdings LLC | ||||
Business Acquisition [Line Items] | ||||
Cash consideration | $ 741 | |||
Finance receivables and loans | 870 | |||
Intangible assets | 98 | |||
Cash and short-term investments | 42 | |||
Other assets | 46 | |||
Debt | (765) | |||
Other liabilities | (29) | |||
Goodwill | 479 | |||
Financing receivable, purchased with credit deterioration, amount | 22 | |||
Financing receivable, excluding accrued interest, purchased with credit deterioration, allowance for credit loss at acquisition date | $ 12 | |||
Weighted average amortization period | 7 years |
Revenue from Contracts with C_3
Revenue from Contracts with Customers (Disaggregation of Revenue) (Details) - USD ($) $ in Millions | 12 Months Ended | |||||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | Jan. 01, 2022 | Jan. 01, 2021 | Jan. 01, 2020 | |
Disaggregation of Revenue [Line Items] | ||||||
Revenue from contracts with customers | $ 908 | $ 852 | $ 753 | |||
All other revenue | 670 | 1,187 | 1,230 | |||
Total other revenue | 1,578 | 2,039 | 1,983 | |||
Remarketing gains (losses), net | 170 | 344 | 127 | |||
Automotive Finance operations | ||||||
Disaggregation of Revenue [Line Items] | ||||||
Revenue from contracts with customers | 127 | 129 | 88 | |||
All other revenue | 179 | 122 | 116 | |||
Total other revenue | 306 | 251 | 204 | |||
Remarketing gains (losses), net | 170 | 344 | 127 | |||
Insurance operations | ||||||
Disaggregation of Revenue [Line Items] | ||||||
Revenue from contracts with customers | 669 | 643 | 601 | |||
All other revenue | 354 | 702 | 733 | |||
Total other revenue | 1,023 | 1,345 | 1,334 | |||
Mortgage Finance operations | ||||||
Disaggregation of Revenue [Line Items] | ||||||
Revenue from contracts with customers | 0 | 0 | 0 | |||
All other revenue | 27 | 94 | 102 | |||
Total other revenue | 27 | 94 | 102 | |||
Corporate Finance operations | ||||||
Disaggregation of Revenue [Line Items] | ||||||
Revenue from contracts with customers | 0 | 0 | 0 | |||
All other revenue | 122 | 128 | 45 | |||
Total other revenue | 122 | 128 | 45 | |||
Corporate and Other | ||||||
Disaggregation of Revenue [Line Items] | ||||||
Revenue from contracts with customers | 112 | 80 | 64 | |||
All other revenue | (12) | 141 | 234 | |||
Total other revenue | 100 | 221 | 298 | |||
Noninsurance contracts | ||||||
Disaggregation of Revenue [Line Items] | ||||||
Revenue from contracts with customers | 655 | 627 | 584 | |||
Noninsurance contracts | Automotive Finance operations | ||||||
Disaggregation of Revenue [Line Items] | ||||||
Revenue from contracts with customers | 0 | 0 | 0 | |||
Noninsurance contracts | Insurance operations | ||||||
Disaggregation of Revenue [Line Items] | ||||||
Revenue from contracts with customers | 655 | 627 | 584 | |||
Unearned revenue, remaining performance obligation, amount | 3,000 | 3,100 | 3,000 | $ 3,100 | $ 3,000 | $ 2,900 |
Unearned revenue, revenue recognized | 939 | 909 | 866 | |||
Capitalized contract cost, net | 1,800 | 1,900 | 1,800 | |||
Capitalized contract cost, amortization | 564 | 537 | 498 | |||
Noninsurance contracts | Insurance operations | Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2023-01-01 | ||||||
Disaggregation of Revenue [Line Items] | ||||||
Unearned revenue, remaining performance obligation, amount | $ 883 | |||||
Remaining performance obligation, expected timing of satisfaction, period | 1 year | |||||
Noninsurance contracts | Insurance operations | Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2024-01-01 | ||||||
Disaggregation of Revenue [Line Items] | ||||||
Unearned revenue, remaining performance obligation, amount | $ 747 | |||||
Remaining performance obligation, expected timing of satisfaction, period | 1 year | |||||
Noninsurance contracts | Insurance operations | Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2025-01-01 | ||||||
Disaggregation of Revenue [Line Items] | ||||||
Unearned revenue, remaining performance obligation, amount | $ 565 | |||||
Remaining performance obligation, expected timing of satisfaction, period | 1 year | |||||
Noninsurance contracts | Insurance operations | Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2026-01-01 | ||||||
Disaggregation of Revenue [Line Items] | ||||||
Unearned revenue, remaining performance obligation, amount | $ 384 | |||||
Remaining performance obligation, expected timing of satisfaction, period | 1 year | |||||
Noninsurance contracts | Insurance operations | Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2027-01-01 | ||||||
Disaggregation of Revenue [Line Items] | ||||||
Unearned revenue, remaining performance obligation, amount | $ 402 | |||||
Remaining performance obligation, expected timing of satisfaction, period | ||||||
Noninsurance contracts | Mortgage Finance operations | ||||||
Disaggregation of Revenue [Line Items] | ||||||
Revenue from contracts with customers | $ 0 | 0 | 0 | |||
Noninsurance contracts | Corporate Finance operations | ||||||
Disaggregation of Revenue [Line Items] | ||||||
Revenue from contracts with customers | 0 | 0 | 0 | |||
Noninsurance contracts | Corporate and Other | ||||||
Disaggregation of Revenue [Line Items] | ||||||
Revenue from contracts with customers | 0 | 0 | 0 | |||
Remarketing fee income | ||||||
Disaggregation of Revenue [Line Items] | ||||||
Revenue from contracts with customers | 107 | 107 | 73 | |||
Remarketing fee income | Automotive Finance operations | ||||||
Disaggregation of Revenue [Line Items] | ||||||
Revenue from contracts with customers | 107 | 107 | 73 | |||
Remarketing fee income | Insurance operations | ||||||
Disaggregation of Revenue [Line Items] | ||||||
Revenue from contracts with customers | 0 | 0 | 0 | |||
Remarketing fee income | Mortgage Finance operations | ||||||
Disaggregation of Revenue [Line Items] | ||||||
Revenue from contracts with customers | 0 | 0 | 0 | |||
Remarketing fee income | Corporate Finance operations | ||||||
Disaggregation of Revenue [Line Items] | ||||||
Revenue from contracts with customers | 0 | 0 | 0 | |||
Remarketing fee income | Corporate and Other | ||||||
Disaggregation of Revenue [Line Items] | ||||||
Revenue from contracts with customers | 0 | 0 | 0 | |||
Brokerage commissions and other revenue | ||||||
Disaggregation of Revenue [Line Items] | ||||||
Revenue from contracts with customers | 64 | 58 | 52 | |||
Brokerage commissions and other revenue | Automotive Finance operations | ||||||
Disaggregation of Revenue [Line Items] | ||||||
Revenue from contracts with customers | 0 | 0 | 0 | |||
Brokerage commissions and other revenue | Insurance operations | ||||||
Disaggregation of Revenue [Line Items] | ||||||
Revenue from contracts with customers | 0 | 0 | 0 | |||
Brokerage commissions and other revenue | Mortgage Finance operations | ||||||
Disaggregation of Revenue [Line Items] | ||||||
Revenue from contracts with customers | 0 | 0 | 0 | |||
Brokerage commissions and other revenue | Corporate Finance operations | ||||||
Disaggregation of Revenue [Line Items] | ||||||
Revenue from contracts with customers | 0 | 0 | 0 | |||
Brokerage commissions and other revenue | Corporate and Other | ||||||
Disaggregation of Revenue [Line Items] | ||||||
Revenue from contracts with customers | 64 | 58 | 52 | |||
Banking fees and interchange income | ||||||
Disaggregation of Revenue [Line Items] | ||||||
Revenue from contracts with customers | 44 | 18 | 12 | |||
Customer rewards expense | 14 | 1 | ||||
Banking fees and interchange income | Automotive Finance operations | ||||||
Disaggregation of Revenue [Line Items] | ||||||
Revenue from contracts with customers | 0 | 0 | 0 | |||
Banking fees and interchange income | Insurance operations | ||||||
Disaggregation of Revenue [Line Items] | ||||||
Revenue from contracts with customers | 0 | 0 | 0 | |||
Banking fees and interchange income | Mortgage Finance operations | ||||||
Disaggregation of Revenue [Line Items] | ||||||
Revenue from contracts with customers | 0 | 0 | 0 | |||
Banking fees and interchange income | Corporate Finance operations | ||||||
Disaggregation of Revenue [Line Items] | ||||||
Revenue from contracts with customers | 0 | 0 | 0 | |||
Banking fees and interchange income | Corporate and Other | ||||||
Disaggregation of Revenue [Line Items] | ||||||
Revenue from contracts with customers | 44 | 18 | 12 | |||
Brokered/agent commissions | ||||||
Disaggregation of Revenue [Line Items] | ||||||
Revenue from contracts with customers | 14 | 16 | 16 | |||
Brokered/agent commissions | Automotive Finance operations | ||||||
Disaggregation of Revenue [Line Items] | ||||||
Revenue from contracts with customers | 0 | 0 | 0 | |||
Brokered/agent commissions | Insurance operations | ||||||
Disaggregation of Revenue [Line Items] | ||||||
Revenue from contracts with customers | 14 | 16 | 16 | |||
Brokered/agent commissions | Mortgage Finance operations | ||||||
Disaggregation of Revenue [Line Items] | ||||||
Revenue from contracts with customers | 0 | 0 | 0 | |||
Brokered/agent commissions | Corporate Finance operations | ||||||
Disaggregation of Revenue [Line Items] | ||||||
Revenue from contracts with customers | 0 | 0 | 0 | |||
Brokered/agent commissions | Corporate and Other | ||||||
Disaggregation of Revenue [Line Items] | ||||||
Revenue from contracts with customers | 0 | 0 | 0 | |||
Product and Service, Other | ||||||
Disaggregation of Revenue [Line Items] | ||||||
Revenue from contracts with customers | 24 | 26 | 16 | |||
Product and Service, Other | Automotive Finance operations | ||||||
Disaggregation of Revenue [Line Items] | ||||||
Revenue from contracts with customers | 20 | 22 | 15 | |||
Product and Service, Other | Insurance operations | ||||||
Disaggregation of Revenue [Line Items] | ||||||
Revenue from contracts with customers | 0 | 0 | 1 | |||
Product and Service, Other | Mortgage Finance operations | ||||||
Disaggregation of Revenue [Line Items] | ||||||
Revenue from contracts with customers | 0 | 0 | 0 | |||
Product and Service, Other | Corporate Finance operations | ||||||
Disaggregation of Revenue [Line Items] | ||||||
Revenue from contracts with customers | 0 | 0 | 0 | |||
Product and Service, Other | Corporate and Other | ||||||
Disaggregation of Revenue [Line Items] | ||||||
Revenue from contracts with customers | $ 4 | $ 4 | $ 0 |
Insurance Premiums and Servic_3
Insurance Premiums and Service Revenue (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Written | |||
Direct | $ 388 | $ 397 | $ 438 |
Assumed | 42 | 15 | 3 |
Gross insurance premiums | 430 | 412 | 441 |
Earned | |||
Direct | 379 | 389 | 429 |
Assumed | 29 | 8 | 3 |
Gross insurance premiums | 408 | 397 | 432 |
Written | |||
Ceded | (216) | (200) | (211) |
Net insurance premiums | 214 | 212 | 230 |
Earned | |||
Ceded | (211) | (205) | (208) |
Net insurance premiums | 197 | 192 | 224 |
Service revenue | 889 | 985 | 999 |
Service revenue | 954 | 925 | 879 |
Insurance premiums and service revenue written | 1,103 | 1,197 | 1,229 |
Insurance premiums and service revenue earned | $ 1,151 | $ 1,117 | $ 1,103 |
Other Income, Net of Losses (Sc
Other Income, Net of Losses (Schedule of Other Income, Net of Losses) (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Other Nonoperating Income (Expense) [Abstract] | |||
Late charges and other administrative fees | $ 162 | $ 123 | $ 93 |
Remarketing fees | 107 | 107 | 73 |
Income from equity-method investments | 102 | 132 | 161 |
(Loss) gain on nonmarketable equity investments, net | (132) | 142 | 99 |
Other, net | 256 | 182 | 139 |
Total other income, net of losses | $ 495 | $ 686 | $ 565 |
Reserves for Insurance Losses_3
Reserves for Insurance Losses and Loss Adjustment Expenses (Short-duration Insurance Contracts, Claims Development) (Details) $ in Millions | Dec. 31, 2022 USD ($) claim | Dec. 31, 2021 USD ($) | Dec. 31, 2020 USD ($) | Dec. 31, 2019 USD ($) | Dec. 31, 2018 USD ($) | Dec. 31, 2017 USD ($) | Dec. 31, 2016 USD ($) | Dec. 31, 2015 USD ($) | Dec. 31, 2014 USD ($) | Dec. 31, 2013 USD ($) |
Claims Development [Line Items] | ||||||||||
Incurred claims and allocated loss adjustment expenses, net of reinsurance | $ 3,083 | |||||||||
Cumulative paid claims and allocated loss adjustment expenses, net of reinsurance | 3,049 | |||||||||
All outstanding liabilities for loss and allocated loss adjustment expenses before 2013, net of reinsurance | 10 | |||||||||
Reserves for insurance losses and allocated loss adjustment expenses, net of reinsurance | 44 | $ 39 | $ 37 | |||||||
2013 | ||||||||||
Claims Development [Line Items] | ||||||||||
Incurred claims and allocated loss adjustment expenses, net of reinsurance | 368 | 368 | 368 | $ 368 | $ 368 | $ 369 | $ 370 | $ 370 | $ 365 | $ 376 |
Total of incurred-but-not-reported liabilities plus expected development on reported claims | $ 0 | |||||||||
Cumulative number of reported claims | claim | 672,284,000,000 | |||||||||
Cumulative paid claims and allocated loss adjustment expenses, net of reinsurance | $ 368 | 368 | 368 | 368 | 368 | 368 | 368 | 366 | 364 | $ 347 |
2014 | ||||||||||
Claims Development [Line Items] | ||||||||||
Incurred claims and allocated loss adjustment expenses, net of reinsurance | 388 | 388 | 388 | 388 | 388 | 388 | 388 | 389 | 390 | |
Total of incurred-but-not-reported liabilities plus expected development on reported claims | $ 0 | |||||||||
Cumulative number of reported claims | claim | 525,298,000,000 | |||||||||
Cumulative paid claims and allocated loss adjustment expenses, net of reinsurance | $ 388 | 388 | 388 | 388 | 388 | 388 | 388 | 388 | $ 369 | |
2015 | ||||||||||
Claims Development [Line Items] | ||||||||||
Incurred claims and allocated loss adjustment expenses, net of reinsurance | 272 | 272 | 272 | 272 | 272 | 272 | 271 | 274 | ||
Total of incurred-but-not-reported liabilities plus expected development on reported claims | $ 0 | |||||||||
Cumulative number of reported claims | claim | 342,280,000,000 | |||||||||
Cumulative paid claims and allocated loss adjustment expenses, net of reinsurance | $ 272 | 272 | 272 | 272 | 272 | 272 | 272 | $ 252 | ||
2016 | ||||||||||
Claims Development [Line Items] | ||||||||||
Incurred claims and allocated loss adjustment expenses, net of reinsurance | 328 | 328 | 328 | 328 | 328 | 327 | 326 | |||
Total of incurred-but-not-reported liabilities plus expected development on reported claims | $ 0 | |||||||||
Cumulative number of reported claims | claim | 476,056,000,000 | |||||||||
Cumulative paid claims and allocated loss adjustment expenses, net of reinsurance | $ 328 | 328 | 328 | 328 | 328 | 327 | $ 302 | |||
2017 | ||||||||||
Claims Development [Line Items] | ||||||||||
Incurred claims and allocated loss adjustment expenses, net of reinsurance | 315 | 315 | 315 | 315 | 314 | 310 | ||||
Total of incurred-but-not-reported liabilities plus expected development on reported claims | $ 0 | |||||||||
Cumulative number of reported claims | claim | 481,750,000,000 | |||||||||
Cumulative paid claims and allocated loss adjustment expenses, net of reinsurance | $ 315 | 315 | 315 | 315 | 315 | $ 289 | ||||
2018 | ||||||||||
Claims Development [Line Items] | ||||||||||
Incurred claims and allocated loss adjustment expenses, net of reinsurance | 273 | 273 | 272 | 272 | 271 | |||||
Total of incurred-but-not-reported liabilities plus expected development on reported claims | $ 0 | |||||||||
Cumulative number of reported claims | claim | 506,449,000,000 | |||||||||
Cumulative paid claims and allocated loss adjustment expenses, net of reinsurance | $ 273 | 273 | 273 | 273 | $ 245 | |||||
2019 | ||||||||||
Claims Development [Line Items] | ||||||||||
Incurred claims and allocated loss adjustment expenses, net of reinsurance | 305 | 305 | 306 | 303 | ||||||
Total of incurred-but-not-reported liabilities plus expected development on reported claims | $ 0 | |||||||||
Cumulative number of reported claims | claim | 542,314,000,000 | |||||||||
Cumulative paid claims and allocated loss adjustment expenses, net of reinsurance | $ 305 | 305 | 306 | $ 278 | ||||||
2020 | ||||||||||
Claims Development [Line Items] | ||||||||||
Incurred claims and allocated loss adjustment expenses, net of reinsurance | 339 | 339 | 343 | |||||||
Total of incurred-but-not-reported liabilities plus expected development on reported claims | $ 0 | |||||||||
Cumulative number of reported claims | claim | 494,382,000,000 | |||||||||
Cumulative paid claims and allocated loss adjustment expenses, net of reinsurance | $ 339 | 339 | $ 313 | |||||||
2021 | ||||||||||
Claims Development [Line Items] | ||||||||||
Incurred claims and allocated loss adjustment expenses, net of reinsurance | 237 | 243 | ||||||||
Total of incurred-but-not-reported liabilities plus expected development on reported claims | $ 1 | |||||||||
Cumulative number of reported claims | claim | 493,222,000,000 | |||||||||
Cumulative paid claims and allocated loss adjustment expenses, net of reinsurance | $ 236 | $ 213 | ||||||||
2022 | ||||||||||
Claims Development [Line Items] | ||||||||||
Incurred claims and allocated loss adjustment expenses, net of reinsurance | 258 | |||||||||
Total of incurred-but-not-reported liabilities plus expected development on reported claims | $ 28 | |||||||||
Cumulative number of reported claims | claim | 483,742,000,000 | |||||||||
Cumulative paid claims and allocated loss adjustment expenses, net of reinsurance | $ 225 |
Reserves for Insurance Losses_4
Reserves for Insurance Losses and Loss Adjustment Expenses (Short-duration Contracts, Schedule of Historical Claims Duration) (Details) | Dec. 31, 2022 |
Short-Duration Insurance Contracts, Liability for Unpaid Claims and Allocated Claim Adjustment Expense, Net [Abstract] | |
Percentage payout of incurred claims, year one | 92.30% |
Percentage payout of incurred claims, year two | 7.50% |
Percentage payout of incurred claims, year three | 0.10% |
Percentage payout of incurred claims, year four | 0.10% |
Percentage payout of incurred claims, year five | 0% |
Percentage payout of incurred claims, year six | 0% |
Percentage payout of incurred claims, year seven | 0% |
Percentage payout of incurred claims, year eight | 0% |
Percentage payout of incurred claims, year nine | 0% |
Percentage payout of incurred claims, year ten | 0% |
Reserves for Insurance Losses_5
Reserves for Insurance Losses and Loss Adjustment Expenses (Short-duration Insurance Contracts, Reconciliation of Claims Development to Liability) (Details) - USD ($) $ in Millions | Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 |
Short-Duration Insurance Contracts, Liability for Unpaid Claims and Allocated Claim Adjustment Expense, Net [Abstract] | ||||
Reserves for insurance losses and allocated loss adjustment expenses, net of reinsurance | $ 44 | $ 39 | $ 37 | |
Total reinsurance recoverable on unpaid claims | 72 | 81 | 90 | $ 88 |
Unallocated loss adjustment expenses | 3 | 2 | 2 | |
Reserves for insurance losses and loss adjustment expenses | $ 119 | $ 122 | $ 129 | $ 122 |
Reserves for Insurance Losses_6
Reserves for Insurance Losses and Loss Adjustment Expenses (Rollforward of Reserves for Insurance Losses and Loss Adjustment Expenses) (Details) - USD ($) $ in Millions | 12 Months Ended | |||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Liability for Unpaid Claims and Claims Adjustment Expense [Roll Forward] | ||||
Gross reserves for insurance losses and loss adjustment expenses, beginning balance | $ 122 | $ 129 | $ 122 | |
Less: Reinsurance recoverable | 81 | 90 | 88 | |
Net reserves for insurance losses and loss adjustment expenses at January 1, | 47 | 41 | 39 | $ 34 |
Current year | 282 | 259 | 360 | |
Prior years | (2) | 2 | 3 | |
Total net insurance losses and loss adjustment expenses incurred | 280 | 261 | 363 | |
Current year | (246) | (229) | (328) | |
Prior years | (28) | (30) | (30) | |
Total net insurance losses and loss adjustment expenses paid or payable | (274) | (259) | (358) | |
Plus: Reinsurance recoverable | 72 | 81 | 90 | |
Gross reserves for insurance losses and loss adjustment expenses, ending balance | $ 119 | $ 122 | $ 129 |
Other Operating Expenses (Sched
Other Operating Expenses (Schedule Of Other Operating Expenses) (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Operating Expenses [Abstract] | |||
Insurance commissions | $ 610 | $ 562 | $ 517 |
Technology and communications | 406 | 345 | 314 |
Advertising and marketing | 366 | 241 | 171 |
Lease and loan administration | 201 | 222 | 203 |
Professional services | 173 | 146 | 118 |
Property and equipment depreciation | 165 | 153 | 136 |
Regulatory and licensing fees | 119 | 75 | 96 |
Vehicle remarketing and repossession | 91 | 74 | 73 |
Amortization of intangible assets | 31 | 20 | 18 |
Charitable contributions | 16 | 63 | 43 |
Other | 329 | 305 | 355 |
Total other operating expenses | $ 2,507 | $ 2,206 | $ 2,044 |
Investment Securities (Investme
Investment Securities (Investment Portfolio) (Details) - USD ($) $ in Millions | Dec. 31, 2022 | Dec. 31, 2021 | |
Available-for-sale securities | |||
Total | $ 34,863 | $ 33,650 | |
Gross unrealized gains | 5 | 358 | |
Gross unrealized losses | (5,327) | (421) | |
Fair value | [1] | 29,541 | 33,587 |
Held-to-maturity securities | |||
Amortized cost | 1,062 | 1,170 | |
Gross unrealized gains | 0 | 48 | |
Gross unrealized losses | (178) | (14) | |
Fair value | 884 | 1,204 | |
Hedged liability, fair value hedge, cumulative increase (decrease) | (12) | ||
Hedged asset, fair value hedge, cumulative increase (decrease) | 15 | ||
Debt securities, available-for-sale, accrued interest receivable | $ 91 | $ 84 | |
Debt Securities, Available-for-Sale, Accrued Interest, after Allowance for Credit Loss, Statement of Financial Position [Extensible Enumeration] | Other assets | Other assets | |
Debt securities, held-to-maturity, accrued interest receivable | $ 2 | $ 3 | |
Operating Segments | Insurance operations | |||
Held-to-maturity securities | |||
Deposit securities | 12 | 13 | |
Asset Pledged as Collateral with Right | |||
Available-for-sale securities | |||
Fair value | 3,900 | 203 | |
Held-to-maturity securities | |||
Securities with the right to sell or pledge | 899 | 203 | |
Asset Pledged as Collateral with Right | Federal Home Loan Bank advances | |||
Held-to-maturity securities | |||
Securities with the right to sell or pledge | 3,000 | ||
U.S. Treasury and federal agencies | |||
Available-for-sale securities | |||
Total | 2,272 | 2,173 | |
Gross unrealized gains | 0 | 2 | |
Gross unrealized losses | (256) | (20) | |
Fair value | 2,016 | 2,155 | |
U.S. States and political subdivisions | |||
Available-for-sale securities | |||
Total | 841 | 841 | |
Gross unrealized gains | 1 | 27 | |
Gross unrealized losses | (82) | (4) | |
Fair value | 760 | 864 | |
Foreign government | |||
Available-for-sale securities | |||
Total | 158 | 157 | |
Gross unrealized gains | 0 | 2 | |
Gross unrealized losses | (12) | (2) | |
Fair value | 146 | 157 | |
Agency mortgage-backed security | |||
Available-for-sale securities | |||
Total | 19,668 | 19,044 | |
Gross unrealized gains | 3 | 219 | |
Gross unrealized losses | (3,038) | (224) | |
Fair value | 16,633 | 19,039 | |
Held-to-maturity securities | |||
Amortized cost | 1,062 | 1,170 | |
Gross unrealized gains | 0 | 48 | |
Gross unrealized losses | (178) | (14) | |
Fair value | 884 | 1,204 | |
Mortgage-backed residential | |||
Available-for-sale securities | |||
Total | 5,154 | 4,448 | |
Gross unrealized gains | 0 | 11 | |
Gross unrealized losses | (855) | (34) | |
Fair value | 4,299 | 4,425 | |
Agency mortgage-backed commercial | |||
Available-for-sale securities | |||
Total | 4,380 | 4,573 | |
Gross unrealized gains | 0 | 66 | |
Gross unrealized losses | (845) | (113) | |
Fair value | 3,535 | 4,526 | |
Asset-backed | |||
Available-for-sale securities | |||
Total | 459 | 536 | |
Gross unrealized gains | 0 | 1 | |
Gross unrealized losses | (26) | (3) | |
Fair value | 433 | 534 | |
Corporate debt | |||
Available-for-sale securities | |||
Total | 1,931 | 1,878 | |
Gross unrealized gains | 1 | 30 | |
Gross unrealized losses | (213) | (21) | |
Fair value | $ 1,719 | $ 1,887 | |
[1]Refer to Note 8 for discussion of investment securities pledged as collateral. |
Investment Securities (Invest_2
Investment Securities (Investments Classified by Contractual Maturity Date) (Details) - USD ($) $ in Millions | Dec. 31, 2022 | Dec. 31, 2021 | |
Amount | |||
Total available-for-sale securities | [1] | $ 29,541 | $ 33,587 |
Due in one year or less | 125 | 370 | |
Due after one year through five years | 2,229 | 1,905 | |
Due after five years through ten years | 3,476 | 4,324 | |
Due after ten years | $ 23,711 | $ 26,988 | |
Yield | |||
Total | 2.50% | 2.30% | |
Due in one year or less | 2.30% | 1.30% | |
Due after one year through five years | 1.90% | 1.90% | |
Due after five years through ten years | 2.10% | 2% | |
Due after ten years | 2.60% | 2.40% | |
Amortized cost of available-for-sale securities | |||
Total | $ 34,863 | $ 33,650 | |
Due in one year or less | 126 | 368 | |
Due after one year through five years | 2,403 | 1,893 | |
Due after five years through ten years | 4,048 | 4,291 | |
Due after ten years | 28,286 | 27,098 | |
Amount | |||
Total | 1,062 | 1,170 | |
Due in one year or less | 0 | 0 | |
Due after one year through five years | 0 | 0 | |
Due after five years through ten years | 0 | 0 | |
Due after ten years | $ 1,062 | $ 1,170 | |
Yield | |||
Total | 2.80% | 2.80% | |
Due in one year or less | 0% | 0% | |
Due after one year through five years | 0% | 0% | |
Due after five years through ten years | 0% | 0% | |
Due after ten years | 2.80% | 2.80% | |
Hedged liability, fair value hedge, cumulative increase (decrease) | $ (12) | ||
Hedged asset, fair value hedge, cumulative increase (decrease) | 15 | ||
Cash equivalents | 18 | $ 40 | |
U.S. Treasury and federal agencies | |||
Amount | |||
Total available-for-sale securities | 2,016 | 2,155 | |
Due in one year or less | 0 | 288 | |
Due after one year through five years | 716 | 525 | |
Due after five years through ten years | 1,300 | 1,342 | |
Due after ten years | $ 0 | $ 0 | |
Yield | |||
Total | 1.60% | 1.10% | |
Due in one year or less | 0% | 1% | |
Due after one year through five years | 1.30% | 0.90% | |
Due after five years through ten years | 1.70% | 1.20% | |
Due after ten years | 0% | 0% | |
Amortized cost of available-for-sale securities | |||
Total | $ 2,272 | $ 2,173 | |
U.S. States and political subdivisions | |||
Amount | |||
Total available-for-sale securities | 760 | 864 | |
Due in one year or less | 26 | 26 | |
Due after one year through five years | 60 | 77 | |
Due after five years through ten years | 112 | 128 | |
Due after ten years | $ 562 | $ 633 | |
Yield | |||
Total | 3.20% | 3% | |
Due in one year or less | 2.70% | 1.60% | |
Due after one year through five years | 2.70% | 2.80% | |
Due after five years through ten years | 3.30% | 3.30% | |
Due after ten years | 3.20% | 3% | |
Amortized cost of available-for-sale securities | |||
Total | $ 841 | $ 841 | |
Foreign government | |||
Amount | |||
Total available-for-sale securities | 146 | 157 | |
Due in one year or less | 13 | 2 | |
Due after one year through five years | 74 | 97 | |
Due after five years through ten years | 59 | 58 | |
Due after ten years | $ 0 | $ 0 | |
Yield | |||
Total | 1.80% | 1.90% | |
Due in one year or less | 0.80% | 2.10% | |
Due after one year through five years | 1.80% | 2% | |
Due after five years through ten years | 1.90% | 1.80% | |
Due after ten years | 0% | 0% | |
Amortized cost of available-for-sale securities | |||
Total | $ 158 | $ 157 | |
Agency mortgage-backed security | |||
Amount | |||
Total available-for-sale securities | 16,633 | 19,039 | |
Due in one year or less | 0 | 0 | |
Due after one year through five years | 0 | 0 | |
Due after five years through ten years | 27 | 26 | |
Due after ten years | $ 16,606 | $ 19,013 | |
Yield | |||
Total | 2.60% | 2.50% | |
Due in one year or less | 0% | 0% | |
Due after one year through five years | 0% | 0% | |
Due after five years through ten years | 2% | 2% | |
Due after ten years | 2.60% | 2.50% | |
Amortized cost of available-for-sale securities | |||
Total | $ 19,668 | $ 19,044 | |
Amount | |||
Total | 1,062 | 1,170 | |
Due in one year or less | 0 | 0 | |
Due after one year through five years | 0 | 0 | |
Due after five years through ten years | 0 | 0 | |
Due after ten years | $ 1,062 | $ 1,170 | |
Yield | |||
Total | 2.80% | 2.80% | |
Due in one year or less | 0% | 0% | |
Due after one year through five years | 0% | 0% | |
Due after five years through ten years | 0% | 0% | |
Due after ten years | 2.80% | 2.80% | |
Mortgage-backed residential | |||
Amount | |||
Total available-for-sale securities | $ 4,299 | $ 4,425 | |
Due in one year or less | 0 | 0 | |
Due after one year through five years | 0 | 0 | |
Due after five years through ten years | 14 | 23 | |
Due after ten years | $ 4,285 | $ 4,402 | |
Yield | |||
Total | 2.80% | 2.60% | |
Due in one year or less | 0% | 0% | |
Due after one year through five years | 0% | 0% | |
Due after five years through ten years | 2.90% | 2.90% | |
Due after ten years | 2.80% | 2.60% | |
Amortized cost of available-for-sale securities | |||
Total | $ 5,154 | $ 4,448 | |
Agency mortgage-backed commercial | |||
Amount | |||
Total available-for-sale securities | 3,535 | 4,526 | |
Due in one year or less | 0 | 0 | |
Due after one year through five years | 66 | 26 | |
Due after five years through ten years | 1,234 | 1,578 | |
Due after ten years | $ 2,235 | $ 2,922 | |
Yield | |||
Total | 2.20% | 1.90% | |
Due in one year or less | 0% | 0% | |
Due after one year through five years | 3.10% | 2.40% | |
Due after five years through ten years | 2.10% | 2.40% | |
Due after ten years | 2.10% | 1.70% | |
Amortized cost of available-for-sale securities | |||
Total | $ 4,380 | $ 4,573 | |
Asset-backed | |||
Amount | |||
Total available-for-sale securities | 433 | 534 | |
Due in one year or less | 0 | 0 | |
Due after one year through five years | 401 | 350 | |
Due after five years through ten years | 25 | 175 | |
Due after ten years | $ 7 | $ 9 | |
Yield | |||
Total | 1.70% | 1.90% | |
Due in one year or less | 0% | 0% | |
Due after one year through five years | 1.70% | 2% | |
Due after five years through ten years | 1.80% | 1.50% | |
Due after ten years | 3.50% | 3.40% | |
Amortized cost of available-for-sale securities | |||
Total | $ 459 | $ 536 | |
Corporate debt | |||
Amount | |||
Total available-for-sale securities | 1,719 | 1,887 | |
Due in one year or less | 86 | 54 | |
Due after one year through five years | 912 | 830 | |
Due after five years through ten years | 705 | 994 | |
Due after ten years | $ 16 | $ 9 | |
Yield | |||
Total | 2.40% | 2.30% | |
Due in one year or less | 2.40% | 2.90% | |
Due after one year through five years | 2.30% | 2.30% | |
Due after five years through ten years | 2.60% | 2.30% | |
Due after ten years | 4.90% | 2.50% | |
Amortized cost of available-for-sale securities | |||
Total | $ 1,931 | $ 1,878 | |
[1]Refer to Note 8 for discussion of investment securities pledged as collateral. |
Investment Securities (Invest_3
Investment Securities (Investment Income) (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Interest and dividends on investment securities | $ 841 | $ 600 | $ 736 |
Excludes other earning assets | |||
Taxable interest | 765 | 533 | 654 |
Taxable dividends | 17 | 27 | 21 |
Interest and dividends exempt from U.S. federal income tax | 22 | 19 | 17 |
Interest and dividends on investment securities | $ 804 | $ 579 | $ 692 |
Investment Securities (Schedule
Investment Securities (Schedule Of Realized Gain (Loss)) (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Investments, Debt and Equity Securities [Abstract] | |||
Gross realized gains | $ 23 | $ 102 | $ 173 |
Gross realized losses | 0 | 0 | 2 |
Net realized gain on available-for-sale securities | 23 | 102 | 171 |
Net realized gain on equity securities | 72 | 190 | 107 |
Net unrealized (loss) gain on equity securities | (215) | (7) | 29 |
Other (loss) gain on investments, net | $ (120) | $ 285 | $ 307 |
Investment securities (Invest_4
Investment securities (Investments Classified by Credit Rating) (Details) - USD ($) $ in Millions | Dec. 31, 2022 | Dec. 31, 2021 |
Schedule of Held-to-maturity Securities [Line Items] | ||
Held-to-maturity securities | $ 1,062 | $ 1,170 |
Agency mortgage-backed security | ||
Schedule of Held-to-maturity Securities [Line Items] | ||
Held-to-maturity securities | 1,062 | 1,170 |
AA | ||
Schedule of Held-to-maturity Securities [Line Items] | ||
Held-to-maturity securities | 1,062 | 1,170 |
AA | Agency mortgage-backed security | ||
Schedule of Held-to-maturity Securities [Line Items] | ||
Held-to-maturity securities | $ 1,062 | $ 1,170 |
Investment Securities (Schedu_2
Investment Securities (Schedule of Unrealized Loss on Investments) (Details) - USD ($) | Dec. 31, 2022 | Dec. 31, 2021 |
Less than 12 months | ||
Fair value | $ 12,548,000,000 | $ 21,288,000,000 |
Unrealized loss | (1,503,000,000) | (373,000,000) |
12 months or longer | ||
Fair value | 16,660,000,000 | 896,000,000 |
Unrealized loss | (3,824,000,000) | (48,000,000) |
Hedged liability, fair value hedge, cumulative increase (decrease) | (12,000,000) | |
Hedged asset, fair value hedge, cumulative increase (decrease) | 15,000,000 | |
Credit reserves | 0 | 0 |
U.S. Treasury and federal agencies | ||
Less than 12 months | ||
Fair value | 529,000,000 | 1,682,000,000 |
Unrealized loss | (68,000,000) | (20,000,000) |
12 months or longer | ||
Fair value | 1,487,000,000 | 0 |
Unrealized loss | (188,000,000) | 0 |
U.S. States and political subdivisions | ||
Less than 12 months | ||
Fair value | 547,000,000 | 160,000,000 |
Unrealized loss | (55,000,000) | (3,000,000) |
12 months or longer | ||
Fair value | 135,000,000 | 31,000,000 |
Unrealized loss | (27,000,000) | (1,000,000) |
Foreign government | ||
Less than 12 months | ||
Fair value | 75,000,000 | 76,000,000 |
Unrealized loss | (4,000,000) | (2,000,000) |
12 months or longer | ||
Fair value | 71,000,000 | 7,000,000 |
Unrealized loss | (8,000,000) | 0 |
Agency mortgage-backed security | ||
Less than 12 months | ||
Fair value | 7,472,000,000 | 12,244,000,000 |
Unrealized loss | (892,000,000) | (223,000,000) |
12 months or longer | ||
Fair value | 8,978,000,000 | 38,000,000 |
Unrealized loss | (2,146,000,000) | (1,000,000) |
Mortgage-backed residential | ||
Less than 12 months | ||
Fair value | 1,985,000,000 | 3,243,000,000 |
Unrealized loss | (289,000,000) | (34,000,000) |
12 months or longer | ||
Fair value | 2,287,000,000 | 22,000,000 |
Unrealized loss | (566,000,000) | 0 |
Agency mortgage-backed commercial | ||
Less than 12 months | ||
Fair value | 996,000,000 | 2,553,000,000 |
Unrealized loss | (124,000,000) | (70,000,000) |
12 months or longer | ||
Fair value | 2,535,000,000 | 749,000,000 |
Unrealized loss | (721,000,000) | (43,000,000) |
Asset-backed | ||
Less than 12 months | ||
Fair value | 162,000,000 | 360,000,000 |
Unrealized loss | (4,000,000) | (3,000,000) |
12 months or longer | ||
Fair value | 272,000,000 | 0 |
Unrealized loss | (22,000,000) | 0 |
Corporate debt | ||
Less than 12 months | ||
Fair value | 782,000,000 | 970,000,000 |
Unrealized loss | (67,000,000) | (18,000,000) |
12 months or longer | ||
Fair value | 895,000,000 | 49,000,000 |
Unrealized loss | $ (146,000,000) | $ (3,000,000) |
Finance Receivables and Loans_3
Finance Receivables and Loans, Net (Schedule of Accounts, Notes, Loans and Financing Receivables) (Details) - USD ($) $ in Millions | Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 |
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Total finance receivables and loans | $ 135,748 | $ 122,268 | |
Unamortized premiums and discounts and deferred fees and costs | 2,300 | 2,300 | |
Accrued interest receivable | 707 | 514 | |
Consumer | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Total finance receivables and loans | 106,610 | 98,226 | |
Consumer | Automotive | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Total finance receivables and loans | 83,286 | 78,252 | |
Consumer | Consumer mortgage | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Total finance receivables and loans | 19,735 | 18,012 | |
Consumer | Mortgage Finance | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Total finance receivables and loans | 19,445 | 17,644 | |
Interest-only mortgage loans | 3 | 5 | |
Consumer | Mortgage - Legacy | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Total finance receivables and loans | 290 | 368 | |
Interest-only mortgage loans | 17 | 21 | |
Consumer | Other | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Total finance receivables and loans | 3,589 | 1,962 | |
Fair value, option, carrying amount, financing receivable, no allowance | 3 | 7 | $ 8 |
Consumer | Personal Lending | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Total finance receivables and loans | 1,990 | 1,009 | |
Consumer | Credit Card | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Total finance receivables and loans | 1,599 | 953 | |
Commercial | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Total finance receivables and loans | 29,138 | 24,042 | |
Commercial | Automotive | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Total finance receivables and loans | 14,595 | 12,229 | |
Commercial | Consumer mortgage | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Total finance receivables and loans | 5,389 | 4,939 | |
Commercial | Other | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Total finance receivables and loans | $ 9,154 | $ 6,874 |
Finance Receivables and Loans_4
Finance Receivables and Loans, Net (Allowance for Credit Losses on Financing Receivables) (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Financing Receivable, Excluding Accrued Interest, Allowance for Credit Loss [Roll Forward] | |||
Allowance, beginning balance | $ 3,267 | $ 3,283 | |
Charge-offs | (1,628) | (981) | |
Recoveries | 676 | 712 | |
Net charge-offs | (952) | (269) | |
Provision for credit losses | 1,396 | 241 | |
Other | 0 | 12 | |
Allowance, ending balance | 3,711 | 3,267 | |
Unfunded Loan Commitment | |||
Financing Receivable, Excluding Accrued Interest, Allowance for Credit Loss [Roll Forward] | |||
Provision for credit losses | 3 | ||
Consumer | Automotive | |||
Financing Receivable, Excluding Accrued Interest, Allowance for Credit Loss [Roll Forward] | |||
Allowance, beginning balance | 2,769 | 2,902 | |
Charge-offs | (1,434) | (923) | |
Recoveries | 649 | 686 | |
Net charge-offs | (785) | (237) | |
Provision for credit losses | 1,036 | 104 | |
Other | 0 | 0 | |
Allowance, ending balance | 3,020 | 2,769 | |
Consumer | Consumer mortgage | |||
Financing Receivable, Excluding Accrued Interest, Allowance for Credit Loss [Roll Forward] | |||
Allowance, beginning balance | 27 | 33 | |
Charge-offs | (3) | (6) | |
Recoveries | 12 | 13 | |
Net charge-offs | 9 | 7 | |
Provision for credit losses | (8) | (14) | |
Other | (1) | 1 | |
Allowance, ending balance | 27 | 27 | |
Consumer | Consumer other | |||
Financing Receivable, Excluding Accrued Interest, Allowance for Credit Loss [Roll Forward] | |||
Allowance, beginning balance | 221 | 73 | |
Charge-offs | (133) | (30) | |
Recoveries | 12 | 2 | |
Net charge-offs | (121) | (28) | |
Provision for credit losses | 326 | 163 | |
Other | 0 | 13 | |
Allowance, ending balance | 426 | 221 | |
Fair value, option, carrying amount, financing receivable, no allowance | 3 | 7 | $ 8 |
Consumer | Consumer other | Ally Credit Card | |||
Financing Receivable, Excluding Accrued Interest, Allowance for Credit Loss [Roll Forward] | |||
Financing receivable, purchased with credit deterioration, allowance for credit loss | 97 | ||
Financing receivable, excluding accrued interest, purchased with credit deterioration, allowance for credit loss at acquisition date | 12 | ||
Commercial | |||
Financing Receivable, Excluding Accrued Interest, Allowance for Credit Loss [Roll Forward] | |||
Allowance, beginning balance | 250 | 275 | |
Charge-offs | (58) | (22) | |
Recoveries | 3 | 11 | |
Net charge-offs | (55) | (11) | |
Provision for credit losses | 42 | (12) | |
Other | 1 | (2) | |
Allowance, ending balance | $ 238 | $ 250 |
Finance Receivables and Loans_5
Finance Receivables and Loans, Net (Schedule of Sales of Financing Receivables and Loans) (Details) - USD ($) $ in Millions | 12 Months Ended | |
Dec. 31, 2022 | Dec. 31, 2021 | |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total sales and transfers | $ 27 | $ 414 |
Consumer | Automotive | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total sales and transfers | 23 | 0 |
Consumer | Consumer mortgage | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total sales and transfers | $ 4 | $ 414 |
Finance Receivables and Loans_6
Finance Receivables and Loans, Net (Schedule of Purchases of Financing Receivables and Loans) (Details) - USD ($) $ in Millions | 12 Months Ended | |
Dec. 31, 2022 | Dec. 31, 2021 | |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Financing receivables and loans, significant purchases | $ 6,891 | $ 7,247 |
Fair value, measurements, recurring | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Financing receivables and loans, significant purchases | 12 | 14 |
Consumer | Automotive | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Financing receivables and loans, significant purchases | 4,092 | 2,506 |
Consumer | Consumer mortgage | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Financing receivables and loans, significant purchases | 2,781 | 3,853 |
Consumer | Consumer other | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Financing receivables and loans, significant purchases | 0 | 882 |
Commercial | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Financing receivables and loans, significant purchases | $ 18 | $ 6 |
Finance Receivables and Loans_7
Finance Receivables and Loans, Net (Schedule of Financing Receivables, Nonaccrual Status) (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Financing receivable, recorded investment, nonaccrual status | $ 1,454 | $ 1,436 | $ 1,522 |
Financing receivable, nonaccrual, with no allowance | 519 | 568 | |
Financing receivable, nonaccrual, interest income | 13 | 13 | |
Consumer | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Financing receivable, recorded investment, nonaccrual status | 1,292 | 1,179 | 1,361 |
Financing receivable, nonaccrual, with no allowance | 484 | 485 | |
Consumer | Automotive | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Financing receivable, recorded investment, nonaccrual status | 1,187 | 1,078 | 1,256 |
Financing receivable, nonaccrual, with no allowance | 445 | 423 | |
Consumer | Consumer mortgage | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Financing receivable, recorded investment, nonaccrual status | 49 | 85 | 102 |
Financing receivable, nonaccrual, with no allowance | 39 | 62 | |
Consumer | Mortgage Finance | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Financing receivable, recorded investment, nonaccrual status | 34 | 59 | 67 |
Financing receivable, nonaccrual, with no allowance | 25 | 39 | |
Consumer | Mortgage - Legacy | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Financing receivable, recorded investment, nonaccrual status | 15 | 26 | 35 |
Financing receivable, nonaccrual, with no allowance | 14 | 23 | |
Consumer | Other | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Financing receivable, recorded investment, nonaccrual status | 56 | 16 | 3 |
Financing receivable, nonaccrual, with no allowance | 0 | 0 | |
Consumer | Personal Lending | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Financing receivable, recorded investment, nonaccrual status | 13 | 5 | 3 |
Financing receivable, nonaccrual, with no allowance | 0 | 0 | |
Consumer | Credit Card | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Financing receivable, recorded investment, nonaccrual status | 43 | 11 | 0 |
Financing receivable, nonaccrual, with no allowance | 0 | 0 | |
Commercial | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Financing receivable, recorded investment, nonaccrual status | 162 | 257 | 161 |
Financing receivable, nonaccrual, with no allowance | 35 | 83 | |
Commercial | Automotive | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Financing receivable, recorded investment, nonaccrual status | 5 | 33 | 40 |
Financing receivable, nonaccrual, with no allowance | 2 | 32 | |
Commercial | Consumer mortgage | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Financing receivable, recorded investment, nonaccrual status | 0 | 3 | 5 |
Financing receivable, nonaccrual, with no allowance | 0 | 3 | |
Commercial | Other | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Financing receivable, recorded investment, nonaccrual status | 157 | 221 | $ 116 |
Financing receivable, nonaccrual, with no allowance | $ 33 | $ 48 |
Finance Receivables and Loans_8
Finance Receivables and Loans, Net (Financing Receivable Credit Quality Indicators Consumer) (Details) - USD ($) $ in Millions | Dec. 31, 2022 | Dec. 31, 2021 |
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Total finance receivables and loans | $ 135,748 | $ 122,268 |
Consumer | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Total finance receivables and loans | 106,610 | 98,226 |
Consumer | Excludes fair value option elected other loans | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Year one, originated, current fiscal year | 40,946 | 46,869 |
Year two, originated, fiscal year before current fiscal year | 34,750 | 20,088 |
Year three, originated, two years before current fiscal year | 12,893 | 13,015 |
Year four, originated, three years before current fiscal year | 7,698 | 7,800 |
Year five, originated, four years before current fiscal year | 4,071 | 4,661 |
Originated, more than five years before current fiscal year | 4,994 | 4,562 |
Revolving loans | 1,794 | 1,197 |
Revolving loans converted to term | 21 | 27 |
Total finance receivables and loans | 107,167 | 98,219 |
Consumer | Consumer automotive, excludes basis adjustment | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Year one, originated, current fiscal year | 37,114 | |
Year two, originated, fiscal year before current fiscal year | 23,415 | |
Year three, originated, two years before current fiscal year | 10,893 | |
Year four, originated, three years before current fiscal year | 6,872 | |
Year five, originated, four years before current fiscal year | 3,480 | |
Originated, more than five years before current fiscal year | 2,072 | |
Revolving loans | 0 | |
Revolving loans converted to term | 0 | |
Total finance receivables and loans | 83,846 | |
Basis adjustment for active hedge | 560 | |
Consumer | Automotive | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Year one, originated, current fiscal year | 35,802 | |
Year two, originated, fiscal year before current fiscal year | 17,736 | |
Year three, originated, two years before current fiscal year | 12,010 | |
Year four, originated, three years before current fiscal year | 7,028 | |
Year five, originated, four years before current fiscal year | 3,610 | |
Originated, more than five years before current fiscal year | 2,066 | |
Revolving loans | 0 | |
Revolving loans converted to term | 0 | |
Total finance receivables and loans | 83,286 | 78,252 |
Consumer | Consumer mortgage | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Year one, originated, current fiscal year | 2,309 | 10,227 |
Year two, originated, fiscal year before current fiscal year | 10,927 | 2,215 |
Year three, originated, two years before current fiscal year | 1,950 | 986 |
Year four, originated, three years before current fiscal year | 821 | 767 |
Year five, originated, four years before current fiscal year | 590 | 1,050 |
Originated, more than five years before current fiscal year | 2,922 | 2,496 |
Revolving loans | 195 | 244 |
Revolving loans converted to term | 21 | 27 |
Total finance receivables and loans | 19,735 | 18,012 |
Consumer | Mortgage Finance | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Year one, originated, current fiscal year | 2,309 | 10,227 |
Year two, originated, fiscal year before current fiscal year | 10,927 | 2,215 |
Year three, originated, two years before current fiscal year | 1,950 | 986 |
Year four, originated, three years before current fiscal year | 821 | 767 |
Year five, originated, four years before current fiscal year | 590 | 1,050 |
Originated, more than five years before current fiscal year | 2,848 | 2,399 |
Revolving loans | 0 | 0 |
Revolving loans converted to term | 0 | 0 |
Total finance receivables and loans | 19,445 | 17,644 |
Consumer | Mortgage - Legacy | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Year one, originated, current fiscal year | 0 | 0 |
Year two, originated, fiscal year before current fiscal year | 0 | 0 |
Year three, originated, two years before current fiscal year | 0 | 0 |
Year four, originated, three years before current fiscal year | 0 | 0 |
Year five, originated, four years before current fiscal year | 0 | 0 |
Originated, more than five years before current fiscal year | 74 | 97 |
Revolving loans | 195 | 244 |
Revolving loans converted to term | 21 | 27 |
Total finance receivables and loans | 290 | 368 |
Consumer | Other | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Total finance receivables and loans | 3,589 | 1,962 |
Fair value, option, carrying amount, financing receivable | 3 | 7 |
Consumer | Other | Excludes fair value option elected other loans | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Year one, originated, current fiscal year | 1,523 | 840 |
Year two, originated, fiscal year before current fiscal year | 408 | 137 |
Year three, originated, two years before current fiscal year | 50 | 19 |
Year four, originated, three years before current fiscal year | 5 | 5 |
Year five, originated, four years before current fiscal year | 1 | 1 |
Originated, more than five years before current fiscal year | 0 | 0 |
Revolving loans | 1,599 | 953 |
Revolving loans converted to term | 0 | 0 |
Total finance receivables and loans | 3,586 | 1,955 |
Consumer | Personal Lending | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Total finance receivables and loans | 1,990 | 1,009 |
Consumer | Personal Lending | Excludes fair value option elected other loans | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Year one, originated, current fiscal year | 1,523 | 840 |
Year two, originated, fiscal year before current fiscal year | 408 | 137 |
Year three, originated, two years before current fiscal year | 50 | 19 |
Year four, originated, three years before current fiscal year | 5 | 5 |
Year five, originated, four years before current fiscal year | 1 | 1 |
Originated, more than five years before current fiscal year | 0 | 0 |
Revolving loans | 0 | 0 |
Revolving loans converted to term | 0 | 0 |
Total finance receivables and loans | 1,987 | 1,002 |
Consumer | Credit card receivables | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Year one, originated, current fiscal year | 0 | 0 |
Year two, originated, fiscal year before current fiscal year | 0 | 0 |
Year three, originated, two years before current fiscal year | 0 | 0 |
Year four, originated, three years before current fiscal year | 0 | 0 |
Year five, originated, four years before current fiscal year | 0 | 0 |
Originated, more than five years before current fiscal year | 0 | 0 |
Revolving loans | 1,599 | 953 |
Revolving loans converted to term | 0 | 0 |
Total finance receivables and loans | 1,599 | 953 |
Current | Consumer | Consumer automotive, excludes basis adjustment | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Year one, originated, current fiscal year | 36,127 | |
Year two, originated, fiscal year before current fiscal year | 22,102 | |
Year three, originated, two years before current fiscal year | 10,341 | |
Year four, originated, three years before current fiscal year | 6,451 | |
Year five, originated, four years before current fiscal year | 3,237 | |
Originated, more than five years before current fiscal year | 1,890 | |
Revolving loans | 0 | |
Revolving loans converted to term | 0 | |
Total finance receivables and loans | 80,148 | |
Current | Consumer | Automotive | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Year one, originated, current fiscal year | 35,222 | |
Year two, originated, fiscal year before current fiscal year | 17,218 | |
Year three, originated, two years before current fiscal year | 11,512 | |
Year four, originated, three years before current fiscal year | 6,692 | |
Year five, originated, four years before current fiscal year | 3,403 | |
Originated, more than five years before current fiscal year | 1,911 | |
Revolving loans | 0 | |
Revolving loans converted to term | 0 | |
Total finance receivables and loans | 75,958 | |
Current | Consumer | Mortgage Finance | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Year one, originated, current fiscal year | 2,292 | 10,169 |
Year two, originated, fiscal year before current fiscal year | 10,893 | 2,212 |
Year three, originated, two years before current fiscal year | 1,946 | 977 |
Year four, originated, three years before current fiscal year | 815 | 744 |
Year five, originated, four years before current fiscal year | 577 | 1,041 |
Originated, more than five years before current fiscal year | 2,805 | 2,363 |
Revolving loans | 0 | 0 |
Revolving loans converted to term | 0 | 0 |
Total finance receivables and loans | 19,328 | 17,506 |
Current | Consumer | Mortgage - Legacy | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Year one, originated, current fiscal year | 0 | 0 |
Year two, originated, fiscal year before current fiscal year | 0 | 0 |
Year three, originated, two years before current fiscal year | 0 | 0 |
Year four, originated, three years before current fiscal year | 0 | 0 |
Year five, originated, four years before current fiscal year | 0 | 0 |
Originated, more than five years before current fiscal year | 62 | 79 |
Revolving loans | 191 | 238 |
Revolving loans converted to term | 18 | 23 |
Total finance receivables and loans | 271 | 340 |
Current | Consumer | Personal Lending | Excludes fair value option elected other loans | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Year one, originated, current fiscal year | 1,492 | 821 |
Year two, originated, fiscal year before current fiscal year | 392 | 133 |
Year three, originated, two years before current fiscal year | 48 | 18 |
Year four, originated, three years before current fiscal year | 5 | 5 |
Year five, originated, four years before current fiscal year | 1 | 1 |
Originated, more than five years before current fiscal year | 0 | 0 |
Revolving loans | 0 | 0 |
Revolving loans converted to term | 0 | 0 |
Total finance receivables and loans | 1,938 | 978 |
Current | Consumer | Credit card receivables | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Year one, originated, current fiscal year | 0 | 0 |
Year two, originated, fiscal year before current fiscal year | 0 | 0 |
Year three, originated, two years before current fiscal year | 0 | 0 |
Year four, originated, three years before current fiscal year | 0 | 0 |
Year five, originated, four years before current fiscal year | 0 | 0 |
Originated, more than five years before current fiscal year | 0 | 0 |
Revolving loans | 1,518 | 932 |
Revolving loans converted to term | 0 | 0 |
Total finance receivables and loans | 1,518 | 932 |
Financing receivables, 30 to 59 days past due | Consumer | Consumer automotive, excludes basis adjustment | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Year one, originated, current fiscal year | 707 | |
Year two, originated, fiscal year before current fiscal year | 878 | |
Year three, originated, two years before current fiscal year | 370 | |
Year four, originated, three years before current fiscal year | 284 | |
Year five, originated, four years before current fiscal year | 165 | |
Originated, more than five years before current fiscal year | 120 | |
Revolving loans | 0 | |
Revolving loans converted to term | 0 | |
Total finance receivables and loans | 2,524 | |
Financing receivables, 30 to 59 days past due | Consumer | Automotive | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Year one, originated, current fiscal year | 424 | |
Year two, originated, fiscal year before current fiscal year | 353 | |
Year three, originated, two years before current fiscal year | 334 | |
Year four, originated, three years before current fiscal year | 226 | |
Year five, originated, four years before current fiscal year | 139 | |
Originated, more than five years before current fiscal year | 101 | |
Revolving loans | 0 | |
Revolving loans converted to term | 0 | |
Total finance receivables and loans | 1,577 | |
Financing receivables, 30 to 59 days past due | Consumer | Mortgage Finance | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Year one, originated, current fiscal year | 15 | 50 |
Year two, originated, fiscal year before current fiscal year | 29 | 3 |
Year three, originated, two years before current fiscal year | 4 | 3 |
Year four, originated, three years before current fiscal year | 3 | 7 |
Year five, originated, four years before current fiscal year | 4 | 2 |
Originated, more than five years before current fiscal year | 26 | 12 |
Revolving loans | 0 | 0 |
Revolving loans converted to term | 0 | 0 |
Total finance receivables and loans | 81 | 77 |
Financing receivables, 30 to 59 days past due | Consumer | Mortgage - Legacy | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Year one, originated, current fiscal year | 0 | 0 |
Year two, originated, fiscal year before current fiscal year | 0 | 0 |
Year three, originated, two years before current fiscal year | 0 | 0 |
Year four, originated, three years before current fiscal year | 0 | 0 |
Year five, originated, four years before current fiscal year | 0 | 0 |
Originated, more than five years before current fiscal year | 4 | 2 |
Revolving loans | 1 | 1 |
Revolving loans converted to term | 0 | 0 |
Total finance receivables and loans | 5 | 3 |
Financing receivables, 30 to 59 days past due | Consumer | Personal Lending | Excludes fair value option elected other loans | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Year one, originated, current fiscal year | 14 | 9 |
Year two, originated, fiscal year before current fiscal year | 6 | 2 |
Year three, originated, two years before current fiscal year | 1 | 0 |
Year four, originated, three years before current fiscal year | 0 | 0 |
Year five, originated, four years before current fiscal year | 0 | 0 |
Originated, more than five years before current fiscal year | 0 | 0 |
Revolving loans | 0 | 0 |
Revolving loans converted to term | 0 | 0 |
Total finance receivables and loans | 21 | 11 |
Financing receivables, 30 to 59 days past due | Consumer | Credit card receivables | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Year one, originated, current fiscal year | 0 | 0 |
Year two, originated, fiscal year before current fiscal year | 0 | 0 |
Year three, originated, two years before current fiscal year | 0 | 0 |
Year four, originated, three years before current fiscal year | 0 | 0 |
Year five, originated, four years before current fiscal year | 0 | 0 |
Originated, more than five years before current fiscal year | 0 | 0 |
Revolving loans | 22 | 6 |
Revolving loans converted to term | 0 | 0 |
Total finance receivables and loans | 22 | 6 |
Financing receivables, 60 to 89 days past due | Consumer | Consumer automotive, excludes basis adjustment | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Year one, originated, current fiscal year | 207 | |
Year two, originated, fiscal year before current fiscal year | 324 | |
Year three, originated, two years before current fiscal year | 135 | |
Year four, originated, three years before current fiscal year | 99 | |
Year five, originated, four years before current fiscal year | 55 | |
Originated, more than five years before current fiscal year | 38 | |
Revolving loans | 0 | |
Revolving loans converted to term | 0 | |
Total finance receivables and loans | 858 | |
Financing receivables, 60 to 89 days past due | Consumer | Automotive | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Year one, originated, current fiscal year | 115 | |
Year two, originated, fiscal year before current fiscal year | 114 | |
Year three, originated, two years before current fiscal year | 108 | |
Year four, originated, three years before current fiscal year | 70 | |
Year five, originated, four years before current fiscal year | 41 | |
Originated, more than five years before current fiscal year | 28 | |
Revolving loans | 0 | |
Revolving loans converted to term | 0 | |
Total finance receivables and loans | 476 | |
Financing receivables, 60 to 89 days past due | Consumer | Mortgage Finance | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Year one, originated, current fiscal year | 2 | 8 |
Year two, originated, fiscal year before current fiscal year | 4 | 0 |
Year three, originated, two years before current fiscal year | 0 | 1 |
Year four, originated, three years before current fiscal year | 1 | 0 |
Year five, originated, four years before current fiscal year | 1 | 0 |
Originated, more than five years before current fiscal year | 3 | 5 |
Revolving loans | 0 | 0 |
Revolving loans converted to term | 0 | 0 |
Total finance receivables and loans | 11 | 14 |
Financing receivables, 60 to 89 days past due | Consumer | Mortgage - Legacy | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Year one, originated, current fiscal year | 0 | 0 |
Year two, originated, fiscal year before current fiscal year | 0 | 0 |
Year three, originated, two years before current fiscal year | 0 | 0 |
Year four, originated, three years before current fiscal year | 0 | 0 |
Year five, originated, four years before current fiscal year | 0 | 0 |
Originated, more than five years before current fiscal year | 0 | 1 |
Revolving loans | 0 | 0 |
Revolving loans converted to term | 1 | 1 |
Total finance receivables and loans | 1 | 2 |
Financing receivables, 60 to 89 days past due | Consumer | Personal Lending | Excludes fair value option elected other loans | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Year one, originated, current fiscal year | 9 | 6 |
Year two, originated, fiscal year before current fiscal year | 5 | 1 |
Year three, originated, two years before current fiscal year | 1 | 1 |
Year four, originated, three years before current fiscal year | 0 | 0 |
Year five, originated, four years before current fiscal year | 0 | 0 |
Originated, more than five years before current fiscal year | 0 | 0 |
Revolving loans | 0 | 0 |
Revolving loans converted to term | 0 | 0 |
Total finance receivables and loans | 15 | 8 |
Financing receivables, 60 to 89 days past due | Consumer | Credit card receivables | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Year one, originated, current fiscal year | 0 | 0 |
Year two, originated, fiscal year before current fiscal year | 0 | 0 |
Year three, originated, two years before current fiscal year | 0 | 0 |
Year four, originated, three years before current fiscal year | 0 | 0 |
Year five, originated, four years before current fiscal year | 0 | 0 |
Originated, more than five years before current fiscal year | 0 | 0 |
Revolving loans | 18 | 5 |
Revolving loans converted to term | 0 | 0 |
Total finance receivables and loans | 18 | 5 |
Financing receivables, 90 or more days past due | Consumer | Consumer automotive, excludes basis adjustment | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Year one, originated, current fiscal year | 73 | |
Year two, originated, fiscal year before current fiscal year | 111 | |
Year three, originated, two years before current fiscal year | 47 | |
Year four, originated, three years before current fiscal year | 38 | |
Year five, originated, four years before current fiscal year | 23 | |
Originated, more than five years before current fiscal year | 24 | |
Revolving loans | 0 | |
Revolving loans converted to term | 0 | |
Total finance receivables and loans | 316 | |
Financing receivables, 90 or more days past due | Consumer | Automotive | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Year one, originated, current fiscal year | 41 | |
Year two, originated, fiscal year before current fiscal year | 51 | |
Year three, originated, two years before current fiscal year | 56 | |
Year four, originated, three years before current fiscal year | 40 | |
Year five, originated, four years before current fiscal year | 27 | |
Originated, more than five years before current fiscal year | 26 | |
Revolving loans | 0 | |
Revolving loans converted to term | 0 | |
Total finance receivables and loans | 241 | |
Financing receivables, 90 or more days past due | Consumer | Mortgage Finance | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Year one, originated, current fiscal year | 0 | 0 |
Year two, originated, fiscal year before current fiscal year | 1 | 0 |
Year three, originated, two years before current fiscal year | 0 | 5 |
Year four, originated, three years before current fiscal year | 2 | 16 |
Year five, originated, four years before current fiscal year | 8 | 7 |
Originated, more than five years before current fiscal year | 14 | 19 |
Revolving loans | 0 | 0 |
Revolving loans converted to term | 0 | 0 |
Total finance receivables and loans | 25 | 47 |
Financing receivables, 90 or more days past due | Consumer | Mortgage - Legacy | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Year one, originated, current fiscal year | 0 | 0 |
Year two, originated, fiscal year before current fiscal year | 0 | 0 |
Year three, originated, two years before current fiscal year | 0 | 0 |
Year four, originated, three years before current fiscal year | 0 | 0 |
Year five, originated, four years before current fiscal year | 0 | 0 |
Originated, more than five years before current fiscal year | 8 | 15 |
Revolving loans | 3 | 5 |
Revolving loans converted to term | 2 | 3 |
Total finance receivables and loans | 13 | 23 |
Financing receivables, 90 or more days past due | Consumer | Personal Lending | Excludes fair value option elected other loans | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Year one, originated, current fiscal year | 8 | 4 |
Year two, originated, fiscal year before current fiscal year | 5 | 1 |
Year three, originated, two years before current fiscal year | 0 | 0 |
Year four, originated, three years before current fiscal year | 0 | 0 |
Year five, originated, four years before current fiscal year | 0 | 0 |
Originated, more than five years before current fiscal year | 0 | 0 |
Revolving loans | 0 | 0 |
Revolving loans converted to term | 0 | 0 |
Total finance receivables and loans | 13 | 5 |
Financing receivables, 90 or more days past due | Consumer | Credit card receivables | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Year one, originated, current fiscal year | 0 | 0 |
Year two, originated, fiscal year before current fiscal year | 0 | 0 |
Year three, originated, two years before current fiscal year | 0 | 0 |
Year four, originated, three years before current fiscal year | 0 | 0 |
Year five, originated, four years before current fiscal year | 0 | 0 |
Originated, more than five years before current fiscal year | 0 | 0 |
Revolving loans | 41 | 10 |
Revolving loans converted to term | 0 | 0 |
Total finance receivables and loans | $ 41 | $ 10 |
Finance Receivables and Loans_9
Finance Receivables and Loans, Net (Financing Receivable Credit Quality Indicators Commercial) (Details) - USD ($) $ in Millions | Dec. 31, 2022 | Dec. 31, 2021 |
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Total finance receivables and loans | $ 135,748 | $ 122,268 |
Commercial | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Year one, originated, current fiscal year | 2,915 | 2,419 |
Year two, originated, fiscal year before current fiscal year | 2,035 | 1,896 |
Year three, originated, two years before current fiscal year | 1,871 | 1,586 |
Year four, originated, three years before current fiscal year | 1,406 | 783 |
Year five, originated, four years before current fiscal year | 508 | 663 |
Originated, more than five years before current fiscal year | 1,196 | 1,052 |
Revolving loans | 19,057 | 15,512 |
Revolving loans converted to term | 150 | 131 |
Total finance receivables and loans | 29,138 | 24,042 |
Consumer | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Total finance receivables and loans | 106,610 | 98,226 |
Automotive | Commercial | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Year one, originated, current fiscal year | 663 | 354 |
Year two, originated, fiscal year before current fiscal year | 258 | 192 |
Year three, originated, two years before current fiscal year | 132 | 119 |
Year four, originated, three years before current fiscal year | 79 | 65 |
Year five, originated, four years before current fiscal year | 38 | 54 |
Originated, more than five years before current fiscal year | 55 | 74 |
Revolving loans | 13,370 | 11,371 |
Revolving loans converted to term | 0 | 0 |
Total finance receivables and loans | 14,595 | 12,229 |
Automotive | Consumer | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Year one, originated, current fiscal year | 35,802 | |
Year two, originated, fiscal year before current fiscal year | 17,736 | |
Year three, originated, two years before current fiscal year | 12,010 | |
Year four, originated, three years before current fiscal year | 7,028 | |
Year five, originated, four years before current fiscal year | 3,610 | |
Originated, more than five years before current fiscal year | 2,066 | |
Revolving loans | 0 | |
Revolving loans converted to term | 0 | |
Total finance receivables and loans | 83,286 | 78,252 |
Automotive | Pass | Commercial | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Year one, originated, current fiscal year | 640 | 347 |
Year two, originated, fiscal year before current fiscal year | 211 | 190 |
Year three, originated, two years before current fiscal year | 132 | 112 |
Year four, originated, three years before current fiscal year | 78 | 49 |
Year five, originated, four years before current fiscal year | 28 | 23 |
Originated, more than five years before current fiscal year | 34 | 56 |
Revolving loans | 12,327 | 10,741 |
Revolving loans converted to term | 0 | 0 |
Total finance receivables and loans | 13,450 | 11,518 |
Automotive | Special Mention | Commercial | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Year one, originated, current fiscal year | 23 | 7 |
Year two, originated, fiscal year before current fiscal year | 47 | 1 |
Year three, originated, two years before current fiscal year | 0 | 7 |
Year four, originated, three years before current fiscal year | 0 | 15 |
Year five, originated, four years before current fiscal year | 10 | 31 |
Originated, more than five years before current fiscal year | 21 | 18 |
Revolving loans | 1,016 | 589 |
Revolving loans converted to term | 0 | 0 |
Total finance receivables and loans | 1,117 | 668 |
Automotive | Substandard | Commercial | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Year one, originated, current fiscal year | 0 | 0 |
Year two, originated, fiscal year before current fiscal year | 0 | 1 |
Year three, originated, two years before current fiscal year | 0 | 0 |
Year four, originated, three years before current fiscal year | 1 | 1 |
Year five, originated, four years before current fiscal year | 0 | 0 |
Originated, more than five years before current fiscal year | 0 | 0 |
Revolving loans | 27 | 41 |
Revolving loans converted to term | 0 | 0 |
Total finance receivables and loans | 28 | 43 |
Other | Commercial | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Year one, originated, current fiscal year | 771 | 754 |
Year two, originated, fiscal year before current fiscal year | 627 | 639 |
Year three, originated, two years before current fiscal year | 786 | 565 |
Year four, originated, three years before current fiscal year | 629 | 107 |
Year five, originated, four years before current fiscal year | 101 | 249 |
Originated, more than five years before current fiscal year | 425 | 299 |
Revolving loans | 5,678 | 4,138 |
Revolving loans converted to term | 137 | 123 |
Total finance receivables and loans | 9,154 | 6,874 |
Other | Consumer | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Total finance receivables and loans | 3,589 | 1,962 |
Fair value, option, carrying amount, financing receivable | 3 | 7 |
Other | Pass | Commercial | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Year one, originated, current fiscal year | 594 | 739 |
Year two, originated, fiscal year before current fiscal year | 469 | 448 |
Year three, originated, two years before current fiscal year | 607 | 374 |
Year four, originated, three years before current fiscal year | 419 | 86 |
Year five, originated, four years before current fiscal year | 54 | 99 |
Originated, more than five years before current fiscal year | 133 | 68 |
Revolving loans | 5,344 | 4,032 |
Revolving loans converted to term | 89 | 83 |
Total finance receivables and loans | 7,709 | 5,929 |
Other | Special Mention | Commercial | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Year one, originated, current fiscal year | 177 | 15 |
Year two, originated, fiscal year before current fiscal year | 158 | 169 |
Year three, originated, two years before current fiscal year | 175 | 96 |
Year four, originated, three years before current fiscal year | 95 | 21 |
Year five, originated, four years before current fiscal year | 47 | 10 |
Originated, more than five years before current fiscal year | 128 | 122 |
Revolving loans | 278 | 93 |
Revolving loans converted to term | 35 | 17 |
Total finance receivables and loans | 1,093 | 543 |
Other | Substandard | Commercial | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Year one, originated, current fiscal year | 0 | 0 |
Year two, originated, fiscal year before current fiscal year | 0 | 22 |
Year three, originated, two years before current fiscal year | 4 | 95 |
Year four, originated, three years before current fiscal year | 51 | 0 |
Year five, originated, four years before current fiscal year | 0 | 140 |
Originated, more than five years before current fiscal year | 139 | 83 |
Revolving loans | 55 | 13 |
Revolving loans converted to term | 13 | 23 |
Total finance receivables and loans | 262 | 376 |
Other | Doubtful | Commercial | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Year one, originated, current fiscal year | 0 | 0 |
Year two, originated, fiscal year before current fiscal year | 0 | 0 |
Year three, originated, two years before current fiscal year | 0 | 0 |
Year four, originated, three years before current fiscal year | 64 | 0 |
Year five, originated, four years before current fiscal year | 0 | 0 |
Originated, more than five years before current fiscal year | 25 | 26 |
Revolving loans | 0 | 0 |
Revolving loans converted to term | 0 | 0 |
Total finance receivables and loans | 89 | 26 |
Other | Loss | Commercial | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Year one, originated, current fiscal year | 0 | |
Year two, originated, fiscal year before current fiscal year | 0 | |
Year three, originated, two years before current fiscal year | 0 | |
Year four, originated, three years before current fiscal year | 0 | |
Year five, originated, four years before current fiscal year | 0 | |
Originated, more than five years before current fiscal year | 0 | |
Revolving loans | 1 | |
Revolving loans converted to term | 0 | |
Total finance receivables and loans | 1 | |
Commercial real estate | Commercial | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Year one, originated, current fiscal year | 1,481 | 1,311 |
Year two, originated, fiscal year before current fiscal year | 1,150 | 1,065 |
Year three, originated, two years before current fiscal year | 953 | 902 |
Year four, originated, three years before current fiscal year | 698 | 611 |
Year five, originated, four years before current fiscal year | 369 | 360 |
Originated, more than five years before current fiscal year | 716 | 679 |
Revolving loans | 9 | 3 |
Revolving loans converted to term | 13 | 8 |
Total finance receivables and loans | 5,389 | 4,939 |
Commercial real estate | Consumer | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Year one, originated, current fiscal year | 2,309 | 10,227 |
Year two, originated, fiscal year before current fiscal year | 10,927 | 2,215 |
Year three, originated, two years before current fiscal year | 1,950 | 986 |
Year four, originated, three years before current fiscal year | 821 | 767 |
Year five, originated, four years before current fiscal year | 590 | 1,050 |
Originated, more than five years before current fiscal year | 2,922 | 2,496 |
Revolving loans | 195 | 244 |
Revolving loans converted to term | 21 | 27 |
Total finance receivables and loans | 19,735 | 18,012 |
Commercial real estate | Pass | Commercial | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Year one, originated, current fiscal year | 1,481 | 1,298 |
Year two, originated, fiscal year before current fiscal year | 1,118 | 1,060 |
Year three, originated, two years before current fiscal year | 951 | 873 |
Year four, originated, three years before current fiscal year | 679 | 604 |
Year five, originated, four years before current fiscal year | 369 | 342 |
Originated, more than five years before current fiscal year | 716 | 653 |
Revolving loans | 9 | 3 |
Revolving loans converted to term | 13 | 8 |
Total finance receivables and loans | 5,336 | 4,841 |
Commercial real estate | Special Mention | Commercial | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Year one, originated, current fiscal year | 0 | 13 |
Year two, originated, fiscal year before current fiscal year | 32 | 5 |
Year three, originated, two years before current fiscal year | 2 | 29 |
Year four, originated, three years before current fiscal year | 19 | 7 |
Year five, originated, four years before current fiscal year | 0 | 18 |
Originated, more than five years before current fiscal year | 0 | 19 |
Revolving loans | 0 | 0 |
Revolving loans converted to term | 0 | 0 |
Total finance receivables and loans | $ 53 | 91 |
Commercial real estate | Substandard | Commercial | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Year one, originated, current fiscal year | 0 | |
Year two, originated, fiscal year before current fiscal year | 0 | |
Year three, originated, two years before current fiscal year | 0 | |
Year four, originated, three years before current fiscal year | 0 | |
Year five, originated, four years before current fiscal year | 0 | |
Originated, more than five years before current fiscal year | 7 | |
Revolving loans | 0 | |
Revolving loans converted to term | 0 | |
Total finance receivables and loans | $ 7 |
Finance Receivables and Loan_10
Finance Receivables and Loans, Net (Past Due Financing Receivables and Loans Commercial) (Details) - USD ($) $ in Millions | Dec. 31, 2022 | Dec. 31, 2021 |
Financing Receivable, Past Due [Line Items] | ||
Finance receivables and loans, net | $ 135,748 | $ 122,268 |
Commercial | ||
Financing Receivable, Past Due [Line Items] | ||
Finance receivables and loans, net | 29,138 | 24,042 |
Automotive | Commercial | ||
Financing Receivable, Past Due [Line Items] | ||
Finance receivables and loans, net | 14,595 | 12,229 |
Other | Commercial | ||
Financing Receivable, Past Due [Line Items] | ||
Finance receivables and loans, net | 9,154 | 6,874 |
Commercial real estate | Commercial | ||
Financing Receivable, Past Due [Line Items] | ||
Finance receivables and loans, net | 5,389 | 4,939 |
Total past due | Commercial | ||
Financing Receivable, Past Due [Line Items] | ||
Finance receivables and loans, net | 3 | 1 |
Total past due | Automotive | Commercial | ||
Financing Receivable, Past Due [Line Items] | ||
Finance receivables and loans, net | 0 | 0 |
Total past due | Other | Commercial | ||
Financing Receivable, Past Due [Line Items] | ||
Finance receivables and loans, net | 3 | 1 |
Total past due | Commercial real estate | Commercial | ||
Financing Receivable, Past Due [Line Items] | ||
Finance receivables and loans, net | 0 | 0 |
Financing receivables, 30 to 59 days past due | Commercial | ||
Financing Receivable, Past Due [Line Items] | ||
Finance receivables and loans, net | 0 | 0 |
Financing receivables, 30 to 59 days past due | Automotive | Commercial | ||
Financing Receivable, Past Due [Line Items] | ||
Finance receivables and loans, net | 0 | 0 |
Financing receivables, 30 to 59 days past due | Other | Commercial | ||
Financing Receivable, Past Due [Line Items] | ||
Finance receivables and loans, net | 0 | 0 |
Financing receivables, 30 to 59 days past due | Commercial real estate | Commercial | ||
Financing Receivable, Past Due [Line Items] | ||
Finance receivables and loans, net | 0 | 0 |
Financing receivables, 60 to 89 days past due | Commercial | ||
Financing Receivable, Past Due [Line Items] | ||
Finance receivables and loans, net | 1 | 0 |
Financing receivables, 60 to 89 days past due | Automotive | Commercial | ||
Financing Receivable, Past Due [Line Items] | ||
Finance receivables and loans, net | 0 | 0 |
Financing receivables, 60 to 89 days past due | Other | Commercial | ||
Financing Receivable, Past Due [Line Items] | ||
Finance receivables and loans, net | 1 | 0 |
Financing receivables, 60 to 89 days past due | Commercial real estate | Commercial | ||
Financing Receivable, Past Due [Line Items] | ||
Finance receivables and loans, net | 0 | 0 |
Financing receivables, 90 or more days past due | Commercial | ||
Financing Receivable, Past Due [Line Items] | ||
Finance receivables and loans, net | 2 | 1 |
Financing receivables, 90 or more days past due | Automotive | Commercial | ||
Financing Receivable, Past Due [Line Items] | ||
Finance receivables and loans, net | 0 | 0 |
Financing receivables, 90 or more days past due | Other | Commercial | ||
Financing Receivable, Past Due [Line Items] | ||
Finance receivables and loans, net | 2 | 1 |
Financing receivables, 90 or more days past due | Commercial real estate | Commercial | ||
Financing Receivable, Past Due [Line Items] | ||
Finance receivables and loans, net | 0 | 0 |
Current | Commercial | ||
Financing Receivable, Past Due [Line Items] | ||
Finance receivables and loans, net | 29,135 | 24,041 |
Current | Automotive | Commercial | ||
Financing Receivable, Past Due [Line Items] | ||
Finance receivables and loans, net | 14,595 | 12,229 |
Current | Other | Commercial | ||
Financing Receivable, Past Due [Line Items] | ||
Finance receivables and loans, net | 9,151 | 6,873 |
Current | Commercial real estate | Commercial | ||
Financing Receivable, Past Due [Line Items] | ||
Finance receivables and loans, net | $ 5,389 | $ 4,939 |
Finance Receivables and Loan_11
Finance Receivables and Loans, Net (Troubled Debt Restructurings) (Details) $ in Millions | 12 Months Ended | ||
Dec. 31, 2022 USD ($) loan | Dec. 31, 2021 USD ($) loan | Dec. 31, 2020 USD ($) loan | |
Financing Receivable, Troubled Debt Restructuring | |||
Financing receivable, modifications, gross carrying value | $ 2,400 | $ 2,400 | $ 2,200 |
Loans and leases receivable, impaired, commitment to lend | $ 61 | $ 18 | $ 14 |
Financing receivable, modifications, number of loans | loan | 52,662 | 78,162 | 114,718 |
Financing receivable, modifications, pre-modification amortized cost basis | $ 1,310 | $ 1,458 | $ 2,063 |
Financing receivable, modifications, post-modification amortized cost basis | $ 1,289 | $ 1,434 | $ 1,965 |
Consumer | |||
Financing Receivable, Troubled Debt Restructuring | |||
Financing receivable, modifications, number of loans | loan | 52,657 | 78,158 | 114,710 |
Financing receivable, modifications, pre-modification amortized cost basis | $ 849 | $ 1,419 | $ 1,937 |
Financing receivable, modifications, post-modification amortized cost basis | $ 823 | $ 1,395 | $ 1,864 |
Consumer | Automotive | |||
Financing Receivable, Troubled Debt Restructuring | |||
Financing receivable, modifications, number of loans | loan | 49,773 | 77,991 | 114,595 |
Financing receivable, modifications, pre-modification amortized cost basis | $ 831 | $ 1,395 | $ 1,908 |
Financing receivable, modifications, post-modification amortized cost basis | $ 805 | $ 1,371 | $ 1,835 |
Consumer | Consumer mortgage | |||
Financing Receivable, Troubled Debt Restructuring | |||
Financing receivable, modifications, number of loans | loan | 31 | 54 | 115 |
Financing receivable, modifications, pre-modification amortized cost basis | $ 13 | $ 24 | $ 29 |
Financing receivable, modifications, post-modification amortized cost basis | $ 13 | $ 24 | $ 29 |
Consumer | Mortgage Finance | |||
Financing Receivable, Troubled Debt Restructuring | |||
Financing receivable, modifications, number of loans | loan | 18 | 38 | 41 |
Financing receivable, modifications, pre-modification amortized cost basis | $ 12 | $ 22 | $ 20 |
Financing receivable, modifications, post-modification amortized cost basis | $ 12 | $ 22 | $ 20 |
Consumer | Mortgage - Legacy | |||
Financing Receivable, Troubled Debt Restructuring | |||
Financing receivable, modifications, number of loans | loan | 13 | 16 | 74 |
Financing receivable, modifications, pre-modification amortized cost basis | $ 1 | $ 2 | $ 9 |
Financing receivable, modifications, post-modification amortized cost basis | $ 1 | $ 2 | $ 9 |
Consumer | Other | |||
Financing Receivable, Troubled Debt Restructuring | |||
Financing receivable, modifications, number of loans | loan | 2,853 | 113 | |
Financing receivable, modifications, pre-modification amortized cost basis | $ 5 | $ 0 | |
Financing receivable, modifications, post-modification amortized cost basis | $ 5 | $ 0 | |
Consumer | Credit card receivables | |||
Financing Receivable, Troubled Debt Restructuring | |||
Financing receivable, modifications, number of loans | loan | 2,853 | 113 | |
Financing receivable, modifications, pre-modification amortized cost basis | $ 5 | $ 0 | |
Financing receivable, modifications, post-modification amortized cost basis | $ 5 | $ 0 | |
Commercial | |||
Financing Receivable, Troubled Debt Restructuring | |||
Financing receivable, modifications, number of loans | loan | 5 | 4 | 8 |
Financing receivable, modifications, pre-modification amortized cost basis | $ 461 | $ 39 | $ 126 |
Financing receivable, modifications, post-modification amortized cost basis | $ 466 | $ 39 | $ 101 |
Commercial | Automotive | |||
Financing Receivable, Troubled Debt Restructuring | |||
Financing receivable, modifications, number of loans | loan | 1 | 5 | |
Financing receivable, modifications, pre-modification amortized cost basis | $ 2 | $ 45 | |
Financing receivable, modifications, post-modification amortized cost basis | $ 2 | $ 40 | |
Commercial | Other | |||
Financing Receivable, Troubled Debt Restructuring | |||
Financing receivable, modifications, number of loans | loan | 5 | 1 | 3 |
Financing receivable, modifications, pre-modification amortized cost basis | $ 461 | $ 33 | $ 81 |
Financing receivable, modifications, post-modification amortized cost basis | $ 466 | $ 33 | $ 61 |
Commercial | Commercial real estate | |||
Financing Receivable, Troubled Debt Restructuring | |||
Financing receivable, modifications, number of loans | loan | 2 | ||
Financing receivable, modifications, pre-modification amortized cost basis | $ 4 | ||
Financing receivable, modifications, post-modification amortized cost basis | $ 4 |
Finance Receivables and Loan_12
Finance Receivables and Loans, Net (Finance Receivables and Loans Redefaulted During the Period) (Details) $ in Millions | 12 Months Ended | ||
Dec. 31, 2022 USD ($) loan | Dec. 31, 2021 USD ($) loan | Dec. 31, 2020 USD ($) loan | |
Accounts, Notes, Loans and Financing Receivable | |||
Number of loans | loan | 9,689 | 9,300 | 10,072 |
Amortized cost | $ 146 | $ 119 | $ 104 |
Charge-off amount | $ 95 | $ 61 | $ 71 |
Consumer | |||
Accounts, Notes, Loans and Financing Receivable | |||
Number of loans | loan | 9,688 | 9,300 | 10,072 |
Amortized cost | $ 145 | $ 119 | $ 104 |
Charge-off amount | $ 64 | $ 61 | $ 71 |
Consumer | Automotive | |||
Accounts, Notes, Loans and Financing Receivable | |||
Number of loans | loan | 9,227 | 9,295 | 10,070 |
Amortized cost | $ 143 | $ 119 | $ 104 |
Charge-off amount | $ 64 | $ 61 | $ 71 |
Consumer | Consumer mortgage | |||
Accounts, Notes, Loans and Financing Receivable | |||
Number of loans | loan | 4 | 5 | 2 |
Amortized cost | $ 2 | $ 0 | $ 0 |
Charge-off amount | $ 0 | $ 0 | $ 0 |
Consumer | Mortgage Finance | |||
Accounts, Notes, Loans and Financing Receivable | |||
Number of loans | loan | 4 | 1 | 1 |
Amortized cost | $ 2 | $ 0 | $ 0 |
Charge-off amount | $ 0 | $ 0 | $ 0 |
Consumer | Mortgage - Legacy | |||
Accounts, Notes, Loans and Financing Receivable | |||
Number of loans | loan | 4 | 1 | |
Amortized cost | $ 0 | $ 0 | |
Charge-off amount | $ 0 | $ 0 | |
Consumer | Other | |||
Accounts, Notes, Loans and Financing Receivable | |||
Number of loans | loan | 457 | ||
Amortized cost | $ 0 | ||
Charge-off amount | $ 0 | ||
Consumer | Credit card receivables | |||
Accounts, Notes, Loans and Financing Receivable | |||
Number of loans | loan | 457 | ||
Amortized cost | $ 0 | ||
Charge-off amount | $ 0 | ||
Commercial | |||
Accounts, Notes, Loans and Financing Receivable | |||
Number of loans | loan | 1 | ||
Amortized cost | $ 1 | ||
Charge-off amount | $ 31 | ||
Commercial | Other | |||
Accounts, Notes, Loans and Financing Receivable | |||
Number of loans | loan | 1 | ||
Amortized cost | $ 1 | ||
Charge-off amount | $ 31 |
Finance Receivables and Loan_13
Finance Receivables and Loans, Net (Concentration Risk) (Details) - Consumer - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
California | Financing Receivable | Geographic Concentration Risk | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Total commercial criticized finance receivables and loans | 26.50% | ||
Texas | Financing Receivable | Geographic Concentration Risk | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Total commercial criticized finance receivables and loans | 26.40% | ||
Automotive | Financing Receivable | Geographic Concentration Risk | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Total commercial criticized finance receivables and loans | 100% | 100% | |
Automotive | California | Financing Receivable | Geographic Concentration Risk | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Total commercial criticized finance receivables and loans | 8.70% | 8.70% | |
Automotive | Texas | Financing Receivable | Geographic Concentration Risk | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Total commercial criticized finance receivables and loans | 13.60% | 13% | |
Automotive | Florida | Financing Receivable | Geographic Concentration Risk | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Total commercial criticized finance receivables and loans | 9.50% | 9.30% | |
Automotive | Pennsylvania | Financing Receivable | Geographic Concentration Risk | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Total commercial criticized finance receivables and loans | 4.50% | 4.40% | |
Automotive | Georgia | Financing Receivable | Geographic Concentration Risk | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Total commercial criticized finance receivables and loans | 4.10% | 4% | |
Automotive | North Carolina | Financing Receivable | Geographic Concentration Risk | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Total commercial criticized finance receivables and loans | 4.10% | 4.10% | |
Automotive | Illinois | Financing Receivable | Geographic Concentration Risk | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Total commercial criticized finance receivables and loans | 3.50% | 3.70% | |
Automotive | New York | Financing Receivable | Geographic Concentration Risk | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Total commercial criticized finance receivables and loans | 3.60% | 3.30% | |
Automotive | New Jersey | Financing Receivable | Geographic Concentration Risk | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Total commercial criticized finance receivables and loans | 3.20% | 3% | |
Automotive | Ohio | Financing Receivable | Geographic Concentration Risk | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Total commercial criticized finance receivables and loans | 3.40% | 3.40% | |
Automotive | Other United States | Financing Receivable | Geographic Concentration Risk | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Total commercial criticized finance receivables and loans | 41.80% | 43.10% | |
Consumer mortgage | Financing Receivable | Geographic Concentration Risk | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Total commercial criticized finance receivables and loans | 100% | 100% | |
Consumer mortgage | California | Financing Receivable | Geographic Concentration Risk | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Total commercial criticized finance receivables and loans | 38.80% | 39.60% | |
Consumer mortgage | Texas | Financing Receivable | Geographic Concentration Risk | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Total commercial criticized finance receivables and loans | 7.30% | 7.30% | |
Consumer mortgage | Florida | Financing Receivable | Geographic Concentration Risk | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Total commercial criticized finance receivables and loans | 6.60% | 6.30% | |
Consumer mortgage | Pennsylvania | Financing Receivable | Geographic Concentration Risk | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Total commercial criticized finance receivables and loans | 2.10% | 2.30% | |
Consumer mortgage | Georgia | Financing Receivable | Geographic Concentration Risk | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Total commercial criticized finance receivables and loans | 2.90% | 3% | |
Consumer mortgage | North Carolina | Financing Receivable | Geographic Concentration Risk | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Total commercial criticized finance receivables and loans | 1.90% | 1.60% | |
Consumer mortgage | Illinois | Financing Receivable | Geographic Concentration Risk | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Total commercial criticized finance receivables and loans | 2.80% | 3.10% | |
Consumer mortgage | New York | Financing Receivable | Geographic Concentration Risk | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Total commercial criticized finance receivables and loans | 1.90% | 2.10% | |
Consumer mortgage | New Jersey | Financing Receivable | Geographic Concentration Risk | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Total commercial criticized finance receivables and loans | 2.40% | 2.50% | |
Consumer mortgage | Ohio | Financing Receivable | Geographic Concentration Risk | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Total commercial criticized finance receivables and loans | 0.40% | 0.50% | |
Consumer mortgage | Other United States | Financing Receivable | Geographic Concentration Risk | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Total commercial criticized finance receivables and loans | 32.90% | 31.70% | |
Other | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Fair value, option, carrying amount, financing receivable, no allowance | $ 3 | $ 7 | $ 8 |
Other | Financing Receivable | Geographic Concentration Risk | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Total commercial criticized finance receivables and loans | 100% | 100% | |
Other | California | Financing Receivable | Geographic Concentration Risk | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Total commercial criticized finance receivables and loans | 8.40% | 9.40% | |
Other | Texas | Financing Receivable | Geographic Concentration Risk | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Total commercial criticized finance receivables and loans | 7.70% | 7.40% | |
Other | Florida | Financing Receivable | Geographic Concentration Risk | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Total commercial criticized finance receivables and loans | 7.80% | 8.40% | |
Other | Pennsylvania | Financing Receivable | Geographic Concentration Risk | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Total commercial criticized finance receivables and loans | 4.60% | 4.50% | |
Other | Georgia | Financing Receivable | Geographic Concentration Risk | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Total commercial criticized finance receivables and loans | 3.50% | 3.40% | |
Other | North Carolina | Financing Receivable | Geographic Concentration Risk | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Total commercial criticized finance receivables and loans | 4.60% | 3.40% | |
Other | Illinois | Financing Receivable | Geographic Concentration Risk | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Total commercial criticized finance receivables and loans | 4.30% | 4.40% | |
Other | New York | Financing Receivable | Geographic Concentration Risk | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Total commercial criticized finance receivables and loans | 4.80% | 5.50% | |
Other | New Jersey | Financing Receivable | Geographic Concentration Risk | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Total commercial criticized finance receivables and loans | 3.60% | 3.40% | |
Other | Ohio | Financing Receivable | Geographic Concentration Risk | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Total commercial criticized finance receivables and loans | 3.60% | 3.90% | |
Other | Other United States | Financing Receivable | Geographic Concentration Risk | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Total commercial criticized finance receivables and loans | 47.10% | 46.30% |
Finance Receivables and Loan_14
Finance Receivables and Loans, Net (Commercial Concentration Risk) (Details) - Commercial - Commercial real estate - Geographic Concentration Risk - Financing Receivable | 12 Months Ended | |
Dec. 31, 2022 | Dec. 31, 2021 | |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total commercial criticized finance receivables and loans | 100% | 100% |
Florida | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total commercial criticized finance receivables and loans | 17.90% | 16.40% |
Texas | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total commercial criticized finance receivables and loans | 14.90% | 13.90% |
California | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total commercial criticized finance receivables and loans | 8.40% | 8.30% |
New York | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total commercial criticized finance receivables and loans | 6.30% | 3.80% |
North Carolina | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total commercial criticized finance receivables and loans | 5.30% | 5.80% |
Michigan | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total commercial criticized finance receivables and loans | 4.20% | 5.80% |
Ohio | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total commercial criticized finance receivables and loans | 4.20% | 3.40% |
Georgia | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total commercial criticized finance receivables and loans | 3.10% | 3.30% |
Utah | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total commercial criticized finance receivables and loans | 2.90% | 3% |
Illinois | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total commercial criticized finance receivables and loans | 2.70% | 2.90% |
Other United States | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total commercial criticized finance receivables and loans | 30.10% | 33.40% |
Finance Receivables and Loan_15
Finance Receivables and Loans, Net (Commercial Criticized Risk Exposure) (Details) - Commercial - Industry Concentration Risk - Financing Receivable | 12 Months Ended | |
Dec. 31, 2022 | Dec. 31, 2021 | |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total commercial criticized finance receivables and loans | 100% | 100% |
Automotive | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total commercial criticized finance receivables and loans | 53.40% | 50.80% |
Chemicals | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total commercial criticized finance receivables and loans | 14.70% | 14.40% |
Electronics | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total commercial criticized finance receivables and loans | 11.90% | 3.60% |
Other | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total commercial criticized finance receivables and loans | 20% | 31.20% |
Leasing (Ally as the Lessee) (D
Leasing (Ally as the Lessee) (Details) - USD ($) $ in Millions | 1 Months Ended | 12 Months Ended | ||
Jun. 30, 2022 | Dec. 31, 2022 | Dec. 31, 2021 | Apr. 30, 2021 | |
Lessee, Lease, Description [Line Items] | ||||
Noncancelable lease term | 367 days | |||
Lease extension, maximum | 48 months | |||
Cash paid for amounts included in the measurement of lease liabilities | $ 38 | $ 51 | ||
Right-of-use asset obtained in exchange for operating lease liability | $ 41 | $ 361 | ||
Operating lease, weighted-average remaining lease term | 5 years | 6 years | ||
Operating lease, weighted average discount rate | 2.57% | 1.96% | ||
Undiscounted future lease payments | $ 3,051 | $ 13 | ||
Term of contract | 10 years | |||
Lease income | $ 1 | |||
Minimum | ||||
Lessee, Lease, Description [Line Items] | ||||
Operating lease remaining lease term | 8 months | |||
Term of contract | 24 months | |||
Maximum | ||||
Lessee, Lease, Description [Line Items] | ||||
Operating lease remaining lease term | 8 years | |||
Option to terminate | 6 years | |||
Term of contract | 60 months | |||
Land and Building | Minimum | ||||
Lessee, Lease, Description [Line Items] | ||||
Option to extend | 1 year | |||
Land and Building | Maximum | ||||
Lessee, Lease, Description [Line Items] | ||||
Option to extend | 15 years | |||
Operations Center | ||||
Lessee, Lease, Description [Line Items] | ||||
Net property and equipment | $ 44 |
Leasing (Lessee, Operating Leas
Leasing (Lessee, Operating Lease, Liability, Maturity) (Details) - USD ($) $ in Millions | Dec. 31, 2022 | Dec. 31, 2021 |
Leases [Abstract] | ||
2023 | $ 35 | |
2024 | 32 | |
2025 | 26 | |
2026 | 20 | |
2027 | 16 | |
2028 and thereafter | 18 | |
Total undiscounted cash flows | 147 | |
Difference between undiscounted cash flows and discounted cash flows | (10) | |
Total lease liability | $ 137 | $ 175 |
Leasing (Lease, Cost) (Details)
Leasing (Lease, Cost) (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Leases [Abstract] | |||
Operating lease expense | $ 33 | $ 46 | $ 46 |
Variable lease expense | 4 | 7 | 8 |
Total lease expense, net | $ 37 | $ 53 | $ 54 |
Leasing (Ally as the Lessor) (D
Leasing (Ally as the Lessor) (Details) - USD ($) $ in Millions | Dec. 31, 2022 | Dec. 31, 2021 | Apr. 30, 2021 |
Lessor, Lease, Description [Line Items] | |||
Lessor, term of contract | 10 years | ||
Residual value guarantee, percentage | 15% | 15% | |
Vehicles | $ 12,304 | $ 12,384 | |
Accumulated depreciation | (1,860) | (1,522) | |
Investment in operating leases, net | $ 10,444 | 10,862 | |
Minimum | |||
Lessor, Lease, Description [Line Items] | |||
Lessor, term of contract | 24 months | ||
Maximum | |||
Lessor, Lease, Description [Line Items] | |||
Lessor, term of contract | 60 months | ||
Vehicles | |||
Lessor, Lease, Description [Line Items] | |||
Residual value of leased asset | $ 56 | $ 165 |
Leasing (Lessor, Operating Leas
Leasing (Lessor, Operating Lease, Payments to be Received, Maturity) (Details) - USD ($) $ in Millions | Dec. 31, 2022 | Apr. 30, 2021 |
Leases [Abstract] | ||
2023 | $ 1,529 | |
2024 | 964 | |
2025 | 445 | |
2026 | 105 | |
2027 | 8 | |
Total lease payments from operating leases | $ 3,051 | $ 13 |
Leasing (Depreciation Expense o
Leasing (Depreciation Expense on Operating Lease Assets) (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Leases [Abstract] | |||
Operating lease revenue | $ 1,596 | $ 1,550 | $ 1,435 |
Depreciation expense on operating lease assets (excluding remarketing gains) | 1,084 | 914 | 978 |
Remarketing gains, net | (170) | (344) | (127) |
Net depreciation expense on operating lease assets | 914 | 570 | 851 |
Variable lease payments, excessive wear and tear | $ 7 | $ 16 | $ 23 |
Leasing (Sales-type and Direct
Leasing (Sales-type and Direct Financing Leases, Lease Receivable, Maturity) (Details) - USD ($) $ in Millions | 12 Months Ended | |
Dec. 31, 2022 | Dec. 31, 2021 | |
Leases [Abstract] | ||
Direct financing lease, net investment in lease | $ 481 | $ 470 |
Direct financing lease, present value of lease payments recorded as lease receivable | 468 | 457 |
Direct financing lease, unguaranteed residual asset | 13 | 13 |
Direct financing lease, interest income | 30 | $ 27 |
2023 | 166 | |
2024 | 132 | |
2025 | 116 | |
2026 | 63 | |
2027 | 33 | |
2028 and thereafter | 10 | |
Total undiscounted cash flows | 520 | |
Difference between undiscounted cash flows and discounted cash flows | (53) | |
Present value of lease payments recorded as lease receivable | $ 467 |
Securitizations and Variable _3
Securitizations and Variable Interest Entities (Narrative) (Details) - USD ($) | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Derecognized Assets, Securitized or Asset-backed Financing Arrangement Assets and any Other Financial Assets Managed Together [Line Items] | |||
Sales of financial assets | $ 1,000,000 | $ 0 | $ 0 |
Investment in qualified affordable housing projects | 1,596,000,000 | 1,378,000,000 | |
Unfunded commitments for investment in qualified affordable housing projects | $ 869,000,000 | $ 724,000,000 | |
Unfunded commitment pay out period | 5 years | ||
COVID-19 | |||
Derecognized Assets, Securitized or Asset-backed Financing Arrangement Assets and any Other Financial Assets Managed Together [Line Items] | |||
Support provided to commercial securitization entity (less than) | $ 1,000,000 |
Securitizations and Variable _4
Securitizations and Variable Interest Entities (Schedule of Variable Interest Entities) (Details) - USD ($) $ in Millions | Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 |
Variable Interest Entity [Line Items] | |||
Carrying value of total assets | $ 191,826 | $ 182,114 | $ 182,165 |
Carrying value of total liabilities | 178,967 | 165,064 | |
Non-recourse debt | 17,762 | 17,029 | |
Other assets | 9,138 | 8,057 | |
On-balance sheet variable interest entities | |||
Variable Interest Entity [Line Items] | |||
Carrying value of total assets | 9,856 | 7,509 | |
Carrying value of total liabilities | 2,441 | 1,339 | |
Non-recourse debt | 2,436 | 1,337 | |
Other assets | 645 | 563 | |
On-balance sheet variable interest entities | Consumer | Automotive | |||
Variable Interest Entity [Line Items] | |||
Carrying value of total assets | 20,415 | 18,158 | |
Carrying value of total liabilities | 2,553 | 1,162 | |
Assets sold to nonconsolidated VIEs | 0 | 0 | |
Maximum exposure to loss in nonconsolidated VIEs | 0 | 0 | |
Assets held-in-trust | 10,600 | 11,000 | |
On-balance sheet variable interest entities | Consumer | Automotive | Nonrecourse | |||
Variable Interest Entity [Line Items] | |||
Non-recourse debt | 113 | 124 | |
On-balance sheet variable interest entities | Consumer | Other | |||
Variable Interest Entity [Line Items] | |||
Carrying value of total assets | 318 | ||
Carrying value of total liabilities | 300 | ||
Assets sold to nonconsolidated VIEs | 0 | ||
Maximum exposure to loss in nonconsolidated VIEs | 0 | ||
Off-balance sheet variable interest entities | |||
Variable Interest Entity [Line Items] | |||
Carrying value of total assets | 22,614 | 20,290 | |
Carrying value of total liabilities | 3,426 | 2,188 | |
Assets sold to nonconsolidated VIEs | 330 | 0 | |
Maximum exposure to loss in nonconsolidated VIEs | 3,097 | 2,416 | |
Off-balance sheet variable interest entities | Consumer | Automotive | |||
Variable Interest Entity [Line Items] | |||
Carrying value of total assets | 0 | ||
Carrying value of total liabilities | 0 | ||
Assets sold to nonconsolidated VIEs | 227 | ||
Maximum exposure to loss in nonconsolidated VIEs | 227 | ||
Off-balance sheet variable interest entities | Consumer | Other | |||
Variable Interest Entity [Line Items] | |||
Carrying value of total assets | 0 | ||
Carrying value of total liabilities | 0 | ||
Assets sold to nonconsolidated VIEs | 103 | ||
Maximum exposure to loss in nonconsolidated VIEs | 103 | ||
Off-balance sheet variable interest entities | Commercial | Other | |||
Variable Interest Entity [Line Items] | |||
Carrying value of total assets | 2,199 | 1,814 | |
Carrying value of total liabilities | 873 | 726 | |
Assets sold to nonconsolidated VIEs | 0 | 0 | |
Maximum exposure to loss in nonconsolidated VIEs | 2,767 | 2,416 | |
Other assets | $ 38 | $ 8 |
Securitizations and Variable _5
Securitizations and Variable Interest Entities (Schedule of Cash Flows with Nonconsolidated Special-Purpose Entities) (Details) - Off-balance sheet variable interest entities - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Cash Flow Received and Paid to Nonconsolidated Securitization Entities [Line Items] | |||
Total | $ 389 | $ 4 | $ 13 |
Automotive | Consumer | |||
Cash Flow Received and Paid to Nonconsolidated Securitization Entities [Line Items] | |||
Cash proceeds from transfers completed during the period | 238 | 0 | 0 |
Cash flows received on retained interests in securitization entities | 0 | 0 | 12 |
Servicing fees | 1 | 0 | 3 |
Cash disbursements for repurchases during the period | 0 | 0 | 2 |
Consumer other | Consumer | |||
Cash Flow Received and Paid to Nonconsolidated Securitization Entities [Line Items] | |||
Cash proceeds from transfers completed during the period | 137 | 4 | 0 |
Servicing fees | $ 13 | $ 0 | $ 0 |
Securitizations and Variable _6
Securitizations and Variable Interest Entities (Schedule of Quantitative Information and Net Credit Losses about Securitized and Other Financial Assets Managed Together) (Details) - Off-balance sheet variable interest entities - USD ($) $ in Millions | 12 Months Ended | |
Dec. 31, 2022 | Dec. 31, 2021 | |
Derecognized Assets, Securitized or Asset-backed Financing Arrangement Assets and any Other Financial Assets Managed Together [Line Items] | ||
Total amount | $ 330 | $ 4 |
Amount 60 days or more past due | 10 | 0 |
Net credit losses | 2 | 0 |
Automotive | Consumer | ||
Derecognized Assets, Securitized or Asset-backed Financing Arrangement Assets and any Other Financial Assets Managed Together [Line Items] | ||
Total amount | 227 | 0 |
Amount 60 days or more past due | 2 | 0 |
Consumer other | Consumer | ||
Derecognized Assets, Securitized or Asset-backed Financing Arrangement Assets and any Other Financial Assets Managed Together [Line Items] | ||
Total amount | 103 | 4 |
Amount 60 days or more past due | 8 | 0 |
Net credit losses | $ 2 | $ 0 |
Securitizations and Variable _7
Securitizations and Variable Interest Entities (Activity in Affordable Housing Program Obligation) (Details) - USD ($) | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Securitizations And Variable Interest Entities [Abstract] | |||
Affordable housing tax credits and other tax benefits | $ 177,000,000 | $ 144,000,000 | $ 109,000,000 |
Tax credit amortization expense recognized as a component of income tax expense | 147,000,000 | 118,000,000 | 90,000,000 |
Affordable housing impairment | $ 0 | $ 0 | $ 0 |
Premiums Receivable and Other_3
Premiums Receivable and Other Insurance Assets (Details) - USD ($) $ in Millions | Dec. 31, 2022 | Dec. 31, 2021 |
Premiums Receivable Disclosure [Abstract] | ||
Prepaid reinsurance premiums | $ 553 | $ 549 |
Reinsurance recoverable on unpaid losses | 72 | 81 |
Reinsurance recoverable on paid losses | 26 | 23 |
Premiums receivable | 114 | 97 |
Deferred policy acquisition costs | 1,933 | 1,974 |
Total premiums receivable and other insurance assets | $ 2,698 | $ 2,724 |
Other Assets (Schedule of Other
Other Assets (Schedule of Other Assets) (Details) - USD ($) $ in Millions | Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 |
Other Assets [Abstract] | |||
Property and equipment at cost | $ 2,352 | $ 2,139 | |
Accumulated depreciation | (1,076) | (955) | |
Net property and equipment | 1,276 | 1,184 | |
Investment in qualified affordable housing projects | 1,596 | 1,378 | |
Net deferred tax assets | 1,087 | 254 | |
Nonmarketable equity investments | 842 | 998 | |
Goodwill | 822 | 822 | $ 343 |
Accrued interest, fees, and rent receivables | 786 | 600 | |
Equity-method investments | 608 | 472 | |
Restricted cash held for securitization trusts | 585 | 516 | |
Other accounts receivable | 164 | 127 | |
Operating lease right-of-use assets | 111 | 148 | |
Net intangible assets | 98 | 129 | |
Restricted cash and cash equivalents | 66 | 92 | |
Other assets | 1,097 | 1,337 | |
Total other assets | $ 9,138 | $ 8,057 | |
Operating Lease, Right-of-Use Asset, Statement of Financial Position [Extensible Enumeration] | Total other assets | Total other assets |
Other Assets (Summary of Equity
Other Assets (Summary of Equity Securities without Readily Determinable Fair Value) (Details) - USD ($) | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Other Assets [Abstract] | |||
FHLB stock | $ 318,000,000 | $ 289,000,000 | |
FRB stock | 401,000,000 | 449,000,000 | |
Equity investments without a readily determinable fair value | |||
Cost basis at acquisition | 89,000,000 | 89,000,000 | |
Upward adjustments | 177,000,000 | 183,000,000 | |
Downward adjustments (including impairment) | (143,000,000) | (12,000,000) | |
Carrying amount, equity investments without a readily determinable fair value | 123,000,000 | 260,000,000 | |
Nonmarketable equity investments | 842,000,000 | 998,000,000 | |
Upward adjustments | 1,000,000 | 88,000,000 | |
Downward adjustments (including impairment) | (138,000,000) | (1,000,000) | |
Impairment of FHLB and FRB stock | 0 | 0 | |
(Loss) gain on nonmarketable equity investments, net | $ (132,000,000) | $ 142,000,000 | $ 99,000,000 |
Other Assets (BMC Holdco) (Deta
Other Assets (BMC Holdco) (Details) - USD ($) $ in Millions | 3 Months Ended | 12 Months Ended | ||
Sep. 30, 2022 | Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Schedule of Equity Method Investments [Line Items] | ||||
(Loss) gain on nonmarketable equity investments, net | $ (132) | $ 142 | $ 99 | |
Impairment charges | 138 | 1 | ||
Carrying amount, equity investments without a readily determinable fair value | 123 | 260 | ||
Upward adjustments | 177 | 183 | ||
Downward adjustments (including impairment) | 143 | 12 | ||
BMC Holdco | ||||
Schedule of Equity Method Investments [Line Items] | ||||
Pre-money equity valuation | 6,900 | |||
BMC Holdco | ||||
Schedule of Equity Method Investments [Line Items] | ||||
(Loss) gain on nonmarketable equity investments, net | 38 | |||
Proceeds from sale of equity securities without readily determinable fair value | $ 45 | |||
Impairment charges | $ 136 | |||
Carrying amount, equity investments without a readily determinable fair value | 19 | |||
Upward adjustments | 136 | |||
Downward adjustments (including impairment) | $ 136 |
Other Assets (Schedule of Goodw
Other Assets (Schedule of Goodwill) (Details) - USD ($) $ in Millions | 12 Months Ended | |
Dec. 31, 2022 | Dec. 31, 2021 | |
Goodwill [Roll Forward] | ||
Goodwill beginning balance | $ 822 | $ 343 |
Goodwill acquired | 0 | 479 |
Goodwill ending balance | 822 | 822 |
Operating Segments | Automotive Finance operations | ||
Goodwill [Roll Forward] | ||
Goodwill beginning balance | 20 | 20 |
Goodwill acquired | 0 | 0 |
Goodwill ending balance | 20 | 20 |
Operating Segments | Insurance operations | ||
Goodwill [Roll Forward] | ||
Goodwill beginning balance | 27 | 27 |
Goodwill acquired | 0 | 0 |
Goodwill ending balance | 27 | 27 |
Corporate and Other | ||
Goodwill [Roll Forward] | ||
Goodwill beginning balance | 775 | 296 |
Goodwill acquired | 0 | 479 |
Goodwill ending balance | 775 | 775 |
Ally Credit Card | Corporate and Other | ||
Goodwill [Roll Forward] | ||
Goodwill beginning balance | 479 | |
Goodwill ending balance | 479 | 479 |
Ally Lending | Corporate and Other | ||
Goodwill [Roll Forward] | ||
Goodwill beginning balance | 153 | |
Goodwill ending balance | 153 | 153 |
Ally Invest | Corporate and Other | ||
Goodwill [Roll Forward] | ||
Goodwill beginning balance | 143 | |
Goodwill ending balance | $ 143 | $ 143 |
Other Assets (Intangible Assets
Other Assets (Intangible Assets) (Details) - USD ($) $ in Millions | Dec. 31, 2022 | Dec. 31, 2021 |
Finite-Lived Intangible Assets [Line Items] | ||
Accumulated amortization | $ (109) | $ (78) |
Total intangible assets, gross | 207 | 207 |
Net intangible assets | 98 | 129 |
2023 | 26 | |
2024 | 19 | |
2025 | 14 | |
2026 | 14 | |
2027 | 14 | |
Technology | ||
Finite-Lived Intangible Assets [Line Items] | ||
Gross intangible assets | 122 | 122 |
Accumulated amortization | (53) | (36) |
Net carrying value | 69 | 86 |
Customer lists | ||
Finite-Lived Intangible Assets [Line Items] | ||
Gross intangible assets | 58 | 58 |
Accumulated amortization | (51) | (42) |
Net carrying value | 7 | 16 |
Purchased credit card relationships | ||
Finite-Lived Intangible Assets [Line Items] | ||
Gross intangible assets | 25 | 25 |
Accumulated amortization | (4) | 0 |
Net carrying value | 21 | 25 |
Trademarks | ||
Finite-Lived Intangible Assets [Line Items] | ||
Gross intangible assets | 2 | 2 |
Accumulated amortization | (1) | 0 |
Net carrying value | $ 1 | $ 2 |
Deposit Liabilities (Schedule o
Deposit Liabilities (Schedule of Deposit Liabilities) (Details) - USD ($) $ in Millions | Dec. 31, 2022 | Dec. 31, 2021 |
Deposits [Abstract] | ||
Noninterest-bearing deposits | $ 185 | $ 150 |
Interest-bearing deposits | ||
Savings, money market, and checking accounts | 110,776 | 102,455 |
Certificates of deposit | 41,336 | 38,953 |
Total deposit liabilities | 152,297 | 141,558 |
Certificates of deposit, in excess of $250,000 federal insurance limits | $ 5,600 | $ 7,200 |
Deposit Liabilities (Time Depos
Deposit Liabilities (Time Deposit Maturities) (Details) - USD ($) $ in Millions | Dec. 31, 2022 | Dec. 31, 2021 |
Deposits [Abstract] | ||
Due in 2023 | $ 26,072 | |
Due in 2024 | 10,341 | |
Due in 2025 | 3,143 | |
Due in 2026 | 863 | |
Due in 2027 | 917 | |
Total certificates of deposit | 41,336 | $ 38,953 |
Certificates of deposit, uninsured | $ 4,200 |
Debt (Schedule of Short-term De
Debt (Schedule of Short-term Debt) (Details) - USD ($) $ in Millions | 12 Months Ended | |
Dec. 31, 2022 | Dec. 31, 2021 | |
Short-term Debt [Line Items] | ||
Federal Home Loan Bank | $ 1,900 | $ 0 |
Other | 499 | 0 |
Total short-term borrowings | $ 2,399 | $ 0 |
Weighted average interest rate | 4.50% | 0% |
Cash collateral | $ 1 | $ 0 |
Minimum | ||
Short-term Debt [Line Items] | ||
Repurchase agreements mature | 31 days | |
Maximum | ||
Short-term Debt [Line Items] | ||
Repurchase agreements mature | 60 days | |
Unsecured debt | ||
Short-term Debt [Line Items] | ||
Federal Home Loan Bank | $ 0 | 0 |
Other | 0 | 0 |
Total short-term borrowings | 0 | 0 |
Secured debt | ||
Short-term Debt [Line Items] | ||
Federal Home Loan Bank | 1,900 | 0 |
Other | 499 | 0 |
Total short-term borrowings | $ 2,399 | $ 0 |
Debt (Long-term Debt Schedule)
Debt (Long-term Debt Schedule) (Details) - USD ($) $ in Millions | Dec. 31, 2022 | Dec. 31, 2021 |
Debt Instrument [Line Items] | ||
Total long-term debt | $ 17,762 | $ 17,029 |
Subordinated debt | 1,000 | 1,000 |
Secured debt | 10,124 | 7,619 |
Long-term debt, due within one year | 4,418 | 5,869 |
Long-term debt, due after one year | 13,344 | 11,160 |
Derivative contracts in a payable position | 62 | |
Interest Rate Swap [Member] | ||
Debt Instrument [Line Items] | ||
Derivative contracts in a payable position | 2,500 | |
Unsecured debt | ||
Debt Instrument [Line Items] | ||
Fixed rate | 9,929 | 9,297 |
Hedge basis adjustments | 108 | 113 |
Total long-term debt | $ 10,037 | $ 9,410 |
Weighted average stated interest rate | 5.08% | 4.87% |
Long-term debt, due within one year | $ 2,023 | $ 1,028 |
Long-term debt, due after one year | $ 8,014 | $ 8,382 |
Unsecured debt | Minimum | ||
Debt Instrument [Line Items] | ||
Interest rate | 0.60% | 0.60% |
Unsecured debt | Maximum | ||
Debt Instrument [Line Items] | ||
Interest rate | 8% | 8% |
Secured debt | ||
Debt Instrument [Line Items] | ||
Fixed rate | $ 7,603 | $ 7,502 |
Hedge basis adjustments | 4 | (3) |
Variable rate | 118 | 120 |
Total long-term debt | $ 7,725 | $ 7,619 |
Weighted average stated interest rate | 2.71% | 2.14% |
Variable interest entity debt | $ 2,400 | $ 1,300 |
Long-term debt, due within one year | 2,395 | 4,841 |
Long-term debt, due after one year | $ 5,330 | $ 2,778 |
Secured debt | Minimum | ||
Debt Instrument [Line Items] | ||
Interest rate | 0.72% | 0.72% |
Secured debt | Maximum | ||
Debt Instrument [Line Items] | ||
Interest rate | 5.29% | 6.86% |
Federal Home Loan Bank advances | ||
Debt Instrument [Line Items] | ||
Secured debt | $ 5,300 | $ 6,300 |
Debt (Long-term Debt) (Details)
Debt (Long-term Debt) (Details) - USD ($) $ in Millions | Dec. 31, 2022 | Dec. 31, 2021 |
Debt Instrument [Line Items] | ||
Long-term debt, due within one year | $ 4,418 | $ 5,869 |
Long-term debt, due after one year | 13,344 | 11,160 |
Long-term debt | 17,762 | 17,029 |
Secured debt | 10,124 | 7,619 |
Unsecured debt | ||
Debt Instrument [Line Items] | ||
Long-term debt, due within one year | 2,023 | 1,028 |
Long-term debt, due after one year | 8,014 | 8,382 |
Long-term debt | 10,037 | 9,410 |
Secured debt | ||
Debt Instrument [Line Items] | ||
Long-term debt, due within one year | 2,395 | 4,841 |
Long-term debt, due after one year | 5,330 | 2,778 |
Long-term debt | 7,725 | 7,619 |
Federal Home Loan Bank advances | ||
Debt Instrument [Line Items] | ||
Secured debt | $ 5,300 | $ 6,300 |
Debt (Scheduled Remaining Matur
Debt (Scheduled Remaining Maturity of Long-term Debt) (Details) - USD ($) $ in Millions | Dec. 31, 2022 | Dec. 31, 2021 |
Debt Instrument [Line Items] | ||
Long-term debt, maturities, repayments of principal in next 12 months | $ 4,418 | |
Long-term debt, maturities, repayments of principal in year two | 4,336 | |
Long-term debt, maturities, repayments of principal in year three | 3,818 | |
Long-term debt, maturities, repayments of principal in year four | 835 | |
Long-term debt, maturities, repayments of principal in year five | 1,522 | |
Long-term debt, maturities, repayments of principal after year five | 2,833 | |
Total long-term debt | 17,762 | $ 17,029 |
Unsecured debt | ||
Debt Instrument [Line Items] | ||
Long-term debt, maturities, repayments of principal in next 12 months | 2,023 | |
Long-term debt, maturities, repayments of principal in year two | 1,406 | |
Long-term debt, maturities, repayments of principal in year three | 2,398 | |
Long-term debt, maturities, repayments of principal in year four | (59) | |
Long-term debt, maturities, repayments of principal in year five | 1,446 | |
Long-term debt, maturities, repayments of principal after year five | 2,823 | |
Total long-term debt | 10,037 | 9,410 |
Secured debt | ||
Debt Instrument [Line Items] | ||
Total long-term debt | 7,725 | $ 7,619 |
Long-term debt | Unsecured debt | ||
Debt Instrument [Line Items] | ||
Long-term debt, maturities, repayments of principal in next 12 months | 2,084 | |
Long-term debt, maturities, repayments of principal in year two | 1,474 | |
Long-term debt, maturities, repayments of principal in year three | 2,471 | |
Long-term debt, maturities, repayments of principal in year four | 23 | |
Long-term debt, maturities, repayments of principal in year five | 1,539 | |
Long-term debt, maturities, repayments of principal after year five | 3,328 | |
Total long-term debt | 10,919 | |
Long-term debt | Secured debt | ||
Debt Instrument [Line Items] | ||
Long-term debt, maturities, repayments of principal in next 12 months | 2,395 | |
Long-term debt, maturities, repayments of principal in year two | 2,930 | |
Long-term debt, maturities, repayments of principal in year three | 1,420 | |
Long-term debt, maturities, repayments of principal in year four | 894 | |
Long-term debt, maturities, repayments of principal in year five | 76 | |
Long-term debt, maturities, repayments of principal after year five | 10 | |
Total long-term debt | 7,725 | |
Original issue discount | Unsecured debt | ||
Debt Instrument [Line Items] | ||
Debt instrument, unamortized discount | (882) | |
Original issue discount | Unsecured debt | 2023 | ||
Debt Instrument [Line Items] | ||
Debt instrument, unamortized discount, current | (61) | |
Original issue discount | Unsecured debt | 2024 | ||
Debt Instrument [Line Items] | ||
Debt instrument, unamortized discount, noncurrent | (68) | |
Original issue discount | Unsecured debt | 2025 | ||
Debt Instrument [Line Items] | ||
Debt instrument, unamortized discount, noncurrent | (73) | |
Original issue discount | Unsecured debt | 2026 | ||
Debt Instrument [Line Items] | ||
Debt instrument, unamortized discount, noncurrent | (82) | |
Original issue discount | Unsecured debt | 2027 | ||
Debt Instrument [Line Items] | ||
Debt instrument, unamortized discount, noncurrent | (93) | |
Original issue discount | Unsecured debt | 2028 and thereafter | ||
Debt Instrument [Line Items] | ||
Debt instrument, unamortized discount, noncurrent | $ (505) |
Debt (Pledged Assets Related to
Debt (Pledged Assets Related to Secured Borrowings and Repurchase Agreement) (Details) - USD ($) $ in Millions | Dec. 31, 2022 | Dec. 31, 2021 |
Pledged Assets related to secured borrowings [Line Items] | ||
Pledged assets, restricted as collateral | $ 39,265 | $ 27,420 |
Secured debt | 10,124 | 7,619 |
Short-term borrowings | 2,399 | 0 |
Pledged assets for Federal Home Loan Bank | ||
Pledged Assets related to secured borrowings [Line Items] | ||
Pledged assets, restricted as collateral | 27,000 | 18,000 |
Pledged assets for Federal Reserve Bank | ||
Pledged Assets related to secured borrowings [Line Items] | ||
Pledged assets, restricted as collateral | 2,400 | 2,400 |
Investment securities | ||
Pledged Assets related to secured borrowings [Line Items] | ||
Pledged assets, restricted as collateral | 3,525 | 0 |
Consumer | Consumer mortgage | ||
Pledged Assets related to secured borrowings [Line Items] | ||
Pledged assets, restricted as collateral | 19,771 | 17,941 |
Consumer | Automotive | ||
Pledged Assets related to secured borrowings [Line Items] | ||
Pledged assets, restricted as collateral | 11,759 | 9,122 |
Consumer | Credit card receivables | ||
Pledged Assets related to secured borrowings [Line Items] | ||
Pledged assets, restricted as collateral | 0 | 347 |
Commercial | ||
Pledged Assets related to secured borrowings [Line Items] | ||
Pledged assets, restricted as collateral | $ 4,210 | $ 10 |
Accrued Expenses and Other Li_3
Accrued Expenses and Other Liabilities (Schedule of Accrued Expenses and Other Liabilities) (Details) - USD ($) $ in Millions | Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 |
Accounts Payable and Accrued Liabilities [Abstract] | ||||
Unfunded commitments for investment in qualified affordable housing projects | $ 869 | $ 724 | ||
Accounts payable | 435 | 584 | ||
Employee compensation and benefits | 424 | 512 | ||
Deferred revenue | 169 | 176 | ||
Operating lease liabilities | 137 | 175 | ||
Reserves for insurance losses and loss adjustment expenses | 119 | 122 | $ 129 | $ 122 |
Other liabilities | 495 | 460 | ||
Total accrued expenses and other liabilities | $ 2,648 | $ 2,753 | ||
Operating lease, liability, statement of financial position [Extensible Enumeration] | Total accrued expenses and other liabilities | Total accrued expenses and other liabilities |
Equity (Details)
Equity (Details) - shares | 12 Months Ended | |||||||||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | Sep. 30, 2022 | Jun. 30, 2022 | Mar. 31, 2022 | Sep. 30, 2021 | Jun. 30, 2021 | Mar. 31, 2021 | Jun. 30, 2016 | |
Increase (Decrease) In Common Stock [Roll Forward] | ||||||||||
Total common stock shares issued beginning balance | 504,521,535 | 501,237,000 | 496,958,000 | |||||||
Employee benefits and compensation plans (in shares) | 3,161,000 | 3,284,000 | 4,279,000 | |||||||
Total common stock shares issued ending balance | 507,682,838 | 504,521,535 | 501,237,000 | |||||||
Treasury stock beginning balance | (166,580,899) | (126,563,000) | (122,626,000) | |||||||
Repurchase of common stock (in shares) | (41,778,000) | (40,018,000) | (3,937,000) | |||||||
Treasury stock ending balance | (208,358,481) | (166,580,899) | (126,563,000) | |||||||
Common stock, shares outstanding (in shares) | 299,324,357 | 337,940,636 | 374,674,000 | 300,335,000 | 312,781,000 | 327,306,000 | 349,599,000 | 362,639,000 | 371,805,000 | 484,000,000 |
Equity (Narrative) (Details)
Equity (Narrative) (Details) - $ / shares | 1 Months Ended | 12 Months Ended | |
Jun. 30, 2021 | Apr. 30, 2021 | Dec. 31, 2022 | |
Series B Preferred Stock | |||
Class of Stock [Line Items] | |||
Number of shares issued (in shares) | 1,350,000 | 1,350,000 | |
Dividend/coupon rate | 4.70% | ||
Par value (in dollars per share) | $ 0.01 | $ 0.01 | |
Liquidation preference (in dollars per share) | $ 1,000 | $ 1,000 | |
Preferred stock, reset period | five-year | ||
Preferred stock, dividend payment terms | five-year | ||
Series B Preferred Stock, On And After May 15, 2026 | US Treasury (UST) Interest Rate | |||
Class of Stock [Line Items] | |||
Dividend/coupon rate | 3.868% | ||
Series B Preferred Stock, On And After May 15, 2026 | US Treasury (UST) Interest Rate | Minimum | |||
Class of Stock [Line Items] | |||
Dividend/coupon rate | 3.868% | ||
Series C Preferred Stock | |||
Class of Stock [Line Items] | |||
Number of shares issued (in shares) | 1,000,000 | 1,000,000 | |
Dividend/coupon rate | 4.70% | ||
Par value (in dollars per share) | $ 0.01 | $ 0.01 | |
Liquidation preference (in dollars per share) | $ 1,000 | $ 1,000 | |
Preferred stock, reset period | seven-year | ||
Preferred stock, dividend payment terms | seven-year | ||
Series C Preferred Stock, On And After May 15, 2028 | US Treasury (UST) Interest Rate | |||
Class of Stock [Line Items] | |||
Dividend/coupon rate | 3.481% | ||
Series C Preferred Stock, On And After May 15, 2028 | US Treasury (UST) Interest Rate | Minimum | |||
Class of Stock [Line Items] | |||
Dividend/coupon rate | 3.481% |
Equity (Schedule of Preferred S
Equity (Schedule of Preferred Stock) (Details) - USD ($) $ / shares in Units, $ in Millions | 1 Months Ended | 12 Months Ended | ||
Jun. 30, 2021 | Apr. 30, 2021 | Dec. 31, 2022 | Dec. 31, 2021 | |
Class of Stock [Line Items] | ||||
Carrying value | $ 2,324 | $ 2,324 | ||
Series B Preferred Stock | ||||
Class of Stock [Line Items] | ||||
Carrying value | $ 1,335 | |||
Par value (in dollars per share) | $ 0.01 | $ 0.01 | ||
Liquidation preference (in dollars per share) | $ 1,000 | $ 1,000 | ||
Number of shares authorized (in shares) | 1,350,000 | |||
Number of shares issued (in shares) | 1,350,000 | 1,350,000 | ||
Number of shares outstanding (in shares) | 1,350,000 | |||
Dividend/coupon rate | 4.70% | |||
Series B Preferred Stock, Prior To May 15, 2026 | ||||
Class of Stock [Line Items] | ||||
Dividend/coupon rate | 4.70% | |||
Series B Preferred Stock, On And After May 15, 2026 | US Treasury (UST) Interest Rate | ||||
Class of Stock [Line Items] | ||||
Dividend/coupon rate | 3.868% | |||
Series C Preferred Stock | ||||
Class of Stock [Line Items] | ||||
Carrying value | $ 989 | |||
Par value (in dollars per share) | $ 0.01 | $ 0.01 | ||
Liquidation preference (in dollars per share) | $ 1,000 | $ 1,000 | ||
Number of shares authorized (in shares) | 1,000,000 | |||
Number of shares issued (in shares) | 1,000,000 | 1,000,000 | ||
Number of shares outstanding (in shares) | 1,000,000 | |||
Dividend/coupon rate | 4.70% | |||
Series C Preferred Stock, Prior To May 15, 2028 | ||||
Class of Stock [Line Items] | ||||
Dividend/coupon rate | 4.70% | |||
Series C Preferred Stock, On And After May 15, 2028 | US Treasury (UST) Interest Rate | ||||
Class of Stock [Line Items] | ||||
Dividend/coupon rate | 3.481% |
Accumulated Other Comprehensi_3
Accumulated Other Comprehensive Loss (Schedule of Accumulated Other Comprehensive Loss) (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
AOCI Attributable to Parent, Net of Tax [Roll Forward] | |||
Beginning balance | $ 17,050 | $ 14,703 | $ 14,416 |
Net change | (3,901) | (789) | 508 |
Ending balance | 12,859 | 17,050 | 14,703 |
Accumulated other comprehensive income (loss) | |||
AOCI Attributable to Parent, Net of Tax [Roll Forward] | |||
Beginning balance | (158) | 631 | 123 |
Ending balance | (4,059) | (158) | 631 |
Unrealized gains (losses) on investment securities | |||
AOCI Attributable to Parent, Net of Tax [Roll Forward] | |||
Beginning balance | (95) | 640 | 208 |
Net change | (4,000) | (735) | 432 |
Ending balance | (4,095) | (95) | 640 |
Translation adjustments and net investment hedges | |||
AOCI Attributable to Parent, Net of Tax [Roll Forward] | |||
Beginning balance | 19 | 19 | 19 |
Net change | (1) | 0 | 0 |
Ending balance | 18 | 19 | 19 |
Cash flow hedges | |||
AOCI Attributable to Parent, Net of Tax [Roll Forward] | |||
Beginning balance | 35 | 82 | 2 |
Net change | (17) | (47) | 80 |
Ending balance | 18 | 35 | 82 |
Defined benefit pension plans | |||
AOCI Attributable to Parent, Net of Tax [Roll Forward] | |||
Beginning balance | (117) | (110) | (106) |
Net change | 117 | (7) | (4) |
Ending balance | $ 0 | $ (117) | $ (110) |
Accumulated Other Comprehensi_4
Accumulated Other Comprehensive Loss (Narrative) (Details) - Defined benefit pension plans - USD ($) $ in Millions | 12 Months Ended | |
Dec. 31, 2022 | Dec. 31, 2021 | |
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||
Less: Net realized gains reclassified to net income | $ (115) | $ (1) |
Net realized gains reclassified to income from continuing operations, before tax | (71) | (1) |
Net realized gains reclassified to income from continuing operations, tax | 44 | $ 0 |
Stranded tax effects | $ (61) |
Accumulated Other Comprehensi_5
Accumulated Other Comprehensive Loss (Reclassification Out of Accumulated Other Comprehensive Loss) (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Accumulated Other Comprehensive Income (Loss) [Line Items] | |||
Other comprehensive income (loss), before tax | $ (5,197) | $ (1,032) | $ 666 |
Other comprehensive income (loss), tax effect | 1,296 | 243 | (158) |
Other comprehensive (loss) income, net of tax | (3,901) | (789) | 508 |
Investment securities | |||
Accumulated Other Comprehensive Income (Loss) [Line Items] | |||
Net unrealized gains (losses) arising during the period, before tax | (5,222) | (859) | 737 |
Net unrealized gains (losses) arising during the period, tax | 1,240 | 203 | (173) |
Net unrealized gains (losses) arising during the period, net of tax | (3,982) | (656) | 564 |
Net realized gains reclassified to income from continuing operations, before tax | 23 | 102 | 171 |
Net realized gains reclassified to income from continuing operations, tax | (5) | (23) | (39) |
Net realized gains reclassified to income from continuing operations, net of tax | 18 | 79 | 132 |
Other comprehensive income (loss), before tax | (5,245) | (961) | 566 |
Other comprehensive income (loss), tax effect | 1,245 | 226 | (134) |
Other comprehensive (loss) income, net of tax | (4,000) | (735) | 432 |
Translation adjustments and net investment hedges | |||
Accumulated Other Comprehensive Income (Loss) [Line Items] | |||
Other comprehensive income (loss), before tax | (10) | 4 | |
Other comprehensive income (loss), tax effect | 2 | (1) | |
Other comprehensive (loss) income, net of tax | (8) | 3 | |
Net investment hedges | |||
Accumulated Other Comprehensive Income (Loss) [Line Items] | |||
Other comprehensive income (loss), before tax | 8 | (4) | |
Other comprehensive income (loss), tax effect | (1) | 1 | |
Other comprehensive (loss) income, net of tax | 7 | (3) | |
Cash flow hedges | |||
Accumulated Other Comprehensive Income (Loss) [Line Items] | |||
Net unrealized gains (losses) arising during the period, before tax | (2) | 169 | |
Net unrealized gains (losses) arising during the period, tax | 0 | (40) | |
Net unrealized gains (losses) arising during the period, net of tax | (2) | 129 | |
Net realized gains reclassified to income from continuing operations, before tax | 21 | 61 | 64 |
Net realized gains reclassified to income from continuing operations, tax | (6) | (14) | (15) |
Net realized gains reclassified to income from continuing operations, net of tax | 15 | 47 | 49 |
Other comprehensive income (loss), before tax | (23) | 105 | |
Other comprehensive income (loss), tax effect | 6 | (25) | |
Other comprehensive (loss) income, net of tax | (17) | 80 | |
Defined benefit pension plans | |||
Accumulated Other Comprehensive Income (Loss) [Line Items] | |||
Net unrealized gains (losses) arising during the period, before tax | 2 | (11) | |
Net unrealized gains (losses) arising during the period, tax | 0 | 3 | |
Net unrealized gains (losses) arising during the period, net of tax | 2 | (8) | (4) |
Net realized gains reclassified to income from continuing operations, before tax | (71) | (1) | |
Net realized gains reclassified to income from continuing operations, tax | (44) | 0 | |
Net realized gains reclassified to income from continuing operations, net of tax | (115) | (1) | |
Other comprehensive income (loss), before tax | 73 | (10) | (5) |
Other comprehensive income (loss), tax effect | 44 | 3 | $ 1 |
Other comprehensive (loss) income, net of tax | $ 117 | $ (7) |
Earnings per Common Share (Sche
Earnings per Common Share (Schedule of Basic and Diluted Earnings per Common Share) (Details) - USD ($) $ / shares in Units, $ in Millions | 12 Months Ended | |||||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | ||||
Class of Stock [Line Items] | ||||||
Net income from continuing operations | [1] | $ 1,715 | $ 3,065 | $ 1,086 | ||
Net income from continuing operations attributable to common stockholders | [1] | 1,605 | 3,008 | 1,086 | ||
Loss from discontinued operations, net of tax | (1) | (5) | [1] | (1) | [1] | |
Net income attributable to common stockholders | [1] | $ 1,604 | $ 3,003 | $ 1,085 | ||
Basic weighted-average common shares outstanding (in shares) | [1],[2] | 316,690,000 | 362,583,000 | 375,629,000 | ||
Diluted weighted-average common shares outstanding (in shares) | [1],[2] | 318,629,000 | 365,180,000 | 377,101,000 | ||
Basic earnings per common share | ||||||
Net income from continuing operations (in dollars per share) | [1] | $ 5.07 | $ 8.30 | $ 2.89 | ||
Loss from discontinued operations, net of tax (in dollars per share) | [1] | 0 | (0.01) | 0 | ||
Net income (in dollars per share) | [1] | 5.06 | 8.28 | 2.89 | ||
Diluted earnings per common share | ||||||
Net income from continuing operations (in dollars per share) | [1] | 5.04 | 8.24 | 2.88 | ||
Loss from discontinued operations, net of tax (in dollars per share) | [1] | 0 | (0.01) | 0 | ||
Net income (in dollars per share) | [1] | $ 5.03 | $ 8.22 | $ 2.88 | ||
Antidilutive securities excluded from computation of earnings per share, amount (in shares) | 0 | 0 | 800,000 | |||
Series B Preferred Stock | ||||||
Class of Stock [Line Items] | ||||||
Preferred stock dividends | [1] | $ (63) | $ (36) | $ 0 | ||
Series C Preferred Stock | ||||||
Class of Stock [Line Items] | ||||||
Preferred stock dividends | [1] | $ (47) | $ (21) | $ 0 | ||
[1]Figures in the table may not recalculate exactly due to rounding. Earnings per share is calculated based on unrounded numbers.[2]Includes shares related to share-based compensation that vested but were not yet issued. (c) During the year ended December 31, 2020, there were 0.8 million in shares underlying share-based awards excluded because their inclusion would have been antidilutive. There were no antidilutive shares during the years ended December 31, 2022, and 2021. |
Regulatory Capital and Other _3
Regulatory Capital and Other Regulatory Matters (Schedule of Regulatory Capital Amount and Ratios) (Details) $ in Millions | Dec. 31, 2022 USD ($) | Aug. 31, 2022 | Dec. 31, 2021 USD ($) |
Compliance with Regulatory Capital Requirements under Banking Regulations [Line Items] | |||
Common equity tier one capital ratio | 0.0927 | 0.1034 | |
Minimum capital conservation buffer | 0.025 | ||
Brokered deposits | $ 12,600 | ||
Percentage of interest-bearing domestic deposits to deposits, brokered | 8.30% | ||
Common equity tier one capital | $ 14,592 | $ 15,143 | |
Tier one capital to risk-weighted assets, amount | $ 16,867 | $ 17,403 | |
Tier one capital to risk-weighted assets, ratio | 0.1072 | 0.1189 | |
Tier one capital to risk-weighted assets, well-capitalized minimum | 0.0600 | ||
Capital to risk-weighted assets, amount | $ 19,209 | $ 19,724 | |
Capital to risk-weighted assets, ratio | 0.1221 | 0.1347 | |
Capital to risk weighted assets, well-capitalized minimum | 0.1000 | ||
Tier one leverage to adjusted quarterly average assets, amount | $ 16,867 | $ 17,403 | |
Tier one leverage to adjusted quarterly average assets, ratio | 0.0865 | 0.0967 | |
Accounting Standards Update 2016-13 | |||
Compliance with Regulatory Capital Requirements under Banking Regulations [Line Items] | |||
Deferred reduction to Common Equity Tier 1 Capital from CECL | $ 887 | ||
Ally Financial Inc | |||
Compliance with Regulatory Capital Requirements under Banking Regulations [Line Items] | |||
Minimum capital conservation buffer | 0.025 | 0.025 | 0.035 |
Ally Bank | |||
Compliance with Regulatory Capital Requirements under Banking Regulations [Line Items] | |||
Common equity tier one capital ratio | 0.1138 | 0.1239 | |
Minimum capital conservation buffer | 0.025 | 0.025 | |
Common equity tier one capital | $ 17,011 | $ 17,253 | |
Common equity tier one capital, well capitalized minimum | 0.0650 | ||
Tier one capital to risk-weighted assets, amount | $ 17,011 | $ 17,253 | |
Tier one capital to risk-weighted assets, ratio | 0.1138 | 0.1239 | |
Tier one capital to risk-weighted assets, well-capitalized minimum | 0.0800 | ||
Capital to risk-weighted assets, amount | $ 18,888 | $ 18,995 | |
Capital to risk-weighted assets, ratio | 0.1264 | 0.1364 | |
Capital to risk weighted assets, well-capitalized minimum | 0.1000 | ||
Tier one leverage to adjusted quarterly average assets, amount | $ 17,011 | $ 17,253 | |
Tier one leverage to adjusted quarterly average assets, ratio | 0.0923 | 0.1012 | |
Tier one leverage to adjusted quarterly average assets, well-capitalized minimum | 0.0500 | ||
Minimum | |||
Compliance with Regulatory Capital Requirements under Banking Regulations [Line Items] | |||
Common equity tier one capital ratio | 0.045 | ||
Tier one capital to risk-weighted assets, required minimum | 0.06 | ||
Capital to risk-weighted assets, required minimum | 0.08 | ||
Tier one leverage ratio, minimum | 0.04 | ||
Minimum | Ally Bank | |||
Compliance with Regulatory Capital Requirements under Banking Regulations [Line Items] | |||
Common equity tier one capital ratio | 0.0450 | ||
Tier one capital to risk-weighted assets, required minimum | 0.0600 | ||
Capital to risk-weighted assets, required minimum | 0.0800 | ||
Tier one leverage ratio, minimum | 0.0400 |
Regulatory Capital and Other _4
Regulatory Capital and Other Regulatory Matters (Common Share Repurchases) (Details) | 3 Months Ended | 12 Months Ended | |||||||||||||
Jan. 17, 2023 $ / shares | Jun. 30, 2021 USD ($) $ / shares shares | Dec. 31, 2022 USD ($) $ / shares shares | Dec. 31, 2021 USD ($) $ / shares shares | Dec. 31, 2020 $ / shares shares | Sep. 30, 2022 USD ($) $ / shares shares | Jun. 30, 2022 USD ($) $ / shares shares | Mar. 31, 2022 USD ($) $ / shares shares | Jan. 10, 2022 USD ($) | Sep. 30, 2021 USD ($) $ / shares shares | Jul. 12, 2021 USD ($) | Mar. 31, 2021 USD ($) $ / shares shares | Jan. 11, 2021 USD ($) | Jun. 30, 2016 shares | ||
Accelerated Share Repurchases [Line Items] | |||||||||||||||
Minimum capital conservation buffer | 0.025 | ||||||||||||||
Dividends declared (in dollars per share) | $ / shares | $ 0.19 | $ 0.30 | $ 0.25 | $ 0.30 | $ 0.30 | $ 0.30 | $ 0.25 | $ 0.19 | |||||||
Treasury stock, common, amount | $ 502,000,000 | $ 51,000,000 | $ 594,000,000 | $ 415,000,000 | $ 600,000,000 | $ 584,000,000 | $ 679,000,000 | $ 219,000,000 | |||||||
Treasury stock, common, shares (in shares) | shares | 9,641,000 | 1,731,000 | 12,046,000 | 12,468,000 | 15,031,000 | 12,548,000 | 13,055,000 | 5,276,000 | |||||||
Common stock, share reduction | 38% | ||||||||||||||
Common stock, shares outstanding (in shares) | shares | 362,639,000 | 299,324,357 | 337,940,636 | 374,674,000 | 300,335,000 | 312,781,000 | 327,306,000 | 349,599,000 | 371,805,000 | 484,000,000 | |||||
Cash dividends declared per common share (in dollars per share) | $ / shares | [1] | $ 1.20 | $ 0.88 | $ 0.76 | |||||||||||
Subsequent event | |||||||||||||||
Accelerated Share Repurchases [Line Items] | |||||||||||||||
Cash dividends declared per common share (in dollars per share) | $ / shares | $ 0.30 | ||||||||||||||
Common stock | |||||||||||||||
Accelerated Share Repurchases [Line Items] | |||||||||||||||
Stock repurchase program, authorized amount | $ 2,000,000,000 | $ 2,000,000,000 | $ 1,600,000,000 | ||||||||||||
Treasury stock, common, amount | $ 1,650,000,000 | ||||||||||||||
Series B Preferred Stock | |||||||||||||||
Accelerated Share Repurchases [Line Items] | |||||||||||||||
Gross proceeds from issuance of series preferred stock | $ 1,350,000,000 | ||||||||||||||
Series C Preferred Stock | |||||||||||||||
Accelerated Share Repurchases [Line Items] | |||||||||||||||
Gross proceeds from issuance of series preferred stock | $ 1,000,000,000 | ||||||||||||||
[1]Figures in the table may not recalculate exactly due to rounding. Earnings per share is calculated based on unrounded numbers. |
Regulatory Capital and Other _5
Regulatory Capital and Other Regulatory Matters (Depository Institutions) (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Compliance with Regulatory Capital Requirements under Banking Regulations [Line Items] | |||
Total assets | $ 191,826 | $ 182,114 | $ 182,165 |
Dividends from bank subsidiary | 3,200 | 3,500 | |
Statutory accounting practices, statutory amount available for dividend payments | 101 | ||
Ally Bank | |||
Compliance with Regulatory Capital Requirements under Banking Regulations [Line Items] | |||
Total assets | $ 181,900 | $ 172,800 |
Derivative Instruments and He_3
Derivative Instruments and Hedging Activities (Details) - USD ($) $ in Millions | Dec. 31, 2022 | Dec. 31, 2021 |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | ||
Cash collateral placed with counterparties | $ 2 | $ 2 |
Noncash collateral placed with counterparties | 384 | 203 |
Cash collateral received from counterparties | $ 23 | $ 4 |
Derivative Instruments and He_4
Derivative Instruments and Hedging Activities (Fair Value Amounts of Derivative Instruments Reported on our Condensed Consolidated Balance Sheet) (Details) - USD ($) $ in Millions | Dec. 31, 2022 | Dec. 31, 2021 |
Derivatives, Fair Value [Line Items] | ||
Fair value of derivative contracts in receivable position | $ 23 | $ 7 |
Fair value of derivative contracts in payable position | 42 | 62 |
Derivative, notional amount | 33,833 | 18,169 |
Credit derivative, maximum exposure, undiscounted | 82 | 119 |
Designated as hedging instrument | ||
Derivatives, Fair Value [Line Items] | ||
Fair value of derivative contracts in receivable position | 22 | 0 |
Fair value of derivative contracts in payable position | 1 | 2 |
Derivative, notional amount | 33,570 | 17,210 |
Not designated as hedging instrument | ||
Derivatives, Fair Value [Line Items] | ||
Fair value of derivative contracts in receivable position | 1 | 7 |
Fair value of derivative contracts in payable position | 41 | 60 |
Derivative, notional amount | 263 | 959 |
Interest rate contracts | Not designated as hedging instrument | ||
Derivatives, Fair Value [Line Items] | ||
Fair value of derivative contracts in receivable position | 0 | 6 |
Fair value of derivative contracts in payable position | 0 | 2 |
Derivative, notional amount | 116 | 803 |
Interest rate swaps | Designated as hedging instrument | ||
Derivatives, Fair Value [Line Items] | ||
Fair value of derivative contracts in receivable position | 0 | 0 |
Fair value of derivative contracts in payable position | 0 | 0 |
Derivative, notional amount | 30,619 | 17,039 |
Interest rate purchased options | Designated as hedging instrument | ||
Derivatives, Fair Value [Line Items] | ||
Fair value of derivative contracts in receivable position | 22 | 0 |
Fair value of derivative contracts in payable position | 0 | 0 |
Derivative, notional amount | 2,800 | 0 |
Interest rate futures and forwards | Not designated as hedging instrument | ||
Derivatives, Fair Value [Line Items] | ||
Fair value of derivative contracts in receivable position | 0 | 1 |
Fair value of derivative contracts in payable position | 0 | 0 |
Derivative, notional amount | 37 | 223 |
Interest rate put option | Not designated as hedging instrument | ||
Derivatives, Fair Value [Line Items] | ||
Fair value of derivative contracts in receivable position | 0 | 5 |
Fair value of derivative contracts in payable position | 0 | 2 |
Derivative, notional amount | 79 | 580 |
Foreign exchange contracts | Not designated as hedging instrument | ||
Derivatives, Fair Value [Line Items] | ||
Fair value of derivative contracts in receivable position | 0 | 0 |
Fair value of derivative contracts in payable position | 1 | 1 |
Derivative, notional amount | 147 | 154 |
Foreign exchange forwards | Designated as hedging instrument | ||
Derivatives, Fair Value [Line Items] | ||
Fair value of derivative contracts in receivable position | 0 | 0 |
Fair value of derivative contracts in payable position | 1 | 2 |
Derivative, notional amount | 151 | 171 |
Foreign exchange futures and forwards | Not designated as hedging instrument | ||
Derivatives, Fair Value [Line Items] | ||
Fair value of derivative contracts in receivable position | 0 | 0 |
Fair value of derivative contracts in payable position | 1 | 1 |
Derivative, notional amount | 147 | 154 |
Other credit derivatives | Not designated as hedging instrument | ||
Derivatives, Fair Value [Line Items] | ||
Fair value of derivative contracts in receivable position | 0 | 0 |
Fair value of derivative contracts in payable position | 39 | 56 |
Equity contracts | Not designated as hedging instrument | ||
Derivatives, Fair Value [Line Items] | ||
Fair value of derivative contracts in receivable position | 1 | 1 |
Fair value of derivative contracts in payable position | 1 | 1 |
Derivative, notional amount | 0 | 2 |
Equity contract written options | Not designated as hedging instrument | ||
Derivatives, Fair Value [Line Items] | ||
Fair value of derivative contracts in receivable position | 0 | 0 |
Fair value of derivative contracts in payable position | 1 | 1 |
Derivative, notional amount | 0 | 2 |
Equity contract purchased options | Not designated as hedging instrument | ||
Derivatives, Fair Value [Line Items] | ||
Fair value of derivative contracts in receivable position | 1 | 1 |
Fair value of derivative contracts in payable position | 0 | 0 |
Derivative, notional amount | $ 0 | $ 0 |
Derivative Instruments and He_5
Derivative Instruments and Hedging Activities (Schedule of Fair Value Hedging Instruments, Statements of Financial Performance and Financial Position, Location) (Details) - USD ($) $ in Millions | Dec. 31, 2022 | Dec. 31, 2021 |
Derivative Instruments and Hedging Activities Disclosures [Line Items] | ||
Hedged asset, fair value hedge, cumulative increase (decrease) | $ 15 | |
Hedged liability, fair value hedge, cumulative increase (decrease) | (12) | |
Available-for-sale securities | ||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | ||
Hedged asset, fair value hedge | 11,265 | $ 5,119 |
Hedged asset, fair value hedge, cumulative increase (decrease) | (180) | (14) |
Closed portfolio and beneficial interest, last-of-layer, amortized cost | 10,000 | 3,900 |
Amortized cost | 9,700 | 1,600 |
Basis adjustment for active hedge | (135) | (6) |
Hedged asset, last-of-layer, amount | 4,000 | 1,200 |
Available-for-sale securities | Designated as hedging instrument | ||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | ||
Basis adjustment for active hedge | 3 | 14 |
Finance receivables and loans, net | ||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | ||
Hedged asset, fair value hedge | 46,390 | 44,098 |
Hedged asset, fair value hedge, cumulative increase (decrease) | (617) | (37) |
Basis adjustment for active hedge | (617) | (37) |
Hedged asset, last-of-layer, amount | 22,800 | 15,600 |
Closed portfolio, carrying value | 46,100 | 43,500 |
Finance receivables and loans, net | Designated as hedging instrument | ||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | ||
Basis adjustment for active hedge | (560) | (82) |
Long-term debt | ||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | ||
Hedged liability, fair value hedge | 7,697 | 7,213 |
Hedged liability, fair value hedge, cumulative increase (decrease) | 112 | 110 |
Discontinued hedge | Available-for-sale securities | ||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | ||
Hedged asset, discontinued fair value hedge, cumulative increase (decrease) | (181) | (30) |
Basis adjustment for active hedge | (138) | (20) |
Discontinued hedge | Finance receivables and loans, net | ||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | ||
Hedged asset, discontinued fair value hedge, cumulative increase (decrease) | (57) | 46 |
Basis adjustment for active hedge | (57) | 46 |
Discontinued hedge | Long-term debt | ||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | ||
Hedged liability, discontinued fair value hedge, cumulative increase (decrease) | $ 120 | $ 110 |
Derivative Instruments and He_6
Derivative Instruments and Hedging Activities (Statement of Gains and Losses on Derivative Instruments Reported in Statement of Comprehensive Income) (Details) - Not designated as hedging instrument - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Derivative Instruments, Gain (Loss) [Line Items] | |||
Gain (loss) on derivative instruments recognized in earnings | $ 28 | $ (29) | $ (41) |
Interest rate contracts | |||
Derivative Instruments, Gain (Loss) [Line Items] | |||
Gain (loss) on derivative instruments recognized in earnings | 22 | (4) | (29) |
Foreign exchange contracts | |||
Derivative Instruments, Gain (Loss) [Line Items] | |||
Gain (loss) on derivative instruments recognized in earnings | 8 | (1) | (7) |
Other credit derivatives | |||
Derivative Instruments, Gain (Loss) [Line Items] | |||
Gain (loss) on derivative instruments recognized in earnings | (2) | (24) | (5) |
Gain (loss) on mortgage and automotive loans, net | Interest rate contracts | |||
Derivative Instruments, Gain (Loss) [Line Items] | |||
Gain (loss) on derivative instruments recognized in earnings | 14 | (12) | (10) |
Other income, net of losses | Interest rate contracts | |||
Derivative Instruments, Gain (Loss) [Line Items] | |||
Gain (loss) on derivative instruments recognized in earnings | 8 | 8 | (19) |
Other income, net of losses | Other credit derivatives | |||
Derivative Instruments, Gain (Loss) [Line Items] | |||
Gain (loss) on derivative instruments recognized in earnings | (2) | (24) | (1) |
Other operating expenses | Foreign exchange contracts | |||
Derivative Instruments, Gain (Loss) [Line Items] | |||
Gain (loss) on derivative instruments recognized in earnings | 8 | (1) | (7) |
Interest and fees on finance receivables and loans | Other credit derivatives | |||
Derivative Instruments, Gain (Loss) [Line Items] | |||
Gain (loss) on derivative instruments recognized in earnings | $ 0 | $ 0 | $ (4) |
Derivative Instruments and He_7
Derivative Instruments and Hedging Activities (Derivative Instruments Designated as Fair Value Hedges, Gain (Loss)) (Details) - USD ($) $ in Millions | 3 Months Ended | 12 Months Ended | |||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Derivative Instruments, Gain (Loss) [Line Items] | |||||
Interest and fees on finance receivables and loans | $ 8,099 | $ 6,468 | $ 6,581 | ||
Interest and dividends on investment securities and other earning assets | 841 | 600 | 736 | ||
Interest on deposits | 1,987 | 1,045 | 1,952 | ||
Interest on long-term debt | 763 | 860 | 1,249 | ||
Earnings on cash flow hedges to be recognized within twelve months | 14 | ||||
Designated as hedging instrument | Interest and fees on finance receivables and loans | |||||
Derivative Instruments, Gain (Loss) [Line Items] | |||||
Total gain on fair value hedging relationships | 0 | 0 | 0 | ||
Total gain (loss) on cash flow hedging relationships | 21 | 62 | 73 | ||
Designated as hedging instrument | Interest and dividends on investment securities and other earning assets | |||||
Derivative Instruments, Gain (Loss) [Line Items] | |||||
Total gain on fair value hedging relationships | 0 | 0 | 0 | ||
Total gain (loss) on cash flow hedging relationships | 0 | 0 | 0 | ||
Designated as hedging instrument | Interest on deposits | |||||
Derivative Instruments, Gain (Loss) [Line Items] | |||||
Total gain on fair value hedging relationships | 0 | 0 | 0 | ||
Total gain (loss) on cash flow hedging relationships | 0 | (1) | (8) | ||
Designated as hedging instrument | Interest on long-term debt | |||||
Derivative Instruments, Gain (Loss) [Line Items] | |||||
Total gain on fair value hedging relationships | 0 | 0 | |||
Total gain (loss) on cash flow hedging relationships | (1) | 0 | 0 | ||
Designated as hedging instrument | Unsecured debt | Interest and fees on finance receivables and loans | |||||
Derivative Instruments, Gain (Loss) [Line Items] | |||||
Change in unrealized gain (loss) on hedged item in fair value hedge | 0 | 0 | 0 | ||
Change in unrealized gain (loss) on fair value hedging instruments | 0 | 0 | 0 | ||
Designated as hedging instrument | Unsecured debt | Interest and dividends on investment securities and other earning assets | |||||
Derivative Instruments, Gain (Loss) [Line Items] | |||||
Change in unrealized gain (loss) on hedged item in fair value hedge | 0 | 0 | 0 | ||
Change in unrealized gain (loss) on fair value hedging instruments | 0 | 0 | 0 | ||
Designated as hedging instrument | Unsecured debt | Interest on deposits | |||||
Derivative Instruments, Gain (Loss) [Line Items] | |||||
Change in unrealized gain (loss) on hedged item in fair value hedge | 0 | 0 | 0 | ||
Change in unrealized gain (loss) on fair value hedging instruments | 0 | 0 | 0 | ||
Designated as hedging instrument | Unsecured debt | Interest on long-term debt | |||||
Derivative Instruments, Gain (Loss) [Line Items] | |||||
Change in unrealized gain (loss) on hedged item in fair value hedge | 1 | 68 | (135) | ||
Change in unrealized gain (loss) on fair value hedging instruments | (1) | (68) | 135 | ||
Designated as hedging instrument | Fixed-rate FHLB Advances | Interest and fees on finance receivables and loans | |||||
Derivative Instruments, Gain (Loss) [Line Items] | |||||
Change in unrealized gain (loss) on hedged item in fair value hedge | 0 | 0 | 0 | ||
Change in unrealized gain (loss) on fair value hedging instruments | 0 | 0 | 0 | ||
Designated as hedging instrument | Fixed-rate FHLB Advances | Interest and dividends on investment securities and other earning assets | |||||
Derivative Instruments, Gain (Loss) [Line Items] | |||||
Change in unrealized gain (loss) on hedged item in fair value hedge | 0 | 0 | 0 | ||
Change in unrealized gain (loss) on fair value hedging instruments | 0 | 0 | 0 | ||
Designated as hedging instrument | Fixed-rate FHLB Advances | Interest on deposits | |||||
Derivative Instruments, Gain (Loss) [Line Items] | |||||
Change in unrealized gain (loss) on hedged item in fair value hedge | 0 | 0 | 0 | ||
Change in unrealized gain (loss) on fair value hedging instruments | 0 | 0 | 0 | ||
Designated as hedging instrument | Fixed-rate FHLB Advances | Interest on long-term debt | |||||
Derivative Instruments, Gain (Loss) [Line Items] | |||||
Change in unrealized gain (loss) on hedged item in fair value hedge | (5) | 0 | 0 | ||
Change in unrealized gain (loss) on fair value hedging instruments | 5 | 0 | 0 | ||
Designated as hedging instrument | Available-for-sale securities | Interest and fees on finance receivables and loans | |||||
Derivative Instruments, Gain (Loss) [Line Items] | |||||
Change in unrealized gain (loss) on hedged item in fair value hedge | 0 | 0 | 0 | ||
Change in unrealized gain (loss) on fair value hedging instruments | 0 | 0 | 0 | ||
Designated as hedging instrument | Available-for-sale securities | Interest and dividends on investment securities and other earning assets | |||||
Derivative Instruments, Gain (Loss) [Line Items] | |||||
Change in unrealized gain (loss) on hedged item in fair value hedge | (185) | (40) | 38 | ||
Change in unrealized gain (loss) on fair value hedging instruments | 185 | 40 | (38) | ||
Designated as hedging instrument | Available-for-sale securities | Interest on deposits | |||||
Derivative Instruments, Gain (Loss) [Line Items] | |||||
Change in unrealized gain (loss) on hedged item in fair value hedge | 0 | 0 | 0 | ||
Change in unrealized gain (loss) on fair value hedging instruments | 0 | 0 | 0 | ||
Designated as hedging instrument | Available-for-sale securities | Interest on long-term debt | |||||
Derivative Instruments, Gain (Loss) [Line Items] | |||||
Change in unrealized gain (loss) on hedged item in fair value hedge | 0 | 0 | 0 | ||
Change in unrealized gain (loss) on fair value hedging instruments | 0 | 0 | 0 | ||
Designated as hedging instrument | Fixed-rate automotive loans | Interest and fees on finance receivables and loans | |||||
Derivative Instruments, Gain (Loss) [Line Items] | |||||
Change in unrealized gain (loss) on hedged item in fair value hedge | (599) | (215) | 139 | ||
Change in unrealized gain (loss) on fair value hedging instruments | 599 | 215 | (139) | ||
Designated as hedging instrument | Fixed-rate automotive loans | Interest and dividends on investment securities and other earning assets | |||||
Derivative Instruments, Gain (Loss) [Line Items] | |||||
Change in unrealized gain (loss) on hedged item in fair value hedge | 0 | 0 | 0 | ||
Change in unrealized gain (loss) on fair value hedging instruments | 0 | 0 | 0 | ||
Designated as hedging instrument | Fixed-rate automotive loans | Interest on deposits | |||||
Derivative Instruments, Gain (Loss) [Line Items] | |||||
Change in unrealized gain (loss) on hedged item in fair value hedge | 0 | 0 | 0 | ||
Change in unrealized gain (loss) on fair value hedging instruments | 0 | 0 | 0 | ||
Designated as hedging instrument | Fixed-rate automotive loans | Interest on long-term debt | |||||
Derivative Instruments, Gain (Loss) [Line Items] | |||||
Change in unrealized gain (loss) on hedged item in fair value hedge | 0 | 0 | 0 | ||
Change in unrealized gain (loss) on fair value hedging instruments | 0 | 0 | 0 | ||
Designated as hedging instrument | Deposit liabilities | Interest and fees on finance receivables and loans | |||||
Derivative Instruments, Gain (Loss) [Line Items] | |||||
Interest rate cash flow hedge gain (loss) reclassified to earnings | 0 | 0 | 0 | ||
Designated as hedging instrument | Deposit liabilities | Interest and dividends on investment securities and other earning assets | |||||
Derivative Instruments, Gain (Loss) [Line Items] | |||||
Interest rate cash flow hedge gain (loss) reclassified to earnings | 0 | 0 | 0 | ||
Designated as hedging instrument | Deposit liabilities | Interest on deposits | |||||
Derivative Instruments, Gain (Loss) [Line Items] | |||||
Interest rate cash flow hedge gain (loss) reclassified to earnings | 0 | (1) | (8) | ||
Designated as hedging instrument | Deposit liabilities | Interest on long-term debt | |||||
Derivative Instruments, Gain (Loss) [Line Items] | |||||
Interest rate cash flow hedge gain (loss) reclassified to earnings | 0 | 0 | 0 | ||
Designated as hedging instrument | Variable-rate commercial loans | Interest and fees on finance receivables and loans | |||||
Derivative Instruments, Gain (Loss) [Line Items] | |||||
Interest rate cash flow hedge gain (loss) reclassified to earnings | 21 | 58 | 73 | ||
Designated as hedging instrument | Variable-rate commercial loans | Interest and dividends on investment securities and other earning assets | |||||
Derivative Instruments, Gain (Loss) [Line Items] | |||||
Interest rate cash flow hedge gain (loss) reclassified to earnings | 0 | 0 | 0 | ||
Designated as hedging instrument | Variable-rate commercial loans | Interest on deposits | |||||
Derivative Instruments, Gain (Loss) [Line Items] | |||||
Interest rate cash flow hedge gain (loss) reclassified to earnings | 0 | 0 | 0 | ||
Designated as hedging instrument | Variable-rate commercial loans | Interest on long-term debt | |||||
Derivative Instruments, Gain (Loss) [Line Items] | |||||
Interest rate cash flow hedge gain (loss) reclassified to earnings | 0 | 0 | 0 | ||
Designated as hedging instrument | Variable-rate commercial borrowings probable not to occur | Interest and fees on finance receivables and loans | |||||
Derivative Instruments, Gain (Loss) [Line Items] | |||||
Interest rate cash flow hedge gain (loss) reclassified to earnings | 0 | 4 | 0 | ||
Designated as hedging instrument | Variable-rate commercial borrowings probable not to occur | Interest and dividends on investment securities and other earning assets | |||||
Derivative Instruments, Gain (Loss) [Line Items] | |||||
Interest rate cash flow hedge gain (loss) reclassified to earnings | 0 | 0 | 0 | ||
Designated as hedging instrument | Variable-rate commercial borrowings probable not to occur | Interest on deposits | |||||
Derivative Instruments, Gain (Loss) [Line Items] | |||||
Interest rate cash flow hedge gain (loss) reclassified to earnings | 0 | 0 | 0 | ||
Designated as hedging instrument | Variable-rate commercial borrowings probable not to occur | Interest on long-term debt | |||||
Derivative Instruments, Gain (Loss) [Line Items] | |||||
Interest rate cash flow hedge gain (loss) reclassified to earnings | $ 0 | 0 | 0 | ||
Designated as hedging instrument | Other hedge forecasted transactions | Interest and fees on finance receivables and loans | |||||
Derivative Instruments, Gain (Loss) [Line Items] | |||||
Interest rate cash flow hedge gain (loss) reclassified to earnings | $ 0 | $ 0 | 0 | ||
Designated as hedging instrument | Other hedge forecasted transactions | Interest and dividends on investment securities and other earning assets | |||||
Derivative Instruments, Gain (Loss) [Line Items] | |||||
Interest rate cash flow hedge gain (loss) reclassified to earnings | 0 | $ 0 | 0 | ||
Designated as hedging instrument | Other hedge forecasted transactions | Interest on deposits | |||||
Derivative Instruments, Gain (Loss) [Line Items] | |||||
Interest rate cash flow hedge gain (loss) reclassified to earnings | 0 | 0 | 0 | ||
Designated as hedging instrument | Other hedge forecasted transactions | Interest on long-term debt | |||||
Derivative Instruments, Gain (Loss) [Line Items] | |||||
Interest rate cash flow hedge gain (loss) reclassified to earnings | $ (1) | $ 0 | $ 0 |
Derivative Instruments and He_8
Derivative Instruments and Hedging Activities (Interest and Amortization on Derivative Instruments) (Details) - Designated as hedging instrument - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Interest and fees on finance receivables and loans | |||
Derivative Instruments, Gain (Loss) [Line Items] | |||
Total gain (loss) on fair value hedging relationships | $ 147 | $ (168) | $ (170) |
Total gain on cash flow hedging relationships | 0 | 0 | 1 |
Interest and dividends on investment securities and other earning assets | |||
Derivative Instruments, Gain (Loss) [Line Items] | |||
Total gain (loss) on fair value hedging relationships | 16 | (10) | (13) |
Total gain on cash flow hedging relationships | 0 | 0 | 0 |
Interest on long-term debt | |||
Derivative Instruments, Gain (Loss) [Line Items] | |||
Total gain (loss) on fair value hedging relationships | 3 | (4) | (10) |
Total gain on cash flow hedging relationships | 0 | 0 | 0 |
Unsecured debt | Interest and fees on finance receivables and loans | |||
Derivative Instruments, Gain (Loss) [Line Items] | |||
Gain (loss) on amortization of deferred basis adjustments | 0 | 0 | 0 |
Gain (loss) on interest for qualifying hedge | 0 | 0 | 0 |
Unsecured debt | Interest and dividends on investment securities and other earning assets | |||
Derivative Instruments, Gain (Loss) [Line Items] | |||
Gain (loss) on amortization of deferred basis adjustments | 0 | 0 | 0 |
Gain (loss) on interest for qualifying hedge | 0 | 0 | 0 |
Unsecured debt | Interest on long-term debt | |||
Derivative Instruments, Gain (Loss) [Line Items] | |||
Gain (loss) on amortization of deferred basis adjustments | 5 | 4 | 12 |
Gain (loss) on interest for qualifying hedge | 1 | 5 | 0 |
Federal Home Loan Bank certificates and obligations | Interest and fees on finance receivables and loans | |||
Derivative Instruments, Gain (Loss) [Line Items] | |||
Gain (loss) on amortization of deferred basis adjustments | 0 | 0 | 0 |
Federal Home Loan Bank certificates and obligations | Interest and dividends on investment securities and other earning assets | |||
Derivative Instruments, Gain (Loss) [Line Items] | |||
Gain (loss) on amortization of deferred basis adjustments | 0 | 0 | 0 |
Federal Home Loan Bank certificates and obligations | Interest on long-term debt | |||
Derivative Instruments, Gain (Loss) [Line Items] | |||
Gain (loss) on amortization of deferred basis adjustments | (3) | (13) | (22) |
Available-for-sale securities | Interest and fees on finance receivables and loans | |||
Derivative Instruments, Gain (Loss) [Line Items] | |||
Gain (loss) on amortization of deferred basis adjustments | 0 | 0 | 0 |
Gain (loss) on interest for qualifying hedge | 0 | 0 | 0 |
Available-for-sale securities | Interest and dividends on investment securities and other earning assets | |||
Derivative Instruments, Gain (Loss) [Line Items] | |||
Gain (loss) on amortization of deferred basis adjustments | 17 | (4) | (7) |
Gain (loss) on interest for qualifying hedge | (1) | (6) | (6) |
Available-for-sale securities | Interest on long-term debt | |||
Derivative Instruments, Gain (Loss) [Line Items] | |||
Gain (loss) on amortization of deferred basis adjustments | 0 | 0 | 0 |
Gain (loss) on interest for qualifying hedge | 0 | 0 | 0 |
Fixed-rate automotive loans | Interest and fees on finance receivables and loans | |||
Derivative Instruments, Gain (Loss) [Line Items] | |||
Gain (loss) on amortization of deferred basis adjustments | 18 | (46) | (49) |
Gain (loss) on interest for qualifying hedge | 129 | (122) | (121) |
Fixed-rate automotive loans | Interest and dividends on investment securities and other earning assets | |||
Derivative Instruments, Gain (Loss) [Line Items] | |||
Gain (loss) on amortization of deferred basis adjustments | 0 | 0 | 0 |
Gain (loss) on interest for qualifying hedge | 0 | 0 | 0 |
Fixed-rate automotive loans | Interest on long-term debt | |||
Derivative Instruments, Gain (Loss) [Line Items] | |||
Gain (loss) on amortization of deferred basis adjustments | 0 | 0 | 0 |
Gain (loss) on interest for qualifying hedge | 0 | 0 | 0 |
Variable-rate commercial loans | Interest and fees on finance receivables and loans | |||
Derivative Instruments, Gain (Loss) [Line Items] | |||
Gain (loss) on interest for qualifying hedge | 0 | 0 | 1 |
Variable-rate commercial loans | Interest and dividends on investment securities and other earning assets | |||
Derivative Instruments, Gain (Loss) [Line Items] | |||
Gain (loss) on interest for qualifying hedge | 0 | 0 | 0 |
Variable-rate commercial loans | Interest on long-term debt | |||
Derivative Instruments, Gain (Loss) [Line Items] | |||
Gain (loss) on interest for qualifying hedge | $ 0 | $ 0 | $ 0 |
Derivative Instruments and He_9
Derivative Instruments and Hedging Activities (Derivative Instruments Used in Net Investment Hedge Accounting Relationships) (Details) - USD ($) | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Interest rate contracts | Cash flow hedging | |||
Derivative Instruments, Gain (Loss) [Line Items] | |||
(Loss) gain recognized in other comprehensive loss | $ (23,000,000) | $ (61,000,000) | $ 105,000,000 |
Foreign exchange contracts | Net investment hedging | |||
Derivative Instruments, Gain (Loss) [Line Items] | |||
Gain (loss) recognized in other comprehensive loss | 8,000,000 | 0 | (4,000,000) |
Amounts excluded from effectiveness testing | 0 | 0 | 0 |
Amounts reclassified from accumulated other comprehensive income | $ 0 | $ 0 | $ 0 |
Income Taxes (Schedule of Compo
Income Taxes (Schedule of Components of Income Tax Expense (Benefit)) (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Current income tax expense | |||
U.S. federal | $ 1 | $ 502 | $ 0 |
Foreign | 3 | 4 | 6 |
State and local | 9 | 168 | 80 |
Total current expense | 13 | 674 | 86 |
Deferred income tax expense (benefit) | |||
U.S. federal | 493 | 151 | 280 |
Foreign | (1) | 0 | 1 |
State and local | 61 | (35) | (39) |
Total deferred expense | 553 | 116 | 242 |
Other tax expense | 61 | 0 | 0 |
Total income tax expense from continuing operations | $ 627 | $ 790 | $ 328 |
Income Taxes (Schedule of Effec
Income Taxes (Schedule of Effective Income Tax Rate Reconciliation) (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Income Tax Disclosure [Abstract] | |||
Statutory U.S. federal tax expense | $ 492 | $ 810 | $ 297 |
State and local income taxes, net of federal income tax benefit | 77 | 106 | 36 |
Tax credits, excluding expirations | (73) | (58) | (29) |
Settlement of qualified defined benefit pension plan | 61 | 0 | 0 |
Valuation allowance change, excluding expirations | 54 | (78) | (3) |
Nondeductible expenses | 31 | 30 | 37 |
Other, net | (15) | (20) | (10) |
Total income tax expense from continuing operations | $ 627 | $ 790 | $ 328 |
Income Taxes (Schedule of Defer
Income Taxes (Schedule of Deferred Tax Assets and Liabilities) (Details) - USD ($) $ in Millions | 12 Months Ended | |
Dec. 31, 2022 | Dec. 31, 2021 | |
Deferred Tax Assets, Gross [Abstract] | ||
Adjustments to available-for-sale securities, equity securities, and hedging transactions | $ 1,095 | $ 124 |
Tax credit carryforwards | 960 | 1,014 |
Adjustments to loan value | 822 | 920 |
U.S. federal tax loss carryforwards | 428 | 256 |
State and local taxes | 310 | 233 |
Other | 470 | 480 |
Gross deferred tax assets | 4,085 | 3,027 |
Valuation allowance | (644) | (839) |
Deferred tax assets, net of valuation allowance | 3,441 | 2,188 |
Deferred tax liabilities | ||
Lease transactions | 1,831 | 1,385 |
Deferred acquisition costs | 394 | 403 |
Other | 145 | 156 |
Gross deferred tax liabilities | 2,370 | 1,944 |
Net deferred tax assets | 1,071 | 244 |
Deferred tax asset | 1,000 | 104 |
Release of valuation allowance | (195) | |
Reduction of foreign tax credits carryforwards | 249 | |
Net deferred tax assets | 1,087 | 254 |
Net deferred tax liabilities | $ 16 | $ 10 |
Income Taxes (Summary of Valuat
Income Taxes (Summary of Valuation Allowance) (Details) - USD ($) $ in Millions | Dec. 31, 2022 | Dec. 31, 2021 |
Valuation Allowance [Line Items] | ||
Tax credit carryforwards, Deferred tax asset (liability) | $ 960 | $ 1,014 |
Tax credit carryforwards, valuation allowance | (517) | |
Tax credit carryforwards, net deferred tax asset (liability) | 443 | |
Total U.S. federal and state tax loss carryforwards, deferred tax asset (liability) | 594 | |
Total U.S. federal and state tax loss carryforwards, Valuation allowance | (127) | |
Total U.S. federal and state tax loss carryforwards, net deferred tax asset (liability) | 467 | |
Other net deferred tax assets | 161 | |
Other net deferred tax assets, valuation allowance | 0 | |
Net deferred tax assets (liabilities), Deferred tax asset (liability) | 1,715 | |
Net deferred tax assets (liabilities), valuation allowance | (644) | (839) |
Net deferred tax assets (liabilities), net of deferred tax (liabilities) assets | 1,071 | $ 244 |
Foreign tax credits | ||
Valuation Allowance [Line Items] | ||
Tax credit carryforwards, Deferred tax asset (liability) | 765 | |
Tax credit carryforwards, valuation allowance | (517) | |
Tax credit carryforwards, net deferred tax asset (liability) | 248 | |
General business credits | ||
Valuation Allowance [Line Items] | ||
Tax credit carryforwards, Deferred tax asset (liability) | 195 | |
Tax credit carryforwards, valuation allowance | 0 | |
Tax credit carryforwards, net deferred tax asset (liability) | 195 | |
Federal | ||
Valuation Allowance [Line Items] | ||
Tax loss carryforwards, deferred tax asset (liability) | 428 | |
Tax loss carryforwards, valuation allowance | 0 | |
Tax loss carryforwards, net deferred tax asset (liability) | 428 | |
State | ||
Valuation Allowance [Line Items] | ||
Tax loss carryforwards, deferred tax asset (liability) | 166 | |
Tax loss carryforwards, valuation allowance | (127) | |
Tax loss carryforwards, net deferred tax asset (liability) | $ 39 |
Income Taxes (Schedule of Unrec
Income Taxes (Schedule of Unrecognized Tax Benefits Roll Forward) (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Reconciliation of Unrecognized Tax Benefits, Excluding Amounts Pertaining to Examined Tax Returns [Roll Forward] | |||
Balance at January 1 | $ 53 | $ 53 | $ 48 |
Additions based on tax positions related to the current year | 0 | 0 | 0 |
Additions for tax positions of prior years | 2 | 7 | 5 |
Reductions for tax positions of prior years | (2) | (7) | 0 |
Settlements | (7) | 0 | 0 |
Expiration of statute of limitations | 0 | 0 | 0 |
Balance at December 31 | $ 46 | $ 53 | $ 53 |
Income Taxes (Details)
Income Taxes (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Income Tax Disclosure [Abstract] | |||
Unrecognized tax benefits that would impact effective tax rate | $ 36 | $ 42 | $ 42 |
Unrecognized tax benefits, income tax penalties and interest accrued | 3 | 1 | 1 |
Unrecognized tax benefits, income tax penalties and interest expense | 2 | $ 1 | $ 1 |
Significant change in unrecognized tax benefits is reasonably possible, amount of unrecorded benefit | $ 45 |
Share-based Compensation Plan_2
Share-based Compensation Plans (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Millions | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Number of shares available for grant (in shares) | 39,800 | ||
Restricted Stock Units (RSUs) | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Shares outstanding (in shares) | 5,100 | ||
Number of units | |||
Outstanding non-vested at December 31 (in shares) | 5,100 | ||
Performance Share Units (PSUs) | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Shares outstanding (in shares) | 600 | ||
Number of units | |||
Outstanding non-vested at December 31 (in shares) | 600 | ||
Restricted Stock Units (RSUs) and Performance Share Units (PSUs) | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Shares outstanding (in shares) | 5,088 | 4,568 | |
Share-based payment arrangement, expense | $ 100 | $ 140 | $ 80 |
Number of units | |||
Outstanding non-vested at January 1 (in shares) | 4,568 | ||
Granted (in shares) | 3,130 | ||
Vested (in shares) | (2,136) | ||
Forfeited (in shares) | (474) | ||
Outstanding non-vested at December 31 (in shares) | 5,088 | 4,568 | |
Weighted-average grant date fair value per share | |||
Outstanding non-vested at January 1 (in dollars per share) | $ 36.27 | ||
Granted (in dollars per share) | 45.50 | ||
Vested (in dollars per share) | 37.66 | ||
Forfeited (in dollars per share) | 42.03 | ||
Outstanding non-vested at December 31 (in dollars per share) | $ 40.83 | $ 36.27 |
Share-based Compensation Plan_3
Share-based Compensation Plans (Narrative) (Details) - USD ($) shares in Thousands, $ in Millions | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Number of shares available for grant (in shares) | 39,800 | ||
Restricted Stock Units (RSUs) | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Shares outstanding (in shares) | 5,100 | ||
Performance Share Units (PSUs) | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Shares outstanding (in shares) | 600 | ||
Restricted Stock Units (RSUs) and Performance Share Units (PSUs) | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Shares outstanding (in shares) | 5,088 | 4,568 | |
Share-based payment arrangement, expense | $ 100 | $ 140 | $ 80 |
Fair Value (Fair Value Measurem
Fair Value (Fair Value Measurements - Recurring Basis) (Details) - USD ($) $ in Millions | Dec. 31, 2022 | Dec. 31, 2021 | |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Equity securities | $ 681 | $ 1,102 | |
Pledged assets, mortgage finance receivables | [1] | $ 29,541 | 33,587 |
Derivative Asset, Statement of Financial Position [Extensible Enumeration] | Finance receivables and loans, net | ||
Derivative contracts in a receivable position | $ 23 | 7 | |
Derivative contracts in a payable position | $ 62 | ||
Investment in any one industry did not exceed percentage | 15% | 8% | |
Carrying amount, equity investments without a readily determinable fair value | $ 123 | $ 260 | |
Fair value, measurements, recurring | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Pledged assets, mortgage finance receivables | 29,541 | 33,587 | |
Derivative contracts in a receivable position | 23 | 7 | |
Total assets | 30,223 | 34,783 | |
Derivative contracts in a payable position | 42 | 62 | |
Total liabilities | 42 | 62 | |
Fair value, measurements, recurring | Interest rate contracts | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Derivative contracts in a payable position | 2 | ||
Fair value, measurements, recurring | Foreign currency contracts | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Derivative contracts in a payable position | 2 | 3 | |
Fair value, measurements, recurring | Credit contracts | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Derivative contracts in a payable position | 39 | 56 | |
Fair value, measurements, recurring | Equity contracts | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Derivative contracts in a payable position | 1 | 1 | |
Fair value, measurements, recurring | Equity securities | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Equity securities | 643 | 1,102 | |
Carrying amount, equity investments without a readily determinable fair value | 38 | ||
Fair value, measurements, recurring | U.S. Treasury and federal agencies | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Pledged assets, mortgage finance receivables | 2,016 | 2,155 | |
Fair value, measurements, recurring | U.S. States and political subdivisions | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Pledged assets, mortgage finance receivables | 760 | 864 | |
Fair value, measurements, recurring | Foreign government | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Pledged assets, mortgage finance receivables | 146 | 157 | |
Fair value, measurements, recurring | Agency mortgage-backed security | Residential Mortgage | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Pledged assets, mortgage finance receivables | 16,633 | 19,039 | |
Fair value, measurements, recurring | Agency mortgage-backed security | Commercial Loan | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Pledged assets, mortgage finance receivables | 3,535 | 4,526 | |
Fair value, measurements, recurring | Mortgage-backed residential | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Pledged assets, mortgage finance receivables | 4,299 | 4,425 | |
Fair value, measurements, recurring | Asset-backed | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Pledged assets, mortgage finance receivables | 433 | 534 | |
Fair value, measurements, recurring | Corporate debt | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Pledged assets, mortgage finance receivables | 1,719 | 1,887 | |
Fair value, measurements, recurring | Mortgage loans held-for-sale | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Mortgage loans held-for-sale, fair value | 13 | 80 | |
Fair value, measurements, recurring | Consumer other | Consumer | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Finance receivables and loans, net | 3 | 7 | |
Fair value, measurements, recurring | Interest rate contracts | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Derivative contracts in a receivable position | 22 | 6 | |
Fair value, measurements, recurring | Equity contracts | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Derivative contracts in a receivable position | 1 | 1 | |
Fair value, measurements, recurring | Fair value, inputs, level 1 | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Pledged assets, mortgage finance receivables | 2,055 | 2,174 | |
Derivative contracts in a receivable position | 1 | 1 | |
Total assets | 2,698 | 3,268 | |
Derivative contracts in a payable position | 1 | 1 | |
Total liabilities | 1 | 1 | |
Fair value, measurements, recurring | Fair value, inputs, level 1 | Interest rate contracts | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Derivative contracts in a payable position | 0 | ||
Fair value, measurements, recurring | Fair value, inputs, level 1 | Foreign currency contracts | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Derivative contracts in a payable position | 0 | 0 | |
Fair value, measurements, recurring | Fair value, inputs, level 1 | Credit contracts | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Derivative contracts in a payable position | 0 | 0 | |
Fair value, measurements, recurring | Fair value, inputs, level 1 | Equity contracts | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Derivative contracts in a payable position | 1 | 1 | |
Fair value, measurements, recurring | Fair value, inputs, level 1 | Equity securities | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Equity securities | 642 | 1,093 | |
Fair value, measurements, recurring | Fair value, inputs, level 1 | U.S. Treasury and federal agencies | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Pledged assets, mortgage finance receivables | 2,016 | 2,155 | |
Fair value, measurements, recurring | Fair value, inputs, level 1 | U.S. States and political subdivisions | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Pledged assets, mortgage finance receivables | 0 | 0 | |
Fair value, measurements, recurring | Fair value, inputs, level 1 | Foreign government | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Pledged assets, mortgage finance receivables | 39 | 19 | |
Fair value, measurements, recurring | Fair value, inputs, level 1 | Agency mortgage-backed security | Residential Mortgage | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Pledged assets, mortgage finance receivables | 0 | 0 | |
Fair value, measurements, recurring | Fair value, inputs, level 1 | Agency mortgage-backed security | Commercial Loan | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Pledged assets, mortgage finance receivables | 0 | 0 | |
Fair value, measurements, recurring | Fair value, inputs, level 1 | Mortgage-backed residential | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Pledged assets, mortgage finance receivables | 0 | 0 | |
Fair value, measurements, recurring | Fair value, inputs, level 1 | Asset-backed | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Pledged assets, mortgage finance receivables | 0 | 0 | |
Fair value, measurements, recurring | Fair value, inputs, level 1 | Corporate debt | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Pledged assets, mortgage finance receivables | 0 | 0 | |
Fair value, measurements, recurring | Fair value, inputs, level 1 | Mortgage loans held-for-sale | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Mortgage loans held-for-sale, fair value | 0 | 0 | |
Fair value, measurements, recurring | Fair value, inputs, level 1 | Consumer other | Consumer | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Finance receivables and loans, net | 0 | 0 | |
Fair value, measurements, recurring | Fair value, inputs, level 1 | Interest rate contracts | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Derivative contracts in a receivable position | 0 | 0 | |
Fair value, measurements, recurring | Fair value, inputs, level 1 | Equity contracts | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Derivative contracts in a receivable position | 1 | 1 | |
Fair value, measurements, recurring | Fair value, inputs, level 2 | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Pledged assets, mortgage finance receivables | 27,482 | 31,404 | |
Derivative contracts in a receivable position | 22 | 1 | |
Total assets | 27,517 | 31,485 | |
Derivative contracts in a payable position | 2 | 3 | |
Total liabilities | 2 | 3 | |
Fair value, measurements, recurring | Fair value, inputs, level 2 | Interest rate contracts | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Derivative contracts in a payable position | 0 | ||
Fair value, measurements, recurring | Fair value, inputs, level 2 | Foreign currency contracts | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Derivative contracts in a payable position | 2 | 3 | |
Fair value, measurements, recurring | Fair value, inputs, level 2 | Credit contracts | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Derivative contracts in a payable position | 0 | 0 | |
Fair value, measurements, recurring | Fair value, inputs, level 2 | Equity contracts | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Derivative contracts in a payable position | 0 | 0 | |
Fair value, measurements, recurring | Fair value, inputs, level 2 | Equity securities | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Equity securities | 0 | 0 | |
Fair value, measurements, recurring | Fair value, inputs, level 2 | U.S. Treasury and federal agencies | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Pledged assets, mortgage finance receivables | 0 | 0 | |
Fair value, measurements, recurring | Fair value, inputs, level 2 | U.S. States and political subdivisions | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Pledged assets, mortgage finance receivables | 756 | 855 | |
Fair value, measurements, recurring | Fair value, inputs, level 2 | Foreign government | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Pledged assets, mortgage finance receivables | 107 | 138 | |
Fair value, measurements, recurring | Fair value, inputs, level 2 | Agency mortgage-backed security | Residential Mortgage | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Pledged assets, mortgage finance receivables | 16,633 | 19,039 | |
Fair value, measurements, recurring | Fair value, inputs, level 2 | Agency mortgage-backed security | Commercial Loan | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Pledged assets, mortgage finance receivables | 3,535 | 4,526 | |
Fair value, measurements, recurring | Fair value, inputs, level 2 | Mortgage-backed residential | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Pledged assets, mortgage finance receivables | 4,299 | 4,425 | |
Fair value, measurements, recurring | Fair value, inputs, level 2 | Asset-backed | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Pledged assets, mortgage finance receivables | 433 | 534 | |
Fair value, measurements, recurring | Fair value, inputs, level 2 | Corporate debt | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Pledged assets, mortgage finance receivables | 1,719 | 1,887 | |
Fair value, measurements, recurring | Fair value, inputs, level 2 | Mortgage loans held-for-sale | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Mortgage loans held-for-sale, fair value | 13 | 80 | |
Fair value, measurements, recurring | Fair value, inputs, level 2 | Consumer other | Consumer | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Finance receivables and loans, net | 0 | 0 | |
Fair value, measurements, recurring | Fair value, inputs, level 2 | Interest rate contracts | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Derivative contracts in a receivable position | 22 | 1 | |
Fair value, measurements, recurring | Fair value, inputs, level 2 | Equity contracts | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Derivative contracts in a receivable position | 0 | 0 | |
Fair value, measurements, recurring | Fair value, inputs, level 3 | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Pledged assets, mortgage finance receivables | 4 | 9 | |
Derivative contracts in a receivable position | 0 | 5 | |
Total assets | 8 | 30 | |
Derivative contracts in a payable position | 39 | 58 | |
Total liabilities | 39 | 58 | |
Fair value, measurements, recurring | Fair value, inputs, level 3 | Interest rate contracts | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Derivative contracts in a payable position | 2 | ||
Fair value, measurements, recurring | Fair value, inputs, level 3 | Foreign currency contracts | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Derivative contracts in a payable position | 0 | 0 | |
Fair value, measurements, recurring | Fair value, inputs, level 3 | Credit contracts | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Derivative contracts in a payable position | 39 | 56 | |
Fair value, measurements, recurring | Fair value, inputs, level 3 | Equity contracts | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Derivative contracts in a payable position | 0 | 0 | |
Fair value, measurements, recurring | Fair value, inputs, level 3 | Equity securities | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Equity securities | 1 | 9 | |
Fair value, measurements, recurring | Fair value, inputs, level 3 | U.S. Treasury and federal agencies | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Pledged assets, mortgage finance receivables | 0 | 0 | |
Fair value, measurements, recurring | Fair value, inputs, level 3 | U.S. States and political subdivisions | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Pledged assets, mortgage finance receivables | 4 | 9 | |
Fair value, measurements, recurring | Fair value, inputs, level 3 | Foreign government | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Pledged assets, mortgage finance receivables | 0 | 0 | |
Fair value, measurements, recurring | Fair value, inputs, level 3 | Agency mortgage-backed security | Residential Mortgage | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Pledged assets, mortgage finance receivables | 0 | 0 | |
Fair value, measurements, recurring | Fair value, inputs, level 3 | Agency mortgage-backed security | Commercial Loan | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Pledged assets, mortgage finance receivables | 0 | 0 | |
Fair value, measurements, recurring | Fair value, inputs, level 3 | Mortgage-backed residential | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Pledged assets, mortgage finance receivables | 0 | 0 | |
Fair value, measurements, recurring | Fair value, inputs, level 3 | Asset-backed | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Pledged assets, mortgage finance receivables | 0 | 0 | |
Fair value, measurements, recurring | Fair value, inputs, level 3 | Corporate debt | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Pledged assets, mortgage finance receivables | 0 | 0 | |
Fair value, measurements, recurring | Fair value, inputs, level 3 | Mortgage loans held-for-sale | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Mortgage loans held-for-sale, fair value | 0 | 0 | |
Fair value, measurements, recurring | Fair value, inputs, level 3 | Consumer other | Consumer | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Finance receivables and loans, net | 3 | 7 | |
Fair value, measurements, recurring | Fair value, inputs, level 3 | Interest rate contracts | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Derivative contracts in a receivable position | 0 | 5 | |
Fair value, measurements, recurring | Fair value, inputs, level 3 | Equity contracts | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Derivative contracts in a receivable position | $ 0 | $ 0 | |
[1]Refer to Note 8 for discussion of investment securities pledged as collateral. |
Fair Value (Fair Value Measur_2
Fair Value (Fair Value Measurements - Reconciliation of Level 3 Assets And Liabilities) (Details) - Fair value, measurements, recurring - USD ($) $ in Millions | 12 Months Ended | |
Dec. 31, 2022 | Dec. 31, 2021 | |
Derivative liabilities, net of derivative assets | ||
Net realized/unrealized gains (losses) | ||
Transfers into Level 3 | $ 0 | $ 0 |
Transfers out of Level 3 | (10) | (2) |
Net unrealized gains still held at December 31, | ||
Included in OCI | 0 | 0 |
Liabilities | ||
Fair value at beginning of the period | 53 | 12 |
Net realized/unrealized (gains) losses | ||
Included in earnings | (5) | 35 |
Included in OCI | 0 | 0 |
Purchases | 0 | 0 |
Sales | 0 | 0 |
Issuances | 0 | 5 |
Settlements | (19) | (1) |
Transfers into Level 3 | 0 | 0 |
Transfers out of Level 3 | 10 | 2 |
Fair value at ending of the period | 39 | 53 |
Net unrealized (gains) losses still held at December 31, | ||
Included in earnings | (11) | 26 |
Included in OCI | 0 | 0 |
Equity securities | ||
Assets | ||
Fair value at beginning of the period | 9 | 7 |
Net realized/unrealized gains (losses) | ||
Included in earnings | 1 | 4 |
Included in OCI | 0 | 0 |
Purchases | 0 | 0 |
Sales | (9) | (3) |
Issuances | 0 | 0 |
Settlements | 0 | 0 |
Transfers into Level 3 | 0 | 1 |
Transfers out of Level 3 | 0 | 0 |
Fair value at ending of the period | 1 | 9 |
Net unrealized gains still held at December 31, | ||
Included in earnings | 0 | 4 |
Included in OCI | 0 | 0 |
Net realized/unrealized (gains) losses | ||
Transfers into Level 3 | 0 | 1 |
Transfers out of Level 3 | 0 | 0 |
Net unrealized (gains) losses still held at December 31, | ||
Included in OCI | 0 | 0 |
Available-for-sale securities | ||
Assets | ||
Fair value at beginning of the period | 9 | 7 |
Net realized/unrealized gains (losses) | ||
Included in earnings | 0 | 0 |
Included in OCI | 0 | 0 |
Purchases | 6 | 2 |
Sales | 0 | 0 |
Issuances | 0 | 0 |
Settlements | (11) | 0 |
Transfers into Level 3 | 0 | 0 |
Transfers out of Level 3 | 0 | 0 |
Fair value at ending of the period | 4 | 9 |
Net unrealized gains still held at December 31, | ||
Included in earnings | 0 | 0 |
Included in OCI | 0 | 0 |
Net realized/unrealized (gains) losses | ||
Transfers into Level 3 | 0 | 0 |
Transfers out of Level 3 | 0 | 0 |
Net unrealized (gains) losses still held at December 31, | ||
Included in OCI | 0 | 0 |
Mortgage loans held-for-sale | ||
Assets | ||
Fair value at beginning of the period | 0 | 91 |
Net realized/unrealized gains (losses) | ||
Included in earnings | 0 | 64 |
Included in OCI | 0 | 0 |
Purchases | 0 | 2,640 |
Sales | 0 | (2,693) |
Issuances | 0 | 0 |
Settlements | 0 | 0 |
Transfers into Level 3 | 0 | 0 |
Transfers out of Level 3 | 0 | (102) |
Fair value at ending of the period | 0 | 0 |
Net unrealized gains still held at December 31, | ||
Included in earnings | 0 | 0 |
Included in OCI | 0 | 0 |
Net realized/unrealized (gains) losses | ||
Transfers into Level 3 | 0 | 0 |
Transfers out of Level 3 | 0 | 102 |
Net unrealized (gains) losses still held at December 31, | ||
Included in OCI | 0 | 0 |
Finance receivables and loans, net | ||
Net realized/unrealized gains (losses) | ||
Purchases | 12 | 14 |
Finance receivables and loans, net | Consumer Loan | ||
Assets | ||
Fair value at beginning of the period | 7 | 8 |
Net realized/unrealized gains (losses) | ||
Included in earnings | (1) | 2 |
Included in OCI | 0 | 0 |
Sales | 0 | 0 |
Issuances | 0 | 0 |
Settlements | (15) | (17) |
Transfers into Level 3 | 0 | 0 |
Transfers out of Level 3 | 0 | 0 |
Fair value at ending of the period | 3 | 7 |
Net unrealized gains still held at December 31, | ||
Included in earnings | 0 | 0 |
Included in OCI | 0 | 0 |
Net realized/unrealized (gains) losses | ||
Transfers into Level 3 | 0 | 0 |
Transfers out of Level 3 | 0 | 0 |
Net unrealized (gains) losses still held at December 31, | ||
Included in OCI | $ 0 | $ 0 |
Fair Value (Fair Value Measur_3
Fair Value (Fair Value Measurements - Nonrecurring Basis) (Details) - USD ($) $ in Millions | Dec. 31, 2022 | Dec. 31, 2021 |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Loans held-for-sale, net | $ 654 | $ 549 |
Finance receivables and loans, net | 132,037 | 119,001 |
Assets | Fair Value, measurements, nonrecurring | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total assets | 700 | 595 |
Lower-of-cost-or-fair-value reserve, valuation reserve, or cumulative adjustments | (86) | (70) |
Loans held-for-sale, net | Fair Value, measurements, nonrecurring | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Loans held-for-sale, net | 641 | 468 |
Lower-of-cost-or-fair-value reserve, valuation reserve, or cumulative adjustments | 0 | 0 |
Nonmarketable equity investments | Fair Value, measurements, nonrecurring | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Other assets | 12 | 7 |
Lower-of-cost-or-fair-value reserve, valuation reserve, or cumulative adjustments | 3 | (5) |
Repossessed and foreclosed assets | Fair Value, measurements, nonrecurring | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Other assets | 5 | 4 |
Lower-of-cost-or-fair-value reserve, valuation reserve, or cumulative adjustments | 0 | 0 |
Fair value, inputs, level 1 | Assets | Fair Value, measurements, nonrecurring | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total assets | 0 | 0 |
Fair value, inputs, level 1 | Loans held-for-sale, net | Fair Value, measurements, nonrecurring | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Loans held-for-sale, net | 0 | 0 |
Fair value, inputs, level 1 | Nonmarketable equity investments | Fair Value, measurements, nonrecurring | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Other assets | 0 | 0 |
Fair value, inputs, level 1 | Repossessed and foreclosed assets | Fair Value, measurements, nonrecurring | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Other assets | 0 | 0 |
Fair value, inputs, level 2 | Assets | Fair Value, measurements, nonrecurring | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total assets | 0 | 0 |
Fair value, inputs, level 2 | Loans held-for-sale, net | Fair Value, measurements, nonrecurring | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Loans held-for-sale, net | 0 | 0 |
Fair value, inputs, level 2 | Nonmarketable equity investments | Fair Value, measurements, nonrecurring | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Other assets | 0 | 0 |
Fair value, inputs, level 2 | Repossessed and foreclosed assets | Fair Value, measurements, nonrecurring | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Other assets | 0 | 0 |
Fair value, inputs, level 3 | Assets | Fair Value, measurements, nonrecurring | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total assets | 700 | 595 |
Fair value, inputs, level 3 | Loans held-for-sale, net | Fair Value, measurements, nonrecurring | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Loans held-for-sale, net | 641 | 468 |
Fair value, inputs, level 3 | Nonmarketable equity investments | Fair Value, measurements, nonrecurring | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Other assets | 12 | 7 |
Fair value, inputs, level 3 | Repossessed and foreclosed assets | Fair Value, measurements, nonrecurring | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Other assets | 5 | 4 |
Commercial | Fair Value, measurements, nonrecurring | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Finance receivables and loans, net | 42 | 116 |
Lower-of-cost-or-fair-value reserve, valuation reserve, or cumulative adjustments | (89) | (65) |
Commercial | Fair value, inputs, level 1 | Fair Value, measurements, nonrecurring | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Finance receivables and loans, net | 0 | 0 |
Commercial | Fair value, inputs, level 2 | Fair Value, measurements, nonrecurring | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Finance receivables and loans, net | 0 | 0 |
Commercial | Fair value, inputs, level 3 | Fair Value, measurements, nonrecurring | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Finance receivables and loans, net | 42 | 116 |
Automotive | Commercial | Fair Value, measurements, nonrecurring | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Finance receivables and loans, net | 3 | 4 |
Lower-of-cost-or-fair-value reserve, valuation reserve, or cumulative adjustments | 0 | 0 |
Automotive | Commercial | Fair value, inputs, level 1 | Fair Value, measurements, nonrecurring | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Finance receivables and loans, net | 0 | 0 |
Automotive | Commercial | Fair value, inputs, level 2 | Fair Value, measurements, nonrecurring | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Finance receivables and loans, net | 0 | 0 |
Automotive | Commercial | Fair value, inputs, level 3 | Fair Value, measurements, nonrecurring | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Finance receivables and loans, net | 3 | 4 |
Other | Commercial | Fair Value, measurements, nonrecurring | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Finance receivables and loans, net | 39 | 112 |
Lower-of-cost-or-fair-value reserve, valuation reserve, or cumulative adjustments | (89) | (65) |
Other | Commercial | Fair value, inputs, level 1 | Fair Value, measurements, nonrecurring | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Finance receivables and loans, net | 0 | 0 |
Other | Commercial | Fair value, inputs, level 2 | Fair Value, measurements, nonrecurring | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Finance receivables and loans, net | 0 | 0 |
Other | Commercial | Fair value, inputs, level 3 | Fair Value, measurements, nonrecurring | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Finance receivables and loans, net | $ 39 | $ 112 |
Fair Value (Fair Value, by Bala
Fair Value (Fair Value, by Balance Sheet Grouping) (Details) - USD ($) $ in Millions | Dec. 31, 2022 | Dec. 31, 2021 |
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Held-to-maturity securities | $ 1,062 | $ 1,170 |
Loans held-for-sale, net | 654 | 549 |
Finance receivables and loans, net | 132,037 | 119,001 |
Deposit liabilities | 152,297 | 141,558 |
Short-term borrowings | 2,399 | 0 |
Long-term debt | 17,762 | 17,029 |
Carrying value | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Held-to-maturity securities | 1,062 | 1,170 |
Loans held-for-sale, net | 641 | 469 |
Finance receivables and loans, net | 132,034 | 118,994 |
FHLB/FRB stock | 719 | 738 |
Deposit liabilities | 42,336 | 40,953 |
Short-term borrowings | 2,399 | |
Long-term debt | 17,762 | 17,029 |
Estimated fair value | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Held-to-maturity securities | 884 | 1,204 |
Loans held-for-sale, net | 641 | 469 |
Finance receivables and loans, net | 133,856 | 126,044 |
FHLB/FRB stock | 719 | 738 |
Deposit liabilities | 41,909 | 41,164 |
Short-term borrowings | 2,417 | |
Long-term debt | 18,252 | 19,529 |
Estimated fair value | Fair value, inputs, level 1 | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Held-to-maturity securities | 0 | 0 |
Loans held-for-sale, net | 0 | 0 |
Finance receivables and loans, net | 0 | 0 |
FHLB/FRB stock | 0 | 0 |
Deposit liabilities | 0 | 0 |
Short-term borrowings | 0 | |
Long-term debt | 0 | 0 |
Estimated fair value | Fair value, inputs, level 2 | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Held-to-maturity securities | 884 | 1,204 |
Loans held-for-sale, net | 0 | 0 |
Finance receivables and loans, net | 0 | 0 |
FHLB/FRB stock | 719 | 738 |
Deposit liabilities | 0 | 0 |
Short-term borrowings | 0 | |
Long-term debt | 12,989 | 12,637 |
Estimated fair value | Fair value, inputs, level 3 | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Held-to-maturity securities | 0 | 0 |
Loans held-for-sale, net | 641 | 469 |
Finance receivables and loans, net | 133,856 | 126,044 |
FHLB/FRB stock | 0 | 0 |
Deposit liabilities | 41,909 | 41,164 |
Short-term borrowings | 2,417 | |
Long-term debt | $ 5,263 | $ 6,892 |
Offsetting Assets and Liabili_3
Offsetting Assets and Liabilities (Details) - USD ($) $ in Millions | Dec. 31, 2022 | Dec. 31, 2021 |
Offsetting Assets [Line Items] | ||
Gross amounts offset on the Consolidated Balance Sheet | $ 0 | $ 0 |
Financial instruments | (1) | (1) |
Gross amounts not offset on the Consolidated Balance Sheet | (22) | 0 |
Total assets, gross amounts of recognized assets/liabilities | 23 | 7 |
Total assets, net amount | 23 | 7 |
Total assets | 0 | 6 |
Gross amounts offset on the Consolidated Balance Sheet | 0 | |
Derivative liabilities, gross amounts not offset on the condensed consolidated balance sheet, financial instruments | (1) | |
Derivative liabilities in net liability positions | (2) | |
Derivative liabilities with no offsetting arrangements | 39 | 58 |
Securities sold under agreements to repurchase | 499 | |
Derivative liabilities - gross amounts offset on the consolidated balance sheet | 0 | |
Securities sold under agreements to repurchase | 499 | |
Security sold under agreement to repurchase, gross amounts not offset on the condensed consolidated balance sheet, financial instruments | 0 | |
Security sold under agreement to repurchase, subject to master netting arrangement, collateral, right to reclaim cash not offset | (499) | |
Securities sold under agreements to repurchase, offset against collateral, net of not subject to master netting arrangement, policy election | 0 | |
Gross amounts of recognized assets/liabilities | 541 | |
Gross amounts offset on the Consolidated Balance Sheet | 0 | |
Fair value of derivative contracts in payable position | 541 | |
Financial instruments | 1 | |
Securities sold under agreements to repurchase, securities loaned, collateral, right to reclaim cash | 500 | |
Security sold under agreement to repurchase, and security loaned, including not subject to master netting arrangement, after offset and deduction | 40 | |
Derivative assets with no offsetting arrangements | 6 | |
Total liabilities, gross amounts of recognized assets/liabilities | $ 42 | 62 |
Total liabilities, net amount | 62 | |
Total liabilities | 59 | |
Derivative Liability, Statement of Financial Position [Extensible Enumeration] | Accrued expenses and other liabilities | |
Derivative Assets Net Asset Position | ||
Offsetting Assets [Line Items] | ||
Derivative assets in net asset positions | $ 23 | 1 |
Gross amounts offset on the Consolidated Balance Sheet | 0 | 0 |
Net amounts of assets/liabilities presented on the Consolidated Balance Sheet | 23 | 1 |
Financial instruments | (1) | (1) |
Gross amounts not offset on the Consolidated Balance Sheet | (22) | 0 |
Net amount | 0 | 0 |
Derivative Liabilities Net Liability Position | ||
Offsetting Assets [Line Items] | ||
Derivative liabilities, gross amounts of recognized assets/liabilities | 2 | 3 |
Gross amounts offset on the Consolidated Balance Sheet | 0 | 0 |
Net amounts of assets/liabilities presented on the Consolidated Balance Sheet | 2 | 3 |
Derivative liabilities, gross amounts not offset on the condensed consolidated balance sheet, financial instruments | 0 | 0 |
Derivative liabilities in net liability positions | (1) | (2) |
Net amount | 1 | 1 |
Derivative Liabilities Net Asset Position | ||
Offsetting Assets [Line Items] | ||
Derivative liabilities, gross amounts of recognized assets/liabilities | 1 | 1 |
Gross amounts offset on the Consolidated Balance Sheet | 0 | 0 |
Net amounts of assets/liabilities presented on the Consolidated Balance Sheet | 1 | 1 |
Derivative liabilities, gross amounts not offset on the condensed consolidated balance sheet, financial instruments | (1) | (1) |
Derivative liabilities in net liability positions | 0 | 0 |
Net amount | $ 0 | $ 0 |
Segment Information (Details)
Segment Information (Details) $ in Millions | 12 Months Ended | ||
Dec. 31, 2022 USD ($) segment | Dec. 31, 2021 USD ($) | Dec. 31, 2020 USD ($) | |
Segment Reporting Information [Line Items] | |||
Number of operating segments | segment | 4 | ||
Net financing revenue and other interest income (loss) | $ 6,850 | $ 6,167 | $ 4,703 |
Other revenue | 1,578 | 2,039 | 1,983 |
Total net revenue | 8,428 | 8,206 | 6,686 |
Provision for credit losses | 1,399 | 241 | 1,439 |
Total noninterest expense | 4,687 | 4,110 | 3,833 |
Income from continuing operations before income tax expense | 2,342 | 3,855 | 1,414 |
Total assets | 191,826 | 182,114 | 182,165 |
Net financing revenue and other interest income after the provision for credit losses | 5,500 | 5,900 | 3,300 |
Automotive Finance operations | |||
Segment Reporting Information [Line Items] | |||
Other revenue | 306 | 251 | 204 |
Insurance operations | |||
Segment Reporting Information [Line Items] | |||
Other revenue | 1,023 | 1,345 | 1,334 |
Mortgage Finance operations | |||
Segment Reporting Information [Line Items] | |||
Other revenue | 27 | 94 | 102 |
Corporate Finance operations | |||
Segment Reporting Information [Line Items] | |||
Other revenue | 122 | 128 | 45 |
Operating Segments | Automotive Finance operations | |||
Segment Reporting Information [Line Items] | |||
Net financing revenue and other interest income (loss) | 5,224 | 5,209 | 4,284 |
Other revenue | 306 | 251 | 204 |
Total net revenue | 5,530 | 5,460 | 4,488 |
Provision for credit losses | 1,036 | 53 | 1,236 |
Total noninterest expense | 2,244 | 2,023 | 1,967 |
Income from continuing operations before income tax expense | 2,250 | 3,384 | 1,285 |
Total assets | 111,463 | 103,653 | 104,794 |
Operating Segments | Insurance operations | |||
Segment Reporting Information [Line Items] | |||
Net financing revenue and other interest income (loss) | 89 | 59 | 42 |
Other revenue | 1,023 | 1,345 | 1,334 |
Total net revenue | 1,112 | 1,404 | 1,376 |
Provision for credit losses | 0 | 0 | |
Total noninterest expense | 1,150 | 1,061 | 1,092 |
Income from continuing operations before income tax expense | (38) | 343 | 284 |
Total assets | 8,659 | 9,381 | 9,137 |
Operating Segments | Mortgage Finance operations | |||
Segment Reporting Information [Line Items] | |||
Net financing revenue and other interest income (loss) | 221 | 124 | 118 |
Other revenue | 27 | 94 | 102 |
Total net revenue | 248 | 218 | 220 |
Provision for credit losses | 3 | (1) | 7 |
Total noninterest expense | 190 | 187 | 160 |
Income from continuing operations before income tax expense | 55 | 32 | 53 |
Total assets | 19,529 | 17,847 | 14,889 |
Operating Segments | Corporate Finance operations | |||
Segment Reporting Information [Line Items] | |||
Net financing revenue and other interest income (loss) | 334 | 308 | 299 |
Other revenue | 122 | 128 | 45 |
Total net revenue | 456 | 436 | 344 |
Provision for credit losses | 43 | 38 | 149 |
Total noninterest expense | 131 | 116 | 107 |
Income from continuing operations before income tax expense | 282 | 282 | 88 |
Total assets | 10,544 | 7,950 | 6,108 |
Corporate and Other | |||
Segment Reporting Information [Line Items] | |||
Net financing revenue and other interest income (loss) | 982 | 467 | (40) |
Other revenue | 100 | 221 | 298 |
Total net revenue | 1,082 | 688 | 258 |
Provision for credit losses | 317 | 151 | 47 |
Total noninterest expense | 972 | 723 | 507 |
Income from continuing operations before income tax expense | (207) | (186) | (296) |
Total assets | $ 41,631 | $ 43,283 | $ 47,237 |
Parent Company Condensed Fina_3
Parent Company Condensed Financial Information (Narrative) (Details) | Dec. 31, 2022 |
Parent company | |
Entity Listings [Line Items] | |
Threshold for parent company financial information disclosure | 25% |
Parent Company Condensed Fina_4
Parent Company Condensed Financial Information (Condensed Statement of Comprehensive Income) (Details) - USD ($) $ in Millions | 12 Months Ended | |||||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | ||||
Net financing revenue and other interest income (loss) | $ 6,850 | $ 6,167 | $ 4,703 | |||
Total other revenue | 1,578 | 2,039 | 1,983 | |||
Total net revenue | 8,428 | 8,206 | 6,686 | |||
Provision for credit losses | 1,399 | 241 | 1,439 | |||
Total noninterest expense | 4,687 | 4,110 | 3,833 | |||
Income (loss) from continuing operations before income tax benefit and undistributed (loss) income of subsidiaries | 2,342 | 3,855 | 1,414 | |||
Income tax expense from continuing operations | 627 | 790 | 328 | |||
Net income from continuing operations | [1] | 1,715 | 3,065 | 1,086 | ||
Loss from discontinued operations, net of tax | (1) | (5) | [1] | (1) | [1] | |
Net income | 1,714 | 3,060 | 1,085 | |||
Other comprehensive (loss) income, net of tax | (3,901) | (789) | 508 | |||
Comprehensive (loss) income | (2,187) | 2,271 | 1,593 | |||
Parent company | ||||||
Net financing revenue and other interest income (loss) | (1,000) | (1,070) | (1,049) | |||
Dividends from bank subsidiaries | 3,150 | 3,450 | 1,150 | |||
Dividends from nonbank subsidiaries | 1 | 27 | 66 | |||
Total other revenue | 103 | 243 | 367 | |||
Total net revenue | 2,254 | 2,650 | 534 | |||
Provision for credit losses | (32) | (106) | (68) | |||
Total noninterest expense | 665 | 650 | 693 | |||
Income (loss) from continuing operations before income tax benefit and undistributed (loss) income of subsidiaries | 1,621 | 2,106 | (91) | |||
Income tax expense from continuing operations | (253) | (412) | (300) | |||
Net income from continuing operations | 1,874 | 2,518 | 209 | |||
Loss from discontinued operations, net of tax | (1) | (5) | (1) | |||
Equity in undistributed earnings of subsidiaries | (159) | 547 | 877 | |||
Net income | 1,714 | 3,060 | 1,085 | |||
Other comprehensive (loss) income, net of tax | (3,901) | (789) | 508 | |||
Comprehensive (loss) income | $ (2,187) | $ 2,271 | $ 1,593 | |||
[1]Figures in the table may not recalculate exactly due to rounding. Earnings per share is calculated based on unrounded numbers. |
Parent Company Condensed Fina_5
Parent Company Condensed Financial Information (Condensed Balance Sheet) (Details) - USD ($) $ in Millions | Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 |
Cash and cash equivalents | $ 5,571 | $ 5,062 | ||
Equity securities | 681 | 1,102 | ||
Finance receivables and loans, net of unearned income | 135,748 | 122,268 | ||
Allowance for loan losses | (3,711) | (3,267) | $ (3,283) | |
Finance receivables and loans, net | 132,037 | 119,001 | ||
Investment in operating leases, net | 10,444 | 10,862 | ||
Other assets | 9,138 | 8,057 | ||
Total assets | 191,826 | 182,114 | 182,165 | |
Long-term debt | 17,762 | 17,029 | ||
Interest payable | 408 | 210 | ||
Accrued expenses and other liabilities | 2,648 | 2,753 | ||
Total liabilities | 178,967 | 165,064 | ||
Total equity | 12,859 | 17,050 | $ 14,703 | $ 14,416 |
Total liabilities and equity | 191,826 | 182,114 | ||
Parent company | ||||
Cash and cash equivalents | 3,333 | 3,647 | ||
Equity securities | 0 | 6 | ||
Finance receivables and loans, net of unearned income | 560 | 663 | ||
Allowance for loan losses | 23 | 26 | ||
Finance receivables and loans, net | 583 | 689 | ||
Bank subsidiaries | 13,197 | 16,728 | ||
Nonbank subsidiaries | 5,191 | 5,890 | ||
Intercompany receivables from subsidiaries | 223 | 216 | ||
Investment in operating leases, net | 21 | 21 | ||
Other assets | 1,307 | 1,157 | ||
Total assets | 23,855 | 28,354 | ||
Long-term debt | 10,035 | 9,410 | ||
Interest payable | 84 | 87 | ||
Intercompany debt to subsidiaries | 545 | 1,040 | ||
Intercompany payables to subsidiaries | 41 | 98 | ||
Accrued expenses and other liabilities | 291 | 669 | ||
Total liabilities | 10,996 | 11,304 | ||
Total equity | 12,859 | 17,050 | ||
Total liabilities and equity | 23,855 | 28,354 | ||
Deposits by parent at subsidiaries | 3,300 | 3,600 | ||
Guarantor subsidiaries | ||||
Long-term debt | $ 2,000 | $ 2,000 |
Parent Company Condensed Fina_6
Parent Company Condensed Financial Information (Condensed Statement of Cash Flows) (Details) - USD ($) $ in Millions | 12 Months Ended | |||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | ||
Operating activities | ||||
Net Cash Provided by Operating Activities | $ 6,247 | $ 4,042 | $ 3,739 | |
Investing activities | ||||
Proceeds from sales of finance receivables and loans initially held-for-investment | 55 | 376 | 506 | |
Originations and repayments of finance receivables and loans held-for-investment and other, net | (7,927) | 2,896 | 15,353 | |
Purchases of equity securities | (539) | (1,346) | (1,219) | |
Proceeds from sales of equity securities | 846 | 1,508 | 1,087 | |
Disposals of operating lease assets | 3,023 | 3,438 | 2,681 | |
Net change in nonmarketable equity investments | 27 | 56 | 417 | |
Other, net | (531) | (443) | (450) | |
Net cash (used in) provided by investing activities | (17,263) | (11,098) | 8,427 | |
Financing activities | ||||
Net change in short-term borrowings | 2,399 | (2,136) | (3,395) | |
Proceeds from issuance of long-term debt | 7,125 | 2,997 | 3,660 | |
Repayments of long-term debt | (6,464) | (6,068) | (16,107) | |
Repurchases of common stock | (1,650) | (1,994) | (106) | |
Preferred stock issuance | 0 | 2,324 | 0 | |
Trust preferred securities redemption | 0 | (2,710) | 0 | |
Common stock dividends paid | (384) | (324) | (289) | |
Preferred stock dividends paid | (110) | (57) | 0 | |
Net cash provided by (used in) financing activities | 11,575 | (3,848) | 25 | |
Cash, Cash Equivalents, Restricted Cash and Restricted Cash Equivalents [Abstract] | ||||
Net (decrease) increase in cash and cash equivalents and restricted cash | 552 | (10,904) | 12,194 | |
Cash and cash equivalents and restricted cash [Roll Forward] | ||||
Cash and cash equivalents and restricted cash at beginning of year | 5,670 | 16,574 | 4,380 | |
Cash and cash equivalents and restricted cash at December 31, | 6,222 | 5,670 | 16,574 | |
Restricted Cash [Abstract] | ||||
Cash and cash equivalents | 5,571 | 5,062 | ||
Restricted cash | [1] | 651 | 608 | |
Parent company | ||||
Operating activities | ||||
Net Cash Provided by Operating Activities | 1,733 | 3,753 | 848 | |
Investing activities | ||||
Proceeds from sales of finance receivables and loans initially held-for-investment | 64 | 378 | 1,187 | |
Originations and repayments of finance receivables and loans held-for-investment and other, net | (7) | 189 | 601 | |
Net change in loans — intercompany | (65) | (10) | (36) | |
Purchases of equity securities | 0 | (8) | 0 | |
Proceeds from sales of equity securities | 1 | 0 | 0 | |
Disposals of operating lease assets | 0 | 0 | 1 | |
Capital contributions to subsidiaries | 0 | 0 | (8) | |
Returns of contributed capital | 52 | 24 | 23 | |
Net change in nonmarketable equity investments | 8 | 29 | (7) | |
Other, net | (27) | 44 | (15) | |
Net cash (used in) provided by investing activities | 26 | 646 | 1,746 | |
Financing activities | ||||
Net change in short-term borrowings | 0 | (2,136) | (445) | |
Proceeds from issuance of long-term debt | 1,655 | 765 | 2,885 | |
Repayments of long-term debt | (1,088) | (777) | (2,444) | |
Net change in debt — intercompany | (496) | (336) | 169 | |
Repurchases of common stock | (1,650) | (1,994) | (106) | |
Preferred stock issuance | 0 | 2,324 | 0 | |
Trust preferred securities redemption | 0 | (2,710) | 0 | |
Common stock dividends paid | (384) | (324) | (290) | |
Preferred stock dividends paid | (110) | (57) | 0 | |
Net cash provided by (used in) financing activities | (2,073) | (5,245) | (231) | |
Cash, Cash Equivalents, Restricted Cash and Restricted Cash Equivalents [Abstract] | ||||
Net (decrease) increase in cash and cash equivalents and restricted cash | (314) | (846) | 2,363 | |
Cash and cash equivalents and restricted cash [Roll Forward] | ||||
Cash and cash equivalents and restricted cash at beginning of year | 3,680 | 4,526 | 2,163 | |
Cash and cash equivalents and restricted cash at December 31, | 3,366 | 3,680 | $ 4,526 | |
Restricted Cash [Abstract] | ||||
Cash and cash equivalents | 3,333 | 3,647 | ||
Restricted cash | $ 33 | $ 33 | ||
[1]Restricted cash balances relate primarily to our securitization arrangements. Refer to Note 13 for additional details describing the nature of restricted cash balances. |
Guarantees and Commitments (Sch
Guarantees and Commitments (Schedule of Guarantor Obligations) (Details) - USD ($) | Dec. 31, 2022 | Dec. 31, 2021 |
Guarantor Obligations [Line Items] | ||
Standby letters of credit and other guarantees | $ 1,000,000 | $ 3,000,000 |
Cash collateral received for standby letters of credit | 12,000,000 | |
Maximum | ||
Guarantor Obligations [Line Items] | ||
Standby letters of credit and other guarantees | $ 272,000,000 | $ 234,000,000 |
Guarantees and Commitments (Fin
Guarantees and Commitments (Financing Commitments) (Details) - USD ($) $ in Millions | Dec. 31, 2022 | Dec. 31, 2021 |
Guarantees and Product Warranties [Abstract] | ||
Unused revolving credit line commitments and other | $ 9,156 | $ 6,337 |
Commitments to provide capital to investees | 1,112 | 1,069 |
Construction-lending commitments | 178 | 53 |
Home equity lines of credit | 145 | 168 |
Mortgage loan origination commitments | 14 | 708 |
Unconditionally cancelable unfunded commitments | $ 23,600 | $ 26,700 |
Guarantees and Commitments (Con
Guarantees and Commitments (Contractual Commitments) (Details) $ in Millions | Dec. 31, 2022 USD ($) |
Guarantees and Product Warranties [Abstract] | |
2023 | $ 176 |
2024 | 75 |
2025 | 57 |
2026 | 47 |
2027 | 17 |
2028 and thereafter | 8 |
Total future payment obligations | $ 380 |
Subsequent Events (Details)
Subsequent Events (Details) - USD ($) $ / shares in Units, $ in Millions | 12 Months Ended | |||||
Jan. 17, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | Feb. 13, 2023 | ||
Subsequent Event [Line Items] | ||||||
Cash dividends declared per common share (in dollars per share) | [1] | $ 1.20 | $ 0.88 | $ 0.76 | ||
Subsequent event | ||||||
Subsequent Event [Line Items] | ||||||
Cash dividends declared per common share (in dollars per share) | $ 0.30 | |||||
Subsequent event | Unsecured debt | ||||||
Subsequent Event [Line Items] | ||||||
Proceeds from issuance of subordinated long-term debt | $ 500 | |||||
[1]Figures in the table may not recalculate exactly due to rounding. Earnings per share is calculated based on unrounded numbers. |