Cover Page
Cover Page - shares | 9 Months Ended | |
Sep. 30, 2023 | Oct. 27, 2023 | |
Cover [Abstract] | ||
Document Type | 10-Q | |
Document Quarterly Report | true | |
Document Period End Date | Sep. 30, 2023 | |
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 Avenue | |
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 $0.01 per share | |
Trading Symbol | ALLY | |
Security Exchange Name | NYSE | |
Entity Current Reporting Status | Yes | |
Entity Interactive Data Current | Yes | |
Entity Filer Category | Large Accelerated Filer | |
Entity Small Business | false | |
Entity Emerging Growth Company | false | |
Entity Shell Company | false | |
Entity Common Stock, Shares Outstanding | 301,630,395 | |
Entity Central Index Key | 0000040729 | |
Current Fiscal Year End Date | --12-31 | |
Document Fiscal Year Focus | 2023 | |
Document Fiscal Period Focus | Q3 | |
Amendment Flag | false |
Condensed Consolidated Statemen
Condensed Consolidated Statement of Comprehensive Income (unaudited) - USD ($) shares in Thousands, $ in Millions | 3 Months Ended | 9 Months Ended | ||||||
Sep. 30, 2023 | Sep. 30, 2022 | Sep. 30, 2023 | Sep. 30, 2022 | |||||
Financing revenue and other interest income | ||||||||
Interest and fees on finance receivables and loans | $ 2,837 | $ 2,120 | $ 8,133 | $ 5,676 | ||||
Interest on loans held-for-sale | 7 | 10 | 29 | 18 | ||||
Interest and dividends on investment securities and other earning assets | 267 | 218 | 752 | 609 | ||||
Interest on cash and cash equivalents | 99 | 16 | 242 | 23 | ||||
Operating leases | 385 | 397 | 1,179 | 1,196 | ||||
Total financing revenue and other interest income | 3,595 | 2,761 | 10,335 | 7,522 | ||||
Interest expense | ||||||||
Interest on deposits | 1,563 | 567 | 4,198 | 1,041 | ||||
Interest on short-term borrowings | 13 | 43 | 36 | 67 | ||||
Interest on long-term debt | 274 | 194 | 753 | 563 | ||||
Interest on other | 0 | 0 | 2 | 1 | ||||
Total interest expense | 1,850 | 804 | 4,989 | 1,672 | ||||
Net depreciation expense on operating lease assets | 212 | 238 | 638 | 674 | ||||
Net financing revenue and other interest income | 1,533 | 1,719 | 4,708 | 5,176 | ||||
Other revenue | ||||||||
Insurance premiums and service revenue earned | 320 | 289 | 936 | 849 | ||||
Gain on mortgage and automotive loans, net | 4 | 10 | 13 | 28 | ||||
Other (loss) gain on investments, net | (41) | (54) | 59 | (173) | ||||
Other income, net of losses | 152 | 52 | 431 | 347 | ||||
Total other revenue | 435 | 297 | 1,439 | 1,051 | ||||
Total net revenue | 1,968 | 2,016 | 6,147 | 6,227 | ||||
Provision for credit losses | 508 | 438 | 1,381 | 909 | ||||
Noninterest expense | ||||||||
Compensation and benefits expense | 463 | 467 | 1,448 | 1,397 | ||||
Insurance losses and loss adjustment expenses | 107 | 70 | 329 | 217 | ||||
Other operating expenses | 662 | 624 | 1,970 | 1,807 | ||||
Total noninterest expense | 1,232 | 1,161 | 3,747 | 3,421 | ||||
Income (loss) from continuing operations before income tax (benefit) expense | 228 | 417 | 1,019 | 1,897 | ||||
Income tax (benefit) expense from continuing operations | (68) | 117 | 74 | 460 | ||||
Net income from continuing operations | 296 | [1] | 300 | 945 | [1] | 1,437 | [1] | |
Loss from discontinued operations, net of tax | 0 | (1) | (1) | (1) | ||||
Net income | 296 | 299 | 944 | 1,436 | ||||
Other comprehensive loss, net of tax | (902) | (1,331) | (706) | (4,182) | ||||
Comprehensive (loss) income | (606) | (1,032) | 238 | (2,746) | ||||
Net income from continuing operations attributable to common stockholders | [1] | 269 | 273 | 862 | 1,354 | |||
Loss from discontinued operations, net of tax | [1] | 0 | (1) | (1) | (1) | |||
Net income attributable to common stockholders | [1] | $ 269 | $ 272 | $ 861 | $ 1,353 | |||
Basic weighted-average common shares outstanding (in shares) | [1],[2] | 304,134 | 308,220 | 303,497 | 321,884 | |||
Diluted weighted-average common shares outstanding (in shares) | [1],[2] | 305,693 | 310,086 | 304,601 | 323,875 | |||
Basic earnings per common share | ||||||||
Net income from continuing operations (in dollars per share) | [1] | $ 0.88 | $ 0.88 | $ 2.84 | $ 4.20 | |||
Loss from discontinued operations, net of tax (in dollars per share) | [1] | 0 | 0 | (0.01) | 0 | |||
Net income (in dollars per share) | [1] | 0.88 | 0.88 | 2.84 | 4.20 | |||
Diluted earnings per common share | ||||||||
Net income from continuing operations (in dollars per share) | [1] | 0.88 | 0.88 | 2.83 | 4.18 | |||
Loss from discontinued operations, net of tax (in dollars per share) | [1] | 0 | 0 | (0.01) | 0 | |||
Net income (in dollars per share) | [1] | 0.88 | 0.88 | 2.83 | 4.18 | |||
Cash dividends declared per common share (in dollars per share) | [1] | $ 0.30 | $ 0.30 | $ 0.90 | $ 0.90 | |||
[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. |
Condensed Consolidated Balance
Condensed Consolidated Balance Sheet (unaudited) - USD ($) $ in Millions | Sep. 30, 2023 | Dec. 31, 2022 |
Cash and cash equivalents | ||
Noninterest-bearing | $ 603 | $ 542 |
Interest-bearing | 7,912 | 5,029 |
Total cash and cash equivalents | 8,515 | 5,571 |
Equity securities | 725 | 681 |
Available-for-sale securities (amortized cost of $33,265 and $34,863) | 26,794 | 29,541 |
Held-to-maturity securities (fair value of $779 and $884) | 1,013 | 1,062 |
Loans held-for-sale, net | 289 | 654 |
Finance receivables and loans, net | ||
Finance receivables and loans, net of unearned income | 140,260 | 135,748 |
Allowance for loan losses | (3,837) | (3,711) |
Total finance receivables and loans, net | 136,423 | 132,037 |
Investment in operating leases, net | 9,569 | 10,444 |
Premiums receivable and other insurance assets | 2,775 | 2,698 |
Other assets | 9,601 | 9,138 |
Total assets | 195,704 | 191,826 |
Deposit liabilities | ||
Noninterest-bearing | 188 | 185 |
Interest-bearing | 152,647 | 152,112 |
Total deposit liabilities | 152,835 | 152,297 |
Short-term borrowings | 2,410 | 2,399 |
Long-term debt | 20,096 | 17,762 |
Interest payable | 1,437 | 408 |
Unearned insurance premiums and service revenue | 3,494 | 3,453 |
Accrued expenses and other liabilities | 2,607 | 2,648 |
Total liabilities | 182,879 | 178,967 |
Contingencies (refer to Note 23) | ||
Equity | ||
Common stock and paid-in capital ($0.01 par value, shares authorized 1,100,000,000; issued 510,887,028 and 507,682,838; and outstanding 301,629,751 and 299,324,357) | 21,936 | 21,816 |
Preferred stock | 2,324 | 2,324 |
Retained earnings (accumulated deficit) | 197 | (384) |
Accumulated other comprehensive loss | (4,765) | (4,059) |
Treasury stock, at cost (209,257,277 and 208,358,481 shares) | (6,867) | (6,838) |
Total equity | 12,825 | 12,859 |
Total liabilities and equity | $ 195,704 | $ 191,826 |
Condensed Consolidated Balanc_2
Condensed Consolidated Balance Sheet (unaudited) (Parenthetical) - USD ($) $ in Millions | Sep. 30, 2023 | Dec. 31, 2022 |
Statement of Financial Position [Abstract] | ||
Available-for-sale securities, amortized cost | $ 33,265 | $ 34,863 |
Held-to-maturity securities, fair value | $ 779 | $ 884 |
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) | 510,887,028 | 507,682,838 |
Common stock, shares outstanding (in shares) | 301,629,751 | 299,324,357 |
Treasury stock, common, shares (in shares) | 209,257,277 | 208,358,481 |
Condensed Consolidated Balanc_3
Condensed Consolidated Balance Sheet (unaudited) (VIEs) - USD ($) $ in Millions | Sep. 30, 2023 | Dec. 31, 2022 |
Finance receivables and loans, net | $ 140,260 | $ 135,748 |
Allowance for loan losses | (3,837) | (3,711) |
Total finance receivables and loans, net | 136,423 | 132,037 |
Other assets | 9,601 | 9,138 |
Total assets | 195,704 | 191,826 |
Long-term debt | 20,096 | 17,762 |
Accrued expenses and other liabilities | 2,607 | 2,648 |
Total liabilities | 182,879 | 178,967 |
Consumer | ||
Finance receivables and loans, net | 108,343 | 106,610 |
Consumer | Automotive | ||
Finance receivables and loans, net | 85,370 | 83,286 |
Allowance for loan losses | (3,104) | (3,020) |
On-balance sheet variable interest entities | ||
Allowance for loan losses | (352) | (336) |
Total finance receivables and loans, net | 9,242 | 9,211 |
Other assets | 584 | 645 |
Total assets | 9,826 | 9,856 |
Long-term debt | 3,118 | 2,436 |
Accrued expenses and other liabilities | 7 | 5 |
Total liabilities | 3,125 | 2,441 |
On-balance sheet variable interest entities | Consumer | Automotive | ||
Finance receivables and loans, net | 9,594 | 9,547 |
Total assets | 19,532 | 20,415 |
Total liabilities | $ 3,230 | $ 2,553 |
Condensed Consolidated Statem_2
Condensed Consolidated Statement of Changes in Equity (unaudited) - USD ($) $ in Millions | Total | Preferred stock dividends — Series B | Preferred stock dividends — Series C | Common stock and paid-in capital | Preferred stock | Retained earnings (accumulated deficit) | Retained earnings (accumulated deficit) Preferred stock dividends — Series B | Retained earnings (accumulated deficit) Preferred stock dividends — Series C | Accumulated other comprehensive loss | Treasury stock |
Beginning 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 | 1,436 | 1,436 | ||||||||
Preferred stock dividends | $ (48) | $ (35) | $ (48) | $ (35) | ||||||
Share-based compensation | 110 | 110 | ||||||||
Other comprehensive loss | (4,182) | (4,182) | ||||||||
Common stock repurchases | (1,599) | (1,599) | ||||||||
Common stock dividends | (298) | (298) | ||||||||
Ending balance at Sep. 30, 2022 | 12,434 | 21,781 | 2,324 | (544) | (4,340) | (6,787) | ||||
Beginning balance at Jun. 30, 2022 | 13,984 | 21,762 | 2,324 | (721) | (3,009) | (6,372) | ||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||||||
Net income | 299 | 299 | ||||||||
Preferred stock dividends | (16) | (11) | (16) | (11) | ||||||
Share-based compensation | 19 | 19 | ||||||||
Other comprehensive loss | (1,331) | (1,331) | ||||||||
Common stock repurchases | (415) | (415) | ||||||||
Common stock dividends | (95) | (95) | ||||||||
Ending balance at Sep. 30, 2022 | 12,434 | 21,781 | 2,324 | (544) | (4,340) | (6,787) | ||||
Beginning balance at Dec. 31, 2022 | 12,859 | 21,816 | 2,324 | (384) | (4,059) | (6,838) | ||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||||||
Net income | 944 | 944 | ||||||||
Preferred stock dividends | (48) | (35) | (48) | (35) | ||||||
Share-based compensation | 120 | 120 | ||||||||
Other comprehensive loss | (706) | (706) | ||||||||
Common stock repurchases | (29) | (29) | ||||||||
Common stock dividends | (280) | (280) | ||||||||
Ending balance at Sep. 30, 2023 | 12,825 | 21,936 | 2,324 | 197 | (4,765) | (6,867) | ||||
Beginning balance at Jun. 30, 2023 | 13,532 | 21,915 | 2,324 | 23 | (3,863) | (6,867) | ||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||||||
Net income | 296 | 296 | ||||||||
Preferred stock dividends | $ (16) | $ (11) | $ (16) | $ (11) | ||||||
Share-based compensation | 21 | 21 | ||||||||
Other comprehensive loss | (902) | (902) | ||||||||
Common stock dividends | (95) | (95) | ||||||||
Ending balance at Sep. 30, 2023 | $ 12,825 | $ 21,936 | $ 2,324 | $ 197 | $ (4,765) | $ (6,867) |
Condensed Consolidated Statem_3
Condensed Consolidated Statement of Changes in Equity (unaudited) (Parenthetical) - $ / shares | 3 Months Ended | 9 Months Ended | |||
Sep. 30, 2023 | Sep. 30, 2022 | Sep. 30, 2023 | Sep. 30, 2022 | ||
Statement of Stockholders' Equity [Abstract] | |||||
Cash dividends declared per common share (in dollars per share) | [1] | $ 0.30 | $ 0.30 | $ 0.90 | $ 0.90 |
[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 (unaudited) - USD ($) $ in Millions | 9 Months Ended | ||
Sep. 30, 2023 | Sep. 30, 2022 | ||
Operating activities | |||
Net income | $ 944 | $ 1,436 | |
Reconciliation of net income to net cash provided by operating activities | |||
Depreciation and amortization | 923 | 1,000 | |
Provision for credit losses | 1,381 | 909 | |
Gain on mortgage and automotive loans, net | (13) | (28) | |
Other (gain) loss on investments, net | (59) | 173 | |
Originations and purchases of loans held-for-sale | (1,913) | (3,394) | |
Proceeds from sales and repayments of loans held-for-sale | 2,283 | 3,118 | |
Net change in | |||
Deferred income taxes | (62) | 447 | |
Interest payable | 1,029 | 274 | |
Other assets | 29 | 1,120 | |
Other liabilities | 52 | (88) | |
Other, net | 86 | 107 | |
Net cash provided by operating activities | 4,680 | 5,074 | |
Investing activities | |||
Purchases of equity securities | (257) | (515) | |
Proceeds from sales of equity securities | 295 | 808 | |
Purchases of available-for-sale securities | (388) | (6,346) | |
Proceeds from sales of available-for-sale securities | 337 | 768 | |
Proceeds from repayments of available-for-sale securities | 1,631 | 3,720 | |
Purchases of held-to-maturity securities | 0 | (47) | |
Proceeds from repayments of held-to-maturity securities | 49 | 133 | |
Purchases of finance receivables and loans held-for-investment | (3,201) | (6,360) | |
Proceeds from sales of finance receivables and loans initially held-for-investment | 25 | 12 | |
Originations and repayments of finance receivables and loans held-for-investment and other, net | (2,452) | (5,050) | |
Purchases of operating lease assets | (2,174) | (2,840) | |
Disposals of operating lease assets | 2,384 | 2,449 | |
Net change in nonmarketable equity investments | (45) | (261) | |
Other, net | (419) | (379) | |
Net cash used in investing activities | (4,215) | (13,908) | |
Financing activities | |||
Net change in short-term borrowings | 11 | 7,200 | |
Net increase in deposits | 525 | 4,166 | |
Proceeds from issuance of long-term debt | 4,893 | 4,867 | |
Repayments of long-term debt | (2,609) | (5,314) | |
Purchases of land and buildings in satisfaction of finance lease liabilities | 0 | (44) | |
Repurchases of common stock | (29) | (1,599) | |
Common stock dividends paid | (277) | (298) | |
Preferred stock dividends paid | (83) | (83) | |
Net cash provided by financing activities | 2,431 | 8,895 | |
Effect of exchange-rate changes on cash and cash equivalents and restricted cash | 0 | (9) | |
Net increase in cash and cash equivalents and restricted cash | 2,896 | 52 | |
Cash and cash equivalents and restricted cash at beginning of year | 6,222 | 5,670 | |
Cash and cash equivalents and restricted cash at September 30, | 9,118 | 5,722 | |
Cash paid (received) for | |||
Interest | 3,895 | 1,342 | |
Income taxes | (42) | (427) | |
Noncash items | |||
Loans held-for-sale transferred to finance receivables and loans held-for-investment | 208 | 92 | |
Finance receivables and loans held-for-investment transferred to loans held-for-sale | 11 | 4 | |
Transfer of equity-method investments to equity securities | 0 | 40 | |
Transfer of nonmarketable equity investments to equity securities | 19 | 1 | |
Additional Cash Flow Elements and Supplemental Cash Flow Information [Abstract] | |||
Cash and cash equivalents on the Condensed Consolidated Balance Sheet | 8,515 | 5,004 | |
Restricted cash included in other assets on the Condensed Consolidated Balance Sheet | [1] | 603 | 718 |
Total cash and cash equivalents and restricted cash in the Condensed Consolidated Statement of Cash Flows | $ 9,118 | $ 5,722 | |
[1]Restricted cash balances relate primarily to our securitization arrangements. Refer to Note 10 for additional details describing the nature of restricted cash balances. |
Description of Business, Basis
Description of Business, Basis of Presentation, and Changes in Significant Accounting Policies | 9 Months Ended |
Sep. 30, 2023 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Description of Business, Basis of Presentation, and Changes in Significant Accounting Policies | Description of Business, Basis of Presentation, and Changes in 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. 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 Condensed Consolidated Financial Statements. 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 disclosure of contingent assets and liabilities at the date of the financial statements and that affect income and expenses during the reporting period and 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, valuations of automotive lease assets and residuals, fair value of financial instruments, and the determination of the provision for income taxes. The Condensed Consolidated Financial Statements at September 30, 2023, and for the three months and nine months ended September 30, 2023, and 2022, are unaudited but reflect all adjustments that are, in management’s opinion, necessary for the fair presentation of the results for the interim periods presented. All such adjustments are of a normal recurring nature. These unaudited Condensed Consolidated Financial Statements should be read in conjunction with the audited Consolidated Financial Statements (and the related Notes) included in our Annual Report on Form 10-K for the year ended December 31, 2022, as filed on February 24, 2023, with the SEC. Significant Accounting Policies Finance Receivables and Loans On January 1, 2023, we implemented ASU 2022-02, Financial Instruments—Credit Losses (Topic 326): Troubled Debt Restructurings and Vintage Disclosures . This guidance eliminates the concept of TDRs and adds new disclosure requirements related to loan modifications to borrowers experiencing financial difficulty and gross charge-offs. We implemented the ASU on a prospective basis, which results in certain aspects of our accounting policies changing for the current year. For significant accounting policy information related to the accounting and reporting of TDRs, for which comparative period information is presented, refer to Note 1 to the Consolidated Financial Statements in our 2022 Annual Report on Form 10-K. Modifications of Loans with Borrowers Experiencing Financial Difficulty We may provide a modification to a borrower who is experiencing financial difficulty if we believe they have the ability and are willing to repay their loan. The type of modification granted will vary depending on our credit risk management practices, as well as the borrower’s financial condition and the characteristics of the loan, including the unpaid balance, the underlying collateral, and the number or types of previous modifications granted. Modifications that we make subject to these requirements include payment extensions, principal forgiveness, and/or interest rate concessions. These modifications generally reduce the borrower’s periodic payment amount. The following is a description of each of these types of modifications. • Payment extensions — Payment extensions include both payment deferrals and contractual maturity extensions. Deferral arrangements allow borrowers to delay a scheduled loan payment to a later date. Deferred loan payments do not affect the original contractual terms of the loan and the contractual maturity date of the loan remains unchanged. Deferrals also include certain forbearance agreements. Within the commercial loan portfolio, deferrals primarily reflect a deferral of interest payments. Under a contractual maturity extension agreement, the last payment date is extended to a future date, contractually lengthening the remaining term of the original loan. • Principal forgiveness — Under principal forgiveness, the outstanding principal balance of a loan is reduced by a specified amount. Principal forgiveness may occur voluntarily as part of a negotiated agreement with a borrower, or involuntarily through a bankruptcy proceeding. Under these involuntary instances, the bankruptcy court in a Chapter 11 or 13 proceeding may order us to reduce the outstanding principal balance of the loan to a specified amount. • Interest rate concessions — Interest rate concessions adjust the contractual interest rate of the loan to a rate that is not consistent with a market rate for a customer with similar credit risk. • Combination — Combination includes loans that have undergone multiple of the above loan modification types. This primarily includes rewritten loans where we grant an interest rate concession and a contractual maturity extension. Significant judgment is required to determine if a borrower is experiencing financial difficulty. These considerations vary by portfolio class. In all cases, the cumulative impacts of all modifications made within the 12-month period before the current modification are considered at the time of the most recent modification. For consumer loans of all classes, various qualitative factors are used 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). For commercial loans of all classes, similar qualitative factors are considered when assessing the financial difficulty of the borrower. In addition to the previously noted factors, 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). In our consumer automotive portfolio class 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 may require disclosure 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. We do not disclose modifications that result in only an insignificant payment delay. In order to assess whether a payment delay is insignificant, we consider the amount of the modified 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 cumulatively extend beyond 90 days and are more than 10% of the original contractual term, or where the cumulative payment extension within the 12-month period immediately preceding the current modification is beyond 180 days, we deem the delay in payment to be more than insignificant. The financial impacts of modifications that meet the definition of a modification to borrowers experiencing financial difficulty are reported in the period in which they are identified. Additionally, if such a loan defaults 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 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 status. 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, a loan can be returned to accrual status when 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. Income Taxes In calculating the provision for interim income taxes, in accordance with ASC 740, Income Taxes , we apply an estimated annual effective tax rate to year-to-date ordinary income. At the end of each interim period, we estimate the effective tax rate expected to be applicable for the full fiscal year. This method differs from that described in Note 1 to the Consolidated Financial Statements in our 2022 Annual Report on Form 10-K, which describes our annual significant income tax accounting policy and related methodology. Refer to Note 1 to the Consolidated Financial Statements in our 2022 Annual Report on Form 10-K regarding additional significant accounting policies. Recently Adopted 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 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 added new disclosures that 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. Recently Issued Accounting Standards 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. Accounting for Investments in Tax Credit Structures Using the Proportional Amortization Method (ASU 2023-02) In March 2023, the FASB issued ASU 2023-02, Investments—Equity Method and Joint Ventures (Topic 323): Accounting for Investments in Tax Credit Structures Using the Proportional Amortization Method . The purpose of this guidance is to expand the use of the proportional amortization method to certain tax equity investments made primarily for the purpose of receiving income tax credits and other income tax benefits. In order to qualify for the proportional amortization method, the following five conditions must be met: (1) it is probable that the income tax credits allocable to the tax equity investor will be available, (2) the tax equity investor does not have the ability to exercise significant influence over the operating and financial policies of the underlying project, (3) substantially all of the projected benefits are from income tax credits and other income tax benefits, (4) the tax equity investor’s projected yield is based solely on the cash flows from the income tax credits and other income tax benefits is positive, and (5) the tax equity investor is a limited liability investor in the limited liability entity for both legal and tax purposes, and the tax equity investor’s liability is limited to its capital investment. Selecting the proportional amortization method will be an accounting policy election that must be applied on a tax-credit-program-by-tax-credit-program basis rather than at the entity level or to individual investments. Additionally, in order to apply the proportional amortization method to qualifying investments, an entity must use the flow-through method when accounting for the receipt of the investment tax credits. This guidance also adds disclosure requirements related to tax credit programs where the proportional amortization method has been elected. The amendments are effective on January 1, 2024, with early adoption permitted. The amendments must be applied using either a modified retrospective or retrospective approach with any adjustments from the adoption of the amendments recognized in retained earnings and disclosed upon adoption. Management is still assessing the total impact of electing these amendments for qualifying tax credit programs; however, if we elect to apply these amendments, we do not expect the impact to be material. |
Revenue from Contracts with Cus
Revenue from Contracts with Customers | 9 Months Ended |
Sep. 30, 2023 | |
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 tables present a disaggregated view of our revenue from contracts with customers. For further information regarding our revenue recognition policies and details about the nature of our respective revenue streams, refer to Note 1 and Note 3 to the Consolidated Financial Statements in our 2022 Annual Report on Form 10-K. Three months ended September 30, ($ in millions) Automotive Finance operations Insurance operations Mortgage Finance operations Corporate Finance operations Corporate and Other Consolidated 2023 Revenue from contracts with customers Noninsurance contracts (a) (b) (c) $ — $ 173 $ — $ — $ — $ 173 Remarketing fee income 27 — — — — 27 Brokerage commissions and other revenue — — — — 23 23 Banking fees and interchange income (d) — — — — 10 10 Brokered/agent commissions — 3 — — — 3 Other 5 1 — — — 6 Total revenue from contracts with customers 32 177 — — 33 242 All other revenue 47 116 4 24 2 193 Total other revenue (e) $ 79 $ 293 $ 4 $ 24 $ 35 $ 435 2022 Revenue from contracts with customers Noninsurance contracts (a) (b) (c) $ — $ 164 $ — $ — $ — $ 164 Remarketing fee income 26 — — — — 26 Brokerage commissions and other revenue — — — — 18 18 Banking fees and interchange income (d) — — — — 11 11 Brokered/agent commissions — 3 — — — 3 Other 5 — — — 1 6 Total revenue from contracts with customers 31 167 — — 30 228 All other revenue 43 69 7 54 (104) 69 Total other revenue (e) $ 74 $ 236 $ 7 $ 54 $ (74) $ 297 (a) We had opening balances of $3.0 billion in unearned revenue associated with outstanding contracts at both July 1, 2023, and 2022, and $249 million and $236 million of these balances were recognized as insurance premiums and service revenue earned in our Condensed Consolidated Statement of Comprehensive Income during the three months ended September 30, 2023, and 2022, respectively. (b) At September 30, 2023, we had unearned revenue of $3.0 billion associated with outstanding contracts, and with respect to this balance we expect to recognize revenue of $238 million during the remainder of 2023, $845 million in 2024, $683 million in 2025, $513 million in 2026, and $695 million thereafter. At September 30, 2022, we had unearned revenue of $3.0 billion associated with outstanding contracts. (c) We had deferred insurance assets of $1.8 billion at both July 1, 2023, and September 30, 2023, and recognized $148 million of expense during the three months ended September 30, 2023. We had deferred insurance assets of $1.8 billion at both July 1, 2022, and September 30, 2022, and recognized $143 million of expense during the three months ended September 30, 2022. (d) Interchange income is reported net of customer rewards. Customer rewards expense was $5 million and $4 million for the three months ended September 30, 2023, and 2022, respectively. (e) Represents a component of total net revenue. Refer to Note 22 for further information on our reportable operating segments. Nine months ended September 30, ($ in millions) Automotive Finance operations Insurance operations Mortgage Finance operations Corporate Finance operations Corporate and Other Consolidated 2023 Revenue from contracts with customers Noninsurance contracts (a) (b) $ — $ 513 $ — $ — $ — $ 513 Remarketing fee income 91 — — — — 91 Brokerage commissions and other revenue — — — — 69 69 Banking fees and interchange income (c) — — — — 31 31 Brokered/agent commissions — 10 — — — 10 Other 15 1 — — — 16 Total revenue from contracts with customers 106 524 — — 100 730 All other revenue 133 487 13 81 (5) 709 Total other revenue (d) $ 239 $ 1,011 $ 13 $ 81 $ 95 $ 1,439 2022 Revenue from contracts with customers Noninsurance contracts (a) (b) $ — $ 489 $ — $ — $ — $ 489 Remarketing fee income 82 — — — — 82 Brokerage commissions and other revenue — — — — 42 42 Banking fees and interchange income (c) — — — — 32 32 Brokered/agent commissions — 11 — — — 11 Other 16 — — — 3 19 Total revenue from contracts with customers 98 500 — — 77 675 All other revenue 116 164 25 97 (26) 376 Total other revenue (d) $ 214 $ 664 $ 25 $ 97 $ 51 $ 1,051 (a) We had opening balances of $3.0 billion and $3.1 billion in unearned revenue associated with outstanding contracts at January 1, 2023, and 2022, respectively, and $733 million and $701 million of these balances were recognized as insurance premiums and service revenue earned in our Condensed Consolidated Statement of Comprehensive Income during the nine months ended September 30, 2023, and 2022, respectively. (b) We had deferred insurance assets of $1.8 billion at both January 1, 2023, and September 30, 2023, and recognized $436 million of expense during the nine months ended September 30, 2023. We had deferred insurance assets of $1.9 billion and $1.8 billion at January 1, 2022, and September 30, 2022, respectively, and recognized $420 million of expense during the nine months ended September 30, 2022. (c) Interchange income is reported net of customer rewards. Customer rewards expense was $14 million and $10 million for the nine months ended September 30, 2023, and 2022, respectively. (d) Represents a component of total net revenue. Refer to Note 22 for further information on our reportable operating segments. In addition to the components of other revenue presented above, as part of our Automotive Finance operations, we recognized net remarketing gains of $57 million and $174 million for the three months and nine months ended September 30, 2023, respectively, compared to $39 million and $139 million for the same periods in 2022, on the sale of off-lease vehicles. These gains are included in depreciation expense on operating lease assets in our Condensed Consolidated Statement of Comprehensive Income. |
Other Income, Net of Losses
Other Income, Net of Losses | 9 Months Ended |
Sep. 30, 2023 | |
Other Nonoperating Income (Expense) [Abstract] | |
Other Income, Net of Losses | Other Income, Net of Losses Details of other income, net of losses, were as follows. Three months ended September 30, Nine months ended September 30, ($ in millions) 2023 2022 2023 2022 Late charges and other administrative fees $ 50 $ 42 $ 145 $ 117 Remarketing fees 27 26 91 82 Income from equity-method investments (a) 8 51 5 96 Loss on nonmarketable equity investments, net (a) — (135) (11) (133) Other, net 67 68 201 185 Total other income, net of losses $ 152 $ 52 $ 431 $ 347 (a) Refer to Note 10 for further information on our equity-method investments and nonmarketable equity investments. |
Reserves for Insurance Losses a
Reserves for Insurance Losses and Loss Adjustment Expenses | 9 Months Ended |
Sep. 30, 2023 | |
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 a rollforward of our reserves for insurance losses and loss adjustment expenses. ($ in millions) 2023 2022 Total gross reserves for insurance losses and loss adjustment expenses at January 1, $ 119 $ 122 Less: Reinsurance recoverable 72 81 Net reserves for insurance losses and loss adjustment expenses at January 1, 47 41 Net insurance losses and loss adjustment expenses incurred related to: Current year 326 220 Prior years (a) 3 (3) Total net insurance losses and loss adjustment expenses incurred 329 217 Net insurance losses and loss adjustment expenses paid or payable related to: Current year (270) (183) Prior years (38) (26) Total net insurance losses and loss adjustment expenses paid or payable (308) (209) Net reserves for insurance losses and loss adjustment expenses at September 30, 68 49 Plus: Reinsurance recoverable 77 73 Total gross reserves for insurance losses and loss adjustment expenses at September 30, $ 145 $ 122 (a) There have been no material adverse changes to the reserve for prior years. |
Other Operating Expenses
Other Operating Expenses | 9 Months Ended |
Sep. 30, 2023 | |
Operating Expenses [Abstract] | |
Other Operating Expenses | Other Operating Expenses Details of other operating expenses were as follows. Three months ended September 30, Nine months ended September 30, ($ in millions) 2023 2022 2023 2022 Insurance commissions $ 160 $ 152 $ 475 $ 452 Technology and communications 109 100 328 297 Advertising and marketing 74 89 231 238 Lease and loan administration 57 45 158 150 Property and equipment depreciation 51 42 146 122 Regulatory and licensing fees 45 33 119 81 Professional services 35 42 103 132 Vehicle remarketing and repossession 30 23 85 65 Amortization of intangible assets (a) 6 9 19 25 Other 95 89 306 245 Total other operating expenses $ 662 $ 624 $ 1,970 $ 1,807 (a) Refer to Note 10 for further information on our intangible assets. |
Investment Securities
Investment Securities | 9 Months Ended |
Sep. 30, 2023 | |
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. September 30, 2023 December 31, 2022 Amortized cost Gross unrealized Fair value Amortized cost Gross unrealized Fair value ($ in millions) gains losses gains losses Available-for-sale securities Debt securities U.S. Treasury and federal agencies $ 2,280 $ — $ (289) $ 1,991 $ 2,272 $ — $ (256) $ 2,016 U.S. States and political subdivisions 729 — (117) 612 841 1 (82) 760 Foreign government 175 — (16) 159 158 — (12) 146 Agency mortgage-backed residential (a) 18,434 — (3,798) 14,636 19,668 3 (3,038) 16,633 Mortgage-backed residential 4,858 — (985) 3,873 5,154 — (855) 4,299 Agency mortgage-backed commercial (a) 4,497 — (1,031) 3,466 4,380 — (845) 3,535 Asset-backed 370 — (16) 354 459 — (26) 433 Corporate debt 1,922 — (219) 1,703 1,931 1 (213) 1,719 Total available-for-sale securities (b) (c) (d) (e) (f) $ 33,265 $ — $ (6,471) $ 26,794 $ 34,863 $ 5 $ (5,327) $ 29,541 Held-to-maturity securities Debt securities Agency mortgage-backed residential $ 1,013 $ — $ (234) $ 779 $ 1,062 $ — $ (178) $ 884 Total held-to-maturity securities (f) (g) $ 1,013 $ — $ (234) $ 779 $ 1,062 $ — $ (178) $ 884 (a) Fair value includes a $148 million liability and a $12 million liability for agency mortgage-backed residential securities and an $86 million liability and $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 September 30, 2023, and December 31, 2022, respectively. These basis adjustments would be allocated to the amortized cost of specific securities within the pool if the hedge was dedesignated. Refer to Note 18 for additional information. (b) Certain available-for-sale securities are included in fair value hedging relationships. Refer to Note 18 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 at both September 30, 2023, and December 31, 2022. (d) Available-for-sale securities with a fair value of $4.4 billion and $3.9 billion were pledged as collateral at September 30, 2023, and December 31, 2022, respectively. This primarily included $3.1 billion and $3.0 billion pledged to secure advances from the FHLB at September 30, 2023, and December 31, 2022, respectively. 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 $1.3 billion and $899 million of the underlying available-for-sale securities at September 30, 2023, and December 31, 2022, respectively. (e) Totals do not include accrued interest receivable, which was $86 million and $91 million at September 30, 2023, and December 31, 2022, respectively. Accrued interest receivable is included in other assets (f) There was no allowance for credit losses recorded at both September 30, 2023, or December 31, 2022, 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 $2 million at both September 30, 2023, and December 31, 2022. Accrued interest receivable is included in other assets on our Condensed Consolidated Balance Sheet. The maturity distribution of debt securities outstanding is summarized in the following tables based upon contractual maturities. Call or prepayment options may cause actual maturities to differ from contractual maturities. Total Due in one year or less Due after one year through five years Due after five years through ten years Due after ten years ($ in millions) Amount Yield Amount Yield Amount Yield Amount Yield Amount Yield September 30, 2023 Fair value of available-for-sale securities (a) U.S. Treasury and federal agencies $ 1,991 1.6 % $ 23 2.0 % $ 1,270 1.4 % $ 698 1.9 % $ — — % U.S. States and political subdivisions 612 3.2 5 2.2 44 2.4 112 3.6 451 3.2 Foreign government 159 2.0 19 1.4 72 2.1 68 2.2 — — Agency mortgage-backed residential (b) 14,636 2.6 — — 11 1.9 33 2.5 14,592 2.6 Mortgage-backed residential 3,873 2.8 — — — — 12 2.9 3,861 2.8 Agency mortgage-backed commercial (b) 3,466 2.3 — — 116 3.3 1,474 2.3 1,876 2.1 Asset-backed 354 1.8 — — 349 1.7 5 3.9 — — Corporate debt 1,703 2.6 172 2.3 908 2.6 614 2.7 9 5.8 Total available-for-sale securities $ 26,794 2.5 $ 219 2.2 $ 2,770 1.9 $ 3,016 2.4 $ 20,789 2.6 Amortized cost of available-for-sale securities $ 33,265 $ 224 $ 3,033 $ 3,662 $ 26,346 Amortized cost of held-to-maturity securities Agency mortgage-backed residential $ 1,013 2.8 % $ — — % $ — — % $ — — % $ 1,013 2.8 % Total held-to-maturity securities $ 1,013 2.8 $ — — $ — — $ — — $ 1,013 2.8 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 (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 $148 million liability and a $12 million liability for agency mortgage-backed residential securities and an $86 million liability and $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 September 30, 2023, and December 31, 2022, respectively. These basis adjustments would be allocated to the amortized cost of specific securities within the pool if the hedge was dedesignated. Refer to Note 18 for additional information. The balances of cash equivalents were $58 million and $18 million at September 30, 2023, and December 31, 2022, respectively, and were composed primarily of money-market funds and short-term securities. The following table presents interest and dividends on investment securities. Three months ended September 30, Nine months ended September 30, ($ in millions) 2023 2022 2023 2022 Taxable interest $ 246 $ 196 $ 692 $ 556 Taxable dividends 5 4 12 12 Interest and dividends exempt from U.S. federal income tax 5 6 16 16 Interest and dividends on investment securities $ 256 $ 206 $ 720 $ 584 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. Three months ended September 30, Nine months ended September 30, ($ in millions) 2023 2022 2023 2022 Available-for-sale securities Gross realized gains $ — $ 2 $ 5 $ 23 Net realized gain on available-for-sale securities — 2 5 23 Net realized gain on equity securities 15 5 21 67 Net unrealized (loss) gain on equity securities (56) (61) 33 (263) Other (loss) gain on investments, net $ (41) $ (54) $ 59 $ (173) The following table presents the credit quality of our held-to-maturity securities, based on the latest available information as of September 30, 2023, and December 31, 2022. 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 September 30, 2023, and December 31, 2022. We have not recorded any interest income reversals on our held-to-maturity securities during the nine months ended September 30, 2023, or 2022 . September 30, 2023 December 31, 2022 ($ in millions) AA Total (a) AA Total (a) Debt securities Agency mortgage-backed residential $ 1,013 $ 1,013 $ 1,062 $ 1,062 Total held-to-maturity securities $ 1,013 $ 1,013 $ 1,062 $ 1,062 (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 to the Consolidated Financial Statements in our 2022 Annual Report on Form 10-K. As of September 30, 2023, and December 31, 2022, 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 nine months ended September 30, 2023, or 2022. September 30, 2023 December 31, 2022 Less than 12 months 12 months or longer Less than 12 months 12 months or longer ($ 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 $ — $ — $ 1,991 $ (289) $ 529 $ (68) $ 1,487 $ (188) U.S. States and political subdivisions 139 (6) 465 (111) 547 (55) 135 (27) Foreign government 25 (2) 135 (14) 75 (4) 71 (8) Agency mortgage-backed residential (a) 356 (23) 14,280 (3,775) 7,472 (892) 8,978 (2,146) Mortgage-backed residential 151 (6) 3,716 (979) 1,985 (289) 2,287 (566) Agency mortgage-backed commercial (a) 172 (10) 3,247 (1,021) 996 (124) 2,535 (721) Asset-backed 18 — 322 (16) 162 (4) 272 (22) Corporate debt 147 (6) 1,550 (213) 782 (67) 895 (146) Total available-for-sale securities $ 1,008 $ (53) $ 25,706 $ (6,418) $ 12,548 $ (1,503) $ 16,660 $ (3,824) (a) Includes basis adjustments for certain securities that are included in closed portfolios with active hedges under the portfolio layer method at September 30, 2023, and December 31, 2022. The basis adjustments would be allocated to the amortized cost of specific securities within the pool if the hedge was dedesignated. Refer to Note 18 for additional information. |
Finance Receivables and Loans,
Finance Receivables and Loans, Net | 9 Months Ended |
Sep. 30, 2023 | |
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. ($ in millions) September 30, 2023 December 31, 2022 Consumer automotive (a) $ 85,370 $ 83,286 Consumer mortgage Mortgage Finance (b) 18,657 19,445 Mortgage — Legacy (c) 238 290 Total consumer mortgage 18,895 19,735 Consumer other Personal Lending (d) 2,206 1,990 Credit Card 1,872 1,599 Total consumer other 4,078 3,589 Total consumer 108,343 106,610 Commercial Commercial and industrial Automotive 16,605 14,595 Other 9,376 9,154 Commercial real estate 5,936 5,389 Total commercial 31,917 29,138 Total finance receivables and loans (e) (f) $ 140,260 $ 135,748 (a) Certain finance receivables and loans are included in fair value hedging relationships. Refer to Note 18 for additional information. (b) Includes loans originated as interest-only mortgage loans of $2 million and $3 million at September 30, 2023, and December 31, 2022, respectively, of which all have exited the interest-only period. (c) Includes loans originated as interest-only mortgage loans of $13 million and $17 million at September 30, 2023, and December 31, 2022, respectively, of which all have exited the interest-only period. (d) Includes $3 million of finance receivables at December 31, 2022, for which we have elected the fair value option. (e) Totals include net unearned income, unamortized premiums and discounts, and deferred fees and costs of $2.3 billion at both September 30, 2023, and December 31, 2022. (f) Totals do not include accrued interest receivable, which was $813 million and $707 million at September 30, 2023, and December 31, 2022, respectively. Accrued interest receivable is included in other assets on our Condensed Consolidated Balance Sheet. Billed interest on our credit card loans is included within finance receivables and loans, net. The following tables present an analysis of the activity in the allowance for loan losses on finance receivables and loans for the three months and nine months ended September 30, 2023, and 2022, respectively. Three months ended September 30, 2023 ($ in millions) Consumer automotive Consumer mortgage Consumer other Commercial Total Allowance at July 1, 2023 $ 3,064 $ 23 $ 476 $ 218 $ 3,781 Charge-offs (a) (602) — (74) (1) (677) Recoveries 209 2 6 4 221 Net charge-offs (393) 2 (68) 3 (456) Provision for credit losses (b) 433 (4) 68 15 512 Other — 1 (2) 1 — Allowance at September 30, 2023 $ 3,104 $ 22 $ 474 $ 237 $ 3,837 (a) Refer to Note 1 to the Consolidated Financial Statements in our 2022 Annual Report on Form 10-K for information regarding our charge-off policies. (b) Excludes $4 million of benefit for credit losses related to our reserve for unfunded commitments. The liability related to the reserve for unfunded commitments is included in accrued expenses and other liabilities on our Condensed Consolidated Balance Sheet. Nine months ended September 30, 2023 ($ in millions) Consumer automotive Consumer mortgage Consumer other (a) Commercial Total Allowance at January 1, 2023 $ 3,020 $ 27 $ 426 $ 238 $ 3,711 Charge-offs (b) (1,634) (3) (208) (62) (1,907) Recoveries 613 7 18 5 643 Net charge-offs (1,021) 4 (190) (57) (1,264) Provision for credit losses (c) 1,106 (9) 239 54 1,390 Other (1) — (1) 2 — Allowance at September 30, 2023 $ 3,104 $ 22 $ 474 $ 237 $ 3,837 (a) Excludes $3 million of finance receivables and loans at January 1, 2023, for which we have elected the fair value option and incorporate no allowance for loan losses. (b) Refer to Note 1 to the Consolidated Financial Statements in our 2022 Annual Report on Form 10-K for information regarding our charge-off policies. (c) Excludes $9 million of benefit for credit losses related to our reserve for unfunded commitments. The liability related to the reserve for unfunded commitments is included in accrued expenses and other liabilities on our Condensed Consolidated Balance Sheet. Three months ended September 30, 2022 ($ in millions) Consumer automotive Consumer mortgage Consumer other (a) Commercial Total Allowance at July 1, 2022 $ 2,885 $ 26 $ 303 $ 236 $ 3,450 Charge-offs (b) (381) (1) (33) (32) (447) Recoveries 164 2 4 1 171 Net charge-offs (217) 1 (29) (31) (276) Provision for credit losses 326 (1) 99 14 438 Other (1) 1 (1) — (1) Allowance at September 30, 2022 $ 2,993 $ 27 $ 372 $ 219 $ 3,611 (a) Excludes $7 million an d $6 million of finance receivables and loans at July 1, 2022, and September 30, 2022, respectively, for which we have elected the fair value option and incorporate no allowance for loan losses. (b) Refer to Note 1 to the Consolidated Financial Statements in our 2022 Annual Report on Form 10-K for information regarding our charge-off policies. Nine months ended September 30, 2022 ($ 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) (934) (3) (84) (58) (1,079) Recoveries 496 10 8 3 517 Net charge-offs (438) 7 (76) (55) (562) Provision for credit losses (c) 663 (7) 228 23 907 Other (1) — (1) 1 (1) Allowance at September 30, 2022 $ 2,993 $ 27 $ 372 $ 219 $ 3,611 (a) Excludes $7 million and $6 million of finance receivables and loans at January 1, 2022, and September 30, 2022, respectively, for which we have elected the fair value option and incorporate no allowance for loan losses. (b) Refer to Note 1 to the Consolidated Financial Statements in our 2022 Annual Report on Form 10-K for information regarding our charge-off policies. (c) Excludes $2 million of provision for credit losses related to our reserve for unfunded commitments. The liability related to the reserve for unfunded commitments is included in accrued expenses and other liabilities on our Condensed Consolidated Balance Sheet. The following table presents sales of finance receivables and loans and transfers of finance receivables and loans from held-for-investment to held-for-sale based on net carrying value. Three months ended September 30, Nine months ended September 30, ($ in millions) 2023 2022 2023 2022 Consumer automotive $ — $ 4 $ — $ 4 Consumer mortgage — 1 1 3 Commercial 11 — 11 — Total sales and transfers $ 11 $ 5 $ 12 $ 7 The following table presents purchases of finance receivables and loans based on unpaid principal balance at the time of purchase. Three months ended September 30, Nine months ended September 30, ($ in millions) 2023 2022 2023 2022 Consumer automotive $ 1,064 $ 1,346 $ 2,902 $ 3,397 Consumer mortgage 7 1,127 14 2,760 Commercial 3 2 10 3 Total purchases of finance receivables and loans $ 1,074 $ 2,475 $ 2,926 $ 6,160 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 September 30, 2023, and December 31, 2022. Refer to Note 1 for additional information on our accounting policy for finance receivables and loans on nonaccrual status. September 30, 2023 ($ in millions) Nonaccrual status at Jan. 1, 2023 Nonaccrual status at Jul. 1, 2023 Nonaccrual status Nonaccrual with no allowance (a) Consumer automotive $ 1,187 $ 1,098 $ 1,110 $ 519 Consumer mortgage Mortgage Finance 34 38 33 17 Mortgage — Legacy 15 14 13 12 Total consumer mortgage 49 52 46 29 Consumer other Personal Lending 13 11 14 — Credit Card 43 55 72 — Total consumer other 56 66 86 — Total consumer 1,292 1,216 1,242 548 Commercial Commercial and industrial Automotive 5 24 97 16 Other 157 161 159 6 Commercial real estate — 3 3 — Total commercial 162 188 259 22 Total finance receivables and loans (b) $ 1,454 $ 1,404 $ 1,501 $ 570 (a) Represents a component of nonaccrual status at end of period. (b) We recorded interest income from cash payments associated with finance receivables and loans on nonaccrual status of $4 million and $11 million for the three months and nine months ended September 30, 2023, respectively. December 31, 2022 ($ in millions) Nonaccrual status at Jan. 1, 2022 Nonaccrual status at Jul. 1, 2022 Nonaccrual status Nonaccrual with no allowance (a) Consumer automotive $ 1,078 $ 1,073 $ 1,187 $ 445 Consumer mortgage Mortgage Finance 59 42 34 25 Mortgage — Legacy 26 22 15 14 Total consumer mortgage 85 64 49 39 Consumer other Personal Lending 5 5 13 — Credit Card 11 18 43 — Total consumer other 16 23 56 — Total consumer 1,179 1,160 1,292 484 Commercial Commercial and industrial Automotive 33 4 5 2 Other 221 214 157 33 Commercial real estate 3 1 — — Total commercial 257 219 162 35 Total finance receivables and loans (b) $ 1,436 $ 1,379 $ 1,454 $ 519 (a) Represents a component of nonaccrual status at end of period. (b) We recorded interest income from cash payments associated with finance receivables and loans on nonaccrual status of $3 million and $9 million for the three months and nine months ended September 30, 2022, respectively. Credit Quality Indicators We evaluate the credit quality of our consumer loan portfolio based on the aging status of the loan and by payment activity. Loan delinquency reporting is generally based upon borrower payment activity, relative to the contractual terms of the loan. The following tables present the amortized cost basis of our consumer finance receivables and loans by credit quality indicator based on delinquency status and origination year. Origination year Revolving loans converted to term September 30, 2023 ($ in millions) 2023 2022 2021 2020 2019 2018 and prior Revolving loans Total Consumer automotive Current $ 24,518 $ 27,587 $ 16,045 $ 7,084 $ 3,995 $ 2,460 $ — $ — $ 81,689 30–59 days past due 324 948 734 282 194 146 — — 2,628 60–89 days past due 88 371 295 105 71 52 — — 982 90 or more days past due 34 146 113 43 32 31 — — 399 Total consumer automotive (a) 24,964 29,052 17,187 7,514 4,292 2,689 — — 85,698 Consumer mortgage Mortgage Finance Current 112 2,204 10,498 1,857 754 3,142 — — 18,567 30–59 days past due — 5 16 9 6 16 — — 52 60–89 days past due — 1 4 1 — 9 — — 15 90 or more days past due — 2 3 — 2 16 — — 23 Total Mortgage Finance 112 2,212 10,521 1,867 762 3,183 — — 18,657 Mortgage — Legacy Current — — — — — 53 152 17 222 30–59 days past due — — — — — 3 1 — 4 60–89 days past due — — — — — 2 — — 2 90 or more days past due — — — — — 6 2 2 10 Total Mortgage — Legacy — — — — — 64 155 19 238 Total consumer mortgage 112 2,212 10,521 1,867 762 3,247 155 19 18,895 Consumer other Personal Lending Current 948 934 239 27 1 — — — 2,149 30–59 days past due 7 14 4 — — — — — 25 60–89 days past due 3 11 4 — — — — — 18 90 or more days past due 3 9 2 — — — — — 14 Total Personal Lending 961 968 249 27 1 — — — 2,206 Credit Card Current — — — — — — 1,737 — 1,737 30–59 days past due — — — — — — 36 — 36 60–89 days past due — — — — — — 30 — 30 90 or more days past due — — — — — — 69 — 69 Total Credit Card — — — — — — 1,872 — 1,872 Total consumer other 961 968 249 27 1 — 1,872 — 4,078 Total consumer $ 26,037 $ 32,232 $ 27,957 $ 9,408 $ 5,055 $ 5,936 $ 2,027 $ 19 $ 108,671 (a) Certain consumer automotive loans are included in fair value hedging relationships. The amortized cost excludes a liability of $328 million related to basis adjustments for loans in closed portfolios with active hedges under the portfolio layer method at September 30, 2023. These basis adjustments would be allocated to the amortized cost of specific loans within the pool if the hedge was dedesignated. Refer to Note 18 for additional information. Origination year Revolving loans converted to term December 31, 2022 ($ 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 18 for additional information. (b) Excludes $3 million of finance receivables at December 31, 2022, 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. • Loss — Loans that are considered uncollectible and of such little value that their continuance as bankable assets is not warranted. This classification does not mean that the asset has absolutely no recovery or salvage value, but rather that it is not practical or desirable to defer writing off this basically worthless asset even though partial recovery may be effected in the future. 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 September 30, 2023 ($ in millions) 2023 2022 2021 2020 2019 2018 and prior Revolving loans Total Commercial Commercial and industrial Automotive Pass $ 394 $ 522 $ 174 $ 103 $ 63 $ 26 $ 14,511 $ — $ 15,793 Special mention 4 8 31 — — 15 640 — 698 Substandard — 1 — — — — 39 — 40 Doubtful — — — — — 6 68 — 74 Total automotive 398 531 205 103 63 47 15,258 — 16,605 Other Pass 356 530 359 269 337 179 5,869 144 8,043 Special mention — 214 179 208 51 145 239 26 1,062 Substandard — — 51 3 26 83 24 18 205 Doubtful — — — — — 57 9 — 66 Total other 356 744 589 480 414 464 6,141 188 9,376 Commercial real estate Pass 748 1,533 1,141 901 653 863 — 36 5,875 Special mention 2 7 28 2 18 1 — — 58 Substandard — 3 — — — — — — 3 Total commercial real estate 750 1,543 1,169 903 671 864 — 36 5,936 Total commercial $ 1,504 $ 2,818 $ 1,963 $ 1,486 $ 1,148 $ 1,375 $ 21,399 $ 224 $ 31,917 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 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 September 30, 2023 Commercial Commercial and industrial Automotive $ 5 $ — $ 12 $ 17 $ 16,588 $ 16,605 Other 1 2 3 6 9,370 9,376 Commercial real estate — — — — 5,936 5,936 Total commercial $ 6 $ 2 $ 15 $ 23 $ 31,894 $ 31,917 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 The following table presents gross charge-offs of our finance receivables and loans for each portfolio class by origination year that occurred during the nine months ended September 30, 2023. Refer to Note 1 to the Consolidated Financial Statements in our 2022 Annual Report on Form 10-K for additional information on our charge-off policy. Origination year Revolving loans converted to term Nine months ended September 30, 2023 ($ in millions) 2023 2022 2021 2020 2019 2018 and prior Revolving loans Total Consumer automotive $ 97 $ 693 $ 492 $ 149 $ 109 $ 94 $ — $ — $ 1,634 Consumer mortgage Mortgage Finance — — — — — 1 — — 1 Mortgage — Legacy — — — — — 2 — — 2 Total consumer mortgage — — — — — 3 — — 3 Consumer other Personal Lending 5 59 23 3 — — — — 90 Credit Card — — — — — — 111 7 118 Total consumer other 5 59 23 3 — — 111 7 208 Total consumer 102 752 515 152 109 97 111 7 1,845 Commercial Commercial and industrial Automotive — — — — — — 5 — 5 Other — — — — 57 — — — 57 Total commercial — — — — 57 — 5 — 62 Total finance receivables and loans $ 102 $ 752 $ 515 $ 152 $ 166 $ 97 $ 116 $ 7 $ 1,907 Loan Modifications The following tables present the amortized cost basis of loans that were modified subsequent to origination during the three months and nine months ended September 30, 2023, for each portfolio segment, by modification type. For additional information on loan modification types in scope of this disclosure, refer to Note 1. The below tables exclude consumer mortgage finance receivables and loans currently enrolled in a trial modification program. Trial modifications generally represent a three-month period during which the borrower makes monthly payments under the anticipated modified payment terms. If the borrower successfully completes the trial loan modification program, the contractual terms of the loan are updated and the modification is considered permanent. As of September 30, 2023, there were $4 million of consumer mortgage finance receivables and loans in a trial modification program. Payment extensions Three months ended September 30, 2023 ($ in millions) Payment deferrals (a) Contractual maturity extensions Principal forgiveness Interest rate concessions Combination Total Consumer automotive $ — $ 62 $ 1 $ — $ — $ 63 Consumer mortgage Mortgage Finance — 1 — — — 1 Mortgage — Legacy — — — — 1 1 Total consumer mortgage — 1 — — 1 2 Consumer other Credit Card — — — 4 — 4 Total consumer other — — — 4 — 4 Total consumer — 63 1 4 1 69 Commercial Commercial and industrial Other 37 — — — — 37 Total commercial 37 — — — — 37 Total finance receivables and loans $ 37 $ 63 $ 1 $ 4 $ 1 $ 106 (a) Includes a commercial and industrial loan within our Corporate Finance operations that was also granted a three-month contractual maturity extension during the three months ended September 30, 2023. Payment extensions Nine months ended September 30, 2023 ($ in millions) Payment deferrals (a) Contractual maturity extensions Principal forgiveness Interest rate concessions Combination Total (b) Consumer automotive $ — $ 99 $ 13 $ — $ 30 $ 142 Consumer mortgage Mortgage Finance — 2 — — 2 4 Mortgage — Legacy — 1 — — 1 2 Total consumer mortgage — 3 — — 3 6 Consumer other Credit Card — — — 9 — 9 Total consumer other — — — 9 — 9 Total consumer — 102 13 9 33 157 Commercial Commercial and industrial Other 65 47 — — — 112 Total commercial 65 47 — — — 112 Total finance receivables and loans $ 65 $ 149 $ 13 $ 9 $ 33 $ 269 (a) Includes a commercial and industrial loan within our Corporate Finance operations that was also granted a three-month contractual maturity extension during the nine months ended September 30, 2023. (b) Represents 0.2% of total finance receivables and loans outstanding as of September 30, 2023. The following tables present the financial effect of loan modifications that occurred during the three months and nine months ended September 30, 2023. Payment extensions (a) Principal forgiveness Interest rate concessions (a) Combination (a) (b) Three months ended September 30, 2023 ($ in millions) Number of months extended/deferred Amount forgiven Initial rate Revised rate Remaining term Revised remaining term Initial rate Revised rate Consumer automotive 28 $ — — % — % — — — % — % Consumer mortgage Mortgage Finance 210 — — — — — — — Mortgage — Legacy — — — — 180 280 2.5 2.0 Total consumer mortgage 210 — — — 180 280 2.5 2.0 Consumer other Credit Card — — 30.0 11.0 — — — — Total consumer other — $ — 30.0 11.0 — — — — Commercial Commercial and industrial Other (c) 3 $ — — % — % — — — % — % Total commercial 3 $ — — — — — — — (a) Calculated using a weighted-average balance for each portfolio class. (b) Term is presented in number of months. (c) Includes a commercial and industrial loan within our Corporate Finance operations that was also granted a three-month contractual maturity extension during the three months ended September 30, 2023. Payment extensions (a) Principal forgiveness Interest rate concessions (a) Combination (a) (b) (c) Nine months ended September 30, 2023 ($ in millions) Number of months extended/deferred Amount forgiven Initial rate Revised rate Remaining term Revised remaining term Initial rate Revised rate Consumer automotive 27 $ 2 — % — % 75 85 10.4 % 9.7 % Consumer mortgage Mortgage Finance 186 — — — 309 470 4.6 3.4 Mortgage — Legacy 76 — — — 174 283 2.7 2.0 Total consumer mortgage 149 — — — 284 435 4.3 3.1 Consumer other Credit Card — — 30.0 8.0 — — — — Total consumer other — $ — 30.0 8.0 — — — — Commercial Commercial and industrial Other (d) 13 $ — — % — % — — — % — % Total commercial 13 $ — — — — — — — (a) Calculated using a weighted-average balance for each portfolio class. (b) Term is presented in number of months. (c) Some consumer mortgage combination loan modifications include deferrals of principal. The weighted average number of months deferred for these loans was 210 months. (d) Includes a commercial and industrial loan within our Corporate Finance operations that was also granted a three-month contractual maturity extension during the nine months ended September 30, 2023. The following tables present the subsequent performance of loans recorded at amortized cost, by portfolio segment and credit quality indicator, that have been modified during the three months and nine months ended September 30, 2023. Three months ended September 30, 2023 ($ in millions) Current 30–59 days past due 60–89 days past due 90 or more days past due (a) Total Consumer automotive Contractual maturity extensions $ 60 $ 2 $ — $ — $ 62 Principal forgiveness — — — 1 1 Total consumer automotive 60 2 — 1 63 Consumer mortgage Mortgage Finance Contractual maturity extensions 1 — — — 1 Total Mortgage Finance 1 — — — 1 Mortgage — Legacy Combination 1 — — — 1 Total Mortgage — Legacy 1 — — — 1 Total consumer mortgage 2 — — — 2 Consumer other Credit Card Interest rate concessions 2 1 — 1 4 Total consumer other 2 1 — 1 4 Total consumer $ 64 $ 3 $ — $ 2 $ 69 (a) Includes 67 consumer automotive loans with a total amortized cost of $1 million that have redefaulted during the three months ended September 30, 2023. Three months ended September 30, 2023 ($ in millions) Pass Special mention Substandard Doubtful Total Commercial and industrial Other Payment deferrals (a) $ — $ — $ — $ 37 $ 37 Total commercial $ — $ — $ — $ 37 $ 37 (a) Includes a commercial and industrial loan within our Corporate Finance operations that was also granted a three-month contractual maturity extension during the three months ended September 30, 2023. Nine months ended September 30, 2023 ($ in millions) Current 30–59 days past due 60–89 days past due 90 or more days past due (a) Total Consumer automotive Contractual maturity extensions $ 89 $ 7 $ 2 $ 1 $ 99 Principal forgiveness 8 1 — 4 13 Combination 28 1 1 — 30 Total consumer automotive 125 9 3 5 142 Consumer mortgage Mortgage Finance Contractual maturity extensions 2 — — — 2 Combination — — — 2 2 Total Mortgage Finance 2 — — 2 4 Mortgage — Legacy Contractual maturity extensions 1 — — — 1 Combination 1 — — — 1 Total Mortgage — Legacy 2 — — — 2 Total consumer mortgage 4 — — 2 6 Consumer other Credit Card Interest rate concessions 5 1 1 2 9 Total consumer other 5 1 1 2 9 Total consumer $ 134 $ 10 $ 4 $ 9 $ 157 (a) Includes 108 consumer automotive loans with a total amortized cost of $3 million and 1 consumer mortgage loan with a total amortized cost of $2 million that redefaulted during the nine months ended September 30, 2023. Nine months ended September 30, 2023 ($ in millions) Pass Special mention Substandard Doubtful Total Commercial and industrial Other Payment deferrals (a) $ — $ — $ — $ 65 $ 65 Contractual maturity extensions 34 7 6 — 47 Total commercial $ 34 $ 7 $ 6 $ 65 $ 112 (a) Includes a commercial and industrial loan within our Corporate Finance operations that was also granted a three-month contractual maturity extension during the nine months ended September 30, 2023. Troubled Debt Restructuring Disclosures Prior to the Adoption of ASU 2022-02 The adoption of ASU 2022-02 eliminated TDR recognition and measurement guidance, as well as all TDR-related disclosures. Refer to Note 1 for additional information. TDRs were loan modifications where concessions were granted to borrowers experiencing financial difficulties. Total TDRs recorded at amortized cost were $2.4 billion at December 31, 2022. The following tables present information related to finance receivables and loans recorded at amortized cost modified in connection with a TDR during the period. Three months ended September 30, 2022 ($ in millions) Number of loans Pre-modification amortized cost basis Post-modification amortized cost basis Consumer automotive 11,733 $ 193 $ 187 Consumer mortgage Mortgage Finance 4 3 3 Mortgage — Legacy 2 — — Total consumer mortgage 6 3 3 Consumer other Credit Card 749 1 1 Total consumer other 749 1 1 Total consumer 12,488 197 191 Commercial Commercial and industrial Other 1 51 55 Total commercial 1 51 55 Total finance receivables and loans 12,489 $ 248 $ 246 Nine months ended September 30, 2022 ($ in millions) Number of loans Pre-modification amortized cost basis Post-modification amortized cost basis Consumer automotive 38,112 $ 637 $ 620 Consumer mortgage Mortgage Finance 13 10 10 Mortgage — Legacy 9 1 1 Total consumer mortgage 22 11 11 Consumer other Credit Card 1,843 3 3 Total consumer other 1,843 3 3 Total consumer 39,977 651 634 Commercial Commercial and industrial Other 5 462 466 Total commercial 5 462 466 Total finance receivables and loans 39,982 $ 1,113 $ 1,100 The following tables present 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 except for commercial finance receivables and loans, where redefault is defined as 90 days past due. Three months ended September 30, 2022 ($ in millions) Number of loans Amortized cost Charge-off amount Consumer automotive 2,473 $ 37 $ 16 Consumer mortgage Mortgage Finance 1 1 — Total consumer mortgage 1 1 — Consumer other Credit Card 146 — — Total consumer other 146 — — Total consumer 2,620 $ 38 $ 16 Commercial Commercial and industrial Other 1 1 31 Total commercial 1 1 31 Total finance receivables and loans 2,621 $ 39 $ 47 Nine months ended September 30, 2022 ($ in millions) Number of loans Amortized cost Charge-off amount Consumer automotive 6,722 $ 103 $ 43 Consumer mortgage Mortgage Finance 4 3 — Total consumer mortgage 4 3 — Consumer Other Credit Card 225 — — Total consumer other 225 — — Total consumer 6,951 106 43 Commercial Commercial and industrial Other 1 1 31 Total commercial 1 1 31 Total finance receivables and loans 6,952 $ 107 $ 74 |
Leasing
Leasing | 9 Months Ended |
Sep. 30, 2023 | |
Leases [Abstract] | |
Leasing | Leasing Ally as the Lessee We have operating leases for certain of our corporate facilities, which have remaining lease terms of 3 months to 7 years. Most of the property leases have fixed payment terms with annual fixed-escalation clauses and include options to extend or terminate the lease. We do not include these term extensions or termination provisions in our estimates of the lease term if 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 three months and nine months ended September 30, 2023, we paid $7 million and $23 million, respectively, in cash for amounts included in the measurement of lease liabilities at September 30, 2023, compared to $10 million and $29 million for the three months and nine months ended September 30, 2022, in cash for amounts included in the measurement of lease liabilities at September 30, 2022. These amounts are included in net cash provided by operating activities in the Condensed Consolidated Statement of Cash Flows. During the nine months ended September 30, 2023, and September 30, 2022, we obtained $10 million and $36 million, respectively, of ROU assets in exchange for new lease liabilities. As of September 30, 2023, the weighted-average remaining lease term of our operating lease portfolio was 4 years, and the weighted-average discount rate was 2.87%, compared to 5 years and 2.57% as of December 31, 2022. The following table presents future minimum rental payments we are required to make under operating leases that have commenced as of September 30, 2023, and that have noncancelable lease terms expiring after September 30, 2023. ($ in millions) 2023 $ 9 2024 35 2025 30 2026 23 2027 17 2028 and thereafter 17 Total undiscounted cash flows 131 Difference between undiscounted cash flows and discounted cash flows (8) Total lease liability $ 123 The following table details the components of total net operating lease expense. Three months ended September 30, Nine months ended September 30, ($ in millions) 2023 2022 2023 2022 Operating lease expense $ 7 $ 8 $ 21 $ 25 Variable lease expense 1 1 3 3 Total lease expense, net (a) $ 8 $ 9 $ 24 $ 28 (a) Included in other operating expenses in our Condensed Consolidated Statement of Comprehensive 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 Condensed Consolidated Statement of Comprehensive 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 Condensed Consolidated Statement of Comprehensive Income. Excessive mileage or excessive wear and tear on the vehicle during the lease may impact the sales proceeds received upon remarketing. As of September 30, 2023, and December 31, 2022, consumer operating leases with a carrying value, net of accumulated depreciation, of $19 million and $56 million, respectively, were covered by a residual value guarantee of 15% of the manufacturer’s suggested retail price. The following table details our investment in operating leases. ($ in millions) September 30, 2023 December 31, 2022 Vehicles $ 11,496 $ 12,304 Accumulated depreciation (1,927) (1,860) Investment in operating leases, net $ 9,569 $ 10,444 The following table presents future minimum rental payments we have the right to receive under operating leases with noncancelable lease terms expiring after September 30, 2023. ($ in millions) 2023 $ 408 2024 1,240 2025 733 2026 302 2027 50 2028 and thereafter 3 Total lease payments from operating leases $ 2,736 We recognized operating lease revenue of $385 million and $1.2 billion for the three months and nine months ended September 30, 2023, respectively, and $397 million and $1.2 billion for the three months and nine months ended September 30, 2022. Depreciation expense on operating lease assets includes net remarketing gains recognized on the sale of operating lease assets. The following table summarizes the components of depreciation expense on operating lease assets. Three months ended September 30, Nine months ended September 30, ($ in millions) 2023 2022 2023 2022 Depreciation expense on operating lease assets (excluding remarketing gains) (a) $ 269 $ 277 $ 812 $ 813 Remarketing gains, net (57) (39) (174) (139) Net depreciation expense on operating lease assets $ 212 $ 238 $ 638 $ 674 (a) Includes variable lease payments related to excess mileage and excessive wear and tear on vehicles of $3 million and $7 million for the three months and nine months ended September 30, 2023, respectively, and $2 million and $5 million during the three months and nine months ended September 30, 2022. 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 Condensed Consolidated Balance Sheet was $525 million and $481 million as of September 30, 2023, and December 31, 2022, respectively. This includes lease payment receivables of $519 million and $468 million at September 30, 2023, and December 31, 2022, respectively, and unguaranteed residual assets of $6 million at September 30, 2023, and $13 million at December 31, 2022. Interest income on finance lease receivables was $10 million and $28 million for the three months and nine months ended September 30, 2023, respectively, and $8 million and $22 million for the three months and nine months ended September 30, 2022, and is included in interest and fees on finance receivables and loans in our Condensed Consolidated Statement of Comprehensive Income. The following table presents future minimum rental payments we have the right to receive under finance leases with noncancelable lease terms expiring after September 30, 2023. ($ in millions) 2023 $ 53 2024 172 2025 149 2026 119 2027 59 2028 and thereafter 33 Total undiscounted cash flows 585 Difference between undiscounted cash flows and discounted cash flows (66) Present value of lease payments recorded as lease receivable $ 519 |
Leasing | Leasing Ally as the Lessee We have operating leases for certain of our corporate facilities, which have remaining lease terms of 3 months to 7 years. Most of the property leases have fixed payment terms with annual fixed-escalation clauses and include options to extend or terminate the lease. We do not include these term extensions or termination provisions in our estimates of the lease term if 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 three months and nine months ended September 30, 2023, we paid $7 million and $23 million, respectively, in cash for amounts included in the measurement of lease liabilities at September 30, 2023, compared to $10 million and $29 million for the three months and nine months ended September 30, 2022, in cash for amounts included in the measurement of lease liabilities at September 30, 2022. These amounts are included in net cash provided by operating activities in the Condensed Consolidated Statement of Cash Flows. During the nine months ended September 30, 2023, and September 30, 2022, we obtained $10 million and $36 million, respectively, of ROU assets in exchange for new lease liabilities. As of September 30, 2023, the weighted-average remaining lease term of our operating lease portfolio was 4 years, and the weighted-average discount rate was 2.87%, compared to 5 years and 2.57% as of December 31, 2022. The following table presents future minimum rental payments we are required to make under operating leases that have commenced as of September 30, 2023, and that have noncancelable lease terms expiring after September 30, 2023. ($ in millions) 2023 $ 9 2024 35 2025 30 2026 23 2027 17 2028 and thereafter 17 Total undiscounted cash flows 131 Difference between undiscounted cash flows and discounted cash flows (8) Total lease liability $ 123 The following table details the components of total net operating lease expense. Three months ended September 30, Nine months ended September 30, ($ in millions) 2023 2022 2023 2022 Operating lease expense $ 7 $ 8 $ 21 $ 25 Variable lease expense 1 1 3 3 Total lease expense, net (a) $ 8 $ 9 $ 24 $ 28 (a) Included in other operating expenses in our Condensed Consolidated Statement of Comprehensive 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 Condensed Consolidated Statement of Comprehensive 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 Condensed Consolidated Statement of Comprehensive Income. Excessive mileage or excessive wear and tear on the vehicle during the lease may impact the sales proceeds received upon remarketing. As of September 30, 2023, and December 31, 2022, consumer operating leases with a carrying value, net of accumulated depreciation, of $19 million and $56 million, respectively, were covered by a residual value guarantee of 15% of the manufacturer’s suggested retail price. The following table details our investment in operating leases. ($ in millions) September 30, 2023 December 31, 2022 Vehicles $ 11,496 $ 12,304 Accumulated depreciation (1,927) (1,860) Investment in operating leases, net $ 9,569 $ 10,444 The following table presents future minimum rental payments we have the right to receive under operating leases with noncancelable lease terms expiring after September 30, 2023. ($ in millions) 2023 $ 408 2024 1,240 2025 733 2026 302 2027 50 2028 and thereafter 3 Total lease payments from operating leases $ 2,736 We recognized operating lease revenue of $385 million and $1.2 billion for the three months and nine months ended September 30, 2023, respectively, and $397 million and $1.2 billion for the three months and nine months ended September 30, 2022. Depreciation expense on operating lease assets includes net remarketing gains recognized on the sale of operating lease assets. The following table summarizes the components of depreciation expense on operating lease assets. Three months ended September 30, Nine months ended September 30, ($ in millions) 2023 2022 2023 2022 Depreciation expense on operating lease assets (excluding remarketing gains) (a) $ 269 $ 277 $ 812 $ 813 Remarketing gains, net (57) (39) (174) (139) Net depreciation expense on operating lease assets $ 212 $ 238 $ 638 $ 674 (a) Includes variable lease payments related to excess mileage and excessive wear and tear on vehicles of $3 million and $7 million for the three months and nine months ended September 30, 2023, respectively, and $2 million and $5 million during the three months and nine months ended September 30, 2022. 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 Condensed Consolidated Balance Sheet was $525 million and $481 million as of September 30, 2023, and December 31, 2022, respectively. This includes lease payment receivables of $519 million and $468 million at September 30, 2023, and December 31, 2022, respectively, and unguaranteed residual assets of $6 million at September 30, 2023, and $13 million at December 31, 2022. Interest income on finance lease receivables was $10 million and $28 million for the three months and nine months ended September 30, 2023, respectively, and $8 million and $22 million for the three months and nine months ended September 30, 2022, and is included in interest and fees on finance receivables and loans in our Condensed Consolidated Statement of Comprehensive Income. The following table presents future minimum rental payments we have the right to receive under finance leases with noncancelable lease terms expiring after September 30, 2023. ($ in millions) 2023 $ 53 2024 172 2025 149 2026 119 2027 59 2028 and thereafter 33 Total undiscounted cash flows 585 Difference between undiscounted cash flows and discounted cash flows (66) Present value of lease payments recorded as lease receivable $ 519 |
Leasing | Leasing Ally as the Lessee We have operating leases for certain of our corporate facilities, which have remaining lease terms of 3 months to 7 years. Most of the property leases have fixed payment terms with annual fixed-escalation clauses and include options to extend or terminate the lease. We do not include these term extensions or termination provisions in our estimates of the lease term if 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 three months and nine months ended September 30, 2023, we paid $7 million and $23 million, respectively, in cash for amounts included in the measurement of lease liabilities at September 30, 2023, compared to $10 million and $29 million for the three months and nine months ended September 30, 2022, in cash for amounts included in the measurement of lease liabilities at September 30, 2022. These amounts are included in net cash provided by operating activities in the Condensed Consolidated Statement of Cash Flows. During the nine months ended September 30, 2023, and September 30, 2022, we obtained $10 million and $36 million, respectively, of ROU assets in exchange for new lease liabilities. As of September 30, 2023, the weighted-average remaining lease term of our operating lease portfolio was 4 years, and the weighted-average discount rate was 2.87%, compared to 5 years and 2.57% as of December 31, 2022. The following table presents future minimum rental payments we are required to make under operating leases that have commenced as of September 30, 2023, and that have noncancelable lease terms expiring after September 30, 2023. ($ in millions) 2023 $ 9 2024 35 2025 30 2026 23 2027 17 2028 and thereafter 17 Total undiscounted cash flows 131 Difference between undiscounted cash flows and discounted cash flows (8) Total lease liability $ 123 The following table details the components of total net operating lease expense. Three months ended September 30, Nine months ended September 30, ($ in millions) 2023 2022 2023 2022 Operating lease expense $ 7 $ 8 $ 21 $ 25 Variable lease expense 1 1 3 3 Total lease expense, net (a) $ 8 $ 9 $ 24 $ 28 (a) Included in other operating expenses in our Condensed Consolidated Statement of Comprehensive 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 Condensed Consolidated Statement of Comprehensive 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 Condensed Consolidated Statement of Comprehensive Income. Excessive mileage or excessive wear and tear on the vehicle during the lease may impact the sales proceeds received upon remarketing. As of September 30, 2023, and December 31, 2022, consumer operating leases with a carrying value, net of accumulated depreciation, of $19 million and $56 million, respectively, were covered by a residual value guarantee of 15% of the manufacturer’s suggested retail price. The following table details our investment in operating leases. ($ in millions) September 30, 2023 December 31, 2022 Vehicles $ 11,496 $ 12,304 Accumulated depreciation (1,927) (1,860) Investment in operating leases, net $ 9,569 $ 10,444 The following table presents future minimum rental payments we have the right to receive under operating leases with noncancelable lease terms expiring after September 30, 2023. ($ in millions) 2023 $ 408 2024 1,240 2025 733 2026 302 2027 50 2028 and thereafter 3 Total lease payments from operating leases $ 2,736 We recognized operating lease revenue of $385 million and $1.2 billion for the three months and nine months ended September 30, 2023, respectively, and $397 million and $1.2 billion for the three months and nine months ended September 30, 2022. Depreciation expense on operating lease assets includes net remarketing gains recognized on the sale of operating lease assets. The following table summarizes the components of depreciation expense on operating lease assets. Three months ended September 30, Nine months ended September 30, ($ in millions) 2023 2022 2023 2022 Depreciation expense on operating lease assets (excluding remarketing gains) (a) $ 269 $ 277 $ 812 $ 813 Remarketing gains, net (57) (39) (174) (139) Net depreciation expense on operating lease assets $ 212 $ 238 $ 638 $ 674 (a) Includes variable lease payments related to excess mileage and excessive wear and tear on vehicles of $3 million and $7 million for the three months and nine months ended September 30, 2023, respectively, and $2 million and $5 million during the three months and nine months ended September 30, 2022. 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 Condensed Consolidated Balance Sheet was $525 million and $481 million as of September 30, 2023, and December 31, 2022, respectively. This includes lease payment receivables of $519 million and $468 million at September 30, 2023, and December 31, 2022, respectively, and unguaranteed residual assets of $6 million at September 30, 2023, and $13 million at December 31, 2022. Interest income on finance lease receivables was $10 million and $28 million for the three months and nine months ended September 30, 2023, respectively, and $8 million and $22 million for the three months and nine months ended September 30, 2022, and is included in interest and fees on finance receivables and loans in our Condensed Consolidated Statement of Comprehensive Income. The following table presents future minimum rental payments we have the right to receive under finance leases with noncancelable lease terms expiring after September 30, 2023. ($ in millions) 2023 $ 53 2024 172 2025 149 2026 119 2027 59 2028 and thereafter 33 Total undiscounted cash flows 585 Difference between undiscounted cash flows and discounted cash flows (66) Present value of lease payments recorded as lease receivable $ 519 |
Leasing | Leasing Ally as the Lessee We have operating leases for certain of our corporate facilities, which have remaining lease terms of 3 months to 7 years. Most of the property leases have fixed payment terms with annual fixed-escalation clauses and include options to extend or terminate the lease. We do not include these term extensions or termination provisions in our estimates of the lease term if 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 three months and nine months ended September 30, 2023, we paid $7 million and $23 million, respectively, in cash for amounts included in the measurement of lease liabilities at September 30, 2023, compared to $10 million and $29 million for the three months and nine months ended September 30, 2022, in cash for amounts included in the measurement of lease liabilities at September 30, 2022. These amounts are included in net cash provided by operating activities in the Condensed Consolidated Statement of Cash Flows. During the nine months ended September 30, 2023, and September 30, 2022, we obtained $10 million and $36 million, respectively, of ROU assets in exchange for new lease liabilities. As of September 30, 2023, the weighted-average remaining lease term of our operating lease portfolio was 4 years, and the weighted-average discount rate was 2.87%, compared to 5 years and 2.57% as of December 31, 2022. The following table presents future minimum rental payments we are required to make under operating leases that have commenced as of September 30, 2023, and that have noncancelable lease terms expiring after September 30, 2023. ($ in millions) 2023 $ 9 2024 35 2025 30 2026 23 2027 17 2028 and thereafter 17 Total undiscounted cash flows 131 Difference between undiscounted cash flows and discounted cash flows (8) Total lease liability $ 123 The following table details the components of total net operating lease expense. Three months ended September 30, Nine months ended September 30, ($ in millions) 2023 2022 2023 2022 Operating lease expense $ 7 $ 8 $ 21 $ 25 Variable lease expense 1 1 3 3 Total lease expense, net (a) $ 8 $ 9 $ 24 $ 28 (a) Included in other operating expenses in our Condensed Consolidated Statement of Comprehensive 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 Condensed Consolidated Statement of Comprehensive 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 Condensed Consolidated Statement of Comprehensive Income. Excessive mileage or excessive wear and tear on the vehicle during the lease may impact the sales proceeds received upon remarketing. As of September 30, 2023, and December 31, 2022, consumer operating leases with a carrying value, net of accumulated depreciation, of $19 million and $56 million, respectively, were covered by a residual value guarantee of 15% of the manufacturer’s suggested retail price. The following table details our investment in operating leases. ($ in millions) September 30, 2023 December 31, 2022 Vehicles $ 11,496 $ 12,304 Accumulated depreciation (1,927) (1,860) Investment in operating leases, net $ 9,569 $ 10,444 The following table presents future minimum rental payments we have the right to receive under operating leases with noncancelable lease terms expiring after September 30, 2023. ($ in millions) 2023 $ 408 2024 1,240 2025 733 2026 302 2027 50 2028 and thereafter 3 Total lease payments from operating leases $ 2,736 We recognized operating lease revenue of $385 million and $1.2 billion for the three months and nine months ended September 30, 2023, respectively, and $397 million and $1.2 billion for the three months and nine months ended September 30, 2022. Depreciation expense on operating lease assets includes net remarketing gains recognized on the sale of operating lease assets. The following table summarizes the components of depreciation expense on operating lease assets. Three months ended September 30, Nine months ended September 30, ($ in millions) 2023 2022 2023 2022 Depreciation expense on operating lease assets (excluding remarketing gains) (a) $ 269 $ 277 $ 812 $ 813 Remarketing gains, net (57) (39) (174) (139) Net depreciation expense on operating lease assets $ 212 $ 238 $ 638 $ 674 (a) Includes variable lease payments related to excess mileage and excessive wear and tear on vehicles of $3 million and $7 million for the three months and nine months ended September 30, 2023, respectively, and $2 million and $5 million during the three months and nine months ended September 30, 2022. 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 Condensed Consolidated Balance Sheet was $525 million and $481 million as of September 30, 2023, and December 31, 2022, respectively. This includes lease payment receivables of $519 million and $468 million at September 30, 2023, and December 31, 2022, respectively, and unguaranteed residual assets of $6 million at September 30, 2023, and $13 million at December 31, 2022. Interest income on finance lease receivables was $10 million and $28 million for the three months and nine months ended September 30, 2023, respectively, and $8 million and $22 million for the three months and nine months ended September 30, 2022, and is included in interest and fees on finance receivables and loans in our Condensed Consolidated Statement of Comprehensive Income. The following table presents future minimum rental payments we have the right to receive under finance leases with noncancelable lease terms expiring after September 30, 2023. ($ in millions) 2023 $ 53 2024 172 2025 149 2026 119 2027 59 2028 and thereafter 33 Total undiscounted cash flows 585 Difference between undiscounted cash flows and discounted cash flows (66) Present value of lease payments recorded as lease receivable $ 519 |
Securitizations and Variable In
Securitizations and Variable Interest Entities | 9 Months Ended |
Sep. 30, 2023 | |
Securitizations And Variable Interest Entities [Abstract] | |
Securitizations and Variable Interest Entities | Securitizations and Variable Interest Entities 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 Condensed Consolidated Balance Sheet. Additionally, we opportunistically sell consumer automotive and credit card whole-loans to SPEs where we have a continuing involvement. VIEs are legal entities that either have an insufficient amount of equity at risk 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 control the entity’s activities that most significantly impact economic performance through voting or similar rights, or do not have the obligation to absorb the expected losses or the right to receive expected residual returns of the entity. The VIEs included on the Condensed 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. 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 Condensed 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 $1 million for the nine months ended September 30, 2023. We had no pretax gains or losses on sales of financial assets into nonconsolidated VIEs during the three months ended September 30, 2023, and during both the three months and nine months ended September 30, 2022. We provide long-term guarantee contracts to investors in certain nonconsolidated affordable housing entities and have extended a line of credit to provide liquidity. Since we do not have control over the entities or the power to make decisions, we do not consolidate the entities and our involvement is limited to the guarantee and the line of credit. We are involved with various other nonconsolidated equity investments, including affordable housing entities and venture capital funds and loan funds. We do not consolidate these entities and our involvement is limited to our outstanding investment, additional capital committed to these funds plus any previously recognized low-income housing tax credits that are subject to recapture. Refer to Note 1 and Note 11 to the Consolidated Financial Statements in our 2022 Annual Report on Form 10-K for further description of our securitization activities and our involvement with VIEs. The following table presents our involvement in consolidated and nonconsolidated VIEs in which we hold variable interests. We have excluded certain transactions with nonconsolidated entities from the balances presented in the table below, where our only continuing involvement relates to financial interests obtained through the ordinary course of business, primarily from lending and investing arrangements. For additional detail related to the assets and liabilities of consolidated variable interest entities refer to the Condensed Consolidated Balance Sheet. ($ 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 September 30, 2023 On-balance sheet variable interest entities Consumer automotive $ 19,532 (b) $ 3,230 (c) $ — $ — Off-balance sheet variable interest entities Consumer automotive — — 835 835 (d) Consumer other (e) — — 131 131 Commercial other 2,278 (f) 822 (g) — 2,860 (h) Total $ 21,810 $ 4,052 $ 966 $ 3,826 December 31, 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 (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 $9.7 billion and $10.6 billion of assets that were not encumbered by VIE beneficial interests held by third parties at September 30, 2023, and December 31, 2022, respectively. Ally or consolidated affiliates hold the interests in these assets. (c) Includes $105 million and $113 million of liabilities that were not obligations to third-party beneficial interest holders at September 30, 2023, and December 31, 2022, 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 Ally Credit Card. (f) Amounts are classified as other assets except for $44 million and $38 million classified as equity securities at September 30, 2023, and December 31, 2022, respectively. (g) Amounts are classified as accrued expenses and other liabilities. (h) For certain nonconsolidated affordable housing entities, maximum exposure to loss represents the yield we guaranteed investors through long-term guarantee contracts. The amount disclosed is based on the unlikely event that the yield delivered to investors in the form of low-income tax housing credits is recaptured. For nonconsolidated equity investments, maximum exposure to loss represents our outstanding investment, additional committed capital, and low-income housing tax credits subject to recapture. The amount disclosed is based on the unlikely event that our committed capital is funded, our investments become worthless, and the tax credits previously delivered to us are recaptured. This required disclosure is not an indication of our expected loss. Cash Flows with Nonconsolidated Special-Purpose Entities The following table summarizes cash flows received and paid related to SPEs and asset-backed financings where the transfer is accounted for as a sale and we have a continuing involvement with the transferred consumer automotive and credit card assets (for example, servicing) that were outstanding during the nine months ended September 30, 2023, and 2022. Additionally, this table contains information regarding cash flows received from and paid to nonconsolidated SPEs that existed during each period. Nine months ended September 30, ($ in millions) 2023 2022 Consumer automotive Cash proceeds from transfers completed during the period $ 707 $ 60 Servicing fees 11 — Other cash flows 1 — Consumer other (a) Cash proceeds from transfers completed during the period 100 93 Servicing fees 7 9 Total $ 826 $ 162 (a) Represents activity from Ally Credit Card. 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 ($ in millions) September 30, 2023 December 31, 2022 September 30, 2023 December 31, 2022 Whole-loan sales (a) Consumer automotive $ 835 $ 227 $ 27 $ 2 Consumer other 131 103 16 8 Total $ 966 $ 330 $ 43 $ 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 Three months ended September 30, Nine months ended September 30, ($ in millions) 2023 2022 2023 2022 Whole-loan sales (a) Consumer automotive $ 10 $ — $ 14 $ — Consumer other 8 — 21 — Total $ 18 $ — $ 35 $ — (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. |
Other Assets
Other Assets | 9 Months Ended |
Sep. 30, 2023 | |
Other Assets [Abstract] | |
Other Assets | Other Assets The components of other assets were as follows. ($ in millions) September 30, 2023 December 31, 2022 Property and equipment at cost $ 2,425 $ 2,352 Accumulated depreciation (1,142) (1,076) Net property and equipment 1,283 1,276 Investment in qualified affordable housing projects (a) 1,630 1,596 Net deferred tax assets 1,514 1,087 Accrued interest, fees, and rent receivables 898 786 Nonmarketable equity investments 857 842 Goodwill 822 822 Equity-method investments (b) 650 608 Restricted cash held for securitization trusts (c) 522 585 Other accounts receivable 181 164 Operating lease right-of-use assets 99 111 Restricted cash and cash equivalents (d) 81 66 Net intangible assets 79 98 Other assets 985 1,097 Total other assets $ 9,601 $ 9,138 (a) Presented gross of the associated unfunded commitment. Refer to Note 13 for further information. (b) Primarily relates to investments made in connection with our CRA program. (c) 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. (d) 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 September 30, 2023, and December 31, 2022, including cumulative unrealized gains and losses, was as follows. ($ in millions) September 30, 2023 December 31, 2022 FRB stock $ 419 $ 401 FHLB stock 338 318 Equity investments without a readily determinable fair value Cost basis at acquisition 73 89 Adjustments Upward adjustments 50 177 Downward adjustments (including impairment) (23) (143) Carrying amount, equity investments without a readily determinable fair value 100 123 Nonmarketable equity investments $ 857 $ 842 During the three months and nine months ended September 30, 2023, and September 30, 2022, respectively, unrealized gains and losses included in the carrying value of the nonmarketable equity investments still held as of September 30, 2023, and September 30, 2022, were as follows. Three months ended September 30, Nine months ended September 30, ($ in millions) 2023 2022 2023 2022 Upward adjustments $ — $ — $ 7 $ 1 Downward adjustments (including impairment) (a) $ — $ (137) $ (17) $ (140) (a) No impairment on FHLB and FRB stock was recognized during both the three months and nine months ended September 30, 2023, and 2022. The downward adjustments (including impairment) during the three months and nine months ended September 30, 2022, were primarily driven by an impairment in our investment in BMC Holdco. During the three months ended September 30, 2023, this investment was transferred from nonmarketable equity investments to equity securities on the Condensed Consolidated Balance Sheet as our investment converted into publicly traded common stock in BHF. Total loss on nonmarketable equity investments, net, which includes both realized and unrealized gains and losses, was a loss of $11 million for the nine months ended September 30, 2023, compared to losses of $135 million and $133 million for the three months and nine months ended September 30, 2022, respectively. The carrying balance of goodwill by reportable operating segment was as follows. ($ in millions) Automotive Finance operations Insurance operations Corporate and Other (a) Total Goodwill at December 31, 2021 $ 20 $ 27 $ 775 $ 822 Goodwill acquired — — — — Goodwill at December 31, 2022 $ 20 $ 27 $ 775 $ 822 Goodwill acquired — — — — Goodwill at September 30, 2023 $ 20 $ 27 $ 775 $ 822 (a) Includes $479 million of goodwill associated with Ally Credit Card at both September 30, 2023, and December 31, 2022, $153 million of goodwill associated with Ally Lending at both September 30, 2023, and December 31, 2022, and $143 million of goodwill associated with Ally Invest at both September 30, 2023, and December 31, 2022. The net carrying value of intangible assets by class was as follows. September 30, 2023 (a) December 31, 2022 ($ in millions) Gross intangible assets Accumulated amortization Net carrying value Gross intangible assets Accumulated amortization Net carrying value Technology $ 122 $ (65) $ 57 $ 122 $ (53) $ 69 Customer lists 58 (55) 3 58 (51) 7 Purchased credit card relationships 25 (6) 19 25 (4) 21 Trademarks 2 (2) — 2 (1) 1 Total intangible assets $ 207 $ (128) $ 79 $ 207 $ (109) $ 98 (a) We expect to recognize amortization expense of $7 million during the remainder of 2023, $19 million in 2024, and $14 million per year for 2025, 2026, and 2027. |
Deposit Liabilities
Deposit Liabilities | 9 Months Ended |
Sep. 30, 2023 | |
Deposits [Abstract] | |
Deposit Liabilities | Deposit Liabilities Deposit liabilities consisted of the following. ($ in millions) September 30, 2023 December 31, 2022 Noninterest-bearing deposits $ 188 $ 185 Interest-bearing deposits Savings, money market, and spending accounts 99,161 110,776 Certificates of deposit 53,486 41,336 Total deposit liabilities $ 152,835 $ 152,297 At September 30, 2023, and December 31, 2022, certificates of deposit included $6.8 billion and $5.6 billion, respectively, of those in denominations in excess of $250 thousand. |
Debt
Debt | 9 Months Ended |
Sep. 30, 2023 | |
Debt Disclosure [Abstract] | |
Debt | Debt Short-Term Borrowings The following table presents the composition of our short-term borrowings portfolio. September 30, 2023 December 31, 2022 ($ in millions) Unsecured Secured (a) Total Unsecured Secured (a) Total Federal Home Loan Bank $ — $ 1,675 $ 1,675 $ — $ 1,900 $ 1,900 Securities sold under agreements to repurchase — 735 735 — 499 499 Total short-term borrowings $ — $ 2,410 $ 2,410 $ — $ 2,399 $ 2,399 (a) Refer to the section below titled Long-Term Debt for further details on assets restricted as collateral for payment of the related debt. 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 September 30, 2023, the securities sold under agreements to repurchase consisted of $483 million of agency mortgage-backed residential debt securities and $252 million of U.S. Treasury and federal agency securities. The repurchase agreements are set to mature within 30 days. Refer to Note 6 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 September 30, 2023, we placed cash collateral of $15 million subsequent to the execution of the repurchase agreements, and we did not receive any collateral. At December 31, 2022, we placed cash collateral of $1 million subsequent to the execution of the repurchase agreements, and we did not receive any collateral. Long-Term Debt The following tables present the composition of our long-term debt portfolio. September 30, 2023 December 31, 2022 ($ in millions) Unsecured Secured Total Unsecured Secured Total Long-term debt (a) Due within one year $ 2,622 $ 3,349 $ 5,971 $ 2,023 $ 2,395 $ 4,418 Due after one year 8,194 5,931 14,125 8,014 5,330 13,344 Total long-term debt (b) $ 10,816 $ 9,280 $ 20,096 $ 10,037 $ 7,725 $ 17,762 (a) Includes basis adjustments related to the application of hedge accounting. Refer to Note 18 for additional information. (b) Includes advances, net of hedge basis adjustments, from the FHLB of Pittsburgh of $6.2 billion and $5.3 billion at September 30, 2023, and December 31, 2022, respectively. The following table presents the scheduled remaining maturity of long-term debt at September 30, 2023, assuming no early redemptions will occur. The amounts below include adjustments to the carrying value resulting from the application of hedge accounting. The actual payment of secured debt may vary based on the payment activity of the related pledged assets. ($ in millions) 2023 2024 2025 2026 2027 2028 and thereafter Total Unsecured Long-term debt $ 1,219 $ 1,478 $ 2,485 $ 154 $ 1,537 $ 4,790 $ 11,663 Original issue discount (16) (68) (74) (82) (94) (513) (847) Total unsecured 1,203 1,410 2,411 72 1,443 4,277 10,816 Secured Long-term debt 807 3,388 2,293 1,991 526 275 9,280 Total long-term debt $ 2,010 $ 4,798 $ 4,704 $ 2,063 $ 1,969 $ 4,552 $ 20,096 The following summarizes assets restricted as collateral for the payment of the related debt obligation. ($ in millions) September 30, 2023 December 31, 2022 Consumer automotive finance receivables $ 43,426 $ 11,759 Consumer mortgage finance receivables 18,931 19,771 Commercial finance receivables 5,837 4,210 Investment securities (amortized cost of $4,818 and $4,288) (a) 3,865 3,525 Total assets restricted as collateral (b) (c) (d) $ 72,059 $ 39,265 Secured debt (e) $ 11,690 $ 10,124 (a) A portion of the restricted investment securities at September 30, 2023, and 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 $27.9 billion and $27.0 billion at September 30, 2023, and December 31, 2022, respectively. These assets were primarily composed of consumer mortgage finance receivables and loans, as well as real-estate-backed loans within our Automotive Finance and Corporate Finance businesses, and non-agency mortgage-backed securities. Ally Bank has access to the FRB Discount Window and had assets pledged and restricted as collateral to the FRB totaling $34.0 billion and $2.4 billion at September 30, 2023, and December 31, 2022, respectively. 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 Condensed Consolidated Balance Sheet. Refer to Note 10 for additional information. (e) Includes $2.4 billion of short-term borrowings at both September 30, 2023, and December 31, 2022. |
Accrued Expenses and Other Liab
Accrued Expenses and Other Liabilities | 9 Months Ended |
Sep. 30, 2023 | |
Accounts Payable and Accrued Liabilities [Abstract] | |
Accrued Expenses and Other Liabilities | Accrued Expenses and Other Liabilities The components of accrued expenses and other liabilities were as follows. ($ in millions) September 30, 2023 December 31, 2022 Unfunded commitments for investment in qualified affordable housing projects $ 818 $ 869 Accounts payable 482 435 Employee compensation and benefits 344 424 Deferred revenue 161 169 Reserves for insurance losses and loss adjustment expenses (a) 145 119 Operating lease liabilities 123 137 Other liabilities 534 495 Total accrued expenses and other liabilities $ 2,607 $ 2,648 (a) Refer to Note 4 for further information. |
Preferred Stock
Preferred Stock | 9 Months Ended |
Sep. 30, 2023 | |
Equity [Abstract] | |
Preferred Stock | Preferred Stock The following table summarizes information about our preferred stock. For additional information regarding our preferred stock, refer to Note 17 to the Consolidated Financial Statements in our 2022 Annual Report on Form 10-K. September 30, 2023 December 31, 2022 Series B preferred stock (a) Issuance date April 22, 2021 April 22, 2021 Carrying value ($ in millions) $ 1,335 $ 1,335 Par value (per share) $ 0.01 $ 0.01 Liquidation preference (per share) $ 1,000 $ 1,000 Number of shares authorized 1,350,000 1,350,000 Number of shares issued and outstanding 1,350,000 1,350,000 Dividend/coupon Prior to May 15, 2026 4.700% 4.700% On and after May 15, 2026 Five Year Treasury + 3.868% Five Year Treasury + 3.868% Series C preferred stock (a) Issuance date June 2, 2021 June 2, 2021 Carrying value ($ in millions) $ 989 $ 989 Par value (per share) $ 0.01 $ 0.01 Liquidation preference (per share) $ 1,000 $ 1,000 Number of shares authorized 1,000,000 1,000,000 Number of shares issued and outstanding 1,000,000 1,000,000 Dividend/coupon Prior to May 15, 2028 4.700% 4.700% On and after May 15, 2028 Seven Year Treasury + 3.481% 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 | 9 Months Ended |
Sep. 30, 2023 | |
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. Three months ended September 30, ($ in millions) Unrealized losses on investment securities (a) Translation adjustments and net investment hedges (b) Cash flow hedges (b) Defined benefit pension plans (c) Accumulated other comprehensive loss Balance at July 1, 2022 $ (2,940) $ 19 $ 27 $ (115) $ (3,009) Net change (1,343) (1) (3) 16 (1,331) Balance at September 30, 2022 $ (4,283) $ 18 $ 24 $ (99) $ (4,340) Balance at July 1, 2023 $ (3,881) $ 21 $ (3) $ — $ (3,863) Net change (886) (1) (15) — (902) Balance at September 30, 2023 $ (4,767) $ 20 $ (18) $ — $ (4,765) (a) Represents the after-tax difference between the fair value and amortized cost of our available-for-sale securities portfolio. Refer to Note 6 for additional information. (b) For additional information on derivative instruments and hedging activities, refer to Note 18. (c) During 2022, we settled our qualified defined benefit pension plan. Refer to Note 18 to the Consolidated Financial Statements in our 2022 Annual Report on Form 10-K for additional information. Nine months ended September 30, ($ in millions) Unrealized losses on investment securities (a) Translation adjustments and net investment hedges (b) Cash flow hedges (b) Defined benefit pension plans (c) Accumulated other comprehensive loss Balance at January 1, 2022 $ (95) $ 19 $ 35 $ (117) $ (158) Net change (4,188) (1) (11) 18 (4,182) Balance at September 30, 2022 $ (4,283) $ 18 $ 24 $ (99) $ (4,340) Balance at January 1, 2023 $ (4,095) $ 18 $ 18 $ — $ (4,059) Net change (672) 2 (36) — (706) Balance at September 30, 2023 $ (4,767) $ 20 $ (18) $ — $ (4,765) (a) Represents the after-tax difference between the fair value and amortized cost of our available-for-sale securities portfolio. Refer to Note 6 for additional information. (b) For additional information on derivative instruments and hedging activities, refer to Note 18. (c) During 2022, we settled our qualified defined benefit pension plan. Refer to Note 18 to the Consolidated Financial Statements in our 2022 Annual Report on Form 10-K for additional information. The following tables present the before- and after-tax changes in each component of accumulated other comprehensive loss. Three months ended September 30, 2023 ($ in millions) Before tax Tax effect After tax Investment securities Net unrealized losses arising during the period $ (1,163) $ 277 $ (886) Translation adjustments Net unrealized losses arising during the period (5) 1 (4) Net investment hedges (a) Net unrealized gains arising during the period 4 (1) 3 Cash flow hedges (a) Net unrealized losses arising during the period (15) 4 (11) Less: Net realized gains reclassified to income from continuing operations 5 (b) (1) (c) 4 Net change (20) 5 (15) Other comprehensive loss $ (1,184) $ 282 $ (902) (a) For additional information on derivative instruments and hedging activities, refer to Note 18. (b) Includes gains reclassified to interest and fees on finance receivables and loans in our Condensed Consolidated Statement of Comprehensive Income. (c) Includes amounts reclassified to income tax expense from continuing operations in our Condensed Consolidated Statement of Comprehensive Income. Three months ended September 30, 2022 ($ in millions) Before tax Tax effect After tax Investment securities Net unrealized losses arising during the period $ (1,757) $ 416 $ (1,341) Less: Net realized gains reclassified to income from continuing operations 2 (a) — (b) 2 Net change (1,759) 416 (1,343) Translation adjustments Net unrealized losses arising during the period (11) 2 (9) Net investment hedges (c) Net unrealized gains arising during the period 10 (2) 8 Cash flow hedges (c) Less: Net realized gains reclassified to income from continuing operations 4 (d) (1) (b) 3 Defined benefit pension plans Less: Net realized losses reclassified to income from continuing operations (21) (e) 5 (b) (16) Other comprehensive loss $ (1,743) $ 412 $ (1,331) (a) Includes gains reclassified to other gain on investments, net in our Condensed Consolidated Statement of Comprehensive Income. (b) Includes amounts reclassified to income tax expense from continuing operations in our Condensed Consolidated Statement of Comprehensive Income. (c) For additional information on derivative instruments and hedging activities, refer to Note 18. (d) Includes gains reclassified to interest and fees on finance receivables and loans in our Condensed Consolidated Statement of Comprehensive Income. (e) Includes losses reclassified to compensation and benefits expense in our Condensed Consolidated Statement of Comprehensive Income as a result of actions taken toward the settlement of our qualified defined benefit pension plan. Refer to Note 18 to the Consolidated Financial Statements in our 2022 Annual Report on Form 10-K for additional information. Nine months ended September 30, 2023 ($ in millions) Before tax Tax effect After tax Investment securities Net unrealized losses arising during the period $ (877) $ 209 $ (668) Less: Net realized gains reclassified to income from continuing operations 5 (a) (1) (b) 4 Net change (882) 210 (672) Translation adjustments Net unrealized gains arising during the period 1 — 1 Net investment hedges (c) Net unrealized gains arising during the period 1 — 1 Cash flow hedges (c) Net unrealized losses arising during the period (33) 9 (24) Less: Net realized gains reclassified to income from continuing operations 15 (d) (3) (b) 12 Net change (48) 12 (36) Other comprehensive loss $ (928) $ 222 $ (706) (a) Includes gains reclassified to other gain on investments, net in our Condensed Consolidated Statement of Comprehensive Income. (b) Includes amounts reclassified to income tax expense from continuing operations in our Condensed Consolidated Statement of Comprehensive Income. (c) For additional information on derivative instruments and hedging activities, refer to Note 18. (d) Includes gains reclassified to interest and fees on finance receivables and loans in our Condensed Consolidated Statement of Comprehensive Income. Nine months ended September 30, 2022 ($ in millions) Before tax Tax effect After tax Investment securities Net unrealized losses arising during the period $ (5,465) $ 1,295 $ (4,170) Less: Net realized gains reclassified to income from continuing operations 23 (a) (5) (b) 18 Net change (5,488) 1,300 (4,188) Translation adjustments Net unrealized losses arising during the period (13) 3 (10) Net investment hedges (c) Net unrealized gains arising during the period 11 (2) 9 Cash flow hedges (c) Less: Net realized gains reclassified to income from continuing operations 15 (d) (4) (b) 11 Defined benefit pension plans Net unrealized gains arising during the period 2 — 2 Less: Net realized losses reclassified to income from continuing operations (21) (e) 5 (b) (16) Net change 23 (5) 18 Other comprehensive loss $ (5,482) $ 1,300 $ (4,182) (a) Includes gains reclassified to other gain on investments, net in our Condensed Consolidated Statement of Comprehensive Income. (b) Includes amounts reclassified to income tax expense from continuing operations in our Condensed Consolidated Statement of Comprehensive Income. (c) For additional information on derivative instruments and hedging activities, refer to Note 18. (d) Includes gains reclassified to interest and fees on finance receivables and loans in our Condensed Consolidated Statement of Comprehensive Income. (e) Includes losses reclassified to compensation and benefits expense in our Condensed Consolidated Statement of Comprehensive Income as a result of actions taken toward the settlement of our qualified defined benefit pension plan. Refer to Note 18 to the Consolidated Financial Statements in our 2022 Annual Report on Form 10-K for additional information. |
Earnings per Common Share
Earnings per Common Share | 9 Months Ended |
Sep. 30, 2023 | |
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. Three months ended September 30, Nine months ended September 30, ($ in millions, except per share data; shares in thousands) (a) 2023 2022 2023 2022 Net income from continuing operations $ 296 $ 300 $ 945 $ 1,437 Preferred stock dividends — Series B (16) (16) (48) (48) Preferred stock dividends — Series C (11) (11) (35) (35) Net income from continuing operations attributable to common stockholders $ 269 $ 273 $ 862 $ 1,354 Loss from discontinued operations, net of tax — (1) (1) (1) Net income attributable to common stockholders $ 269 $ 272 $ 861 $ 1,353 Basic weighted-average common shares outstanding (b) 304,134 308,220 303,497 321,884 Diluted weighted-average common shares outstanding (b) 305,693 310,086 304,601 323,875 Basic earnings per common share Net income from continuing operations $ 0.88 $ 0.88 $ 2.84 $ 4.20 Loss from discontinued operations, net of tax — — (0.01) — Net income $ 0.88 $ 0.88 $ 2.84 $ 4.20 Diluted earnings per common share Net income from continuing operations $ 0.88 $ 0.88 $ 2.83 $ 4.18 Loss from discontinued operations, net of tax — — (0.01) — Net income $ 0.88 $ 0.88 $ 2.83 $ 4.18 (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. |
Regulatory Capital and Other Re
Regulatory Capital and Other Regulatory Matters | 9 Months Ended |
Sep. 30, 2023 | |
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. Refer to the discussion below, however, about rules proposed by the U.S. banking agencies in 2023 that would significantly alter the Tailoring Rules. Currently, 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 September 30, 2023, the stress capital buffer requirement for Ally was 2.5%. Ally and Ally Bank are currently 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 currently subject to the U.S. market-risk capital rule, which applies only to banking organizations with significant trading assets and liabilities. Since Ally and Ally Bank are currently not subject to the advanced approaches risk-based capital rules, we elected to apply a one-time option to exclude most components of accumulated other comprehensive income and loss from regulatory capital. As of September 30, 2023, and December 31, 2022, Ally had $4.8 billion and $4.1 billion, respectively, of accumulated other comprehensive losses, net of applicable income taxes, that were excluded from Common Equity Tier 1 capital. Refer to the discussion below, however, about rules proposed by the U.S. banking agencies in 2023 that would require us to recognize all components of accumulated other comprehensive income and loss in regulatory capital, except gains and losses on cash-flow hedges where the hedged items are not recognized on our balance sheet at fair value. Refer also to Note 15 for additional details about our accumulated other comprehensive loss. 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 September 30, 2023, and December 31, 2022, 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 $11.3 billion at September 30, 2023, which represented 7.4% of Ally Bank’s total deposits. The following table summarizes our capital ratios under U.S. Basel III. September 30, 2023 December 31, 2022 Required minimum (a) Well-capitalized minimum ($ in millions) Amount Ratio Amount Ratio Capital ratios Common Equity Tier 1 (to risk-weighted assets) Ally Financial Inc. $ 14,994 9.31 % $ 14,592 9.27 % 4.50 % (b) Ally Bank 17,215 11.27 17,011 11.38 4.50 6.50 % Tier 1 (to risk-weighted assets) Ally Financial Inc. $ 17,257 10.71 % $ 16,867 10.72 % 6.00 % 6.00 % Ally Bank 17,215 11.27 17,011 11.38 6.00 8.00 Total (to risk-weighted assets) Ally Financial Inc. $ 20,126 12.49 % $ 19,209 12.21 % 8.00 % 10.00 % Ally Bank 19,140 12.53 18,888 12.64 8.00 10.00 Tier 1 leverage (to adjusted quarterly average assets) (c) Ally Financial Inc. $ 17,257 8.60 % $ 16,867 8.65 % 4.00 % (b) Ally Bank 17,215 9.04 17,011 9.23 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 and Ally Bank were required to maintain a minimum capital conservation buffer of 2.5% at both September 30, 2023, and December 31, 2022. (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 to the Consolidated Financial Statements in our 2022 Annual Report on Form 10-K 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 September 30, 2023, the total deferred impact on Common Equity Tier 1 capital related to our adoption of CECL was $591 million. In April 2023, in a statement accompanying the review of the FRB’s supervision and regulation of SVB, FRB Vice Chair for Supervision Barr highlighted a plan to revisit the Tailoring Rules and develop stronger capital, liquidity, stress-testing, and other standards for Category IV firms like Ally. In July 2023, the U.S. banking agencies issued a proposed rule to customize and implement revisions to the global Basel III capital framework that had been approved by the Basel Committee in December 2017 (commonly known as the Basel III endgame or as Basel IV). For regulatory capital, the proposed rule would eliminate the effect of the Tailoring Rules by requiring the recognition of most elements of accumulated other comprehensive income and loss and the application of deductions, limitations, and criteria for specified capital investments, minority interests, and TLAC holdings. For each of the risk-based capital ratios, a large banking organization like Ally would calculate and be bound by the lower of two alternatives: one version of the ratio based on an expanded risk-based approach prescribed in the proposed rule and one version of the ratio based on the standardized approach as modified by the proposed rule. All capital buffer requirements, including the stress capital buffer requirement, would apply regardless of whether the expanded risk-based approach or the standardized approach produces the lower ratio. Under the expanded risk-based approach, total RWAs would equal the sum of the RWAs for credit risk, equity risk, operational risk, market risk, and CVA risk as set forth in the proposed rule minus any amount of the banking organization’s adjusted allowance for credit losses that is not included in Tier 2 capital and any amount of allocated transfer risk reserves. Under the standardized approach, total RWAs would be calculated using the existing rules with a revised methodology for determining market risk-weighted assets and a required application of the standardized approach for counterparty credit risk for derivative exposures. Category IV firms would be further required under the proposed rule to project their risk-based capital ratios under baseline conditions in their capital plans and related reports using the RWA-calculation approach that results in their binding risk-based capital ratios as of the start of the projection horizon. The proposed rule also would roll back additional elements of the Tailoring Rules by applying to Category IV firms the supplementary leverage ratio, the countercyclical capital buffer, and enhanced public disclosure and reporting requirements. Under the proposed rule, a three-year transition period from July 1, 2025, to June 30, 2028, would apply to the recognition of accumulated other comprehensive income and loss in regulatory capital and the use of the expanded risk-based approach. The phase-in of accumulated other comprehensive income and loss is expected to significantly affect our levels of regulatory capital. While we believe that this would be manageable, we also anticipate that our levels of regulatory capital would need to be gradually increased in advance of and during the proposed transition period. As for the proposed changes to RWAs, while we continue to evaluate the effects of individual provisions and the interplay among them as well as potential management actions in response, the impact is not currently expected to be significant in the aggregate if the proposed rule were adopted in its existing form. We are actively engaged with research and advocacy groups to inform the rulemaking process and better understand the impacts of the proposed rule on banking organizations of various sizes and complexities—as well as the competitive environment more broadly—and likewise encourage the U.S. banking agencies to closely study these impacts and their wider implications. In August 2023, the U.S. banking agencies issued two proposed rules to improve the resolvability of Category IV firms like Ally. The first proposed rule would require Category II, III, and IV firms, their large consolidated banks, and other institutions to issue and maintain minimum amounts of eligible long-term debt in an amount that is the greater of (i) 6 percent of total RWAs, (ii) 3.5 percent of average total consolidated assets, and (iii) 2.5 percent of total leverage exposure. Covered insured depository institutions, like Ally Bank, that are consolidated subsidiaries of covered entities, like Ally, would be required to issue eligible long-term debt internally to a company that consolidates the covered insured depository institution, which would in turn be required to purchase that long-term debt. Only long-term debt instruments that are most readily able to absorb losses in a resolution proceeding would qualify, and the operations of covered entities would be subject to clean-holding-company requirements such as prohibitions and limitations on their liabilities to unaffiliated entities. Under the proposed rule, a transition period would apply with 25, 50, and 100 percent of the long-term-debt requirements coming into effect by the end of the first, second, and third years, respectively, after finalization of the rule. The second proposed rule, which was issued solely by the FDIC, would require each insured depository institution with $100 billion or more in total assets, like Ally Bank, to submit a full resolution plan with an identified strategy for ensuring timely access to insured deposits, maximizing value from the disposition of assets, minimizing any losses realized by creditors, and addressing potential financial-stability risks. Each resolution plan also would be subject to more stringent standards on its assumptions, content, and reviews. Covered insured depository institutions would need to submit a full resolution plan every two years with interim supplements in non-submission years. We are still assessing the impact of these two proposed rules but, due to the current structure and amount of debt instruments issued by Ally and Ally Bank, expect the long-term-debt rule in particular to significantly affect us. Whether and when final rules related to these proposals may be adopted and take effect, as well as what changes to the proposed rules may be reflected in any final rules after the comment periods, remain unclear. Also, beyond these proposed rules, more stringent and less tailored liquidity, stress-testing, and other standards for Category IV firms like Ally may be forthcoming, including those that may reinstate the LCR, require more rigorous liquidity stress testing, and return Ally to supervisory stress testing on an annual cycle. 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 was subject to the 2022 supervisory stress test and did not elect to participate in the 2023 supervisory stress test. 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 302 million as of September 30, 2023. At this time, the Board has not authorized a stock-repurchase program for 2023 or 2024. 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% and reflected a decline of 100 basis points relative to our prior requirement. The updated 2.5% stress capital buffer requirement was finalized in August 2022 and became effective on October 1, 2022. In February 2023, we accessed the unsecured debt capital markets and issued $500 million of additional subordinated notes, which qualify as Tier 2 capital for Ally under U.S. Basel III. We submitted our 2023 capital plan to the FRB on April 5, 2023, and received in June 2023 an updated preliminary stress capital buffer requirement that remained unchanged at 2.5%. The 2.5% stress capital buffer requirement was finalized in July 2023 and became effective on October 1, 2023. Our ability to make capital distributions, including our ability to pay dividends or repurchase shares of our common stock, will continue to be subject to the FRB’s review and our internal governance requirements, including approval by our Board. The amount and size of any future dividends and share repurchases also will be subject to various factors, including Ally’s capital and liquidity positions, accounting and regulatory considerations (including any restrictions that may be imposed by the FRB and any changes to capital, liquidity, and other regulatory requirements that may be proposed or adopted by the U.S. banking agencies), the taxation of share repurchases, financial and operational performance, alternative uses of capital, common-stock price, and general market conditions, and may be extended, modified, or discontinued at any time. The following table presents information related to our common stock and distributions to our common stockholders. Common stock repurchased during period (a) Number of common shares outstanding Cash dividends declared per common share (b) ($ in millions, except per share data; shares in thousands) Approximate dollar value Number of shares Beginning of period End of period 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 2023 First quarter $ 27 836 299,324 300,821 $ 0.30 Second quarter 2 58 300,821 301,619 0.30 Third quarter — 5 301,619 301,630 0.30 (a) Includes shares of common stock withheld to cover income taxes owed by participants in our share-based incentive plans. (b) On October 9, 2023, our Board declared a quarterly cash dividend of $0.30 per share on all common stock, payable on November 15, 2023, to stockholders of record at the close of business on November 1, 2023. Refer to Note 24 for further information regarding this common-stock dividend. |
Derivative Instruments and Hedg
Derivative Instruments and Hedging Activities | 9 Months Ended |
Sep. 30, 2023 | |
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 a more 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. We have the ability to execute economic hedges, which could 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 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 require 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 nine months ended September 30, 2023, or 2022. We placed noncash collateral with counterparties totaling $552 million, supporting our derivative positions at September 30, 2023, compared to $2 million and $384 million of cash and noncash collateral, respectively, at December 31, 2022. 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 Condensed 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 $20 million and $23 million at September 30, 2023, and December 31, 2022, respectively. These amounts exclude cash and noncash collateral pledged under repurchase agreements. The payables for cash collateral received are included on our Condensed Consolidated Balance Sheet in accrued expenses and other liabilities. Balance Sheet Presentation The following table summarizes the amounts of derivative instruments reported on our Condensed Consolidated Balance Sheet. The amounts are presented on a gross basis, are segregated by derivatives that are designated and qualifying as hedging instruments or those that are not, and are further segregated by type of contract within those two categories. Derivative contracts in a receivable and payable position exclude open trade equity on derivatives cleared through central clearing counterparties. Any associated margin exchanged with our central clearing counterparties are treated as settlements of the derivative exposure, rather than collateral. Such payments are recognized as settlements of the derivatives contracts in a receivable and payable position on our Condensed Consolidated Balance Sheet. Notional amounts are reference amounts from which contractual obligations are derived and are not recorded on the balance sheet. In our view, derivative notional is not an accurate measure of our derivative exposure when viewed in isolation from other factors, such as market rate fluctuations and counterparty credit risk. September 30, 2023 December 31, 2022 Derivative contracts in a Notional amount Derivative contracts in a Notional amount ($ in millions) receivable position payable position receivable position payable position Derivatives designated as accounting hedges Interest rate contracts Swaps $ — $ — $ 33,194 $ — $ — $ 30,619 Purchased options 19 — 6,250 22 — 2,800 Foreign exchange contracts Forwards 1 — 163 — 1 151 Total derivatives designated as accounting hedges 20 — 39,607 22 1 33,570 Derivatives not designated as accounting hedges Interest rate contracts Futures and forwards 1 — 84 — — 37 Written options 1 — 103 — — 79 Total interest rate risk 2 — 187 — — 116 Foreign exchange contracts Futures and forwards — — 57 — 1 147 Total foreign exchange risk — — 57 — 1 147 Credit contracts (a) Other credit derivatives — 14 n/a — 39 n/a Total credit risk — 14 n/a — 39 n/a Equity contracts Written options — — — — 1 — Purchased options — — — 1 — — Total equity risk — — — 1 1 — Total derivatives not designated as accounting hedges 2 14 244 1 41 263 Total derivatives $ 22 $ 14 $ 39,851 $ 23 $ 42 $ 33,833 n/a = not applicable (a) The maximum potential amount of undiscounted future payments that could be required under these credit derivatives was $38 million and $82 million as of September 30, 2023, and December 31, 2022, respectively. The following table presents amounts recorded on our Condensed Consolidated Balance Sheet related to cumulative basis adjustments for fair value hedges. Carrying amount of the hedged items Cumulative amount of fair value hedging adjustment included in the carrying amount of the hedged items Total Discontinued (a) ($ in millions) September 30, 2023 December 31, 2022 September 30, 2023 December 31, 2022 September 30, 2023 December 31, 2022 Assets Available-for-sale securities (b) $ 14,478 $ 11,265 $ (434) $ (180) $ (164) $ (181) Finance receivables and loans, net (c) 46,091 46,390 (358) (617) (30) (57) Liabilities Long-term debt $ 7,736 $ 7,697 $ 102 $ 112 $ 102 $ 120 (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 September 30, 2023, and December 31, 2022, the amortized cost basis and unallocated basis adjustments of the closed portfolios used in these hedging relationships was $13.0 billion and $10.0 billion, respectively, of which $12.8 billion and $9.7 billion, respectively, represents the amortized cost basis and unallocated basis adjustments of closed portfolios designated in an active hedge relationship. At September 30, 2023, and December 31, 2022, the total cumulative basis adjustments associated with these hedging relationships was a $360 million liability and a $135 million liability, respectively, of which the portion related to discontinued hedging relationships was a $126 million liability and a $138 million liability, respectively. At September 30, 2023, and December 31, 2022, the notional amounts of the designated hedged items were $10.5 billion and $4.0 billion, respectively, with cumulative basis adjustments of a $234 million liability and a $3 million asset, respectively, which would be allocated across the entire remaining closed pool upon termination or maturity of the hedge relationship. Refer to Note 6 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 September 30, 2023, and December 31, 2022, the carrying value of the closed portfolios used in these hedging relationships was $46.1 billion and $46.4 billion, respectively, of which $40.1 billion and $46.1 billion, respectively, represents the carrying value of closed portfolios designated in an active hedge relationship. At September 30, 2023, and December 31, 2022, the total cumulative basis adjustments associated with these hedging relationships was a $358 million liability and a $617 million liability, respectively, of which the portion related to discontinued hedging relationships was a $30 million liability and a $57 million liability, respectively. At September 30, 2023, and December 31, 2022, the notional amounts of the designated hedged items were $21.3 billion and $22.8 billion, respectively, with cumulative basis adjustments of a $328 million liability and a $560 million liability, respectively, which would be allocated across the entire remaining closed pool upon termination or maturity of the hedge relationship. Statement of Income Presentation The following table summarizes the location and amounts of gains and losses on derivative instruments not designated as accounting hedges reported in our Condensed Consolidated Statement of Comprehensive Income. Three months ended September 30, Nine months ended September 30, ($ in millions) 2023 2022 2023 2022 Gain (loss) recognized in earnings Interest rate contracts Gain on mortgage and automotive loans, net $ 4 $ 7 $ 13 $ 8 Other income, net of losses (1) 4 (1) 10 Total interest rate contracts 3 11 12 18 Foreign exchange contracts Other operating expenses 1 9 1 11 Total foreign exchange contracts 1 9 1 11 Credit contracts Other income, net of losses — — (5) (2) Total credit contracts — — (5) (2) Equity contracts Other income, net of losses (4) — (11) — Total equity contracts (4) — (11) — Total gain (loss) recognized in earnings $ — $ 20 $ (3) $ 27 The following tables summarize the location and amounts of gains and losses on derivative instruments designated as qualifying fair value and cash flow hedges reported in our Condensed Consolidated Statement of Comprehensive Income. Interest and fees on finance receivables and loans Interest and dividends on investment securities and other earning assets Interest on long-term debt Three months ended September 30, ($ in millions) 2023 2022 2023 2022 2023 2022 Gain (loss) on fair value hedging relationships Interest rate contracts Hedged fixed-rate unsecured debt $ — $ — $ — $ — $ — $ 1 Derivatives designated as hedging instruments on fixed-rate unsecured debt — — — — — (1) Hedged available-for-sale securities — — (164) (97) — — Derivatives designated as hedging instruments on available-for-sale securities — — 164 97 — — Hedged fixed-rate consumer automotive loans 66 (174) — — — — Derivatives designated as hedging instruments on fixed-rate consumer automotive loans (66) 174 — — — — Total gain on fair value hedging relationships — — — — — — Gain (loss) on cash flow hedging relationships Interest rate contracts Hedged variable-rate commercial loans Reclassified from accumulated other comprehensive income into income 4 5 — — — — Other hedged forecasted transactions Reclassified from accumulated other comprehensive income into income — — — — — (1) Total gain (loss) on cash flow hedging relationships $ 4 $ 5 $ — $ — $ — $ (1) Total amounts presented in the Condensed Consolidated Statement of Comprehensive Income $ 2,837 $ 2,120 $ 267 $ 218 $ 274 $ 194 Interest and fees on finance receivables and loans Interest and dividends on investment securities and other earning assets Interest on long-term debt Nine months ended September 30, ($ in millions) 2023 2022 2023 2022 2023 2022 Gain (loss) on fair value hedging relationships Interest rate contracts Hedged fixed-rate unsecured debt $ — $ — $ — $ — $ 1 $ 5 Derivatives designated as hedging instruments on fixed-rate unsecured debt — — — — (1) (5) Hedged available-for-sale securities — — (272) (186) — — Derivatives designated as hedging instruments on available-for-sale securities — — 272 186 — — Hedged fixed-rate consumer automotive loans 232 (627) — — — — Derivatives designated as hedging instruments on fixed-rate consumer automotive loans (232) 627 — — — — Total gain on fair value hedging relationships — — — — — — Gain (loss) on cash flow hedging relationships Interest rate contracts Hedged variable-rate commercial loans Reclassified from accumulated other comprehensive income into income 14 16 — — — — Other hedged forecasted transactions Reclassified from accumulated other comprehensive income into income — — (1) Total gain (loss) on cash flow hedging relationships $ 14 $ 16 $ — $ — $ — $ (1) Total amounts presented in the Condensed Consolidated Statement of Comprehensive Income $ 8,133 $ 5,676 $ 752 $ 609 $ 753 $ 563 During the next 12 months, we estimate $7 million of losses will be reclassified into pretax earnings from derivatives designated as cash flow hedges. The following tables summarize the location and amounts of gains and losses related to interest and amortization on derivative instruments designated as qualifying fair value and cash flow hedges reported in our Condensed Consolidated Statement of Comprehensive Income. Interest and fees on finance receivables and loans Interest and dividends on investment securities and other earning assets Interest on long-term debt Three months ended September 30, ($ in millions) 2023 2022 2023 2022 2023 2022 Gain (loss) on fair value hedging relationships Interest rate contracts Amortization of deferred unsecured debt basis adjustments $ — $ — $ — $ — $ 3 $ 1 Interest for qualifying accounting hedges of unsecured debt — — — — — — Amortization of deferred secured debt basis adjustments (FHLB advances) — — — — 1 (1) Amortization of deferred basis adjustments of available-for-sale securities — — 6 4 — — Interest for qualifying accounting hedges of available-for-sale securities — — 46 — — — Amortization of deferred loan basis adjustments 8 17 — — — — Interest for qualifying accounting hedges of consumer automotive loans held for investment 154 36 — — — — Total gain on fair value hedging relationships $ 162 $ 53 $ 52 $ 4 $ 4 $ — Interest and fees on finance receivables and loans Interest and dividends on investment securities and other earning assets Interest on long-term debt Nine months ended September 30, ($ in millions) 2023 2022 2023 2022 2023 2022 Gain on fair value hedging relationships Interest rate contracts Amortization of deferred unsecured debt basis adjustments $ — $ — $ — $ — $ 7 $ 3 Interest for qualifying accounting hedges of unsecured debt — — — — — 1 Amortization of deferred secured debt basis adjustments (FHLB advances) — — — — 2 (3) Amortization of deferred basis adjustments of available-for-sale securities — — 17 9 — — Interest for qualifying accounting hedges of available-for-sale securities — — 86 (1) — — Amortization of deferred loan basis adjustments 26 6 — — — — Interest for qualifying accounting hedges of consumer automotive loans held for investment 505 13 — — — — Total gain on fair value hedging relationships $ 531 $ 19 $ 103 $ 8 $ 9 $ 1 The following table summarizes the effect of cash flow hedges on accumulated other comprehensive loss. Three months ended September 30, Nine months ended September 30, ($ in millions) 2023 2022 2023 2022 Interest rate contracts Loss recognized in other comprehensive loss $ (20) $ (4) $ (48) $ (15) The following table summarizes the effect of net investment hedges on accumulated other comprehensive loss. Three months ended September 30, Nine months ended September 30, ($ in millions) 2023 2022 2023 2022 Foreign exchange contracts (a) (b) Gain recognized in other comprehensive income $ 4 $ 10 $ 1 $ 11 (a) There were no amounts excluded from effectiveness testing for the three months and nine months ended September 30, 2023, or 2022. (b) Gains and losses reclassified from accumulated other comprehensive loss are reported as other income, net of losses, in the Condensed Consolidated Statement of Comprehensive Income. There were no amounts reclassified for the three months and nine months ended September 30, 2023, or 2022. |
Income Taxes
Income Taxes | 9 Months Ended |
Sep. 30, 2023 | |
Income Tax Disclosure [Abstract] | |
Income Taxes | Income Taxes We recognized total income tax benefit from continuing operations of $68 million and income tax expense from continuing operations of $74 million for the three months and nine months ended September 30, 2023, respectively, compared to income tax expense of $117 million and $460 million for the same periods in 2022. The decrease in income tax expense for the three months ended September 30, 2023, compared to the same period in 2022, was primarily due to adjustments to the valuation allowance on foreign tax credit carryforwards as well as the tax effects of a decrease in pretax earnings. In the third quarter of 2023, we recognized a nonrecurring net tax benefit of $94 million primarily driven by a tax planning strategy resulting in the release of a valuation allowance on foreign tax credit carryforwards of $92 million. In the third quarter of 2022, we established a valuation allowance against foreign tax credit carryforwards as a result of a reduction in forecasted foreign-sourced income caused by revised estimates from certain previously executed and forecasted securitization transactions of $27 million. The release of valuation allowance on foreign tax credit carryforwards resulted in a significant variation in the customary relationship between pretax income and income tax expense for the three months ended September 30, 2023. The decrease in income tax expense for the nine months ended September 30, 2023, compared to the same period in 2022, was primarily due to the tax effects of a decrease in pretax earnings, the release of valuation allowance on foreign tax credit carryforwards of $92 million during 2023, the establishment of valuation allowance on foreign tax credit carryforwards of $47 million during 2022, and an increase in qualified clean vehicle tax credits for purchased plug-in electric vehicles or fuel cell vehicles. The release of valuation allowance resulted in a significant variation in the customary relationship between pretax income and income tax expense for the nine months ended September 30, 2023. 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. |
Fair Value
Fair Value | 9 Months Ended |
Sep. 30, 2023 | |
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 Condensed 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. 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 September 30, 2023 ($ in millions) Level 1 Level 2 Level 3 Total Assets Investment securities Equity securities (a) (b) $ 680 $ — $ 1 $ 681 Available-for-sale securities Debt securities U.S. Treasury and federal agencies 1,991 — — 1,991 U.S. States and political subdivisions — 608 4 612 Foreign government 43 116 — 159 Agency mortgage-backed residential — 14,636 — 14,636 Mortgage-backed residential — 3,873 — 3,873 Agency mortgage-backed commercial — 3,466 — 3,466 Asset-backed — 354 — 354 Corporate debt — 1,703 — 1,703 Total available-for-sale securities 2,034 24,756 4 26,794 Mortgage loans held-for-sale (c) — 29 — 29 Other assets Derivative contracts in a receivable position Interest rate — 20 1 21 Foreign currency — 1 — 1 Total derivative contracts in a receivable position — 21 1 22 Total assets $ 2,714 $ 24,806 $ 6 $ 27,526 Liabilities Accrued expenses and other liabilities Derivative contracts in a payable position Credit $ — $ — $ 14 $ 14 Total derivative contracts in a payable position — — 14 14 Total liabilities $ — $ — $ 14 $ 14 (a) Our direct investment in any one industry did not exceed 12%. (b) Excludes $44 million of equity securities that are measured at fair value using the net asset value practical expedient and therefore are not classified in the fair value hierarchy. (c) Carried at fair value due to fair value option elections. Recurring fair value measurements December 31, 2022 ($ 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 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 — — 39 39 Equity 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 $38 million of equity securities that are measured at fair value using the net asset value practical expedient and therefore are not classified in the fair value hierarchy. (c) Carried at fair value due to fair value option elections. The following tables present the reconciliation for all Level 3 assets and liabilities measured at fair value on a recurring basis. We often economically hedge the fair value change of our assets or liabilities with derivatives and other financial instruments. The Level 3 items presented below may be hedged by derivatives and other financial instruments that are classified as Level 1 or Level 2. Thus, the following tables do not fully reflect the impact of our risk-management activities. Equity securities (a) Available-for-sale securities Finance receivables and loans, net (b) ($ in millions) 2023 2022 2023 2022 2023 2022 Assets Fair value at July 1, $ 1 $ 2 $ 5 $ 12 $ — $ 7 Net realized/unrealized losses Included in earnings — (1) — — — — Included in OCI — — — — — — Purchases — — — 1 — 4 Sales — — — — — — Issuances — — — — — — Settlements — — (1) (11) — (5) Transfers into Level 3 — — — — — — Transfers out of Level 3 — — — — — — Fair value at September 30, $ 1 $ 1 $ 4 $ 2 $ — $ 6 Net unrealized gains still held at September 30, Included in earnings $ — $ — $ — $ — $ — $ — Included in OCI — — — — — — (a) Net realized/unrealized losses are reported as other (loss) gain on investments, net, in the Condensed Consolidated Statement of Comprehensive Income. (b) Carried at fair value due to fair value option elections. Derivative liabilities, net of derivative assets (a) ($ in millions) 2023 2022 Liabilities Fair value at July 1, $ 18 $ 50 Net realized/unrealized gains Included in earnings (3) (6) Included in OCI — — Purchases — — Sales — — Issuances — — Settlements (5) (2) Transfers into Level 3 — — Transfers out of Level 3 (b) 3 6 Fair value at September 30, $ 13 $ 48 Net unrealized gains still held at September 30, Included in earnings $ — $ (1) Included in OCI — — (a) Net realized/unrealized gains are reported as gain on mortgage and automotive loans, net, and other income, net of losses, in the Condensed Consolidated Statement of Comprehensive 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 three months ended September 30, 2023, and September 30, 2022. These transfers are deemed to have occurred at the end of the reporting period. Equity securities (a) Available-for-sale securities Finance receivables and loans, net (b) (c) ($ in millions) 2023 2022 2023 2022 2023 2022 Assets Fair value at January 1, $ 1 $ 9 $ 4 $ 9 $ 3 $ 7 Net realized/unrealized gains (losses) Included in earnings — 1 — — — (1) Included in OCI — — — — — — Purchases — — 1 4 — 12 Sales — (9) — — — — Issuances — — — — — — Settlements — — (1) (11) (3) (12) Transfers into Level 3 — — — — — — Transfers out of Level 3 — — — — — — Fair value at September 30, $ 1 $ 1 $ 4 $ 2 $ — $ 6 Net unrealized losses still held at September 30, Included in earnings $ — $ — $ — $ — $ — $ (1) Included in OCI — — — — — — (a) Net realized/unrealized gains are reported as other (loss) gain on investments, net, in the Condensed Consolidated Statement of Comprehensive Income. (b) Carried at fair value due to fair value option elections. (c) Net realized/unrealized losses are reported as other income, net of losses, in the Condensed Consolidated Statement of Comprehensive Income. Derivative liabilities, net of derivative assets (a) ($ in millions) 2023 2022 Liabilities Fair value at January 1, $ 39 $ 53 Net realized/unrealized (gains) losses Included in earnings (6) 1 Included in OCI — — Purchases — — Sales — — Issuances — — Settlements (30) (12) Transfers into Level 3 — — Transfers out of Level 3 (b) 10 6 Fair value at September 30, $ 13 $ 48 Net unrealized gains still held at September 30, Included in earnings $ (3) $ (5) 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 Condensed Consolidated Statement of Comprehensive 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 nine months ended September 30, 2023, and September 30, 2022. These transfers are deemed to have occurred at the end of the reporting period. 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 September 30, 2023, and December 31, 2022, 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 September 30, 2023 ($ in millions) Level 1 Level 2 Level 3 Total Assets Loans held-for-sale, net $ — $ — $ 260 $ 260 $ — n/m (a) Commercial finance receivables and loans, net (b) Automotive — — 73 73 (17) n/m (a) Other — — 78 78 (77) n/m (a) Total commercial finance receivables and loans, net — — 151 151 (94) n/m (a) Other assets Repossessed and foreclosed assets (c) — — 6 6 (1) n/m (a) Total assets $ — $ — $ 417 $ 417 $ (95) 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, 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. 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 September 30, 2023, and December 31, 2022. Estimated fair value ($ in millions) Carrying value Level 1 Level 2 Level 3 Total September 30, 2023 Financial assets Held-to-maturity securities $ 1,013 $ — $ 779 $ — $ 779 Loans held-for-sale, net 260 — — 260 260 Finance receivables and loans, net 136,423 — — 137,008 137,008 FHLB/FRB stock (a) 757 — 757 — 757 Financial liabilities Deposit liabilities $ 53,486 $ — $ — $ 53,329 $ 53,329 Short-term borrowings 2,410 — — 2,418 2,418 Long-term debt 20,096 — 14,216 6,192 20,408 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 (a) Included in other assets on our Condensed 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 | 9 Months Ended |
Sep. 30, 2023 | |
Offsetting [Abstract] | |
Offsetting Assets and Liabilities | Offsetting Assets and LiabilitiesOur derivative contracts and repurchase/reverse repurchase transactions are generally 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 September 30, 2023, these instruments are reported as gross assets and gross liabilities on the Condensed Consolidated Balance Sheet. For additional information on derivative instruments and hedging activities, refer to Note 18. 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 Condensed Consolidated Balance Sheet Net amounts of assets/liabilities presented on the Condensed Consolidated Balance Sheet Gross amounts not offset on the Condensed Consolidated Balance Sheet ($ in millions) Financial instruments Collateral (a) (b) (c) Net amount September 30, 2023 Assets Derivative assets (d) $ 22 $ — $ 22 $ — $ (20) $ 2 Total assets $ 22 $ — $ 22 $ — $ (20) $ 2 Liabilities Derivative liabilities (e) $ 14 $ — $ 14 $ — $ — $ 14 Securities sold under agreements to repurchase (f) 735 — 735 — (735) — Total liabilities $ 749 $ — $ 749 $ — $ (735) $ 14 December 31, 2022 Assets Derivative assets $ 23 $ — $ 23 $ (1) $ (22) $ — Total assets $ 23 $ — $ 23 $ (1) $ (22) $ — Liabilities Derivative liabilities (e) $ 42 $ — $ 42 $ (1) $ (1) $ 40 Securities sold under agreements to repurchase (f) 499 — 499 — (499) — Total liabilities $ 541 $ — $ 541 $ (1) $ (500) $ 40 (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 Condensed 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) Includes derivative assets with no offsetting arrangements of $2 million as of September 30, 2023. (e) Includes derivative liabilities with no offsetting arrangements of $14 million and $39 million as of September 30, 2023, and December 31, 2022, respectively. (f) For additional information on securities sold under agreements to repurchase, refer to Note 12. |
Segment Information
Segment Information | 9 Months Ended |
Sep. 30, 2023 | |
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, currently focused on lending to skilled nursing facilities, senior housing, and medical office buildings. 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 personal advice (formerly known as wealth management) offering, Ally Lending, our point-of-sale financing business, Ally Credit Card, and CRA loans and 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. Three months ended September 30, ($ in millions) Automotive Finance operations Insurance operations Mortgage Finance operations Corporate Finance operations Corporate and Other Consolidated (a) 2023 Net financing revenue and other interest income $ 1,360 $ 29 $ 53 $ 97 $ (6) $ 1,533 Other revenue 79 293 4 24 35 435 Total net revenue 1,439 322 57 121 29 1,968 Provision for credit losses 444 — (2) 5 61 508 Total noninterest expense 618 338 33 32 211 1,232 Income (loss) from continuing operations before income tax (benefit) expense $ 377 $ (16) $ 26 $ 84 $ (243) $ 228 Total assets $ 114,742 $ 8,736 $ 18,745 $ 10,749 $ 42,732 $ 195,704 2022 Net financing revenue and other interest income $ 1,303 $ 24 $ 57 $ 80 $ 255 $ 1,719 Other revenue (loss) 74 236 7 54 (74) 297 Total net revenue 1,377 260 64 134 181 2,016 Provision for credit losses 328 — 2 13 95 438 Total noninterest expense 561 290 43 30 237 1,161 Income (loss) from continuing operations before income tax (benefit) expense $ 488 $ (30) $ 19 $ 91 $ (151) $ 417 Total assets $ 109,114 $ 8,533 $ 19,862 $ 9,840 $ 41,291 $ 188,640 (a) Net financing revenue and other interest income after the provision for credit losses totaled $1.0 billion and $1.3 billion for the three months ended September 30, 2023, and 2022, respectively. Nine months ended September 30, ($ in millions) Automotive Finance operations Insurance operations Mortgage Finance operations Corporate Finance operations Corporate and Other Consolidated (a) 2023 Net financing revenue and other interest income $ 4,031 $ 84 $ 160 $ 292 $ 141 $ 4,708 Other revenue 239 1,011 13 81 95 1,439 Total net revenue 4,270 1,095 173 373 236 6,147 Provision for credit losses 1,126 — (3) 35 223 1,381 Total noninterest expense 1,824 1,011 108 110 694 3,747 Income (loss) from continuing operations before income tax (benefit) expense $ 1,320 $ 84 $ 68 $ 228 $ (681) $ 1,019 Total assets $ 114,742 $ 8,736 $ 18,745 $ 10,749 $ 42,732 $ 195,704 2022 Net financing revenue and other interest income $ 3,899 $ 61 $ 166 $ 240 $ 810 $ 5,176 Other revenue 214 664 25 97 51 1,051 Total net revenue 4,113 725 191 337 861 6,227 Provision for credit losses 660 — 2 27 220 909 Total noninterest expense 1,640 864 153 95 669 3,421 Income (loss) from continuing operations before income tax (benefit) expense $ 1,813 $ (139) $ 36 $ 215 $ (28) $ 1,897 Total assets $ 109,114 $ 8,533 $ 19,862 $ 9,840 $ 41,291 $ 188,640 (a) Net financing revenue and other interest income after the provision for credit losses totaled $3.3 billion and $4.3 billion for the nine months ended September 30, 2023, and 2022, respectively. |
Contingencies and Other Risks
Contingencies and Other Risks | 9 Months Ended |
Sep. 30, 2023 | |
Loss Contingency [Abstract] | |
Contingencies and Other Risks | Contingencies and Other Risks 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 in our 2022 Annual Report on Form 10-K 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. Subject to the foregoing, based on our current knowledge and after consultation with counsel, we do not believe that the ultimate outcomes of currently threatened or pending legal matters and other contingent exposures are likely to be material to our consolidated financial condition after taking into account existing accruals. In light of the uncertainties inherent in these matters and other exposures, however, one or more of them could be material to our results of operations or cash flows during a particular reporting period, depending on factors such as the amount of the loss or liability and the level of our income for that period. |
Subsequent Events
Subsequent Events | 9 Months Ended |
Sep. 30, 2023 | |
Subsequent Events [Abstract] | |
Subsequent Events | Subsequent Events Declaration of Common Dividend On October 9, 2023, our Board declared a quarterly cash dividend of $0.30 per share on all common stock. The dividend is payable on November 15, 2023, to stockholders of record at the close of business on November 1, 2023. |
Pay vs Performance Disclosure
Pay vs Performance Disclosure - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2023 | Sep. 30, 2022 | Sep. 30, 2023 | Sep. 30, 2022 | |
Pay vs Performance Disclosure | ||||
Net income | $ 296 | $ 299 | $ 944 | $ 1,436 |
Insider Trading Arrangements
Insider Trading Arrangements | 3 Months Ended |
Sep. 30, 2023 | |
Trading Arrangements, by Individual | |
Rule 10b5-1 Arrangement Adopted | false |
Non-Rule 10b5-1 Arrangement Adopted | false |
Rule 10b5-1 Arrangement Terminated | false |
Non-Rule 10b5-1 Arrangement Terminated | false |
Description of Business, Basi_2
Description of Business, Basis of Presentation, and Changes in Significant Accounting Policies (Policies) | 9 Months Ended |
Sep. 30, 2023 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
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 Condensed Consolidated Financial Statements. 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 disclosure of contingent assets and liabilities at the date of the financial statements and that affect income and expenses during the reporting period and 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, valuations of automotive lease assets and residuals, fair value of financial instruments, and the determination of the provision for income taxes. |
Finance Receivables and Loans | Finance Receivables and Loans On January 1, 2023, we implemented ASU 2022-02, Financial Instruments—Credit Losses (Topic 326): Troubled Debt Restructurings and Vintage Disclosures . This guidance eliminates the concept of TDRs and adds new disclosure requirements related to loan modifications to borrowers experiencing financial difficulty and gross charge-offs. We implemented the ASU on a prospective basis, which results in certain aspects of our accounting policies changing for the current year. For significant accounting policy information related to the accounting and reporting of TDRs, for which comparative period information is presented, refer to Note 1 to the Consolidated Financial Statements in our 2022 Annual Report on Form 10-K. Modifications of Loans with Borrowers Experiencing Financial Difficulty We may provide a modification to a borrower who is experiencing financial difficulty if we believe they have the ability and are willing to repay their loan. The type of modification granted will vary depending on our credit risk management practices, as well as the borrower’s financial condition and the characteristics of the loan, including the unpaid balance, the underlying collateral, and the number or types of previous modifications granted. Modifications that we make subject to these requirements include payment extensions, principal forgiveness, and/or interest rate concessions. These modifications generally reduce the borrower’s periodic payment amount. The following is a description of each of these types of modifications. • Payment extensions — Payment extensions include both payment deferrals and contractual maturity extensions. Deferral arrangements allow borrowers to delay a scheduled loan payment to a later date. Deferred loan payments do not affect the original contractual terms of the loan and the contractual maturity date of the loan remains unchanged. Deferrals also include certain forbearance agreements. Within the commercial loan portfolio, deferrals primarily reflect a deferral of interest payments. Under a contractual maturity extension agreement, the last payment date is extended to a future date, contractually lengthening the remaining term of the original loan. • Principal forgiveness — Under principal forgiveness, the outstanding principal balance of a loan is reduced by a specified amount. Principal forgiveness may occur voluntarily as part of a negotiated agreement with a borrower, or involuntarily through a bankruptcy proceeding. Under these involuntary instances, the bankruptcy court in a Chapter 11 or 13 proceeding may order us to reduce the outstanding principal balance of the loan to a specified amount. • Interest rate concessions — Interest rate concessions adjust the contractual interest rate of the loan to a rate that is not consistent with a market rate for a customer with similar credit risk. • Combination — Combination includes loans that have undergone multiple of the above loan modification types. This primarily includes rewritten loans where we grant an interest rate concession and a contractual maturity extension. Significant judgment is required to determine if a borrower is experiencing financial difficulty. These considerations vary by portfolio class. In all cases, the cumulative impacts of all modifications made within the 12-month period before the current modification are considered at the time of the most recent modification. For consumer loans of all classes, various qualitative factors are used 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). For commercial loans of all classes, similar qualitative factors are considered when assessing the financial difficulty of the borrower. In addition to the previously noted factors, 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). In our consumer automotive portfolio class 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 may require disclosure 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. We do not disclose modifications that result in only an insignificant payment delay. In order to assess whether a payment delay is insignificant, we consider the amount of the modified 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 cumulatively extend beyond 90 days and are more than 10% of the original contractual term, or where the cumulative payment extension within the 12-month period immediately preceding the current modification is beyond 180 days, we deem the delay in payment to be more than insignificant. The financial impacts of modifications that meet the definition of a modification to borrowers experiencing financial difficulty are reported in the period in which they are identified. Additionally, if such a loan defaults 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 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 status. 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, a loan can be returned to accrual status when 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. |
Income Taxes | Income Taxes In calculating the provision for interim income taxes, in accordance with ASC 740, Income Taxes , we apply an estimated annual effective tax rate to year-to-date ordinary income. At the end of each interim period, we estimate the effective tax rate expected to be applicable for the full fiscal year. This method differs from that described in Note 1 to the Consolidated Financial Statements in our 2022 Annual Report on Form 10-K, which describes our annual significant income tax accounting policy and related methodology. |
Recently Adopted and Issued Accounting Standards | Recently Adopted 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 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 added new disclosures that 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. Recently Issued Accounting Standards 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. Accounting for Investments in Tax Credit Structures Using the Proportional Amortization Method (ASU 2023-02) In March 2023, the FASB issued ASU 2023-02, Investments—Equity Method and Joint Ventures (Topic 323): Accounting for Investments in Tax Credit Structures Using the Proportional Amortization Method . The purpose of this guidance is to expand the use of the proportional amortization method to certain tax equity investments made primarily for the purpose of receiving income tax credits and other income tax benefits. In order to qualify for the proportional amortization method, the following five conditions must be met: (1) it is probable that the income tax credits allocable to the tax equity investor will be available, (2) the tax equity investor does not have the ability to exercise significant influence over the operating and financial policies of the underlying project, (3) substantially all of the projected benefits are from income tax credits and other income tax benefits, (4) the tax equity investor’s projected yield is based solely on the cash flows from the income tax credits and other income tax benefits is positive, and (5) the tax equity investor is a limited liability investor in the limited liability entity for both legal and tax purposes, and the tax equity investor’s liability is limited to its capital investment. Selecting the proportional amortization method will be an accounting policy election that must be applied on a tax-credit-program-by-tax-credit-program basis rather than at the entity level or to individual investments. Additionally, in order to apply the proportional amortization method to qualifying investments, an entity must use the flow-through method when accounting for the receipt of the investment tax credits. This guidance also adds disclosure requirements related to tax credit programs where the proportional amortization method has been elected. The amendments are effective on January 1, 2024, with early adoption permitted. The amendments must be applied using either a modified retrospective or retrospective approach with any adjustments from the adoption of the amendments recognized in retained earnings and disclosed upon adoption. Management is still assessing the total impact of electing these amendments for qualifying tax credit programs; however, if we elect to apply these amendments, we do not expect the impact 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 Condensed 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 Contracts with C_2
Revenue from Contracts with Customers (Tables) | 9 Months Ended |
Sep. 30, 2023 | |
Revenue from Contract with Customer [Abstract] | |
Schedule of Disaggregation of Revenue | The following tables present a disaggregated view of our revenue from contracts with customers. For further information regarding our revenue recognition policies and details about the nature of our respective revenue streams, refer to Note 1 and Note 3 to the Consolidated Financial Statements in our 2022 Annual Report on Form 10-K. Three months ended September 30, ($ in millions) Automotive Finance operations Insurance operations Mortgage Finance operations Corporate Finance operations Corporate and Other Consolidated 2023 Revenue from contracts with customers Noninsurance contracts (a) (b) (c) $ — $ 173 $ — $ — $ — $ 173 Remarketing fee income 27 — — — — 27 Brokerage commissions and other revenue — — — — 23 23 Banking fees and interchange income (d) — — — — 10 10 Brokered/agent commissions — 3 — — — 3 Other 5 1 — — — 6 Total revenue from contracts with customers 32 177 — — 33 242 All other revenue 47 116 4 24 2 193 Total other revenue (e) $ 79 $ 293 $ 4 $ 24 $ 35 $ 435 2022 Revenue from contracts with customers Noninsurance contracts (a) (b) (c) $ — $ 164 $ — $ — $ — $ 164 Remarketing fee income 26 — — — — 26 Brokerage commissions and other revenue — — — — 18 18 Banking fees and interchange income (d) — — — — 11 11 Brokered/agent commissions — 3 — — — 3 Other 5 — — — 1 6 Total revenue from contracts with customers 31 167 — — 30 228 All other revenue 43 69 7 54 (104) 69 Total other revenue (e) $ 74 $ 236 $ 7 $ 54 $ (74) $ 297 (a) We had opening balances of $3.0 billion in unearned revenue associated with outstanding contracts at both July 1, 2023, and 2022, and $249 million and $236 million of these balances were recognized as insurance premiums and service revenue earned in our Condensed Consolidated Statement of Comprehensive Income during the three months ended September 30, 2023, and 2022, respectively. (b) At September 30, 2023, we had unearned revenue of $3.0 billion associated with outstanding contracts, and with respect to this balance we expect to recognize revenue of $238 million during the remainder of 2023, $845 million in 2024, $683 million in 2025, $513 million in 2026, and $695 million thereafter. At September 30, 2022, we had unearned revenue of $3.0 billion associated with outstanding contracts. (c) We had deferred insurance assets of $1.8 billion at both July 1, 2023, and September 30, 2023, and recognized $148 million of expense during the three months ended September 30, 2023. We had deferred insurance assets of $1.8 billion at both July 1, 2022, and September 30, 2022, and recognized $143 million of expense during the three months ended September 30, 2022. (d) Interchange income is reported net of customer rewards. Customer rewards expense was $5 million and $4 million for the three months ended September 30, 2023, and 2022, respectively. (e) Represents a component of total net revenue. Refer to Note 22 for further information on our reportable operating segments. Nine months ended September 30, ($ in millions) Automotive Finance operations Insurance operations Mortgage Finance operations Corporate Finance operations Corporate and Other Consolidated 2023 Revenue from contracts with customers Noninsurance contracts (a) (b) $ — $ 513 $ — $ — $ — $ 513 Remarketing fee income 91 — — — — 91 Brokerage commissions and other revenue — — — — 69 69 Banking fees and interchange income (c) — — — — 31 31 Brokered/agent commissions — 10 — — — 10 Other 15 1 — — — 16 Total revenue from contracts with customers 106 524 — — 100 730 All other revenue 133 487 13 81 (5) 709 Total other revenue (d) $ 239 $ 1,011 $ 13 $ 81 $ 95 $ 1,439 2022 Revenue from contracts with customers Noninsurance contracts (a) (b) $ — $ 489 $ — $ — $ — $ 489 Remarketing fee income 82 — — — — 82 Brokerage commissions and other revenue — — — — 42 42 Banking fees and interchange income (c) — — — — 32 32 Brokered/agent commissions — 11 — — — 11 Other 16 — — — 3 19 Total revenue from contracts with customers 98 500 — — 77 675 All other revenue 116 164 25 97 (26) 376 Total other revenue (d) $ 214 $ 664 $ 25 $ 97 $ 51 $ 1,051 (a) We had opening balances of $3.0 billion and $3.1 billion in unearned revenue associated with outstanding contracts at January 1, 2023, and 2022, respectively, and $733 million and $701 million of these balances were recognized as insurance premiums and service revenue earned in our Condensed Consolidated Statement of Comprehensive Income during the nine months ended September 30, 2023, and 2022, respectively. (b) We had deferred insurance assets of $1.8 billion at both January 1, 2023, and September 30, 2023, and recognized $436 million of expense during the nine months ended September 30, 2023. We had deferred insurance assets of $1.9 billion and $1.8 billion at January 1, 2022, and September 30, 2022, respectively, and recognized $420 million of expense during the nine months ended September 30, 2022. (c) Interchange income is reported net of customer rewards. Customer rewards expense was $14 million and $10 million for the nine months ended September 30, 2023, and 2022, respectively. (d) Represents a component of total net revenue. Refer to Note 22 for further information on our reportable operating segments. |
Other Income, Net of Losses (Ta
Other Income, Net of Losses (Tables) | 9 Months Ended |
Sep. 30, 2023 | |
Other Nonoperating Income (Expense) [Abstract] | |
Schedule of Other Income, by Component | Details of other income, net of losses, were as follows. Three months ended September 30, Nine months ended September 30, ($ in millions) 2023 2022 2023 2022 Late charges and other administrative fees $ 50 $ 42 $ 145 $ 117 Remarketing fees 27 26 91 82 Income from equity-method investments (a) 8 51 5 96 Loss on nonmarketable equity investments, net (a) — (135) (11) (133) Other, net 67 68 201 185 Total other income, net of losses $ 152 $ 52 $ 431 $ 347 (a) Refer to Note 10 for further information on our equity-method investments and nonmarketable equity investments. |
Reserves for Insurance Losses_2
Reserves for Insurance Losses and Loss Adjustment Expenses (Tables) | 9 Months Ended |
Sep. 30, 2023 | |
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 a rollforward of our reserves for insurance losses and loss adjustment expenses. ($ in millions) 2023 2022 Total gross reserves for insurance losses and loss adjustment expenses at January 1, $ 119 $ 122 Less: Reinsurance recoverable 72 81 Net reserves for insurance losses and loss adjustment expenses at January 1, 47 41 Net insurance losses and loss adjustment expenses incurred related to: Current year 326 220 Prior years (a) 3 (3) Total net insurance losses and loss adjustment expenses incurred 329 217 Net insurance losses and loss adjustment expenses paid or payable related to: Current year (270) (183) Prior years (38) (26) Total net insurance losses and loss adjustment expenses paid or payable (308) (209) Net reserves for insurance losses and loss adjustment expenses at September 30, 68 49 Plus: Reinsurance recoverable 77 73 Total gross reserves for insurance losses and loss adjustment expenses at September 30, $ 145 $ 122 (a) There have been no material adverse changes to the reserve for prior years. |
Other Operating Expenses (Table
Other Operating Expenses (Tables) | 9 Months Ended |
Sep. 30, 2023 | |
Operating Expenses [Abstract] | |
Schedule of Other Operating Cost and Expense, by Component | Details of other operating expenses were as follows. Three months ended September 30, Nine months ended September 30, ($ in millions) 2023 2022 2023 2022 Insurance commissions $ 160 $ 152 $ 475 $ 452 Technology and communications 109 100 328 297 Advertising and marketing 74 89 231 238 Lease and loan administration 57 45 158 150 Property and equipment depreciation 51 42 146 122 Regulatory and licensing fees 45 33 119 81 Professional services 35 42 103 132 Vehicle remarketing and repossession 30 23 85 65 Amortization of intangible assets (a) 6 9 19 25 Other 95 89 306 245 Total other operating expenses $ 662 $ 624 $ 1,970 $ 1,807 (a) Refer to Note 10 for further information on our intangible assets. |
Investment Securities (Tables)
Investment Securities (Tables) | 9 Months Ended |
Sep. 30, 2023 | |
Investments, Debt and Equity Securities [Abstract] | |
Schedule of Investment Portfolio | The cost, fair value, and gross unrealized gains and losses on available-for-sale and held-to-maturity securities were as follows. September 30, 2023 December 31, 2022 Amortized cost Gross unrealized Fair value Amortized cost Gross unrealized Fair value ($ in millions) gains losses gains losses Available-for-sale securities Debt securities U.S. Treasury and federal agencies $ 2,280 $ — $ (289) $ 1,991 $ 2,272 $ — $ (256) $ 2,016 U.S. States and political subdivisions 729 — (117) 612 841 1 (82) 760 Foreign government 175 — (16) 159 158 — (12) 146 Agency mortgage-backed residential (a) 18,434 — (3,798) 14,636 19,668 3 (3,038) 16,633 Mortgage-backed residential 4,858 — (985) 3,873 5,154 — (855) 4,299 Agency mortgage-backed commercial (a) 4,497 — (1,031) 3,466 4,380 — (845) 3,535 Asset-backed 370 — (16) 354 459 — (26) 433 Corporate debt 1,922 — (219) 1,703 1,931 1 (213) 1,719 Total available-for-sale securities (b) (c) (d) (e) (f) $ 33,265 $ — $ (6,471) $ 26,794 $ 34,863 $ 5 $ (5,327) $ 29,541 Held-to-maturity securities Debt securities Agency mortgage-backed residential $ 1,013 $ — $ (234) $ 779 $ 1,062 $ — $ (178) $ 884 Total held-to-maturity securities (f) (g) $ 1,013 $ — $ (234) $ 779 $ 1,062 $ — $ (178) $ 884 (a) Fair value includes a $148 million liability and a $12 million liability for agency mortgage-backed residential securities and an $86 million liability and $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 September 30, 2023, and December 31, 2022, respectively. These basis adjustments would be allocated to the amortized cost of specific securities within the pool if the hedge was dedesignated. Refer to Note 18 for additional information. (b) Certain available-for-sale securities are included in fair value hedging relationships. Refer to Note 18 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 at both September 30, 2023, and December 31, 2022. (d) Available-for-sale securities with a fair value of $4.4 billion and $3.9 billion were pledged as collateral at September 30, 2023, and December 31, 2022, respectively. This primarily included $3.1 billion and $3.0 billion pledged to secure advances from the FHLB at September 30, 2023, and December 31, 2022, respectively. 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 $1.3 billion and $899 million of the underlying available-for-sale securities at September 30, 2023, and December 31, 2022, respectively. (e) Totals do not include accrued interest receivable, which was $86 million and $91 million at September 30, 2023, and December 31, 2022, respectively. Accrued interest receivable is included in other assets (f) There was no allowance for credit losses recorded at both September 30, 2023, or December 31, 2022, 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 $2 million at both September 30, 2023, and December 31, 2022. Accrued interest receivable is included in other assets on our Condensed Consolidated Balance Sheet. |
Schedule of Investments Classified by Contractual Maturity Date | The maturity distribution of debt securities outstanding is summarized in the following tables based upon contractual maturities. Call or prepayment options may cause actual maturities to differ from contractual maturities. Total Due in one year or less Due after one year through five years Due after five years through ten years Due after ten years ($ in millions) Amount Yield Amount Yield Amount Yield Amount Yield Amount Yield September 30, 2023 Fair value of available-for-sale securities (a) U.S. Treasury and federal agencies $ 1,991 1.6 % $ 23 2.0 % $ 1,270 1.4 % $ 698 1.9 % $ — — % U.S. States and political subdivisions 612 3.2 5 2.2 44 2.4 112 3.6 451 3.2 Foreign government 159 2.0 19 1.4 72 2.1 68 2.2 — — Agency mortgage-backed residential (b) 14,636 2.6 — — 11 1.9 33 2.5 14,592 2.6 Mortgage-backed residential 3,873 2.8 — — — — 12 2.9 3,861 2.8 Agency mortgage-backed commercial (b) 3,466 2.3 — — 116 3.3 1,474 2.3 1,876 2.1 Asset-backed 354 1.8 — — 349 1.7 5 3.9 — — Corporate debt 1,703 2.6 172 2.3 908 2.6 614 2.7 9 5.8 Total available-for-sale securities $ 26,794 2.5 $ 219 2.2 $ 2,770 1.9 $ 3,016 2.4 $ 20,789 2.6 Amortized cost of available-for-sale securities $ 33,265 $ 224 $ 3,033 $ 3,662 $ 26,346 Amortized cost of held-to-maturity securities Agency mortgage-backed residential $ 1,013 2.8 % $ — — % $ — — % $ — — % $ 1,013 2.8 % Total held-to-maturity securities $ 1,013 2.8 $ — — $ — — $ — — $ 1,013 2.8 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 (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 $148 million liability and a $12 million liability for agency mortgage-backed residential securities and an $86 million liability and $15 million asset for agency mortgage-backed commercial securities related to basis adjustments for securities in closed portfolios with active hedges under the portfolio layer method at September 30, 2023, and December 31, 2022, respectively. These basis adjustments would be allocated to the amortized cost of specific securities within the pool if the hedge was dedesignated. Refer to Note 18 for additional information. |
Schedule of Investment Income | The following table presents interest and dividends on investment securities. Three months ended September 30, Nine months ended September 30, ($ in millions) 2023 2022 2023 2022 Taxable interest $ 246 $ 196 $ 692 $ 556 Taxable dividends 5 4 12 12 Interest and dividends exempt from U.S. federal income tax 5 6 16 16 Interest and dividends on investment securities $ 256 $ 206 $ 720 $ 584 |
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. Three months ended September 30, Nine months ended September 30, ($ in millions) 2023 2022 2023 2022 Available-for-sale securities Gross realized gains $ — $ 2 $ 5 $ 23 Net realized gain on available-for-sale securities — 2 5 23 Net realized gain on equity securities 15 5 21 67 Net unrealized (loss) gain on equity securities (56) (61) 33 (263) Other (loss) gain on investments, net $ (41) $ (54) $ 59 $ (173) |
Schedule of 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 September 30, 2023, and December 31, 2022. 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 September 30, 2023, and December 31, 2022. We have not recorded any interest income reversals on our held-to-maturity securities during the nine months ended September 30, 2023, or 2022 . September 30, 2023 December 31, 2022 ($ in millions) AA Total (a) AA Total (a) Debt securities Agency mortgage-backed residential $ 1,013 $ 1,013 $ 1,062 $ 1,062 Total held-to-maturity securities $ 1,013 $ 1,013 $ 1,062 $ 1,062 (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 to the Consolidated Financial Statements in our 2022 Annual Report on Form 10-K. As of September 30, 2023, and December 31, 2022, 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 nine months ended September 30, 2023, or 2022. September 30, 2023 December 31, 2022 Less than 12 months 12 months or longer Less than 12 months 12 months or longer ($ 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 $ — $ — $ 1,991 $ (289) $ 529 $ (68) $ 1,487 $ (188) U.S. States and political subdivisions 139 (6) 465 (111) 547 (55) 135 (27) Foreign government 25 (2) 135 (14) 75 (4) 71 (8) Agency mortgage-backed residential (a) 356 (23) 14,280 (3,775) 7,472 (892) 8,978 (2,146) Mortgage-backed residential 151 (6) 3,716 (979) 1,985 (289) 2,287 (566) Agency mortgage-backed commercial (a) 172 (10) 3,247 (1,021) 996 (124) 2,535 (721) Asset-backed 18 — 322 (16) 162 (4) 272 (22) Corporate debt 147 (6) 1,550 (213) 782 (67) 895 (146) Total available-for-sale securities $ 1,008 $ (53) $ 25,706 $ (6,418) $ 12,548 $ (1,503) $ 16,660 $ (3,824) (a) Includes basis adjustments for certain securities that are included in closed portfolios with active hedges under the portfolio layer method at September 30, 2023, and December 31, 2022. The basis adjustments would be allocated to the amortized cost of specific securities within the pool if the hedge was dedesignated. Refer to Note 18 for additional information. |
Finance Receivables and Loans_2
Finance Receivables and Loans, Net (Tables) | 9 Months Ended |
Sep. 30, 2023 | |
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. ($ in millions) September 30, 2023 December 31, 2022 Consumer automotive (a) $ 85,370 $ 83,286 Consumer mortgage Mortgage Finance (b) 18,657 19,445 Mortgage — Legacy (c) 238 290 Total consumer mortgage 18,895 19,735 Consumer other Personal Lending (d) 2,206 1,990 Credit Card 1,872 1,599 Total consumer other 4,078 3,589 Total consumer 108,343 106,610 Commercial Commercial and industrial Automotive 16,605 14,595 Other 9,376 9,154 Commercial real estate 5,936 5,389 Total commercial 31,917 29,138 Total finance receivables and loans (e) (f) $ 140,260 $ 135,748 (a) Certain finance receivables and loans are included in fair value hedging relationships. Refer to Note 18 for additional information. (b) Includes loans originated as interest-only mortgage loans of $2 million and $3 million at September 30, 2023, and December 31, 2022, respectively, of which all have exited the interest-only period. (c) Includes loans originated as interest-only mortgage loans of $13 million and $17 million at September 30, 2023, and December 31, 2022, respectively, of which all have exited the interest-only period. (d) Includes $3 million of finance receivables at December 31, 2022, for which we have elected the fair value option. (e) Totals include net unearned income, unamortized premiums and discounts, and deferred fees and costs of $2.3 billion at both September 30, 2023, and December 31, 2022. (f) Totals do not include accrued interest receivable, which was $813 million and $707 million at September 30, 2023, and December 31, 2022, respectively. Accrued interest receivable is included in other assets on our Condensed Consolidated Balance Sheet. Billed interest on our credit card loans is included within finance receivables and loans, net. |
Schedule of Allowance for Credit Losses on Financing Receivables | The following tables present an analysis of the activity in the allowance for loan losses on finance receivables and loans for the three months and nine months ended September 30, 2023, and 2022, respectively. Three months ended September 30, 2023 ($ in millions) Consumer automotive Consumer mortgage Consumer other Commercial Total Allowance at July 1, 2023 $ 3,064 $ 23 $ 476 $ 218 $ 3,781 Charge-offs (a) (602) — (74) (1) (677) Recoveries 209 2 6 4 221 Net charge-offs (393) 2 (68) 3 (456) Provision for credit losses (b) 433 (4) 68 15 512 Other — 1 (2) 1 — Allowance at September 30, 2023 $ 3,104 $ 22 $ 474 $ 237 $ 3,837 (a) Refer to Note 1 to the Consolidated Financial Statements in our 2022 Annual Report on Form 10-K for information regarding our charge-off policies. (b) Excludes $4 million of benefit for credit losses related to our reserve for unfunded commitments. The liability related to the reserve for unfunded commitments is included in accrued expenses and other liabilities on our Condensed Consolidated Balance Sheet. Nine months ended September 30, 2023 ($ in millions) Consumer automotive Consumer mortgage Consumer other (a) Commercial Total Allowance at January 1, 2023 $ 3,020 $ 27 $ 426 $ 238 $ 3,711 Charge-offs (b) (1,634) (3) (208) (62) (1,907) Recoveries 613 7 18 5 643 Net charge-offs (1,021) 4 (190) (57) (1,264) Provision for credit losses (c) 1,106 (9) 239 54 1,390 Other (1) — (1) 2 — Allowance at September 30, 2023 $ 3,104 $ 22 $ 474 $ 237 $ 3,837 (a) Excludes $3 million of finance receivables and loans at January 1, 2023, for which we have elected the fair value option and incorporate no allowance for loan losses. (b) Refer to Note 1 to the Consolidated Financial Statements in our 2022 Annual Report on Form 10-K for information regarding our charge-off policies. (c) Excludes $9 million of benefit for credit losses related to our reserve for unfunded commitments. The liability related to the reserve for unfunded commitments is included in accrued expenses and other liabilities on our Condensed Consolidated Balance Sheet. Three months ended September 30, 2022 ($ in millions) Consumer automotive Consumer mortgage Consumer other (a) Commercial Total Allowance at July 1, 2022 $ 2,885 $ 26 $ 303 $ 236 $ 3,450 Charge-offs (b) (381) (1) (33) (32) (447) Recoveries 164 2 4 1 171 Net charge-offs (217) 1 (29) (31) (276) Provision for credit losses 326 (1) 99 14 438 Other (1) 1 (1) — (1) Allowance at September 30, 2022 $ 2,993 $ 27 $ 372 $ 219 $ 3,611 (a) Excludes $7 million an d $6 million of finance receivables and loans at July 1, 2022, and September 30, 2022, respectively, for which we have elected the fair value option and incorporate no allowance for loan losses. (b) Refer to Note 1 to the Consolidated Financial Statements in our 2022 Annual Report on Form 10-K for information regarding our charge-off policies. Nine months ended September 30, 2022 ($ 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) (934) (3) (84) (58) (1,079) Recoveries 496 10 8 3 517 Net charge-offs (438) 7 (76) (55) (562) Provision for credit losses (c) 663 (7) 228 23 907 Other (1) — (1) 1 (1) Allowance at September 30, 2022 $ 2,993 $ 27 $ 372 $ 219 $ 3,611 (a) Excludes $7 million and $6 million of finance receivables and loans at January 1, 2022, and September 30, 2022, respectively, for which we have elected the fair value option and incorporate no allowance for loan losses. (b) Refer to Note 1 to the Consolidated Financial Statements in our 2022 Annual Report on Form 10-K for information regarding our charge-off policies. |
Schedule of Sales of Financing Receivables and Loans | The following table presents sales of finance receivables and loans and transfers of finance receivables and loans from held-for-investment to held-for-sale based on net carrying value. Three months ended September 30, Nine months ended September 30, ($ in millions) 2023 2022 2023 2022 Consumer automotive $ — $ 4 $ — $ 4 Consumer mortgage — 1 1 3 Commercial 11 — 11 — Total sales and transfers $ 11 $ 5 $ 12 $ 7 |
Schedule of Purchases of Financing Receivables and Loans | The following table presents purchases of finance receivables and loans based on unpaid principal balance at the time of purchase. Three months ended September 30, Nine months ended September 30, ($ in millions) 2023 2022 2023 2022 Consumer automotive $ 1,064 $ 1,346 $ 2,902 $ 3,397 Consumer mortgage 7 1,127 14 2,760 Commercial 3 2 10 3 Total purchases of finance receivables and loans $ 1,074 $ 2,475 $ 2,926 $ 6,160 |
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 September 30, 2023, and December 31, 2022. Refer to Note 1 for additional information on our accounting policy for finance receivables and loans on nonaccrual status. September 30, 2023 ($ in millions) Nonaccrual status at Jan. 1, 2023 Nonaccrual status at Jul. 1, 2023 Nonaccrual status Nonaccrual with no allowance (a) Consumer automotive $ 1,187 $ 1,098 $ 1,110 $ 519 Consumer mortgage Mortgage Finance 34 38 33 17 Mortgage — Legacy 15 14 13 12 Total consumer mortgage 49 52 46 29 Consumer other Personal Lending 13 11 14 — Credit Card 43 55 72 — Total consumer other 56 66 86 — Total consumer 1,292 1,216 1,242 548 Commercial Commercial and industrial Automotive 5 24 97 16 Other 157 161 159 6 Commercial real estate — 3 3 — Total commercial 162 188 259 22 Total finance receivables and loans (b) $ 1,454 $ 1,404 $ 1,501 $ 570 (a) Represents a component of nonaccrual status at end of period. (b) We recorded interest income from cash payments associated with finance receivables and loans on nonaccrual status of $4 million and $11 million for the three months and nine months ended September 30, 2023, respectively. December 31, 2022 ($ in millions) Nonaccrual status at Jan. 1, 2022 Nonaccrual status at Jul. 1, 2022 Nonaccrual status Nonaccrual with no allowance (a) Consumer automotive $ 1,078 $ 1,073 $ 1,187 $ 445 Consumer mortgage Mortgage Finance 59 42 34 25 Mortgage — Legacy 26 22 15 14 Total consumer mortgage 85 64 49 39 Consumer other Personal Lending 5 5 13 — Credit Card 11 18 43 — Total consumer other 16 23 56 — Total consumer 1,179 1,160 1,292 484 Commercial Commercial and industrial Automotive 33 4 5 2 Other 221 214 157 33 Commercial real estate 3 1 — — Total commercial 257 219 162 35 Total finance receivables and loans (b) $ 1,436 $ 1,379 $ 1,454 $ 519 (a) Represents a component of nonaccrual status at end of period. (b) We recorded interest income from cash payments associated with finance receivables and loans on nonaccrual status of $3 million and $9 million for the three months and nine months ended September 30, 2022, respectively. |
Schedule of Financing Receivable Credit Quality Indicators | The following tables present the amortized cost basis of our consumer finance receivables and loans by credit quality indicator based on delinquency status and origination year. Origination year Revolving loans converted to term September 30, 2023 ($ in millions) 2023 2022 2021 2020 2019 2018 and prior Revolving loans Total Consumer automotive Current $ 24,518 $ 27,587 $ 16,045 $ 7,084 $ 3,995 $ 2,460 $ — $ — $ 81,689 30–59 days past due 324 948 734 282 194 146 — — 2,628 60–89 days past due 88 371 295 105 71 52 — — 982 90 or more days past due 34 146 113 43 32 31 — — 399 Total consumer automotive (a) 24,964 29,052 17,187 7,514 4,292 2,689 — — 85,698 Consumer mortgage Mortgage Finance Current 112 2,204 10,498 1,857 754 3,142 — — 18,567 30–59 days past due — 5 16 9 6 16 — — 52 60–89 days past due — 1 4 1 — 9 — — 15 90 or more days past due — 2 3 — 2 16 — — 23 Total Mortgage Finance 112 2,212 10,521 1,867 762 3,183 — — 18,657 Mortgage — Legacy Current — — — — — 53 152 17 222 30–59 days past due — — — — — 3 1 — 4 60–89 days past due — — — — — 2 — — 2 90 or more days past due — — — — — 6 2 2 10 Total Mortgage — Legacy — — — — — 64 155 19 238 Total consumer mortgage 112 2,212 10,521 1,867 762 3,247 155 19 18,895 Consumer other Personal Lending Current 948 934 239 27 1 — — — 2,149 30–59 days past due 7 14 4 — — — — — 25 60–89 days past due 3 11 4 — — — — — 18 90 or more days past due 3 9 2 — — — — — 14 Total Personal Lending 961 968 249 27 1 — — — 2,206 Credit Card Current — — — — — — 1,737 — 1,737 30–59 days past due — — — — — — 36 — 36 60–89 days past due — — — — — — 30 — 30 90 or more days past due — — — — — — 69 — 69 Total Credit Card — — — — — — 1,872 — 1,872 Total consumer other 961 968 249 27 1 — 1,872 — 4,078 Total consumer $ 26,037 $ 32,232 $ 27,957 $ 9,408 $ 5,055 $ 5,936 $ 2,027 $ 19 $ 108,671 (a) Certain consumer automotive loans are included in fair value hedging relationships. The amortized cost excludes a liability of $328 million related to basis adjustments for loans in closed portfolios with active hedges under the portfolio layer method at September 30, 2023. These basis adjustments would be allocated to the amortized cost of specific loans within the pool if the hedge was dedesignated. Refer to Note 18 for additional information. Origination year Revolving loans converted to term December 31, 2022 ($ 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 18 for additional information. (b) Excludes $3 million of finance receivables at December 31, 2022, for which we have elected the fair value option. Origination year Revolving loans converted to term September 30, 2023 ($ in millions) 2023 2022 2021 2020 2019 2018 and prior Revolving loans Total Commercial Commercial and industrial Automotive Pass $ 394 $ 522 $ 174 $ 103 $ 63 $ 26 $ 14,511 $ — $ 15,793 Special mention 4 8 31 — — 15 640 — 698 Substandard — 1 — — — — 39 — 40 Doubtful — — — — — 6 68 — 74 Total automotive 398 531 205 103 63 47 15,258 — 16,605 Other Pass 356 530 359 269 337 179 5,869 144 8,043 Special mention — 214 179 208 51 145 239 26 1,062 Substandard — — 51 3 26 83 24 18 205 Doubtful — — — — — 57 9 — 66 Total other 356 744 589 480 414 464 6,141 188 9,376 Commercial real estate Pass 748 1,533 1,141 901 653 863 — 36 5,875 Special mention 2 7 28 2 18 1 — — 58 Substandard — 3 — — — — — — 3 Total commercial real estate 750 1,543 1,169 903 671 864 — 36 5,936 Total commercial $ 1,504 $ 2,818 $ 1,963 $ 1,486 $ 1,148 $ 1,375 $ 21,399 $ 224 $ 31,917 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 The following table presents gross charge-offs of our finance receivables and loans for each portfolio class by origination year that occurred during the nine months ended September 30, 2023. Refer to Note 1 to the Consolidated Financial Statements in our 2022 Annual Report on Form 10-K for additional information on our charge-off policy. Origination year Revolving loans converted to term Nine months ended September 30, 2023 ($ in millions) 2023 2022 2021 2020 2019 2018 and prior Revolving loans Total Consumer automotive $ 97 $ 693 $ 492 $ 149 $ 109 $ 94 $ — $ — $ 1,634 Consumer mortgage Mortgage Finance — — — — — 1 — — 1 Mortgage — Legacy — — — — — 2 — — 2 Total consumer mortgage — — — — — 3 — — 3 Consumer other Personal Lending 5 59 23 3 — — — — 90 Credit Card — — — — — — 111 7 118 Total consumer other 5 59 23 3 — — 111 7 208 Total consumer 102 752 515 152 109 97 111 7 1,845 Commercial Commercial and industrial Automotive — — — — — — 5 — 5 Other — — — — 57 — — — 57 Total commercial — — — — 57 — 5 — 62 Total finance receivables and loans $ 102 $ 752 $ 515 $ 152 $ 166 $ 97 $ 116 $ 7 $ 1,907 |
Schedule of 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 September 30, 2023 Commercial Commercial and industrial Automotive $ 5 $ — $ 12 $ 17 $ 16,588 $ 16,605 Other 1 2 3 6 9,370 9,376 Commercial real estate — — — — 5,936 5,936 Total commercial $ 6 $ 2 $ 15 $ 23 $ 31,894 $ 31,917 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 |
Schedule of Loan Modifications and Troubled Debt Restructuring | The following tables present the amortized cost basis of loans that were modified subsequent to origination during the three months and nine months ended September 30, 2023, for each portfolio segment, by modification type. For additional information on loan modification types in scope of this disclosure, refer to Note 1. The below tables exclude consumer mortgage finance receivables and loans currently enrolled in a trial modification program. Trial modifications generally represent a three-month period during which the borrower makes monthly payments under the anticipated modified payment terms. If the borrower successfully completes the trial loan modification program, the contractual terms of the loan are updated and the modification is considered permanent. As of September 30, 2023, there were $4 million of consumer mortgage finance receivables and loans in a trial modification program. Payment extensions Three months ended September 30, 2023 ($ in millions) Payment deferrals (a) Contractual maturity extensions Principal forgiveness Interest rate concessions Combination Total Consumer automotive $ — $ 62 $ 1 $ — $ — $ 63 Consumer mortgage Mortgage Finance — 1 — — — 1 Mortgage — Legacy — — — — 1 1 Total consumer mortgage — 1 — — 1 2 Consumer other Credit Card — — — 4 — 4 Total consumer other — — — 4 — 4 Total consumer — 63 1 4 1 69 Commercial Commercial and industrial Other 37 — — — — 37 Total commercial 37 — — — — 37 Total finance receivables and loans $ 37 $ 63 $ 1 $ 4 $ 1 $ 106 (a) Includes a commercial and industrial loan within our Corporate Finance operations that was also granted a three-month contractual maturity extension during the three months ended September 30, 2023. Payment extensions Nine months ended September 30, 2023 ($ in millions) Payment deferrals (a) Contractual maturity extensions Principal forgiveness Interest rate concessions Combination Total (b) Consumer automotive $ — $ 99 $ 13 $ — $ 30 $ 142 Consumer mortgage Mortgage Finance — 2 — — 2 4 Mortgage — Legacy — 1 — — 1 2 Total consumer mortgage — 3 — — 3 6 Consumer other Credit Card — — — 9 — 9 Total consumer other — — — 9 — 9 Total consumer — 102 13 9 33 157 Commercial Commercial and industrial Other 65 47 — — — 112 Total commercial 65 47 — — — 112 Total finance receivables and loans $ 65 $ 149 $ 13 $ 9 $ 33 $ 269 (a) Includes a commercial and industrial loan within our Corporate Finance operations that was also granted a three-month contractual maturity extension during the nine months ended September 30, 2023. (b) Represents 0.2% of total finance receivables and loans outstanding as of September 30, 2023. The following tables present the financial effect of loan modifications that occurred during the three months and nine months ended September 30, 2023. Payment extensions (a) Principal forgiveness Interest rate concessions (a) Combination (a) (b) Three months ended September 30, 2023 ($ in millions) Number of months extended/deferred Amount forgiven Initial rate Revised rate Remaining term Revised remaining term Initial rate Revised rate Consumer automotive 28 $ — — % — % — — — % — % Consumer mortgage Mortgage Finance 210 — — — — — — — Mortgage — Legacy — — — — 180 280 2.5 2.0 Total consumer mortgage 210 — — — 180 280 2.5 2.0 Consumer other Credit Card — — 30.0 11.0 — — — — Total consumer other — $ — 30.0 11.0 — — — — Commercial Commercial and industrial Other (c) 3 $ — — % — % — — — % — % Total commercial 3 $ — — — — — — — (a) Calculated using a weighted-average balance for each portfolio class. (b) Term is presented in number of months. (c) Includes a commercial and industrial loan within our Corporate Finance operations that was also granted a three-month contractual maturity extension during the three months ended September 30, 2023. Payment extensions (a) Principal forgiveness Interest rate concessions (a) Combination (a) (b) (c) Nine months ended September 30, 2023 ($ in millions) Number of months extended/deferred Amount forgiven Initial rate Revised rate Remaining term Revised remaining term Initial rate Revised rate Consumer automotive 27 $ 2 — % — % 75 85 10.4 % 9.7 % Consumer mortgage Mortgage Finance 186 — — — 309 470 4.6 3.4 Mortgage — Legacy 76 — — — 174 283 2.7 2.0 Total consumer mortgage 149 — — — 284 435 4.3 3.1 Consumer other Credit Card — — 30.0 8.0 — — — — Total consumer other — $ — 30.0 8.0 — — — — Commercial Commercial and industrial Other (d) 13 $ — — % — % — — — % — % Total commercial 13 $ — — — — — — — (a) Calculated using a weighted-average balance for each portfolio class. (b) Term is presented in number of months. (c) Some consumer mortgage combination loan modifications include deferrals of principal. The weighted average number of months deferred for these loans was 210 months. (d) Includes a commercial and industrial loan within our Corporate Finance operations that was also granted a three-month contractual maturity extension during the nine months ended September 30, 2023. The following tables present the subsequent performance of loans recorded at amortized cost, by portfolio segment and credit quality indicator, that have been modified during the three months and nine months ended September 30, 2023. Three months ended September 30, 2023 ($ in millions) Current 30–59 days past due 60–89 days past due 90 or more days past due (a) Total Consumer automotive Contractual maturity extensions $ 60 $ 2 $ — $ — $ 62 Principal forgiveness — — — 1 1 Total consumer automotive 60 2 — 1 63 Consumer mortgage Mortgage Finance Contractual maturity extensions 1 — — — 1 Total Mortgage Finance 1 — — — 1 Mortgage — Legacy Combination 1 — — — 1 Total Mortgage — Legacy 1 — — — 1 Total consumer mortgage 2 — — — 2 Consumer other Credit Card Interest rate concessions 2 1 — 1 4 Total consumer other 2 1 — 1 4 Total consumer $ 64 $ 3 $ — $ 2 $ 69 (a) Includes 67 consumer automotive loans with a total amortized cost of $1 million that have redefaulted during the three months ended September 30, 2023. Three months ended September 30, 2023 ($ in millions) Pass Special mention Substandard Doubtful Total Commercial and industrial Other Payment deferrals (a) $ — $ — $ — $ 37 $ 37 Total commercial $ — $ — $ — $ 37 $ 37 (a) Includes a commercial and industrial loan within our Corporate Finance operations that was also granted a three-month contractual maturity extension during the three months ended September 30, 2023. Nine months ended September 30, 2023 ($ in millions) Current 30–59 days past due 60–89 days past due 90 or more days past due (a) Total Consumer automotive Contractual maturity extensions $ 89 $ 7 $ 2 $ 1 $ 99 Principal forgiveness 8 1 — 4 13 Combination 28 1 1 — 30 Total consumer automotive 125 9 3 5 142 Consumer mortgage Mortgage Finance Contractual maturity extensions 2 — — — 2 Combination — — — 2 2 Total Mortgage Finance 2 — — 2 4 Mortgage — Legacy Contractual maturity extensions 1 — — — 1 Combination 1 — — — 1 Total Mortgage — Legacy 2 — — — 2 Total consumer mortgage 4 — — 2 6 Consumer other Credit Card Interest rate concessions 5 1 1 2 9 Total consumer other 5 1 1 2 9 Total consumer $ 134 $ 10 $ 4 $ 9 $ 157 (a) Includes 108 consumer automotive loans with a total amortized cost of $3 million and 1 consumer mortgage loan with a total amortized cost of $2 million that redefaulted during the nine months ended September 30, 2023. Nine months ended September 30, 2023 ($ in millions) Pass Special mention Substandard Doubtful Total Commercial and industrial Other Payment deferrals (a) $ — $ — $ — $ 65 $ 65 Contractual maturity extensions 34 7 6 — 47 Total commercial $ 34 $ 7 $ 6 $ 65 $ 112 (a) Includes a commercial and industrial loan within our Corporate Finance operations that was also granted a three-month contractual maturity extension during the nine months ended September 30, 2023. The following tables present information related to finance receivables and loans recorded at amortized cost modified in connection with a TDR during the period. Three months ended September 30, 2022 ($ in millions) Number of loans Pre-modification amortized cost basis Post-modification amortized cost basis Consumer automotive 11,733 $ 193 $ 187 Consumer mortgage Mortgage Finance 4 3 3 Mortgage — Legacy 2 — — Total consumer mortgage 6 3 3 Consumer other Credit Card 749 1 1 Total consumer other 749 1 1 Total consumer 12,488 197 191 Commercial Commercial and industrial Other 1 51 55 Total commercial 1 51 55 Total finance receivables and loans 12,489 $ 248 $ 246 Nine months ended September 30, 2022 ($ in millions) Number of loans Pre-modification amortized cost basis Post-modification amortized cost basis Consumer automotive 38,112 $ 637 $ 620 Consumer mortgage Mortgage Finance 13 10 10 Mortgage — Legacy 9 1 1 Total consumer mortgage 22 11 11 Consumer other Credit Card 1,843 3 3 Total consumer other 1,843 3 3 Total consumer 39,977 651 634 Commercial Commercial and industrial Other 5 462 466 Total commercial 5 462 466 Total finance receivables and loans 39,982 $ 1,113 $ 1,100 |
Schedule of Finance Receivables and Loans Redefaulted During the Period | The following tables present 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 except for commercial finance receivables and loans, where redefault is defined as 90 days past due. Three months ended September 30, 2022 ($ in millions) Number of loans Amortized cost Charge-off amount Consumer automotive 2,473 $ 37 $ 16 Consumer mortgage Mortgage Finance 1 1 — Total consumer mortgage 1 1 — Consumer other Credit Card 146 — — Total consumer other 146 — — Total consumer 2,620 $ 38 $ 16 Commercial Commercial and industrial Other 1 1 31 Total commercial 1 1 31 Total finance receivables and loans 2,621 $ 39 $ 47 Nine months ended September 30, 2022 ($ in millions) Number of loans Amortized cost Charge-off amount Consumer automotive 6,722 $ 103 $ 43 Consumer mortgage Mortgage Finance 4 3 — Total consumer mortgage 4 3 — Consumer Other Credit Card 225 — — Total consumer other 225 — — Total consumer 6,951 106 43 Commercial Commercial and industrial Other 1 1 31 Total commercial 1 1 31 Total finance receivables and loans 6,952 $ 107 $ 74 |
Leasing (Tables)
Leasing (Tables) | 9 Months Ended |
Sep. 30, 2023 | |
Leases [Abstract] | |
Schedule of 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 September 30, 2023, and that have noncancelable lease terms expiring after September 30, 2023. ($ in millions) 2023 $ 9 2024 35 2025 30 2026 23 2027 17 2028 and thereafter 17 Total undiscounted cash flows 131 Difference between undiscounted cash flows and discounted cash flows (8) Total lease liability $ 123 |
Schedule of Lease, Cost | The following table details the components of total net operating lease expense. Three months ended September 30, Nine months ended September 30, ($ in millions) 2023 2022 2023 2022 Operating lease expense $ 7 $ 8 $ 21 $ 25 Variable lease expense 1 1 3 3 Total lease expense, net (a) $ 8 $ 9 $ 24 $ 28 (a) Included in other operating expenses in our Condensed Consolidated Statement of Comprehensive Income. |
Schedule of Property Subject to or Available for Operating Lease | The following table details our investment in operating leases. ($ in millions) September 30, 2023 December 31, 2022 Vehicles $ 11,496 $ 12,304 Accumulated depreciation (1,927) (1,860) Investment in operating leases, net $ 9,569 $ 10,444 |
Schedule of 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 September 30, 2023. ($ in millions) 2023 $ 408 2024 1,240 2025 733 2026 302 2027 50 2028 and thereafter 3 Total lease payments from operating leases $ 2,736 |
Schedule of Depreciation Expense on Operating Lease Assets | The following table summarizes the components of depreciation expense on operating lease assets. Three months ended September 30, Nine months ended September 30, ($ in millions) 2023 2022 2023 2022 Depreciation expense on operating lease assets (excluding remarketing gains) (a) $ 269 $ 277 $ 812 $ 813 Remarketing gains, net (57) (39) (174) (139) Net depreciation expense on operating lease assets $ 212 $ 238 $ 638 $ 674 (a) Includes variable lease payments related to excess mileage and excessive wear and tear on vehicles of $3 million and $7 million for the three months and nine months ended September 30, 2023, respectively, and $2 million and $5 million during the three months and nine months ended September 30, 2022. |
Schedule of Finance Lease, Liability, Maturity | The following table presents future minimum rental payments we have the right to receive under finance leases with noncancelable lease terms expiring after September 30, 2023. ($ in millions) 2023 $ 53 2024 172 2025 149 2026 119 2027 59 2028 and thereafter 33 Total undiscounted cash flows 585 Difference between undiscounted cash flows and discounted cash flows (66) Present value of lease payments recorded as lease receivable $ 519 |
Securitizations and Variable _2
Securitizations and Variable Interest Entities (Tables) | 9 Months Ended |
Sep. 30, 2023 | |
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 Condensed Consolidated Balance Sheet. ($ 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 September 30, 2023 On-balance sheet variable interest entities Consumer automotive $ 19,532 (b) $ 3,230 (c) $ — $ — Off-balance sheet variable interest entities Consumer automotive — — 835 835 (d) Consumer other (e) — — 131 131 Commercial other 2,278 (f) 822 (g) — 2,860 (h) Total $ 21,810 $ 4,052 $ 966 $ 3,826 December 31, 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 (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 $9.7 billion and $10.6 billion of assets that were not encumbered by VIE beneficial interests held by third parties at September 30, 2023, and December 31, 2022, respectively. Ally or consolidated affiliates hold the interests in these assets. (c) Includes $105 million and $113 million of liabilities that were not obligations to third-party beneficial interest holders at September 30, 2023, and December 31, 2022, 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 Ally Credit Card. (f) Amounts are classified as other assets except for $44 million and $38 million classified as equity securities at September 30, 2023, and December 31, 2022, respectively. (g) Amounts are classified as accrued expenses and other liabilities. (h) For certain nonconsolidated affordable housing entities, maximum exposure to loss represents the yield we guaranteed investors through long-term guarantee contracts. The amount disclosed is based on the unlikely event that the yield delivered to investors in the form of low-income tax housing credits is recaptured. For nonconsolidated equity investments, maximum exposure to loss represents our outstanding investment, additional committed capital, and low-income housing tax credits subject to recapture. The amount disclosed is based on the unlikely event that our committed capital is funded, our investments become worthless, and the tax credits previously delivered to us are recaptured. This required disclosure is not an indication of our expected loss. |
Schedule of Cash Flows with Nonconsolidated Special-Purpose Entities | The following table summarizes cash flows received and paid related to SPEs and asset-backed financings where the transfer is accounted for as a sale and we have a continuing involvement with the transferred consumer automotive and credit card assets (for example, servicing) that were outstanding during the nine months ended September 30, 2023, and 2022. Additionally, this table contains information regarding cash flows received from and paid to nonconsolidated SPEs that existed during each period. Nine months ended September 30, ($ in millions) 2023 2022 Consumer automotive Cash proceeds from transfers completed during the period $ 707 $ 60 Servicing fees 11 — Other cash flows 1 — Consumer other (a) Cash proceeds from transfers completed during the period 100 93 Servicing fees 7 9 Total $ 826 $ 162 (a) Represents activity from Ally Credit Card. |
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 ($ in millions) September 30, 2023 December 31, 2022 September 30, 2023 December 31, 2022 Whole-loan sales (a) Consumer automotive $ 835 $ 227 $ 27 $ 2 Consumer other 131 103 16 8 Total $ 966 $ 330 $ 43 $ 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 Three months ended September 30, Nine months ended September 30, ($ in millions) 2023 2022 2023 2022 Whole-loan sales (a) Consumer automotive $ 10 $ — $ 14 $ — Consumer other 8 — 21 — Total $ 18 $ — $ 35 $ — (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. |
Other Assets (Tables)
Other Assets (Tables) | 9 Months Ended |
Sep. 30, 2023 | |
Other Assets [Abstract] | |
Schedule of Other Assets | The components of other assets were as follows. ($ in millions) September 30, 2023 December 31, 2022 Property and equipment at cost $ 2,425 $ 2,352 Accumulated depreciation (1,142) (1,076) Net property and equipment 1,283 1,276 Investment in qualified affordable housing projects (a) 1,630 1,596 Net deferred tax assets 1,514 1,087 Accrued interest, fees, and rent receivables 898 786 Nonmarketable equity investments 857 842 Goodwill 822 822 Equity-method investments (b) 650 608 Restricted cash held for securitization trusts (c) 522 585 Other accounts receivable 181 164 Operating lease right-of-use assets 99 111 Restricted cash and cash equivalents (d) 81 66 Net intangible assets 79 98 Other assets 985 1,097 Total other assets $ 9,601 $ 9,138 (a) Presented gross of the associated unfunded commitment. Refer to Note 13 for further information. (b) Primarily relates to investments made in connection with our CRA program. (c) 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. (d) 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. |
Schedule of Equity Securities without Readily Determinable Fair Value | The total carrying value of the nonmarketable equity investments held at September 30, 2023, and December 31, 2022, including cumulative unrealized gains and losses, was as follows. ($ in millions) September 30, 2023 December 31, 2022 FRB stock $ 419 $ 401 FHLB stock 338 318 Equity investments without a readily determinable fair value Cost basis at acquisition 73 89 Adjustments Upward adjustments 50 177 Downward adjustments (including impairment) (23) (143) Carrying amount, equity investments without a readily determinable fair value 100 123 Nonmarketable equity investments $ 857 $ 842 During the three months and nine months ended September 30, 2023, and September 30, 2022, respectively, unrealized gains and losses included in the carrying value of the nonmarketable equity investments still held as of September 30, 2023, and September 30, 2022, were as follows. Three months ended September 30, Nine months ended September 30, ($ in millions) 2023 2022 2023 2022 Upward adjustments $ — $ — $ 7 $ 1 Downward adjustments (including impairment) (a) $ — $ (137) $ (17) $ (140) (a) No impairment on FHLB and FRB stock was recognized during both the three months and nine months ended September 30, 2023, and 2022. |
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, 2021 $ 20 $ 27 $ 775 $ 822 Goodwill acquired — — — — Goodwill at December 31, 2022 $ 20 $ 27 $ 775 $ 822 Goodwill acquired — — — — Goodwill at September 30, 2023 $ 20 $ 27 $ 775 $ 822 (a) Includes $479 million of goodwill associated with Ally Credit Card at both September 30, 2023, and December 31, 2022, $153 million of goodwill associated with Ally Lending at both September 30, 2023, and December 31, 2022, and $143 million of goodwill associated with Ally Invest at both September 30, 2023, and December 31, 2022. |
Schedule of Finite-Lived Intangible Assets | The net carrying value of intangible assets by class was as follows. September 30, 2023 (a) December 31, 2022 ($ in millions) Gross intangible assets Accumulated amortization Net carrying value Gross intangible assets Accumulated amortization Net carrying value Technology $ 122 $ (65) $ 57 $ 122 $ (53) $ 69 Customer lists 58 (55) 3 58 (51) 7 Purchased credit card relationships 25 (6) 19 25 (4) 21 Trademarks 2 (2) — 2 (1) 1 Total intangible assets $ 207 $ (128) $ 79 $ 207 $ (109) $ 98 (a) We expect to recognize amortization expense of $7 million during the remainder of 2023, $19 million in 2024, and $14 million per year for 2025, 2026, and 2027. |
Deposit Liabilities (Tables)
Deposit Liabilities (Tables) | 9 Months Ended |
Sep. 30, 2023 | |
Deposits [Abstract] | |
Schedule of Deposit Liabilities | Deposit liabilities consisted of the following. ($ in millions) September 30, 2023 December 31, 2022 Noninterest-bearing deposits $ 188 $ 185 Interest-bearing deposits Savings, money market, and spending accounts 99,161 110,776 Certificates of deposit 53,486 41,336 Total deposit liabilities $ 152,835 $ 152,297 |
Debt (Tables)
Debt (Tables) | 9 Months Ended |
Sep. 30, 2023 | |
Debt Disclosure [Abstract] | |
Schedule of Short-term Debt | The following table presents the composition of our short-term borrowings portfolio. September 30, 2023 December 31, 2022 ($ in millions) Unsecured Secured (a) Total Unsecured Secured (a) Total Federal Home Loan Bank $ — $ 1,675 $ 1,675 $ — $ 1,900 $ 1,900 Securities sold under agreements to repurchase — 735 735 — 499 499 Total short-term borrowings $ — $ 2,410 $ 2,410 $ — $ 2,399 $ 2,399 (a) Refer to the section below titled Long-Term Debt for further details on assets restricted as collateral for payment of the related debt. |
Schedule of Long-term Debt | The following tables present the composition of our long-term debt portfolio. September 30, 2023 December 31, 2022 ($ in millions) Unsecured Secured Total Unsecured Secured Total Long-term debt (a) Due within one year $ 2,622 $ 3,349 $ 5,971 $ 2,023 $ 2,395 $ 4,418 Due after one year 8,194 5,931 14,125 8,014 5,330 13,344 Total long-term debt (b) $ 10,816 $ 9,280 $ 20,096 $ 10,037 $ 7,725 $ 17,762 (a) Includes basis adjustments related to the application of hedge accounting. Refer to Note 18 for additional information. (b) Includes advances, net of hedge basis adjustments, from the FHLB of Pittsburgh of $6.2 billion and $5.3 billion at September 30, 2023, and December 31, 2022, respectively. |
Schedule of Maturities of Long-term Debt | The following table presents the scheduled remaining maturity of long-term debt at September 30, 2023, assuming no early redemptions will occur. The amounts below include adjustments to the carrying value resulting from the application of hedge accounting. The actual payment of secured debt may vary based on the payment activity of the related pledged assets. ($ in millions) 2023 2024 2025 2026 2027 2028 and thereafter Total Unsecured Long-term debt $ 1,219 $ 1,478 $ 2,485 $ 154 $ 1,537 $ 4,790 $ 11,663 Original issue discount (16) (68) (74) (82) (94) (513) (847) Total unsecured 1,203 1,410 2,411 72 1,443 4,277 10,816 Secured Long-term debt 807 3,388 2,293 1,991 526 275 9,280 Total long-term debt $ 2,010 $ 4,798 $ 4,704 $ 2,063 $ 1,969 $ 4,552 $ 20,096 |
Schedule of 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. ($ in millions) September 30, 2023 December 31, 2022 Consumer automotive finance receivables $ 43,426 $ 11,759 Consumer mortgage finance receivables 18,931 19,771 Commercial finance receivables 5,837 4,210 Investment securities (amortized cost of $4,818 and $4,288) (a) 3,865 3,525 Total assets restricted as collateral (b) (c) (d) $ 72,059 $ 39,265 Secured debt (e) $ 11,690 $ 10,124 (a) A portion of the restricted investment securities at September 30, 2023, and 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 $27.9 billion and $27.0 billion at September 30, 2023, and December 31, 2022, respectively. These assets were primarily composed of consumer mortgage finance receivables and loans, as well as real-estate-backed loans within our Automotive Finance and Corporate Finance businesses, and non-agency mortgage-backed securities. Ally Bank has access to the FRB Discount Window and had assets pledged and restricted as collateral to the FRB totaling $34.0 billion and $2.4 billion at September 30, 2023, and December 31, 2022, respectively. 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 Condensed Consolidated Balance Sheet. Refer to Note 10 for additional information. (e) Includes $2.4 billion of short-term borrowings at both September 30, 2023, and December 31, 2022. |
Accrued Expenses and Other Li_2
Accrued Expenses and Other Liabilities (Tables) | 9 Months Ended |
Sep. 30, 2023 | |
Accounts Payable and Accrued Liabilities [Abstract] | |
Schedule of Accrued Expenses and Other Liabilities | The components of accrued expenses and other liabilities were as follows. ($ in millions) September 30, 2023 December 31, 2022 Unfunded commitments for investment in qualified affordable housing projects $ 818 $ 869 Accounts payable 482 435 Employee compensation and benefits 344 424 Deferred revenue 161 169 Reserves for insurance losses and loss adjustment expenses (a) 145 119 Operating lease liabilities 123 137 Other liabilities 534 495 Total accrued expenses and other liabilities $ 2,607 $ 2,648 (a) Refer to Note 4 for further information. |
Preferred Stock (Tables)
Preferred Stock (Tables) | 9 Months Ended |
Sep. 30, 2023 | |
Equity [Abstract] | |
Schedule of Preferred Stock | The following table summarizes information about our preferred stock. For additional information regarding our preferred stock, refer to Note 17 to the Consolidated Financial Statements in our 2022 Annual Report on Form 10-K. September 30, 2023 December 31, 2022 Series B preferred stock (a) Issuance date April 22, 2021 April 22, 2021 Carrying value ($ in millions) $ 1,335 $ 1,335 Par value (per share) $ 0.01 $ 0.01 Liquidation preference (per share) $ 1,000 $ 1,000 Number of shares authorized 1,350,000 1,350,000 Number of shares issued and outstanding 1,350,000 1,350,000 Dividend/coupon Prior to May 15, 2026 4.700% 4.700% On and after May 15, 2026 Five Year Treasury + 3.868% Five Year Treasury + 3.868% Series C preferred stock (a) Issuance date June 2, 2021 June 2, 2021 Carrying value ($ in millions) $ 989 $ 989 Par value (per share) $ 0.01 $ 0.01 Liquidation preference (per share) $ 1,000 $ 1,000 Number of shares authorized 1,000,000 1,000,000 Number of shares issued and outstanding 1,000,000 1,000,000 Dividend/coupon Prior to May 15, 2028 4.700% 4.700% On and after May 15, 2028 Seven Year Treasury + 3.481% 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) | 9 Months Ended |
Sep. 30, 2023 | |
Equity [Abstract] | |
Schedule of Accumulated Other Comprehensive Income | The following tables present changes, net of tax, in each component of accumulated other comprehensive loss. Three months ended September 30, ($ in millions) Unrealized losses on investment securities (a) Translation adjustments and net investment hedges (b) Cash flow hedges (b) Defined benefit pension plans (c) Accumulated other comprehensive loss Balance at July 1, 2022 $ (2,940) $ 19 $ 27 $ (115) $ (3,009) Net change (1,343) (1) (3) 16 (1,331) Balance at September 30, 2022 $ (4,283) $ 18 $ 24 $ (99) $ (4,340) Balance at July 1, 2023 $ (3,881) $ 21 $ (3) $ — $ (3,863) Net change (886) (1) (15) — (902) Balance at September 30, 2023 $ (4,767) $ 20 $ (18) $ — $ (4,765) (a) Represents the after-tax difference between the fair value and amortized cost of our available-for-sale securities portfolio. Refer to Note 6 for additional information. (b) For additional information on derivative instruments and hedging activities, refer to Note 18. (c) During 2022, we settled our qualified defined benefit pension plan. Refer to Note 18 to the Consolidated Financial Statements in our 2022 Annual Report on Form 10-K for additional information. Nine months ended September 30, ($ in millions) Unrealized losses on investment securities (a) Translation adjustments and net investment hedges (b) Cash flow hedges (b) Defined benefit pension plans (c) Accumulated other comprehensive loss Balance at January 1, 2022 $ (95) $ 19 $ 35 $ (117) $ (158) Net change (4,188) (1) (11) 18 (4,182) Balance at September 30, 2022 $ (4,283) $ 18 $ 24 $ (99) $ (4,340) Balance at January 1, 2023 $ (4,095) $ 18 $ 18 $ — $ (4,059) Net change (672) 2 (36) — (706) Balance at September 30, 2023 $ (4,767) $ 20 $ (18) $ — $ (4,765) (a) Represents the after-tax difference between the fair value and amortized cost of our available-for-sale securities portfolio. Refer to Note 6 for additional information. (b) For additional information on derivative instruments and hedging activities, refer to Note 18. (c) During 2022, we settled our qualified defined benefit pension plan. Refer to Note 18 to the Consolidated Financial Statements in our 2022 Annual Report on Form 10-K for additional information. |
Schedule of 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. Three months ended September 30, 2023 ($ in millions) Before tax Tax effect After tax Investment securities Net unrealized losses arising during the period $ (1,163) $ 277 $ (886) Translation adjustments Net unrealized losses arising during the period (5) 1 (4) Net investment hedges (a) Net unrealized gains arising during the period 4 (1) 3 Cash flow hedges (a) Net unrealized losses arising during the period (15) 4 (11) Less: Net realized gains reclassified to income from continuing operations 5 (b) (1) (c) 4 Net change (20) 5 (15) Other comprehensive loss $ (1,184) $ 282 $ (902) (a) For additional information on derivative instruments and hedging activities, refer to Note 18. (b) Includes gains reclassified to interest and fees on finance receivables and loans in our Condensed Consolidated Statement of Comprehensive Income. (c) Includes amounts reclassified to income tax expense from continuing operations in our Condensed Consolidated Statement of Comprehensive Income. Three months ended September 30, 2022 ($ in millions) Before tax Tax effect After tax Investment securities Net unrealized losses arising during the period $ (1,757) $ 416 $ (1,341) Less: Net realized gains reclassified to income from continuing operations 2 (a) — (b) 2 Net change (1,759) 416 (1,343) Translation adjustments Net unrealized losses arising during the period (11) 2 (9) Net investment hedges (c) Net unrealized gains arising during the period 10 (2) 8 Cash flow hedges (c) Less: Net realized gains reclassified to income from continuing operations 4 (d) (1) (b) 3 Defined benefit pension plans Less: Net realized losses reclassified to income from continuing operations (21) (e) 5 (b) (16) Other comprehensive loss $ (1,743) $ 412 $ (1,331) (a) Includes gains reclassified to other gain on investments, net in our Condensed Consolidated Statement of Comprehensive Income. (b) Includes amounts reclassified to income tax expense from continuing operations in our Condensed Consolidated Statement of Comprehensive Income. (c) For additional information on derivative instruments and hedging activities, refer to Note 18. (d) Includes gains reclassified to interest and fees on finance receivables and loans in our Condensed Consolidated Statement of Comprehensive Income. (e) Includes losses reclassified to compensation and benefits expense in our Condensed Consolidated Statement of Comprehensive Income as a result of actions taken toward the settlement of our qualified defined benefit pension plan. Refer to Note 18 to the Consolidated Financial Statements in our 2022 Annual Report on Form 10-K for additional information. Nine months ended September 30, 2023 ($ in millions) Before tax Tax effect After tax Investment securities Net unrealized losses arising during the period $ (877) $ 209 $ (668) Less: Net realized gains reclassified to income from continuing operations 5 (a) (1) (b) 4 Net change (882) 210 (672) Translation adjustments Net unrealized gains arising during the period 1 — 1 Net investment hedges (c) Net unrealized gains arising during the period 1 — 1 Cash flow hedges (c) Net unrealized losses arising during the period (33) 9 (24) Less: Net realized gains reclassified to income from continuing operations 15 (d) (3) (b) 12 Net change (48) 12 (36) Other comprehensive loss $ (928) $ 222 $ (706) (a) Includes gains reclassified to other gain on investments, net in our Condensed Consolidated Statement of Comprehensive Income. (b) Includes amounts reclassified to income tax expense from continuing operations in our Condensed Consolidated Statement of Comprehensive Income. (c) For additional information on derivative instruments and hedging activities, refer to Note 18. (d) Includes gains reclassified to interest and fees on finance receivables and loans in our Condensed Consolidated Statement of Comprehensive Income. Nine months ended September 30, 2022 ($ in millions) Before tax Tax effect After tax Investment securities Net unrealized losses arising during the period $ (5,465) $ 1,295 $ (4,170) Less: Net realized gains reclassified to income from continuing operations 23 (a) (5) (b) 18 Net change (5,488) 1,300 (4,188) Translation adjustments Net unrealized losses arising during the period (13) 3 (10) Net investment hedges (c) Net unrealized gains arising during the period 11 (2) 9 Cash flow hedges (c) Less: Net realized gains reclassified to income from continuing operations 15 (d) (4) (b) 11 Defined benefit pension plans Net unrealized gains arising during the period 2 — 2 Less: Net realized losses reclassified to income from continuing operations (21) (e) 5 (b) (16) Net change 23 (5) 18 Other comprehensive loss $ (5,482) $ 1,300 $ (4,182) (a) Includes gains reclassified to other gain on investments, net in our Condensed Consolidated Statement of Comprehensive Income. (b) Includes amounts reclassified to income tax expense from continuing operations in our Condensed Consolidated Statement of Comprehensive Income. (c) For additional information on derivative instruments and hedging activities, refer to Note 18. (d) Includes gains reclassified to interest and fees on finance receivables and loans in our Condensed Consolidated Statement of Comprehensive Income. (e) Includes losses reclassified to compensation and benefits expense in our Condensed Consolidated Statement of Comprehensive Income as a result of actions taken toward the settlement of our qualified defined benefit pension plan. Refer to Note 18 to the Consolidated Financial Statements in our 2022 Annual Report on Form 10-K for additional information. |
Earnings per Common Share (Tabl
Earnings per Common Share (Tables) | 9 Months Ended |
Sep. 30, 2023 | |
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. Three months ended September 30, Nine months ended September 30, ($ in millions, except per share data; shares in thousands) (a) 2023 2022 2023 2022 Net income from continuing operations $ 296 $ 300 $ 945 $ 1,437 Preferred stock dividends — Series B (16) (16) (48) (48) Preferred stock dividends — Series C (11) (11) (35) (35) Net income from continuing operations attributable to common stockholders $ 269 $ 273 $ 862 $ 1,354 Loss from discontinued operations, net of tax — (1) (1) (1) Net income attributable to common stockholders $ 269 $ 272 $ 861 $ 1,353 Basic weighted-average common shares outstanding (b) 304,134 308,220 303,497 321,884 Diluted weighted-average common shares outstanding (b) 305,693 310,086 304,601 323,875 Basic earnings per common share Net income from continuing operations $ 0.88 $ 0.88 $ 2.84 $ 4.20 Loss from discontinued operations, net of tax — — (0.01) — Net income $ 0.88 $ 0.88 $ 2.84 $ 4.20 Diluted earnings per common share Net income from continuing operations $ 0.88 $ 0.88 $ 2.83 $ 4.18 Loss from discontinued operations, net of tax — — (0.01) — Net income $ 0.88 $ 0.88 $ 2.83 $ 4.18 (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. |
Regulatory Capital and Other _2
Regulatory Capital and Other Regulatory Matters (Tables) | 9 Months Ended |
Sep. 30, 2023 | |
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. September 30, 2023 December 31, 2022 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. $ 14,994 9.31 % $ 14,592 9.27 % 4.50 % (b) Ally Bank 17,215 11.27 17,011 11.38 4.50 6.50 % Tier 1 (to risk-weighted assets) Ally Financial Inc. $ 17,257 10.71 % $ 16,867 10.72 % 6.00 % 6.00 % Ally Bank 17,215 11.27 17,011 11.38 6.00 8.00 Total (to risk-weighted assets) Ally Financial Inc. $ 20,126 12.49 % $ 19,209 12.21 % 8.00 % 10.00 % Ally Bank 19,140 12.53 18,888 12.64 8.00 10.00 Tier 1 leverage (to adjusted quarterly average assets) (c) Ally Financial Inc. $ 17,257 8.60 % $ 16,867 8.65 % 4.00 % (b) Ally Bank 17,215 9.04 17,011 9.23 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 and Ally Bank were required to maintain a minimum capital conservation buffer of 2.5% at both September 30, 2023, and December 31, 2022. (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 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 2023 First quarter $ 27 836 299,324 300,821 $ 0.30 Second quarter 2 58 300,821 301,619 0.30 Third quarter — 5 301,619 301,630 0.30 (a) Includes shares of common stock withheld to cover income taxes owed by participants in our share-based incentive plans. (b) On October 9, 2023, our Board declared a quarterly cash dividend of $0.30 per share on all common stock, payable on November 15, 2023, to stockholders of record at the close of business on November 1, 2023. Refer to Note 24 for further information regarding this common-stock dividend. |
Derivative Instruments and He_2
Derivative Instruments and Hedging Activities (Tables) | 9 Months Ended |
Sep. 30, 2023 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Schedule of Derivative Instruments in Statement of Financial Position | The following table summarizes the amounts of derivative instruments reported on our Condensed Consolidated Balance Sheet. The amounts are presented on a gross basis, are segregated by derivatives that are designated and qualifying as hedging instruments or those that are not, and are further segregated by type of contract within those two categories. Derivative contracts in a receivable and payable position exclude open trade equity on derivatives cleared through central clearing counterparties. Any associated margin exchanged with our central clearing counterparties are treated as settlements of the derivative exposure, rather than collateral. Such payments are recognized as settlements of the derivatives contracts in a receivable and payable position on our Condensed Consolidated Balance Sheet. Notional amounts are reference amounts from which contractual obligations are derived and are not recorded on the balance sheet. In our view, derivative notional is not an accurate measure of our derivative exposure when viewed in isolation from other factors, such as market rate fluctuations and counterparty credit risk. September 30, 2023 December 31, 2022 Derivative contracts in a Notional amount Derivative contracts in a Notional amount ($ in millions) receivable position payable position receivable position payable position Derivatives designated as accounting hedges Interest rate contracts Swaps $ — $ — $ 33,194 $ — $ — $ 30,619 Purchased options 19 — 6,250 22 — 2,800 Foreign exchange contracts Forwards 1 — 163 — 1 151 Total derivatives designated as accounting hedges 20 — 39,607 22 1 33,570 Derivatives not designated as accounting hedges Interest rate contracts Futures and forwards 1 — 84 — — 37 Written options 1 — 103 — — 79 Total interest rate risk 2 — 187 — — 116 Foreign exchange contracts Futures and forwards — — 57 — 1 147 Total foreign exchange risk — — 57 — 1 147 Credit contracts (a) Other credit derivatives — 14 n/a — 39 n/a Total credit risk — 14 n/a — 39 n/a Equity contracts Written options — — — — 1 — Purchased options — — — 1 — — Total equity risk — — — 1 1 — Total derivatives not designated as accounting hedges 2 14 244 1 41 263 Total derivatives $ 22 $ 14 $ 39,851 $ 23 $ 42 $ 33,833 n/a = not applicable (a) The maximum potential amount of undiscounted future payments that could be required under these credit derivatives was $38 million and $82 million as of September 30, 2023, and December 31, 2022, respectively. |
Schedule of Fair Value Hedging Instruments, Statements of Financial Performance and Financial Position, Location | The following table presents amounts recorded on our Condensed Consolidated Balance Sheet related to cumulative basis adjustments for fair value hedges. Carrying amount of the hedged items Cumulative amount of fair value hedging adjustment included in the carrying amount of the hedged items Total Discontinued (a) ($ in millions) September 30, 2023 December 31, 2022 September 30, 2023 December 31, 2022 September 30, 2023 December 31, 2022 Assets Available-for-sale securities (b) $ 14,478 $ 11,265 $ (434) $ (180) $ (164) $ (181) Finance receivables and loans, net (c) 46,091 46,390 (358) (617) (30) (57) Liabilities Long-term debt $ 7,736 $ 7,697 $ 102 $ 112 $ 102 $ 120 (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 September 30, 2023, and December 31, 2022, the amortized cost basis and unallocated basis adjustments of the closed portfolios used in these hedging relationships was $13.0 billion and $10.0 billion, respectively, of which $12.8 billion and $9.7 billion, respectively, represents the amortized cost basis and unallocated basis adjustments of closed portfolios designated in an active hedge relationship. At September 30, 2023, and December 31, 2022, the total cumulative basis adjustments associated with these hedging relationships was a $360 million liability and a $135 million liability, respectively, of which the portion related to discontinued hedging relationships was a $126 million liability and a $138 million liability, respectively. At September 30, 2023, and December 31, 2022, the notional amounts of the designated hedged items were $10.5 billion and $4.0 billion, respectively, with cumulative basis adjustments of a $234 million liability and a $3 million asset, respectively, which would be allocated across the entire remaining closed pool upon termination or maturity of the hedge relationship. Refer to Note 6 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 September 30, 2023, and December 31, 2022, the carrying value of the closed portfolios used in these hedging relationships was $46.1 billion and $46.4 billion, respectively, of which $40.1 billion and $46.1 billion, respectively, represents the carrying value of closed portfolios designated in an active hedge relationship. At September 30, 2023, and December 31, 2022, the total cumulative basis adjustments associated with these hedging relationships was a $358 million liability and a $617 million liability, respectively, of which the portion related to discontinued hedging relationships was a $30 million liability and a $57 million liability, respectively. At September 30, 2023, and December 31, 2022, the notional amounts of the designated hedged items were $21.3 billion and $22.8 billion, respectively, with cumulative basis adjustments of a $328 million liability and a $560 million liability, respectively, which would be allocated across the entire remaining closed pool upon termination or maturity of the hedge relationship. |
Schedule of Derivative Instruments Not Designated as Accounting Hedge | The following table summarizes the location and amounts of gains and losses on derivative instruments not designated as accounting hedges reported in our Condensed Consolidated Statement of Comprehensive Income. Three months ended September 30, Nine months ended September 30, ($ in millions) 2023 2022 2023 2022 Gain (loss) recognized in earnings Interest rate contracts Gain on mortgage and automotive loans, net $ 4 $ 7 $ 13 $ 8 Other income, net of losses (1) 4 (1) 10 Total interest rate contracts 3 11 12 18 Foreign exchange contracts Other operating expenses 1 9 1 11 Total foreign exchange contracts 1 9 1 11 Credit contracts Other income, net of losses — — (5) (2) Total credit contracts — — (5) (2) Equity contracts Other income, net of losses (4) — (11) — Total equity contracts (4) — (11) — Total gain (loss) recognized in earnings $ — $ 20 $ (3) $ 27 |
Schedule of Location and Amounts of Gains and Losses on Derivative Instruments | The following tables summarize the location and amounts of gains and losses on derivative instruments designated as qualifying fair value and cash flow hedges reported in our Condensed Consolidated Statement of Comprehensive Income. Interest and fees on finance receivables and loans Interest and dividends on investment securities and other earning assets Interest on long-term debt Three months ended September 30, ($ in millions) 2023 2022 2023 2022 2023 2022 Gain (loss) on fair value hedging relationships Interest rate contracts Hedged fixed-rate unsecured debt $ — $ — $ — $ — $ — $ 1 Derivatives designated as hedging instruments on fixed-rate unsecured debt — — — — — (1) Hedged available-for-sale securities — — (164) (97) — — Derivatives designated as hedging instruments on available-for-sale securities — — 164 97 — — Hedged fixed-rate consumer automotive loans 66 (174) — — — — Derivatives designated as hedging instruments on fixed-rate consumer automotive loans (66) 174 — — — — Total gain on fair value hedging relationships — — — — — — Gain (loss) on cash flow hedging relationships Interest rate contracts Hedged variable-rate commercial loans Reclassified from accumulated other comprehensive income into income 4 5 — — — — Other hedged forecasted transactions Reclassified from accumulated other comprehensive income into income — — — — — (1) Total gain (loss) on cash flow hedging relationships $ 4 $ 5 $ — $ — $ — $ (1) Total amounts presented in the Condensed Consolidated Statement of Comprehensive Income $ 2,837 $ 2,120 $ 267 $ 218 $ 274 $ 194 Interest and fees on finance receivables and loans Interest and dividends on investment securities and other earning assets Interest on long-term debt Nine months ended September 30, ($ in millions) 2023 2022 2023 2022 2023 2022 Gain (loss) on fair value hedging relationships Interest rate contracts Hedged fixed-rate unsecured debt $ — $ — $ — $ — $ 1 $ 5 Derivatives designated as hedging instruments on fixed-rate unsecured debt — — — — (1) (5) Hedged available-for-sale securities — — (272) (186) — — Derivatives designated as hedging instruments on available-for-sale securities — — 272 186 — — Hedged fixed-rate consumer automotive loans 232 (627) — — — — Derivatives designated as hedging instruments on fixed-rate consumer automotive loans (232) 627 — — — — Total gain on fair value hedging relationships — — — — — — Gain (loss) on cash flow hedging relationships Interest rate contracts Hedged variable-rate commercial loans Reclassified from accumulated other comprehensive income into income 14 16 — — — — Other hedged forecasted transactions Reclassified from accumulated other comprehensive income into income — — (1) Total gain (loss) on cash flow hedging relationships $ 14 $ 16 $ — $ — $ — $ (1) Total amounts presented in the Condensed Consolidated Statement of Comprehensive Income $ 8,133 $ 5,676 $ 752 $ 609 $ 753 $ 563 |
Schedule of Derivative Instruments | The following tables summarize 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 Condensed Consolidated Statement of Comprehensive Income. Interest and fees on finance receivables and loans Interest and dividends on investment securities and other earning assets Interest on long-term debt Three months ended September 30, ($ in millions) 2023 2022 2023 2022 2023 2022 Gain (loss) on fair value hedging relationships Interest rate contracts Amortization of deferred unsecured debt basis adjustments $ — $ — $ — $ — $ 3 $ 1 Interest for qualifying accounting hedges of unsecured debt — — — — — — Amortization of deferred secured debt basis adjustments (FHLB advances) — — — — 1 (1) Amortization of deferred basis adjustments of available-for-sale securities — — 6 4 — — Interest for qualifying accounting hedges of available-for-sale securities — — 46 — — — Amortization of deferred loan basis adjustments 8 17 — — — — Interest for qualifying accounting hedges of consumer automotive loans held for investment 154 36 — — — — Total gain on fair value hedging relationships $ 162 $ 53 $ 52 $ 4 $ 4 $ — Interest and fees on finance receivables and loans Interest and dividends on investment securities and other earning assets Interest on long-term debt Nine months ended September 30, ($ in millions) 2023 2022 2023 2022 2023 2022 Gain on fair value hedging relationships Interest rate contracts Amortization of deferred unsecured debt basis adjustments $ — $ — $ — $ — $ 7 $ 3 Interest for qualifying accounting hedges of unsecured debt — — — — — 1 Amortization of deferred secured debt basis adjustments (FHLB advances) — — — — 2 (3) Amortization of deferred basis adjustments of available-for-sale securities — — 17 9 — — Interest for qualifying accounting hedges of available-for-sale securities — — 86 (1) — — Amortization of deferred loan basis adjustments 26 6 — — — — Interest for qualifying accounting hedges of consumer automotive loans held for investment 505 13 — — — — Total gain on fair value hedging relationships $ 531 $ 19 $ 103 $ 8 $ 9 $ 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. Three months ended September 30, Nine months ended September 30, ($ in millions) 2023 2022 2023 2022 Interest rate contracts Loss recognized in other comprehensive loss $ (20) $ (4) $ (48) $ (15) |
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. Three months ended September 30, Nine months ended September 30, ($ in millions) 2023 2022 2023 2022 Foreign exchange contracts (a) (b) Gain recognized in other comprehensive income $ 4 $ 10 $ 1 $ 11 (a) There were no amounts excluded from effectiveness testing for the three months and nine months ended September 30, 2023, or 2022. (b) Gains and losses reclassified from accumulated other comprehensive loss are reported as other income, net of losses, in the Condensed Consolidated Statement of Comprehensive Income. There were no amounts reclassified for the three months and nine months ended September 30, 2023, or 2022. |
Fair Value (Tables)
Fair Value (Tables) | 9 Months Ended |
Sep. 30, 2023 | |
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. 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 September 30, 2023 ($ in millions) Level 1 Level 2 Level 3 Total Assets Investment securities Equity securities (a) (b) $ 680 $ — $ 1 $ 681 Available-for-sale securities Debt securities U.S. Treasury and federal agencies 1,991 — — 1,991 U.S. States and political subdivisions — 608 4 612 Foreign government 43 116 — 159 Agency mortgage-backed residential — 14,636 — 14,636 Mortgage-backed residential — 3,873 — 3,873 Agency mortgage-backed commercial — 3,466 — 3,466 Asset-backed — 354 — 354 Corporate debt — 1,703 — 1,703 Total available-for-sale securities 2,034 24,756 4 26,794 Mortgage loans held-for-sale (c) — 29 — 29 Other assets Derivative contracts in a receivable position Interest rate — 20 1 21 Foreign currency — 1 — 1 Total derivative contracts in a receivable position — 21 1 22 Total assets $ 2,714 $ 24,806 $ 6 $ 27,526 Liabilities Accrued expenses and other liabilities Derivative contracts in a payable position Credit $ — $ — $ 14 $ 14 Total derivative contracts in a payable position — — 14 14 Total liabilities $ — $ — $ 14 $ 14 (a) Our direct investment in any one industry did not exceed 12%. (b) Excludes $44 million of equity securities that are measured at fair value using the net asset value practical expedient and therefore are not classified in the fair value hierarchy. (c) Carried at fair value due to fair value option elections. Recurring fair value measurements December 31, 2022 ($ 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 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 — — 39 39 Equity 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 $38 million of equity securities that are measured at fair value using the net asset value practical expedient and therefore are not classified in the fair value hierarchy. (c) Carried at fair value due to fair value option elections. |
Schedule of Fair Value, Assets Measured on a Recurring Basis, Unobservable Input Reconciliation | The following tables present the reconciliation for all Level 3 assets and liabilities measured at fair value on a recurring basis. We often economically hedge the fair value change of our assets or liabilities with derivatives and other financial instruments. The Level 3 items presented below may be hedged by derivatives and other financial instruments that are classified as Level 1 or Level 2. Thus, the following tables do not fully reflect the impact of our risk-management activities. Equity securities (a) Available-for-sale securities Finance receivables and loans, net (b) ($ in millions) 2023 2022 2023 2022 2023 2022 Assets Fair value at July 1, $ 1 $ 2 $ 5 $ 12 $ — $ 7 Net realized/unrealized losses Included in earnings — (1) — — — — Included in OCI — — — — — — Purchases — — — 1 — 4 Sales — — — — — — Issuances — — — — — — Settlements — — (1) (11) — (5) Transfers into Level 3 — — — — — — Transfers out of Level 3 — — — — — — Fair value at September 30, $ 1 $ 1 $ 4 $ 2 $ — $ 6 Net unrealized gains still held at September 30, Included in earnings $ — $ — $ — $ — $ — $ — Included in OCI — — — — — — (a) Net realized/unrealized losses are reported as other (loss) gain on investments, net, in the Condensed Consolidated Statement of Comprehensive Income. (b) Carried at fair value due to fair value option elections. Derivative liabilities, net of derivative assets (a) ($ in millions) 2023 2022 Liabilities Fair value at July 1, $ 18 $ 50 Net realized/unrealized gains Included in earnings (3) (6) Included in OCI — — Purchases — — Sales — — Issuances — — Settlements (5) (2) Transfers into Level 3 — — Transfers out of Level 3 (b) 3 6 Fair value at September 30, $ 13 $ 48 Net unrealized gains still held at September 30, Included in earnings $ — $ (1) Included in OCI — — (a) Net realized/unrealized gains are reported as gain on mortgage and automotive loans, net, and other income, net of losses, in the Condensed Consolidated Statement of Comprehensive 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 three months ended September 30, 2023, and September 30, 2022. These transfers are deemed to have occurred at the end of the reporting period. Equity securities (a) Available-for-sale securities Finance receivables and loans, net (b) (c) ($ in millions) 2023 2022 2023 2022 2023 2022 Assets Fair value at January 1, $ 1 $ 9 $ 4 $ 9 $ 3 $ 7 Net realized/unrealized gains (losses) Included in earnings — 1 — — — (1) Included in OCI — — — — — — Purchases — — 1 4 — 12 Sales — (9) — — — — Issuances — — — — — — Settlements — — (1) (11) (3) (12) Transfers into Level 3 — — — — — — Transfers out of Level 3 — — — — — — Fair value at September 30, $ 1 $ 1 $ 4 $ 2 $ — $ 6 Net unrealized losses still held at September 30, Included in earnings $ — $ — $ — $ — $ — $ (1) Included in OCI — — — — — — (a) Net realized/unrealized gains are reported as other (loss) gain on investments, net, in the Condensed Consolidated Statement of Comprehensive Income. (b) Carried at fair value due to fair value option elections. (c) Net realized/unrealized losses are reported as other income, net of losses, in the Condensed Consolidated Statement of Comprehensive Income. Derivative liabilities, net of derivative assets (a) ($ in millions) 2023 2022 Liabilities Fair value at January 1, $ 39 $ 53 Net realized/unrealized (gains) losses Included in earnings (6) 1 Included in OCI — — Purchases — — Sales — — Issuances — — Settlements (30) (12) Transfers into Level 3 — — Transfers out of Level 3 (b) 10 6 Fair value at September 30, $ 13 $ 48 Net unrealized gains still held at September 30, Included in earnings $ (3) $ (5) 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 Condensed Consolidated Statement of Comprehensive 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 nine months ended September 30, 2023, and September 30, 2022. These transfers are deemed to have occurred at the end of the reporting period. |
Schedule of Fair Value Measurements - Nonrecurring Basis | The following tables display assets and liabilities measured at fair value on a nonrecurring basis and still held at September 30, 2023, and December 31, 2022, 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 September 30, 2023 ($ in millions) Level 1 Level 2 Level 3 Total Assets Loans held-for-sale, net $ — $ — $ 260 $ 260 $ — n/m (a) Commercial finance receivables and loans, net (b) Automotive — — 73 73 (17) n/m (a) Other — — 78 78 (77) n/m (a) Total commercial finance receivables and loans, net — — 151 151 (94) n/m (a) Other assets Repossessed and foreclosed assets (c) — — 6 6 (1) n/m (a) Total assets $ — $ — $ 417 $ 417 $ (95) 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, 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. |
Schedule of 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 September 30, 2023, and December 31, 2022. Estimated fair value ($ in millions) Carrying value Level 1 Level 2 Level 3 Total September 30, 2023 Financial assets Held-to-maturity securities $ 1,013 $ — $ 779 $ — $ 779 Loans held-for-sale, net 260 — — 260 260 Finance receivables and loans, net 136,423 — — 137,008 137,008 FHLB/FRB stock (a) 757 — 757 — 757 Financial liabilities Deposit liabilities $ 53,486 $ — $ — $ 53,329 $ 53,329 Short-term borrowings 2,410 — — 2,418 2,418 Long-term debt 20,096 — 14,216 6,192 20,408 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 (a) Included in other assets on our Condensed Consolidated Balance Sheet. |
Offsetting Assets and Liabili_2
Offsetting Assets and Liabilities (Tables) | 9 Months Ended |
Sep. 30, 2023 | |
Offsetting [Abstract] | |
Schedule of 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 Condensed Consolidated Balance Sheet Net amounts of assets/liabilities presented on the Condensed Consolidated Balance Sheet Gross amounts not offset on the Condensed Consolidated Balance Sheet ($ in millions) Financial instruments Collateral (a) (b) (c) Net amount September 30, 2023 Assets Derivative assets (d) $ 22 $ — $ 22 $ — $ (20) $ 2 Total assets $ 22 $ — $ 22 $ — $ (20) $ 2 Liabilities Derivative liabilities (e) $ 14 $ — $ 14 $ — $ — $ 14 Securities sold under agreements to repurchase (f) 735 — 735 — (735) — Total liabilities $ 749 $ — $ 749 $ — $ (735) $ 14 December 31, 2022 Assets Derivative assets $ 23 $ — $ 23 $ (1) $ (22) $ — Total assets $ 23 $ — $ 23 $ (1) $ (22) $ — Liabilities Derivative liabilities (e) $ 42 $ — $ 42 $ (1) $ (1) $ 40 Securities sold under agreements to repurchase (f) 499 — 499 — (499) — Total liabilities $ 541 $ — $ 541 $ (1) $ (500) $ 40 (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 Condensed 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) Includes derivative assets with no offsetting arrangements of $2 million as of September 30, 2023. (e) Includes derivative liabilities with no offsetting arrangements of $14 million and $39 million as of September 30, 2023, and December 31, 2022, respectively. (f) For additional information on securities sold under agreements to repurchase, refer to Note 12. |
Schedule of Offsetting Liabilities | The composition of offsetting derivative instruments, financial assets, and financial liabilities was as follows. Gross amounts of recognized assets/liabilities Gross amounts offset on the Condensed Consolidated Balance Sheet Net amounts of assets/liabilities presented on the Condensed Consolidated Balance Sheet Gross amounts not offset on the Condensed Consolidated Balance Sheet ($ in millions) Financial instruments Collateral (a) (b) (c) Net amount September 30, 2023 Assets Derivative assets (d) $ 22 $ — $ 22 $ — $ (20) $ 2 Total assets $ 22 $ — $ 22 $ — $ (20) $ 2 Liabilities Derivative liabilities (e) $ 14 $ — $ 14 $ — $ — $ 14 Securities sold under agreements to repurchase (f) 735 — 735 — (735) — Total liabilities $ 749 $ — $ 749 $ — $ (735) $ 14 December 31, 2022 Assets Derivative assets $ 23 $ — $ 23 $ (1) $ (22) $ — Total assets $ 23 $ — $ 23 $ (1) $ (22) $ — Liabilities Derivative liabilities (e) $ 42 $ — $ 42 $ (1) $ (1) $ 40 Securities sold under agreements to repurchase (f) 499 — 499 — (499) — Total liabilities $ 541 $ — $ 541 $ (1) $ (500) $ 40 (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 Condensed 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) Includes derivative assets with no offsetting arrangements of $2 million as of September 30, 2023. (e) Includes derivative liabilities with no offsetting arrangements of $14 million and $39 million as of September 30, 2023, and December 31, 2022, respectively. (f) For additional information on securities sold under agreements to repurchase, refer to Note 12. |
Segment Information (Tables)
Segment Information (Tables) | 9 Months Ended |
Sep. 30, 2023 | |
Segment Reporting [Abstract] | |
Schedule of Segment Reporting Information, by Segment | Financial information for our reportable operating segments is summarized as follows. Three months ended September 30, ($ in millions) Automotive Finance operations Insurance operations Mortgage Finance operations Corporate Finance operations Corporate and Other Consolidated (a) 2023 Net financing revenue and other interest income $ 1,360 $ 29 $ 53 $ 97 $ (6) $ 1,533 Other revenue 79 293 4 24 35 435 Total net revenue 1,439 322 57 121 29 1,968 Provision for credit losses 444 — (2) 5 61 508 Total noninterest expense 618 338 33 32 211 1,232 Income (loss) from continuing operations before income tax (benefit) expense $ 377 $ (16) $ 26 $ 84 $ (243) $ 228 Total assets $ 114,742 $ 8,736 $ 18,745 $ 10,749 $ 42,732 $ 195,704 2022 Net financing revenue and other interest income $ 1,303 $ 24 $ 57 $ 80 $ 255 $ 1,719 Other revenue (loss) 74 236 7 54 (74) 297 Total net revenue 1,377 260 64 134 181 2,016 Provision for credit losses 328 — 2 13 95 438 Total noninterest expense 561 290 43 30 237 1,161 Income (loss) from continuing operations before income tax (benefit) expense $ 488 $ (30) $ 19 $ 91 $ (151) $ 417 Total assets $ 109,114 $ 8,533 $ 19,862 $ 9,840 $ 41,291 $ 188,640 (a) Net financing revenue and other interest income after the provision for credit losses totaled $1.0 billion and $1.3 billion for the three months ended September 30, 2023, and 2022, respectively. Nine months ended September 30, ($ in millions) Automotive Finance operations Insurance operations Mortgage Finance operations Corporate Finance operations Corporate and Other Consolidated (a) 2023 Net financing revenue and other interest income $ 4,031 $ 84 $ 160 $ 292 $ 141 $ 4,708 Other revenue 239 1,011 13 81 95 1,439 Total net revenue 4,270 1,095 173 373 236 6,147 Provision for credit losses 1,126 — (3) 35 223 1,381 Total noninterest expense 1,824 1,011 108 110 694 3,747 Income (loss) from continuing operations before income tax (benefit) expense $ 1,320 $ 84 $ 68 $ 228 $ (681) $ 1,019 Total assets $ 114,742 $ 8,736 $ 18,745 $ 10,749 $ 42,732 $ 195,704 2022 Net financing revenue and other interest income $ 3,899 $ 61 $ 166 $ 240 $ 810 $ 5,176 Other revenue 214 664 25 97 51 1,051 Total net revenue 4,113 725 191 337 861 6,227 Provision for credit losses 660 — 2 27 220 909 Total noninterest expense 1,640 864 153 95 669 3,421 Income (loss) from continuing operations before income tax (benefit) expense $ 1,813 $ (139) $ 36 $ 215 $ (28) $ 1,897 Total assets $ 109,114 $ 8,533 $ 19,862 $ 9,840 $ 41,291 $ 188,640 (a) Net financing revenue and other interest income after the provision for credit losses totaled $3.3 billion and $4.3 billion for the nine months ended September 30, 2023, and 2022, respectively. |
Revenue from Contracts with C_3
Revenue from Contracts with Customers (Details) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||||||
Sep. 30, 2023 | Sep. 30, 2022 | Sep. 30, 2023 | Sep. 30, 2022 | Jun. 30, 2023 | Dec. 31, 2022 | Jun. 30, 2022 | Dec. 31, 2021 | |
Disaggregation of Revenue [Line Items] | ||||||||
Revenue from contracts with customers | $ 242 | $ 228 | $ 730 | $ 675 | ||||
All other revenue | 193 | 69 | 709 | 376 | ||||
Total other revenue | 435 | 297 | 1,439 | 1,051 | ||||
Remarketing gains (losses), net | 57 | 39 | 174 | 139 | ||||
Corporate and Other | ||||||||
Disaggregation of Revenue [Line Items] | ||||||||
Revenue from contracts with customers | 33 | 30 | 100 | 77 | ||||
All other revenue | 2 | (104) | (5) | (26) | ||||
Total other revenue | 35 | (74) | 95 | 51 | ||||
Automotive Finance operations | ||||||||
Disaggregation of Revenue [Line Items] | ||||||||
Remarketing gains (losses), net | 57 | 39 | 174 | 139 | ||||
Automotive Finance operations | Operating Segments | ||||||||
Disaggregation of Revenue [Line Items] | ||||||||
Revenue from contracts with customers | 32 | 31 | 106 | 98 | ||||
All other revenue | 47 | 43 | 133 | 116 | ||||
Total other revenue | 79 | 74 | 239 | 214 | ||||
Insurance operations | Operating Segments | ||||||||
Disaggregation of Revenue [Line Items] | ||||||||
Revenue from contracts with customers | 177 | 167 | 524 | 500 | ||||
All other revenue | 116 | 69 | 487 | 164 | ||||
Total other revenue | 293 | 236 | 1,011 | 664 | ||||
Mortgage Finance operations | Operating Segments | ||||||||
Disaggregation of Revenue [Line Items] | ||||||||
Revenue from contracts with customers | 0 | 0 | 0 | 0 | ||||
All other revenue | 4 | 7 | 13 | 25 | ||||
Total other revenue | 4 | 7 | 13 | 25 | ||||
Corporate Finance operations | Operating Segments | ||||||||
Disaggregation of Revenue [Line Items] | ||||||||
Revenue from contracts with customers | 0 | 0 | 0 | 0 | ||||
All other revenue | 24 | 54 | 81 | 97 | ||||
Total other revenue | 24 | 54 | 81 | 97 | ||||
Noninsurance contracts | ||||||||
Disaggregation of Revenue [Line Items] | ||||||||
Revenue from contracts with customers | 173 | 164 | 513 | 489 | ||||
Noninsurance contracts | Corporate and Other | ||||||||
Disaggregation of Revenue [Line Items] | ||||||||
Revenue from contracts with customers | 0 | 0 | 0 | 0 | ||||
Noninsurance contracts | Automotive Finance operations | Operating Segments | ||||||||
Disaggregation of Revenue [Line Items] | ||||||||
Revenue from contracts with customers | 0 | 0 | 0 | 0 | ||||
Noninsurance contracts | Insurance operations | ||||||||
Disaggregation of Revenue [Line Items] | ||||||||
Unearned revenue, remaining performance obligation, amount | 3,000 | 3,000 | 3,000 | 3,000 | $ 3,000 | $ 3,000 | $ 3,000 | $ 3,100 |
Unearned revenue, revenue recognized | 249 | 236 | 733 | 701 | ||||
Capitalized contract cost, net | 1,800 | 1,800 | 1,800 | 1,800 | $ 1,800 | $ 1,800 | $ 1,800 | $ 1,900 |
Capitalized contract cost, amortization | 148 | 143 | 436 | 420 | ||||
Noninsurance contracts | Insurance operations | Operating Segments | ||||||||
Disaggregation of Revenue [Line Items] | ||||||||
Revenue from contracts with customers | 173 | 164 | 513 | 489 | ||||
Noninsurance contracts | Insurance operations | Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2023-10-01 | ||||||||
Disaggregation of Revenue [Line Items] | ||||||||
Unearned revenue, remaining performance obligation, amount | $ 238 | $ 238 | ||||||
Remaining performance obligation, expected timing of satisfaction, period | 3 months | 3 months | ||||||
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 | $ 845 | $ 845 | ||||||
Remaining performance obligation, expected timing of satisfaction, period | 1 year | 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 | $ 683 | $ 683 | ||||||
Remaining performance obligation, expected timing of satisfaction, period | 1 year | 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 | $ 513 | $ 513 | ||||||
Remaining performance obligation, expected timing of satisfaction, period | 1 year | 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 | $ 695 | $ 695 | ||||||
Remaining performance obligation, expected timing of satisfaction, period | ||||||||
Noninsurance contracts | Mortgage Finance operations | Operating Segments | ||||||||
Disaggregation of Revenue [Line Items] | ||||||||
Revenue from contracts with customers | $ 0 | 0 | $ 0 | 0 | ||||
Noninsurance contracts | Corporate Finance operations | Operating Segments | ||||||||
Disaggregation of Revenue [Line Items] | ||||||||
Revenue from contracts with customers | 0 | 0 | 0 | 0 | ||||
Remarketing fee income | ||||||||
Disaggregation of Revenue [Line Items] | ||||||||
Revenue from contracts with customers | 27 | 26 | 91 | 82 | ||||
Remarketing fee income | Corporate and Other | ||||||||
Disaggregation of Revenue [Line Items] | ||||||||
Revenue from contracts with customers | 0 | 0 | 0 | 0 | ||||
Remarketing fee income | Automotive Finance operations | Operating Segments | ||||||||
Disaggregation of Revenue [Line Items] | ||||||||
Revenue from contracts with customers | 27 | 26 | 91 | 82 | ||||
Remarketing fee income | Insurance operations | Operating Segments | ||||||||
Disaggregation of Revenue [Line Items] | ||||||||
Revenue from contracts with customers | 0 | 0 | 0 | 0 | ||||
Remarketing fee income | Mortgage Finance operations | Operating Segments | ||||||||
Disaggregation of Revenue [Line Items] | ||||||||
Revenue from contracts with customers | 0 | 0 | 0 | 0 | ||||
Remarketing fee income | Corporate Finance operations | Operating Segments | ||||||||
Disaggregation of Revenue [Line Items] | ||||||||
Revenue from contracts with customers | 0 | 0 | 0 | 0 | ||||
Brokerage commissions and other revenue | ||||||||
Disaggregation of Revenue [Line Items] | ||||||||
Revenue from contracts with customers | 23 | 18 | 69 | 42 | ||||
Brokerage commissions and other revenue | Corporate and Other | ||||||||
Disaggregation of Revenue [Line Items] | ||||||||
Revenue from contracts with customers | 23 | 18 | 69 | 42 | ||||
Brokerage commissions and other revenue | Automotive Finance operations | Operating Segments | ||||||||
Disaggregation of Revenue [Line Items] | ||||||||
Revenue from contracts with customers | 0 | 0 | 0 | 0 | ||||
Brokerage commissions and other revenue | Insurance operations | Operating Segments | ||||||||
Disaggregation of Revenue [Line Items] | ||||||||
Revenue from contracts with customers | 0 | 0 | 0 | 0 | ||||
Brokerage commissions and other revenue | Mortgage Finance operations | Operating Segments | ||||||||
Disaggregation of Revenue [Line Items] | ||||||||
Revenue from contracts with customers | 0 | 0 | 0 | 0 | ||||
Brokerage commissions and other revenue | Corporate Finance operations | Operating Segments | ||||||||
Disaggregation of Revenue [Line Items] | ||||||||
Revenue from contracts with customers | 0 | 0 | 0 | 0 | ||||
Banking fees and interchange income | ||||||||
Disaggregation of Revenue [Line Items] | ||||||||
Revenue from contracts with customers | 10 | 11 | 31 | 32 | ||||
Customer rewards expense | 5 | 4 | 14 | 10 | ||||
Banking fees and interchange income | Corporate and Other | ||||||||
Disaggregation of Revenue [Line Items] | ||||||||
Revenue from contracts with customers | 10 | 11 | 31 | 32 | ||||
Banking fees and interchange income | Automotive Finance operations | Operating Segments | ||||||||
Disaggregation of Revenue [Line Items] | ||||||||
Revenue from contracts with customers | 0 | 0 | 0 | 0 | ||||
Banking fees and interchange income | Insurance operations | Operating Segments | ||||||||
Disaggregation of Revenue [Line Items] | ||||||||
Revenue from contracts with customers | 0 | 0 | 0 | 0 | ||||
Banking fees and interchange income | Mortgage Finance operations | Operating Segments | ||||||||
Disaggregation of Revenue [Line Items] | ||||||||
Revenue from contracts with customers | 0 | 0 | 0 | 0 | ||||
Banking fees and interchange income | Corporate Finance operations | Operating Segments | ||||||||
Disaggregation of Revenue [Line Items] | ||||||||
Revenue from contracts with customers | 0 | 0 | 0 | 0 | ||||
Brokered/agent commissions | ||||||||
Disaggregation of Revenue [Line Items] | ||||||||
Revenue from contracts with customers | 3 | 3 | 10 | 11 | ||||
Brokered/agent commissions | Corporate and Other | ||||||||
Disaggregation of Revenue [Line Items] | ||||||||
Revenue from contracts with customers | 0 | 0 | 0 | 0 | ||||
Brokered/agent commissions | Automotive Finance operations | Operating Segments | ||||||||
Disaggregation of Revenue [Line Items] | ||||||||
Revenue from contracts with customers | 0 | 0 | 0 | 0 | ||||
Brokered/agent commissions | Insurance operations | Operating Segments | ||||||||
Disaggregation of Revenue [Line Items] | ||||||||
Revenue from contracts with customers | 3 | 3 | 10 | 11 | ||||
Brokered/agent commissions | Mortgage Finance operations | Operating Segments | ||||||||
Disaggregation of Revenue [Line Items] | ||||||||
Revenue from contracts with customers | 0 | 0 | 0 | 0 | ||||
Brokered/agent commissions | Corporate Finance operations | Operating Segments | ||||||||
Disaggregation of Revenue [Line Items] | ||||||||
Revenue from contracts with customers | 0 | 0 | 0 | 0 | ||||
Other | ||||||||
Disaggregation of Revenue [Line Items] | ||||||||
Revenue from contracts with customers | 6 | 6 | 16 | 19 | ||||
Other | Corporate and Other | ||||||||
Disaggregation of Revenue [Line Items] | ||||||||
Revenue from contracts with customers | 0 | 1 | 0 | 3 | ||||
Other | Automotive Finance operations | Operating Segments | ||||||||
Disaggregation of Revenue [Line Items] | ||||||||
Revenue from contracts with customers | 5 | 5 | 15 | 16 | ||||
Other | Insurance operations | Operating Segments | ||||||||
Disaggregation of Revenue [Line Items] | ||||||||
Revenue from contracts with customers | 1 | 0 | 1 | 0 | ||||
Other | Mortgage Finance operations | Operating Segments | ||||||||
Disaggregation of Revenue [Line Items] | ||||||||
Revenue from contracts with customers | 0 | 0 | 0 | 0 | ||||
Other | Corporate Finance operations | Operating Segments | ||||||||
Disaggregation of Revenue [Line Items] | ||||||||
Revenue from contracts with customers | $ 0 | $ 0 | $ 0 | $ 0 |
Other Income, Net of Losses (De
Other Income, Net of Losses (Details) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2023 | Sep. 30, 2022 | Sep. 30, 2023 | Sep. 30, 2022 | |
Other Nonoperating Income (Expense) [Abstract] | ||||
Late charges and other administrative fees | $ 50 | $ 42 | $ 145 | $ 117 |
Remarketing fees | 27 | 26 | 91 | 82 |
Income from equity-method investments | 8 | 51 | 5 | 96 |
Loss on nonmarketable equity investments, net | 0 | (135) | (11) | (133) |
Other, net | 67 | 68 | 201 | 185 |
Total other income, net of losses | $ 152 | $ 52 | $ 431 | $ 347 |
Reserves for Insurance Losses_3
Reserves for Insurance Losses and Loss Adjustment Expenses (Details) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||||
Sep. 30, 2023 | Sep. 30, 2022 | Sep. 30, 2023 | Sep. 30, 2022 | Dec. 31, 2022 | Dec. 31, 2021 | |
Liability for Unpaid Claims and Claims Adjustment Expense [Roll Forward] | ||||||
Gross reserves for insurance losses and loss adjustment expenses, beginning balance | $ 119 | $ 122 | ||||
Less: Reinsurance recoverable | 72 | 81 | ||||
Net reserves for insurance losses and loss adjustment expenses | $ 68 | $ 49 | 68 | 49 | $ 47 | $ 41 |
Current year | 326 | 220 | ||||
Prior years | 3 | (3) | ||||
Total net insurance losses and loss adjustment expenses incurred | 107 | 70 | 329 | 217 | ||
Current year | (270) | (183) | ||||
Prior years | (38) | (26) | ||||
Total net insurance losses and loss adjustment expenses paid or payable | (308) | (209) | ||||
Plus: Reinsurance recoverable | 77 | 73 | 77 | 73 | ||
Gross reserves for insurance losses and loss adjustment expenses, ending balance | $ 145 | $ 122 | $ 145 | $ 122 |
Other Operating Expenses (Detai
Other Operating Expenses (Details) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2023 | Sep. 30, 2022 | Sep. 30, 2023 | Sep. 30, 2022 | |
Operating Expenses [Abstract] | ||||
Insurance commissions | $ 160 | $ 152 | $ 475 | $ 452 |
Technology and communications | 109 | 100 | 328 | 297 |
Advertising and marketing | 74 | 89 | 231 | 238 |
Lease and loan administration | 57 | 45 | 158 | 150 |
Property and equipment depreciation | 51 | 42 | 146 | 122 |
Regulatory and licensing fees | 45 | 33 | 119 | 81 |
Professional services | 35 | 42 | 103 | 132 |
Vehicle remarketing and repossession | 30 | 23 | 85 | 65 |
Amortization of intangible assets | 6 | 9 | 19 | 25 |
Other | 95 | 89 | 306 | 245 |
Total other operating expenses | $ 662 | $ 624 | $ 1,970 | $ 1,807 |
Investment Securities (Investme
Investment Securities (Investment Portfolio) (Details) - USD ($) | Sep. 30, 2023 | Dec. 31, 2022 |
Available-for-sale securities | ||
Total | $ 33,265,000,000 | $ 34,863,000,000 |
Gross unrealized gains | 0 | 5,000,000 |
Gross unrealized losses | (6,471,000,000) | (5,327,000,000) |
Fair value | 26,794,000,000 | 29,541,000,000 |
Held-to-maturity securities | ||
Amortized cost | 1,013,000,000 | 1,062,000,000 |
Gross unrealized gains | 0 | 0 |
Gross unrealized losses | (234,000,000) | (178,000,000) |
Fair value | 779,000,000 | 884,000,000 |
Debt securities, available-for-sale, accrued interest receivable | $ 86,000,000 | $ 91,000,000 |
Debt Securities, Available-for-Sale, Accrued Interest, after Allowance for Credit Loss, Statement of Financial Position [Extensible Enumeration] | Other assets | Other assets |
Debt securities, available-for-sale, allowance for credit loss, excluding accrued interest | $ 0 | $ 0 |
Debt securities, held-to-maturity, allowance for credit loss, excluding accrued interest | 0 | 0 |
Debt securities, held-to-maturity, accrued interest receivable | 2,000,000 | 2,000,000 |
Operating Segments | Insurance operations | ||
Held-to-maturity securities | ||
Deposit securities | 12,000,000 | 12,000,000 |
Asset Pledged as Collateral with Right | ||
Available-for-sale securities | ||
Fair value | 4,400,000,000 | 3,900,000,000 |
Held-to-maturity securities | ||
Securities with the right to sell or pledge | 1,300,000,000 | 899,000,000 |
Asset Pledged as Collateral with Right | Federal Home Loan Bank advances | ||
Held-to-maturity securities | ||
Securities with the right to sell or pledge | 3,100,000,000 | 3,000,000,000 |
U.S. Treasury and federal agencies | ||
Available-for-sale securities | ||
Total | 2,280,000,000 | 2,272,000,000 |
Gross unrealized gains | 0 | 0 |
Gross unrealized losses | (289,000,000) | (256,000,000) |
Fair value | 1,991,000,000 | 2,016,000,000 |
U.S. States and political subdivisions | ||
Available-for-sale securities | ||
Total | 729,000,000 | 841,000,000 |
Gross unrealized gains | 0 | 1,000,000 |
Gross unrealized losses | (117,000,000) | (82,000,000) |
Fair value | 612,000,000 | 760,000,000 |
Foreign government | ||
Available-for-sale securities | ||
Total | 175,000,000 | 158,000,000 |
Gross unrealized gains | 0 | 0 |
Gross unrealized losses | (16,000,000) | (12,000,000) |
Fair value | 159,000,000 | 146,000,000 |
Agency mortgage-backed security | ||
Available-for-sale securities | ||
Total | 18,434,000,000 | 19,668,000,000 |
Gross unrealized gains | 0 | 3,000,000 |
Gross unrealized losses | (3,798,000,000) | (3,038,000,000) |
Fair value | 14,636,000,000 | 16,633,000,000 |
Held-to-maturity securities | ||
Amortized cost | 1,013,000,000 | 1,062,000,000 |
Gross unrealized gains | 0 | 0 |
Gross unrealized losses | (234,000,000) | (178,000,000) |
Fair value | 779,000,000 | 884,000,000 |
Hedged liability, fair value hedge, cumulative increase (decrease) | 148,000,000 | 12,000,000 |
Mortgage-backed residential | ||
Available-for-sale securities | ||
Total | 4,858,000,000 | 5,154,000,000 |
Gross unrealized gains | 0 | 0 |
Gross unrealized losses | (985,000,000) | (855,000,000) |
Fair value | 3,873,000,000 | 4,299,000,000 |
Agency mortgage-backed commercial | ||
Available-for-sale securities | ||
Total | 4,497,000,000 | 4,380,000,000 |
Gross unrealized gains | 0 | 0 |
Gross unrealized losses | (1,031,000,000) | (845,000,000) |
Fair value | 3,466,000,000 | 3,535,000,000 |
Held-to-maturity securities | ||
Hedged liability, fair value hedge, cumulative increase (decrease) | 86,000,000 | |
Hedged asset, fair value hedge, cumulative increase (decrease) | 15,000,000 | |
Asset-backed | ||
Available-for-sale securities | ||
Total | 370,000,000 | 459,000,000 |
Gross unrealized gains | 0 | 0 |
Gross unrealized losses | (16,000,000) | (26,000,000) |
Fair value | 354,000,000 | 433,000,000 |
Corporate debt | ||
Available-for-sale securities | ||
Total | 1,922,000,000 | 1,931,000,000 |
Gross unrealized gains | 0 | 1,000,000 |
Gross unrealized losses | (219,000,000) | (213,000,000) |
Fair value | $ 1,703,000,000 | $ 1,719,000,000 |
Investment Securities (Invest_2
Investment Securities (Investments Classified by Contractual Maturity Date) (Details) - USD ($) $ in Millions | Sep. 30, 2023 | Dec. 31, 2022 |
Amount | ||
Total available-for-sale securities | $ 26,794 | $ 29,541 |
Due in one year or less | 219 | 125 |
Due after one year through five years | 2,770 | 2,229 |
Due after five years through ten years | 3,016 | 3,476 |
Due after ten years | $ 20,789 | $ 23,711 |
Yield | ||
Total | 2.50% | 2.50% |
Due in one year or less | 2.20% | 2.30% |
Due after one year through five years | 1.90% | 1.90% |
Due after five years through ten years | 2.40% | 2.10% |
Due after ten years | 2.60% | 2.60% |
Amortized cost of available-for-sale securities | ||
Total | $ 33,265 | $ 34,863 |
Due in one year or less | 224 | 126 |
Due after one year through five years | 3,033 | 2,403 |
Due after five years through ten years | 3,662 | 4,048 |
Due after ten years | 26,346 | 28,286 |
Amount | ||
Total | 1,013 | 1,062 |
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 | $ 1,013 | $ 1,062 |
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% |
Cash equivalents | $ 58 | $ 18 |
U.S. Treasury and federal agencies | ||
Amount | ||
Total available-for-sale securities | 1,991 | 2,016 |
Due in one year or less | 23 | 0 |
Due after one year through five years | 1,270 | 716 |
Due after five years through ten years | 698 | 1,300 |
Due after ten years | $ 0 | $ 0 |
Yield | ||
Total | 1.60% | 1.60% |
Due in one year or less | 2% | 0% |
Due after one year through five years | 1.40% | 1.30% |
Due after five years through ten years | 1.90% | 1.70% |
Due after ten years | 0% | 0% |
Amortized cost of available-for-sale securities | ||
Total | $ 2,280 | $ 2,272 |
U.S. States and political subdivisions | ||
Amount | ||
Total available-for-sale securities | 612 | 760 |
Due in one year or less | 5 | 26 |
Due after one year through five years | 44 | 60 |
Due after five years through ten years | 112 | 112 |
Due after ten years | $ 451 | $ 562 |
Yield | ||
Total | 3.20% | 3.20% |
Due in one year or less | 2.20% | 2.70% |
Due after one year through five years | 2.40% | 2.70% |
Due after five years through ten years | 3.60% | 3.30% |
Due after ten years | 3.20% | 3.20% |
Amortized cost of available-for-sale securities | ||
Total | $ 729 | $ 841 |
Foreign government | ||
Amount | ||
Total available-for-sale securities | 159 | 146 |
Due in one year or less | 19 | 13 |
Due after one year through five years | 72 | 74 |
Due after five years through ten years | 68 | 59 |
Due after ten years | $ 0 | $ 0 |
Yield | ||
Total | 2% | 1.80% |
Due in one year or less | 1.40% | 0.80% |
Due after one year through five years | 2.10% | 1.80% |
Due after five years through ten years | 2.20% | 1.90% |
Due after ten years | 0% | 0% |
Amortized cost of available-for-sale securities | ||
Total | $ 175 | $ 158 |
Agency mortgage-backed security | ||
Amount | ||
Total available-for-sale securities | 14,636 | 16,633 |
Due in one year or less | 0 | 0 |
Due after one year through five years | 11 | 0 |
Due after five years through ten years | 33 | 27 |
Due after ten years | $ 14,592 | $ 16,606 |
Yield | ||
Total | 2.60% | 2.60% |
Due in one year or less | 0% | 0% |
Due after one year through five years | 1.90% | 0% |
Due after five years through ten years | 2.50% | 2% |
Due after ten years | 2.60% | 2.60% |
Amortized cost of available-for-sale securities | ||
Total | $ 18,434 | $ 19,668 |
Amount | ||
Total | 1,013 | 1,062 |
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 | $ 1,013 | $ 1,062 |
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) | $ 148 | $ 12 |
Mortgage-backed residential | ||
Amount | ||
Total available-for-sale securities | 3,873 | 4,299 |
Due in one year or less | 0 | 0 |
Due after one year through five years | 0 | 0 |
Due after five years through ten years | 12 | 14 |
Due after ten years | $ 3,861 | $ 4,285 |
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 | 2.90% | 2.90% |
Due after ten years | 2.80% | 2.80% |
Amortized cost of available-for-sale securities | ||
Total | $ 4,858 | $ 5,154 |
Agency mortgage-backed commercial | ||
Amount | ||
Total available-for-sale securities | 3,466 | 3,535 |
Due in one year or less | 0 | 0 |
Due after one year through five years | 116 | 66 |
Due after five years through ten years | 1,474 | 1,234 |
Due after ten years | $ 1,876 | $ 2,235 |
Yield | ||
Total | 2.30% | 2.20% |
Due in one year or less | 0% | 0% |
Due after one year through five years | 3.30% | 3.10% |
Due after five years through ten years | 2.30% | 2.10% |
Due after ten years | 2.10% | 2.10% |
Amortized cost of available-for-sale securities | ||
Total | $ 4,497 | $ 4,380 |
Yield | ||
Hedged liability, fair value hedge, cumulative increase (decrease) | 86 | |
Hedged asset, fair value hedge, cumulative increase (decrease) | 15 | |
Asset-backed | ||
Amount | ||
Total available-for-sale securities | 354 | 433 |
Due in one year or less | 0 | 0 |
Due after one year through five years | 349 | 401 |
Due after five years through ten years | 5 | 25 |
Due after ten years | $ 0 | $ 7 |
Yield | ||
Total | 1.80% | 1.70% |
Due in one year or less | 0% | 0% |
Due after one year through five years | 1.70% | 1.70% |
Due after five years through ten years | 3.90% | 1.80% |
Due after ten years | 0% | 3.50% |
Amortized cost of available-for-sale securities | ||
Total | $ 370 | $ 459 |
Corporate debt | ||
Amount | ||
Total available-for-sale securities | 1,703 | 1,719 |
Due in one year or less | 172 | 86 |
Due after one year through five years | 908 | 912 |
Due after five years through ten years | 614 | 705 |
Due after ten years | $ 9 | $ 16 |
Yield | ||
Total | 2.60% | 2.40% |
Due in one year or less | 2.30% | 2.40% |
Due after one year through five years | 2.60% | 2.30% |
Due after five years through ten years | 2.70% | 2.60% |
Due after ten years | 5.80% | 4.90% |
Amortized cost of available-for-sale securities | ||
Total | $ 1,922 | $ 1,931 |
Investment Securities (Invest_3
Investment Securities (Investment Income) (Details) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2023 | Sep. 30, 2022 | Sep. 30, 2023 | Sep. 30, 2022 | |
Interest and dividends on investment securities | $ 267 | $ 218 | $ 752 | $ 609 |
Excludes other earning assets | ||||
Taxable interest | 246 | 196 | 692 | 556 |
Taxable dividends | 5 | 4 | 12 | 12 |
Interest and dividends exempt from U.S. federal income tax | 5 | 6 | 16 | 16 |
Interest and dividends on investment securities | $ 256 | $ 206 | $ 720 | $ 584 |
Investment Securities (Schedule
Investment Securities (Schedule Of Realized Gain (Loss)) (Details) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2023 | Sep. 30, 2022 | Sep. 30, 2023 | Sep. 30, 2022 | |
Investments, Debt and Equity Securities [Abstract] | ||||
Gross realized gains | $ 0 | $ 2 | $ 5 | $ 23 |
Net realized gain on available-for-sale securities | 0 | 2 | 5 | 23 |
Net realized gain on equity securities | 15 | 5 | 21 | 67 |
Net unrealized (loss) gain on equity securities | (56) | (61) | 33 | (263) |
Other (loss) gain on investments, net | $ (41) | $ (54) | $ 59 | $ (173) |
Investment securities (Invest_4
Investment securities (Investments Classified by Credit Rating) (Details) - USD ($) $ in Millions | Sep. 30, 2023 | Dec. 31, 2022 |
Schedule of Held-to-maturity Securities [Line Items] | ||
Held-to-maturity securities | $ 1,013 | $ 1,062 |
Agency mortgage-backed security | ||
Schedule of Held-to-maturity Securities [Line Items] | ||
Held-to-maturity securities | 1,013 | 1,062 |
AA | ||
Schedule of Held-to-maturity Securities [Line Items] | ||
Held-to-maturity securities | 1,013 | 1,062 |
AA | Agency mortgage-backed security | ||
Schedule of Held-to-maturity Securities [Line Items] | ||
Held-to-maturity securities | $ 1,013 | $ 1,062 |
Investment Securities (Schedu_2
Investment Securities (Schedule of Unrealized Loss on Investments) (Details) - USD ($) | Sep. 30, 2023 | Dec. 31, 2022 |
Less than 12 months | ||
Fair value | $ 1,008,000,000 | $ 12,548,000,000 |
Unrealized loss | (53,000,000) | (1,503,000,000) |
12 months or longer | ||
Fair value | 25,706,000,000 | 16,660,000,000 |
Unrealized loss | (6,418,000,000) | (3,824,000,000) |
Credit reserves | 0 | 0 |
U.S. Treasury and federal agencies | ||
Less than 12 months | ||
Fair value | 0 | 529,000,000 |
Unrealized loss | 0 | (68,000,000) |
12 months or longer | ||
Fair value | 1,991,000,000 | 1,487,000,000 |
Unrealized loss | (289,000,000) | (188,000,000) |
U.S. States and political subdivisions | ||
Less than 12 months | ||
Fair value | 139,000,000 | 547,000,000 |
Unrealized loss | (6,000,000) | (55,000,000) |
12 months or longer | ||
Fair value | 465,000,000 | 135,000,000 |
Unrealized loss | (111,000,000) | (27,000,000) |
Foreign government | ||
Less than 12 months | ||
Fair value | 25,000,000 | 75,000,000 |
Unrealized loss | (2,000,000) | (4,000,000) |
12 months or longer | ||
Fair value | 135,000,000 | 71,000,000 |
Unrealized loss | (14,000,000) | (8,000,000) |
Agency mortgage-backed security | ||
Less than 12 months | ||
Fair value | 356,000,000 | 7,472,000,000 |
Unrealized loss | (23,000,000) | (892,000,000) |
12 months or longer | ||
Fair value | 14,280,000,000 | 8,978,000,000 |
Unrealized loss | (3,775,000,000) | (2,146,000,000) |
Mortgage-backed residential | ||
Less than 12 months | ||
Fair value | 151,000,000 | 1,985,000,000 |
Unrealized loss | (6,000,000) | (289,000,000) |
12 months or longer | ||
Fair value | 3,716,000,000 | 2,287,000,000 |
Unrealized loss | (979,000,000) | (566,000,000) |
Agency mortgage-backed commercial | ||
Less than 12 months | ||
Fair value | 172,000,000 | 996,000,000 |
Unrealized loss | (10,000,000) | (124,000,000) |
12 months or longer | ||
Fair value | 3,247,000,000 | 2,535,000,000 |
Unrealized loss | (1,021,000,000) | (721,000,000) |
Asset-backed | ||
Less than 12 months | ||
Fair value | 18,000,000 | 162,000,000 |
Unrealized loss | 0 | (4,000,000) |
12 months or longer | ||
Fair value | 322,000,000 | 272,000,000 |
Unrealized loss | (16,000,000) | (22,000,000) |
Corporate debt | ||
Less than 12 months | ||
Fair value | 147,000,000 | 782,000,000 |
Unrealized loss | (6,000,000) | (67,000,000) |
12 months or longer | ||
Fair value | 1,550,000,000 | 895,000,000 |
Unrealized loss | $ (213,000,000) | $ (146,000,000) |
Finance Receivables and Loans_3
Finance Receivables and Loans, Net (Schedule of Accounts, Notes, Loans and Financing Receivables) (Details) - USD ($) $ in Millions | Sep. 30, 2023 | Dec. 31, 2022 | Sep. 30, 2022 | Jun. 30, 2022 | Dec. 31, 2021 |
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||||
Total finance receivables and loans | $ 140,260 | $ 135,748 | |||
Unamortized premiums and discounts and deferred fees and costs | 2,300 | 2,300 | |||
Accrued interest receivable | 813 | 707 | |||
Consumer | |||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||||
Total finance receivables and loans | 108,343 | 106,610 | |||
Consumer | Automotive | |||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||||
Total finance receivables and loans | 85,370 | 83,286 | |||
Consumer | Consumer mortgage | |||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||||
Total finance receivables and loans | 18,895 | 19,735 | |||
Consumer | Mortgage Finance | |||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||||
Total finance receivables and loans | 18,657 | 19,445 | |||
Interest-only mortgage loans | 2 | 3 | |||
Consumer | Mortgage — Legacy | |||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||||
Total finance receivables and loans | 238 | 290 | |||
Interest-only mortgage loans | 13 | 17 | |||
Consumer | Other | |||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||||
Total finance receivables and loans | 4,078 | 3,589 | |||
Fair value, option, carrying amount, financing receivable, no allowance | 3 | $ 6 | $ 7 | $ 7 | |
Consumer | Personal Lending | |||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||||
Total finance receivables and loans | 2,206 | 1,990 | |||
Consumer | Credit Card | |||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||||
Total finance receivables and loans | 1,872 | 1,599 | |||
Commercial | |||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||||
Total finance receivables and loans | 31,917 | 29,138 | |||
Commercial | Automotive | |||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||||
Total finance receivables and loans | 16,605 | 14,595 | |||
Commercial | Consumer mortgage | |||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||||
Total finance receivables and loans | 5,936 | 5,389 | |||
Commercial | Other | |||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||||
Total finance receivables and loans | $ 9,376 | $ 9,154 |
Finance Receivables and Loans_4
Finance Receivables and Loans, Net (Allowance for Credit Losses on Financing Receivables) (Details) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | |||||
Sep. 30, 2023 | Sep. 30, 2022 | Sep. 30, 2023 | Sep. 30, 2022 | Dec. 31, 2022 | Jun. 30, 2022 | Dec. 31, 2021 | |
Financing Receivable, Excluding Accrued Interest, Allowance for Credit Loss [Roll Forward] | |||||||
Allowance, beginning balance | $ 3,781 | $ 3,450 | $ 3,711 | $ 3,267 | |||
Charge-offs | (677) | (447) | (1,907) | (1,079) | |||
Recoveries | 221 | 171 | 643 | 517 | |||
Net charge-offs | (456) | (276) | (1,264) | (562) | |||
Provision for credit losses | 512 | 438 | 1,390 | 907 | |||
Other | 0 | (1) | 0 | (1) | |||
Allowance, ending balance | 3,837 | 3,611 | 3,837 | 3,611 | |||
Unfunded Loan Commitment | |||||||
Financing Receivable, Excluding Accrued Interest, Allowance for Credit Loss [Roll Forward] | |||||||
Provision for credit losses | (4) | (9) | 2 | ||||
Consumer | |||||||
Financing Receivable, Excluding Accrued Interest, Allowance for Credit Loss [Roll Forward] | |||||||
Charge-offs | (1,845) | ||||||
Consumer | Automotive | |||||||
Financing Receivable, Excluding Accrued Interest, Allowance for Credit Loss [Roll Forward] | |||||||
Allowance, beginning balance | 3,064 | 2,885 | 3,020 | 2,769 | |||
Charge-offs | (602) | (381) | (1,634) | (934) | |||
Recoveries | 209 | 164 | 613 | 496 | |||
Net charge-offs | (393) | (217) | (1,021) | (438) | |||
Provision for credit losses | 433 | 326 | 1,106 | 663 | |||
Other | 0 | (1) | (1) | (1) | |||
Allowance, ending balance | 3,104 | 2,993 | 3,104 | 2,993 | |||
Consumer | Consumer mortgage | |||||||
Financing Receivable, Excluding Accrued Interest, Allowance for Credit Loss [Roll Forward] | |||||||
Allowance, beginning balance | 23 | 26 | 27 | 27 | |||
Charge-offs | 0 | (1) | (3) | (3) | |||
Recoveries | 2 | 2 | 7 | 10 | |||
Net charge-offs | 2 | 1 | 4 | 7 | |||
Provision for credit losses | (4) | (1) | (9) | (7) | |||
Other | 1 | 1 | 0 | 0 | |||
Allowance, ending balance | 22 | 27 | 22 | 27 | |||
Consumer | Consumer other | |||||||
Financing Receivable, Excluding Accrued Interest, Allowance for Credit Loss [Roll Forward] | |||||||
Allowance, beginning balance | 476 | 303 | 426 | 221 | |||
Charge-offs | (74) | (33) | (208) | (84) | |||
Recoveries | 6 | 4 | 18 | 8 | |||
Net charge-offs | (68) | (29) | (190) | (76) | |||
Provision for credit losses | 68 | 99 | 239 | 228 | |||
Other | (2) | (1) | (1) | (1) | |||
Allowance, ending balance | 474 | 372 | 474 | 372 | |||
Fair value, option, carrying amount, financing receivable, no allowance | 6 | 6 | $ 3 | $ 7 | $ 7 | ||
Commercial | |||||||
Financing Receivable, Excluding Accrued Interest, Allowance for Credit Loss [Roll Forward] | |||||||
Allowance, beginning balance | 218 | 236 | 238 | 250 | |||
Charge-offs | (1) | (32) | (62) | (58) | |||
Recoveries | 4 | 1 | 5 | 3 | |||
Net charge-offs | 3 | (31) | (57) | (55) | |||
Provision for credit losses | 15 | 14 | 54 | 23 | |||
Other | 1 | 0 | 2 | 1 | |||
Allowance, ending balance | $ 237 | $ 219 | 237 | $ 219 | |||
Commercial | Automotive | |||||||
Financing Receivable, Excluding Accrued Interest, Allowance for Credit Loss [Roll Forward] | |||||||
Charge-offs | (5) | ||||||
Commercial | Consumer other | |||||||
Financing Receivable, Excluding Accrued Interest, Allowance for Credit Loss [Roll Forward] | |||||||
Charge-offs | $ (57) |
Finance Receivables and Loans_5
Finance Receivables and Loans, Net (Schedule of Sales of Financing Receivables and Loans) (Details) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2023 | Sep. 30, 2022 | Sep. 30, 2023 | Sep. 30, 2022 | |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Total sales and transfers | $ 11 | $ 5 | $ 12 | $ 7 |
Consumer | Automotive | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Total sales and transfers | 0 | 4 | 0 | 4 |
Consumer | Consumer mortgage | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Total sales and transfers | 0 | 1 | 1 | 3 |
Commercial | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Total sales and transfers | $ 11 | $ 0 | $ 11 | $ 0 |
Finance Receivables and Loans_6
Finance Receivables and Loans, Net (Schedule of Purchases of Financing Receivables and Loans) (Details) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2023 | Sep. 30, 2022 | Sep. 30, 2023 | Sep. 30, 2022 | |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Total purchases of finance receivables and loans | $ 1,074 | $ 2,475 | $ 2,926 | $ 6,160 |
Consumer | Automotive | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Total purchases of finance receivables and loans | 1,064 | 1,346 | 2,902 | 3,397 |
Consumer | Consumer mortgage | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Total purchases of finance receivables and loans | 7 | 1,127 | 14 | 2,760 |
Commercial | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Total purchases of finance receivables and loans | $ 3 | $ 2 | $ 10 | $ 3 |
Finance Receivables and Loans_7
Finance Receivables and Loans, Net (Schedule of Financing Receivables, Nonaccrual Status) (Details) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||||||
Sep. 30, 2023 | Sep. 30, 2022 | Sep. 30, 2023 | Sep. 30, 2022 | Jun. 30, 2023 | Dec. 31, 2022 | Jun. 30, 2022 | Dec. 31, 2021 | |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||||||
Financing receivable, recorded investment, nonaccrual status | $ 1,501 | $ 1,501 | $ 1,404 | $ 1,454 | $ 1,379 | $ 1,436 | ||
Financing receivable, nonaccrual, with no allowance | 570 | 570 | 519 | |||||
Financing receivable, nonaccrual, interest income | 4 | $ 3 | 11 | $ 9 | ||||
Consumer | ||||||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||||||
Financing receivable, recorded investment, nonaccrual status | 1,242 | 1,242 | 1,216 | 1,292 | 1,160 | 1,179 | ||
Financing receivable, nonaccrual, with no allowance | 548 | 548 | 484 | |||||
Consumer | Automotive | ||||||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||||||
Financing receivable, recorded investment, nonaccrual status | 1,110 | 1,110 | 1,098 | 1,187 | 1,073 | 1,078 | ||
Financing receivable, nonaccrual, with no allowance | 519 | 519 | 445 | |||||
Consumer | Consumer mortgage | ||||||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||||||
Financing receivable, recorded investment, nonaccrual status | 46 | 46 | 52 | 49 | 64 | 85 | ||
Financing receivable, nonaccrual, with no allowance | 29 | 29 | 39 | |||||
Consumer | Mortgage Finance | ||||||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||||||
Financing receivable, recorded investment, nonaccrual status | 33 | 33 | 38 | 34 | 42 | 59 | ||
Financing receivable, nonaccrual, with no allowance | 17 | 17 | 25 | |||||
Consumer | Mortgage — Legacy | ||||||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||||||
Financing receivable, recorded investment, nonaccrual status | 13 | 13 | 14 | 15 | 22 | 26 | ||
Financing receivable, nonaccrual, with no allowance | 12 | 12 | 14 | |||||
Consumer | Other | ||||||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||||||
Financing receivable, recorded investment, nonaccrual status | 86 | 86 | 66 | 56 | 23 | 16 | ||
Financing receivable, nonaccrual, with no allowance | 0 | 0 | 0 | |||||
Consumer | Personal Lending | ||||||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||||||
Financing receivable, recorded investment, nonaccrual status | 14 | 14 | 11 | 13 | 5 | 5 | ||
Financing receivable, nonaccrual, with no allowance | 0 | 0 | 0 | |||||
Consumer | Credit Card | ||||||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||||||
Financing receivable, recorded investment, nonaccrual status | 72 | 72 | 55 | 43 | 18 | 11 | ||
Financing receivable, nonaccrual, with no allowance | 0 | 0 | 0 | |||||
Commercial | ||||||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||||||
Financing receivable, recorded investment, nonaccrual status | 259 | 259 | 188 | 162 | 219 | 257 | ||
Financing receivable, nonaccrual, with no allowance | 22 | 22 | 35 | |||||
Commercial | Automotive | ||||||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||||||
Financing receivable, recorded investment, nonaccrual status | 97 | 97 | 24 | 5 | 4 | 33 | ||
Financing receivable, nonaccrual, with no allowance | 16 | 16 | 2 | |||||
Commercial | Consumer mortgage | ||||||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||||||
Financing receivable, recorded investment, nonaccrual status | 3 | 3 | 3 | 0 | 1 | 3 | ||
Financing receivable, nonaccrual, with no allowance | 0 | 0 | 0 | |||||
Commercial | Other | ||||||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||||||
Financing receivable, recorded investment, nonaccrual status | 159 | 159 | $ 161 | 157 | $ 214 | $ 221 | ||
Financing receivable, nonaccrual, with no allowance | $ 6 | $ 6 | $ 33 |
Finance Receivables and Loans_8
Finance Receivables and Loans, Net (Financing Receivable Credit Quality Indicators Consumer) (Details) - USD ($) $ in Millions | Sep. 30, 2023 | Dec. 31, 2022 | Sep. 30, 2022 | Jun. 30, 2022 | Dec. 31, 2021 |
Financing Receivable, Credit Quality Indicator [Line Items] | |||||
Total finance receivables and loans | $ 140,260 | $ 135,748 | |||
Consumer | |||||
Financing Receivable, Credit Quality Indicator [Line Items] | |||||
Total finance receivables and loans | 108,343 | 106,610 | |||
Consumer | Excludes fair value option elected other loans | |||||
Financing Receivable, Credit Quality Indicator [Line Items] | |||||
Year one, originated, current fiscal year | 40,946 | ||||
Year two, originated, fiscal year before current fiscal year | 34,750 | ||||
Year three, originated, two years before current fiscal year | 12,893 | ||||
Year four, originated, three years before current fiscal year | 7,698 | ||||
Year five, originated, four years before current fiscal year | 4,071 | ||||
Originated, more than five years before current fiscal year | 4,994 | ||||
Revolving loans | 1,794 | ||||
Revolving loans converted to term | 21 | ||||
Total finance receivables and loans | 107,167 | ||||
Consumer | Consumer automotive, excludes basis adjustment | |||||
Financing Receivable, Credit Quality Indicator [Line Items] | |||||
Year one, originated, current fiscal year | 24,964 | 37,114 | |||
Year two, originated, fiscal year before current fiscal year | 29,052 | 23,415 | |||
Year three, originated, two years before current fiscal year | 17,187 | 10,893 | |||
Year four, originated, three years before current fiscal year | 7,514 | 6,872 | |||
Year five, originated, four years before current fiscal year | 4,292 | 3,480 | |||
Originated, more than five years before current fiscal year | 2,689 | 2,072 | |||
Revolving loans | 0 | 0 | |||
Revolving loans converted to term | 0 | 0 | |||
Total finance receivables and loans | 85,698 | 83,846 | |||
Liability excluded from amortized cost of hedged asset, portfolio layer method | 328 | 560 | |||
Consumer | Consumer mortgage | |||||
Financing Receivable, Credit Quality Indicator [Line Items] | |||||
Year one, originated, current fiscal year | 112 | 2,309 | |||
Year two, originated, fiscal year before current fiscal year | 2,212 | 10,927 | |||
Year three, originated, two years before current fiscal year | 10,521 | 1,950 | |||
Year four, originated, three years before current fiscal year | 1,867 | 821 | |||
Year five, originated, four years before current fiscal year | 762 | 590 | |||
Originated, more than five years before current fiscal year | 3,247 | 2,922 | |||
Revolving loans | 155 | 195 | |||
Revolving loans converted to term | 19 | 21 | |||
Total finance receivables and loans | 18,895 | 19,735 | |||
Consumer | Mortgage Finance | |||||
Financing Receivable, Credit Quality Indicator [Line Items] | |||||
Year one, originated, current fiscal year | 112 | 2,309 | |||
Year two, originated, fiscal year before current fiscal year | 2,212 | 10,927 | |||
Year three, originated, two years before current fiscal year | 10,521 | 1,950 | |||
Year four, originated, three years before current fiscal year | 1,867 | 821 | |||
Year five, originated, four years before current fiscal year | 762 | 590 | |||
Originated, more than five years before current fiscal year | 3,183 | 2,848 | |||
Revolving loans | 0 | 0 | |||
Revolving loans converted to term | 0 | 0 | |||
Total finance receivables and loans | 18,657 | 19,445 | |||
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 | 64 | 74 | |||
Revolving loans | 155 | 195 | |||
Revolving loans converted to term | 19 | 21 | |||
Total finance receivables and loans | 238 | 290 | |||
Consumer | Other | |||||
Financing Receivable, Credit Quality Indicator [Line Items] | |||||
Year one, originated, current fiscal year | 961 | ||||
Year two, originated, fiscal year before current fiscal year | 968 | ||||
Year three, originated, two years before current fiscal year | 249 | ||||
Year four, originated, three years before current fiscal year | 27 | ||||
Year five, originated, four years before current fiscal year | 1 | ||||
Originated, more than five years before current fiscal year | 0 | ||||
Revolving loans | 1,872 | ||||
Revolving loans converted to term | 0 | ||||
Total finance receivables and loans | 4,078 | 3,589 | |||
Fair value, option, carrying amount, financing receivable, no allowance | 3 | $ 6 | $ 7 | $ 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 | ||||
Year two, originated, fiscal year before current fiscal year | 408 | ||||
Year three, originated, two years before current fiscal year | 50 | ||||
Year four, originated, three years before current fiscal year | 5 | ||||
Year five, originated, four years before current fiscal year | 1 | ||||
Originated, more than five years before current fiscal year | 0 | ||||
Revolving loans | 1,599 | ||||
Revolving loans converted to term | 0 | ||||
Total finance receivables and loans | 3,586 | ||||
Consumer | Personal Lending | |||||
Financing Receivable, Credit Quality Indicator [Line Items] | |||||
Year one, originated, current fiscal year | 961 | ||||
Year two, originated, fiscal year before current fiscal year | 968 | ||||
Year three, originated, two years before current fiscal year | 249 | ||||
Year four, originated, three years before current fiscal year | 27 | ||||
Year five, originated, four years before current fiscal year | 1 | ||||
Originated, more than five years before current fiscal year | 0 | ||||
Revolving loans | 0 | ||||
Revolving loans converted to term | 0 | ||||
Total finance receivables and loans | 2,206 | 1,990 | |||
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 | ||||
Year two, originated, fiscal year before current fiscal year | 408 | ||||
Year three, originated, two years before current fiscal year | 50 | ||||
Year four, originated, three years before current fiscal year | 5 | ||||
Year five, originated, four years before current fiscal year | 1 | ||||
Originated, more than five years before current fiscal year | 0 | ||||
Revolving loans | 0 | ||||
Revolving loans converted to term | 0 | ||||
Total finance receivables and loans | 1,987 | ||||
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 | 1,872 | 1,599 | |||
Revolving loans converted to term | 0 | 0 | |||
Total finance receivables and loans | 1,872 | 1,599 | |||
Consumer Portfolio Segment, Excludes Basis Adjustment for Automotive Loans | |||||
Financing Receivable, Credit Quality Indicator [Line Items] | |||||
Year one, originated, current fiscal year | 26,037 | ||||
Year two, originated, fiscal year before current fiscal year | 32,232 | ||||
Year three, originated, two years before current fiscal year | 27,957 | ||||
Year four, originated, three years before current fiscal year | 9,408 | ||||
Year five, originated, four years before current fiscal year | 5,055 | ||||
Originated, more than five years before current fiscal year | 5,936 | ||||
Revolving loans | 2,027 | ||||
Revolving loans converted to term | 19 | ||||
Total finance receivables and loans | 108,671 | ||||
Current | Consumer | Consumer automotive, excludes basis adjustment | |||||
Financing Receivable, Credit Quality Indicator [Line Items] | |||||
Year one, originated, current fiscal year | 24,518 | 36,127 | |||
Year two, originated, fiscal year before current fiscal year | 27,587 | 22,102 | |||
Year three, originated, two years before current fiscal year | 16,045 | 10,341 | |||
Year four, originated, three years before current fiscal year | 7,084 | 6,451 | |||
Year five, originated, four years before current fiscal year | 3,995 | 3,237 | |||
Originated, more than five years before current fiscal year | 2,460 | 1,890 | |||
Revolving loans | 0 | 0 | |||
Revolving loans converted to term | 0 | 0 | |||
Total finance receivables and loans | 81,689 | 80,148 | |||
Current | Consumer | Mortgage Finance | |||||
Financing Receivable, Credit Quality Indicator [Line Items] | |||||
Year one, originated, current fiscal year | 112 | 2,292 | |||
Year two, originated, fiscal year before current fiscal year | 2,204 | 10,893 | |||
Year three, originated, two years before current fiscal year | 10,498 | 1,946 | |||
Year four, originated, three years before current fiscal year | 1,857 | 815 | |||
Year five, originated, four years before current fiscal year | 754 | 577 | |||
Originated, more than five years before current fiscal year | 3,142 | 2,805 | |||
Revolving loans | 0 | 0 | |||
Revolving loans converted to term | 0 | 0 | |||
Total finance receivables and loans | 18,567 | 19,328 | |||
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 | 53 | 62 | |||
Revolving loans | 152 | 191 | |||
Revolving loans converted to term | 17 | 18 | |||
Total finance receivables and loans | 222 | 271 | |||
Current | Consumer | Personal Lending | |||||
Financing Receivable, Credit Quality Indicator [Line Items] | |||||
Year one, originated, current fiscal year | 948 | ||||
Year two, originated, fiscal year before current fiscal year | 934 | ||||
Year three, originated, two years before current fiscal year | 239 | ||||
Year four, originated, three years before current fiscal year | 27 | ||||
Year five, originated, four years before current fiscal year | 1 | ||||
Originated, more than five years before current fiscal year | 0 | ||||
Revolving loans | 0 | ||||
Revolving loans converted to term | 0 | ||||
Total finance receivables and loans | 2,149 | ||||
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 | ||||
Year two, originated, fiscal year before current fiscal year | 392 | ||||
Year three, originated, two years before current fiscal year | 48 | ||||
Year four, originated, three years before current fiscal year | 5 | ||||
Year five, originated, four years before current fiscal year | 1 | ||||
Originated, more than five years before current fiscal year | 0 | ||||
Revolving loans | 0 | ||||
Revolving loans converted to term | 0 | ||||
Total finance receivables and loans | 1,938 | ||||
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 | 1,737 | 1,518 | |||
Revolving loans converted to term | 0 | 0 | |||
Total finance receivables and loans | 1,737 | 1,518 | |||
30–59 days past due | Consumer | Consumer automotive, excludes basis adjustment | |||||
Financing Receivable, Credit Quality Indicator [Line Items] | |||||
Year one, originated, current fiscal year | 324 | 707 | |||
Year two, originated, fiscal year before current fiscal year | 948 | 878 | |||
Year three, originated, two years before current fiscal year | 734 | 370 | |||
Year four, originated, three years before current fiscal year | 282 | 284 | |||
Year five, originated, four years before current fiscal year | 194 | 165 | |||
Originated, more than five years before current fiscal year | 146 | 120 | |||
Revolving loans | 0 | 0 | |||
Revolving loans converted to term | 0 | 0 | |||
Total finance receivables and loans | 2,628 | 2,524 | |||
30–59 days past due | Consumer | Mortgage Finance | |||||
Financing Receivable, Credit Quality Indicator [Line Items] | |||||
Year one, originated, current fiscal year | 0 | 15 | |||
Year two, originated, fiscal year before current fiscal year | 5 | 29 | |||
Year three, originated, two years before current fiscal year | 16 | 4 | |||
Year four, originated, three years before current fiscal year | 9 | 3 | |||
Year five, originated, four years before current fiscal year | 6 | 4 | |||
Originated, more than five years before current fiscal year | 16 | 26 | |||
Revolving loans | 0 | 0 | |||
Revolving loans converted to term | 0 | 0 | |||
Total finance receivables and loans | 52 | 81 | |||
30–59 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 | 3 | 4 | |||
Revolving loans | 1 | 1 | |||
Revolving loans converted to term | 0 | 0 | |||
Total finance receivables and loans | 4 | 5 | |||
30–59 days past due | Consumer | Personal Lending | |||||
Financing Receivable, Credit Quality Indicator [Line Items] | |||||
Year one, originated, current fiscal year | 7 | ||||
Year two, originated, fiscal year before current fiscal year | 14 | ||||
Year three, originated, two years before current fiscal year | 4 | ||||
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 | 0 | ||||
Revolving loans converted to term | 0 | ||||
Total finance receivables and loans | 25 | ||||
30–59 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 | ||||
Year two, originated, fiscal year before current fiscal year | 6 | ||||
Year three, originated, two years before current fiscal year | 1 | ||||
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 | 0 | ||||
Revolving loans converted to term | 0 | ||||
Total finance receivables and loans | 21 | ||||
30–59 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 | 36 | 22 | |||
Revolving loans converted to term | 0 | 0 | |||
Total finance receivables and loans | 36 | 22 | |||
60–89 days past due | Consumer | Consumer automotive, excludes basis adjustment | |||||
Financing Receivable, Credit Quality Indicator [Line Items] | |||||
Year one, originated, current fiscal year | 88 | 207 | |||
Year two, originated, fiscal year before current fiscal year | 371 | 324 | |||
Year three, originated, two years before current fiscal year | 295 | 135 | |||
Year four, originated, three years before current fiscal year | 105 | 99 | |||
Year five, originated, four years before current fiscal year | 71 | 55 | |||
Originated, more than five years before current fiscal year | 52 | 38 | |||
Revolving loans | 0 | 0 | |||
Revolving loans converted to term | 0 | 0 | |||
Total finance receivables and loans | 982 | 858 | |||
60–89 days past due | Consumer | Mortgage Finance | |||||
Financing Receivable, Credit Quality Indicator [Line Items] | |||||
Year one, originated, current fiscal year | 0 | 2 | |||
Year two, originated, fiscal year before current fiscal year | 1 | 4 | |||
Year three, originated, two years before current fiscal year | 4 | 0 | |||
Year four, originated, three years before current fiscal year | 1 | 1 | |||
Year five, originated, four years before current fiscal year | 0 | 1 | |||
Originated, more than five years before current fiscal year | 9 | 3 | |||
Revolving loans | 0 | 0 | |||
Revolving loans converted to term | 0 | 0 | |||
Total finance receivables and loans | 15 | 11 | |||
60–89 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 | 2 | 0 | |||
Revolving loans | 0 | 0 | |||
Revolving loans converted to term | 0 | 1 | |||
Total finance receivables and loans | 2 | 1 | |||
60–89 days past due | Consumer | Personal Lending | |||||
Financing Receivable, Credit Quality Indicator [Line Items] | |||||
Year one, originated, current fiscal year | 3 | ||||
Year two, originated, fiscal year before current fiscal year | 11 | ||||
Year three, originated, two years before current fiscal year | 4 | ||||
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 | 0 | ||||
Revolving loans converted to term | 0 | ||||
Total finance receivables and loans | 18 | ||||
60–89 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 | ||||
Year two, originated, fiscal year before current fiscal year | 5 | ||||
Year three, originated, two years before current fiscal year | 1 | ||||
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 | 0 | ||||
Revolving loans converted to term | 0 | ||||
Total finance receivables and loans | 15 | ||||
60–89 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 | 30 | 18 | |||
Revolving loans converted to term | 0 | 0 | |||
Total finance receivables and loans | 30 | 18 | |||
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 | 34 | 73 | |||
Year two, originated, fiscal year before current fiscal year | 146 | 111 | |||
Year three, originated, two years before current fiscal year | 113 | 47 | |||
Year four, originated, three years before current fiscal year | 43 | 38 | |||
Year five, originated, four years before current fiscal year | 32 | 23 | |||
Originated, more than five years before current fiscal year | 31 | 24 | |||
Revolving loans | 0 | 0 | |||
Revolving loans converted to term | 0 | 0 | |||
Total finance receivables and loans | 399 | 316 | |||
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 | 2 | 1 | |||
Year three, originated, two years before current fiscal year | 3 | 0 | |||
Year four, originated, three years before current fiscal year | 0 | 2 | |||
Year five, originated, four years before current fiscal year | 2 | 8 | |||
Originated, more than five years before current fiscal year | 16 | 14 | |||
Revolving loans | 0 | 0 | |||
Revolving loans converted to term | 0 | 0 | |||
Total finance receivables and loans | 23 | 25 | |||
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 | 6 | 8 | |||
Revolving loans | 2 | 3 | |||
Revolving loans converted to term | 2 | 2 | |||
Total finance receivables and loans | 10 | 13 | |||
90 or more days past due | Consumer | Personal Lending | |||||
Financing Receivable, Credit Quality Indicator [Line Items] | |||||
Year one, originated, current fiscal year | 3 | ||||
Year two, originated, fiscal year before current fiscal year | 9 | ||||
Year three, originated, two years before current fiscal year | 2 | ||||
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 | 0 | ||||
Revolving loans converted to term | 0 | ||||
Total finance receivables and loans | 14 | ||||
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 | ||||
Year two, originated, fiscal year before current fiscal year | 5 | ||||
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 | 0 | ||||
Revolving loans converted to term | 0 | ||||
Total finance receivables and loans | 13 | ||||
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 | 69 | 41 | |||
Revolving loans converted to term | 0 | 0 | |||
Total finance receivables and loans | $ 69 | $ 41 |
Finance Receivables and Loans_9
Finance Receivables and Loans, Net (Financing Receivable Credit Quality Indicators Commercial) (Details) - USD ($) $ in Millions | Sep. 30, 2023 | Dec. 31, 2022 |
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Total finance receivables and loans | $ 140,260 | $ 135,748 |
Commercial | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Year one, originated, current fiscal year | 1,504 | 2,915 |
Year two, originated, fiscal year before current fiscal year | 2,818 | 2,035 |
Year three, originated, two years before current fiscal year | 1,963 | 1,871 |
Year four, originated, three years before current fiscal year | 1,486 | 1,406 |
Year five, originated, four years before current fiscal year | 1,148 | 508 |
Originated, more than five years before current fiscal year | 1,375 | 1,196 |
Revolving loans | 21,399 | 19,057 |
Revolving loans converted to term | 224 | 150 |
Total finance receivables and loans | 31,917 | 29,138 |
Automotive | Commercial | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Year one, originated, current fiscal year | 398 | 663 |
Year two, originated, fiscal year before current fiscal year | 531 | 258 |
Year three, originated, two years before current fiscal year | 205 | 132 |
Year four, originated, three years before current fiscal year | 103 | 79 |
Year five, originated, four years before current fiscal year | 63 | 38 |
Originated, more than five years before current fiscal year | 47 | 55 |
Revolving loans | 15,258 | 13,370 |
Revolving loans converted to term | 0 | 0 |
Total finance receivables and loans | 16,605 | 14,595 |
Automotive | Pass | Commercial | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Year one, originated, current fiscal year | 394 | 640 |
Year two, originated, fiscal year before current fiscal year | 522 | 211 |
Year three, originated, two years before current fiscal year | 174 | 132 |
Year four, originated, three years before current fiscal year | 103 | 78 |
Year five, originated, four years before current fiscal year | 63 | 28 |
Originated, more than five years before current fiscal year | 26 | 34 |
Revolving loans | 14,511 | 12,327 |
Revolving loans converted to term | 0 | 0 |
Total finance receivables and loans | 15,793 | 13,450 |
Automotive | Special mention | Commercial | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Year one, originated, current fiscal year | 4 | 23 |
Year two, originated, fiscal year before current fiscal year | 8 | 47 |
Year three, originated, two years before current fiscal year | 31 | 0 |
Year four, originated, three years before current fiscal year | 0 | 0 |
Year five, originated, four years before current fiscal year | 0 | 10 |
Originated, more than five years before current fiscal year | 15 | 21 |
Revolving loans | 640 | 1,016 |
Revolving loans converted to term | 0 | 0 |
Total finance receivables and loans | 698 | 1,117 |
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 | 1 | 0 |
Year three, originated, two years before current fiscal year | 0 | 0 |
Year four, originated, three years before current fiscal year | 0 | 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 | 39 | 27 |
Revolving loans converted to term | 0 | 0 |
Total finance receivables and loans | 40 | 28 |
Automotive | Doubtful | 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 | 6 | |
Revolving loans | 68 | |
Revolving loans converted to term | 0 | |
Total finance receivables and loans | 74 | |
Other | Commercial | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Year one, originated, current fiscal year | 356 | 771 |
Year two, originated, fiscal year before current fiscal year | 744 | 627 |
Year three, originated, two years before current fiscal year | 589 | 786 |
Year four, originated, three years before current fiscal year | 480 | 629 |
Year five, originated, four years before current fiscal year | 414 | 101 |
Originated, more than five years before current fiscal year | 464 | 425 |
Revolving loans | 6,141 | 5,678 |
Revolving loans converted to term | 188 | 137 |
Total finance receivables and loans | 9,376 | 9,154 |
Other | Pass | Commercial | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Year one, originated, current fiscal year | 356 | 594 |
Year two, originated, fiscal year before current fiscal year | 530 | 469 |
Year three, originated, two years before current fiscal year | 359 | 607 |
Year four, originated, three years before current fiscal year | 269 | 419 |
Year five, originated, four years before current fiscal year | 337 | 54 |
Originated, more than five years before current fiscal year | 179 | 133 |
Revolving loans | 5,869 | 5,344 |
Revolving loans converted to term | 144 | 89 |
Total finance receivables and loans | 8,043 | 7,709 |
Other | Special mention | Commercial | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Year one, originated, current fiscal year | 0 | 177 |
Year two, originated, fiscal year before current fiscal year | 214 | 158 |
Year three, originated, two years before current fiscal year | 179 | 175 |
Year four, originated, three years before current fiscal year | 208 | 95 |
Year five, originated, four years before current fiscal year | 51 | 47 |
Originated, more than five years before current fiscal year | 145 | 128 |
Revolving loans | 239 | 278 |
Revolving loans converted to term | 26 | 35 |
Total finance receivables and loans | 1,062 | 1,093 |
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 | 0 |
Year three, originated, two years before current fiscal year | 51 | 4 |
Year four, originated, three years before current fiscal year | 3 | 51 |
Year five, originated, four years before current fiscal year | 26 | 0 |
Originated, more than five years before current fiscal year | 83 | 139 |
Revolving loans | 24 | 55 |
Revolving loans converted to term | 18 | 13 |
Total finance receivables and loans | 205 | 262 |
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 | 0 | 64 |
Year five, originated, four years before current fiscal year | 0 | 0 |
Originated, more than five years before current fiscal year | 57 | 25 |
Revolving loans | 9 | 0 |
Revolving loans converted to term | 0 | 0 |
Total finance receivables and loans | 66 | 89 |
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 | 750 | 1,481 |
Year two, originated, fiscal year before current fiscal year | 1,543 | 1,150 |
Year three, originated, two years before current fiscal year | 1,169 | 953 |
Year four, originated, three years before current fiscal year | 903 | 698 |
Year five, originated, four years before current fiscal year | 671 | 369 |
Originated, more than five years before current fiscal year | 864 | 716 |
Revolving loans | 0 | 9 |
Revolving loans converted to term | 36 | 13 |
Total finance receivables and loans | 5,936 | 5,389 |
Commercial real estate | Pass | Commercial | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Year one, originated, current fiscal year | 748 | 1,481 |
Year two, originated, fiscal year before current fiscal year | 1,533 | 1,118 |
Year three, originated, two years before current fiscal year | 1,141 | 951 |
Year four, originated, three years before current fiscal year | 901 | 679 |
Year five, originated, four years before current fiscal year | 653 | 369 |
Originated, more than five years before current fiscal year | 863 | 716 |
Revolving loans | 0 | 9 |
Revolving loans converted to term | 36 | 13 |
Total finance receivables and loans | 5,875 | 5,336 |
Commercial real estate | Special mention | Commercial | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Year one, originated, current fiscal year | 2 | 0 |
Year two, originated, fiscal year before current fiscal year | 7 | 32 |
Year three, originated, two years before current fiscal year | 28 | 2 |
Year four, originated, three years before current fiscal year | 2 | 19 |
Year five, originated, four years before current fiscal year | 18 | 0 |
Originated, more than five years before current fiscal year | 1 | 0 |
Revolving loans | 0 | 0 |
Revolving loans converted to term | 0 | 0 |
Total finance receivables and loans | 58 | $ 53 |
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 | 3 | |
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 | 0 | |
Revolving loans converted to term | 0 | |
Total finance receivables and loans | $ 3 |
Finance Receivables and Loan_10
Finance Receivables and Loans, Net (Past Due Financing Receivables and Loans Commercial) (Details) - USD ($) $ in Millions | Sep. 30, 2023 | Dec. 31, 2022 |
Financing Receivable, Past Due [Line Items] | ||
Finance receivables and loans, net | $ 140,260 | $ 135,748 |
Commercial | ||
Financing Receivable, Past Due [Line Items] | ||
Finance receivables and loans, net | 31,917 | 29,138 |
Automotive | Commercial | ||
Financing Receivable, Past Due [Line Items] | ||
Finance receivables and loans, net | 16,605 | 14,595 |
Other | Commercial | ||
Financing Receivable, Past Due [Line Items] | ||
Finance receivables and loans, net | 9,376 | 9,154 |
Commercial real estate | Commercial | ||
Financing Receivable, Past Due [Line Items] | ||
Finance receivables and loans, net | 5,936 | 5,389 |
Total past due | Commercial | ||
Financing Receivable, Past Due [Line Items] | ||
Finance receivables and loans, net | 23 | 3 |
Total past due | Automotive | Commercial | ||
Financing Receivable, Past Due [Line Items] | ||
Finance receivables and loans, net | 17 | 0 |
Total past due | Other | Commercial | ||
Financing Receivable, Past Due [Line Items] | ||
Finance receivables and loans, net | 6 | 3 |
Total past due | Commercial real estate | Commercial | ||
Financing Receivable, Past Due [Line Items] | ||
Finance receivables and loans, net | 0 | 0 |
30–59 days past due | Commercial | ||
Financing Receivable, Past Due [Line Items] | ||
Finance receivables and loans, net | 6 | 0 |
30–59 days past due | Automotive | Commercial | ||
Financing Receivable, Past Due [Line Items] | ||
Finance receivables and loans, net | 5 | 0 |
30–59 days past due | Other | Commercial | ||
Financing Receivable, Past Due [Line Items] | ||
Finance receivables and loans, net | 1 | 0 |
30–59 days past due | Commercial real estate | Commercial | ||
Financing Receivable, Past Due [Line Items] | ||
Finance receivables and loans, net | 0 | 0 |
60–89 days past due | Commercial | ||
Financing Receivable, Past Due [Line Items] | ||
Finance receivables and loans, net | 2 | 1 |
60–89 days past due | Automotive | Commercial | ||
Financing Receivable, Past Due [Line Items] | ||
Finance receivables and loans, net | 0 | 0 |
60–89 days past due | Other | Commercial | ||
Financing Receivable, Past Due [Line Items] | ||
Finance receivables and loans, net | 2 | 1 |
60–89 days past due | Commercial real estate | Commercial | ||
Financing Receivable, Past Due [Line Items] | ||
Finance receivables and loans, net | 0 | 0 |
90 or more days past due | Commercial | ||
Financing Receivable, Past Due [Line Items] | ||
Finance receivables and loans, net | 15 | 2 |
90 or more days past due | Automotive | Commercial | ||
Financing Receivable, Past Due [Line Items] | ||
Finance receivables and loans, net | 12 | 0 |
90 or more days past due | Other | Commercial | ||
Financing Receivable, Past Due [Line Items] | ||
Finance receivables and loans, net | 3 | 2 |
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 | 31,894 | 29,135 |
Current | Automotive | Commercial | ||
Financing Receivable, Past Due [Line Items] | ||
Finance receivables and loans, net | 16,588 | 14,595 |
Current | Other | Commercial | ||
Financing Receivable, Past Due [Line Items] | ||
Finance receivables and loans, net | 9,370 | 9,151 |
Current | Commercial real estate | Commercial | ||
Financing Receivable, Past Due [Line Items] | ||
Finance receivables and loans, net | $ 5,936 | $ 5,389 |
Finance Receivables and Loan_11
Finance Receivables and Loans, Net (Financing Receivable Gross Charge-Offs) (Details) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2023 | Sep. 30, 2022 | Sep. 30, 2023 | Sep. 30, 2022 | |
Financing Receivable, Credit Quality Indicator [Line Items] | ||||
2023 | $ 102 | |||
2022 | 752 | |||
2021 | 515 | |||
2020 | 152 | |||
2019 | 166 | |||
2018 and prior | 97 | |||
Revolving loans | 116 | |||
Revolving loans converted to term | 7 | |||
Total | $ 677 | $ 447 | 1,907 | $ 1,079 |
Consumer | ||||
Financing Receivable, Credit Quality Indicator [Line Items] | ||||
2023 | 102 | |||
2022 | 752 | |||
2021 | 515 | |||
2020 | 152 | |||
2019 | 109 | |||
2018 and prior | 97 | |||
Revolving loans | 111 | |||
Revolving loans converted to term | 7 | |||
Total | 1,845 | |||
Consumer | Automotive | ||||
Financing Receivable, Credit Quality Indicator [Line Items] | ||||
2023 | 97 | |||
2022 | 693 | |||
2021 | 492 | |||
2020 | 149 | |||
2019 | 109 | |||
2018 and prior | 94 | |||
Revolving loans | 0 | |||
Revolving loans converted to term | 0 | |||
Total | 602 | 381 | 1,634 | 934 |
Consumer | Consumer mortgage | ||||
Financing Receivable, Credit Quality Indicator [Line Items] | ||||
2023 | 0 | |||
2022 | 0 | |||
2021 | 0 | |||
2020 | 0 | |||
2019 | 0 | |||
2018 and prior | 3 | |||
Revolving loans | 0 | |||
Revolving loans converted to term | 0 | |||
Total | 0 | 1 | 3 | 3 |
Consumer | Mortgage Finance | ||||
Financing Receivable, Credit Quality Indicator [Line Items] | ||||
2023 | 0 | |||
2022 | 0 | |||
2021 | 0 | |||
2020 | 0 | |||
2019 | 0 | |||
2018 and prior | 1 | |||
Revolving loans | 0 | |||
Revolving loans converted to term | 0 | |||
Total | 1 | |||
Consumer | Mortgage — Legacy | ||||
Financing Receivable, Credit Quality Indicator [Line Items] | ||||
2023 | 0 | |||
2022 | 0 | |||
2021 | 0 | |||
2020 | 0 | |||
2019 | 0 | |||
2018 and prior | 2 | |||
Revolving loans | 0 | |||
Revolving loans converted to term | 0 | |||
Total | 2 | |||
Consumer | Other | ||||
Financing Receivable, Credit Quality Indicator [Line Items] | ||||
2023 | 5 | |||
2022 | 59 | |||
2021 | 23 | |||
2020 | 3 | |||
2019 | 0 | |||
2018 and prior | 0 | |||
Revolving loans | 111 | |||
Revolving loans converted to term | 7 | |||
Total | 74 | 33 | 208 | 84 |
Consumer | Personal Lending | ||||
Financing Receivable, Credit Quality Indicator [Line Items] | ||||
2023 | 5 | |||
2022 | 59 | |||
2021 | 23 | |||
2020 | 3 | |||
2019 | 0 | |||
2018 and prior | 0 | |||
Revolving loans | 0 | |||
Revolving loans converted to term | 0 | |||
Total | 90 | |||
Consumer | Credit Card | ||||
Financing Receivable, Credit Quality Indicator [Line Items] | ||||
2023 | 0 | |||
2022 | 0 | |||
2021 | 0 | |||
2020 | 0 | |||
2019 | 0 | |||
2018 and prior | 0 | |||
Revolving loans | 111 | |||
Revolving loans converted to term | 7 | |||
Total | 118 | |||
Commercial | ||||
Financing Receivable, Credit Quality Indicator [Line Items] | ||||
2023 | 0 | |||
2022 | 0 | |||
2021 | 0 | |||
2020 | 0 | |||
2019 | 57 | |||
2018 and prior | 0 | |||
Revolving loans | 5 | |||
Revolving loans converted to term | 0 | |||
Total | $ 1 | $ 32 | 62 | $ 58 |
Commercial | Automotive | ||||
Financing Receivable, Credit Quality Indicator [Line Items] | ||||
2023 | 0 | |||
2022 | 0 | |||
2021 | 0 | |||
2020 | 0 | |||
2019 | 0 | |||
2018 and prior | 0 | |||
Revolving loans | 5 | |||
Revolving loans converted to term | 0 | |||
Total | 5 | |||
Commercial | Other | ||||
Financing Receivable, Credit Quality Indicator [Line Items] | ||||
2023 | 0 | |||
2022 | 0 | |||
2021 | 0 | |||
2020 | 0 | |||
2019 | 57 | |||
2018 and prior | 0 | |||
Revolving loans | 0 | |||
Revolving loans converted to term | 0 | |||
Total | $ 57 |
Finance Receivables and Loan_12
Finance Receivables and Loans, Net (Loan Modifications) (Details) $ in Millions | 3 Months Ended | 9 Months Ended |
Sep. 30, 2023 USD ($) loan | Sep. 30, 2023 USD ($) loan | |
Financing Receivable, Troubled Debt Restructuring | ||
Trial modifications, term | 3 months | |
Trial modifications, amount | $ 4 | $ 4 |
Total | 106 | $ 269 |
Percentage of total | 0.20% | |
Payment deferrals | ||
Financing Receivable, Troubled Debt Restructuring | ||
Total | 37 | $ 65 |
Contractual maturity extensions | ||
Financing Receivable, Troubled Debt Restructuring | ||
Total | 63 | 149 |
Principal forgiveness | ||
Financing Receivable, Troubled Debt Restructuring | ||
Total | 1 | 13 |
Interest rate concessions | ||
Financing Receivable, Troubled Debt Restructuring | ||
Total | 4 | 9 |
Combination | ||
Financing Receivable, Troubled Debt Restructuring | ||
Total | 1 | 33 |
Consumer | ||
Financing Receivable, Troubled Debt Restructuring | ||
Total | 69 | 157 |
Consumer | Current | ||
Financing Receivable, Troubled Debt Restructuring | ||
Total | 64 | 134 |
Consumer | 30–59 days past due | ||
Financing Receivable, Troubled Debt Restructuring | ||
Total | 3 | 10 |
Consumer | 60–89 days past due | ||
Financing Receivable, Troubled Debt Restructuring | ||
Total | 0 | 4 |
Consumer | 90 or more days past due | ||
Financing Receivable, Troubled Debt Restructuring | ||
Total | 2 | 9 |
Consumer | Payment deferrals | ||
Financing Receivable, Troubled Debt Restructuring | ||
Total | 0 | 0 |
Consumer | Contractual maturity extensions | ||
Financing Receivable, Troubled Debt Restructuring | ||
Total | 63 | 102 |
Consumer | Principal forgiveness | ||
Financing Receivable, Troubled Debt Restructuring | ||
Total | 1 | 13 |
Consumer | Interest rate concessions | ||
Financing Receivable, Troubled Debt Restructuring | ||
Total | 4 | 9 |
Consumer | Combination | ||
Financing Receivable, Troubled Debt Restructuring | ||
Total | 1 | 33 |
Consumer | Automotive | ||
Financing Receivable, Troubled Debt Restructuring | ||
Total | $ 63 | $ 142 |
Number of loans redefualted | loan | 67 | 108 |
Amortized cost of loans redefaulted | $ 1 | $ 3 |
Consumer | Automotive | Current | ||
Financing Receivable, Troubled Debt Restructuring | ||
Total | 60 | 125 |
Consumer | Automotive | 30–59 days past due | ||
Financing Receivable, Troubled Debt Restructuring | ||
Total | 2 | 9 |
Consumer | Automotive | 60–89 days past due | ||
Financing Receivable, Troubled Debt Restructuring | ||
Total | 0 | 3 |
Consumer | Automotive | 90 or more days past due | ||
Financing Receivable, Troubled Debt Restructuring | ||
Total | 1 | 5 |
Consumer | Automotive | Payment deferrals | ||
Financing Receivable, Troubled Debt Restructuring | ||
Total | $ 0 | $ 0 |
Number of months extended/deferred | 28 months | 27 months |
Consumer | Automotive | Contractual maturity extensions | ||
Financing Receivable, Troubled Debt Restructuring | ||
Total | $ 62 | $ 99 |
Consumer | Automotive | Contractual maturity extensions | Current | ||
Financing Receivable, Troubled Debt Restructuring | ||
Total | 60 | 89 |
Consumer | Automotive | Contractual maturity extensions | 30–59 days past due | ||
Financing Receivable, Troubled Debt Restructuring | ||
Total | 2 | 7 |
Consumer | Automotive | Contractual maturity extensions | 60–89 days past due | ||
Financing Receivable, Troubled Debt Restructuring | ||
Total | 0 | 2 |
Consumer | Automotive | Contractual maturity extensions | 90 or more days past due | ||
Financing Receivable, Troubled Debt Restructuring | ||
Total | 0 | 1 |
Consumer | Automotive | Principal forgiveness | ||
Financing Receivable, Troubled Debt Restructuring | ||
Total | 1 | 13 |
Principal forgiveness, amount forgiven | 0 | 2 |
Consumer | Automotive | Principal forgiveness | Current | ||
Financing Receivable, Troubled Debt Restructuring | ||
Total | 0 | 8 |
Consumer | Automotive | Principal forgiveness | 30–59 days past due | ||
Financing Receivable, Troubled Debt Restructuring | ||
Total | 0 | 1 |
Consumer | Automotive | Principal forgiveness | 60–89 days past due | ||
Financing Receivable, Troubled Debt Restructuring | ||
Total | 0 | 0 |
Consumer | Automotive | Principal forgiveness | 90 or more days past due | ||
Financing Receivable, Troubled Debt Restructuring | ||
Total | 1 | 4 |
Consumer | Automotive | Interest rate concessions | ||
Financing Receivable, Troubled Debt Restructuring | ||
Total | $ 0 | $ 0 |
Interest rate concessions, initial rate | 0% | 0% |
Interest rate concessions, revised rate | 0% | 0% |
Consumer | Automotive | Combination | ||
Financing Receivable, Troubled Debt Restructuring | ||
Total | $ 0 | $ 30 |
Interest rate concessions, initial rate | 0% | 10.40% |
Interest rate concessions, revised rate | 0% | 9.70% |
Payment extensions, initial term | 75 months | |
Payment extensions, revised term | 85 months | |
Consumer | Automotive | Combination | Current | ||
Financing Receivable, Troubled Debt Restructuring | ||
Total | $ 28 | |
Consumer | Automotive | Combination | 30–59 days past due | ||
Financing Receivable, Troubled Debt Restructuring | ||
Total | 1 | |
Consumer | Automotive | Combination | 60–89 days past due | ||
Financing Receivable, Troubled Debt Restructuring | ||
Total | 1 | |
Consumer | Automotive | Combination | 90 or more days past due | ||
Financing Receivable, Troubled Debt Restructuring | ||
Total | 0 | |
Consumer | Consumer mortgage | ||
Financing Receivable, Troubled Debt Restructuring | ||
Total | $ 2 | $ 6 |
Number of loans redefualted | loan | 1 | |
Amortized cost of loans redefaulted | $ 2 | |
Consumer | Consumer mortgage | Current | ||
Financing Receivable, Troubled Debt Restructuring | ||
Total | 2 | 4 |
Consumer | Consumer mortgage | 30–59 days past due | ||
Financing Receivable, Troubled Debt Restructuring | ||
Total | 0 | 0 |
Consumer | Consumer mortgage | 60–89 days past due | ||
Financing Receivable, Troubled Debt Restructuring | ||
Total | 0 | 0 |
Consumer | Consumer mortgage | 90 or more days past due | ||
Financing Receivable, Troubled Debt Restructuring | ||
Total | 0 | 2 |
Consumer | Consumer mortgage | Payment deferrals | ||
Financing Receivable, Troubled Debt Restructuring | ||
Total | $ 0 | $ 0 |
Number of months extended/deferred | 210 months | 149 months |
Consumer | Consumer mortgage | Contractual maturity extensions | ||
Financing Receivable, Troubled Debt Restructuring | ||
Total | $ 1 | $ 3 |
Consumer | Consumer mortgage | Principal forgiveness | ||
Financing Receivable, Troubled Debt Restructuring | ||
Total | 0 | 0 |
Principal forgiveness, amount forgiven | 0 | 0 |
Consumer | Consumer mortgage | Interest rate concessions | ||
Financing Receivable, Troubled Debt Restructuring | ||
Total | $ 0 | $ 0 |
Interest rate concessions, initial rate | 0% | 0% |
Interest rate concessions, revised rate | 0% | 0% |
Consumer | Consumer mortgage | Combination | ||
Financing Receivable, Troubled Debt Restructuring | ||
Total | $ 1 | $ 3 |
Number of months extended/deferred | 210 months | |
Interest rate concessions, initial rate | 2.50% | 4.30% |
Interest rate concessions, revised rate | 2% | 3.10% |
Payment extensions, initial term | 180 months | 284 months |
Payment extensions, revised term | 280 months | 435 months |
Consumer | Mortgage Finance | ||
Financing Receivable, Troubled Debt Restructuring | ||
Total | $ 1 | $ 4 |
Consumer | Mortgage Finance | Current | ||
Financing Receivable, Troubled Debt Restructuring | ||
Total | 1 | 2 |
Consumer | Mortgage Finance | 30–59 days past due | ||
Financing Receivable, Troubled Debt Restructuring | ||
Total | 0 | 0 |
Consumer | Mortgage Finance | 60–89 days past due | ||
Financing Receivable, Troubled Debt Restructuring | ||
Total | 0 | 0 |
Consumer | Mortgage Finance | 90 or more days past due | ||
Financing Receivable, Troubled Debt Restructuring | ||
Total | 0 | 2 |
Consumer | Mortgage Finance | Payment deferrals | ||
Financing Receivable, Troubled Debt Restructuring | ||
Total | $ 0 | $ 0 |
Number of months extended/deferred | 210 months | 186 months |
Consumer | Mortgage Finance | Contractual maturity extensions | ||
Financing Receivable, Troubled Debt Restructuring | ||
Total | $ 1 | $ 2 |
Consumer | Mortgage Finance | Contractual maturity extensions | Current | ||
Financing Receivable, Troubled Debt Restructuring | ||
Total | 1 | 2 |
Consumer | Mortgage Finance | Contractual maturity extensions | 30–59 days past due | ||
Financing Receivable, Troubled Debt Restructuring | ||
Total | 0 | 0 |
Consumer | Mortgage Finance | Contractual maturity extensions | 60–89 days past due | ||
Financing Receivable, Troubled Debt Restructuring | ||
Total | 0 | 0 |
Consumer | Mortgage Finance | Contractual maturity extensions | 90 or more days past due | ||
Financing Receivable, Troubled Debt Restructuring | ||
Total | 0 | 0 |
Consumer | Mortgage Finance | Principal forgiveness | ||
Financing Receivable, Troubled Debt Restructuring | ||
Total | 0 | 0 |
Principal forgiveness, amount forgiven | 0 | 0 |
Consumer | Mortgage Finance | Interest rate concessions | ||
Financing Receivable, Troubled Debt Restructuring | ||
Total | $ 0 | $ 0 |
Interest rate concessions, initial rate | 0% | 0% |
Interest rate concessions, revised rate | 0% | 0% |
Consumer | Mortgage Finance | Combination | ||
Financing Receivable, Troubled Debt Restructuring | ||
Total | $ 0 | $ 2 |
Interest rate concessions, initial rate | 0% | 4.60% |
Interest rate concessions, revised rate | 0% | 3.40% |
Payment extensions, initial term | 309 months | |
Payment extensions, revised term | 470 months | |
Consumer | Mortgage Finance | Combination | Current | ||
Financing Receivable, Troubled Debt Restructuring | ||
Total | $ 0 | |
Consumer | Mortgage Finance | Combination | 30–59 days past due | ||
Financing Receivable, Troubled Debt Restructuring | ||
Total | 0 | |
Consumer | Mortgage Finance | Combination | 60–89 days past due | ||
Financing Receivable, Troubled Debt Restructuring | ||
Total | 0 | |
Consumer | Mortgage Finance | Combination | 90 or more days past due | ||
Financing Receivable, Troubled Debt Restructuring | ||
Total | 2 | |
Consumer | Mortgage — Legacy | ||
Financing Receivable, Troubled Debt Restructuring | ||
Total | $ 1 | 2 |
Consumer | Mortgage — Legacy | Current | ||
Financing Receivable, Troubled Debt Restructuring | ||
Total | 1 | 2 |
Consumer | Mortgage — Legacy | 30–59 days past due | ||
Financing Receivable, Troubled Debt Restructuring | ||
Total | 0 | 0 |
Consumer | Mortgage — Legacy | 60–89 days past due | ||
Financing Receivable, Troubled Debt Restructuring | ||
Total | 0 | 0 |
Consumer | Mortgage — Legacy | 90 or more days past due | ||
Financing Receivable, Troubled Debt Restructuring | ||
Total | 0 | 0 |
Consumer | Mortgage — Legacy | Payment deferrals | ||
Financing Receivable, Troubled Debt Restructuring | ||
Total | 0 | $ 0 |
Number of months extended/deferred | 76 months | |
Consumer | Mortgage — Legacy | Contractual maturity extensions | ||
Financing Receivable, Troubled Debt Restructuring | ||
Total | 0 | $ 1 |
Consumer | Mortgage — Legacy | Contractual maturity extensions | Current | ||
Financing Receivable, Troubled Debt Restructuring | ||
Total | 1 | |
Consumer | Mortgage — Legacy | Contractual maturity extensions | 30–59 days past due | ||
Financing Receivable, Troubled Debt Restructuring | ||
Total | 0 | |
Consumer | Mortgage — Legacy | Contractual maturity extensions | 60–89 days past due | ||
Financing Receivable, Troubled Debt Restructuring | ||
Total | 0 | |
Consumer | Mortgage — Legacy | Contractual maturity extensions | 90 or more days past due | ||
Financing Receivable, Troubled Debt Restructuring | ||
Total | 0 | |
Consumer | Mortgage — Legacy | Principal forgiveness | ||
Financing Receivable, Troubled Debt Restructuring | ||
Total | 0 | 0 |
Principal forgiveness, amount forgiven | 0 | 0 |
Consumer | Mortgage — Legacy | Interest rate concessions | ||
Financing Receivable, Troubled Debt Restructuring | ||
Total | $ 0 | $ 0 |
Interest rate concessions, initial rate | 0% | 0% |
Interest rate concessions, revised rate | 0% | 0% |
Consumer | Mortgage — Legacy | Combination | ||
Financing Receivable, Troubled Debt Restructuring | ||
Total | $ 1 | $ 1 |
Interest rate concessions, initial rate | 2.50% | 2.70% |
Interest rate concessions, revised rate | 2% | 2% |
Payment extensions, initial term | 180 months | 174 months |
Payment extensions, revised term | 280 months | 283 months |
Consumer | Mortgage — Legacy | Combination | Current | ||
Financing Receivable, Troubled Debt Restructuring | ||
Total | $ 1 | $ 1 |
Consumer | Mortgage — Legacy | Combination | 30–59 days past due | ||
Financing Receivable, Troubled Debt Restructuring | ||
Total | 0 | 0 |
Consumer | Mortgage — Legacy | Combination | 60–89 days past due | ||
Financing Receivable, Troubled Debt Restructuring | ||
Total | 0 | 0 |
Consumer | Mortgage — Legacy | Combination | 90 or more days past due | ||
Financing Receivable, Troubled Debt Restructuring | ||
Total | 0 | 0 |
Consumer | Other | ||
Financing Receivable, Troubled Debt Restructuring | ||
Total | 4 | 9 |
Consumer | Other | Current | ||
Financing Receivable, Troubled Debt Restructuring | ||
Total | 2 | 5 |
Consumer | Other | 30–59 days past due | ||
Financing Receivable, Troubled Debt Restructuring | ||
Total | 1 | 1 |
Consumer | Other | 60–89 days past due | ||
Financing Receivable, Troubled Debt Restructuring | ||
Total | 0 | 1 |
Consumer | Other | 90 or more days past due | ||
Financing Receivable, Troubled Debt Restructuring | ||
Total | 1 | 2 |
Consumer | Other | Payment deferrals | ||
Financing Receivable, Troubled Debt Restructuring | ||
Total | 0 | 0 |
Consumer | Other | Contractual maturity extensions | ||
Financing Receivable, Troubled Debt Restructuring | ||
Total | 0 | 0 |
Consumer | Other | Principal forgiveness | ||
Financing Receivable, Troubled Debt Restructuring | ||
Total | 0 | 0 |
Principal forgiveness, amount forgiven | 0 | 0 |
Consumer | Other | Interest rate concessions | ||
Financing Receivable, Troubled Debt Restructuring | ||
Total | $ 4 | $ 9 |
Interest rate concessions, initial rate | 30% | 30% |
Interest rate concessions, revised rate | 11% | 8% |
Consumer | Other | Combination | ||
Financing Receivable, Troubled Debt Restructuring | ||
Total | $ 0 | $ 0 |
Interest rate concessions, initial rate | 0% | 0% |
Interest rate concessions, revised rate | 0% | 0% |
Consumer | Credit Card | ||
Financing Receivable, Troubled Debt Restructuring | ||
Total | $ 4 | $ 9 |
Consumer | Credit Card | Payment deferrals | ||
Financing Receivable, Troubled Debt Restructuring | ||
Total | 0 | 0 |
Consumer | Credit Card | Contractual maturity extensions | ||
Financing Receivable, Troubled Debt Restructuring | ||
Total | 0 | 0 |
Consumer | Credit Card | Principal forgiveness | ||
Financing Receivable, Troubled Debt Restructuring | ||
Total | 0 | 0 |
Principal forgiveness, amount forgiven | 0 | 0 |
Consumer | Credit Card | Interest rate concessions | ||
Financing Receivable, Troubled Debt Restructuring | ||
Total | $ 4 | $ 9 |
Interest rate concessions, initial rate | 30% | 30% |
Interest rate concessions, revised rate | 11% | 8% |
Consumer | Credit Card | Interest rate concessions | Current | ||
Financing Receivable, Troubled Debt Restructuring | ||
Total | $ 2 | $ 5 |
Consumer | Credit Card | Interest rate concessions | 30–59 days past due | ||
Financing Receivable, Troubled Debt Restructuring | ||
Total | 1 | 1 |
Consumer | Credit Card | Interest rate concessions | 60–89 days past due | ||
Financing Receivable, Troubled Debt Restructuring | ||
Total | 0 | 1 |
Consumer | Credit Card | Interest rate concessions | 90 or more days past due | ||
Financing Receivable, Troubled Debt Restructuring | ||
Total | 1 | 2 |
Consumer | Credit Card | Combination | ||
Financing Receivable, Troubled Debt Restructuring | ||
Total | $ 0 | $ 0 |
Interest rate concessions, initial rate | 0% | 0% |
Interest rate concessions, revised rate | 0% | 0% |
Commercial | ||
Financing Receivable, Troubled Debt Restructuring | ||
Total | $ 37 | $ 112 |
Commercial | Pass | ||
Financing Receivable, Troubled Debt Restructuring | ||
Total | 0 | 34 |
Commercial | Special mention | ||
Financing Receivable, Troubled Debt Restructuring | ||
Total | 0 | 7 |
Commercial | Substandard | ||
Financing Receivable, Troubled Debt Restructuring | ||
Total | 0 | 6 |
Commercial | Doubtful | ||
Financing Receivable, Troubled Debt Restructuring | ||
Total | 37 | 65 |
Commercial | Payment deferrals | ||
Financing Receivable, Troubled Debt Restructuring | ||
Total | $ 37 | $ 65 |
Number of months extended/deferred | 3 months | 13 months |
Commercial | Contractual maturity extensions | ||
Financing Receivable, Troubled Debt Restructuring | ||
Total | $ 0 | $ 47 |
Commercial | Principal forgiveness | ||
Financing Receivable, Troubled Debt Restructuring | ||
Total | 0 | 0 |
Principal forgiveness, amount forgiven | 0 | 0 |
Commercial | Interest rate concessions | ||
Financing Receivable, Troubled Debt Restructuring | ||
Total | $ 0 | $ 0 |
Interest rate concessions, initial rate | 0% | 0% |
Interest rate concessions, revised rate | 0% | 0% |
Commercial | Combination | ||
Financing Receivable, Troubled Debt Restructuring | ||
Total | $ 0 | $ 0 |
Interest rate concessions, initial rate | 0% | 0% |
Interest rate concessions, revised rate | 0% | 0% |
Commercial | Other | ||
Financing Receivable, Troubled Debt Restructuring | ||
Total | $ 37 | $ 112 |
Commercial | Other | Payment deferrals | ||
Financing Receivable, Troubled Debt Restructuring | ||
Total | $ 37 | $ 65 |
Number of months extended/deferred | 3 months | 13 months |
Commercial | Other | Payment deferrals | Pass | ||
Financing Receivable, Troubled Debt Restructuring | ||
Total | $ 0 | $ 0 |
Commercial | Other | Payment deferrals | Special mention | ||
Financing Receivable, Troubled Debt Restructuring | ||
Total | 0 | 0 |
Commercial | Other | Payment deferrals | Substandard | ||
Financing Receivable, Troubled Debt Restructuring | ||
Total | 0 | 0 |
Commercial | Other | Payment deferrals | Doubtful | ||
Financing Receivable, Troubled Debt Restructuring | ||
Total | 37 | 65 |
Commercial | Other | Contractual maturity extensions | ||
Financing Receivable, Troubled Debt Restructuring | ||
Total | $ 0 | $ 47 |
Commercial | Other | Contractual maturity extensions | Corporate Finance operations | ||
Financing Receivable, Troubled Debt Restructuring | ||
Number of months extended/deferred | 3 months | 3 months |
Commercial | Other | Contractual maturity extensions | Pass | ||
Financing Receivable, Troubled Debt Restructuring | ||
Total | $ 34 | |
Commercial | Other | Contractual maturity extensions | Special mention | ||
Financing Receivable, Troubled Debt Restructuring | ||
Total | 7 | |
Commercial | Other | Contractual maturity extensions | Substandard | ||
Financing Receivable, Troubled Debt Restructuring | ||
Total | 6 | |
Commercial | Other | Contractual maturity extensions | Doubtful | ||
Financing Receivable, Troubled Debt Restructuring | ||
Total | 0 | |
Commercial | Other | Principal forgiveness | ||
Financing Receivable, Troubled Debt Restructuring | ||
Total | $ 0 | 0 |
Principal forgiveness, amount forgiven | 0 | 0 |
Commercial | Other | Interest rate concessions | ||
Financing Receivable, Troubled Debt Restructuring | ||
Total | $ 0 | $ 0 |
Interest rate concessions, initial rate | 0% | 0% |
Interest rate concessions, revised rate | 0% | 0% |
Commercial | Other | Combination | ||
Financing Receivable, Troubled Debt Restructuring | ||
Total | $ 0 | $ 0 |
Interest rate concessions, initial rate | 0% | 0% |
Interest rate concessions, revised rate | 0% | 0% |
Finance Receivables and Loan_13
Finance Receivables and Loans, Net (Troubled Debt Restructurings) (Details) $ in Millions | 3 Months Ended | 9 Months Ended | |
Sep. 30, 2022 USD ($) loan | Sep. 30, 2022 USD ($) loan | Dec. 31, 2022 USD ($) | |
Financing Receivable, Troubled Debt Restructuring | |||
Financing receivable, modifications, gross carrying value | $ 2,400 | ||
Number of loans | loan | 12,489 | 39,982 | |
Pre-modification amortized cost basis | $ 248 | $ 1,113 | |
Post-modification amortized cost basis | $ 246 | $ 1,100 | |
Consumer | |||
Financing Receivable, Troubled Debt Restructuring | |||
Number of loans | loan | 12,488 | 39,977 | |
Pre-modification amortized cost basis | $ 197 | $ 651 | |
Post-modification amortized cost basis | $ 191 | $ 634 | |
Consumer | Automotive | |||
Financing Receivable, Troubled Debt Restructuring | |||
Number of loans | loan | 11,733 | 38,112 | |
Pre-modification amortized cost basis | $ 193 | $ 637 | |
Post-modification amortized cost basis | $ 187 | $ 620 | |
Consumer | Consumer mortgage | |||
Financing Receivable, Troubled Debt Restructuring | |||
Number of loans | loan | 6 | 22 | |
Pre-modification amortized cost basis | $ 3 | $ 11 | |
Post-modification amortized cost basis | $ 3 | $ 11 | |
Consumer | Mortgage Finance | |||
Financing Receivable, Troubled Debt Restructuring | |||
Number of loans | loan | 4 | 13 | |
Pre-modification amortized cost basis | $ 3 | $ 10 | |
Post-modification amortized cost basis | $ 3 | $ 10 | |
Consumer | Mortgage — Legacy | |||
Financing Receivable, Troubled Debt Restructuring | |||
Number of loans | loan | 2 | 9 | |
Pre-modification amortized cost basis | $ 0 | $ 1 | |
Post-modification amortized cost basis | $ 0 | $ 1 | |
Consumer | Other | |||
Financing Receivable, Troubled Debt Restructuring | |||
Number of loans | loan | 749 | 1,843 | |
Pre-modification amortized cost basis | $ 1 | $ 3 | |
Post-modification amortized cost basis | $ 1 | $ 3 | |
Consumer | Credit card receivables | |||
Financing Receivable, Troubled Debt Restructuring | |||
Number of loans | loan | 749 | 1,843 | |
Pre-modification amortized cost basis | $ 1 | $ 3 | |
Post-modification amortized cost basis | $ 1 | $ 3 | |
Commercial | |||
Financing Receivable, Troubled Debt Restructuring | |||
Number of loans | loan | 1 | 5 | |
Pre-modification amortized cost basis | $ 51 | $ 462 | |
Post-modification amortized cost basis | $ 55 | $ 466 | |
Commercial | Other | |||
Financing Receivable, Troubled Debt Restructuring | |||
Number of loans | loan | 1 | 5 | |
Pre-modification amortized cost basis | $ 51 | $ 462 | |
Post-modification amortized cost basis | $ 55 | $ 466 |
Finance Receivables and Loan_14
Finance Receivables and Loans, Net (Finance Receivables and Loans Redefaulted During the Period) (Details) $ in Millions | 3 Months Ended | 9 Months Ended |
Sep. 30, 2022 USD ($) loan | Sep. 30, 2022 USD ($) loan | |
Accounts, Notes, Loans and Financing Receivable | ||
Number of loans | loan | 2,621 | 6,952 |
Amortized cost | $ 39 | $ 107 |
Charge-off amount | $ 47 | $ 74 |
Consumer | ||
Accounts, Notes, Loans and Financing Receivable | ||
Number of loans | loan | 2,620 | 6,951 |
Amortized cost | $ 38 | $ 106 |
Charge-off amount | $ 16 | $ 43 |
Consumer | Automotive | ||
Accounts, Notes, Loans and Financing Receivable | ||
Number of loans | loan | 2,473 | 6,722 |
Amortized cost | $ 37 | $ 103 |
Charge-off amount | $ 16 | $ 43 |
Consumer | Consumer mortgage | ||
Accounts, Notes, Loans and Financing Receivable | ||
Number of loans | loan | 1 | 4 |
Amortized cost | $ 1 | $ 3 |
Charge-off amount | $ 0 | $ 0 |
Consumer | Mortgage Finance | ||
Accounts, Notes, Loans and Financing Receivable | ||
Number of loans | loan | 1 | 4 |
Amortized cost | $ 1 | $ 3 |
Charge-off amount | $ 0 | $ 0 |
Consumer | Other | ||
Accounts, Notes, Loans and Financing Receivable | ||
Number of loans | loan | 146 | 225 |
Amortized cost | $ 0 | $ 0 |
Charge-off amount | $ 0 | $ 0 |
Consumer | Credit Card | ||
Accounts, Notes, Loans and Financing Receivable | ||
Number of loans | loan | 146 | 225 |
Amortized cost | $ 0 | $ 0 |
Charge-off amount | $ 0 | $ 0 |
Commercial | ||
Accounts, Notes, Loans and Financing Receivable | ||
Number of loans | loan | 1 | 1 |
Amortized cost | $ 1 | $ 1 |
Charge-off amount | $ 31 | $ 31 |
Commercial | Other | ||
Accounts, Notes, Loans and Financing Receivable | ||
Number of loans | loan | 1 | 1 |
Amortized cost | $ 1 | $ 1 |
Charge-off amount | $ 31 | $ 31 |
Leasing (Ally as the Lessee) (D
Leasing (Ally as the Lessee) (Details) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | |||
Sep. 30, 2023 | Sep. 30, 2022 | Sep. 30, 2023 | Sep. 30, 2022 | Dec. 31, 2022 | |
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 | $ 7 | $ 10 | $ 23 | $ 29 | |
Right-of-use asset obtained in exchange for operating lease liability | $ 10 | $ 36 | |||
Operating lease, weighted-average remaining lease term | 4 years | 4 years | 5 years | ||
Operating lease, weighted average discount rate | 2.87% | 2.87% | 2.57% | ||
Minimum | |||||
Lessee, Lease, Description [Line Items] | |||||
Operating lease remaining lease term | 3 months | 3 months | |||
Maximum | |||||
Lessee, Lease, Description [Line Items] | |||||
Operating lease remaining lease term | 7 years | 7 years |
Leasing (Lessee, Operating Leas
Leasing (Lessee, Operating Lease, Liability, Maturity) (Details) - USD ($) $ in Millions | Sep. 30, 2023 | Dec. 31, 2022 |
Leases [Abstract] | ||
2023 | $ 9 | |
2024 | 35 | |
2025 | 30 | |
2026 | 23 | |
2027 | 17 | |
2028 and thereafter | 17 | |
Total undiscounted cash flows | 131 | |
Difference between undiscounted cash flows and discounted cash flows | (8) | |
Total lease liability | $ 123 | $ 137 |
Leasing (Lease, Cost) (Details)
Leasing (Lease, Cost) (Details) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2023 | Sep. 30, 2022 | Sep. 30, 2023 | Sep. 30, 2022 | |
Leases [Abstract] | ||||
Operating lease expense | $ 7 | $ 8 | $ 21 | $ 25 |
Variable lease expense | 1 | 1 | 3 | 3 |
Total lease expense, net | $ 8 | $ 9 | $ 24 | $ 28 |
Leasing (Ally as the Lessor) (D
Leasing (Ally as the Lessor) (Details) - USD ($) $ in Millions | Sep. 30, 2023 | Dec. 31, 2022 |
Property, Plant, and Equipment, Lessor Asset under Operating Lease [Line Items] | ||
Residual value guarantee, percentage | 15% | 15% |
Vehicles | $ 11,496 | $ 12,304 |
Accumulated depreciation | (1,927) | (1,860) |
Investment in operating leases, net | $ 9,569 | 10,444 |
Minimum | ||
Property, Plant, and Equipment, Lessor Asset under Operating Lease [Line Items] | ||
Lessor, term of contract | 24 months | |
Maximum | ||
Property, Plant, and Equipment, Lessor Asset under Operating Lease [Line Items] | ||
Lessor, term of contract | 60 months | |
Vehicles | ||
Property, Plant, and Equipment, Lessor Asset under Operating Lease [Line Items] | ||
Residual value of leased asset | $ 19 | $ 56 |
Leasing (Lessor, Operating Leas
Leasing (Lessor, Operating Lease, Payments to be Received, Maturity) (Details) $ in Millions | Sep. 30, 2023 USD ($) |
Leases [Abstract] | |
2023 | $ 408 |
2024 | 1,240 |
2025 | 733 |
2026 | 302 |
2027 | 50 |
2028 and thereafter | 3 |
Total lease payments from operating leases | $ 2,736 |
Leasing (Depreciation Expense o
Leasing (Depreciation Expense on Operating Lease Assets) (Details) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2023 | Sep. 30, 2022 | Sep. 30, 2023 | Sep. 30, 2022 | |
Leases [Abstract] | ||||
Operating lease revenue | $ 385 | $ 397 | $ 1,179 | $ 1,196 |
Depreciation expense on operating lease assets (excluding remarketing gains) | 269 | 277 | 812 | 813 |
Remarketing gains, net | (57) | (39) | (174) | (139) |
Net depreciation expense on operating lease assets | 212 | 238 | 638 | 674 |
Variable lease payments, excessive wear and tear | $ 3 | $ 2 | $ 7 | $ 5 |
Leasing (Sales-type and Direct
Leasing (Sales-type and Direct Financing Leases, Lease Receivable, Maturity) (Details) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | |||
Sep. 30, 2023 | Sep. 30, 2022 | Sep. 30, 2023 | Sep. 30, 2022 | Dec. 31, 2022 | |
Leases [Abstract] | |||||
Direct financing lease, net investment in lease | $ 525 | $ 525 | $ 481 | ||
Direct financing lease, present value of lease payments recorded as lease receivable | 519 | 519 | 468 | ||
Direct financing lease, unguaranteed residual asset | 6 | 6 | $ 13 | ||
Direct financing lease, interest income | 10 | $ 8 | 28 | $ 22 | |
2023 | 53 | 53 | |||
2024 | 172 | 172 | |||
2025 | 149 | 149 | |||
2026 | 119 | 119 | |||
2027 | 59 | 59 | |||
2028 and thereafter | 33 | 33 | |||
Total undiscounted cash flows | 585 | 585 | |||
Difference between undiscounted cash flows and discounted cash flows | (66) | (66) | |||
Present value of lease payments recorded as lease receivable | $ 519 | $ 519 |
Securitizations and Variable _3
Securitizations and Variable Interest Entities (Narrative) (Details) - USD ($) | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2023 | Sep. 30, 2022 | Sep. 30, 2023 | Sep. 30, 2022 | |
Securitizations And Variable Interest Entities [Abstract] | ||||
Sales of financial assets | $ 0 | $ 0 | $ 1,000,000 | $ 0 |
Securitizations and Variable _4
Securitizations and Variable Interest Entities (Schedule of Variable Interest Entities) (Details) - USD ($) $ in Millions | Sep. 30, 2023 | Dec. 31, 2022 | Sep. 30, 2022 |
Variable Interest Entity [Line Items] | |||
Carrying value of total assets | $ 195,704 | $ 191,826 | $ 188,640 |
Carrying value of total liabilities | 182,879 | 178,967 | |
Assets sold to nonconsolidated VIEs | 966 | 330 | |
Maximum exposure to loss in nonconsolidated VIEs | 3,826 | 3,097 | |
Non-recourse debt | 20,096 | 17,762 | |
Equity securities | 725 | 681 | |
On-balance sheet variable interest entities | |||
Variable Interest Entity [Line Items] | |||
Carrying value of total assets | 9,826 | 9,856 | |
Carrying value of total liabilities | 3,125 | 2,441 | |
Non-recourse debt | 3,118 | 2,436 | |
On-balance sheet variable interest entities | Consumer | Automotive | |||
Variable Interest Entity [Line Items] | |||
Carrying value of total assets | 19,532 | 20,415 | |
Carrying value of total liabilities | 3,230 | 2,553 | |
Assets sold to nonconsolidated VIEs | 0 | 0 | |
Maximum exposure to loss in nonconsolidated VIEs | 0 | 0 | |
Assets held-in-trust | 9,700 | 10,600 | |
On-balance sheet variable interest entities | Consumer | Automotive | Nonrecourse | |||
Variable Interest Entity [Line Items] | |||
Non-recourse debt | 105 | 113 | |
Off-balance sheet variable interest entities | |||
Variable Interest Entity [Line Items] | |||
Carrying value of total assets | 21,810 | 22,614 | |
Carrying value of total liabilities | 4,052 | 3,426 | |
Off-balance sheet variable interest entities | Consumer | Automotive | |||
Variable Interest Entity [Line Items] | |||
Carrying value of total assets | 0 | 0 | |
Carrying value of total liabilities | 0 | 0 | |
Assets sold to nonconsolidated VIEs | 835 | 227 | |
Maximum exposure to loss in nonconsolidated VIEs | 835 | 227 | |
Off-balance sheet variable interest entities | Consumer | Other | |||
Variable Interest Entity [Line Items] | |||
Carrying value of total assets | 0 | 0 | |
Carrying value of total liabilities | 0 | 0 | |
Assets sold to nonconsolidated VIEs | 131 | 103 | |
Maximum exposure to loss in nonconsolidated VIEs | 131 | 103 | |
Off-balance sheet variable interest entities | Commercial | Other | |||
Variable Interest Entity [Line Items] | |||
Carrying value of total assets | 2,278 | 2,199 | |
Carrying value of total liabilities | 822 | 873 | |
Assets sold to nonconsolidated VIEs | 0 | 0 | |
Maximum exposure to loss in nonconsolidated VIEs | 2,860 | 2,767 | |
Equity securities | $ 44 | $ 38 |
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 | 9 Months Ended | |
Sep. 30, 2023 | Sep. 30, 2022 | |
Cash Flow Received and Paid to Nonconsolidated Securitization Entities [Line Items] | ||
Total | $ 826 | $ 162 |
Automotive | Consumer | ||
Cash Flow Received and Paid to Nonconsolidated Securitization Entities [Line Items] | ||
Cash proceeds from transfers completed during the period | 707 | 60 |
Servicing fees | 11 | 0 |
Other cash flows | 1 | 0 |
Consumer other | Consumer | ||
Cash Flow Received and Paid to Nonconsolidated Securitization Entities [Line Items] | ||
Cash proceeds from transfers completed during the period | 100 | 93 |
Servicing fees | $ 7 | $ 9 |
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 | 3 Months Ended | 9 Months Ended | |||
Sep. 30, 2023 | Sep. 30, 2022 | Sep. 30, 2023 | Sep. 30, 2022 | Dec. 31, 2022 | |
Derecognized Assets, Securitized or Asset-backed Financing Arrangement Assets and any Other Financial Assets Managed Together [Line Items] | |||||
Total amount | $ 966 | $ 966 | $ 330 | ||
Amount 60 days or more past due | 43 | 43 | 10 | ||
Net credit losses | 18 | $ 0 | 35 | $ 0 | |
Automotive | Consumer | |||||
Derecognized Assets, Securitized or Asset-backed Financing Arrangement Assets and any Other Financial Assets Managed Together [Line Items] | |||||
Total amount | 835 | 835 | 227 | ||
Amount 60 days or more past due | 27 | 27 | 2 | ||
Net credit losses | 10 | 0 | 14 | 0 | |
Consumer other | Consumer | |||||
Derecognized Assets, Securitized or Asset-backed Financing Arrangement Assets and any Other Financial Assets Managed Together [Line Items] | |||||
Total amount | 131 | 131 | 103 | ||
Amount 60 days or more past due | 16 | 16 | $ 8 | ||
Net credit losses | $ 8 | $ 0 | $ 21 | $ 0 |
Other Assets (Schedule of Other
Other Assets (Schedule of Other Assets) (Details) - USD ($) $ in Millions | Sep. 30, 2023 | Dec. 31, 2022 | Dec. 31, 2021 |
Other Assets [Abstract] | |||
Property and equipment at cost | $ 2,425 | $ 2,352 | |
Accumulated depreciation | (1,142) | (1,076) | |
Net property and equipment | 1,283 | 1,276 | |
Investment in qualified affordable housing projects | 1,630 | 1,596 | |
Net deferred tax assets | 1,514 | 1,087 | |
Accrued interest, fees, and rent receivables | 898 | 786 | |
Nonmarketable equity investments | 857 | 842 | |
Goodwill | 822 | 822 | $ 822 |
Equity-method investments | 650 | 608 | |
Restricted cash held for securitization trusts | 522 | 585 | |
Other accounts receivable | 181 | 164 | |
Operating lease right-of-use assets | 99 | 111 | |
Restricted cash and cash equivalents | 81 | 66 | |
Net intangible assets | 79 | 98 | |
Other assets | 985 | 1,097 | |
Total other assets | $ 9,601 | $ 9,138 | |
Operating Lease, Right-of-Use Asset, Statement of Financial Position [Extensible Enumeration] | Total other assets | Total other assets |
Other Assets (Schedule of Equit
Other Assets (Schedule of Equity Securities without Readily Determinable Fair Value) (Details) - USD ($) | 3 Months Ended | 9 Months Ended | |||
Sep. 30, 2023 | Sep. 30, 2022 | Sep. 30, 2023 | Sep. 30, 2022 | Dec. 31, 2022 | |
Other Assets [Abstract] | |||||
FRB stock | $ 419,000,000 | $ 419,000,000 | $ 401,000,000 | ||
FHLB stock | 338,000,000 | 338,000,000 | 318,000,000 | ||
Equity investments without a readily determinable fair value | |||||
Cost basis at acquisition | 73,000,000 | 73,000,000 | 89,000,000 | ||
Upward adjustments | 50,000,000 | 50,000,000 | 177,000,000 | ||
Downward adjustments (including impairment) | (23,000,000) | (23,000,000) | (143,000,000) | ||
Carrying amount, equity investments without a readily determinable fair value | 100,000,000 | 100,000,000 | 123,000,000 | ||
Nonmarketable equity investments | 857,000,000 | 857,000,000 | $ 842,000,000 | ||
Upward adjustments | 0 | $ 0 | 7,000,000 | $ 1,000,000 | |
Downward adjustments (including impairment) | 0 | (137,000,000) | (17,000,000) | (140,000,000) | |
Impairment of FHLB and FRB stock | 0 | 0 | 0 | 0 | |
Loss on nonmarketable equity investments, net | $ 0 | $ 135,000,000 | $ 11,000,000 | $ 133,000,000 |
Other Assets (Schedule of Goodw
Other Assets (Schedule of Goodwill) (Details) - USD ($) $ in Millions | 9 Months Ended | 12 Months Ended |
Sep. 30, 2023 | Dec. 31, 2022 | |
Goodwill [Roll Forward] | ||
Goodwill beginning balance | $ 822 | $ 822 |
Goodwill acquired | 0 | 0 |
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 | 775 |
Goodwill acquired | 0 | 0 |
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 | Sep. 30, 2023 | Dec. 31, 2022 |
Finite-Lived Intangible Assets [Line Items] | ||
Accumulated amortization | $ (128) | $ (109) |
Total intangible assets, gross | 207 | 207 |
Net intangible assets | 79 | 98 |
Remainder of 2023 | 7 | |
2024 | 19 | |
2025 | 14 | |
2026 | 14 | |
2027 | 14 | |
Technology | ||
Finite-Lived Intangible Assets [Line Items] | ||
Gross intangible assets | 122 | 122 |
Accumulated amortization | (65) | (53) |
Net carrying value | 57 | 69 |
Customer lists | ||
Finite-Lived Intangible Assets [Line Items] | ||
Gross intangible assets | 58 | 58 |
Accumulated amortization | (55) | (51) |
Net carrying value | 3 | 7 |
Purchased credit card relationships | ||
Finite-Lived Intangible Assets [Line Items] | ||
Gross intangible assets | 25 | 25 |
Accumulated amortization | (6) | (4) |
Net carrying value | 19 | 21 |
Trademarks | ||
Finite-Lived Intangible Assets [Line Items] | ||
Gross intangible assets | 2 | 2 |
Accumulated amortization | (2) | (1) |
Net carrying value | $ 0 | $ 1 |
Deposit Liabilities (Details)
Deposit Liabilities (Details) - USD ($) $ in Millions | Sep. 30, 2023 | Dec. 31, 2022 |
Deposits [Abstract] | ||
Noninterest-bearing deposits | $ 188 | $ 185 |
Interest-bearing deposits | ||
Savings, money market, and spending accounts | 99,161 | 110,776 |
Certificates of deposit | 53,486 | 41,336 |
Total deposit liabilities | 152,835 | 152,297 |
Certificates of deposit, in excess of $250,000 federal insurance limits | $ 6,800 | $ 5,600 |
Debt (Schedule of Short-term De
Debt (Schedule of Short-term Debt) (Details) - USD ($) | 9 Months Ended | |
Sep. 30, 2023 | Dec. 31, 2022 | |
Short-term Debt [Line Items] | ||
Federal Home Loan Bank | $ 1,675,000,000 | $ 1,900,000,000 |
Securities sold under agreements to repurchase | 735,000,000 | 499,000,000 |
Total short-term borrowings | $ 2,410,000,000 | 2,399,000,000 |
Repurchase agreements mature | 30 days | |
Cash collateral placed | $ 15,000,000 | 1,000,000 |
Cash collateral received | 0 | 0 |
Unsecured debt | ||
Short-term Debt [Line Items] | ||
Federal Home Loan Bank | 0 | 0 |
Securities sold under agreements to repurchase | 0 | 0 |
Total short-term borrowings | 0 | 0 |
Secured debt | ||
Short-term Debt [Line Items] | ||
Federal Home Loan Bank | 1,675,000,000 | 1,900,000,000 |
Securities sold under agreements to repurchase | 735,000,000 | 499,000,000 |
Total short-term borrowings | 2,410,000,000 | $ 2,399,000,000 |
Secured debt | Agency Mortgage-Backed Residential Debt Securities | ||
Short-term Debt [Line Items] | ||
Securities sold under agreements to repurchase | 483,000,000 | |
Secured debt | U.S. Treasury and Federal Agency Securities | ||
Short-term Debt [Line Items] | ||
Securities sold under agreements to repurchase | $ 252,000,000 |
Debt (Long-term Debt) (Details)
Debt (Long-term Debt) (Details) - USD ($) $ in Millions | Sep. 30, 2023 | Dec. 31, 2022 |
Debt Instrument [Line Items] | ||
Long-term debt, due within one year | $ 5,971 | $ 4,418 |
Long-term debt, due after one year | 14,125 | 13,344 |
Long-term debt | 20,096 | 17,762 |
Secured debt | 11,690 | 10,124 |
Unsecured debt | ||
Debt Instrument [Line Items] | ||
Long-term debt, due within one year | 2,622 | 2,023 |
Long-term debt, due after one year | 8,194 | 8,014 |
Long-term debt | 10,816 | 10,037 |
Secured debt | ||
Debt Instrument [Line Items] | ||
Long-term debt, due within one year | 3,349 | 2,395 |
Long-term debt, due after one year | 5,931 | 5,330 |
Long-term debt | 9,280 | 7,725 |
Federal Home Loan Bank advances | ||
Debt Instrument [Line Items] | ||
Secured debt | $ 6,200 | $ 5,300 |
Debt (Scheduled Remaining Matur
Debt (Scheduled Remaining Maturity of Long-term Debt) (Details) - USD ($) $ in Millions | Sep. 30, 2023 | Dec. 31, 2022 |
Debt Instrument [Line Items] | ||
Long-term debt, maturities, repayments of principal in next 12 months | $ 2,010 | |
Long-term debt, maturities, repayments of principal in year two | 4,798 | |
Long-term debt, maturities, repayments of principal in year three | 4,704 | |
Long-term debt, maturities, repayments of principal in year four | 2,063 | |
Long-term debt, maturities, repayments of principal in year five | 1,969 | |
Long-term debt, maturities, repayments of principal after year five | 4,552 | |
Total long-term debt | 20,096 | $ 17,762 |
Unsecured debt | ||
Debt Instrument [Line Items] | ||
Long-term debt, maturities, repayments of principal in next 12 months | 1,203 | |
Long-term debt, maturities, repayments of principal in year two | 1,410 | |
Long-term debt, maturities, repayments of principal in year three | 2,411 | |
Long-term debt, maturities, repayments of principal in year four | 72 | |
Long-term debt, maturities, repayments of principal in year five | 1,443 | |
Long-term debt, maturities, repayments of principal after year five | 4,277 | |
Total long-term debt | 10,816 | 10,037 |
Secured debt | ||
Debt Instrument [Line Items] | ||
Total long-term debt | 9,280 | $ 7,725 |
Long-term debt | Unsecured debt | ||
Debt Instrument [Line Items] | ||
Long-term debt, maturities, repayments of principal in next 12 months | 1,219 | |
Long-term debt, maturities, repayments of principal in year two | 1,478 | |
Long-term debt, maturities, repayments of principal in year three | 2,485 | |
Long-term debt, maturities, repayments of principal in year four | 154 | |
Long-term debt, maturities, repayments of principal in year five | 1,537 | |
Long-term debt, maturities, repayments of principal after year five | 4,790 | |
Total long-term debt | 11,663 | |
Long-term debt | Secured debt | ||
Debt Instrument [Line Items] | ||
Long-term debt, maturities, repayments of principal in next 12 months | 807 | |
Long-term debt, maturities, repayments of principal in year two | 3,388 | |
Long-term debt, maturities, repayments of principal in year three | 2,293 | |
Long-term debt, maturities, repayments of principal in year four | 1,991 | |
Long-term debt, maturities, repayments of principal in year five | 526 | |
Long-term debt, maturities, repayments of principal after year five | 275 | |
Total long-term debt | 9,280 | |
Original issue discount | Unsecured debt | ||
Debt Instrument [Line Items] | ||
Debt instrument, unamortized discount | (847) | |
Original issue discount | Unsecured debt | 2023 | ||
Debt Instrument [Line Items] | ||
Debt instrument, unamortized discount, current | (16) | |
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 | (74) | |
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 | (94) | |
Original issue discount | Unsecured debt | 2028 and thereafter | ||
Debt Instrument [Line Items] | ||
Debt instrument, unamortized discount, noncurrent | $ (513) |
Debt (Pledged Assets Related to
Debt (Pledged Assets Related to Secured Borrowings and Repurchase Agreement) (Details) - USD ($) $ in Millions | Sep. 30, 2023 | Dec. 31, 2022 |
Pledged Assets related to secured borrowings [Line Items] | ||
Total assets restricted as collateral | $ 72,059 | $ 39,265 |
Secured debt | 11,690 | 10,124 |
Amortized cost | 33,265 | 34,863 |
Short-term borrowings | 2,410 | 2,399 |
Asset Pledged as Collateral | ||
Pledged Assets related to secured borrowings [Line Items] | ||
Amortized cost | 4,818 | 4,288 |
Pledged assets for Federal Home Loan Bank | ||
Pledged Assets related to secured borrowings [Line Items] | ||
Total assets restricted as collateral | 27,900 | 27,000 |
Pledged assets for Federal Reserve Bank | ||
Pledged Assets related to secured borrowings [Line Items] | ||
Total assets restricted as collateral | 34,000 | 2,400 |
Investment securities | ||
Pledged Assets related to secured borrowings [Line Items] | ||
Total assets restricted as collateral | 3,865 | 3,525 |
Consumer | Automotive | ||
Pledged Assets related to secured borrowings [Line Items] | ||
Total assets restricted as collateral | 43,426 | 11,759 |
Consumer | Consumer mortgage | ||
Pledged Assets related to secured borrowings [Line Items] | ||
Total assets restricted as collateral | 18,931 | 19,771 |
Commercial | ||
Pledged Assets related to secured borrowings [Line Items] | ||
Total assets restricted as collateral | $ 5,837 | $ 4,210 |
Accrued Expenses and Other Li_3
Accrued Expenses and Other Liabilities (Details) - USD ($) $ in Millions | Sep. 30, 2023 | Dec. 31, 2022 | Sep. 30, 2022 | Dec. 31, 2021 |
Accounts Payable and Accrued Liabilities [Abstract] | ||||
Unfunded commitments for investment in qualified affordable housing projects | $ 818 | $ 869 | ||
Accounts payable | 482 | 435 | ||
Employee compensation and benefits | 344 | 424 | ||
Deferred revenue | 161 | 169 | ||
Reserves for insurance losses and loss adjustment expenses | 145 | 119 | $ 122 | $ 122 |
Operating lease liabilities | 123 | 137 | ||
Other liabilities | 534 | 495 | ||
Total accrued expenses and other liabilities | $ 2,607 | $ 2,648 | ||
Operating lease, liability, statement of financial position [Extensible Enumeration] | Total accrued expenses and other liabilities | Total accrued expenses and other liabilities |
Preferred Stock (Details)
Preferred Stock (Details) - USD ($) $ / shares in Units, $ in Millions | 9 Months Ended | 12 Months Ended |
Sep. 30, 2023 | Dec. 31, 2022 | |
Class of Stock [Line Items] | ||
Carrying value | $ 2,324 | $ 2,324 |
Preferred stock dividends — Series B | ||
Class of Stock [Line Items] | ||
Carrying value | $ 1,335 | $ 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 | 1,350,000 |
Number of shares issued (in shares) | 1,350,000 | 1,350,000 |
Number of shares outstanding (in shares) | 1,350,000 | 1,350,000 |
Series B Preferred Stock, Prior To May 15, 2026 | ||
Class of Stock [Line Items] | ||
Dividend/coupon rate | 4.70% | 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% | 3.868% |
Preferred stock dividends — Series C | ||
Class of Stock [Line Items] | ||
Carrying value | $ 989 | $ 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 | 1,000,000 |
Number of shares issued (in shares) | 1,000,000 | 1,000,000 |
Number of shares outstanding (in shares) | 1,000,000 | 1,000,000 |
Series C Preferred Stock, Prior To May 15, 2028 | ||
Class of Stock [Line Items] | ||
Dividend/coupon rate | 4.70% | 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% | 3.481% |
Accumulated Other Comprehensi_3
Accumulated Other Comprehensive Loss (Schedule of Accumulated Other Comprehensive Loss) (Details) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2023 | Sep. 30, 2022 | Sep. 30, 2023 | Sep. 30, 2022 | |
AOCI Attributable to Parent, Net of Tax [Roll Forward] | ||||
Beginning balance | $ 13,532 | $ 13,984 | $ 12,859 | $ 17,050 |
Net change | (902) | (1,331) | (706) | (4,182) |
Ending balance | 12,825 | 12,434 | 12,825 | 12,434 |
Accumulated other comprehensive loss | ||||
AOCI Attributable to Parent, Net of Tax [Roll Forward] | ||||
Beginning balance | (3,863) | (3,009) | (4,059) | (158) |
Ending balance | (4,765) | (4,340) | (4,765) | (4,340) |
Unrealized losses on investment securities | ||||
AOCI Attributable to Parent, Net of Tax [Roll Forward] | ||||
Beginning balance | (3,881) | (2,940) | (4,095) | (95) |
Net change | (886) | (1,343) | (672) | (4,188) |
Ending balance | (4,767) | (4,283) | (4,767) | (4,283) |
Translation adjustments and net investment hedges | ||||
AOCI Attributable to Parent, Net of Tax [Roll Forward] | ||||
Beginning balance | 21 | 19 | 18 | 19 |
Net change | (1) | (1) | 2 | (1) |
Ending balance | 20 | 18 | 20 | 18 |
Cash flow hedges | ||||
AOCI Attributable to Parent, Net of Tax [Roll Forward] | ||||
Beginning balance | (3) | 27 | 18 | 35 |
Net change | (15) | (3) | (36) | (11) |
Ending balance | (18) | 24 | (18) | 24 |
Defined benefit pension plans | ||||
AOCI Attributable to Parent, Net of Tax [Roll Forward] | ||||
Beginning balance | 0 | (115) | 0 | (117) |
Net change | 0 | 16 | 0 | 18 |
Ending balance | $ 0 | $ (99) | $ 0 | $ (99) |
Accumulated Other Comprehensi_4
Accumulated Other Comprehensive Loss (Reclassification Out of Accumulated Other Comprehensive Loss) (Details) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2023 | Sep. 30, 2022 | Sep. 30, 2023 | Sep. 30, 2022 | |
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||||
Other comprehensive income (loss), before tax | $ (1,184) | $ (1,743) | $ (928) | $ (5,482) |
Other comprehensive income (loss), tax effect | 282 | 412 | 222 | 1,300 |
Other comprehensive (loss) income, net of tax | (902) | (1,331) | (706) | (4,182) |
Investment securities | ||||
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||||
Net unrealized gains (losses) arising during the period, before tax | (1,757) | (877) | (5,465) | |
Net unrealized gains (losses) arising during the period, tax | 416 | 209 | 1,295 | |
Net unrealized gains (losses) arising during the period, net of tax | (1,341) | (668) | (4,170) | |
Net realized gains reclassified to income from continuing operations, before tax | 2 | 5 | 23 | |
Net realized gains reclassified to income from continuing operations, tax | 0 | (1) | (5) | |
Net realized gains reclassified to income from continuing operations, net of tax | 2 | 4 | 18 | |
Other comprehensive income (loss), before tax | (1,163) | (1,759) | (882) | (5,488) |
Other comprehensive income (loss), tax effect | 277 | 416 | 210 | 1,300 |
Other comprehensive (loss) income, net of tax | (886) | (1,343) | (672) | (4,188) |
Translation adjustments and net investment hedges | ||||
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||||
Other comprehensive income (loss), before tax | (5) | (11) | 1 | (13) |
Other comprehensive income (loss), tax effect | 1 | 2 | 0 | 3 |
Other comprehensive (loss) income, net of tax | (4) | (9) | 1 | (10) |
Net investment hedges | ||||
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||||
Other comprehensive income (loss), before tax | 4 | 10 | 1 | 11 |
Other comprehensive income (loss), tax effect | (1) | (2) | 0 | (2) |
Other comprehensive (loss) income, net of tax | 3 | 8 | 1 | 9 |
Cash flow hedges | ||||
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||||
Net unrealized gains (losses) arising during the period, before tax | (15) | (33) | ||
Net unrealized gains (losses) arising during the period, tax | 4 | 9 | ||
Net unrealized gains (losses) arising during the period, net of tax | (11) | (24) | ||
Net realized gains reclassified to income from continuing operations, before tax | 5 | 4 | 15 | 15 |
Net realized gains reclassified to income from continuing operations, tax | (1) | (1) | (3) | (4) |
Net realized gains reclassified to income from continuing operations, net of tax | 4 | 3 | 12 | 11 |
Other comprehensive income (loss), before tax | (20) | (48) | ||
Other comprehensive income (loss), tax effect | 5 | 12 | ||
Other comprehensive (loss) income, net of tax | $ (15) | $ (36) | ||
Defined benefit pension plans | ||||
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||||
Net unrealized gains (losses) arising during the period, before tax | 2 | |||
Net unrealized gains (losses) arising during the period, tax | 0 | |||
Net unrealized gains (losses) arising during the period, net of tax | 2 | |||
Net realized gains reclassified to income from continuing operations, before tax | (21) | (21) | ||
Net realized gains reclassified to income from continuing operations, tax | 5 | 5 | ||
Net realized gains reclassified to income from continuing operations, net of tax | $ (16) | (16) | ||
Other comprehensive income (loss), before tax | 23 | |||
Other comprehensive income (loss), tax effect | (5) | |||
Other comprehensive (loss) income, net of tax | $ 18 |
Earnings per Common Share (Deta
Earnings per Common Share (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Millions | 3 Months Ended | 9 Months Ended | ||||||
Sep. 30, 2023 | Sep. 30, 2022 | Sep. 30, 2023 | Sep. 30, 2022 | |||||
Class of Stock [Line Items] | ||||||||
Net income from continuing operations | $ 296 | [1] | $ 300 | $ 945 | [1] | $ 1,437 | [1] | |
Net income from continuing operations attributable to common stockholders | [1] | 269 | 273 | 862 | 1,354 | |||
Loss from discontinued operations, net of tax | [1] | 0 | (1) | (1) | (1) | |||
Net income attributable to common stockholders | [1] | $ 269 | $ 272 | $ 861 | $ 1,353 | |||
Basic weighted-average common shares outstanding (in shares) | [1],[2] | 304,134 | 308,220 | 303,497 | 321,884 | |||
Diluted weighted-average common shares outstanding (in shares) | [1],[2] | 305,693 | 310,086 | 304,601 | 323,875 | |||
Basic earnings per common share | ||||||||
Net income from continuing operations (in dollars per share) | [1] | $ 0.88 | $ 0.88 | $ 2.84 | $ 4.20 | |||
Loss from discontinued operations, net of tax (in dollars per share) | [1] | 0 | 0 | (0.01) | 0 | |||
Net income (in dollars per share) | [1] | 0.88 | 0.88 | 2.84 | 4.20 | |||
Diluted earnings per common share | ||||||||
Net income from continuing operations (in dollars per share) | [1] | 0.88 | 0.88 | 2.83 | 4.18 | |||
Loss from discontinued operations, net of tax (in dollars per share) | [1] | 0 | 0 | (0.01) | 0 | |||
Net income (in dollars per share) | [1] | $ 0.88 | $ 0.88 | $ 2.83 | $ 4.18 | |||
Preferred stock dividends — Series B | ||||||||
Class of Stock [Line Items] | ||||||||
Preferred stock dividends | [1] | $ (16) | $ (16) | $ (48) | $ (48) | |||
Preferred stock dividends — Series C | ||||||||
Class of Stock [Line Items] | ||||||||
Preferred stock dividends | [1] | $ (11) | $ (11) | $ (35) | $ (35) | |||
[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. |
Regulatory Capital and Other _3
Regulatory Capital and Other Regulatory Matters (Schedule of Regulatory Capital Amount and Ratios) (Details) $ in Millions | Sep. 30, 2023 USD ($) | Jul. 31, 2023 | Jun. 30, 2023 | Dec. 31, 2022 USD ($) | Aug. 31, 2022 |
Compliance with Regulatory Capital Requirements under Banking Regulations [Line Items] | |||||
Common equity tier one capital ratio, minimum | 0.045 | ||||
Tier one capital to risk-weighted assets, required minimum | 0.06 | ||||
Capital to risk-weighted assets, required minimum | 0.08 | ||||
Minimum capital conservation buffer | 0.025 | ||||
Accumulated other comprehensive losses excluded from Common Equity Tier 1 Capital | $ 4,800 | $ 4,100 | |||
Brokered deposits | $ 11,300 | ||||
Percentage of interest-bearing domestic deposits to deposits, brokered | 7.40% | ||||
Common equity tier one capital | $ 14,994 | $ 14,592 | |||
Common equity tier one capital ratio | 0.0931 | 0.0927 | |||
Tier one capital to risk-weighted assets, amount | $ 17,257 | $ 16,867 | |||
Tier one capital to risk-weighted assets, ratio | 0.1071 | 0.1072 | |||
Tier one capital to risk-weighted assets, well-capitalized minimum | 0.0600 | ||||
Capital to risk-weighted assets, amount | $ 20,126 | $ 19,209 | |||
Capital to risk-weighted assets, ratio | 0.1249 | 0.1221 | |||
Capital to risk weighted assets, well-capitalized minimum | 0.1000 | ||||
Tier one leverage to adjusted quarterly average assets, amount | $ 17,257 | $ 16,867 | |||
Tier one leverage to adjusted quarterly average assets, ratio | 0.0860 | 0.0865 | |||
Tier one leverage ratio, minimum | 0.04 | ||||
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 | $ 591 | ||||
Ally Financial Inc | |||||
Compliance with Regulatory Capital Requirements under Banking Regulations [Line Items] | |||||
Minimum capital conservation buffer | 0.025 | 0.025 | 0.025 | 0.025 | 0.025 |
Ally Bank | |||||
Compliance with Regulatory Capital Requirements under Banking Regulations [Line Items] | |||||
Common equity tier one capital ratio, minimum | 0.0450 | ||||
Tier one capital to risk-weighted assets, required minimum | 0.0600 | ||||
Capital to risk-weighted assets, required minimum | 0.0800 | ||||
Common equity tier one capital | $ 17,215 | $ 17,011 | |||
Common equity tier one capital ratio | 0.1127 | 0.1138 | |||
Common equity tier one capital, well capitalized minimum | 0.0650 | ||||
Tier one capital to risk-weighted assets, amount | $ 17,215 | $ 17,011 | |||
Tier one capital to risk-weighted assets, ratio | 0.1127 | 0.1138 | |||
Tier one capital to risk-weighted assets, well-capitalized minimum | 0.0800 | ||||
Capital to risk-weighted assets, amount | $ 19,140 | $ 18,888 | |||
Capital to risk-weighted assets, ratio | 0.1253 | 0.1264 | |||
Capital to risk weighted assets, well-capitalized minimum | 0.1000 | ||||
Tier one leverage to adjusted quarterly average assets, amount | $ 17,215 | $ 17,011 | |||
Tier one leverage to adjusted quarterly average assets, ratio | 0.0904 | 0.0923 | |||
Tier one leverage ratio, minimum | 0.0400 | ||||
Tier one leverage to adjusted quarterly average assets, well-capitalized minimum | 0.0500 |
Regulatory Capital and Other _4
Regulatory Capital and Other Regulatory Matters (Common Share Repurchases) (Details) | 3 Months Ended | 9 Months Ended | 12 Months Ended | 87 Months Ended | |||||||||||||||
Oct. 09, 2023 $ / shares | Sep. 30, 2023 USD ($) $ / shares shares | Jun. 30, 2023 USD ($) $ / shares shares | Mar. 31, 2023 USD ($) $ / shares shares | Dec. 31, 2022 USD ($) $ / shares shares | Sep. 30, 2022 USD ($) $ / shares shares | Jun. 30, 2022 USD ($) $ / shares shares | Mar. 31, 2022 USD ($) $ / shares shares | Sep. 30, 2023 $ / shares shares | Sep. 30, 2022 $ / shares shares | Dec. 31, 2022 USD ($) $ / shares shares | Sep. 30, 2023 $ / shares shares | Jul. 31, 2023 | Feb. 28, 2023 USD ($) | Aug. 31, 2022 | Jan. 10, 2022 USD ($) | Dec. 31, 2021 $ / shares shares | Jun. 30, 2016 shares | ||
Accelerated Share Repurchases [Line Items] | |||||||||||||||||||
Dividends declared (in dollars per share) | $ / shares | $ 0.30 | $ 0.30 | $ 0.30 | $ 0.30 | $ 0.30 | $ 0.30 | $ 0.30 | $ 0.30 | $ 0.30 | $ 0.30 | $ 0.30 | $ 0.25 | |||||||
Stock repurchased during period, value | $ 0 | $ 2,000,000 | $ 27,000,000 | $ 51,000,000 | $ 415,000,000 | $ 600,000,000 | $ 584,000,000 | ||||||||||||
Common stock, share reduction | 38% | ||||||||||||||||||
Common stock, shares outstanding (in shares) | shares | 301,629,751 | 301,619,000 | 300,821,000 | 299,324,357 | 300,335,000 | 312,781,000 | 327,306,000 | 301,629,751 | 300,335,000 | 299,324,357 | 301,629,751 | 337,941,000 | 484,000,000 | ||||||
Minimum capital conservation buffer | 0.025 | 0.025 | 0.025 | ||||||||||||||||
Stock repurchased during period, number of shares (in share) | shares | 5,000 | 58,000 | 836,000 | 1,731,000 | 12,468,000 | 15,031,000 | 12,548,000 | ||||||||||||
Cash dividends declared per common share (in dollars per share) | $ / shares | [1] | $ 0.30 | $ 0.30 | $ 0.90 | $ 0.90 | ||||||||||||||
Subsequent event | |||||||||||||||||||
Accelerated Share Repurchases [Line Items] | |||||||||||||||||||
Cash dividends declared per common share (in dollars per share) | $ / shares | $ 0.30 | ||||||||||||||||||
Ally Financial Inc | |||||||||||||||||||
Accelerated Share Repurchases [Line Items] | |||||||||||||||||||
Minimum capital conservation buffer | 0.025 | 0.025 | 0.025 | 0.025 | 0.025 | 0.025 | 0.025 | 0.025 | |||||||||||
Unsecured debt | |||||||||||||||||||
Accelerated Share Repurchases [Line Items] | |||||||||||||||||||
Proceeds from issuance of subordinated long-term debt | $ 500,000,000 | ||||||||||||||||||
Common stock | |||||||||||||||||||
Accelerated Share Repurchases [Line Items] | |||||||||||||||||||
Stock repurchase program, authorized amount | $ 2,000,000,000 | ||||||||||||||||||
Stock repurchased during period, value | $ 1,650,000,000 | ||||||||||||||||||
[1]Figures in the table may not recalculate exactly due to rounding. Earnings per share is calculated based on unrounded numbers. |
Derivative Instruments and He_3
Derivative Instruments and Hedging Activities (Details) - USD ($) $ in Millions | Sep. 30, 2023 | Dec. 31, 2022 |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | ||
Noncash collateral placed with counterparties | $ 552 | $ 384 |
Cash collateral placed with counterparties | 2 | |
Cash collateral received from counterparties | $ 20 | $ 23 |
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 | Sep. 30, 2023 | Dec. 31, 2022 |
Derivatives, Fair Value [Line Items] | ||
receivable position | $ 22 | $ 23 |
payable position | 14 | 42 |
Notional amount | 39,851 | 33,833 |
Credit derivative, maximum exposure, undiscounted | 38 | 82 |
Total derivatives designated as accounting hedges | ||
Derivatives, Fair Value [Line Items] | ||
receivable position | 20 | 22 |
payable position | 0 | 1 |
Notional amount | 39,607 | 33,570 |
Total derivatives not designated as accounting hedges | ||
Derivatives, Fair Value [Line Items] | ||
receivable position | 2 | 1 |
payable position | 14 | 41 |
Notional amount | 244 | 263 |
Interest rate contracts | Total derivatives not designated as accounting hedges | ||
Derivatives, Fair Value [Line Items] | ||
receivable position | 2 | 0 |
payable position | 0 | 0 |
Notional amount | 187 | 116 |
Swaps | Total derivatives designated as accounting hedges | ||
Derivatives, Fair Value [Line Items] | ||
receivable position | 0 | 0 |
payable position | 0 | 0 |
Notional amount | 33,194 | 30,619 |
Purchased options | Total derivatives designated as accounting hedges | ||
Derivatives, Fair Value [Line Items] | ||
receivable position | 19 | 22 |
payable position | 0 | 0 |
Notional amount | 6,250 | 2,800 |
Futures and forwards | Total derivatives not designated as accounting hedges | ||
Derivatives, Fair Value [Line Items] | ||
receivable position | 1 | 0 |
payable position | 0 | 0 |
Notional amount | 84 | 37 |
Written options | Total derivatives not designated as accounting hedges | ||
Derivatives, Fair Value [Line Items] | ||
receivable position | 1 | 0 |
payable position | 0 | 0 |
Notional amount | 103 | 79 |
Foreign exchange contracts | Total derivatives not designated as accounting hedges | ||
Derivatives, Fair Value [Line Items] | ||
receivable position | 0 | 0 |
payable position | 0 | 1 |
Notional amount | 57 | 147 |
Forwards | Total derivatives designated as accounting hedges | ||
Derivatives, Fair Value [Line Items] | ||
receivable position | 1 | 0 |
payable position | 0 | 1 |
Notional amount | 163 | 151 |
Futures and forwards | Total derivatives not designated as accounting hedges | ||
Derivatives, Fair Value [Line Items] | ||
receivable position | 0 | 0 |
payable position | 0 | 1 |
Notional amount | 57 | 147 |
Other credit derivatives | Total derivatives not designated as accounting hedges | ||
Derivatives, Fair Value [Line Items] | ||
receivable position | 0 | 0 |
payable position | 14 | 39 |
Equity contracts | Total derivatives not designated as accounting hedges | ||
Derivatives, Fair Value [Line Items] | ||
receivable position | 0 | 1 |
payable position | 0 | 1 |
Notional amount | 0 | 0 |
Written options | Total derivatives not designated as accounting hedges | ||
Derivatives, Fair Value [Line Items] | ||
receivable position | 0 | 0 |
payable position | 0 | 1 |
Notional amount | 0 | 0 |
Purchased options | Total derivatives not designated as accounting hedges | ||
Derivatives, Fair Value [Line Items] | ||
receivable position | 0 | 1 |
payable position | 0 | 0 |
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 | Sep. 30, 2023 | Dec. 31, 2022 |
Derivative Instruments and Hedging Activities Disclosures [Line Items] | ||
Hedged liability, fair value hedge | $ 7,736 | $ 7,697 |
Hedged Liability, Statement of Financial Position [Extensible Enumeration] | Long-term debt | Long-term debt |
Available-for-sale securities | ||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | ||
Hedged asset, fair value hedge | $ 14,478 | $ 11,265 |
Hedged asset, fair value hedge, cumulative increase (decrease) | (434) | (180) |
Closed portfolio and beneficial interest, last-of-layer, amortized cost | 13,000 | 10,000 |
Amortized cost | 12,800 | 9,700 |
Basis adjustment for active hedge | (360) | (135) |
Hedged asset, last-of-layer, amount | 10,500 | 4,000 |
Available-for-sale securities | Total derivatives designated as accounting hedges | ||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | ||
Basis adjustment for active hedge | (234) | 3 |
Finance receivables and loans, net | ||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | ||
Hedged asset, fair value hedge | 46,091 | 46,390 |
Hedged asset, fair value hedge, cumulative increase (decrease) | (358) | (617) |
Basis adjustment for active hedge | (358) | (617) |
Hedged asset, last-of-layer, amount | 21,300 | 22,800 |
Closed portfolio, carrying value | 40,100 | 46,100 |
Finance receivables and loans, net | Total derivatives designated as accounting hedges | ||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | ||
Basis adjustment for active hedge | (328) | (560) |
Long-term debt | ||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | ||
Hedged liability, fair value hedge, cumulative increase (decrease) | 102 | 112 |
Discontinued hedge | Available-for-sale securities | ||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | ||
Hedged asset, discontinued fair value hedge, cumulative increase (decrease) | (164) | (181) |
Basis adjustment for active hedge | (126) | (138) |
Discontinued hedge | Finance receivables and loans, net | ||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | ||
Hedged asset, discontinued fair value hedge, cumulative increase (decrease) | (30) | (57) |
Basis adjustment for active hedge | (30) | (57) |
Discontinued hedge | Long-term debt | ||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | ||
Hedged liability, discontinued fair value hedge, cumulative increase (decrease) | $ 102 | $ 120 |
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) - Total derivatives not designated as accounting hedges - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2023 | Sep. 30, 2022 | Sep. 30, 2023 | Sep. 30, 2022 | |
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Total gain (loss) recognized in earnings | $ 0 | $ 20 | $ (3) | $ 27 |
Interest rate contracts | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Total gain (loss) recognized in earnings | 3 | 11 | 12 | 18 |
Foreign exchange contracts | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Total gain (loss) recognized in earnings | 1 | 9 | 1 | 11 |
Other credit derivatives | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Total gain (loss) recognized in earnings | 0 | 0 | (5) | (2) |
Equity contracts | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Total gain (loss) recognized in earnings | (4) | 0 | (11) | 0 |
Gain on mortgage and automotive loans, net | Interest rate contracts | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Total gain (loss) recognized in earnings | 4 | 7 | 13 | 8 |
Other income, net of losses | Interest rate contracts | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Total gain (loss) recognized in earnings | (1) | 4 | (1) | 10 |
Other income, net of losses | Other credit derivatives | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Total gain (loss) recognized in earnings | 0 | 0 | (5) | (2) |
Other income, net of losses | Equity contracts | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Total gain (loss) recognized in earnings | (4) | 0 | (11) | 0 |
Other operating expenses | Foreign exchange contracts | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Total gain (loss) recognized in earnings | $ 1 | $ 9 | $ 1 | $ 11 |
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 | 9 Months Ended | ||
Sep. 30, 2023 | Sep. 30, 2022 | Sep. 30, 2023 | Sep. 30, 2022 | |
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Interest and fees on finance receivables and loans | $ 2,837 | $ 2,120 | $ 8,133 | $ 5,676 |
Interest and dividends on investment securities and other earning assets | 267 | 218 | 752 | 609 |
Interest on long-term debt | 274 | 194 | 753 | 563 |
Loss on cash flow hedges to be recognized within twelve months | 7 | |||
Total derivatives designated as accounting hedges | Interest and fees on finance receivables and loans | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Total gain on fair value hedging relationships | 0 | 0 | 0 | 0 |
Total gain (loss) on cash flow hedging relationships | 4 | 5 | 14 | 16 |
Total derivatives designated as accounting hedges | 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 | 0 |
Total gain (loss) on cash flow hedging relationships | 0 | 0 | 0 | 0 |
Total derivatives designated as accounting hedges | Interest on long-term debt | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Total gain on fair value hedging relationships | 0 | 0 | 0 | 0 |
Total gain (loss) on cash flow hedging relationships | 0 | (1) | 0 | (1) |
Total derivatives designated as accounting hedges | 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 | 0 |
Change in unrealized gain (loss) on fair value hedging instruments | 0 | 0 | 0 | 0 |
Total derivatives designated as accounting hedges | 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 | 0 |
Change in unrealized gain (loss) on fair value hedging instruments | 0 | 0 | 0 | 0 |
Total derivatives designated as accounting hedges | 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 | 0 | 1 | 1 | 5 |
Change in unrealized gain (loss) on fair value hedging instruments | 0 | (1) | (1) | (5) |
Total derivatives designated as accounting hedges | 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 | 0 |
Change in unrealized gain (loss) on fair value hedging instruments | 0 | 0 | 0 | 0 |
Total derivatives designated as accounting hedges | 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 | (164) | (97) | (272) | (186) |
Change in unrealized gain (loss) on fair value hedging instruments | 164 | 97 | 272 | 186 |
Total derivatives designated as accounting hedges | 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 | 0 |
Change in unrealized gain (loss) on fair value hedging instruments | 0 | 0 | 0 | 0 |
Total derivatives designated as accounting hedges | 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 | 66 | (174) | 232 | (627) |
Change in unrealized gain (loss) on fair value hedging instruments | (66) | 174 | (232) | 627 |
Total derivatives designated as accounting hedges | 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 | 0 |
Change in unrealized gain (loss) on fair value hedging instruments | 0 | 0 | 0 | 0 |
Total derivatives designated as accounting hedges | 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 | 0 |
Change in unrealized gain (loss) on fair value hedging instruments | 0 | 0 | 0 | 0 |
Total derivatives designated as accounting hedges | Hedged 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 | 4 | 5 | 14 | 16 |
Total derivatives designated as accounting hedges | Hedged 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 | 0 |
Total derivatives designated as accounting hedges | Hedged 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 | 0 |
Total derivatives designated as accounting hedges | Other hedged 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 | |
Total derivatives designated as accounting hedges | Other hedged 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 | |
Total derivatives designated as accounting hedges | Other hedged forecasted transactions | Interest on long-term debt | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Interest rate cash flow hedge gain (loss) reclassified to earnings | $ 0 | $ (1) | $ (1) |
Derivative Instruments and He_8
Derivative Instruments and Hedging Activities (Interest and Amortization on Derivative Instruments) (Details) - Total derivatives designated as accounting hedges - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2023 | Sep. 30, 2022 | Sep. 30, 2023 | Sep. 30, 2022 | |
Interest and fees on finance receivables and loans | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Total gain on fair value hedging relationships | $ 162 | $ 53 | $ 531 | $ 19 |
Interest and dividends on investment securities and other earning assets | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Total gain on fair value hedging relationships | 52 | 4 | 103 | 8 |
Interest on long-term debt | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Total gain on fair value hedging relationships | 4 | 0 | 9 | 1 |
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 | 0 |
Gain (loss) on interest for qualifying hedge | 0 | 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 | 0 |
Gain (loss) on interest for qualifying hedge | 0 | 0 | 0 | 0 |
Unsecured debt | Interest on long-term debt | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Gain (loss) on amortization of deferred basis adjustments | 3 | 1 | 7 | 3 |
Gain (loss) on interest for qualifying hedge | 0 | 0 | 0 | 1 |
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 | 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 | 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 | 1 | (1) | 2 | (3) |
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 | 0 |
Gain (loss) on interest for qualifying hedge | 0 | 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 | 6 | 4 | 17 | 9 |
Gain (loss) on interest for qualifying hedge | 46 | 0 | 86 | (1) |
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 | 0 |
Gain (loss) on interest for qualifying hedge | 0 | 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 | 8 | 17 | 26 | 6 |
Gain (loss) on interest for qualifying hedge | 154 | 36 | 505 | 13 |
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 | 0 |
Gain (loss) on interest for qualifying hedge | 0 | 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 | 0 |
Gain (loss) on interest for qualifying hedge | $ 0 | $ 0 | $ 0 | $ 0 |
Derivative Instruments and He_9
Derivative Instruments and Hedging Activities (Derivative Instruments Used in Net Investment Hedge Accounting Relationships) (Details) - USD ($) | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2023 | Sep. 30, 2022 | Sep. 30, 2023 | Sep. 30, 2022 | |
Interest rate contracts | Cash flow hedging | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Loss recognized in other comprehensive loss | $ (20,000,000) | $ (4,000,000) | $ (48,000,000) | $ (15,000,000) |
Foreign exchange contracts | Net investment hedging | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Gain recognized in other comprehensive income | 4,000,000 | 10,000,000 | 1,000,000 | 11,000,000 |
Amounts excluded from effectiveness testing | 0 | 0 | 0 | 0 |
Amounts reclassified from accumulated other comprehensive income | $ 0 | $ 0 | $ 0 | $ 0 |
Income Taxes (Details)
Income Taxes (Details) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2023 | Sep. 30, 2022 | Sep. 30, 2023 | Sep. 30, 2022 | |
Valuation Allowance [Line Items] | ||||
Income tax (benefit) expense from continuing operations | $ (68) | $ 117 | $ 74 | $ 460 |
Nonrecurring net tax benefit | 94 | |||
Increase (decrease) release of valuation allowance | $ 27 | |||
Foreign Tax Credit Carryforwards | ||||
Valuation Allowance [Line Items] | ||||
Increase (decrease) release of valuation allowance | $ (92) | $ (92) | $ 47 |
Fair Value (Fair Value Measurem
Fair Value (Fair Value Measurements - Recurring Basis) (Details) - USD ($) $ in Millions | Sep. 30, 2023 | Dec. 31, 2022 |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Equity securities | $ 725 | $ 681 |
Total available-for-sale securities | $ 26,794 | 29,541 |
Derivative Asset, Statement of Financial Position [Extensible Enumeration] | Finance receivables and loans, net | |
Derivative contracts in a receivable position | $ 22 | $ 23 |
Investment in any one industry did not exceed percentage | 12% | 15% |
Carrying amount, equity investments without a readily determinable fair value | $ 100 | $ 123 |
Fair value, measurements, recurring | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total available-for-sale securities | 26,794 | 29,541 |
Derivative contracts in a receivable position | 22 | 23 |
Total assets | 27,526 | 30,223 |
Total derivative contracts in a payable position | 14 | 42 |
Total liabilities | 14 | 42 |
Fair value, measurements, recurring | Foreign currency contracts | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total derivative contracts in a payable position | 2 | |
Fair value, measurements, recurring | Credit contracts | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total derivative contracts in a payable position | 14 | 39 |
Fair value, measurements, recurring | Equity contracts | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total derivative contracts in a payable position | 1 | |
Fair value, measurements, recurring | Equity securities | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Equity securities | 681 | 643 |
Carrying amount, equity investments without a readily determinable fair value | 44 | 38 |
Fair value, measurements, recurring | U.S. Treasury and federal agencies | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total available-for-sale securities | 1,991 | 2,016 |
Fair value, measurements, recurring | U.S. States and political subdivisions | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total available-for-sale securities | 612 | 760 |
Fair value, measurements, recurring | Foreign government | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total available-for-sale securities | 159 | 146 |
Fair value, measurements, recurring | Agency mortgage-backed security | Residential Mortgage | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total available-for-sale securities | 14,636 | 16,633 |
Fair value, measurements, recurring | Agency mortgage-backed security | Commercial Loan | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total available-for-sale securities | 3,466 | 3,535 |
Fair value, measurements, recurring | Mortgage-backed residential | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total available-for-sale securities | 3,873 | 4,299 |
Fair value, measurements, recurring | Asset-backed | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total available-for-sale securities | 354 | 433 |
Fair value, measurements, recurring | Corporate debt | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total available-for-sale securities | 1,703 | 1,719 |
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 | 29 | 13 |
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 | |
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 | 21 | 22 |
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 | |
Fair value, measurements, recurring | Foreign currency contracts | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative contracts in a receivable position | 1 | |
Fair value, measurements, recurring | Level 1 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total available-for-sale securities | 2,034 | 2,055 |
Derivative contracts in a receivable position | 0 | 1 |
Total assets | 2,714 | 2,698 |
Total derivative contracts in a payable position | 0 | 1 |
Total liabilities | 0 | 1 |
Fair value, measurements, recurring | Level 1 | Foreign currency contracts | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total derivative contracts in a payable position | 0 | |
Fair value, measurements, recurring | Level 1 | Credit contracts | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total derivative contracts in a payable position | 0 | 0 |
Fair value, measurements, recurring | Level 1 | Equity contracts | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total derivative contracts in a payable position | 1 | |
Fair value, measurements, recurring | Level 1 | Equity securities | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Equity securities | 680 | 642 |
Fair value, measurements, recurring | Level 1 | U.S. Treasury and federal agencies | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total available-for-sale securities | 1,991 | 2,016 |
Fair value, measurements, recurring | Level 1 | U.S. States and political subdivisions | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total available-for-sale securities | 0 | 0 |
Fair value, measurements, recurring | Level 1 | Foreign government | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total available-for-sale securities | 43 | 39 |
Fair value, measurements, recurring | Level 1 | Agency mortgage-backed security | Residential Mortgage | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total available-for-sale securities | 0 | 0 |
Fair value, measurements, recurring | Level 1 | Agency mortgage-backed security | Commercial Loan | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total available-for-sale securities | 0 | 0 |
Fair value, measurements, recurring | Level 1 | Mortgage-backed residential | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total available-for-sale securities | 0 | 0 |
Fair value, measurements, recurring | Level 1 | Asset-backed | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total available-for-sale securities | 0 | 0 |
Fair value, measurements, recurring | Level 1 | Corporate debt | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total available-for-sale securities | 0 | 0 |
Fair value, measurements, recurring | 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 | Level 1 | Consumer other | Consumer | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Finance receivables and loans, net | 0 | |
Fair value, measurements, recurring | 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 | Level 1 | Equity contracts | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative contracts in a receivable position | 1 | |
Fair value, measurements, recurring | Level 1 | Foreign currency contracts | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative contracts in a receivable position | 0 | |
Fair value, measurements, recurring | Level 2 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total available-for-sale securities | 24,756 | 27,482 |
Derivative contracts in a receivable position | 21 | 22 |
Total assets | 24,806 | 27,517 |
Total derivative contracts in a payable position | 0 | 2 |
Total liabilities | 0 | 2 |
Fair value, measurements, recurring | Level 2 | Foreign currency contracts | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total derivative contracts in a payable position | 2 | |
Fair value, measurements, recurring | Level 2 | Credit contracts | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total derivative contracts in a payable position | 0 | 0 |
Fair value, measurements, recurring | Level 2 | Equity contracts | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total derivative contracts in a payable position | 0 | |
Fair value, measurements, recurring | 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 | Level 2 | U.S. Treasury and federal agencies | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total available-for-sale securities | 0 | 0 |
Fair value, measurements, recurring | Level 2 | U.S. States and political subdivisions | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total available-for-sale securities | 608 | 756 |
Fair value, measurements, recurring | Level 2 | Foreign government | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total available-for-sale securities | 116 | 107 |
Fair value, measurements, recurring | Level 2 | Agency mortgage-backed security | Residential Mortgage | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total available-for-sale securities | 14,636 | 16,633 |
Fair value, measurements, recurring | Level 2 | Agency mortgage-backed security | Commercial Loan | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total available-for-sale securities | 3,466 | 3,535 |
Fair value, measurements, recurring | Level 2 | Mortgage-backed residential | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total available-for-sale securities | 3,873 | 4,299 |
Fair value, measurements, recurring | Level 2 | Asset-backed | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total available-for-sale securities | 354 | 433 |
Fair value, measurements, recurring | Level 2 | Corporate debt | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total available-for-sale securities | 1,703 | 1,719 |
Fair value, measurements, recurring | 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 | 29 | 13 |
Fair value, measurements, recurring | Level 2 | Consumer other | Consumer | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Finance receivables and loans, net | 0 | |
Fair value, measurements, recurring | Level 2 | Interest rate contracts | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative contracts in a receivable position | 20 | 22 |
Fair value, measurements, recurring | Level 2 | Equity contracts | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative contracts in a receivable position | 0 | |
Fair value, measurements, recurring | Level 2 | Foreign currency contracts | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative contracts in a receivable position | 1 | |
Fair value, measurements, recurring | Level 3 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total available-for-sale securities | 4 | 4 |
Derivative contracts in a receivable position | 1 | 0 |
Total assets | 6 | 8 |
Total derivative contracts in a payable position | 14 | 39 |
Total liabilities | 14 | 39 |
Fair value, measurements, recurring | Level 3 | Foreign currency contracts | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total derivative contracts in a payable position | 0 | |
Fair value, measurements, recurring | Level 3 | Credit contracts | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total derivative contracts in a payable position | 14 | 39 |
Fair value, measurements, recurring | Level 3 | Equity contracts | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total derivative contracts in a payable position | 0 | |
Fair value, measurements, recurring | Level 3 | Equity securities | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Equity securities | 1 | 1 |
Fair value, measurements, recurring | Level 3 | U.S. Treasury and federal agencies | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total available-for-sale securities | 0 | 0 |
Fair value, measurements, recurring | Level 3 | U.S. States and political subdivisions | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total available-for-sale securities | 4 | 4 |
Fair value, measurements, recurring | Level 3 | Foreign government | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total available-for-sale securities | 0 | 0 |
Fair value, measurements, recurring | Level 3 | Agency mortgage-backed security | Residential Mortgage | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total available-for-sale securities | 0 | 0 |
Fair value, measurements, recurring | Level 3 | Agency mortgage-backed security | Commercial Loan | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total available-for-sale securities | 0 | 0 |
Fair value, measurements, recurring | Level 3 | Mortgage-backed residential | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total available-for-sale securities | 0 | 0 |
Fair value, measurements, recurring | Level 3 | Asset-backed | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total available-for-sale securities | 0 | 0 |
Fair value, measurements, recurring | Level 3 | Corporate debt | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total available-for-sale securities | 0 | 0 |
Fair value, measurements, recurring | 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 | Level 3 | Consumer other | Consumer | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Finance receivables and loans, net | 3 | |
Fair value, measurements, recurring | Level 3 | Interest rate contracts | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative contracts in a receivable position | 1 | 0 |
Fair value, measurements, recurring | Level 3 | Equity contracts | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative contracts in a receivable position | $ 0 | |
Fair value, measurements, recurring | Level 3 | Foreign currency contracts | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative contracts in a receivable position | $ 0 |
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 | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2023 | Sep. 30, 2022 | Sep. 30, 2023 | Sep. 30, 2022 | |
Derivative liabilities, net of derivative assets | ||||
Net unrealized losses still held at September 30, | ||||
Included in OCI | $ 0 | $ 0 | $ 0 | $ 0 |
Liabilities | ||||
Fair value at beginning of the period | 18 | 50 | 39 | 53 |
Net realized/unrealized (gains) losses | ||||
Included in earnings | (3) | (6) | (6) | 1 |
Included in OCI | 0 | 0 | 0 | 0 |
Purchases | 0 | 0 | 0 | 0 |
Sales | 0 | 0 | 0 | 0 |
Issuances | 0 | 0 | 0 | 0 |
Settlements | (5) | (2) | (30) | (12) |
Transfers into Level 3 | 0 | 0 | 0 | 0 |
Transfers out of Level 3 | 3 | 6 | 10 | 6 |
Fair value at ending of the period | 13 | 48 | 13 | 48 |
Net unrealized gains still held at September 30, | ||||
Included in earnings | 0 | (1) | (3) | (5) |
Included in OCI | 0 | 0 | 0 | 0 |
Equity securities | ||||
Assets | ||||
Fair value at beginning of the period | 1 | 2 | 1 | 9 |
Net realized/unrealized gains (losses) | ||||
Included in earnings | 0 | (1) | 0 | 1 |
Included in OCI | 0 | 0 | 0 | 0 |
Purchases | 0 | 0 | 0 | 0 |
Sales | 0 | 0 | 0 | (9) |
Issuances | 0 | 0 | 0 | 0 |
Settlements | 0 | 0 | 0 | 0 |
Transfers into Level 3 | 0 | 0 | 0 | 0 |
Transfers out of Level 3 | 0 | 0 | 0 | 0 |
Fair value at ending of the period | 1 | 1 | 1 | 1 |
Net unrealized losses still held at September 30, | ||||
Included in earnings | 0 | 0 | 0 | 0 |
Included in OCI | 0 | 0 | 0 | 0 |
Net unrealized gains still held at September 30, | ||||
Included in OCI | 0 | 0 | 0 | 0 |
Available-for-sale securities | ||||
Assets | ||||
Fair value at beginning of the period | 5 | 12 | 4 | 9 |
Net realized/unrealized gains (losses) | ||||
Included in earnings | 0 | 0 | 0 | 0 |
Included in OCI | 0 | 0 | 0 | 0 |
Purchases | 0 | 1 | 1 | 4 |
Sales | 0 | 0 | 0 | 0 |
Issuances | 0 | 0 | 0 | 0 |
Settlements | (1) | (11) | (1) | (11) |
Transfers into Level 3 | 0 | 0 | 0 | 0 |
Transfers out of Level 3 | 0 | 0 | 0 | 0 |
Fair value at ending of the period | 4 | 2 | 4 | 2 |
Net unrealized losses still held at September 30, | ||||
Included in earnings | 0 | 0 | 0 | 0 |
Included in OCI | 0 | 0 | 0 | 0 |
Net unrealized gains still held at September 30, | ||||
Included in OCI | 0 | 0 | 0 | 0 |
Finance receivables and loans, net | Consumer Loan | ||||
Assets | ||||
Fair value at beginning of the period | 0 | 7 | 3 | 7 |
Net realized/unrealized gains (losses) | ||||
Included in earnings | 0 | 0 | 0 | (1) |
Included in OCI | 0 | 0 | 0 | 0 |
Purchases | 0 | 4 | 0 | 12 |
Sales | 0 | 0 | 0 | 0 |
Issuances | 0 | 0 | 0 | 0 |
Settlements | 0 | (5) | (3) | (12) |
Transfers into Level 3 | 0 | 0 | 0 | 0 |
Transfers out of Level 3 | 0 | 0 | 0 | 0 |
Fair value at ending of the period | 0 | 6 | 0 | 6 |
Net unrealized losses still held at September 30, | ||||
Included in earnings | 0 | 0 | 0 | (1) |
Included in OCI | 0 | 0 | 0 | 0 |
Net unrealized gains still held at September 30, | ||||
Included in OCI | $ 0 | $ 0 | $ 0 | $ 0 |
Fair Value (Fair Value Measur_3
Fair Value (Fair Value Measurements - Nonrecurring Basis) (Details) - USD ($) $ in Millions | Sep. 30, 2023 | Dec. 31, 2022 |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Loans held-for-sale, net | $ 289 | $ 654 |
Finance receivables and loans, net | 136,423 | 132,037 |
Assets | Fair Value, measurements, nonrecurring | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total assets | 417 | 700 |
Lower-of-cost-or-fair-value reserve, valuation reserve, or cumulative adjustments | (95) | (86) |
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 | 260 | 641 |
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 | |
Lower-of-cost-or-fair-value reserve, valuation reserve, or cumulative adjustments | 3 | |
Repossessed and foreclosed assets | Fair Value, measurements, nonrecurring | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Other assets | 6 | 5 |
Lower-of-cost-or-fair-value reserve, valuation reserve, or cumulative adjustments | (1) | 0 |
Level 1 | Assets | Fair Value, measurements, nonrecurring | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total assets | 0 | 0 |
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 |
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 | |
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 |
Level 2 | Assets | Fair Value, measurements, nonrecurring | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total assets | 0 | 0 |
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 |
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 | |
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 |
Level 3 | Assets | Fair Value, measurements, nonrecurring | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total assets | 417 | 700 |
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 | 260 | 641 |
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 | |
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 | 6 | 5 |
Commercial | Fair Value, measurements, nonrecurring | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Finance receivables and loans, net | 151 | 42 |
Lower-of-cost-or-fair-value reserve, valuation reserve, or cumulative adjustments | (94) | (89) |
Commercial | 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 | 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 | Level 3 | Fair Value, measurements, nonrecurring | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Finance receivables and loans, net | 151 | 42 |
Automotive | Commercial | Fair Value, measurements, nonrecurring | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Finance receivables and loans, net | 73 | 3 |
Lower-of-cost-or-fair-value reserve, valuation reserve, or cumulative adjustments | (17) | 0 |
Automotive | Commercial | 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 | 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 | Level 3 | Fair Value, measurements, nonrecurring | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Finance receivables and loans, net | 73 | 3 |
Other | Commercial | Fair Value, measurements, nonrecurring | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Finance receivables and loans, net | 78 | 39 |
Lower-of-cost-or-fair-value reserve, valuation reserve, or cumulative adjustments | (77) | (89) |
Other | Commercial | 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 | 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 | Level 3 | Fair Value, measurements, nonrecurring | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Finance receivables and loans, net | $ 78 | $ 39 |
Fair Value (Fair Value, by Bala
Fair Value (Fair Value, by Balance Sheet Grouping) (Details) - USD ($) $ in Millions | Sep. 30, 2023 | Dec. 31, 2022 |
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Held-to-maturity securities | $ 1,013 | $ 1,062 |
Loans held-for-sale, net | 289 | 654 |
Finance receivables and loans, net | 136,423 | 132,037 |
Deposit liabilities | 152,835 | 152,297 |
Short-term borrowings | 2,410 | 2,399 |
Long-term debt | 20,096 | 17,762 |
Carrying value | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Held-to-maturity securities | 1,013 | 1,062 |
Loans held-for-sale, net | 260 | 641 |
Finance receivables and loans, net | 136,423 | 132,034 |
FHLB/FRB stock | 757 | 719 |
Deposit liabilities | 53,486 | 42,336 |
Short-term borrowings | 2,410 | 2,399 |
Long-term debt | 20,096 | 17,762 |
Estimated fair value | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Held-to-maturity securities | 779 | 884 |
Loans held-for-sale, net | 260 | 641 |
Finance receivables and loans, net | 137,008 | 133,856 |
FHLB/FRB stock | 757 | 719 |
Deposit liabilities | 53,329 | 41,909 |
Short-term borrowings | 2,418 | 2,417 |
Long-term debt | 20,408 | 18,252 |
Estimated fair value | 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 | 0 |
Long-term debt | 0 | 0 |
Estimated fair value | Level 2 | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Held-to-maturity securities | 779 | 884 |
Loans held-for-sale, net | 0 | 0 |
Finance receivables and loans, net | 0 | 0 |
FHLB/FRB stock | 757 | 719 |
Deposit liabilities | 0 | 0 |
Short-term borrowings | 0 | 0 |
Long-term debt | 14,216 | 12,989 |
Estimated fair value | Level 3 | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Held-to-maturity securities | 0 | 0 |
Loans held-for-sale, net | 260 | 641 |
Finance receivables and loans, net | 137,008 | 133,856 |
FHLB/FRB stock | 0 | 0 |
Deposit liabilities | 53,329 | 41,909 |
Short-term borrowings | 2,418 | 2,417 |
Long-term debt | $ 6,192 | $ 5,263 |
Offsetting Assets and Liabili_3
Offsetting Assets and Liabilities (Details) - USD ($) $ in Millions | Sep. 30, 2023 | Dec. 31, 2022 |
Offsetting [Abstract] | ||
receivable position | $ 22 | $ 23 |
Gross amounts offset on the Condensed Consolidated Balance Sheet | 0 | 0 |
Total assets, net amount | 22 | 23 |
Financial instruments | 0 | (1) |
Gross amounts not offset on the Condensed Consolidated Balance Sheet | (20) | (22) |
Total assets | 2 | 0 |
Derivative liabilities, gross amounts of recognized assets/liabilities | 14 | 42 |
Gross amounts offset on the Condensed Consolidated Balance Sheet | 0 | 0 |
Net amounts of assets/liabilities presented on the Condensed Consolidated Balance Sheet | 14 | 42 |
Derivative liabilities, gross amounts not offset on the condensed consolidated balance sheet, financial instruments | 0 | (1) |
Derivative liabilities in net liability positions | 0 | (1) |
Net amount | 14 | 40 |
Securities sold under agreements to repurchase | 735 | 499 |
Derivative liabilities - gross amounts offset on the consolidated balance sheet | 0 | 0 |
Securities sold under agreements to repurchase | 735 | 499 |
Security sold under agreement to repurchase, gross amounts not offset on the condensed consolidated balance sheet, financial instruments | 0 | 0 |
Security sold under agreement to repurchase, subject to master netting arrangement, collateral, right to reclaim cash not offset | (735) | (499) |
Securities sold under agreements to repurchase, offset against collateral, net of not subject to master netting arrangement, policy election | 0 | 0 |
Gross amounts of recognized assets/liabilities | 749 | 541 |
Gross amounts offset on the Condensed Consolidated Balance Sheet | 0 | 0 |
Fair value of derivative contracts in payable position | 749 | 541 |
Financial instruments | 0 | (1) |
Securities sold under agreements to repurchase, securities loaned, collateral, right to reclaim cash | (735) | (500) |
Security sold under agreement to repurchase, and security loaned, including not subject to master netting arrangement, after offset and deduction | 14 | 40 |
Derivative assets with no offsetting arrangements | 2 | |
Derivative liabilities with no offsetting arrangements | $ 14 | $ 39 |
Derivative Liability, Statement of Financial Position [Extensible Enumeration] | Accrued expenses and other liabilities |
Segment Information (Details)
Segment Information (Details) $ in Millions | 3 Months Ended | 9 Months Ended | |||
Sep. 30, 2023 USD ($) | Sep. 30, 2022 USD ($) | Sep. 30, 2023 USD ($) subsegment segment | Sep. 30, 2022 USD ($) | Dec. 31, 2022 USD ($) | |
Segment Reporting Information [Line Items] | |||||
Number of operating segments | segment | 4 | ||||
Number of operating subsegments | subsegment | 2 | ||||
Net financing revenue and other interest income | $ 1,533 | $ 1,719 | $ 4,708 | $ 5,176 | |
Other revenue (loss) | 435 | 297 | 1,439 | 1,051 | |
Total net revenue | 1,968 | 2,016 | 6,147 | 6,227 | |
Provision for credit losses | 508 | 438 | 1,381 | 909 | |
Total noninterest expense | 1,232 | 1,161 | 3,747 | 3,421 | |
Income (loss) from continuing operations before income tax (benefit) expense | 228 | 417 | 1,019 | 1,897 | |
Total assets | 195,704 | 188,640 | 195,704 | 188,640 | $ 191,826 |
Net financing revenue and other interest income after the provision for credit losses | 1,000 | 1,300 | 3,300 | 4,300 | |
Operating Segments | Automotive Finance operations | |||||
Segment Reporting Information [Line Items] | |||||
Net financing revenue and other interest income | 1,360 | 1,303 | 4,031 | 3,899 | |
Other revenue (loss) | 79 | 74 | 239 | 214 | |
Total net revenue | 1,439 | 1,377 | 4,270 | 4,113 | |
Provision for credit losses | 444 | 328 | 1,126 | 660 | |
Total noninterest expense | 618 | 561 | 1,824 | 1,640 | |
Income (loss) from continuing operations before income tax (benefit) expense | 377 | 488 | 1,320 | 1,813 | |
Total assets | 114,742 | 109,114 | 114,742 | 109,114 | |
Operating Segments | Insurance operations | |||||
Segment Reporting Information [Line Items] | |||||
Net financing revenue and other interest income | 29 | 24 | 84 | 61 | |
Other revenue (loss) | 293 | 236 | 1,011 | 664 | |
Total net revenue | 322 | 260 | 1,095 | 725 | |
Provision for credit losses | 0 | 0 | 0 | 0 | |
Total noninterest expense | 338 | 290 | 1,011 | 864 | |
Income (loss) from continuing operations before income tax (benefit) expense | (16) | (30) | 84 | (139) | |
Total assets | 8,736 | 8,533 | 8,736 | 8,533 | |
Operating Segments | Mortgage Finance operations | |||||
Segment Reporting Information [Line Items] | |||||
Net financing revenue and other interest income | 53 | 57 | 160 | 166 | |
Other revenue (loss) | 4 | 7 | 13 | 25 | |
Total net revenue | 57 | 64 | 173 | 191 | |
Provision for credit losses | (2) | 2 | (3) | 2 | |
Total noninterest expense | 33 | 43 | 108 | 153 | |
Income (loss) from continuing operations before income tax (benefit) expense | 26 | 19 | 68 | 36 | |
Total assets | 18,745 | 19,862 | 18,745 | 19,862 | |
Operating Segments | Corporate Finance operations | |||||
Segment Reporting Information [Line Items] | |||||
Net financing revenue and other interest income | 97 | 80 | 292 | 240 | |
Other revenue (loss) | 24 | 54 | 81 | 97 | |
Total net revenue | 121 | 134 | 373 | 337 | |
Provision for credit losses | 5 | 13 | 35 | 27 | |
Total noninterest expense | 32 | 30 | 110 | 95 | |
Income (loss) from continuing operations before income tax (benefit) expense | 84 | 91 | 228 | 215 | |
Total assets | 10,749 | 9,840 | 10,749 | 9,840 | |
Corporate and Other | |||||
Segment Reporting Information [Line Items] | |||||
Net financing revenue and other interest income | (6) | 255 | 141 | 810 | |
Other revenue (loss) | 35 | (74) | 95 | 51 | |
Total net revenue | 29 | 181 | 236 | 861 | |
Provision for credit losses | 61 | 95 | 223 | 220 | |
Total noninterest expense | 211 | 237 | 694 | 669 | |
Income (loss) from continuing operations before income tax (benefit) expense | (243) | (151) | (681) | (28) | |
Total assets | $ 42,732 | $ 41,291 | $ 42,732 | $ 41,291 |
Subsequent Events (Details)
Subsequent Events (Details) - $ / shares | 3 Months Ended | 9 Months Ended | |||
Sep. 30, 2023 | Sep. 30, 2022 | Sep. 30, 2023 | Sep. 30, 2022 | ||
Subsequent Events [Abstract] | |||||
Cash dividends declared per common share (in dollars per share) | [1] | $ 0.30 | $ 0.30 | $ 0.90 | $ 0.90 |
[1]Figures in the table may not recalculate exactly due to rounding. Earnings per share is calculated based on unrounded numbers. |