Document_and_Entity_Informatio
Document and Entity Information | 12 Months Ended |
Dec. 31, 2014 | |
Document and Entity Information [Abstract] | |
Entity Registrant Name | BANK OF AMERICA CORP /DE/ |
Entity Central Index Key | 70858 |
Current Fiscal Year End Date | -19 |
Entity Filer Category | Large Accelerated Filer |
Document Type | 8-K |
Document Period End Date | 31-Dec-14 |
Document Fiscal Year Focus | 2014 |
Document Fiscal Period Focus | FY |
Amendment Flag | FALSE |
Entity Well-known Seasoned Issuer | No |
Entity Voluntary Filers | No |
Entity Current Reporting Status | Yes |
Consolidated_Statement_of_Inco
Consolidated Statement of Income (USD $) | 12 Months Ended | ||
In Millions, except Share data in Thousands, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Interest income | |||
Loans and leases | $34,307 | $36,470 | $38,880 |
Debt securities | 8,021 | 9,749 | 8,908 |
Federal funds sold and securities borrowed or purchased under agreements to resell | 1,039 | 1,229 | 1,502 |
Trading account assets | 4,561 | 4,706 | 5,094 |
Other interest income | 2,958 | 2,866 | 3,016 |
Total interest income | 50,886 | 55,020 | 57,400 |
Interest expense | |||
Deposits | 1,080 | 1,396 | 1,990 |
Short-term borrowings | 2,578 | 2,923 | 3,572 |
Trading account liabilities | 1,576 | 1,638 | 1,763 |
Long-term debt | 5,700 | 6,798 | 9,419 |
Total interest expense | 10,934 | 12,755 | 16,744 |
Net interest income | 39,952 | 42,265 | 40,656 |
Noninterest income | |||
Card income | 5,944 | 5,826 | 6,121 |
Service charges | 7,443 | 7,390 | 7,600 |
Investment and brokerage services | 13,284 | 12,282 | 11,393 |
Investment banking income | 6,065 | 6,126 | 5,299 |
Equity investment income | 1,130 | 2,901 | 2,070 |
Trading account profits | 6,309 | 7,056 | 5,870 |
Mortgage banking income | 1,563 | 3,874 | 4,750 |
Gains on sales of debt securities | 1,354 | 1,271 | 1,662 |
Other income (loss) | 1,203 | -49 | -2,087 |
Total noninterest income | 44,295 | 46,677 | 42,678 |
Total revenue, net of interest expense | 84,247 | 88,942 | 83,334 |
Provision for credit losses | 2,275 | 3,556 | 8,169 |
Noninterest expense | |||
Personnel | 33,787 | 34,719 | 35,648 |
Occupancy | 4,260 | 4,475 | 4,570 |
Equipment | 2,125 | 2,146 | 2,269 |
Marketing | 1,829 | 1,834 | 1,873 |
Professional fees | 2,472 | 2,884 | 3,574 |
Amortization of intangibles | 936 | 1,086 | 1,264 |
Data processing | 3,144 | 3,170 | 2,961 |
Telecommunications | 1,259 | 1,593 | 1,660 |
Other general operating | 25,305 | 17,307 | 18,274 |
Total noninterest expense | 75,117 | 69,214 | 72,093 |
Income before income taxes | 6,855 | 16,172 | 3,072 |
Income tax expense (benefit) | 2,022 | 4,741 | -1,116 |
Net income | 4,833 | 11,431 | 4,188 |
Preferred stock dividends | 1,044 | 1,349 | 1,428 |
Net income applicable to common shareholders | $3,789 | $10,082 | $2,760 |
Per common share information | |||
Earnings (in dollars per share) | $0.36 | $0.94 | $0.26 |
Diluted earnings (in dollars per share) | $0.36 | $0.90 | $0.25 |
Dividends paid (in dollars per share) | $0.12 | $0.04 | $0.04 |
Average common shares issued and outstanding (in thousands) | 10,527,818 | 10,731,165 | 10,746,028 |
Average diluted common shares issued and outstanding (in thousands) | 10,584,535 | 11,491,418 | 10,840,854 |
Consolidated_Statement_of_Comp
Consolidated Statement of Comprehensive Income (USD $) | 12 Months Ended | ||
In Millions, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Statement of Comprehensive Income [Abstract] | |||
Net income | $4,833 | $11,431 | $4,188 |
Other comprehensive income (loss), net-of-tax: | |||
Net change in available-for-sale debt and marketable equity securities | 4,621 | -8,166 | 1,802 |
Net change in derivatives | 616 | 592 | 916 |
Employee benefit plan adjustments | -943 | 2,049 | -65 |
Net change in foreign currency translation adjustments | -157 | -135 | -13 |
Other comprehensive income (loss) | 4,137 | -5,660 | 2,640 |
Comprehensive income | $8,970 | $5,771 | $6,828 |
Consolidated_Balance_Sheet
Consolidated Balance Sheet (USD $) | Dec. 31, 2014 | Dec. 31, 2013 |
In Millions, unless otherwise specified | ||
Assets | ||
Cash and due from banks | $33,118 | $36,852 |
Interest-bearing deposits with the Federal Reserve and non-U.S. central banks | 105,471 | 94,470 |
Cash and cash equivalents | 138,589 | 131,322 |
Time deposits placed and other short-term investments | 7,510 | 11,540 |
Federal funds sold and securities borrowed or purchased under agreements to resell (includes $62,182 and $68,656 measured at fair value) | 191,823 | 190,328 |
Trading account assets (includes $110,923 and $111,817 pledged as collateral) | 191,785 | 200,993 |
Derivative assets | 52,682 | 47,495 |
Debt securities: | ||
Carried at fair value (includes $46,976 and $52,283 pledged as collateral) | 320,695 | 268,795 |
Held-to-maturity, at cost (fair value – $59,641 and $52,430; $17,124 and $20,869 pledged as collateral) | 59,766 | 55,150 |
Total debt securities | 380,461 | 323,945 |
Loans and leases (includes $8,681 and $10,042 measured at fair value and $52,959 and $71,579 pledged as collateral) | 881,391 | 928,233 |
Allowance for loan and lease losses | -14,419 | -17,428 |
Loans and leases, net of allowance | 866,972 | 910,805 |
Premises and equipment, net | 10,049 | 10,475 |
Mortgage servicing rights (includes $3,530 and $5,042 measured at fair value) | 3,530 | 5,052 |
Goodwill | 69,777 | 69,844 |
Intangible assets | 4,612 | 5,574 |
Loans held-for-sale (includes $6,801 and $6,656 measured at fair value) | 12,836 | 11,362 |
Customer and other receivables | 61,845 | 59,448 |
Other assets (includes $13,873 and $18,055 measured at fair value) | 112,063 | 124,090 |
Total assets | 2,104,534 | 2,102,273 |
Deposits in U.S. offices: | ||
Noninterest-bearing | 392,790 | 373,070 |
Interest-bearing (includes $1,469 and $1,899 measured at fair value) | 660,161 | 667,714 |
Deposits in non-U.S. offices: | ||
Noninterest-bearing | 7,542 | 8,255 |
Interest-bearing | 58,443 | 70,232 |
Total deposits | 1,118,936 | 1,119,271 |
Federal funds purchased and securities loaned or sold under agreements to repurchase (includes $35,357 and $26,500 measured at fair value) | 201,277 | 198,106 |
Trading account liabilities | 74,192 | 83,469 |
Derivative liabilities | 46,909 | 37,407 |
Short-term borrowings (includes $2,697 and $1,520 measured at fair value) | 31,172 | 45,999 |
Accrued expenses and other liabilities (includes $12,055 and $11,233 measured at fair value and $528 and $484 of reserve for unfunded lending commitments) | 145,438 | 135,662 |
Long-term debt (includes $36,404 and $47,035 measured at fair value) | 243,139 | 249,674 |
Total liabilities | 1,861,063 | 1,869,588 |
Commitments and contingencies | ||
Shareholders’ equity | ||
Preferred stock, $0.01 par value; authorized – 100,000,000 shares; issued and outstanding – 3,647,790 and 3,407,790 shares | 19,309 | 13,352 |
Common stock and additional paid-in capital, $0.01 par value; authorized – 12,800,000,000 shares; issued and outstanding – 10,516,542,476 and 10,591,808,296 shares | 153,458 | 155,293 |
Retained earnings | 75,024 | 72,497 |
Accumulated other comprehensive income (loss) | -4,320 | -8,457 |
Total shareholders’ equity | 243,471 | 232,685 |
Total liabilities and shareholders’ equity | 2,104,534 | 2,102,273 |
Consolidated VIEs | ||
Assets | ||
Trading account assets (includes $110,923 and $111,817 pledged as collateral) | 6,890 | 8,412 |
Derivative assets | 6 | 185 |
Debt securities: | ||
Loans and leases (includes $8,681 and $10,042 measured at fair value and $52,959 and $71,579 pledged as collateral) | 95,187 | 109,118 |
Allowance for loan and lease losses | -1,968 | -2,674 |
Loans and leases, net of allowance | 93,219 | 106,444 |
Loans held-for-sale (includes $6,801 and $6,656 measured at fair value) | 1,822 | 1,384 |
Other assets (includes $13,873 and $18,055 measured at fair value) | 2,763 | 4,577 |
Total assets | 104,700 | 121,002 |
Deposits in non-U.S. offices: | ||
Short-term borrowings (includes $2,697 and $1,520 measured at fair value) | 1,032 | 1,150 |
Long-term debt (includes $36,404 and $47,035 measured at fair value) | 13,307 | 19,448 |
All other liabilities (includes $84 and $138 of non-recourse liabilities) | 138 | 253 |
Total liabilities | $14,477 | $20,851 |
Consolidated_Balance_Sheet_Par
Consolidated Balance Sheet (Parenthetical) (USD $) | Dec. 31, 2014 | Dec. 31, 2013 |
In Millions, except Share data, unless otherwise specified | ||
Assets | ||
Federal funds sold and securities borrowed or purchased under agreements to resell measured at fair value | $62,182 | $68,656 |
Trading account assets, pledged as collateral | 110,893 | 111,817 |
Debt securities: | ||
Carried at fair value, pledged as collateral | 46,976 | 52,283 |
Held-to-maturity, fair value | 59,641 | 52,430 |
Held-to-maturity, pledged as collateral | 17,124 | 20,869 |
Loans and leases, measured at fair value | 8,681 | 10,042 |
Loans and leases, pledged as collateral | 52,959 | 71,579 |
Mortgage servicing rights, measured at fair value | 3,530 | 5,042 |
Loans held-for-sale, measured at fair value | 6,801 | 6,656 |
Other assets, measured at fair value | 13,873 | 18,055 |
Deposits in U.S. offices: | ||
Interest-bearing, measured at fair value | 1,469 | 1,899 |
Federal funds purchased and securities loaned or sold under agreements to repurchase, measured at fair value | 35,357 | 26,500 |
Other assets, measured at fair value | 2,697 | 1,520 |
Accrued expenses and other liabilities, measured at fair value | 12,055 | 11,233 |
Accrued expenses and other liabilities, reserve for unfunded lending commitments | 528 | 484 |
Long-term debt, measured at fair value | 36,404 | 47,035 |
Shareholders’ equity | ||
Preferred stock, par value (in usd per share) | $0.01 | $0.01 |
Preferred stock, shares authorized | 100,000,000 | 100,000,000 |
Preferred stock, shares issued | 3,647,790 | 3,407,790 |
Preferred stock, shares outstanding | 3,647,790 | 3,407,790 |
Common stock, par value (in usd per share) | $0.01 | $0.01 |
Common stock, shares authorized | 12,800,000,000 | 12,800,000,000 |
Common stock, shares issued | 10,516,542,476 | 10,591,808,296 |
Common stock, shares outstanding | 10,516,542,476 | 10,591,808,296 |
Consolidated VIEs | Short-term borrowings | ||
Shareholders’ equity | ||
Non-recourse debt | 0 | 77 |
Consolidated VIEs | Long-term debt | ||
Shareholders’ equity | ||
Non-recourse debt | 11,943 | 16,209 |
Consolidated VIEs | Other liabilities | ||
Shareholders’ equity | ||
Non-recourse debt | $84 | $138 |
Consolidated_Statement_of_Chan
Consolidated Statement of Changes in Shareholders' Equity (USD $) | Total | Preferred Stock | Common Stock and Additional Paid-in Capital | Retained Earnings | Accumulated Other Comprehensive Income (Loss) |
Share data in Thousands, unless otherwise specified | |||||
Beginning Balance at Dec. 31, 2011 | $230,101,000,000 | $18,397,000,000 | $156,621,000,000 | $60,520,000,000 | ($5,437,000,000) |
Beginning Balance, Shares at Dec. 31, 2011 | 10,535,938 | ||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||
Net income | 4,188,000,000 | 4,188,000,000 | |||
Net change in available-for-sale debt and marketable equity securities | 1,802,000,000 | 1,802,000,000 | |||
Net change in derivatives | 916,000,000 | 916,000,000 | |||
Employee benefit plan adjustments | -65,000,000 | -65,000,000 | |||
Net change in foreign currency translation adjustments | -13,000,000 | -13,000,000 | |||
Dividends paid: | |||||
Common | -437,000,000 | -437,000,000 | |||
Preferred | -1,472,000,000 | -1,472,000,000 | |||
Issuance of preferred stock | 667,000,000 | 667,000,000 | |||
Common stock issued in connection with exchanges of preferred stock and trust preferred securities | 160,000,000 | -296,000,000 | 412,000,000 | 44,000,000 | |
Common stock issued in connection with exchanges of preferred stock and trust preferred securities, shares | 49,867 | ||||
Common stock issued under employee plans and related tax effects, Shares | 192,459 | ||||
Common stock issued under employee plans and related tax effects | 1,109,000,000 | 1,109,000,000 | |||
Ending Balance at Dec. 31, 2012 | 236,956,000,000 | 18,768,000,000 | 158,142,000,000 | 62,843,000,000 | -2,797,000,000 |
Ending Balance, Shares at Dec. 31, 2012 | 10,778,264 | ||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||
Net income | 11,431,000,000 | 11,431,000,000 | |||
Net change in available-for-sale debt and marketable equity securities | -8,166,000,000 | -8,166,000,000 | |||
Net change in derivatives | 592,000,000 | 592,000,000 | |||
Employee benefit plan adjustments | 2,049,000,000 | 2,049,000,000 | |||
Net change in foreign currency translation adjustments | -135,000,000 | -135,000,000 | |||
Dividends paid: | |||||
Common | -428,000,000 | -428,000,000 | |||
Preferred | -1,249,000,000 | -1,249,000,000 | |||
Issuance of preferred stock | 1,008,000,000 | 1,008,000,000 | |||
Redemption of preferred stock | -6,561,000,000 | -6,461,000,000 | -100,000,000 | ||
Common stock issued under employee plans and related tax effects, Shares | 45,288 | ||||
Common stock issued under employee plans and related tax effects | 371,000,000 | 371,000,000 | |||
Common stock repurchased, Shares | -231,744 | ||||
Common stock repurchased | -3,220,000,000 | -3,220,000,000 | |||
Other | 37,000,000 | 37,000,000 | |||
Ending Balance at Dec. 31, 2013 | 232,685,000,000 | 13,352,000,000 | 155,293,000,000 | 72,497,000,000 | -8,457,000,000 |
Ending Balance, Shares at Dec. 31, 2013 | 10,591,808 | ||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||
Net income | 4,833,000,000 | 4,833,000,000 | |||
Net change in available-for-sale debt and marketable equity securities | 4,621,000,000 | 4,621,000,000 | |||
Net change in derivatives | 616,000,000 | 616,000,000 | |||
Employee benefit plan adjustments | -943,000,000 | -943,000,000 | |||
Net change in foreign currency translation adjustments | -157,000,000 | -157,000,000 | |||
Dividends paid: | |||||
Common | -1,262,000,000 | -1,262,000,000 | |||
Preferred | -1,044,000,000 | -1,044,000,000 | |||
Issuance of preferred stock | 5,957,000,000 | 5,957,000,000 | |||
Common stock issued under employee plans and related tax effects, Shares | 25,866 | ||||
Common stock issued under employee plans and related tax effects | -160,000,000 | -160,000,000 | |||
Common stock repurchased, Shares | -101,132 | ||||
Common stock repurchased | -1,675,000,000 | -1,675,000,000 | |||
Ending Balance at Dec. 31, 2014 | $243,471,000,000 | $19,309,000,000 | $153,458,000,000 | $75,024,000,000 | ($4,320,000,000) |
Ending Balance, Shares at Dec. 31, 2014 | 10,516,542 |
Consolidated_Statement_of_Cash
Consolidated Statement of Cash Flows (USD $) | 12 Months Ended | ||
In Millions, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Operating activities | |||
Net income | $4,833 | $11,431 | $4,188 |
Adjustments to reconcile net income to net cash provided by (used in) operating activities: | |||
Provision for credit losses | 2,275 | 3,556 | 8,169 |
Gains on sales of debt securities | -1,354 | -1,271 | -1,662 |
Fair value adjustments on structured liabilities | -407 | 649 | 5,107 |
Depreciation and premises improvements amortization | 1,586 | 1,597 | 1,774 |
Amortization of intangibles | 936 | 1,086 | 1,264 |
Net amortization of premium/discount on debt securities | 2,688 | 1,577 | 2,580 |
Deferred income taxes | 726 | 3,262 | -2,735 |
Loans held-for-sale: | |||
Originations and purchases | -40,113 | -65,688 | -59,540 |
Proceeds from sales and paydowns of loans originally classified as held-for-sale | 38,528 | 77,707 | 54,817 |
Net change in: | |||
Trading and derivative instruments | 6,621 | 33,870 | -47,606 |
Other assets | 2,380 | 35,154 | -11,424 |
Accrued expenses and other liabilities | 9,702 | -12,919 | 24,061 |
Other operating activities, net | -1,662 | 2,806 | 4,951 |
Net cash provided by (used in) operating activities | 26,739 | 92,817 | -16,056 |
Net change in: | |||
Time deposits placed and other short-term investments | 4,030 | 7,154 | 7,310 |
Federal funds sold and securities borrowed or purchased under agreements to resell | -1,495 | 29,596 | -8,741 |
Debt securities carried at fair value: | |||
Proceeds from sales | 159,071 | 119,013 | 74,068 |
Proceeds from paydowns and maturities | 79,704 | 85,554 | 71,509 |
Purchases | -280,571 | -175,983 | -164,491 |
Held-to-maturity debt securities: | |||
Proceeds from paydowns and maturities | 7,889 | 8,472 | 6,261 |
Purchases | -13,274 | -14,388 | -20,991 |
Loans and leases: | |||
Proceeds from sales | 28,765 | 12,331 | 1,837 |
Purchases | -10,609 | -16,734 | -9,178 |
Other changes in loans and leases, net | 22,635 | -34,256 | 2,557 |
Net sales (purchases) of premises and equipment | -1,160 | -521 | 5 |
Proceeds from sales of foreclosed properties | 855 | 1,099 | 2,799 |
Proceeds from sales of investments | 1,577 | 4,818 | 2,396 |
Other investing activities, net | -1,621 | -1,097 | -320 |
Net cash provided by (used in) investing activities | -4,204 | 25,058 | -34,979 |
Net change in: | |||
Deposits | -335 | 14,010 | 72,220 |
Federal funds purchased and securities loaned or sold under agreements to repurchase | 3,171 | -95,153 | 78,395 |
Short-term borrowings | -14,827 | 16,009 | -5,017 |
Long-term debt: | |||
Proceeds from issuance | 51,573 | 45,658 | 22,200 |
Retirement of long-term debt | -53,749 | -65,602 | -124,389 |
Preferred stock: | |||
Proceeds from issuance | 5,957 | 1,008 | 667 |
Redemption | 0 | -6,461 | 0 |
Common stock repurchased | -1,675 | -3,220 | 0 |
Cash dividends paid | -2,306 | -1,677 | -1,909 |
Excess tax benefits on share-based payments | 34 | 12 | 13 |
Other financing activities, net | -44 | -26 | 236 |
Net cash provided by (used in) financing activities | -12,201 | -95,442 | 42,416 |
Effect of exchange rate changes on cash and cash equivalents | -3,067 | -1,863 | -731 |
Net increase (decrease) in cash and cash equivalents | 7,267 | 20,570 | -9,350 |
Cash and cash equivalents at January 1 | 131,322 | 110,752 | 120,102 |
Cash and cash equivalents at December 31 | 138,589 | 131,322 | 110,752 |
Supplemental cash flow disclosures | |||
Interest paid | 11,082 | 12,912 | 18,268 |
Income taxes paid | 2,558 | 1,559 | 1,372 |
Income taxes refunded | ($144) | ($244) | ($338) |
Summary_of_Significant_Account
Summary of Significant Accounting Principles | 12 Months Ended | |
Dec. 31, 2014 | ||
Accounting Policies [Abstract] | ||
Summary of Significant Accounting Principles | Summary of Significant Accounting Principles | |
Bank of America Corporation (together with its consolidated subsidiaries, the Corporation), a bank holding company (BHC) and a financial holding company, provides a diverse range of financial services and products throughout the U.S. and in certain international markets. The term “the Corporation” as used herein may refer to Bank of America Corporation individually, Bank of America Corporation and its subsidiaries, or certain of Bank of America Corporation’s subsidiaries or affiliates. | ||
The Corporation conducts its activities through banking and nonbank subsidiaries. Prior to October 1, 2014, the Corporation operated its banking activities primarily under two charters: Bank of America, National Association (Bank of America, N.A. or BANA) and, to a lesser extent, FIA Card Services, National Association (FIA Card Services, N.A. or FIA). On October 1, 2014, FIA was merged into BANA. | ||
Principles of Consolidation and Basis of Presentation | ||
The Consolidated Financial Statements include the accounts of the Corporation and its majority-owned subsidiaries, and those variable interest entities (VIEs) where the Corporation is the primary beneficiary. Intercompany accounts and transactions have been eliminated. Results of operations of acquired companies are included from the dates of acquisition and for VIEs, from the dates that the Corporation became the primary beneficiary. Assets held in an agency or fiduciary capacity are not included in the Consolidated Financial Statements. The Corporation accounts for investments in companies for which it owns a voting interest and for which it has the ability to exercise significant influence over operating and financing decisions using the equity method of accounting. These investments are included in other assets. Equity method investments are subject to impairment testing and the Corporation’s proportionate share of income or loss is included in equity investment income. | ||
In the Annual Report on Form 10-K for the year ended December 31, 2014, the Corporation reported its results of operations through five business segments: Consumer & Business Banking (CBB), Consumer Real Estate Services (CRES), Global Wealth & Investment Management (GWIM), Global Banking and Global Markets, with the remaining operations recorded in All Other. Effective January 1, 2015, to align the segments with how the Corporation manages the businesses in 2015, it changed its basis of presentation, and following such change, reports its results of operations through the following five business segments: Consumer Banking, Global Wealth & Investment Management (GWIM), Global Banking, Global Markets and Legacy Assets & Servicing (LAS), with the remaining operations recorded in All Other. The Home Loans business, which was included in the former CRES segment, is now included in Consumer Banking, and LAS (also in the former CRES segment) has become a separate segment. A portion of the Business Banking business, based on the size of the client, was moved from the former CBB segment to Global Banking, and the former CBB segment was renamed Consumer Banking. Also, the Corporation's merchant services joint venture, moved from the former CBB segment to All Other. In addition, certain management accounting methodologies, including the treatment of intersegment assets and liabilities, and related allocations were refined. Prior periods have been reclassified to conform to the current period presentation. | ||
The preparation of the Consolidated Financial Statements in conformity with accounting principles generally accepted in the United States of America requires management to make estimates and assumptions that affect reported amounts and disclosures. Realized results could differ from those estimates and assumptions. | ||
The Corporation evaluates subsequent events through the date of filing with the Securities and Exchange Commission (SEC). Certain prior-period amounts have been reclassified to conform to current period presentation. | ||
New Accounting Pronouncements | ||
In August 2014, the Financial Accounting Standards Board (FASB) issued new accounting guidance on classification and measurement of foreclosed mortgage loans that are government guaranteed. This new guidance states that such foreclosed properties should be classified as other assets and measured based on the amount of the loan balance expected to be recovered from the guarantor. The new guidance is effective beginning on January 1, 2015 using either a prospective or modified retrospective transition method. This new guidance will not have a material impact on the Corporation’s consolidated financial position or results of operations. | ||
In August 2014, the FASB issued new accounting guidance that provides a measurement alternative for entities that consolidate a collateralized financing entity (CFE). The new guidance allows an entity to measure both the financial assets and financial liabilities of a CFE using the fair value of either the financial assets or financial liabilities, whichever is more observable. This alternative is available for CFEs where the financial assets and financial liabilities are carried at fair value and changes in fair value are reported in earnings. The new guidance is effective beginning on January 1, 2016. This new guidance will not have a material impact on the Corporation’s consolidated financial position or results of operations. | ||
In June 2014, the FASB issued new guidance on accounting and disclosure of repurchase-to-maturity (RTM) transactions and repurchase financings (repos). Under this new accounting guidance, RTMs will be accounted for as secured borrowings rather than sales of an asset, and transfers of financial assets with a contemporaneous repo will no longer be evaluated to determine whether they should be accounted for on a combined basis as forward contracts. The new guidance also prescribes additional disclosures particularly on the nature of collateral pledged in repos accounted for as secured borrowings. The new guidance is effective beginning on January 1, 2015. This new guidance will not have a material impact on the Corporation’s consolidated financial position or results of operations. | ||
In May 2014, the FASB issued new accounting guidance to clarify the principles for recognizing revenue from contracts with customers. The new accounting guidance, which does not apply to financial instruments, is effective on a retrospective basis beginning on January 1, 2017. The Corporation does not expect the new guidance to have a material impact on its consolidated financial position or results of operations. | ||
In January 2014, the FASB issued new guidance on accounting for qualified affordable housing projects which permits entities to make an accounting policy election to apply the proportional amortization method when specific conditions are met. The new accounting guidance is effective on a retrospective basis beginning on January 1, 2015 with early adoption permitted. The Corporation is currently assessing whether it will adopt the proportional amortization method. If adopted, the Corporation does not expect it to have a material impact on its consolidated financial position or results of operations. | ||
In December 2012, the FASB issued a proposed standard on accounting for credit losses. It would replace multiple existing impairment models, including an “incurred loss” model for loans, with an “expected loss” model. The FASB has not yet established an effective date but a final standard is expected to be issued in the second half of 2015. The final standard may materially reduce retained earnings in the period of adoption. | ||
Cash and Cash Equivalents | ||
Cash and cash equivalents include cash on hand, cash items in the process of collection, cash segregated under federal and other brokerage regulations, and amounts due from correspondent banks, the Federal Reserve Bank and certain non-U.S. central banks. | ||
Securities Financing Agreements | ||
Securities borrowed or purchased under agreements to resell and securities loaned or sold under agreements to repurchase (securities financing agreements) are treated as collateralized financing transactions except in instances where the transaction is required to be accounted for as individual sale and purchase transactions. Generally, these agreements are recorded at the amounts at which the securities were acquired or sold plus accrued interest, except for certain securities financing agreements that the Corporation accounts for under the fair value option. Changes in the fair value of securities financing agreements that are accounted for under the fair value option are recorded in trading account profits in the Consolidated Statement of Income. For more information on securities financing agreements that the Corporation accounts for under the fair value option, see Note 21 – Fair Value Option. | ||
The Corporation’s policy is to obtain possession of collateral with a market value equal to or in excess of the principal amount loaned under resale agreements. To ensure that the market value of the underlying collateral remains sufficient, collateral is generally valued daily and the Corporation may require counterparties to deposit additional collateral or may return collateral pledged when appropriate. Securities financing agreements give rise to negligible credit risk as a result of these collateral provisions and, accordingly, no allowance for loan losses is considered necessary. | ||
Substantially all repurchase and resale activities are transacted under legally enforceable master repurchase agreements that give the Corporation, in the event of default by the counterparty, the right to liquidate securities held and to offset receivables and payables with the same counterparty. The Corporation offsets repurchase and resale transactions with the same counterparty on the Consolidated Balance Sheet where it has such a legally enforceable master netting agreement and the transactions have the same maturity date. | ||
In transactions where the Corporation acts as the lender in a securities lending agreement and receives securities that can be pledged or sold as collateral, it recognizes an asset on the Consolidated Balance Sheet at fair value, representing the securities received, and a liability, representing the obligation to return those securities. | ||
In repurchase transactions, typically, the termination date for a repurchase agreement is before the maturity date of the underlying security. However, in certain situations, the Corporation may enter into repurchase agreements where the termination date of the repurchase transaction is the same as the maturity date of the underlying security and these transactions are referred to as “repo-to-maturity” (RTM) transactions. In accordance with applicable accounting guidance, the Corporation accounts for RTM transactions as sales and purchases when the transferred securities are highly liquid. In instances where securities are considered sold or purchased, the Corporation removes the securities from or recognizes the securities on the Consolidated Balance Sheet and, in the case of sales, recognizes a gain or loss, where applicable, in the Consolidated Statement of Income. At December 31, 2014 and 2013, the Corporation had no outstanding RTM transactions that had been accounted for as sales and an immaterial amount of transactions that had been accounted for as purchases. | ||
Collateral | ||
The Corporation accepts securities as collateral that it is permitted by contract or custom to sell or repledge. At December 31, 2014 and 2013, the fair value of this collateral was $519.2 billion and $575.3 billion, of which $424.5 billion and $430.4 billion was sold or repledged. The primary source of this collateral is securities borrowed or purchased under agreements to resell. The Corporation also pledges company-owned securities and loans as collateral in transactions that include repurchase agreements, securities loaned, public and trust deposits, U.S. Treasury tax and loan notes, and short-term borrowings. This collateral, which in some cases can be sold or repledged by the counterparties to the transactions, is parenthetically disclosed on the Consolidated Balance Sheet. | ||
In certain cases, the Corporation has transferred assets to consolidated VIEs where those restricted assets serve as collateral for the interests issued by the VIEs. These assets are included on the Consolidated Balance Sheet in Assets of Consolidated VIEs. | ||
In addition, the Corporation obtains collateral in connection with its derivative contracts. Required collateral levels vary depending on the credit risk rating and the type of counterparty. Generally, the Corporation accepts collateral in the form of cash, U.S. Treasury securities and other marketable securities. Based on provisions contained in master netting agreements, the Corporation nets cash collateral received against derivative assets. The Corporation also pledges collateral on its own derivative positions which can be applied against derivative liabilities. | ||
Trading Instruments | ||
Financial instruments utilized in trading activities are carried at fair value. Fair value is generally based on quoted market prices or quoted market prices for similar assets and liabilities. If these market prices are not available, fair values are estimated based on dealer quotes, pricing models, discounted cash flow methodologies, or similar techniques where the determination of fair value may require significant management judgment or estimation. Realized gains and losses are recorded on a trade-date basis. Realized and unrealized gains and losses are recognized in trading account profits. | ||
Derivatives and Hedging Activities | ||
Derivatives are entered into on behalf of customers, for trading or to support risk management activities. Derivatives used in risk management activities include derivatives that are both designated in qualifying accounting hedge relationships and derivatives used to hedge market risks in relationships that are not designated in qualifying accounting hedge relationships (referred to as other risk management activities). Derivatives utilized by the Corporation include swaps, financial futures and forward settlement contracts, and option contracts. A swap agreement is a contract between two parties to exchange cash flows based on specified underlying notional amounts, assets and/or indices. Financial futures and forward settlement contracts are agreements to buy or sell a quantity of a financial instrument (including another derivative financial instrument), index, currency or commodity at a predetermined rate or price during a period or at a date in the future. Option agreements can be transacted on organized exchanges or directly between parties. | ||
All derivatives are recorded on the Consolidated Balance Sheet at fair value, taking into consideration the effects of legally enforceable master netting agreements that allow the Corporation to settle positive and negative positions and offset cash collateral held with the same counterparty on a net basis. For exchange-traded contracts, fair value is based on quoted market prices in active or inactive markets or is derived from observable market- based pricing parameters, similar to those applied to over-the-counter (OTC) derivatives. For non-exchange traded contracts, fair value is based on dealer quotes, pricing models, discounted cash flow methodologies or similar techniques for which the determination of fair value may require significant management judgment or estimation. | ||
Valuations of derivative assets and liabilities reflect the value of the instrument including counterparty credit risk. These values also take into account the Corporation’s own credit standing. | ||
Trading Derivatives and Other Risk Management Activities | ||
Derivatives held for trading purposes are included in derivative assets or derivative liabilities on the Consolidated Balance Sheet with changes in fair value included in trading account profits. | ||
Derivatives used for other risk management activities are included in derivative assets or derivative liabilities. Derivatives used in other risk management activities have not been designated in a qualifying accounting hedge relationship because they did not qualify or the risk that is being mitigated pertains to an item that is reported at fair value through earnings so that the effect of measuring the derivative instrument and the asset or liability to which the risk exposure pertains will offset in the Consolidated Statement of Income to the extent effective. The changes in the fair value of derivatives that serve to mitigate certain risks associated with mortgage servicing rights (MSRs), interest rate lock commitments (IRLCs) and first mortgage loans held-for-sale (LHFS) that are originated by the Corporation are recorded in mortgage banking income. Changes in the fair value of derivatives that serve to mitigate interest rate risk and foreign currency risk are included in other income (loss). Credit derivatives are also used by the Corporation to mitigate the risk associated with various credit exposures. The changes in the fair value of these derivatives are included in other income (loss). | ||
Derivatives Used For Hedge Accounting Purposes (Accounting Hedges) | ||
For accounting hedges, the Corporation formally documents at inception all relationships between hedging instruments and hedged items, as well as the risk management objectives and strategies for undertaking various accounting hedges. Additionally, the Corporation primarily uses regression analysis at the inception of a hedge and for each reporting period thereafter to assess whether the derivative used in a hedging transaction is expected to be and has been highly effective in offsetting changes in the fair value or cash flows of a hedged item or forecasted transaction. The Corporation discontinues hedge accounting when it is determined that a derivative is not expected to be or has ceased to be highly effective as a hedge, and then reflects changes in fair value of the derivative in earnings after termination of the hedge relationship. | ||
The Corporation uses its accounting hedges as either fair value hedges, cash flow hedges or hedges of net investments in foreign operations. The Corporation manages interest rate and foreign currency exchange rate sensitivity predominantly through the use of derivatives. Fair value hedges are used to protect against changes in the fair value of the Corporation’s assets and liabilities that are attributable to interest rate or foreign exchange volatility. Cash flow hedges are used primarily to minimize the variability in cash flows of assets or liabilities, or forecasted transactions caused by interest rate or foreign exchange fluctuations. For terminated cash flow hedges, the maximum length of time over which forecasted transactions are hedged is approximately 25 years, with a substantial portion of the hedged transactions being less than 10 years. For open or future cash flow hedges, the maximum length of time over which forecasted transactions are or will be hedged is less than seven years. | ||
Changes in the fair value of derivatives designated as fair value hedges are recorded in earnings, together and in the same income statement line item with changes in the fair value of the related hedged item. Changes in the fair value of derivatives designated as cash flow hedges are recorded in accumulated other comprehensive income (OCI) and are reclassified into the line item in the income statement in which the hedged item is recorded in the same period the hedged item affects earnings. Hedge ineffectiveness and gains and losses on the excluded component of a derivative in assessing hedge effectiveness are recorded in earnings in the same income statement line item. The Corporation records changes in the fair value of derivatives used as hedges of the net investment in foreign operations, to the extent effective, as a component of accumulated OCI. | ||
If a derivative instrument in a fair value hedge is terminated or the hedge designation removed, the previous adjustments to the carrying value of the hedged asset or liability are subsequently accounted for in the same manner as other components of the carrying value of that asset or liability. For interest-earning assets and interest-bearing liabilities, such adjustments are amortized to earnings over the remaining life of the respective asset or liability. If a derivative instrument in a cash flow hedge is terminated or the hedge designation is removed, related amounts in accumulated OCI are reclassified into earnings in the same period or periods during which the hedged forecasted transaction affects earnings. If it becomes probable that a forecasted transaction will not occur, any related amounts in accumulated OCI are reclassified into earnings in that period. | ||
Interest Rate Lock Commitments | ||
The Corporation enters into IRLCs in connection with its mortgage banking activities to fund residential mortgage loans at specified times in the future. IRLCs that relate to the origination of mortgage loans that will be classified as held-for-sale are considered derivative instruments under applicable accounting guidance. As such, these IRLCs are recorded at fair value with changes in fair value recorded in mortgage banking income, typically resulting in recognition of a gain when the Corporation enters into IRLCs. | ||
In estimating the fair value of an IRLC, the Corporation assigns a probability that the loan commitment will be exercised and the loan will be funded. The fair value of the commitments is derived from the fair value of related mortgage loans which is based on observable market data and includes the expected net future cash flows related to servicing of the loans. Changes in the fair value of IRLCs are recognized based on interest rate changes, changes in the probability that the commitment will be exercised and the passage of time. Changes from the expected future cash flows related to the customer relationship are excluded from the valuation of IRLCs. | ||
Outstanding IRLCs expose the Corporation to the risk that the price of the loans underlying the commitments might decline from inception of the rate lock to funding of the loan. To manage this risk, the Corporation utilizes forward loan sales commitments and other derivative instruments, including interest rate swaps and options, to economically hedge the risk of potential changes in the value of the loans that would result from the commitments. The changes in the fair value of these derivatives are recorded in mortgage banking income. | ||
Securities | ||
Debt securities are recorded on the Consolidated Balance Sheet as of their trade date. Debt securities bought principally with the intent to buy and sell in the short term as part of the Corporation’s trading activities are reported at fair value in trading account assets with unrealized gains and losses included in trading account profits. Debt securities purchased for longer term investment purposes, as part of asset and liability management (ALM) and other strategic activities are generally reported at fair value as available-for-sale (AFS) securities with net unrealized gains and losses net-of-tax included in accumulated OCI. Certain other debt securities purchased for ALM and other strategic purposes are reported at fair value with unrealized gains and losses reported in other income (loss). These are referred to as other debt securities carried at fair value. AFS securities and other debt securities carried at fair value are reported in debt securities on the Consolidated Balance Sheet. The Corporation may hedge these other debt securities with risk management derivatives with the unrealized gains and losses also reported in other income (loss). The debt securities are carried at fair value with unrealized gains and losses reported in other income (loss) to mitigate accounting asymmetry with the risk management derivatives and to achieve operational simplifications. Debt securities which management has the intent and ability to hold to maturity are reported at amortized cost. Certain debt securities purchased for use in other risk management activities, such as hedging certain market risks related to MSRs, are reported in other assets at fair value with unrealized gains and losses reported in the same line item as the item being hedged. | ||
The Corporation regularly evaluates each AFS and held-to-maturity (HTM) debt security where the value has declined below amortized cost to assess whether the decline in fair value is other than temporary. In determining whether an impairment is other than temporary, the Corporation considers the severity and duration of the decline in fair value, the length of time expected for recovery, the financial condition of the issuer, and other qualitative factors, as well as whether the Corporation either plans to sell the security or it is more-likely-than-not that it will be required to sell the security before recovery of the amortized cost. If the impairment of the AFS or HTM debt security is credit-related, an other-than-temporary impairment (OTTI) loss is recorded in earnings. For AFS debt securities, the non-credit-related impairment loss is recognized in accumulated OCI. If the Corporation intends to sell an AFS debt security or believes it will more-likely-than-not be required to sell a security, the Corporation records the full amount of the impairment loss as an OTTI loss. | ||
Interest on debt securities, including amortization of premiums and accretion of discounts, is included in interest income. Premiums and discounts are amortized to interest income over the estimated lives of the securities. Prepayment experience, which is primarily driven by interest rates, is continually evaluated to determine the estimated lives of the securities. When a change is made to the estimated lives of the securities, the related premium or discount is adjusted, with a corresponding charge or credit to interest income, to the appropriate amount had the current estimated lives been applied since the acquisition of the securities. Realized gains and losses from the sales of debt securities are determined using the specific identification method. | ||
Marketable equity securities are classified based on management’s intention on the date of purchase and recorded on the Consolidated Balance Sheet as of the trade date. Marketable equity securities that are bought and held principally for the purpose of resale in the near term are classified as trading and are carried at fair value with unrealized gains and losses included in trading account profits. Other marketable equity securities are accounted for as AFS and classified in other assets. All AFS marketable equity securities are carried at fair value with net unrealized gains and losses included in accumulated OCI on an after-tax basis. If there is an other-than-temporary decline in the fair value of any individual AFS marketable equity security, the cost basis is reduced and the Corporation reclassifies the associated net unrealized loss out of accumulated OCI with a corresponding charge to equity investment income. Dividend income on AFS marketable equity securities is included in equity investment income. Realized gains and losses on the sale of all AFS marketable equity securities, which are recorded in equity investment income, are determined using the specific identification method. | ||
Certain equity investments held by Global Principal Investments (GPI), the Corporation’s diversified equity investor in private equity, real estate and other alternative investments, are subject to investment company accounting under applicable accounting guidance and, accordingly, are carried at fair value with changes in fair value reported in equity investment income. These investments are included in other assets. Initially, the transaction price of the investment is generally considered to be the best indicator of fair value. Thereafter, valuation of direct investments is based on an assessment of each individual investment using methodologies that include publicly-traded comparables derived by multiplying a key performance metric of the portfolio company by the relevant valuation multiple observed for comparable companies, acquisition comparables, entry level multiples and discounted cash flow analyses, and are subject to appropriate discounts for lack of liquidity or marketability. For fund investments, the Corporation generally records the fair value of its proportionate interest in the fund’s capital as reported by the respective fund managers. | ||
Loans and Leases | ||
Loans, with the exception of loans accounted for under the fair value option, are measured at historical cost and reported at their outstanding principal balances net of any unearned income, charge-offs, unamortized deferred fees and costs on originated loans, and for purchased loans, net of any unamortized premiums or discounts. Loan origination fees and certain direct origination costs are deferred and recognized as adjustments to interest income over the lives of the related loans. Unearned income, discounts and premiums are amortized to interest income using a level yield methodology. The Corporation elects to account for certain consumer and commercial loans under the fair value option with changes in fair value reported in other income (loss). | ||
Under applicable accounting guidance, for reporting purposes, the loan and lease portfolio is categorized by portfolio segment and, within each portfolio segment, by class of financing receivables. A portfolio segment is defined as the level at which an entity develops and documents a systematic methodology to determine the allowance for credit losses, and a class of financing receivables is defined as the level of disaggregation of portfolio segments based on the initial measurement attribute, risk characteristics and methods for assessing risk. The Corporation’s three portfolio segments are Consumer Real Estate (formerly referred to as Home Loans), Credit Card and Other Consumer, and Commercial. The classes within the Consumer Real Estate portfolio segment are core portfolio residential mortgage, Legacy Assets & Servicing residential mortgage, core portfolio home equity and Legacy Assets & Servicing home equity. The classes within the Credit Card and Other Consumer portfolio segment are U.S. credit card, non-U.S. credit card, direct/indirect consumer and other consumer. The classes within the Commercial portfolio segment are U.S. commercial, commercial real estate, commercial lease financing, non-U.S. commercial and U.S. small business commercial. | ||
Purchased Credit-impaired Loans | ||
The Corporation purchases loans with and without evidence of credit quality deterioration since origination. Evidence of credit quality deterioration as of the purchase date may include statistics such as past due status, refreshed borrower credit scores and refreshed loan-to-value (LTV) ratios, some of which are not immediately available as of the purchase date. Purchased loans with evidence of credit quality deterioration for which it is probable that the Corporation will not receive all contractually required payments receivable are accounted for as purchased credit- impaired (PCI) loans. The excess of the cash flows expected to be collected on PCI loans, measured as of the acquisition date, over the estimated fair value is referred to as the accretable yield and is recognized in interest income over the remaining life of the loan using a level yield methodology. The difference between contractually required payments as of the acquisition date and the cash flows expected to be collected is referred to as the nonaccretable difference. PCI loans that have similar risk characteristics, primarily credit risk, collateral type and interest rate risk, are pooled and accounted for as a single asset with a single composite interest rate and an aggregate expectation of cash flows. Once a pool is assembled, it is treated as if it was one loan for purposes of applying the accounting guidance for PCI loans. An individual loan is removed from a PCI loan pool if it is sold, foreclosed, forgiven or the expectation of any future proceeds is remote. When a loan is removed from a PCI loan pool and the foreclosure or recovery value of the loan is less than the loan’s carrying value, the difference is first applied against the PCI pool’s nonaccretable difference. If the nonaccretable difference has been fully utilized, only then is the PCI pool’s basis applicable to that loan written-off against its valuation reserve; however, the integrity of the pool is maintained and it continues to be accounted for as if it was one loan. | ||
The Corporation continues to estimate cash flows expected to be collected over the life of the PCI loans using internal credit risk, interest rate and prepayment risk models that incorporate management’s best estimate of current key assumptions such as default rates, loss severity and prepayment speeds. If, upon subsequent evaluation, the Corporation determines it is probable that the present value of the expected cash flows has decreased, the PCI loan is considered to be further impaired resulting in a charge to the provision for credit losses and a corresponding increase to a valuation allowance included in the allowance for loan and lease losses. The present value of the expected cash flows is then recalculated each period, which may result in additional impairment or a reduction of the valuation allowance. If there is no valuation allowance and it is probable that there is a significant increase in the present value of the expected cash flows, the Corporation recalculates the amount of accretable yield as the excess of the revised expected cash flows over the current carrying value resulting in a reclassification from nonaccretable difference to accretable yield. Reclassifications from nonaccretable difference can also occur if there is a change in the expected lives of the loans. The present value of the expected cash flows is determined using the PCI loans’ effective interest rate, adjusted for changes in the PCI loans’ interest rate indices. | ||
Leases | ||
The Corporation provides equipment financing to its customers through a variety of lease arrangements. Direct financing leases are carried at the aggregate of lease payments receivable plus estimated residual value of the leased property less unearned income. Leveraged leases, which are a form of financing leases, are reported net of non-recourse debt. Unearned income on leveraged and direct financing leases is accreted to interest income over the lease terms using methods that approximate the interest method. | ||
Allowance for Credit Losses | ||
The allowance for credit losses, which includes the allowance for loan and lease losses and the reserve for unfunded lending commitments, represents management’s estimate of probable losses inherent in the Corporation’s lending activities. The allowance for loan and lease losses and the reserve for unfunded lending commitments exclude amounts for loans and unfunded lending commitments accounted for under the fair value option as the fair values of these instruments reflect a credit component. The allowance for loan and lease losses does not include amounts related to accrued interest receivable, other than billed interest and fees on credit card receivables, as accrued interest receivable is reversed when a loan is placed on nonaccrual status. The allowance for loan and lease losses represents the estimated probable credit losses on funded consumer and commercial loans and leases while the reserve for unfunded lending commitments, including standby letters of credit and binding unfunded loan commitments, represents estimated probable credit losses on these unfunded credit instruments based on utilization assumptions. Lending-related credit exposures deemed to be uncollectible, excluding loans carried at fair value, are charged off against these accounts. Write-offs on PCI loans on which there is a valuation allowance are written-off against the valuation allowance. For additional information, see Purchased Credit-impaired Loans in this Note. Cash recovered on previously charged-off amounts is recorded as a recovery to these accounts. Management evaluates the adequacy of the allowance for credit losses based on the combined total of the allowance for loan and lease losses and the reserve for unfunded lending commitments. | ||
The Corporation performs periodic and systematic detailed reviews of its lending portfolios to identify credit risks and to assess the overall collectability of those portfolios. The allowance on certain homogeneous consumer loan portfolios, which generally consist of consumer real estate within the Consumer Real Estate portfolio segment and credit card loans within the Credit Card and Other Consumer portfolio segment, is based on aggregated portfolio segment evaluations generally by product type. Loss forecast models are utilized for these portfolios which consider a variety of factors including, but not limited to, historical loss experience, estimated defaults or foreclosures based on portfolio trends, delinquencies, bankruptcies, economic conditions and credit scores. | ||
The Corporation’s Consumer Real Estate portfolio segment is comprised primarily of large groups of homogeneous consumer loans secured by residential real estate. The amount of losses incurred in the homogeneous loan pools is estimated based on the number of loans that will default and the loss in the event of default. Using modeling methodologies, the Corporation estimates the number of homogeneous loans that will default based on the individual loans’ attributes aggregated into pools of homogeneous loans with similar attributes. The attributes that are most significant to the probability of default and are used to estimate defaults include refreshed LTV or, in the case of a subordinated lien, refreshed combined LTV, borrower credit score, months since origination (referred to as vintage) and geography, all of which are further broken down by present collection status (whether the loan is current, delinquent, in default or in bankruptcy). This estimate is based on the Corporation’s historical experience with the loan portfolio. The estimate is adjusted to reflect an assessment of environmental factors not yet reflected in the historical data underlying the loss estimates, such as changes in real estate values, local and national economies, underwriting standards and the regulatory environment. The probability of default on a loan is based on an analysis of the movement of loans with the measured attributes from either current or any of the delinquency categories to default over a 12-month period. On home equity loans where the Corporation holds only a second-lien position and foreclosure is not the best alternative, the loss severity is estimated at 100 percent. | ||
The allowance on certain commercial loans (except business card and certain small business loans) is calculated using loss rates delineated by risk rating and product type. Factors considered when assessing loss rates include the value of the underlying collateral, if applicable, the industry of the obligor, and the obligor’s liquidity and other financial indicators along with certain qualitative factors. These statistical models are updated regularly for changes in economic and business conditions. Included in the analysis of consumer and commercial loan portfolios are reserves which are maintained to cover uncertainties that affect the Corporation’s estimate of probable losses including domestic and global economic uncertainty and large single-name defaults. | ||
The remaining portfolios, including nonperforming commercial loans, as well as consumer and commercial loans modified in a troubled debt restructuring (TDR), are reviewed in accordance with applicable accounting guidance on impaired loans and TDRs. If necessary, a specific allowance is established for these loans if they are deemed to be impaired. A loan is considered impaired when, based on current information and events, it is probable that the Corporation will be unable to collect all amounts due, including principal and/or interest, in accordance with the contractual terms of the agreement, or the loan has been modified in a TDR. Once a loan has been identified as impaired, management measures impairment primarily based on the present value of payments expected to be received, discounted at the loans’ original effective contractual interest rates, or discounted at the portfolio average contractual annual percentage rate, excluding promotionally priced loans, in effect prior to restructuring. Impaired loans and TDRs may also be measured based on observable market prices, or for loans that are solely dependent on the collateral for repayment, the estimated fair value of the collateral less costs to sell. If the recorded investment in impaired loans exceeds this amount, a specific allowance is established as a component of the allowance for loan and lease losses unless these are secured consumer loans that are solely dependent on the collateral for repayment, in which case the amount that exceeds the fair value of the collateral is charged off. | ||
Generally, when determining the fair value of the collateral securing consumer real estate-secured loans that are solely dependent on the collateral for repayment, prior to performing a detailed property valuation including a walk-through of a property, the Corporation initially estimates the fair value of the collateral securing these consumer loans using an automated valuation method (AVM). An AVM is a tool that estimates the value of a property by reference to market data including sales of comparable properties and price trends specific to the Metropolitan Statistical Area in which the property being valued is located. In the event that an AVM value is not available, the Corporation utilizes publicized indices or if these methods provide less reliable valuations, the Corporation uses appraisals or broker price opinions to estimate the fair value of the collateral. While there is inherent imprecision in these valuations, the Corporation believes that they are representative of the portfolio in the aggregate. | ||
In addition to the allowance for loan and lease losses, the Corporation also estimates probable losses related to unfunded lending commitments, such as letters of credit and financial guarantees, and binding unfunded loan commitments. The reserve for unfunded lending commitments excludes commitments accounted for under the fair value option. Unfunded lending commitments are subject to individual reviews and are analyzed and segregated by risk according to the Corporation’s internal risk rating scale. These risk classifications, in conjunction with an analysis of historical loss experience, utilization assumptions, current economic conditions, performance trends within the portfolio and any other pertinent information, result in the estimation of the reserve for unfunded lending commitments. | ||
The allowance for credit losses related to the loan and lease portfolio is reported separately on the Consolidated Balance Sheet whereas the reserve for unfunded lending commitments is reported on the Consolidated Balance Sheet in accrued expenses and other liabilities. The provision for credit losses related to the loan and lease portfolio and unfunded lending commitments is reported in the Consolidated Statement of Income. | ||
Nonperforming Loans and Leases, Charge-offs and Delinquencies | ||
Nonperforming loans and leases generally include loans and leases that have been placed on nonaccrual status, including nonaccruing loans whose contractual terms have been restructured in a manner that grants a concession to a borrower experiencing financial difficulties. Loans accounted for under the fair value option, PCI loans and LHFS are not reported as nonperforming. | ||
In accordance with the Corporation’s policies, consumer real estate-secured loans, including residential mortgages and home equity loans, are generally placed on nonaccrual status and classified as nonperforming at 90 days past due unless repayment of the loan is insured by the Federal Housing Administration or through individually insured long-term standby agreements with Fannie Mae or Freddie Mac (the fully-insured portfolio). Residential mortgage loans in the fully-insured portfolio are not placed on nonaccrual status and, therefore, are not reported as nonperforming. Junior-lien home equity loans are placed on nonaccrual status and classified as nonperforming when the underlying first-lien mortgage loan becomes 90 days past due even if the junior-lien loan is current. Accrued interest receivable is reversed when a consumer loan is placed on nonaccrual status. Interest collections on nonaccruing consumer loans for which the ultimate collectability of principal is uncertain are generally applied as principal reductions; otherwise, such collections are credited to interest income when received. These loans may be restored to accrual status when all principal and interest is current and full repayment of the remaining contractual principal and interest is expected, or when the loan otherwise becomes well-secured and is in the process of collection. The outstanding balance of real estate-secured loans that is in excess of the estimated property value less costs to sell is charged off no later than the end of the month in which the loan becomes 180 days past due unless the loan is fully insured. The estimated property value less costs to sell is determined using the same process as described for impaired loans in Allowance for Credit Losses in this Note. | ||
Consumer loans secured by personal property, credit card loans and other unsecured consumer loans are not placed on nonaccrual status prior to charge-off and, therefore, are not reported as nonperforming loans, except for certain secured consumer loans, including those that have been modified in a TDR. Personal property-secured loans are charged off to collateral value no later than the end of the month in which the account becomes 120 days past due or, for loans in bankruptcy, 60 days past due. Credit card and other unsecured consumer loans are charged off no later than the end of the month in which the account becomes 180 days past due or within 60 days after receipt of notification of death or bankruptcy. | ||
Commercial loans and leases, excluding business card loans, that are past due 90 days or more as to principal or interest, or where reasonable doubt exists as to timely collection, including loans that are individually identified as being impaired, are generally placed on nonaccrual status and classified as nonperforming unless well-secured and in the process of collection. | ||
Accrued interest receivable is reversed when commercial loans and leases are placed on nonaccrual status. Interest collections on nonaccruing commercial loans and leases for which the ultimate collectability of principal is uncertain are applied as principal reductions; otherwise, such collections are credited to income when received. Commercial loans and leases may be restored to accrual status when all principal and interest is current and full repayment of the remaining contractual principal and interest is expected, or when the loan otherwise becomes well-secured and is in the process of collection. Business card loans are charged off no later than the end of the month in which the account becomes 180 days past due or 60 days after receipt of notification of death or bankruptcy. These loans are not placed on nonaccrual status prior to charge-off and, therefore, are not reported as nonperforming loans. Other commercial loans and leases are generally charged off when all or a portion of the principal amount is determined to be uncollectible. | ||
The entire balance of a consumer loan or commercial loan or lease is contractually delinquent if the minimum payment is not received by the specified due date on the customer’s billing statement. Interest and fees continue to accrue on past due loans and leases until the date the loan is placed on nonaccrual status, if applicable. | ||
PCI loans are recorded at fair value at the acquisition date. Although the PCI loans may be contractually delinquent, the Corporation does not classify these loans as nonperforming as the loans were written down to fair value at the acquisition date and the accretable yield is recognized in interest income over the remaining life of the loan. In addition, reported net charge-offs exclude write-offs on PCI loans as the fair value already considers the estimated credit losses. | ||
Troubled Debt Restructurings | ||
Consumer loans and commercial loans and leases whose contractual terms have been restructured in a manner that grants a concession to a borrower experiencing financial difficulties are classified as TDRs. Concessions could include a reduction in the interest rate to a rate that is below market on the loan, payment extensions, forgiveness of principal, forbearance or other actions designed to maximize collections. Secured consumer loans that have been discharged in Chapter 7 bankruptcy and have not been reaffirmed by the borrower are classified as TDRs at the time of discharge. Consumer real estate-secured loans for which a binding offer to restructure has been extended are also classified as TDRs. Loans classified as TDRs are considered impaired loans. Loans that are carried at fair value, LHFS and PCI loans are not classified as TDRs. | ||
Secured consumer loans whose contractual terms have been modified in a TDR and are current at the time of restructuring generally remain on accrual status if there is demonstrated performance prior to the restructuring and payment in full under the restructured terms is expected. Otherwise, the loans are placed on nonaccrual status and reported as nonperforming, except for the fully-insured loans, until there is sustained repayment performance for a reasonable period, generally six months. If accruing consumer TDRs cease to perform in accordance with their modified contractual terms, they are placed on nonaccrual status and reported as nonperforming TDRs. Consumer TDRs that bear a below-market rate of interest are generally reported as TDRs throughout their remaining lives. Secured consumer loans that have been discharged in Chapter 7 bankruptcy are placed on nonaccrual status and written down to the estimated collateral value less costs to sell no later than at the time of discharge. If these loans are contractually current, interest collections are generally recorded in interest income on a cash basis. Credit card and other unsecured consumer loans that have been renegotiated in a TDR are not placed on nonaccrual status. Credit card and other unsecured consumer loans that have been renegotiated and placed on a fixed payment plan after July 1, 2012 are generally charged off no later than the end of the month in which the account becomes 120 days past due. | ||
Commercial loans and leases whose contractual terms have been modified in a TDR are typically placed on nonaccrual status and reported as nonperforming until the loans or leases have performed for an adequate period of time under the restructured agreement, generally six months. If the borrower had demonstrated performance under the previous terms and the underwriting process shows the capacity to continue to perform under the modified terms, the loan may remain on accrual status. Accruing commercial TDRs are reported as performing TDRs through the end of the calendar year in which the loans are returned to accrual status. In addition, if accruing commercial TDRs bear less than a market rate of interest at the time of modification, they are reported as performing TDRs throughout their remaining lives unless and until they cease to perform in accordance with their modified contractual terms, at which time they are placed on nonaccrual status and reported as nonperforming TDRs. | ||
A loan that had previously been modified in a TDR and is subsequently refinanced under current underwriting standards at a market rate with no concessionary terms is accounted for as a new loan and is no longer reported as a TDR. | ||
Loans Held-for-sale | ||
Loans that are intended to be sold in the foreseeable future, including residential mortgages, loan syndications, and to a lesser degree, commercial real estate, consumer finance and other loans, are reported as LHFS and are carried at the lower of aggregate cost or fair value. The Corporation accounts for certain LHFS, including residential mortgage LHFS, under the fair value option. Loan origination costs related to LHFS that the Corporation accounts for under the fair value option are recognized in noninterest expense when incurred. Loan origination costs for LHFS carried at the lower of cost or fair value are capitalized as part of the carrying value of the loans and recognized as a reduction of noninterest income upon the sale of such loans. LHFS that are on nonaccrual status and are reported as nonperforming, as defined in the policy herein, are reported separately from nonperforming loans and leases. | ||
Premises and Equipment | ||
Premises and equipment are carried at cost less accumulated depreciation and amortization. Depreciation and amortization are recognized using the straight-line method over the estimated useful lives of the assets. Estimated lives range up to 40 years for buildings, up to 12 years for furniture and equipment, and the shorter of lease term or estimated useful life for leasehold improvements. | ||
The Corporation capitalizes the costs associated with certain computer hardware, software and internally developed software, and amortizes the costs over the expected useful life. Direct project costs of internally developed software are capitalized when it is probable that the project will be completed and the software will be used for its intended function. | ||
Mortgage Servicing Rights | ||
The Corporation accounts for consumer MSRs, including residential mortgage and home equity MSRs, at fair value with changes in fair value recorded in mortgage banking income. To reduce the volatility of earnings related to interest rate and market value fluctuations, U.S. Treasury securities, mortgage-backed securities and derivatives such as options and interest rate swaps may be used to hedge certain market risks of the MSRs. Such derivatives are not designated as qualifying accounting hedges. These instruments are carried at fair value with changes in fair value recognized in mortgage banking income. | ||
The Corporation estimates the fair value of consumer MSRs using a valuation model that calculates the present value of estimated future net servicing income and, when available, quoted prices from independent parties. The present value calculation is based on an option-adjusted spread (OAS) valuation approach that factors in prepayment risk. This approach consists of projecting servicing cash flows under multiple interest rate scenarios and discounting these cash flows using risk-adjusted discount rates. The key economic assumptions used in MSR valuations include weighted-average lives of the MSRs and the OAS levels. The OAS represents the spread that is added to the discount rate so that the sum of the discounted cash flows equals the market price; therefore, it is a measure of the extra yield over the reference discount factor that the Corporation expects to earn by holding the asset. | ||
Goodwill and Intangible Assets | ||
Goodwill is the purchase premium after adjusting for the fair value of net assets acquired. Goodwill is not amortized but is reviewed for potential impairment on an annual basis, or when events or circumstances indicate a potential impairment, at the reporting unit level. A reporting unit, as defined under applicable accounting guidance, is a business segment or one level below a business segment. The goodwill impairment analysis is a two-step test. The first step of the goodwill impairment test involves comparing the fair value of each reporting unit with its carrying value, including goodwill, as measured by allocated equity. In certain circumstances, the first step may be performed using a qualitative assessment. If the fair value of the reporting unit exceeds its carrying value, goodwill of the reporting unit is considered not impaired; however, if the carrying value of the reporting unit exceeds its fair value, the second step must be performed to measure potential impairment. | ||
The second step involves calculating an implied fair value of goodwill for each reporting unit for which the first step indicated possible impairment. The implied fair value of goodwill is determined in the same manner as the amount of goodwill recognized in a business combination, which is the excess of the fair value of the reporting unit, as determined in the first step, over the aggregate fair values of the assets, liabilities and identifiable intangibles as if the reporting unit was being acquired in a business combination. Measurement of the fair values of the assets and liabilities of a reporting unit is consistent with the requirements of the fair value measurements accounting guidance, as described in Fair Value in this Note. The adjustments to measure the assets, liabilities and intangibles at fair value are for the purpose of measuring the implied fair value of goodwill and such adjustments are not reflected on the Consolidated Balance Sheet. If the implied fair value of goodwill exceeds the goodwill assigned to the reporting unit, there is no impairment. If the goodwill assigned to a reporting unit exceeds the implied fair value of goodwill, an impairment charge is recorded for the excess. An impairment loss recognized cannot exceed the amount of goodwill assigned to a reporting unit. An impairment loss establishes a new basis in the goodwill and subsequent reversals of goodwill impairment losses are not permitted under applicable accounting guidance. | ||
For intangible assets subject to amortization, an impairment loss is recognized if the carrying value of the intangible asset is not recoverable and exceeds fair value. The carrying value of the intangible asset is considered not recoverable if it exceeds the sum of the undiscounted cash flows expected to result from the use of the asset. | ||
Variable Interest Entities | ||
A VIE is an entity that lacks equity investors or whose equity investors do not have a controlling financial interest in the entity through their equity investments. The entity that has a controlling financial interest in a VIE is referred to as the primary beneficiary and consolidates the VIE. The Corporation is deemed to have a controlling financial interest and is the primary beneficiary of a VIE if it has both the power to direct the activities of the VIE that most significantly impact the VIE’s economic performance and an obligation to absorb losses or the right to receive benefits that could potentially be significant to the VIE. On a quarterly basis, the Corporation reassesses whether it has a controlling financial interest in and is the primary beneficiary of a VIE. The quarterly reassessment process considers whether the Corporation has acquired or divested the power to direct the activities of the VIE through changes in governing documents or other circumstances. The reassessment also considers whether the Corporation has acquired or disposed of a financial interest that could be significant to the VIE, or whether an interest in the VIE has become significant or is no longer significant. The consolidation status of the VIEs with which the Corporation is involved may change as a result of such reassessments. Changes in consolidation status are applied prospectively, with assets and liabilities of a newly consolidated VIE initially recorded at fair value. A gain or loss may be recognized upon deconsolidation of a VIE depending on the carrying values of deconsolidated assets and liabilities compared to the fair value of retained interests and ongoing contractual arrangements. | ||
The Corporation primarily uses VIEs for its securitization activities, in which the Corporation transfers whole loans or debt securities into a trust or other vehicle such that the assets are legally isolated from the creditors of the Corporation. Assets held in a trust can only be used to settle obligations of the trust. The creditors of these trusts typically have no recourse to the Corporation except in accordance with the Corporation’s obligations under standard representations and warranties. | ||
When the Corporation is the servicer of whole loans held in a securitization trust, including non-agency residential mortgages, home equity loans, credit cards, automobile loans and student loans, the Corporation has the power to direct the most significant activities of the trust. The Corporation generally does not have the power to direct the most significant activities of a residential mortgage agency trust except in certain circumstances in which the Corporation holds substantially all of the issued securities and has the unilateral right to liquidate the trust. The power to direct the most significant activities of a commercial mortgage securitization trust is typically held by the special servicer or by the party holding specific subordinate securities which embody certain controlling rights. The Corporation consolidates a whole-loan securitization trust if it has the power to direct the most significant activities and also holds securities issued by the trust or has other contractual arrangements, other than standard representations and warranties, that could potentially be significant to the trust. | ||
The Corporation may also transfer trading account securities and AFS securities into municipal bond or resecuritization trusts. The Corporation consolidates a municipal bond or resecuritization trust if it has control over the ongoing activities of the trust such as the remarketing of the trust’s liabilities or, if there are no ongoing activities, sole discretion over the design of the trust, including the identification of securities to be transferred in and the structure of securities to be issued, and also retains securities or has liquidity or other commitments that could potentially be significant to the trust. The Corporation does not consolidate a municipal bond or resecuritization trust if one or a limited number of third-party investors share responsibility for the design of the trust or have control over the significant activities of the trust through liquidation or other substantive rights. | ||
Other VIEs used by the Corporation include collateralized debt obligations (CDOs), investment vehicles created on behalf of customers and other investment vehicles. The Corporation does not routinely serve as collateral manager for CDOs and, therefore, does not typically have the power to direct the activities that most significantly impact the economic performance of a CDO. However, following an event of default, if the Corporation is a majority holder of senior securities issued by a CDO and acquires the power to manage the assets of the CDO, the Corporation consolidates the CDO. | ||
The Corporation consolidates a customer or other investment vehicle if it has control over the initial design of the vehicle or manages the assets in the vehicle and also absorbs potentially significant gains or losses through an investment in the vehicle, derivative contracts or other arrangements. The Corporation does not consolidate an investment vehicle if a single investor controlled the initial design of the vehicle or manages the assets in the vehicles or if the Corporation does not have a variable interest that could potentially be significant to the vehicle. | ||
Retained interests in securitized assets are initially recorded at fair value. In addition, the Corporation may invest in debt securities issued by unconsolidated VIEs. Fair values of these debt securities, which are classified as trading account assets, debt securities carried at fair value or held-to-maturity securities, are based primarily on quoted market prices in active or inactive markets. Generally, quoted market prices for retained residual interests are not available; therefore, the Corporation estimates fair values based on the present value of the associated expected future cash flows. This may require management to estimate credit losses, prepayment speeds, forward interest yield curves, discount rates and other factors that impact the value of retained interests. Retained residual interests in unconsolidated securitization trusts are classified in trading account assets or other assets with changes in fair value recorded in earnings. The Corporation may also enter into derivatives with unconsolidated VIEs, which are carried at fair value with changes in fair value recorded in earnings. | ||
Fair Value | ||
The Corporation measures the fair values of its assets and liabilities, where applicable, in accordance with accounting guidance that requires an entity to base fair value on exit price. A three-level hierarchy, provided in the applicable accounting guidance, for inputs is utilized in measuring fair value which maximizes the use of observable inputs and minimizes the use of unobservable inputs by requiring that observable inputs be used to determine the exit price when available. Under applicable accounting guidance, the Corporation categorizes its financial instruments, based on the priority of inputs to the valuation technique, into this three-level hierarchy, as described below. Trading account assets and liabilities, derivative assets and liabilities, AFS debt and equity securities, other debt securities carried at fair value, consumer MSRs and certain other assets are carried at fair value in accordance with applicable accounting guidance. The Corporation has also elected to account for certain assets and liabilities under the fair value option, including certain commercial and consumer loans and loan commitments, LHFS, short-term borrowings, securities financing agreements, long-term deposits and long-term debt. The following describes the three-level hierarchy. | ||
Level 1 | Unadjusted quoted prices in active markets for identical assets or liabilities. Level 1 assets and liabilities include debt and equity securities and derivative contracts that are traded in an active exchange market, as well as certain U.S. Treasury securities that are highly liquid and are actively traded in OTC markets. | |
Level 2 | Observable inputs other than Level 1 prices, such as quoted prices for similar assets or liabilities, quoted prices in markets that are not active, or other inputs that are observable or can be corroborated by observable market data for substantially the full term of the assets or liabilities. Level 2 assets and liabilities include debt securities with quoted prices that are traded less frequently than exchange-traded instruments and derivative contracts where fair value is determined using a pricing model with inputs that are observable in the market or can be derived principally from or corroborated by observable market data. This category generally includes U.S. government and agency mortgage-backed and asset-backed securities, corporate debt securities, derivative contracts, certain loans and LHFS. | |
Level 3 | Unobservable inputs that are supported by little or no market activity and that are significant to the overall fair value of the assets or liabilities. Level 3 assets and liabilities include financial instruments for which the determination of fair value requires significant management judgment or estimation. The fair value for such assets and liabilities is generally determined using pricing models, market comparables, discounted cash flow methodologies or similar techniques that incorporate the assumptions a market participant would use in pricing the asset or liability. This category generally includes certain private equity investments and other principal investments, retained residual interests in securitizations, consumer MSRs, certain asset-backed securities, highly structured, complex or long-dated derivative contracts, certain loans and LHFS, IRLCs and certain CDOs where independent pricing information cannot be obtained for a significant portion of the underlying assets. | |
Income Taxes | ||
There are two components of income tax expense: current and deferred. Current income tax expense reflects taxes to be paid or refunded for the current period. Deferred income tax expense results from changes in deferred tax assets and liabilities between periods. These gross deferred tax assets and liabilities represent decreases or increases in taxes expected to be paid in the future because of future reversals of temporary differences in the bases of assets and liabilities as measured by tax laws and their bases as reported in the financial statements. Deferred tax assets are also recognized for tax attributes such as net operating loss carryforwards and tax credit carryforwards. Valuation allowances are recorded to reduce deferred tax assets to the amounts management concludes are more-likely-than-not to be realized. | ||
Income tax benefits are recognized and measured based upon a two-step model: first, a tax position must be more-likely-than-not to be sustained based solely on its technical merits in order to be recognized, and second, the benefit is measured as the largest dollar amount of that position that is more-likely-than-not to be sustained upon settlement. The difference between the benefit recognized and the tax benefit claimed on a tax return is referred to as an unrecognized tax benefit. The Corporation records income tax-related interest and penalties, if applicable, within income tax expense. | ||
Retirement Benefits | ||
The Corporation has retirement plans covering substantially all full-time and certain part-time employees. Pension expense under these plans is charged to current operations and consists of several components of net pension cost based on various actuarial assumptions regarding future experience under the plans. | ||
In addition, the Corporation has unfunded supplemental benefit plans and supplemental executive retirement plans (SERPs) for selected officers of the Corporation and its subsidiaries that provide benefits that cannot be paid from a qualified retirement plan due to Internal Revenue Code restrictions. The Corporation’s current executive officers do not earn additional retirement income under SERPs. These plans are nonqualified under the Internal Revenue Code and assets used to fund benefit payments are not segregated from other assets of the Corporation; therefore, in general, a participant’s or beneficiary’s claim to benefits under these plans is as a general creditor. In addition, the Corporation has several postretirement healthcare and life insurance benefit plans. | ||
Accumulated Other Comprehensive Income | ||
The Corporation records unrealized gains and losses on AFS debt and marketable equity securities, gains and losses on cash flow accounting hedges, certain employee benefit plan adjustments, foreign currency translation adjustments and related hedges of net investments in foreign operations, and the cumulative adjustment related to certain accounting changes in accumulated OCI, net-of-tax. Unrealized gains and losses on AFS debt and marketable equity securities are reclassified to earnings as the gains or losses are realized upon sale of the securities. Unrealized losses on AFS securities deemed to represent OTTI are reclassified to earnings at the time of the impairment charge. For AFS debt securities that the Corporation does not intend to sell or it is not more-likely-than-not that it will be required to sell, only the credit component of an unrealized loss is reclassified to earnings. Gains or losses on derivatives accounted for as cash flow hedges are reclassified to earnings when the hedged transaction affects earnings. Translation gains or losses on foreign currency translation adjustments are reclassified to earnings upon the substantial sale or liquidation of investments in foreign operations. | ||
Revenue Recognition | ||
The following summarizes the Corporation’s revenue recognition policies as they relate to certain noninterest income line items in the Consolidated Statement of Income. | ||
Card income is derived from fees such as interchange, cash advance, annual, late, over-limit and other miscellaneous fees, which are recorded as revenue when earned, primarily on an accrual basis. Uncollected fees are included in the customer card receivables balances with an amount recorded in the allowance for loan and lease losses for estimated uncollectible card receivables. Uncollected fees are written off when a card receivable reaches 180 days past due. | ||
Service charges include fees for insufficient funds, overdrafts and other banking services and are recorded as revenue when earned. Uncollected fees are included in outstanding loan balances with an amount recorded for estimated uncollectible service fees receivable. Uncollected fees are written off when a fee receivable reaches 60 days past due. | ||
Investment and brokerage services revenue consists primarily of asset management fees and brokerage income that are recognized over the period the services are provided or when commissions are earned. Asset management fees consist primarily of fees for investment management and trust services and are generally based on the dollar amount of the assets being managed. Brokerage income is generally derived from commissions and fees earned on the sale of various financial products. | ||
Investment banking income consists primarily of advisory and underwriting fees that are recognized in income as the services are provided and no contingencies exist. Revenues are generally recognized net of any direct expenses. Non-reimbursed expenses are recorded as noninterest expense. | ||
Earnings Per Common Share | ||
Earnings per common share (EPS) is computed by dividing net income (loss) allocated to common shareholders by the weighted-average common shares outstanding, except that it does not include unvested common shares subject to repurchase or cancellation. Net income (loss) allocated to common shareholders represents net income (loss) applicable to common shareholders which is net income (loss) adjusted for preferred stock dividends including dividends declared, accretion of discounts on preferred stock including accelerated accretion when preferred stock is repaid early, and cumulative dividends related to the current dividend period that have not been declared as of period end, less income allocated to participating securities (see below for more information). Diluted EPS is computed by dividing income (loss) allocated to common shareholders plus dividends on dilutive convertible preferred stock and preferred stock that can be tendered to exercise warrants, by the weighted-average common shares outstanding plus amounts representing the dilutive effect of stock options outstanding, restricted stock, restricted stock units, outstanding warrants and the dilution resulting from the conversion of convertible preferred stock, if applicable. | ||
Unvested share-based payment awards that contain nonforfeitable rights to dividends are participating securities that are included in computing EPS using the two-class method. The two-class method is an earnings allocation formula under which EPS is calculated for common stock and participating securities according to dividends declared and participating rights in undistributed earnings. Under this method, all earnings, distributed and undistributed, are allocated to participating securities and common shares based on their respective rights to receive dividends. | ||
In an exchange of non-convertible preferred stock, income allocated to common shareholders is adjusted for the difference between the carrying value of the preferred stock and the fair value of the consideration exchanged. In an induced conversion of convertible preferred stock, income allocated to common shareholders is reduced by the excess of the fair value of the consideration exchanged over the fair value of the common stock that would have been issued under the original conversion terms. | ||
Foreign Currency Translation | ||
Assets, liabilities and operations of foreign branches and subsidiaries are recorded based on the functional currency of each entity. For certain of the foreign operations, the functional currency is the local currency, in which case the assets, liabilities and operations are translated, for consolidation purposes, from the local currency to the U.S. Dollar reporting currency at period-end rates for assets and liabilities and generally at average rates for results of operations. The resulting unrealized gains or losses, as well as gains and losses from certain hedges, are reported as a component of accumulated OCI, net-of-tax. When the foreign entity’s functional currency is determined to be the U.S. Dollar, the resulting remeasurement gains or losses on foreign currency-denominated assets or liabilities are included in earnings. | ||
Credit Card and Deposit Arrangements | ||
Endorsing Organization Agreements | ||
The Corporation contracts with other organizations to obtain their endorsement of the Corporation’s loan and deposit products. This endorsement may provide to the Corporation exclusive rights to market to the organization’s members or to customers on behalf of the Corporation. These organizations endorse the Corporation’s loan and deposit products and provide the Corporation with their mailing lists and marketing activities. These agreements generally have terms that range from two to five years. The Corporation typically pays royalties in exchange for the endorsement. Compensation costs related to the credit card agreements are recorded as contra-revenue in card income. | ||
Cardholder Reward Agreements | ||
The Corporation offers reward programs that allow its cardholders to earn points that can be redeemed for a broad range of rewards including cash, travel and gift cards. The Corporation establishes a rewards liability based upon the points earned that are expected to be redeemed and the average cost per point redeemed. The points to be redeemed are estimated based on past redemption behavior, card product type, account transaction activity and other historical card performance. The liability is reduced as the points are redeemed. The estimated cost of the rewards programs is recorded as contra-revenue in card income. |
Derivatives
Derivatives | 12 Months Ended | |||||||||||||||||||||||||||
Dec. 31, 2014 | ||||||||||||||||||||||||||||
Derivative Instruments and Hedging Activities Disclosure [Abstract] | ||||||||||||||||||||||||||||
Derivatives | Derivatives | |||||||||||||||||||||||||||
Derivative Balances | ||||||||||||||||||||||||||||
Derivatives are entered into on behalf of customers, for trading, or to support risk management activities. Derivatives used in risk management activities include derivatives that may or may not be designated in qualifying hedge accounting relationships. Derivatives that are not designated in qualifying hedge accounting relationships are referred to as other risk management derivatives. For more information on the Corporation’s derivatives and hedging activities, see Note 1 – Summary of Significant Accounting Principles. The following tables present derivative instruments included on the Consolidated Balance Sheet in derivative assets and liabilities at December 31, 2014 and 2013. Balances are presented on a gross basis, prior to the application of counterparty and cash collateral netting. Total derivative assets and liabilities are adjusted on an aggregate basis to take into consideration the effects of legally enforceable master netting agreements and have been reduced by the cash collateral received or paid. | ||||||||||||||||||||||||||||
December 31, 2014 | ||||||||||||||||||||||||||||
Gross Derivative Assets | Gross Derivative Liabilities | |||||||||||||||||||||||||||
(Dollars in billions) | Contract/ | Trading and Other Risk Management Derivatives | Qualifying | Total | Trading and Other Risk Management Derivatives | Qualifying | Total | |||||||||||||||||||||
Notional (1) | Accounting | Accounting | ||||||||||||||||||||||||||
Hedges | Hedges | |||||||||||||||||||||||||||
Interest rate contracts | ||||||||||||||||||||||||||||
Swaps | $ | 29,445.40 | $ | 658.5 | $ | 8.5 | $ | 667 | $ | 658.2 | $ | 0.5 | $ | 658.7 | ||||||||||||||
Futures and forwards | 10,159.40 | 1.7 | — | 1.7 | 2 | — | 2 | |||||||||||||||||||||
Written options | 1,725.20 | — | — | — | 85.4 | — | 85.4 | |||||||||||||||||||||
Purchased options | 1,739.80 | 85.6 | — | 85.6 | — | — | — | |||||||||||||||||||||
Foreign exchange contracts | ||||||||||||||||||||||||||||
Swaps | 2,159.10 | 51.5 | 0.8 | 52.3 | 54.6 | 1.9 | 56.5 | |||||||||||||||||||||
Spot, futures and forwards | 4,226.40 | 68.9 | 1.5 | 70.4 | 72.4 | 0.2 | 72.6 | |||||||||||||||||||||
Written options | 600.7 | — | — | — | 16 | — | 16 | |||||||||||||||||||||
Purchased options | 584.6 | 15.1 | — | 15.1 | — | — | — | |||||||||||||||||||||
Equity contracts | ||||||||||||||||||||||||||||
Swaps | 193.7 | 3.2 | — | 3.2 | 4 | — | 4 | |||||||||||||||||||||
Futures and forwards | 69.5 | 2.1 | — | 2.1 | 1.8 | — | 1.8 | |||||||||||||||||||||
Written options | 341 | — | — | — | 26 | — | 26 | |||||||||||||||||||||
Purchased options | 318.4 | 27.9 | — | 27.9 | — | — | — | |||||||||||||||||||||
Commodity contracts | ||||||||||||||||||||||||||||
Swaps | 74.3 | 5.8 | — | 5.8 | 8.5 | — | 8.5 | |||||||||||||||||||||
Futures and forwards | 376.5 | 4.5 | — | 4.5 | 1.8 | — | 1.8 | |||||||||||||||||||||
Written options | 129.5 | — | — | — | 11.5 | — | 11.5 | |||||||||||||||||||||
Purchased options | 141.3 | 10.7 | — | 10.7 | — | — | — | |||||||||||||||||||||
Credit derivatives | ||||||||||||||||||||||||||||
Purchased credit derivatives: | ||||||||||||||||||||||||||||
Credit default swaps | 1,094.80 | 13.3 | — | 13.3 | 23.4 | — | 23.4 | |||||||||||||||||||||
Total return swaps/other | 44.3 | 0.2 | — | 0.2 | 1.4 | — | 1.4 | |||||||||||||||||||||
Written credit derivatives: | ||||||||||||||||||||||||||||
Credit default swaps | 1,073.10 | 24.5 | — | 24.5 | 11.9 | — | 11.9 | |||||||||||||||||||||
Total return swaps/other | 61 | 0.5 | — | 0.5 | 0.3 | — | 0.3 | |||||||||||||||||||||
Gross derivative assets/liabilities | $ | 974 | $ | 10.8 | $ | 984.8 | $ | 979.2 | $ | 2.6 | $ | 981.8 | ||||||||||||||||
Less: Legally enforceable master netting agreements | (884.8 | ) | (884.8 | ) | ||||||||||||||||||||||||
Less: Cash collateral received/paid | (47.3 | ) | (50.1 | ) | ||||||||||||||||||||||||
Total derivative assets/liabilities | $ | 52.7 | $ | 46.9 | ||||||||||||||||||||||||
(1) | Represents the total contract/notional amount of derivative assets and liabilities outstanding. | |||||||||||||||||||||||||||
December 31, 2013 | ||||||||||||||||||||||||||||
Gross Derivative Assets | Gross Derivative Liabilities | |||||||||||||||||||||||||||
(Dollars in billions) | Contract/ | Trading and Other Risk Management Derivatives | Qualifying | Total | Trading and Other Risk Management Derivatives | Qualifying | Total | |||||||||||||||||||||
Notional (1) | Accounting | Accounting | ||||||||||||||||||||||||||
Hedges | Hedges | |||||||||||||||||||||||||||
Interest rate contracts | ||||||||||||||||||||||||||||
Swaps | $ | 33,272.00 | $ | 659.9 | $ | 7.5 | $ | 667.4 | $ | 658.4 | $ | 0.9 | $ | 659.3 | ||||||||||||||
Futures and forwards | 8,217.60 | 1.6 | — | 1.6 | 1.5 | — | 1.5 | |||||||||||||||||||||
Written options | 2,065.40 | — | — | — | 64.4 | — | 64.4 | |||||||||||||||||||||
Purchased options | 2,028.30 | 65.4 | — | 65.4 | — | — | — | |||||||||||||||||||||
Foreign exchange contracts | ||||||||||||||||||||||||||||
Swaps | 2,284.10 | 43.1 | 1 | 44.1 | 42.7 | 1 | 43.7 | |||||||||||||||||||||
Spot, futures and forwards | 2,922.50 | 32.5 | 0.7 | 33.2 | 33.5 | 1.1 | 34.6 | |||||||||||||||||||||
Written options | 412.4 | — | — | — | 9.2 | — | 9.2 | |||||||||||||||||||||
Purchased options | 392.4 | 8.8 | — | 8.8 | — | — | — | |||||||||||||||||||||
Equity contracts | ||||||||||||||||||||||||||||
Swaps | 162 | 3.6 | — | 3.6 | 4.2 | — | 4.2 | |||||||||||||||||||||
Futures and forwards | 71.4 | 1.1 | — | 1.1 | 1.4 | — | 1.4 | |||||||||||||||||||||
Written options | 315.6 | — | — | — | 29.6 | — | 29.6 | |||||||||||||||||||||
Purchased options | 266.7 | 30.4 | — | 30.4 | — | — | — | |||||||||||||||||||||
Commodity contracts | ||||||||||||||||||||||||||||
Swaps | 73.1 | 3.8 | — | 3.8 | 5.7 | — | 5.7 | |||||||||||||||||||||
Futures and forwards | 454.4 | 4.7 | — | 4.7 | 2.5 | — | 2.5 | |||||||||||||||||||||
Written options | 157.3 | — | — | — | 5 | — | 5 | |||||||||||||||||||||
Purchased options | 164 | 5.2 | — | 5.2 | — | — | — | |||||||||||||||||||||
Credit derivatives | ||||||||||||||||||||||||||||
Purchased credit derivatives: | ||||||||||||||||||||||||||||
Credit default swaps | 1,305.10 | 15.7 | — | 15.7 | 28.1 | — | 28.1 | |||||||||||||||||||||
Total return swaps/other | 38.1 | 2 | — | 2 | 3.2 | — | 3.2 | |||||||||||||||||||||
Written credit derivatives: | ||||||||||||||||||||||||||||
Credit default swaps | 1,265.40 | 29.3 | — | 29.3 | 13.8 | — | 13.8 | |||||||||||||||||||||
Total return swaps/other | 63.4 | 4 | — | 4 | 0.2 | — | 0.2 | |||||||||||||||||||||
Gross derivative assets/liabilities | $ | 911.1 | $ | 9.2 | $ | 920.3 | $ | 903.4 | $ | 3 | $ | 906.4 | ||||||||||||||||
Less: Legally enforceable master netting agreements | (825.5 | ) | (825.5 | ) | ||||||||||||||||||||||||
Less: Cash collateral received/paid | (47.3 | ) | (43.5 | ) | ||||||||||||||||||||||||
Total derivative assets/liabilities | $ | 47.5 | $ | 37.4 | ||||||||||||||||||||||||
(1) | Represents the total contract/notional amount of derivative assets and liabilities outstanding. | |||||||||||||||||||||||||||
Offsetting of Derivatives | ||||||||||||||||||||||||||||
The Corporation enters into International Swaps and Derivatives Association, Inc. (ISDA) master netting agreements or similar agreements with substantially all of the Corporation’s derivative counterparties. Where legally enforceable, these master netting agreements give the Corporation, in the event of default by the counterparty, the right to liquidate securities held as collateral and to offset receivables and payables with the same counterparty. For purposes of the Consolidated Balance Sheet, the Corporation offsets derivative assets and liabilities and cash collateral held with the same counterparty where it has such a legally enforceable master netting agreement. | ||||||||||||||||||||||||||||
The Offsetting of Derivatives table presents derivative instruments included in derivative assets and liabilities on the Consolidated Balance Sheet at December 31, 2014 and 2013 by primary risk (e.g., interest rate risk) and the platform, where applicable, on which these derivatives are transacted. Exchange-traded derivatives include listed options transacted on an exchange. Over-the-counter (OTC) derivatives include bilateral transactions between the Corporation and a particular counterparty. OTC-cleared derivatives include bilateral transactions between the Corporation and a counterparty where the transaction is cleared through a clearinghouse. Balances are presented on a gross basis, prior to the application of counterparty and cash collateral netting. Total gross derivative assets and liabilities are adjusted on an aggregate basis to take into consideration the effects of legally enforceable master netting agreements which includes reducing the balance for counterparty netting and cash collateral received or paid. | ||||||||||||||||||||||||||||
Other gross derivative assets and liabilities in the table represent derivatives entered into under master netting agreements where uncertainty exists as to the enforceability of these agreements under bankruptcy laws in some countries or industries and, accordingly, receivables and payables with counterparties in these countries or industries are reported on a gross basis. | ||||||||||||||||||||||||||||
Also included in the table is financial instrument collateral related to legally enforceable master netting agreements that represents securities collateral received or pledged and customer cash collateral held at third-party custodians. These amounts are not offset on the Consolidated Balance Sheet but are shown as a reduction to total derivative assets and liabilities in the table to derive net derivative assets and liabilities. | ||||||||||||||||||||||||||||
For more information on offsetting of securities financing agreements, see Note 10 – Federal Funds Sold or Purchased, Securities Financing Agreements and Short-term Borrowings. | ||||||||||||||||||||||||||||
Offsetting of Derivatives | ||||||||||||||||||||||||||||
December 31, 2014 | December 31, 2013 | |||||||||||||||||||||||||||
(Dollars in billions) | Derivative | Derivative Liabilities | Derivative | Derivative Liabilities | ||||||||||||||||||||||||
Assets | Assets | |||||||||||||||||||||||||||
Interest rate contracts | ||||||||||||||||||||||||||||
Over-the-counter | $ | 386.6 | $ | 373.2 | $ | 381.7 | $ | 365.9 | ||||||||||||||||||||
Exchange-traded | 0.1 | 0.1 | 0.4 | 0.3 | ||||||||||||||||||||||||
Over-the-counter cleared | 365.7 | 368.7 | 351.2 | 356.5 | ||||||||||||||||||||||||
Foreign exchange contracts | ||||||||||||||||||||||||||||
Over-the-counter | 133 | 139.9 | 82.9 | 83.9 | ||||||||||||||||||||||||
Equity contracts | ||||||||||||||||||||||||||||
Over-the-counter | 19.5 | 16.7 | 20.3 | 17.6 | ||||||||||||||||||||||||
Exchange-traded | 8.6 | 7.8 | 8.4 | 9.8 | ||||||||||||||||||||||||
Commodity contracts | ||||||||||||||||||||||||||||
Over-the-counter | 10.2 | 11.9 | 6.3 | 7.4 | ||||||||||||||||||||||||
Exchange-traded | 7.4 | 7.7 | 3.3 | 2.9 | ||||||||||||||||||||||||
Over-the-counter cleared | 0.1 | 0.6 | — | — | ||||||||||||||||||||||||
Credit derivatives | ||||||||||||||||||||||||||||
Over-the-counter | 30.8 | 30.2 | 44 | 38.9 | ||||||||||||||||||||||||
Over-the-counter cleared | 7 | 6.8 | 5.8 | 5.9 | ||||||||||||||||||||||||
Total gross derivative assets/liabilities, before netting | ||||||||||||||||||||||||||||
Over-the-counter | 580.1 | 571.9 | 535.2 | 513.7 | ||||||||||||||||||||||||
Exchange-traded | 16.1 | 15.6 | 12.1 | 13 | ||||||||||||||||||||||||
Over-the-counter cleared | 372.8 | 376.1 | 357 | 362.4 | ||||||||||||||||||||||||
Less: Legally enforceable master netting agreements and cash collateral received/paid | ||||||||||||||||||||||||||||
Over-the-counter | (545.7 | ) | (545.5 | ) | (505.0 | ) | (495.4 | ) | ||||||||||||||||||||
Exchange-traded | (13.9 | ) | (13.9 | ) | (11.2 | ) | (11.2 | ) | ||||||||||||||||||||
Over-the-counter cleared | (372.5 | ) | (375.5 | ) | (356.6 | ) | (362.4 | ) | ||||||||||||||||||||
Derivative assets/liabilities, after netting | 36.9 | 28.7 | 31.5 | 20.1 | ||||||||||||||||||||||||
Other gross derivative assets/liabilities | 15.8 | 18.2 | 16 | 17.3 | ||||||||||||||||||||||||
Total derivative assets/liabilities | 52.7 | 46.9 | 47.5 | 37.4 | ||||||||||||||||||||||||
Less: Financial instruments collateral (1) | (13.3 | ) | (8.9 | ) | (10.1 | ) | (4.6 | ) | ||||||||||||||||||||
Total net derivative assets/liabilities | $ | 39.4 | $ | 38 | $ | 37.4 | $ | 32.8 | ||||||||||||||||||||
(1) | These amounts are limited to the derivative asset/liability balance and, accordingly, do not include excess collateral received/pledged. | |||||||||||||||||||||||||||
ALM and Risk Management Derivatives | ||||||||||||||||||||||||||||
The Corporation’s asset and liability management (ALM) and risk management activities include the use of derivatives to mitigate risk to the Corporation including derivatives designated in qualifying hedge accounting relationships and derivatives used in other risk management activities. Interest rate, foreign exchange, equity, commodity and credit contracts are utilized in the Corporation’s ALM and risk management activities. | ||||||||||||||||||||||||||||
The Corporation maintains an overall interest rate risk management strategy that incorporates the use of interest rate contracts, which are generally non-leveraged generic interest rate and basis swaps, options, futures and forwards, to minimize significant fluctuations in earnings caused by interest rate volatility. The Corporation’s goal is to manage interest rate sensitivity and volatility so that movements in interest rates do not significantly adversely affect earnings or capital. As a result of interest rate fluctuations, hedged fixed-rate assets and liabilities appreciate or depreciate in fair value. Gains or losses on the derivative instruments that are linked to the hedged fixed-rate assets and liabilities are expected to substantially offset this unrealized appreciation or depreciation. | ||||||||||||||||||||||||||||
Market risk, including interest rate risk, can be substantial in the mortgage business. Market risk is the risk that values of mortgage assets or revenues will be adversely affected by changes in market conditions such as interest rate movements. To mitigate the interest rate risk in mortgage banking production income, the Corporation utilizes forward loan sale commitments and other derivative instruments, including purchased options, and certain debt securities. The Corporation also utilizes derivatives such as interest rate options, interest rate swaps, forward settlement contracts and eurodollar futures to hedge certain market risks of mortgage servicing rights (MSRs). For more information on MSRs, see Note 23 – Mortgage Servicing Rights. | ||||||||||||||||||||||||||||
The Corporation uses foreign exchange contracts to manage the foreign exchange risk associated with certain foreign currency-denominated assets and liabilities, as well as the Corporation’s investments in non-U.S. subsidiaries. Foreign exchange contracts, which include spot and forward contracts, represent agreements to exchange the currency of one country for the currency of another country at an agreed-upon price on an agreed-upon settlement date. Exposure to loss on these contracts will increase or decrease over their respective lives as currency exchange and interest rates fluctuate. | ||||||||||||||||||||||||||||
The Corporation enters into derivative commodity contracts such as futures, swaps, options and forwards as well as non-derivative commodity contracts to provide price risk management services to customers or to manage price risk associated with its physical and financial commodity positions. The non-derivative commodity contracts and physical inventories of commodities expose the Corporation to earnings volatility. Cash flow and fair value accounting hedges provide a method to mitigate a portion of this earnings volatility. | ||||||||||||||||||||||||||||
The Corporation purchases credit derivatives to manage credit risk related to certain funded and unfunded credit exposures. Credit derivatives include credit default swaps (CDS), total return swaps and swaptions. These derivatives are recorded on the Consolidated Balance Sheet at fair value with changes in fair value recorded in other income (loss). | ||||||||||||||||||||||||||||
Derivatives Designated as Accounting Hedges | ||||||||||||||||||||||||||||
The Corporation uses various types of interest rate, commodity and foreign exchange derivative contracts to protect against changes in the fair value of its assets and liabilities due to fluctuations in interest rates, commodity prices and exchange rates (fair value hedges). The Corporation also uses these types of contracts and equity derivatives to protect against changes in the cash flows of its assets and liabilities, and other forecasted transactions (cash flow hedges). The Corporation hedges its net investment in consolidated non-U.S. operations determined to have functional currencies other than the U.S. Dollar using forward exchange contracts and cross-currency basis swaps, and by issuing foreign currency-denominated debt (net investment hedges). | ||||||||||||||||||||||||||||
Fair Value Hedges | ||||||||||||||||||||||||||||
The table below summarizes information related to fair value hedges for 2014, 2013 and 2012, including hedges of interest rate risk on long-term debt that were acquired as part of a business combination and redesignated. At redesignation, the fair value of the derivatives was positive. As the derivatives mature, the fair value will approach zero. As a result, ineffectiveness will occur and the fair value changes in the derivatives and the long-term debt being hedged may be directionally the same in certain scenarios. Based on a regression analysis, the derivatives continue to be highly effective at offsetting changes in the fair value of the long-term debt attributable to interest rate risk. | ||||||||||||||||||||||||||||
Derivatives Designated as Fair Value Hedges | ||||||||||||||||||||||||||||
Gains (Losses) | 2014 | |||||||||||||||||||||||||||
(Dollars in millions) | Derivative | Hedged | Hedge | |||||||||||||||||||||||||
Item | Ineffectiveness | |||||||||||||||||||||||||||
Interest rate risk on long-term debt (1) | $ | 2,144 | $ | (2,935 | ) | $ | (791 | ) | ||||||||||||||||||||
Interest rate and foreign currency risk on long-term debt (1) | (2,212 | ) | 2,120 | (92 | ) | |||||||||||||||||||||||
Interest rate risk on available-for-sale securities (2) | (35 | ) | 3 | (32 | ) | |||||||||||||||||||||||
Price risk on commodity inventory (3) | 21 | (15 | ) | 6 | ||||||||||||||||||||||||
Total | $ | (82 | ) | $ | (827 | ) | $ | (909 | ) | |||||||||||||||||||
2013 | ||||||||||||||||||||||||||||
Interest rate risk on long-term debt (1) | $ | (4,704 | ) | $ | 3,925 | $ | (779 | ) | ||||||||||||||||||||
Interest rate and foreign currency risk on long-term debt (1) | (1,291 | ) | 1,085 | (206 | ) | |||||||||||||||||||||||
Interest rate risk on available-for-sale securities (2) | 839 | (840 | ) | (1 | ) | |||||||||||||||||||||||
Price risk on commodity inventory (3) | (13 | ) | 11 | (2 | ) | |||||||||||||||||||||||
Total | $ | (5,169 | ) | $ | 4,181 | $ | (988 | ) | ||||||||||||||||||||
2012 | ||||||||||||||||||||||||||||
Interest rate risk on long-term debt (1) | $ | (195 | ) | $ | (770 | ) | $ | (965 | ) | |||||||||||||||||||
Interest rate and foreign currency risk on long-term debt (1) | (1,482 | ) | 1,225 | (257 | ) | |||||||||||||||||||||||
Interest rate risk on available-for-sale securities (2) | (4 | ) | 91 | 87 | ||||||||||||||||||||||||
Price risk on commodity inventory (3) | (6 | ) | 6 | — | ||||||||||||||||||||||||
Total | $ | (1,687 | ) | $ | 552 | $ | (1,135 | ) | ||||||||||||||||||||
(1) | Amounts are recorded in interest expense on long-term debt and in other income (loss). | |||||||||||||||||||||||||||
(2) | Amounts are recorded in interest income on debt securities. | |||||||||||||||||||||||||||
(3) | Amounts relating to commodity inventory are recorded in trading account profits. | |||||||||||||||||||||||||||
Cash Flow and Net Investment Hedges | ||||||||||||||||||||||||||||
The table below summarizes certain information related to cash flow hedges and net investment hedges for 2014, 2013 and 2012. Of the $1.7 billion net loss (after-tax) on derivatives in accumulated other comprehensive income (OCI) for 2014, $803 million ($502 million after-tax) is expected to be reclassified into earnings in the next 12 months. These net losses reclassified into earnings are expected to primarily reduce net interest income related to the respective hedged items. Amounts related to price risk on restricted stock awards reclassified from accumulated OCI are recorded in personnel expense. | ||||||||||||||||||||||||||||
Derivatives Designated as Cash Flow and Net Investment Hedges | ||||||||||||||||||||||||||||
2014 | ||||||||||||||||||||||||||||
(Dollars in millions, amounts pretax) | Gains (Losses) | Gains (Losses) | Hedge | |||||||||||||||||||||||||
Recognized in | in Income | Ineffectiveness and | ||||||||||||||||||||||||||
Accumulated OCI | Reclassified from | Amounts Excluded | ||||||||||||||||||||||||||
on Derivatives | Accumulated OCI | from Effectiveness | ||||||||||||||||||||||||||
Testing (1) | ||||||||||||||||||||||||||||
Cash flow hedges | ||||||||||||||||||||||||||||
Interest rate risk on variable-rate portfolios | $ | 68 | $ | (1,119 | ) | $ | (4 | ) | ||||||||||||||||||||
Price risk on restricted stock awards | 127 | 359 | — | |||||||||||||||||||||||||
Total | $ | 195 | $ | (760 | ) | $ | (4 | ) | ||||||||||||||||||||
Net investment hedges | ||||||||||||||||||||||||||||
Foreign exchange risk | $ | 3,021 | $ | 21 | $ | (503 | ) | |||||||||||||||||||||
2013 | ||||||||||||||||||||||||||||
Cash flow hedges | ||||||||||||||||||||||||||||
Interest rate risk on variable-rate portfolios | $ | (321 | ) | $ | (1,102 | ) | $ | — | ||||||||||||||||||||
Price risk on restricted stock awards | 477 | 329 | — | |||||||||||||||||||||||||
Total | $ | 156 | $ | (773 | ) | $ | — | |||||||||||||||||||||
Net investment hedges | ||||||||||||||||||||||||||||
Foreign exchange risk | $ | 1,024 | $ | (355 | ) | $ | (134 | ) | ||||||||||||||||||||
2012 | ||||||||||||||||||||||||||||
Cash flow hedges | ||||||||||||||||||||||||||||
Interest rate risk on variable-rate portfolios | $ | 10 | $ | (957 | ) | $ | — | |||||||||||||||||||||
Price risk on restricted stock awards | 420 | (78 | ) | — | ||||||||||||||||||||||||
Total | $ | 430 | $ | (1,035 | ) | $ | — | |||||||||||||||||||||
Net investment hedges | ||||||||||||||||||||||||||||
Foreign exchange risk | $ | (771 | ) | $ | (26 | ) | $ | (269 | ) | |||||||||||||||||||
(1) | Amounts related to derivatives designated as cash flow hedges represent hedge ineffectiveness and amounts related to net investment hedges represent amounts excluded from effectiveness testing. | |||||||||||||||||||||||||||
Other Risk Management Derivatives | ||||||||||||||||||||||||||||
Other risk management derivatives are used by the Corporation to reduce certain risk exposures. These derivatives are not qualifying accounting hedges because either they did not qualify for or were not designated as accounting hedges. The table below presents gains (losses) on these derivatives for 2014, 2013 and 2012. These gains (losses) are largely offset by the income or expense that is recorded on the hedged item. The change in the impact of interest rate and foreign currency risk on ALM activities was primarily driven by decreasing interest rates and foreign currency weakening against the U.S. Dollar throughout 2014 compared to strengthening during 2013. | ||||||||||||||||||||||||||||
Other Risk Management Derivatives | ||||||||||||||||||||||||||||
Gains (Losses) | ||||||||||||||||||||||||||||
(Dollars in millions) | 2014 | 2013 | 2012 | |||||||||||||||||||||||||
Interest rate risk on mortgage banking income (1) | $ | 1,017 | $ | (619 | ) | $ | 1,324 | |||||||||||||||||||||
Credit risk on loans (2) | 16 | (47 | ) | (95 | ) | |||||||||||||||||||||||
Interest rate and foreign currency risk on ALM activities (3) | (3,683 | ) | 2,501 | 424 | ||||||||||||||||||||||||
Price risk on restricted stock awards (4) | 600 | 865 | 1,008 | |||||||||||||||||||||||||
Other | (9 | ) | (19 | ) | 58 | |||||||||||||||||||||||
(1) | Net gains (losses) on these derivatives are recorded in mortgage banking income as they are used to mitigate the interest rate risk related to MSRs, interest rate lock commitments and mortgage loans held-for-sale, all of which are measured at fair value with changes in fair value recorded in mortgage banking income. The net gains on interest rate lock commitments related to the origination of mortgage loans that are held-for-sale, which are not included in the table but are considered derivative instruments, were $776 million, $927 million and $3.0 billion for 2014, 2013 and 2012, respectively. | |||||||||||||||||||||||||||
(2) | Net gains (losses) on these derivatives are recorded in other income (loss). | |||||||||||||||||||||||||||
(3) | Primarily related to hedges of debt securities carried at fair value and hedges of foreign currency-denominated debt. Gains (losses) on these derivatives and the related hedged items are recorded in other income (loss). | |||||||||||||||||||||||||||
(4) | Gains (losses) on these derivatives are recorded in personnel expense. | |||||||||||||||||||||||||||
Sales and Trading Revenue | ||||||||||||||||||||||||||||
The Corporation enters into trading derivatives to facilitate client transactions and to manage risk exposures arising from trading account assets and liabilities. It is the Corporation’s policy to include these derivative instruments in its trading activities which include derivatives and non-derivative cash instruments. The resulting risk from these derivatives is managed on a portfolio basis as part of the Corporation’s Global Markets business segment. The related sales and trading revenue generated within Global Markets is recorded in various income statement line items including trading account profits and net interest income as well as other revenue categories. However, the majority of income related to derivative instruments is recorded in trading account profits. | ||||||||||||||||||||||||||||
Sales and trading revenue includes changes in the fair value and realized gains and losses on the sales of trading and other assets, net interest income, and fees primarily from commissions on equity securities. Revenue is generated by the difference in the client price for an instrument and the price at which the trading desk can execute the trade in the dealer market. For equity securities, commissions related to purchases and sales are recorded in the “Other” column in the Sales and Trading Revenue table. Changes in the fair value of these securities are included in trading account profits. For debt securities, revenue, with the exception of interest associated with the debt securities, is typically included in trading account profits. Unlike commissions for equity securities, the initial revenue related to broker-dealer services for debt securities is typically included in the pricing of the instrument rather than being charged through separate fee arrangements. Therefore, this revenue is recorded in trading account profits as part of the initial mark to fair value. For derivatives, the majority of revenue is included in trading account profits. In transactions where the Corporation acts as agent, which include exchange-traded futures and options, fees are recorded in other income (loss). | ||||||||||||||||||||||||||||
Gains (losses) on certain instruments, primarily loans, that the Global Markets business segment shares with Global Banking are not considered trading instruments and are excluded from sales and trading revenue in their entirety. | ||||||||||||||||||||||||||||
The table below, which includes both derivatives and non-derivative cash instruments, identifies the amounts in the respective income statement line items attributable to the Corporation’s sales and trading revenue in Global Markets, categorized by primary risk, for 2014, 2013 and 2012. The difference between total trading account profits in the table below and in the Consolidated Statement of Income represents trading activities in business segments other than Global Markets. This table includes debit valuation adjustment (DVA) gains (losses), net of hedges, and funding valuation adjustment (FVA) losses. Global Markets results in Note 24 – Business Segment Information are presented on a fully taxable-equivalent (FTE) basis. The table below is not presented on an FTE basis. | ||||||||||||||||||||||||||||
Sales and Trading Revenue | ||||||||||||||||||||||||||||
2014 | ||||||||||||||||||||||||||||
(Dollars in millions) | Trading Account Profits | Net Interest Income | Other (1) | Total | ||||||||||||||||||||||||
Interest rate risk | $ | 952 | $ | 1,169 | $ | 363 | $ | 2,484 | ||||||||||||||||||||
Foreign exchange risk | 1,177 | 8 | (128 | ) | 1,057 | |||||||||||||||||||||||
Equity risk | 1,954 | (70 | ) | 2,318 | 4,202 | |||||||||||||||||||||||
Credit risk | 1,410 | 2,682 | 614 | 4,706 | ||||||||||||||||||||||||
Other risk | 504 | (319 | ) | 106 | 291 | |||||||||||||||||||||||
Total sales and trading revenue | $ | 5,997 | $ | 3,470 | $ | 3,273 | $ | 12,740 | ||||||||||||||||||||
2013 | ||||||||||||||||||||||||||||
Interest rate risk | $ | 1,120 | $ | 1,104 | $ | (333 | ) | $ | 1,891 | |||||||||||||||||||
Foreign exchange risk | 1,170 | 5 | (103 | ) | 1,072 | |||||||||||||||||||||||
Equity risk | 1,994 | 111 | 2,075 | 4,180 | ||||||||||||||||||||||||
Credit risk | 2,083 | 2,710 | 78 | 4,871 | ||||||||||||||||||||||||
Other risk | 367 | (219 | ) | 69 | 217 | |||||||||||||||||||||||
Total sales and trading revenue | $ | 6,734 | $ | 3,711 | $ | 1,786 | $ | 12,231 | ||||||||||||||||||||
2012 | ||||||||||||||||||||||||||||
Interest rate risk | $ | (2,875 | ) | $ | 1,039 | $ | (4 | ) | $ | (1,840 | ) | |||||||||||||||||
Foreign exchange risk | 909 | 5 | 5 | 919 | ||||||||||||||||||||||||
Equity risk | 259 | (57 | ) | 1,891 | 2,093 | |||||||||||||||||||||||
Credit risk | 2,514 | 2,321 | 961 | 5,796 | ||||||||||||||||||||||||
Other risk | 4,899 | (227 | ) | (5,148 | ) | (476 | ) | |||||||||||||||||||||
Total sales and trading revenue | $ | 5,706 | $ | 3,081 | $ | (2,295 | ) | $ | 6,492 | |||||||||||||||||||
(1) | Represents amounts in investment and brokerage services and other income (loss) that are recorded in Global Markets and included in the definition of sales and trading revenue. Includes investment and brokerage services revenue of $2.2 billion, $2.0 billion and $1.8 billion for 2014, 2013 and 2012, respectively. | |||||||||||||||||||||||||||
Credit Derivatives | ||||||||||||||||||||||||||||
The Corporation enters into credit derivatives primarily to facilitate client transactions and to manage credit risk exposures. Credit derivatives derive value based on an underlying third-party referenced obligation or a portfolio of referenced obligations and generally require the Corporation, as the seller of credit protection, to make payments to a buyer upon the occurrence of a pre-defined credit event. Such credit events generally include bankruptcy of the referenced credit entity and failure to pay under the obligation, as well as acceleration of indebtedness and payment repudiation or moratorium. For credit derivatives based on a portfolio of referenced credits or credit indices, the Corporation may not be required to make payment until a specified amount of loss has occurred and/or may only be required to make payment up to a specified amount. | ||||||||||||||||||||||||||||
Credit derivative instruments where the Corporation is the seller of credit protection and their expiration at December 31, 2014 and 2013 are summarized in the table below. These instruments are classified as investment and non-investment grade based on the credit quality of the underlying referenced obligation. The Corporation considers ratings of BBB- or higher as investment grade. Non-investment grade includes non-rated credit derivative instruments. The Corporation discloses internal categorizations of investment grade and non-investment grade consistent with how risk is managed for these instruments. | ||||||||||||||||||||||||||||
Credit Derivative Instruments | ||||||||||||||||||||||||||||
December 31, 2014 | ||||||||||||||||||||||||||||
Carrying Value | ||||||||||||||||||||||||||||
(Dollars in millions) | Less than | One to | Three to | Over Five | Total | |||||||||||||||||||||||
One Year | Three Years | Five Years | Years | |||||||||||||||||||||||||
Credit default swaps: | ||||||||||||||||||||||||||||
Investment grade | $ | 100 | $ | 714 | $ | 1,455 | $ | 939 | $ | 3,208 | ||||||||||||||||||
Non-investment grade | 916 | 2,107 | 1,338 | 4,301 | 8,662 | |||||||||||||||||||||||
Total | 1,016 | 2,821 | 2,793 | 5,240 | 11,870 | |||||||||||||||||||||||
Total return swaps/other: | ||||||||||||||||||||||||||||
Investment grade | 24 | — | — | — | 24 | |||||||||||||||||||||||
Non-investment grade | 64 | 247 | 2 | — | 313 | |||||||||||||||||||||||
Total | 88 | 247 | 2 | — | 337 | |||||||||||||||||||||||
Total credit derivatives | $ | 1,104 | $ | 3,068 | $ | 2,795 | $ | 5,240 | $ | 12,207 | ||||||||||||||||||
Credit-related notes: | ||||||||||||||||||||||||||||
Investment grade | $ | 2 | $ | 365 | $ | 568 | $ | 2,634 | $ | 3,569 | ||||||||||||||||||
Non-investment grade | 5 | 141 | 85 | 1,443 | 1,674 | |||||||||||||||||||||||
Total credit-related notes | $ | 7 | $ | 506 | $ | 653 | $ | 4,077 | $ | 5,243 | ||||||||||||||||||
Maximum Payout/Notional | ||||||||||||||||||||||||||||
Credit default swaps: | ||||||||||||||||||||||||||||
Investment grade | $ | 132,974 | $ | 342,914 | $ | 242,728 | $ | 28,982 | $ | 747,598 | ||||||||||||||||||
Non-investment grade | 54,326 | 170,580 | 80,011 | 20,586 | 325,503 | |||||||||||||||||||||||
Total | 187,300 | 513,494 | 322,739 | 49,568 | 1,073,101 | |||||||||||||||||||||||
Total return swaps/other: | ||||||||||||||||||||||||||||
Investment grade | 22,645 | — | — | — | 22,645 | |||||||||||||||||||||||
Non-investment grade | 23,839 | 10,792 | 3,268 | 487 | 38,386 | |||||||||||||||||||||||
Total | 46,484 | 10,792 | 3,268 | 487 | 61,031 | |||||||||||||||||||||||
Total credit derivatives | $ | 233,784 | $ | 524,286 | $ | 326,007 | $ | 50,055 | $ | 1,134,132 | ||||||||||||||||||
December 31, 2013 | ||||||||||||||||||||||||||||
Carrying Value | ||||||||||||||||||||||||||||
Credit default swaps: | ||||||||||||||||||||||||||||
Investment grade | $ | 2 | $ | 220 | $ | 974 | $ | 1,134 | $ | 2,330 | ||||||||||||||||||
Non-investment grade | 424 | 1,924 | 2,469 | 6,667 | 11,484 | |||||||||||||||||||||||
Total | 426 | 2,144 | 3,443 | 7,801 | 13,814 | |||||||||||||||||||||||
Total return swaps/other: | ||||||||||||||||||||||||||||
Investment grade | 22 | — | — | — | 22 | |||||||||||||||||||||||
Non-investment grade | 29 | 38 | 2 | 86 | 155 | |||||||||||||||||||||||
Total | 51 | 38 | 2 | 86 | 177 | |||||||||||||||||||||||
Total credit derivatives | $ | 477 | $ | 2,182 | $ | 3,445 | $ | 7,887 | $ | 13,991 | ||||||||||||||||||
Credit-related notes: | ||||||||||||||||||||||||||||
Investment grade | $ | — | $ | 278 | $ | 595 | $ | 4,457 | $ | 5,330 | ||||||||||||||||||
Non-investment grade | 145 | 107 | 756 | 946 | 1,954 | |||||||||||||||||||||||
Total credit-related notes | $ | 145 | $ | 385 | $ | 1,351 | $ | 5,403 | $ | 7,284 | ||||||||||||||||||
Maximum Payout/Notional | ||||||||||||||||||||||||||||
Credit default swaps: | ||||||||||||||||||||||||||||
Investment grade | $ | 170,764 | $ | 379,273 | $ | 411,426 | $ | 36,039 | $ | 997,502 | ||||||||||||||||||
Non-investment grade | 53,316 | 90,986 | 95,319 | 28,257 | 267,878 | |||||||||||||||||||||||
Total | 224,080 | 470,259 | 506,745 | 64,296 | 1,265,380 | |||||||||||||||||||||||
Total return swaps/other: | ||||||||||||||||||||||||||||
Investment grade | 21,771 | — | — | — | 21,771 | |||||||||||||||||||||||
Non-investment grade | 27,784 | 8,150 | 4,103 | 1,599 | 41,636 | |||||||||||||||||||||||
Total | 49,555 | 8,150 | 4,103 | 1,599 | 63,407 | |||||||||||||||||||||||
Total credit derivatives | $ | 273,635 | $ | 478,409 | $ | 510,848 | $ | 65,895 | $ | 1,328,787 | ||||||||||||||||||
The notional amount represents the maximum amount payable by the Corporation for most credit derivatives. However, the Corporation does not monitor its exposure to credit derivatives based solely on the notional amount because this measure does not take into consideration the probability of occurrence. As such, the notional amount is not a reliable indicator of the Corporation’s exposure to these contracts. Instead, a risk framework is used to define risk tolerances and establish limits to help ensure that certain credit risk-related losses occur within acceptable, predefined limits. | ||||||||||||||||||||||||||||
The Corporation manages its market risk exposure to credit derivatives by entering into a variety of offsetting derivative contracts and security positions. For example, in certain instances, the Corporation may purchase credit protection with identical underlying referenced names to offset its exposure. The carrying value and notional amount of written credit derivatives for which the Corporation held purchased credit derivatives with identical underlying referenced names and terms were $5.7 billion and $880.6 billion at December 31, 2014 and $8.1 billion and $1.0 trillion at December 31, 2013. | ||||||||||||||||||||||||||||
Credit-related notes in the table on page 29 include investments in securities issued by collateralized debt obligation (CDO), collateralized loan obligation (CLO) and credit-linked note vehicles. These instruments are primarily classified as trading securities. The carrying value of these instruments equals the Corporation’s maximum exposure to loss. The Corporation is not obligated to make any payments to the entities under the terms of the securities owned. | ||||||||||||||||||||||||||||
Credit-related Contingent Features and Collateral | ||||||||||||||||||||||||||||
The Corporation executes the majority of its derivative contracts in the OTC market with large, international financial institutions, including broker-dealers and, to a lesser degree, with a variety of non-financial companies. Substantially all of the derivative transactions are executed on a daily margin basis. Therefore, events such as a credit rating downgrade (depending on the ultimate rating level) or a breach of credit covenants would typically require an increase in the amount of collateral required of the counterparty, where applicable, and/or allow the Corporation to take additional protective measures such as early termination of all trades. Further, as previously discussed on page 22, the Corporation enters into legally enforceable master netting agreements which reduce risk by permitting the closeout and netting of transactions with the same counterparty upon the occurrence of certain events. | ||||||||||||||||||||||||||||
A majority of the Corporation’s derivative contracts contain credit risk-related contingent features, primarily in the form of ISDA master netting agreements and credit support documentation that enhance the creditworthiness of these instruments compared to other obligations of the respective counterparty with whom the Corporation has transacted. These contingent features may be for the benefit of the Corporation as well as its counterparties with respect to changes in the Corporation’s creditworthiness and the mark-to-market exposure under the derivative transactions. At December 31, 2014 and 2013, the Corporation held cash and securities collateral of $82.0 billion and $74.4 billion, and posted cash and securities collateral of $67.9 billion and $56.1 billion in the normal course of business under derivative agreements. | ||||||||||||||||||||||||||||
In connection with certain OTC derivative contracts and other trading agreements, the Corporation can be required to provide additional collateral or to terminate transactions with certain counterparties in the event of a downgrade of the senior debt ratings of the Corporation or certain subsidiaries. The amount of additional collateral required depends on the contract and is usually a fixed incremental amount and/or the market value of the exposure. | ||||||||||||||||||||||||||||
At December 31, 2014, the amount of collateral, calculated based on the terms of the contracts, that the Corporation and certain subsidiaries could be required to post to counterparties but had not yet posted to counterparties was approximately $1.4 billion, including $670 million for Bank of America, N.A. (BANA). | ||||||||||||||||||||||||||||
Some counterparties are currently able to unilaterally terminate certain contracts, or the Corporation or certain subsidiaries may be required to take other action such as find a suitable replacement or obtain a guarantee. At December 31, 2014, the current liability recorded for these derivative contracts was $84 million, against which the Corporation and certain subsidiaries had posted approximately $54 million of collateral. | ||||||||||||||||||||||||||||
The table below presents the amount of additional collateral that would have been contractually required by derivative contracts and other trading agreements at December 31, 2014 if the rating agencies had downgraded their long-term senior debt ratings for the Corporation or certain subsidiaries by one incremental notch and by an additional second incremental notch. | ||||||||||||||||||||||||||||
Additional Collateral Required to be Posted Upon Downgrade | ||||||||||||||||||||||||||||
December 31, 2014 | ||||||||||||||||||||||||||||
(Dollars in millions) | One | Second | ||||||||||||||||||||||||||
incremental notch | incremental notch | |||||||||||||||||||||||||||
Bank of America Corporation | $ | 1,402 | $ | 2,825 | ||||||||||||||||||||||||
Bank of America, N.A. and subsidiaries (1) | 1,072 | 1,886 | ||||||||||||||||||||||||||
(1) | Included in Bank of America Corporation collateral requirements in this table. | |||||||||||||||||||||||||||
The table below presents the derivative liabilities that would be subject to unilateral termination by counterparties and the amounts of collateral that would have been contractually required at December 31, 2014 if the long-term senior debt ratings for the Corporation or certain subsidiaries had been lower by one incremental notch and by an additional second incremental notch. | ||||||||||||||||||||||||||||
Derivative Liabilities Subject to Unilateral Termination Upon Downgrade | ||||||||||||||||||||||||||||
December 31, 2014 | ||||||||||||||||||||||||||||
(Dollars in millions) | One | Second | ||||||||||||||||||||||||||
incremental notch | incremental notch | |||||||||||||||||||||||||||
Derivative liability | $ | 1,785 | $ | 3,850 | ||||||||||||||||||||||||
Collateral posted | 1,520 | 2,986 | ||||||||||||||||||||||||||
Valuation Adjustments on Derivatives | ||||||||||||||||||||||||||||
The Corporation records credit risk valuation adjustments on derivatives in order to properly reflect the credit quality of the counterparties and its own credit quality. The Corporation calculates valuation adjustments on derivatives based on a modeled expected exposure that incorporates current market risk factors. The exposure also takes into consideration credit mitigants such as enforceable master netting agreements and collateral. CDS spread data is used to estimate the default probabilities and severities that are applied to the exposures. Where no observable credit default data is available for counterparties, the Corporation uses proxies and other market data to estimate default probabilities and severity. | ||||||||||||||||||||||||||||
Valuation adjustments on derivatives are affected by changes in market spreads, non-credit-related market factors such as interest rate and currency changes that affect the expected exposure, and other factors like changes in collateral arrangements and partial payments. Credit spreads and non-credit factors can move independently. For example, for an interest rate swap, changes in interest rates may increase the expected exposure, which would increase the counterparty credit valuation adjustment (CVA). Independently, counterparty credit spreads may tighten, which would result in an offsetting decrease to CVA. | ||||||||||||||||||||||||||||
The Corporation enters into risk management activities to offset market driven exposures. The Corporation often hedges the counterparty spread risk in CVA with CDS. The Corporation hedges other market risks in both CVA and DVA primarily with currency and interest rate swaps. Since the components of the valuation adjustments on derivatives move independently and the Corporation may not hedge all of the market-driven exposures, the effect of a hedge may increase the gains or losses relating to valuation adjustments on derivatives or may result in a gross gain from valuation adjustments on derivatives becoming a negative adjustment (or the reverse). | ||||||||||||||||||||||||||||
In 2014, the Corporation adopted FVA into valuation estimates primarily to include funding costs on uncollateralized derivatives and derivatives where the Corporation is not permitted to use the collateral it receives. The change in estimate resulted in a net pretax FVA charge of $497 million including a charge of $632 million related to funding costs associated with derivative asset exposures, partially offset by a funding benefit of $135 million related to derivative liability exposures. The net FVA charge was recorded as a reduction to sales and trading revenue in Global Markets. The Corporation calculated this valuation adjustment based on modeled expected exposure profiles discounted for the funding risk premium inherent in these derivatives. FVA related to derivative assets and liabilities is the effect of funding costs on the fair value of these derivatives. | ||||||||||||||||||||||||||||
The table below presents CVA, DVA and FVA gains (losses) on derivatives, which are recorded in trading account profits, on a gross and net of hedge basis for 2014, 2013 and 2012. CVA gains reduce the cumulative CVA thereby increasing the derivative assets balance. DVA gains increase the cumulative DVA thereby decreasing the derivative liabilities balance. CVA and DVA losses have the opposite impact. FVA gains related to derivative assets reduce the cumulative FVA thereby increasing the derivative assets balance. FVA gains related to derivative liabilities increase the cumulative FVA thereby decreasing the derivative liabilities balance. | ||||||||||||||||||||||||||||
Valuation Adjustments on Derivatives | ||||||||||||||||||||||||||||
Gains (Losses) | ||||||||||||||||||||||||||||
2014 | 2013 | 2012 | ||||||||||||||||||||||||||
(Dollars in millions) | Gross | Net | Gross | Net | Gross | Net | ||||||||||||||||||||||
Derivative assets (CVA) (1) | $ | (22 | ) | $ | 191 | $ | 738 | $ | (96 | ) | $ | 1,022 | $ | 291 | ||||||||||||||
Derivative assets (FVA) (2) | (632 | ) | (632 | ) | n/a | n/a | n/a | n/a | ||||||||||||||||||||
Derivative liabilities (DVA) (3) | (28 | ) | (150 | ) | (39 | ) | (75 | ) | (2,212 | ) | (2,477 | ) | ||||||||||||||||
Derivative liabilities (FVA) (2) | 135 | 135 | n/a | n/a | n/a | n/a | ||||||||||||||||||||||
(1) | At December 31, 2014, 2013 and 2012, the cumulative CVA reduced the derivative assets balance by $1.6 billion, $1.6 billion and $2.4 billion, respectively. | |||||||||||||||||||||||||||
(2) | FVA was adopted in 2014 and the cumulative FVA reduced the net derivatives balance by $497 million. | |||||||||||||||||||||||||||
(3) | At December 31, 2014, 2013 and 2012, the cumulative DVA reduced the derivative liabilities balance by $0.8 billion, $0.8 billion and $0.8 billion, respectively. | |||||||||||||||||||||||||||
n/a =ot applicable |
Securities
Securities | 12 Months Ended | ||||||||||||||||||||||||||||||||||
Dec. 31, 2014 | |||||||||||||||||||||||||||||||||||
Investments, Debt and Equity Securities [Abstract] | |||||||||||||||||||||||||||||||||||
Securities | Securities | ||||||||||||||||||||||||||||||||||
The table below presents the amortized cost, gross unrealized gains and losses, and fair value of available-for-sale (AFS) debt securities, other debt securities carried at fair value, HTM debt securities and AFS marketable equity securities at December 31, 2014 and 2013. | |||||||||||||||||||||||||||||||||||
Debt Securities and Available-for-Sale Marketable Equity Securities | |||||||||||||||||||||||||||||||||||
31-Dec-14 | |||||||||||||||||||||||||||||||||||
(Dollars in millions) | Amortized | Gross | Gross | Fair | |||||||||||||||||||||||||||||||
Cost | Unrealized | Unrealized | Value | ||||||||||||||||||||||||||||||||
Gains | Losses | ||||||||||||||||||||||||||||||||||
Available-for-sale debt securities | |||||||||||||||||||||||||||||||||||
U.S. Treasury and agency securities | $ | 69,267 | $ | 360 | $ | (32 | ) | $ | 69,595 | ||||||||||||||||||||||||||
Mortgage-backed securities: | |||||||||||||||||||||||||||||||||||
Agency | 163,592 | 2,040 | (593 | ) | 165,039 | ||||||||||||||||||||||||||||||
Agency-collateralized mortgage obligations | 14,175 | 152 | (79 | ) | 14,248 | ||||||||||||||||||||||||||||||
Non-agency residential (1) | 4,244 | 287 | (77 | ) | 4,454 | ||||||||||||||||||||||||||||||
Commercial | 3,931 | 69 | — | 4,000 | |||||||||||||||||||||||||||||||
Non-U.S. securities | 6,208 | 33 | (11 | ) | 6,230 | ||||||||||||||||||||||||||||||
Corporate/Agency bonds | 361 | 9 | (2 | ) | 368 | ||||||||||||||||||||||||||||||
Other taxable securities, substantially all asset-backed securities | 10,774 | 39 | (22 | ) | 10,791 | ||||||||||||||||||||||||||||||
Total taxable securities | 272,552 | 2,989 | (816 | ) | 274,725 | ||||||||||||||||||||||||||||||
Tax-exempt securities | 9,556 | 12 | (19 | ) | 9,549 | ||||||||||||||||||||||||||||||
Total available-for-sale debt securities | 282,108 | 3,001 | (835 | ) | 284,274 | ||||||||||||||||||||||||||||||
Other debt securities carried at fair value | 36,524 | 261 | (364 | ) | 36,421 | ||||||||||||||||||||||||||||||
Total debt securities carried at fair value | 318,632 | 3,262 | (1,199 | ) | 320,695 | ||||||||||||||||||||||||||||||
Held-to-maturity debt securities, substantially all U.S. agency mortgage-backed securities | 59,766 | 486 | (611 | ) | 59,641 | ||||||||||||||||||||||||||||||
Total debt securities | $ | 378,398 | $ | 3,748 | $ | (1,810 | ) | $ | 380,336 | ||||||||||||||||||||||||||
Available-for-sale marketable equity securities (2) | $ | 336 | $ | 27 | $ | — | $ | 363 | |||||||||||||||||||||||||||
31-Dec-13 | |||||||||||||||||||||||||||||||||||
Available-for-sale debt securities | |||||||||||||||||||||||||||||||||||
U.S. Treasury and agency securities | $ | 8,910 | $ | 106 | $ | (62 | ) | $ | 8,954 | ||||||||||||||||||||||||||
Mortgage-backed securities: | |||||||||||||||||||||||||||||||||||
Agency | 170,112 | 777 | (5,954 | ) | 164,935 | ||||||||||||||||||||||||||||||
Agency-collateralized mortgage obligations | 22,731 | 76 | (315 | ) | 22,492 | ||||||||||||||||||||||||||||||
Non-agency residential (1) | 6,124 | 238 | (123 | ) | 6,239 | ||||||||||||||||||||||||||||||
Commercial | 2,429 | 63 | (12 | ) | 2,480 | ||||||||||||||||||||||||||||||
Non-U.S. securities | 7,207 | 37 | (24 | ) | 7,220 | ||||||||||||||||||||||||||||||
Corporate/Agency bonds | 860 | 20 | (7 | ) | 873 | ||||||||||||||||||||||||||||||
Other taxable securities, substantially all asset-backed securities | 16,805 | 30 | (5 | ) | 16,830 | ||||||||||||||||||||||||||||||
Total taxable securities | 235,178 | 1,347 | (6,502 | ) | 230,023 | ||||||||||||||||||||||||||||||
Tax-exempt securities | 5,967 | 10 | (49 | ) | 5,928 | ||||||||||||||||||||||||||||||
Total available-for-sale debt securities | 241,145 | 1,357 | (6,551 | ) | 235,951 | ||||||||||||||||||||||||||||||
Other debt securities carried at fair value | 34,145 | 34 | (1,335 | ) | 32,844 | ||||||||||||||||||||||||||||||
Total debt securities carried at fair value | 275,290 | 1,391 | (7,886 | ) | 268,795 | ||||||||||||||||||||||||||||||
Held-to-maturity debt securities, substantially all U.S. agency mortgage-backed securities | 55,150 | 20 | (2,740 | ) | 52,430 | ||||||||||||||||||||||||||||||
Total debt securities | $ | 330,440 | $ | 1,411 | $ | (10,626 | ) | $ | 321,225 | ||||||||||||||||||||||||||
Available-for-sale marketable equity securities (2) | $ | 230 | $ | — | $ | (7 | ) | $ | 223 | ||||||||||||||||||||||||||
(1) | At December 31, 2014 and 2013, the underlying collateral type included approximately 76 percent and 89 percent prime, 14 percent and seven percent Alt-A, and 10 percent and four percent subprime. | ||||||||||||||||||||||||||||||||||
(2) | Classified in other assets on the Consolidated Balance Sheet. | ||||||||||||||||||||||||||||||||||
At December 31, 2014, the accumulated net unrealized gain on AFS debt securities included in accumulated OCI was $1.3 billion, net of the related income taxes of $823 million. At December 31, 2014 and 2013, the Corporation had nonperforming AFS debt securities of $161 million and $103 million. | |||||||||||||||||||||||||||||||||||
The table below presents the components of other debt securities carried at fair value where the changes in fair value are reported in other income. In 2014, the Corporation recorded unrealized mark-to-market net gains in other income of $1.2 billion and realized gains of $275 million on other debt securities carried at fair value, which exclude the impact of certain hedges, the results of which are also reported in other income, compared to unrealized mark-to-market net losses of $1.3 billion and realized losses of $963 million in 2013. | |||||||||||||||||||||||||||||||||||
Other Debt Securities Carried at Fair Value | |||||||||||||||||||||||||||||||||||
31-Dec | |||||||||||||||||||||||||||||||||||
(Dollars in millions) | 2014 | 2013 | |||||||||||||||||||||||||||||||||
U.S. Treasury and agency securities | $ | 1,541 | $ | 4,062 | |||||||||||||||||||||||||||||||
Mortgage-backed securities: | |||||||||||||||||||||||||||||||||||
Agency | 15,704 | 16,500 | |||||||||||||||||||||||||||||||||
Agency-collateralized mortgage obligations | — | 218 | |||||||||||||||||||||||||||||||||
Non-agency residential | 3,745 | — | |||||||||||||||||||||||||||||||||
Commercial | — | 749 | |||||||||||||||||||||||||||||||||
Non-U.S. securities (1) | 15,132 | 11,315 | |||||||||||||||||||||||||||||||||
Other taxable securities, substantially all asset-backed securities | 299 | — | |||||||||||||||||||||||||||||||||
Total | $ | 36,421 | $ | 32,844 | |||||||||||||||||||||||||||||||
(1) | These securities are primarily used to satisfy certain international regulatory liquidity requirements. | ||||||||||||||||||||||||||||||||||
The table below presents gross realized gains and losses on sales of AFS debt securities for 2014, 2013 and 2012. | |||||||||||||||||||||||||||||||||||
Gains and Losses on Sales of AFS Debt Securities | |||||||||||||||||||||||||||||||||||
(Dollars in millions) | 2014 | 2013 | 2012 | ||||||||||||||||||||||||||||||||
Gross gains | $ | 1,366 | $ | 1,302 | $ | 2,128 | |||||||||||||||||||||||||||||
Gross losses | (12 | ) | (31 | ) | (466 | ) | |||||||||||||||||||||||||||||
Net gains on sales of AFS debt securities | $ | 1,354 | $ | 1,271 | $ | 1,662 | |||||||||||||||||||||||||||||
Income tax expense attributable to realized net gains on sales of AFS debt securities | $ | 515 | $ | 470 | $ | 615 | |||||||||||||||||||||||||||||
The table below presents the amortized cost and fair value of the Corporation’s debt securities carried at fair value and HTM debt securities from Fannie Mae (FNMA), the Government National Mortgage Association (GNMA), U.S. Treasury and Freddie Mac (FHLMC), where the investment exceeded 10 percent of consolidated shareholders’ equity at December 31, 2014 and 2013. | |||||||||||||||||||||||||||||||||||
Selected Securities Exceeding 10 Percent of Shareholders’ Equity | |||||||||||||||||||||||||||||||||||
December 31 | |||||||||||||||||||||||||||||||||||
2014 | 2013 | ||||||||||||||||||||||||||||||||||
(Dollars in millions) | Amortized | Fair | Amortized | Fair | |||||||||||||||||||||||||||||||
Cost | Value | Cost | Value | ||||||||||||||||||||||||||||||||
Fannie Mae | $ | 130,725 | $ | 131,418 | $ | 123,813 | $ | 118,708 | |||||||||||||||||||||||||||
Government National Mortgage Association | 98,278 | 98,633 | 118,700 | 115,314 | |||||||||||||||||||||||||||||||
U.S. Treasury | 68,481 | 68,801 | 10,533 | 10,428 | |||||||||||||||||||||||||||||||
Freddie Mac | 28,288 | 28,556 | 24,908 | 24,075 | |||||||||||||||||||||||||||||||
The table below presents the fair value and the associated gross unrealized losses on AFS debt securities and whether these securities have had gross unrealized losses for less than 12 months or for 12 months or longer at December 31, 2014 and 2013. | |||||||||||||||||||||||||||||||||||
Temporarily Impaired and Other-than-temporarily Impaired AFS Debt Securities | |||||||||||||||||||||||||||||||||||
December 31, 2014 | |||||||||||||||||||||||||||||||||||
Less than Twelve Months | Twelve Months or Longer | Total | |||||||||||||||||||||||||||||||||
(Dollars in millions) | Fair | Gross Unrealized Losses | Fair | Gross Unrealized Losses | Fair | Gross Unrealized Losses | |||||||||||||||||||||||||||||
Value | Value | Value | |||||||||||||||||||||||||||||||||
Temporarily impaired available-for-sale debt securities | |||||||||||||||||||||||||||||||||||
U.S. Treasury and agency securities | $ | 10,121 | $ | (22 | ) | $ | 667 | $ | (10 | ) | $ | 10,788 | $ | (32 | ) | ||||||||||||||||||||
Mortgage-backed securities: | |||||||||||||||||||||||||||||||||||
Agency | 1,366 | (8 | ) | 43,118 | (585 | ) | 44,484 | (593 | ) | ||||||||||||||||||||||||||
Agency-collateralized mortgage obligations | 2,242 | (19 | ) | 3,075 | (60 | ) | 5,317 | (79 | ) | ||||||||||||||||||||||||||
Non-agency residential | 307 | (3 | ) | 809 | (41 | ) | 1,116 | (44 | ) | ||||||||||||||||||||||||||
Non-U.S. securities | 157 | (9 | ) | 32 | (2 | ) | 189 | (11 | ) | ||||||||||||||||||||||||||
Corporate/Agency bonds | 43 | (1 | ) | 93 | (1 | ) | 136 | (2 | ) | ||||||||||||||||||||||||||
Other taxable securities, substantially all asset-backed securities | 575 | (3 | ) | 1,080 | (19 | ) | 1,655 | (22 | ) | ||||||||||||||||||||||||||
Total taxable securities | 14,811 | (65 | ) | 48,874 | (718 | ) | 63,685 | (783 | ) | ||||||||||||||||||||||||||
Tax-exempt securities | 980 | (1 | ) | 680 | (18 | ) | 1,660 | (19 | ) | ||||||||||||||||||||||||||
Total temporarily impaired available-for-sale debt securities | 15,791 | (66 | ) | 49,554 | (736 | ) | 65,345 | (802 | ) | ||||||||||||||||||||||||||
Other-than-temporarily impaired available-for-sale debt securities (1) | |||||||||||||||||||||||||||||||||||
Non-agency residential mortgage-backed securities | 555 | (33 | ) | — | — | 555 | (33 | ) | |||||||||||||||||||||||||||
Total temporarily impaired and other-than-temporarily impaired | $ | 16,346 | $ | (99 | ) | $ | 49,554 | $ | (736 | ) | $ | 65,900 | $ | (835 | ) | ||||||||||||||||||||
available-for-sale debt securities | |||||||||||||||||||||||||||||||||||
December 31, 2013 | |||||||||||||||||||||||||||||||||||
Temporarily impaired available-for-sale debt securities | |||||||||||||||||||||||||||||||||||
U.S. Treasury and agency securities | $ | 5,770 | $ | (61 | ) | $ | 19 | $ | (1 | ) | $ | 5,789 | $ | (62 | ) | ||||||||||||||||||||
Mortgage-backed securities: | |||||||||||||||||||||||||||||||||||
Agency | 132,032 | (5,457 | ) | 9,324 | (497 | ) | 141,356 | (5,954 | ) | ||||||||||||||||||||||||||
Agency-collateralized mortgage obligations | 13,438 | (210 | ) | 2,661 | (105 | ) | 16,099 | (315 | ) | ||||||||||||||||||||||||||
Non-agency residential | 819 | (15 | ) | 1,237 | (106 | ) | 2,056 | (121 | ) | ||||||||||||||||||||||||||
Commercial | 286 | (12 | ) | — | — | 286 | (12 | ) | |||||||||||||||||||||||||||
Non-U.S. securities | — | — | 45 | (24 | ) | 45 | (24 | ) | |||||||||||||||||||||||||||
Corporate/Agency bonds | 106 | (3 | ) | 282 | (4 | ) | 388 | (7 | ) | ||||||||||||||||||||||||||
Other taxable securities, substantially all asset-backed securities | 116 | (2 | ) | 280 | (3 | ) | 396 | (5 | ) | ||||||||||||||||||||||||||
Total taxable securities | 152,567 | (5,760 | ) | 13,848 | (740 | ) | 166,415 | (6,500 | ) | ||||||||||||||||||||||||||
Tax-exempt securities | 1,789 | (30 | ) | 990 | (19 | ) | 2,779 | (49 | ) | ||||||||||||||||||||||||||
Total temporarily impaired available-for-sale debt securities | 154,356 | (5,790 | ) | 14,838 | (759 | ) | 169,194 | (6,549 | ) | ||||||||||||||||||||||||||
Other-than-temporarily impaired available-for-sale debt securities (1) | |||||||||||||||||||||||||||||||||||
Non-agency residential mortgage-backed securities | 2 | (1 | ) | 1 | (1 | ) | 3 | (2 | ) | ||||||||||||||||||||||||||
Total temporarily impaired and other-than-temporarily impaired | $ | 154,358 | $ | (5,791 | ) | $ | 14,839 | $ | (760 | ) | $ | 169,197 | $ | (6,551 | ) | ||||||||||||||||||||
available-for-sale debt securities | |||||||||||||||||||||||||||||||||||
(1) | Includes other-than-temporarily impaired AFS debt securities on which an OTTI loss, primarily related to changes in interest rates, remains in accumulated OCI. | ||||||||||||||||||||||||||||||||||
The Corporation recorded other-than-temporary impairment (OTTI) losses on AFS debt securities in 2014, 2013 and 2012 as presented in the Net Impairment Losses Recognized in Earnings table. Substantially all OTTI losses in 2014, 2013 and 2012 consisted of credit losses on non-agency residential mortgage-backed securities (RMBS) and were recorded in other income in the Consolidated Statement of Income. A debt security is impaired when its fair value is less than its amortized cost. If the Corporation intends or will more-likely-than-not be required to sell a debt security prior to recovery, the entire impairment loss is recorded in the Consolidated Statement of Income. For AFS debt securities the Corporation does not intend or will not more-likely-than-not be required to sell, an analysis is performed to determine if any of the impairment is due to credit or whether it is due to other factors (e.g., interest rate). Credit losses are considered unrecoverable and are recorded in the Consolidated Statement of Income with the remaining unrealized losses recorded in OCI. In certain instances, the credit loss on a debt security may exceed the total impairment, in which case, the excess of the credit loss over the total impairment is recorded as an unrealized gain in OCI. | |||||||||||||||||||||||||||||||||||
Net Impairment Losses Recognized in Earnings | |||||||||||||||||||||||||||||||||||
(Dollars in millions) | 2014 | 2013 | 2012 | ||||||||||||||||||||||||||||||||
Total OTTI losses (unrealized and realized) | $ | (30 | ) | $ | (21 | ) | $ | (57 | ) | ||||||||||||||||||||||||||
Unrealized OTTI losses recognized in OCI | 14 | 1 | 4 | ||||||||||||||||||||||||||||||||
Net impairment losses recognized in earnings | $ | (16 | ) | $ | (20 | ) | $ | (53 | ) | ||||||||||||||||||||||||||
The table below presents a rollforward of the credit losses recognized in earnings in 2014, 2013 and 2012 on AFS debt securities that the Corporation does not have the intent to sell or will not more-likely-than-not be required to sell. | |||||||||||||||||||||||||||||||||||
Rollforward of Credit Losses Recognized | |||||||||||||||||||||||||||||||||||
(Dollars in millions) | 2014 | 2013 | 2012 | ||||||||||||||||||||||||||||||||
Balance, January 1 | $ | 184 | $ | 243 | $ | 310 | |||||||||||||||||||||||||||||
Additions for credit losses recognized on AFS debt securities that had no previous impairment losses | 14 | 6 | 7 | ||||||||||||||||||||||||||||||||
Additions for credit losses recognized on AFS debt securities that had previously incurred impairment losses | 2 | 14 | 46 | ||||||||||||||||||||||||||||||||
Reductions for AFS debt securities matured, sold or intended to be sold | — | (79 | ) | (120 | ) | ||||||||||||||||||||||||||||||
Balance, December 31 | $ | 200 | $ | 184 | $ | 243 | |||||||||||||||||||||||||||||
The Corporation estimates the portion of a loss on a security that is attributable to credit using a discounted cash flow model and estimates the expected cash flows of the underlying collateral using internal credit, interest rate and prepayment risk models that incorporate management’s best estimate of current key assumptions such as default rates, loss severity and prepayment rates. Assumptions used for the underlying loans that support the mortgage-backed securities (MBS) can vary widely from loan to loan and are influenced by such factors as loan interest rate, geographic location of the borrower, borrower characteristics and collateral type. Based on these assumptions, the Corporation then determines how the underlying collateral cash flows will be distributed to each MBS issued from the applicable special purpose entity. Expected principal and interest cash flows on an impaired AFS debt security are discounted using the effective yield of each individual impaired AFS debt security. | |||||||||||||||||||||||||||||||||||
Significant assumptions used in estimating the expected cash flows for measuring credit losses on non-agency RMBS were as follows at December 31, 2014. | |||||||||||||||||||||||||||||||||||
Significant Assumptions | |||||||||||||||||||||||||||||||||||
Range (1) | |||||||||||||||||||||||||||||||||||
Weighted- | 10th | 90th | |||||||||||||||||||||||||||||||||
average | Percentile (2) | Percentile (2) | |||||||||||||||||||||||||||||||||
Prepayment speed | 15.3 | % | 3.1 | % | 29.9 | % | |||||||||||||||||||||||||||||
Loss severity | 35.2 | 11.8 | 44.7 | ||||||||||||||||||||||||||||||||
Life default rate | 39.6 | 1.5 | 98.6 | ||||||||||||||||||||||||||||||||
(1) | Represents the range of inputs/assumptions based upon the underlying collateral. | ||||||||||||||||||||||||||||||||||
(2) | The value of a variable below which the indicated percentile of observations will fall. | ||||||||||||||||||||||||||||||||||
Annual constant prepayment speed and loss severity rates are projected considering collateral characteristics such as loan-to-value (LTV), creditworthiness of borrowers as measured using FICO scores, and geographic concentrations. The weighted-average severity by collateral type was 31.0 percent for prime, 34.1 percent for Alt-A and 45.0 percent for subprime at December 31, 2014. Additionally, default rates are projected by considering collateral characteristics including, but not limited to, LTV, FICO and geographic concentration. Weighted-average life default rates by collateral type were 24.5 percent for prime, 42.4 percent for Alt-A and 42.0 percent for subprime at December 31, 2014. | |||||||||||||||||||||||||||||||||||
The expected maturity distribution of the Corporation’s MBS, the contractual maturity distribution of the Corporation’s other debt securities carried at fair value and HTM debt securities, and the yields on the Corporation’s debt securities carried at fair value and HTM debt securities at December 31, 2014 are summarized in the table below. Actual maturities may differ from the contractual or expected maturities since borrowers may have the right to prepay obligations with or without prepayment penalties. | |||||||||||||||||||||||||||||||||||
Maturities of Debt Securities Carried at Fair Value and Held-to-maturity Debt Securities | |||||||||||||||||||||||||||||||||||
December 31, 2014 | |||||||||||||||||||||||||||||||||||
Due in One | Due after One Year | Due after Five Years | Due after | Total | |||||||||||||||||||||||||||||||
Year or Less | through Five Years | through Ten Years | Ten Years | ||||||||||||||||||||||||||||||||
(Dollars in millions) | Amount | Yield (1) | Amount | Yield (1) | Amount | Yield (1) | Amount | Yield (1) | Amount | Yield (1) | |||||||||||||||||||||||||
Amortized cost of debt securities carried at fair value | |||||||||||||||||||||||||||||||||||
U.S. Treasury and agency securities | $ | 577 | 0.41 | % | $ | 51,153 | 1.6 | % | $ | 17,535 | 2.1 | % | $ | 1,480 | 3 | % | $ | 70,745 | 1.78 | % | |||||||||||||||
Mortgage-backed securities: | |||||||||||||||||||||||||||||||||||
Agency | 28 | 4.6 | 24,283 | 2.7 | 152,950 | 2.8 | 2,175 | 3 | 179,436 | 2.8 | |||||||||||||||||||||||||
Agency-collateralized mortgage obligations | 794 | 0.4 | 2,874 | 2 | 10,488 | 2.8 | 19 | 0.6 | 14,175 | 2.5 | |||||||||||||||||||||||||
Non-agency residential | 517 | 5.09 | 1,834 | 5.39 | 1,236 | 4.78 | 4,443 | 10.61 | 8,030 | 8.15 | |||||||||||||||||||||||||
Commercial | 188 | 9.69 | 590 | 2.32 | 3,150 | 2.8 | 3 | 2.83 | 3,931 | 3.07 | |||||||||||||||||||||||||
Non-U.S. securities | 18,991 | 0.98 | 2,261 | 3.83 | 68 | 6.23 | — | — | 21,320 | 1.3 | |||||||||||||||||||||||||
Corporate/Agency bonds | 59 | 1.79 | 112 | 3.77 | 94 | 3.74 | 96 | 0.63 | 361 | 2.43 | |||||||||||||||||||||||||
Other taxable securities, substantially all asset-backed securities | 3,199 | 1.34 | 5,707 | 1.22 | 1,376 | 1.81 | 796 | 4.36 | 11,078 | 1.59 | |||||||||||||||||||||||||
Total taxable securities | 24,353 | 1.16 | 88,814 | 2.07 | 186,897 | 2.8 | 9,012 | 6.86 | 309,076 | 2.56 | |||||||||||||||||||||||||
Tax-exempt securities | 929 | 0.97 | 3,768 | 1.13 | 3,082 | 1.15 | 1,777 | 0.86 | 9,556 | 1.14 | |||||||||||||||||||||||||
Total amortized cost of debt securities carried at fair value | $ | 25,282 | 1.16 | $ | 92,582 | 2.03 | $ | 189,979 | 2.77 | $ | 10,789 | 5.87 | $ | 318,632 | 2.51 | ||||||||||||||||||||
Amortized cost of held-to-maturity debt securities (2) | $ | 108 | 0.84 | $ | 19,513 | 2.4 | $ | 39,917 | 2.3 | $ | 228 | 3.31 | $ | 59,766 | 2.4 | ||||||||||||||||||||
Debt securities carried at fair value | |||||||||||||||||||||||||||||||||||
U.S. Treasury and agency securities | $ | 577 | $ | 51,383 | $ | 17,633 | $ | 1,543 | $ | 71,136 | |||||||||||||||||||||||||
Mortgage-backed securities: | |||||||||||||||||||||||||||||||||||
Agency | 29 | 24,859 | 153,649 | 2,206 | 180,743 | ||||||||||||||||||||||||||||||
Agency-collateralized mortgage obligations | 795 | 2,838 | 10,596 | 19 | 14,248 | ||||||||||||||||||||||||||||||
Non-agency residential | 521 | 1,849 | 1,316 | 4,513 | 8,199 | ||||||||||||||||||||||||||||||
Commercial | 191 | 594 | 3,212 | 3 | 4,000 | ||||||||||||||||||||||||||||||
Non-U.S. securities | 18,982 | 2,309 | 71 | — | 21,362 | ||||||||||||||||||||||||||||||
Corporate/Agency bonds | 60 | 117 | 96 | 95 | 368 | ||||||||||||||||||||||||||||||
Other taxable securities, substantially all asset-backed securities | 3,202 | 5,699 | 1,399 | 790 | 11,090 | ||||||||||||||||||||||||||||||
Total taxable securities | 24,357 | 89,648 | 187,972 | 9,169 | 311,146 | ||||||||||||||||||||||||||||||
Tax-exempt securities | 929 | 3,770 | 3,078 | 1,772 | 9,549 | ||||||||||||||||||||||||||||||
Total debt securities carried at fair value | $ | 25,286 | $ | 93,418 | $ | 191,050 | $ | 10,941 | $ | 320,695 | |||||||||||||||||||||||||
Fair value of held-to-maturity debt securities (2) | $ | 108 | $ | 19,762 | $ | 39,538 | $ | 233 | $ | 59,641 | |||||||||||||||||||||||||
(1) | Average yield is computed using the effective yield of each security at the end of the period, weighted based on the amortized cost of each security. The effective yield considers the contractual coupon, amortization of premiums and accretion of discounts, and excludes the effect of related hedging derivatives. | ||||||||||||||||||||||||||||||||||
(2) | Substantially all U.S. agency MBS. | ||||||||||||||||||||||||||||||||||
Certain Corporate and Strategic Investments | |||||||||||||||||||||||||||||||||||
The Corporation’s 49 percent investment in a merchant services joint venture, which is recorded in other assets on the Consolidated Balance Sheet and in All Other, had a carrying value of $3.1 billion and $3.2 billion at December 31, 2014 and 2013. For additional information, see Note 12 – Commitments and Contingencies. | |||||||||||||||||||||||||||||||||||
In 2013, the Corporation sold its remaining investment in China Construction Bank Corporation (CCB) and realized a pretax gain of $753 million in All Other reported in equity investment income in the Consolidated Statement of Income. The strategic assistance agreement between the Corporation and CCB, which includes cooperation in specific business areas, extends through 2016. |
Outstanding_Loans_and_Leases
Outstanding Loans and Leases | 12 Months Ended | |||||||||||||||||||||||||||||||||||||
Dec. 31, 2014 | ||||||||||||||||||||||||||||||||||||||
Loans and Leases Receivable Disclosure [Abstract] | ||||||||||||||||||||||||||||||||||||||
Outstanding Loans and Leases | Outstanding Loans and Leases | |||||||||||||||||||||||||||||||||||||
The following tables present total outstanding loans and leases and an aging analysis for the Corporation’s Consumer Real Estate, Credit Card and Other Consumer, and Commercial portfolio segments, by class of financing receivables, at December 31, 2014 and 2013. | ||||||||||||||||||||||||||||||||||||||
December 31, 2014 | ||||||||||||||||||||||||||||||||||||||
(Dollars in millions) | 30-59 Days Past Due (1) | 60-89 Days Past Due (1) | 90 Days or | Total Past | Total Current or Less Than 30 Days Past Due (3) | Purchased | Loans Accounted for Under the Fair Value Option | Total | ||||||||||||||||||||||||||||||
More | Due 30 Days | Credit-impaired (4) | Outstandings | |||||||||||||||||||||||||||||||||||
Past Due (2) | or More | |||||||||||||||||||||||||||||||||||||
Consumer real estate | ||||||||||||||||||||||||||||||||||||||
Core portfolio | ||||||||||||||||||||||||||||||||||||||
Residential mortgage | $ | 1,847 | $ | 700 | $ | 5,561 | $ | 8,108 | $ | 154,112 | $ | 162,220 | ||||||||||||||||||||||||||
Home equity | 218 | 105 | 744 | 1,067 | 50,820 | 51,887 | ||||||||||||||||||||||||||||||||
Legacy Assets & Servicing portfolio | ||||||||||||||||||||||||||||||||||||||
Residential mortgage (5) | 2,008 | 1,060 | 10,513 | 13,581 | 25,244 | $ | 15,152 | 53,977 | ||||||||||||||||||||||||||||||
Home equity | 374 | 174 | 1,166 | 1,714 | 26,507 | 5,617 | 33,838 | |||||||||||||||||||||||||||||||
Credit card and other consumer | ||||||||||||||||||||||||||||||||||||||
U.S. credit card | 494 | 341 | 866 | 1,701 | 90,178 | 91,879 | ||||||||||||||||||||||||||||||||
Non-U.S. credit card | 49 | 39 | 95 | 183 | 10,282 | 10,465 | ||||||||||||||||||||||||||||||||
Direct/Indirect consumer (6) | 245 | 71 | 65 | 381 | 80,000 | 80,381 | ||||||||||||||||||||||||||||||||
Other consumer (7) | 11 | 2 | 2 | 15 | 1,831 | 1,846 | ||||||||||||||||||||||||||||||||
Total consumer | 5,246 | 2,492 | 19,012 | 26,750 | 438,974 | 20,769 | 486,493 | |||||||||||||||||||||||||||||||
Consumer loans accounted for under the fair value option (8) | $ | 2,077 | 2,077 | |||||||||||||||||||||||||||||||||||
Total consumer loans and leases | 5,246 | 2,492 | 19,012 | 26,750 | 438,974 | 20,769 | 2,077 | 488,570 | ||||||||||||||||||||||||||||||
Commercial | ||||||||||||||||||||||||||||||||||||||
U.S. commercial | 320 | 151 | 318 | 789 | 219,504 | 220,293 | ||||||||||||||||||||||||||||||||
Commercial real estate (9) | 138 | 16 | 288 | 442 | 47,240 | 47,682 | ||||||||||||||||||||||||||||||||
Commercial lease financing | 121 | 41 | 42 | 204 | 24,662 | 24,866 | ||||||||||||||||||||||||||||||||
Non-U.S. commercial | 5 | 4 | — | 9 | 80,074 | 80,083 | ||||||||||||||||||||||||||||||||
U.S. small business commercial | 88 | 45 | 94 | 227 | 13,066 | 13,293 | ||||||||||||||||||||||||||||||||
Total commercial | 672 | 257 | 742 | 1,671 | 384,546 | 386,217 | ||||||||||||||||||||||||||||||||
Commercial loans accounted for under the fair value option (8) | 6,604 | 6,604 | ||||||||||||||||||||||||||||||||||||
Total commercial loans and leases | 672 | 257 | 742 | 1,671 | 384,546 | 6,604 | 392,821 | |||||||||||||||||||||||||||||||
Total loans and leases | $ | 5,918 | $ | 2,749 | $ | 19,754 | $ | 28,421 | $ | 823,520 | $ | 20,769 | $ | 8,681 | $ | 881,391 | ||||||||||||||||||||||
Percentage of outstandings | 0.67 | % | 0.31 | % | 2.24 | % | 3.22 | % | 93.44 | % | 2.36 | % | 0.98 | % | 100 | % | ||||||||||||||||||||||
(1) | Consumer real estate loans 30-59 days past due includes fully-insured loans of $2.1 billion and nonperforming loans of $392 million. Consumer real estate loans 60-89 days past due includes fully-insured loans of $1.1 billion and nonperforming loans of $332 million. | |||||||||||||||||||||||||||||||||||||
(2) | Consumer real estate includes fully-insured loans of $11.4 billion. | |||||||||||||||||||||||||||||||||||||
(3) | Consumer real estate includes $3.6 billion and direct/indirect consumer includes $27 million of nonperforming loans. | |||||||||||||||||||||||||||||||||||||
(4) | PCI loan amounts are shown gross of the valuation allowance. | |||||||||||||||||||||||||||||||||||||
(5) | Total outstandings includes pay option loans of $3.2 billion. The Corporation no longer originates this product. | |||||||||||||||||||||||||||||||||||||
(6) | Total outstandings includes dealer financial services loans of $37.7 billion, unsecured consumer lending loans of $1.5 billion, U.S. securities-based lending loans of $35.8 billion, non-U.S. consumer loans of $4.0 billion, student loans of $632 million and other consumer loans of $761 million. | |||||||||||||||||||||||||||||||||||||
(7) | Total outstandings includes consumer finance loans of $676 million, consumer leases of $1.0 billion, consumer overdrafts of $162 million and other non-U.S. consumer loans of $3 million. | |||||||||||||||||||||||||||||||||||||
(8) | Consumer loans accounted for under the fair value option were residential mortgage loans of $1.9 billion and home equity loans of $196 million. Commercial loans accounted for under the fair value option were U.S. commercial loans of $1.9 billion and non-U.S. commercial loans of $4.7 billion. For additional information, see Note 20 – Fair Value Measurements and Note 21 – Fair Value Option. | |||||||||||||||||||||||||||||||||||||
(9) | Total outstandings includes U.S. commercial real estate loans of $45.2 billion and non-U.S. commercial real estate loans of $2.5 billion. | |||||||||||||||||||||||||||||||||||||
December 31, 2013 | ||||||||||||||||||||||||||||||||||||||
(Dollars in millions) | 30-59 Days | 60-89 Days Past Due (1) | 90 Days or | Total Past | Total | Purchased | Loans | Total Outstandings | ||||||||||||||||||||||||||||||
Past Due (1) | More | Due 30 Days | Current or | Credit-impaired (4) | Accounted | |||||||||||||||||||||||||||||||||
Past Due (2) | or More | Less Than | for Under | |||||||||||||||||||||||||||||||||||
30 Days | the Fair | |||||||||||||||||||||||||||||||||||||
Past Due (3) | Value Option | |||||||||||||||||||||||||||||||||||||
Consumer real estate | ||||||||||||||||||||||||||||||||||||||
Core portfolio | ||||||||||||||||||||||||||||||||||||||
Residential mortgage | $ | 2,151 | $ | 754 | $ | 7,188 | $ | 10,093 | $ | 167,243 | $ | 177,336 | ||||||||||||||||||||||||||
Home equity | 243 | 113 | 693 | 1,049 | 53,450 | 54,499 | ||||||||||||||||||||||||||||||||
Legacy Assets & Servicing portfolio | ||||||||||||||||||||||||||||||||||||||
Residential mortgage (5) | 2,758 | 1,412 | 16,746 | 20,916 | 31,142 | $ | 18,672 | 70,730 | ||||||||||||||||||||||||||||||
Home equity | 444 | 221 | 1,292 | 1,957 | 30,623 | 6,593 | 39,173 | |||||||||||||||||||||||||||||||
Credit card and other consumer | ||||||||||||||||||||||||||||||||||||||
U.S. credit card | 598 | 422 | 1,053 | 2,073 | 90,265 | 92,338 | ||||||||||||||||||||||||||||||||
Non-U.S. credit card | 63 | 54 | 131 | 248 | 11,293 | 11,541 | ||||||||||||||||||||||||||||||||
Direct/Indirect consumer (6) | 431 | 175 | 410 | 1,016 | 81,176 | 82,192 | ||||||||||||||||||||||||||||||||
Other consumer (7) | 24 | 8 | 20 | 52 | 1,925 | 1,977 | ||||||||||||||||||||||||||||||||
Total consumer | 6,712 | 3,159 | 27,533 | 37,404 | 467,117 | 25,265 | 529,786 | |||||||||||||||||||||||||||||||
Consumer loans accounted for under the fair value option (8) | $ | 2,164 | 2,164 | |||||||||||||||||||||||||||||||||||
Total consumer loans and leases | 6,712 | 3,159 | 27,533 | 37,404 | 467,117 | 25,265 | 2,164 | 531,950 | ||||||||||||||||||||||||||||||
Commercial | ||||||||||||||||||||||||||||||||||||||
U.S. commercial | 363 | 151 | 309 | 823 | 211,734 | 212,557 | ||||||||||||||||||||||||||||||||
Commercial real estate (9) | 30 | 29 | 243 | 302 | 47,591 | 47,893 | ||||||||||||||||||||||||||||||||
Commercial lease financing | 110 | 37 | 48 | 195 | 25,004 | 25,199 | ||||||||||||||||||||||||||||||||
Non-U.S. commercial | 103 | 8 | 17 | 128 | 89,334 | 89,462 | ||||||||||||||||||||||||||||||||
U.S. small business commercial | 87 | 55 | 113 | 255 | 13,039 | 13,294 | ||||||||||||||||||||||||||||||||
Total commercial | 693 | 280 | 730 | 1,703 | 386,702 | 388,405 | ||||||||||||||||||||||||||||||||
Commercial loans accounted for under the fair value option (8) | 7,878 | 7,878 | ||||||||||||||||||||||||||||||||||||
Total commercial loans and leases | 693 | 280 | 730 | 1,703 | 386,702 | 7,878 | 396,283 | |||||||||||||||||||||||||||||||
Total loans and leases | $ | 7,405 | $ | 3,439 | $ | 28,263 | $ | 39,107 | $ | 853,819 | $ | 25,265 | $ | 10,042 | $ | 928,233 | ||||||||||||||||||||||
Percentage of outstandings | 0.8 | % | 0.37 | % | 3.04 | % | 4.21 | % | 91.99 | % | 2.72 | % | 1.08 | % | 100 | % | ||||||||||||||||||||||
(1) | Consumer real estate loans 30-59 days past due includes fully-insured loans of $2.5 billion and nonperforming loans of $623 million. Consumer real estate loans 60-89 days past due includes fully-insured loans of $1.2 billion and nonperforming loans of $410 million. | |||||||||||||||||||||||||||||||||||||
(2) | Consumer real estate includes fully-insured loans of $17.0 billion. | |||||||||||||||||||||||||||||||||||||
(3) | Consumer real estate includes $5.9 billion and direct/indirect consumer includes $33 million of nonperforming loans. | |||||||||||||||||||||||||||||||||||||
(4) | PCI loan amounts are shown gross of the valuation allowance. | |||||||||||||||||||||||||||||||||||||
(5) | Total outstandings includes pay option loans of $4.4 billion. The Corporation no longer originates this product. | |||||||||||||||||||||||||||||||||||||
(6) | Total outstandings includes dealer financial services loans of $38.5 billion, unsecured consumer lending loans of $2.7 billion, U.S. securities-based lending loans of $31.2 billion, non-U.S. consumer loans of $4.7 billion, student loans of $4.1 billion and other consumer loans of $1.0 billion. | |||||||||||||||||||||||||||||||||||||
(7) | Total outstandings includes consumer finance loans of $1.2 billion, consumer leases of $606 million, consumer overdrafts of $176 million and other non-U.S. consumer loans of $5 million. | |||||||||||||||||||||||||||||||||||||
(8) | Consumer loans accounted for under the fair value option were residential mortgage loans of $2.0 billion and home equity loans of $147 million. Commercial loans accounted for under the fair value option were U.S. commercial loans of $1.5 billion and non-U.S. commercial loans of $6.4 billion. For additional information, see Note 20 – Fair Value Measurements and Note 21 – Fair Value Option. | |||||||||||||||||||||||||||||||||||||
(9) | Total outstandings includes U.S. commercial real estate loans of $46.3 billion and non-U.S. commercial real estate loans of $1.6 billion. | |||||||||||||||||||||||||||||||||||||
The Corporation has entered into long-term credit protection agreements with FNMA and FHLMC on loans totaling $17.2 billion and $28.2 billion at December 31, 2014 and 2013, providing full credit protection on residential mortgage loans that become severely delinquent. All of these loans are individually insured and therefore the Corporation does not record an allowance for credit losses related to these loans. | ||||||||||||||||||||||||||||||||||||||
Nonperforming Loans and Leases | ||||||||||||||||||||||||||||||||||||||
The Corporation classifies junior-lien home equity loans as nonperforming when the first-lien loan becomes 90 days past due even if the junior-lien loan is performing. At December 31, 2014 and 2013, $800 million and $1.2 billion of such junior-lien home equity loans were included in nonperforming loans. | ||||||||||||||||||||||||||||||||||||||
The Corporation classifies consumer real estate loans that have been discharged in Chapter 7 bankruptcy and not reaffirmed by the borrower as troubled debt restructurings (TDRs), irrespective of payment history or delinquency status, even if the repayment terms for the loan have not been otherwise modified. The Corporation continues to have a lien on the underlying collateral. At December 31, 2014, nonperforming loans discharged in Chapter 7 bankruptcy with no change in repayment terms were $1.4 billion of which $901 million were current on their contractual payments, while $395 million were 90 days or more past due. Of the contractually current nonperforming loans, more than 80 percent were discharged in Chapter 7 bankruptcy more than 12 months ago, and more than 60 percent were discharged 24 months or more ago. As subsequent cash payments are received on the loans that are contractually current, the interest component of the payments is generally recorded as interest income on a cash basis and the principal component is recorded as a reduction in the carrying value of the loan. | ||||||||||||||||||||||||||||||||||||||
Excluding purchased credit-impaired (PCI) loans, the Corporation sold nonperforming and other delinquent consumer loans with a carrying value, excluding the related allowance, of $4.8 billion and $2.0 billion, and recognized gains of $247 million and $58 million recorded in noninterest income, during 2014 and 2013. | ||||||||||||||||||||||||||||||||||||||
The table below presents the Corporation’s nonperforming loans and leases including nonperforming TDRs, and loans accruing past due 90 days or more at December 31, 2014 and 2013. Nonperforming loans held-for-sale (LHFS) are excluded from nonperforming loans and leases as they are recorded at either fair value or the lower of cost or fair value. For more information on the criteria for classification as nonperforming, see Note 1 – Summary of Significant Accounting Principles. | ||||||||||||||||||||||||||||||||||||||
Credit Quality | ||||||||||||||||||||||||||||||||||||||
31-Dec | ||||||||||||||||||||||||||||||||||||||
Nonperforming Loans and Leases (1) | Accruing Past Due | |||||||||||||||||||||||||||||||||||||
90 Days or More | ||||||||||||||||||||||||||||||||||||||
(Dollars in millions) | 2014 | 2013 | 2014 | 2013 | ||||||||||||||||||||||||||||||||||
Consumer real estate | ||||||||||||||||||||||||||||||||||||||
Core portfolio | ||||||||||||||||||||||||||||||||||||||
Residential mortgage (2) | $ | 2,398 | $ | 3,316 | $ | 3,942 | $ | 5,137 | ||||||||||||||||||||||||||||||
Home equity | 1,496 | 1,431 | — | — | ||||||||||||||||||||||||||||||||||
Legacy Assets & Servicing portfolio | ||||||||||||||||||||||||||||||||||||||
Residential mortgage (2) | 4,491 | 8,396 | 7,465 | 11,824 | ||||||||||||||||||||||||||||||||||
Home equity | 2,405 | 2,644 | — | — | ||||||||||||||||||||||||||||||||||
Credit card and other consumer | ||||||||||||||||||||||||||||||||||||||
U.S. credit card | n/a | n/a | 866 | 1,053 | ||||||||||||||||||||||||||||||||||
Non-U.S. credit card | n/a | n/a | 95 | 131 | ||||||||||||||||||||||||||||||||||
Direct/Indirect consumer | 28 | 35 | 64 | 408 | ||||||||||||||||||||||||||||||||||
Other consumer | 1 | 18 | 1 | 2 | ||||||||||||||||||||||||||||||||||
Total consumer | 10,819 | 15,840 | 12,433 | 18,555 | ||||||||||||||||||||||||||||||||||
Commercial | ||||||||||||||||||||||||||||||||||||||
U.S. commercial | 701 | 819 | 110 | 47 | ||||||||||||||||||||||||||||||||||
Commercial real estate | 321 | 322 | 3 | 21 | ||||||||||||||||||||||||||||||||||
Commercial lease financing | 3 | 16 | 41 | 41 | ||||||||||||||||||||||||||||||||||
Non-U.S. commercial | 1 | 64 | — | 17 | ||||||||||||||||||||||||||||||||||
U.S. small business commercial | 87 | 88 | 67 | 78 | ||||||||||||||||||||||||||||||||||
Total commercial | 1,113 | 1,309 | 221 | 204 | ||||||||||||||||||||||||||||||||||
Total loans and leases | $ | 11,932 | $ | 17,149 | $ | 12,654 | $ | 18,759 | ||||||||||||||||||||||||||||||
(1) | Nonperforming loan balances do not include nonaccruing TDRs removed from the PCI loan portfolio prior to January 1, 2010 of $102 million and $260 million at December 31, 2014 and 2013. | |||||||||||||||||||||||||||||||||||||
(2) | Residential mortgage loans in the Core and Legacy Assets & Servicing portfolios accruing past due 90 days or more are fully-insured loans. At December 31, 2014 and 2013, residential mortgage includes $7.3 billion and $13.0 billion of loans on which interest has been curtailed by the FHA, and therefore are no longer accruing interest, although principal is still insured, and $4.1 billion and $4.0 billion of loans on which interest is still accruing. | |||||||||||||||||||||||||||||||||||||
n/a =ot applicable | ||||||||||||||||||||||||||||||||||||||
Credit Quality Indicators | ||||||||||||||||||||||||||||||||||||||
The Corporation monitors credit quality within its Consumer Real Estate, Credit Card and Other Consumer, and Commercial portfolio segments based on primary credit quality indicators. For more information on the portfolio segments, see Note 1 – Summary of Significant Accounting Principles. Within the Consumer Real Estate portfolio segment, the primary credit quality indicators are refreshed LTV and refreshed FICO score. Refreshed LTV measures the carrying value of the loan as a percentage of the value of the property securing the loan, refreshed quarterly. Home equity loans are evaluated using combined loan-to-value (CLTV) which measures the carrying value of the combined loans that have liens against the property and the available line of credit as a percentage of the value of the property securing the loan, refreshed quarterly. FICO score measures the creditworthiness of the borrower based on the financial obligations of the borrower and the borrower’s credit history. At a minimum, FICO scores are refreshed quarterly, and in many cases, more frequently. FICO scores are also a primary credit quality indicator for the Credit Card and Other Consumer portfolio segment and the business card portfolio within U.S. small business commercial. Within the Commercial portfolio segment, loans are evaluated using the internal classifications of pass rated or reservable criticized as the primary credit quality indicators. The term reservable criticized refers to those commercial loans that are internally classified or listed by the Corporation as Special Mention, Substandard or Doubtful, which are asset quality categories defined by regulatory authorities. These assets have an elevated level of risk and may have a high probability of default or total loss. Pass rated refers to all loans not considered reservable criticized. In addition to these primary credit quality indicators, the Corporation uses other credit quality indicators for certain types of loans. | ||||||||||||||||||||||||||||||||||||||
The following tables present certain credit quality indicators for the Corporation’s Consumer Real Estate, Credit Card and Other Consumer, and Commercial portfolio segments, by class of financing receivables, at December 31, 2014 and 2013. | ||||||||||||||||||||||||||||||||||||||
Consumer Real Estate – Credit Quality Indicators (1) | ||||||||||||||||||||||||||||||||||||||
December 31, 2014 | ||||||||||||||||||||||||||||||||||||||
(Dollars in millions) | Core Portfolio Residential | Legacy Assets & Servicing Residential | Residential Mortgage PCI (3) | Core Portfolio Home Equity (2) | Legacy Assets & Servicing Home Equity (2) | Home | ||||||||||||||||||||||||||||||||
Mortgage (2) | Mortgage (2) | Equity PCI | ||||||||||||||||||||||||||||||||||||
Refreshed LTV (4, 5) | ||||||||||||||||||||||||||||||||||||||
Less than or equal to 90 percent | $ | 100,255 | $ | 18,499 | $ | 9,972 | $ | 45,414 | $ | 17,453 | $ | 2,046 | ||||||||||||||||||||||||||
Greater than 90 percent but less than or equal to 100 percent | 4,958 | 3,081 | 2,005 | 2,442 | 3,272 | 1,048 | ||||||||||||||||||||||||||||||||
Greater than 100 percent | 4,017 | 5,265 | 3,175 | 4,031 | 7,496 | 2,523 | ||||||||||||||||||||||||||||||||
Fully-insured loans (6) | 52,990 | 11,980 | — | — | — | — | ||||||||||||||||||||||||||||||||
Total consumer real estate | $ | 162,220 | $ | 38,825 | $ | 15,152 | $ | 51,887 | $ | 28,221 | $ | 5,617 | ||||||||||||||||||||||||||
Refreshed FICO score | ||||||||||||||||||||||||||||||||||||||
Less than 620 | $ | 4,184 | $ | 6,313 | $ | 6,109 | $ | 2,169 | $ | 3,470 | $ | 864 | ||||||||||||||||||||||||||
Greater than or equal to 620 and less than 680 | 6,272 | 4,032 | 3,014 | 3,683 | 4,529 | 995 | ||||||||||||||||||||||||||||||||
Greater than or equal to 680 and less than 740 | 21,946 | 6,463 | 3,310 | 10,231 | 7,905 | 1,651 | ||||||||||||||||||||||||||||||||
Greater than or equal to 740 | 76,828 | 10,037 | 2,719 | 35,804 | 12,317 | 2,107 | ||||||||||||||||||||||||||||||||
Fully-insured loans (6) | 52,990 | 11,980 | — | — | — | — | ||||||||||||||||||||||||||||||||
Total consumer real estate | $ | 162,220 | $ | 38,825 | $ | 15,152 | $ | 51,887 | $ | 28,221 | $ | 5,617 | ||||||||||||||||||||||||||
(1) | Excludes $2.1 billion of loans accounted for under the fair value option. | |||||||||||||||||||||||||||||||||||||
(2) | Excludes PCI loans. | |||||||||||||||||||||||||||||||||||||
(3) | Includes $2.8 billion of pay option loans. The Corporation no longer originates this product. | |||||||||||||||||||||||||||||||||||||
(4) | Refreshed LTV percentages for PCI loans are calculated using the carrying value net of the related valuation allowance. | |||||||||||||||||||||||||||||||||||||
(5) | Effective December 31, 2014, with the exception of high-value properties, underlying values for LTV ratios are primarily determined using automated valuation models. For high-value properties, generally with an original value of $1 million or more, estimated property values are determined using the CoreLogic Case-Shiller Index. Prior-period values have been updated to reflect this change. Previously reported values were primarily determined through an index-based approach. | |||||||||||||||||||||||||||||||||||||
(6) | Credit quality indicators are not reported for fully-insured loans as principal repayment is insured. | |||||||||||||||||||||||||||||||||||||
Credit Card and Other Consumer – Credit Quality Indicators | ||||||||||||||||||||||||||||||||||||||
December 31, 2014 | ||||||||||||||||||||||||||||||||||||||
(Dollars in millions) | U.S. Credit | Non-U.S. | Direct/Indirect | Other | ||||||||||||||||||||||||||||||||||
Card | Credit Card | Consumer | Consumer (1) | |||||||||||||||||||||||||||||||||||
Refreshed FICO score | ||||||||||||||||||||||||||||||||||||||
Less than 620 | $ | 4,467 | $ | — | $ | 1,296 | $ | 266 | ||||||||||||||||||||||||||||||
Greater than or equal to 620 and less than 680 | 12,177 | — | 1,892 | 227 | ||||||||||||||||||||||||||||||||||
Greater than or equal to 680 and less than 740 | 34,986 | — | 10,749 | 307 | ||||||||||||||||||||||||||||||||||
Greater than or equal to 740 | 40,249 | — | 25,279 | 881 | ||||||||||||||||||||||||||||||||||
Other internal credit metrics (2, 3, 4) | — | 10,465 | 41,165 | 165 | ||||||||||||||||||||||||||||||||||
Total credit card and other consumer | $ | 91,879 | $ | 10,465 | $ | 80,381 | $ | 1,846 | ||||||||||||||||||||||||||||||
(1) | Thirty-seven percent of the other consumer portfolio is associated with portfolios from certain consumer finance businesses that the Corporation previously exited. | |||||||||||||||||||||||||||||||||||||
(2) | Other internal credit metrics may include delinquency status, geography or other factors. | |||||||||||||||||||||||||||||||||||||
(3) | Direct/indirect consumer includes $39.7 billion of securities-based lending which is overcollateralized and therefore has minimal credit risk and $632 million of loans the Corporation no longer originates. | |||||||||||||||||||||||||||||||||||||
(4) | Non-U.S. credit card represents the U.K. credit card portfolio which is evaluated using internal credit metrics, including delinquency status. At December 31, 2014, 98 percent of this portfolio was current or less than 30 days past due, one percent was 30-89 days past due and one percent was 90 days or more past due. | |||||||||||||||||||||||||||||||||||||
Commercial – Credit Quality Indicators (1) | ||||||||||||||||||||||||||||||||||||||
December 31, 2014 | ||||||||||||||||||||||||||||||||||||||
(Dollars in millions) | U.S. | Commercial | Commercial | Non-U.S. | U.S. Small | |||||||||||||||||||||||||||||||||
Commercial | Real Estate | Lease | Commercial | Business | ||||||||||||||||||||||||||||||||||
Financing | Commercial (2) | |||||||||||||||||||||||||||||||||||||
Risk ratings | ||||||||||||||||||||||||||||||||||||||
Pass rated | $ | 213,839 | $ | 46,632 | $ | 23,832 | $ | 79,367 | $ | 751 | ||||||||||||||||||||||||||||
Reservable criticized | 6,454 | 1,050 | 1,034 | 716 | 182 | |||||||||||||||||||||||||||||||||
Refreshed FICO score (3) | ||||||||||||||||||||||||||||||||||||||
Less than 620 | 184 | |||||||||||||||||||||||||||||||||||||
Greater than or equal to 620 and less than 680 | 529 | |||||||||||||||||||||||||||||||||||||
Greater than or equal to 680 and less than 740 | 1,591 | |||||||||||||||||||||||||||||||||||||
Greater than or equal to 740 | 2,910 | |||||||||||||||||||||||||||||||||||||
Other internal credit metrics (3, 4) | 7,146 | |||||||||||||||||||||||||||||||||||||
Total commercial | $ | 220,293 | $ | 47,682 | $ | 24,866 | $ | 80,083 | $ | 13,293 | ||||||||||||||||||||||||||||
(1) | Excludes $6.6 billion of loans accounted for under the fair value option. | |||||||||||||||||||||||||||||||||||||
(2) | U.S. small business commercial includes $762 million of criticized business card and small business loans which are evaluated using refreshed FICO scores or internal credit metrics, including delinquency status, rather than risk ratings. At December 31, 2014, 98 percent of the balances where internal credit metrics are used was current or less than 30 days past due. | |||||||||||||||||||||||||||||||||||||
(3) | Refreshed FICO score and other internal credit metrics are applicable only to the U.S. small business commercial portfolio. | |||||||||||||||||||||||||||||||||||||
(4) | Other internal credit metrics may include delinquency status, application scores, geography or other factors. | |||||||||||||||||||||||||||||||||||||
Consumer Real Estate – Credit Quality Indicators (1) | ||||||||||||||||||||||||||||||||||||||
December 31, 2013 | ||||||||||||||||||||||||||||||||||||||
(Dollars in millions) | Core Portfolio Residential | Legacy Assets & Servicing Residential | Residential Mortgage PCI (3) | Core Portfolio Home Equity (2) | Legacy Assets & Servicing Home Equity (2) | Home | ||||||||||||||||||||||||||||||||
Mortgage (2) | Mortgage (2) | Equity PCI | ||||||||||||||||||||||||||||||||||||
Refreshed LTV (4, 5) | ||||||||||||||||||||||||||||||||||||||
Less than or equal to 90 percent | $ | 94,255 | $ | 21,587 | $ | 10,605 | $ | 44,892 | $ | 17,006 | $ | 1,598 | ||||||||||||||||||||||||||
Greater than 90 percent but less than or equal to 100 percent | 7,013 | 4,216 | 2,638 | 3,178 | 3,948 | 1,121 | ||||||||||||||||||||||||||||||||
Greater than 100 percent | 6,356 | 8,720 | 5,429 | 6,429 | 11,626 | 3,874 | ||||||||||||||||||||||||||||||||
Fully-insured loans (6) | 69,712 | 17,535 | — | — | — | — | ||||||||||||||||||||||||||||||||
Total consumer real estate | $ | 177,336 | $ | 52,058 | $ | 18,672 | $ | 54,499 | $ | 32,580 | $ | 6,593 | ||||||||||||||||||||||||||
Refreshed FICO score | ||||||||||||||||||||||||||||||||||||||
Less than 620 | $ | 5,334 | $ | 9,955 | $ | 9,129 | $ | 2,415 | $ | 4,259 | $ | 1,045 | ||||||||||||||||||||||||||
Greater than or equal to 620 and less than 680 | 7,164 | 5,276 | 3,349 | 4,211 | 5,133 | 1,172 | ||||||||||||||||||||||||||||||||
Greater than or equal to 680 and less than 740 | 22,617 | 7,639 | 3,211 | 11,726 | 9,143 | 1,936 | ||||||||||||||||||||||||||||||||
Greater than or equal to 740 | 72,509 | 11,653 | 2,983 | 36,147 | 14,045 | 2,440 | ||||||||||||||||||||||||||||||||
Fully-insured loans (6) | 69,712 | 17,535 | — | — | — | — | ||||||||||||||||||||||||||||||||
Total consumer real estate | $ | 177,336 | $ | 52,058 | $ | 18,672 | $ | 54,499 | $ | 32,580 | $ | 6,593 | ||||||||||||||||||||||||||
(1) | Excludes $2.2 billion of loans accounted for under the fair value option. | |||||||||||||||||||||||||||||||||||||
(2) | Excludes PCI loans. | |||||||||||||||||||||||||||||||||||||
(3) | Includes $4.0 billion of pay option loans. The Corporation no longer originates this product. | |||||||||||||||||||||||||||||||||||||
(4) | Refreshed LTV percentages for PCI loans are calculated using the carrying value net of the related valuation allowance. | |||||||||||||||||||||||||||||||||||||
(5) | Effective December 31, 2014, with the exception of high-value properties, underlying values for LTV ratios are primarily determined using automated valuation models. For high-value properties, generally with an original value of $1 million or more, estimated property values are determined using the CoreLogic Case-Shiller Index. Prior-period values have been updated to reflect this change. Previously reported values were primarily determined through an index-based approach. | |||||||||||||||||||||||||||||||||||||
(6) | Credit quality indicators are not reported for fully-insured loans as principal repayment is insured. | |||||||||||||||||||||||||||||||||||||
Credit Card and Other Consumer – Credit Quality Indicators | ||||||||||||||||||||||||||||||||||||||
December 31, 2013 | ||||||||||||||||||||||||||||||||||||||
(Dollars in millions) | U.S. Credit | Non-U.S. | Direct/Indirect | Other | ||||||||||||||||||||||||||||||||||
Card | Credit Card | Consumer | Consumer (1) | |||||||||||||||||||||||||||||||||||
Refreshed FICO score | ||||||||||||||||||||||||||||||||||||||
Less than 620 | $ | 4,989 | $ | — | $ | 1,220 | $ | 539 | ||||||||||||||||||||||||||||||
Greater than or equal to 620 and less than 680 | 12,753 | — | 3,345 | 264 | ||||||||||||||||||||||||||||||||||
Greater than or equal to 680 and less than 740 | 35,413 | — | 9,887 | 199 | ||||||||||||||||||||||||||||||||||
Greater than or equal to 740 | 39,183 | — | 26,220 | 188 | ||||||||||||||||||||||||||||||||||
Other internal credit metrics (2, 3, 4) | — | 11,541 | 41,520 | 787 | ||||||||||||||||||||||||||||||||||
Total credit card and other consumer | $ | 92,338 | $ | 11,541 | $ | 82,192 | $ | 1,977 | ||||||||||||||||||||||||||||||
(1) | Sixty percent of the other consumer portfolio is associated with portfolios from certain consumer finance businesses that the Corporation previously exited. | |||||||||||||||||||||||||||||||||||||
(2) | Other internal credit metrics may include delinquency status, geography or other factors. | |||||||||||||||||||||||||||||||||||||
(3) | Direct/indirect consumer includes $35.8 billion of securities-based lending which is overcollateralized and therefore has minimal credit risk and $4.1 billion of loans the Corporation no longer originates. | |||||||||||||||||||||||||||||||||||||
(4) | Non-U.S. credit card represents the U.K. credit card portfolio which is evaluated using internal credit metrics, including delinquency status. At December 31, 2013, 98 percent of this portfolio was current or less than 30 days past due, one percent was 30-89 days past due and one percent was 90 days or more past due. | |||||||||||||||||||||||||||||||||||||
Commercial – Credit Quality Indicators (1) | ||||||||||||||||||||||||||||||||||||||
December 31, 2013 | ||||||||||||||||||||||||||||||||||||||
(Dollars in millions) | U.S. | Commercial | Commercial | Non-U.S. | U.S. Small | |||||||||||||||||||||||||||||||||
Commercial | Real Estate | Lease | Commercial | Business | ||||||||||||||||||||||||||||||||||
Financing | Commercial (2) | |||||||||||||||||||||||||||||||||||||
Risk ratings | ||||||||||||||||||||||||||||||||||||||
Pass rated | $ | 205,416 | $ | 46,507 | $ | 24,211 | $ | 88,138 | $ | 1,191 | ||||||||||||||||||||||||||||
Reservable criticized | 7,141 | 1,386 | 988 | 1,324 | 346 | |||||||||||||||||||||||||||||||||
Refreshed FICO score (3) | ||||||||||||||||||||||||||||||||||||||
Less than 620 | 224 | |||||||||||||||||||||||||||||||||||||
Greater than or equal to 620 and less than 680 | 534 | |||||||||||||||||||||||||||||||||||||
Greater than or equal to 680 and less than 740 | 1,567 | |||||||||||||||||||||||||||||||||||||
Greater than or equal to 740 | 2,779 | |||||||||||||||||||||||||||||||||||||
Other internal credit metrics (3, 4) | 6,653 | |||||||||||||||||||||||||||||||||||||
Total commercial | $ | 212,557 | $ | 47,893 | $ | 25,199 | $ | 89,462 | $ | 13,294 | ||||||||||||||||||||||||||||
(1) | Excludes $7.9 billion of loans accounted for under the fair value option. | |||||||||||||||||||||||||||||||||||||
(2) | U.S. small business commercial includes $289 million of criticized business card and small business loans which are evaluated using refreshed FICO scores or internal credit metrics, including delinquency status, rather than risk ratings. At December 31, 2013, 99 percent of the balances where internal credit metrics are used was current or less than 30 days past due. | |||||||||||||||||||||||||||||||||||||
(3) | Refreshed FICO score and other internal credit metrics are applicable only to the U.S. small business commercial portfolio. | |||||||||||||||||||||||||||||||||||||
(4) | Other internal credit metrics may include delinquency status, application scores, geography or other factors. | |||||||||||||||||||||||||||||||||||||
Impaired Loans and Troubled Debt Restructurings | ||||||||||||||||||||||||||||||||||||||
A loan is considered impaired when, based on current information, it is probable that the Corporation will be unable to collect all amounts due from the borrower in accordance with the contractual terms of the loan. Impaired loans include nonperforming commercial loans and all consumer and commercial TDRs. Impaired loans exclude nonperforming consumer loans and nonperforming commercial leases unless they are classified as TDRs. Loans accounted for under the fair value option are also excluded. PCI loans are excluded and reported separately on page 51. For additional information, see Note 1 – Summary of Significant Accounting Principles. | ||||||||||||||||||||||||||||||||||||||
Consumer Real Estate | ||||||||||||||||||||||||||||||||||||||
Impaired consumer real estate loans within the Consumer Real Estate portfolio segment consist entirely of TDRs. Excluding PCI loans, most modifications of consumer real estate loans meet the definition of TDRs when a binding offer is extended to a borrower. Modifications of consumer real estate loans are done in accordance with the government’s Making Home Affordable Program (modifications under government programs) or the Corporation’s proprietary programs (modifications under proprietary programs). These modifications are considered to be TDRs if concessions have been granted to borrowers experiencing financial difficulties. Concessions may include reductions in interest rates, capitalization of past due amounts, principal and/or interest forbearance, payment extensions, principal and/or interest forgiveness, or combinations thereof. During 2013 and 2012, the Corporation provided interest rate modifications to qualified borrowers pursuant to the 2012 National Mortgage Settlement and these interest rate modifications are not considered to be TDRs. | ||||||||||||||||||||||||||||||||||||||
Prior to permanently modifying a loan, the Corporation may enter into trial modifications with certain borrowers under both government and proprietary programs. Trial modifications generally represent a three- to four-month period during which the borrower makes monthly payments under the anticipated modified payment terms. Upon successful completion of the trial period, the Corporation and the borrower enter into a permanent modification. Binding trial modifications are classified as TDRs when the trial offer is made and continue to be classified as TDRs regardless of whether the borrower enters into a permanent modification. | ||||||||||||||||||||||||||||||||||||||
Consumer real estate loans that have been discharged in Chapter 7 bankruptcy with no change in repayment terms of $2.4 billion were included in TDRs at December 31, 2014, of which $1.4 billion were classified as nonperforming and $1.0 billion were loans fully-insured by the Federal Housing Administration (FHA). For more information on loans discharged in Chapter 7 bankruptcy, see Nonperforming Loans and Leases in this Note. | ||||||||||||||||||||||||||||||||||||||
A consumer real estate loan, excluding PCI loans which are reported separately, is not classified as impaired unless it is a TDR. Once such a loan has been designated as a TDR, it is then individually assessed for impairment. Consumer real estate TDRs are measured primarily based on the net present value of the estimated cash flows discounted at the loan’s original effective interest rate, as discussed in the following paragraph. If the carrying value of a TDR exceeds this amount, a specific allowance is recorded as a component of the allowance for loan and lease losses. Alternatively, consumer real estate TDRs that are considered to be dependent solely on the collateral for repayment (e.g., due to the lack of income verification or as a result of being discharged in Chapter 7 bankruptcy) are measured based on the estimated fair value of the collateral and a charge-off is recorded if the carrying value exceeds the fair value of the collateral. Consumer real estate loans that reached 180 days past due prior to modification had been charged off to their net realizable value, less costs to sell, before they were modified as TDRs in accordance with established policy. Therefore, modifications of consumer real estate loans that are 180 or more days past due as TDRs do not have an impact on the allowance for loan and lease losses nor are additional charge-offs required at the time of modification. Subsequent declines in the fair value of the collateral after a loan has reached 180 days past due are recorded as charge-offs. Fully-insured loans are protected against principal loss, and therefore, the Corporation does not record an allowance for loan and lease losses on the outstanding principal balance, even after they have been modified in a TDR. | ||||||||||||||||||||||||||||||||||||||
The net present value of the estimated cash flows used to measure impairment is based on model-driven estimates of projected payments, prepayments, defaults and loss-given-default (LGD). Using statistical modeling methodologies, the Corporation estimates the probability that a loan will default prior to maturity based on the attributes of each loan. The factors that are most relevant to the probability of default are the refreshed LTV, or in the case of a subordinated lien, refreshed CLTV, borrower credit score, months since origination (i.e., vintage) and geography. Each of these factors is further broken down by present collection status (whether the loan is current, delinquent, in default or in bankruptcy). Severity (or LGD) is estimated based on the refreshed LTV for first mortgages or CLTV for subordinated liens. The estimates are based on the Corporation’s historical experience as adjusted to reflect an assessment of environmental factors that may not be reflected in the historical data, such as changes in real estate values, local and national economies, underwriting standards and the regulatory environment. The probability of default models also incorporate recent experience with modification programs including redefaults subsequent to modification, a loan’s default history prior to modification and the change in borrower payments post-modification. | ||||||||||||||||||||||||||||||||||||||
At December 31, 2014 and 2013, remaining commitments to lend additional funds to debtors whose terms have been modified in a consumer real estate TDR were immaterial. Consumer real estate foreclosed properties totaled $630 million and $533 million at December 31, 2014 and 2013. | ||||||||||||||||||||||||||||||||||||||
The table below provides the unpaid principal balance, carrying value and related allowance at December 31, 2014 and 2013, and the average carrying value and interest income recognized for 2014, 2013 and 2012 for impaired loans in the Corporation’s Consumer Real Estate portfolio segment and includes primarily loans managed by LAS. Certain impaired consumer real estate loans do not have a related allowance as the current valuation of these impaired loans exceeded the carrying value, which is net of previously recorded charge-offs. | ||||||||||||||||||||||||||||||||||||||
Impaired Loans – Consumer Real Estate | ||||||||||||||||||||||||||||||||||||||
December 31, 2014 | December 31, 2013 | |||||||||||||||||||||||||||||||||||||
(Dollars in millions) | Unpaid | Carrying | Related | Unpaid | Carrying | Related | ||||||||||||||||||||||||||||||||
Principal | Value | Allowance | Principal | Value | Allowance | |||||||||||||||||||||||||||||||||
Balance | Balance | |||||||||||||||||||||||||||||||||||||
With no recorded allowance | ||||||||||||||||||||||||||||||||||||||
Residential mortgage | $ | 19,710 | $ | 15,605 | $ | — | $ | 21,567 | $ | 16,450 | $ | — | ||||||||||||||||||||||||||
Home equity | 3,540 | 1,630 | — | 3,249 | 1,385 | — | ||||||||||||||||||||||||||||||||
With an allowance recorded | ||||||||||||||||||||||||||||||||||||||
Residential mortgage | $ | 7,861 | $ | 7,665 | $ | 531 | $ | 13,341 | $ | 12,862 | $ | 991 | ||||||||||||||||||||||||||
Home equity | 852 | 728 | 196 | 893 | 761 | 240 | ||||||||||||||||||||||||||||||||
Total | ||||||||||||||||||||||||||||||||||||||
Residential mortgage | $ | 27,571 | $ | 23,270 | $ | 531 | $ | 34,908 | $ | 29,312 | $ | 991 | ||||||||||||||||||||||||||
Home equity | 4,392 | 2,358 | 196 | 4,142 | 2,146 | 240 | ||||||||||||||||||||||||||||||||
2014 | 2013 | 2012 | ||||||||||||||||||||||||||||||||||||
Average | Interest | Average | Interest | Average | Interest | |||||||||||||||||||||||||||||||||
Carrying | Income | Carrying | Income | Carrying | Income | |||||||||||||||||||||||||||||||||
Value | Recognized (1) | Value | Recognized (1) | Value | Recognized (1) | |||||||||||||||||||||||||||||||||
With no recorded allowance | ||||||||||||||||||||||||||||||||||||||
Residential mortgage | $ | 15,065 | $ | 490 | $ | 16,625 | $ | 621 | $ | 10,937 | $ | 366 | ||||||||||||||||||||||||||
Home equity | 1,486 | 87 | 1,245 | 76 | 734 | 49 | ||||||||||||||||||||||||||||||||
With an allowance recorded | ||||||||||||||||||||||||||||||||||||||
Residential mortgage | $ | 10,826 | $ | 411 | $ | 13,926 | $ | 616 | $ | 11,575 | $ | 423 | ||||||||||||||||||||||||||
Home equity | 743 | 25 | 912 | 41 | 1,145 | 44 | ||||||||||||||||||||||||||||||||
Total | ||||||||||||||||||||||||||||||||||||||
Residential mortgage | $ | 25,891 | $ | 901 | $ | 30,551 | $ | 1,237 | $ | 22,512 | $ | 789 | ||||||||||||||||||||||||||
Home equity | 2,229 | 112 | 2,157 | 117 | 1,879 | 93 | ||||||||||||||||||||||||||||||||
(1) | Interest income recognized includes interest accrued and collected on the outstanding balances of accruing impaired loans as well as interest cash collections on nonaccruing impaired loans for which the principal is considered collectible. | |||||||||||||||||||||||||||||||||||||
The following table presents the December 31, 2014, 2013 and 2012 unpaid principal balance, carrying value, and average pre- and post-modification interest rates on consumer real estate loans that were modified in TDRs during 2014, 2013 and 2012, and net charge-offs recorded during the period in which the modification occurred. The following Consumer Real Estate portfolio segment tables include loans that were initially classified as TDRs during the period and also loans that had previously been classified as TDRs and were modified again during the period. These TDRs are primarily managed by LAS. | ||||||||||||||||||||||||||||||||||||||
Consumer Real Estate – TDRs Entered into During 2014, 2013 and 2012 (1) | ||||||||||||||||||||||||||||||||||||||
December 31, 2014 | 2014 | |||||||||||||||||||||||||||||||||||||
(Dollars in millions) | Unpaid Principal Balance | Carrying | Pre-Modification Interest Rate | Post-Modification Interest Rate (2) | Net | |||||||||||||||||||||||||||||||||
Value | Charge-offs (3) | |||||||||||||||||||||||||||||||||||||
Residential mortgage | $ | 5,940 | $ | 5,120 | 5.28 | % | 4.93 | % | $ | 72 | ||||||||||||||||||||||||||||
Home equity | 863 | 592 | 4 | 3.33 | 99 | |||||||||||||||||||||||||||||||||
Total | $ | 6,803 | $ | 5,712 | 5.12 | 4.73 | $ | 171 | ||||||||||||||||||||||||||||||
31-Dec-13 | 2013 | |||||||||||||||||||||||||||||||||||||
Residential mortgage | $ | 11,233 | $ | 10,016 | 5.3 | % | 4.27 | % | $ | 235 | ||||||||||||||||||||||||||||
Home equity | 878 | 521 | 5.29 | 3.92 | 192 | |||||||||||||||||||||||||||||||||
Total | $ | 12,111 | $ | 10,537 | 5.3 | 4.24 | $ | 427 | ||||||||||||||||||||||||||||||
31-Dec-12 | 2012 | |||||||||||||||||||||||||||||||||||||
Residential mortgage | $ | 15,088 | $ | 12,228 | 5.52 | % | 4.7 | % | $ | 523 | ||||||||||||||||||||||||||||
Home equity | 1,721 | 858 | 5.22 | 4.39 | 716 | |||||||||||||||||||||||||||||||||
Total | $ | 16,809 | $ | 13,086 | 5.49 | 4.66 | $ | 1,239 | ||||||||||||||||||||||||||||||
(1) | TDRs entered into during 2014 include modifications with principal forgiveness of $53 million related to residential mortgage and $1 million related to home equity. TDRs entered into during 2013 include residential mortgage modifications with principal forgiveness of $467 million. TDRs entered into during 2012 include modifications with principal forgiveness of $778 million related to residential mortgage and $9 million related to home equity. | |||||||||||||||||||||||||||||||||||||
(2) | The post-modification interest rate reflects the interest rate applicable only to permanently completed modifications, which exclude loans that are in a trial modification period. | |||||||||||||||||||||||||||||||||||||
(3) | Net charge-offs include amounts recorded on loans modified during the period that are no longer held by the Corporation at December 31, 2014, 2013 and 2012 due to sales and other dispositions. | |||||||||||||||||||||||||||||||||||||
The table below presents the December 31, 2014, 2013 and 2012 carrying value for consumer real estate loans that were modified in a TDR during 2014, 2013 and 2012, by type of modification. | ||||||||||||||||||||||||||||||||||||||
Consumer Real Estate – Modification Programs | ||||||||||||||||||||||||||||||||||||||
TDRs Entered into During 2014 | ||||||||||||||||||||||||||||||||||||||
(Dollars in millions) | Residential Mortgage | Home | Total Carrying Value | |||||||||||||||||||||||||||||||||||
Equity | ||||||||||||||||||||||||||||||||||||||
Modifications under government programs | ||||||||||||||||||||||||||||||||||||||
Contractual interest rate reduction | $ | 643 | $ | 56 | $ | 699 | ||||||||||||||||||||||||||||||||
Principal and/or interest forbearance | 16 | 18 | 34 | |||||||||||||||||||||||||||||||||||
Other modifications (1) | 98 | 1 | 99 | |||||||||||||||||||||||||||||||||||
Total modifications under government programs | 757 | 75 | 832 | |||||||||||||||||||||||||||||||||||
Modifications under proprietary programs | ||||||||||||||||||||||||||||||||||||||
Contractual interest rate reduction | 244 | 22 | 266 | |||||||||||||||||||||||||||||||||||
Capitalization of past due amounts | 71 | 2 | 73 | |||||||||||||||||||||||||||||||||||
Principal and/or interest forbearance | 66 | 75 | 141 | |||||||||||||||||||||||||||||||||||
Other modifications (1) | 40 | 47 | 87 | |||||||||||||||||||||||||||||||||||
Total modifications under proprietary programs | 421 | 146 | 567 | |||||||||||||||||||||||||||||||||||
Trial modifications | 3,421 | 182 | 3,603 | |||||||||||||||||||||||||||||||||||
Loans discharged in Chapter 7 bankruptcy (2) | 521 | 189 | 710 | |||||||||||||||||||||||||||||||||||
Total modifications | $ | 5,120 | $ | 592 | $ | 5,712 | ||||||||||||||||||||||||||||||||
TDRs Entered into During 2013 | ||||||||||||||||||||||||||||||||||||||
Modifications under government programs | ||||||||||||||||||||||||||||||||||||||
Contractual interest rate reduction | $ | 1,815 | $ | 48 | $ | 1,863 | ||||||||||||||||||||||||||||||||
Principal and/or interest forbearance | 35 | 24 | 59 | |||||||||||||||||||||||||||||||||||
Other modifications (1) | 100 | — | 100 | |||||||||||||||||||||||||||||||||||
Total modifications under government programs | 1,950 | 72 | 2,022 | |||||||||||||||||||||||||||||||||||
Modifications under proprietary programs | ||||||||||||||||||||||||||||||||||||||
Contractual interest rate reduction | 2,799 | 40 | 2,839 | |||||||||||||||||||||||||||||||||||
Capitalization of past due amounts | 132 | 2 | 134 | |||||||||||||||||||||||||||||||||||
Principal and/or interest forbearance | 469 | 17 | 486 | |||||||||||||||||||||||||||||||||||
Other modifications (1) | 105 | 25 | 130 | |||||||||||||||||||||||||||||||||||
Total modifications under proprietary programs | 3,505 | 84 | 3,589 | |||||||||||||||||||||||||||||||||||
Trial modifications | 3,410 | 87 | 3,497 | |||||||||||||||||||||||||||||||||||
Loans discharged in Chapter 7 bankruptcy (2) | 1,151 | 278 | 1,429 | |||||||||||||||||||||||||||||||||||
Total modifications | $ | 10,016 | $ | 521 | $ | 10,537 | ||||||||||||||||||||||||||||||||
TDRs Entered into During 2012 | ||||||||||||||||||||||||||||||||||||||
Modifications under government programs | ||||||||||||||||||||||||||||||||||||||
Contractual interest rate reduction | $ | 642 | $ | 78 | $ | 720 | ||||||||||||||||||||||||||||||||
Principal and/or interest forbearance | 51 | 31 | 82 | |||||||||||||||||||||||||||||||||||
Other modifications (1) | 37 | 1 | 38 | |||||||||||||||||||||||||||||||||||
Total modifications under government programs | 730 | 110 | 840 | |||||||||||||||||||||||||||||||||||
Modifications under proprietary programs | ||||||||||||||||||||||||||||||||||||||
Contractual interest rate reduction | 3,350 | 44 | 3,394 | |||||||||||||||||||||||||||||||||||
Capitalization of past due amounts | 144 | — | 144 | |||||||||||||||||||||||||||||||||||
Principal and/or interest forbearance | 424 | 16 | 440 | |||||||||||||||||||||||||||||||||||
Other modifications (1) | 97 | 21 | 118 | |||||||||||||||||||||||||||||||||||
Total modifications under proprietary programs | 4,015 | 81 | 4,096 | |||||||||||||||||||||||||||||||||||
Trial modifications | 4,547 | 69 | 4,616 | |||||||||||||||||||||||||||||||||||
Loans discharged in Chapter 7 bankruptcy (2) | 2,936 | 598 | 3,534 | |||||||||||||||||||||||||||||||||||
Total modifications | $ | 12,228 | $ | 858 | $ | 13,086 | ||||||||||||||||||||||||||||||||
(1) | Includes other modifications such as term or payment extensions and repayment plans. | |||||||||||||||||||||||||||||||||||||
(2) | Includes loans discharged in Chapter 7 bankruptcy with no change in repayment terms that are classified as TDRs. | |||||||||||||||||||||||||||||||||||||
The table below presents the carrying value of loans that entered into payment default during 2014, 2013 and 2012 that were modified in a TDR during the 12 months preceding payment default. Total carrying value includes loans with a carrying value of $2.0 billion, $2.4 billion and $667 million that entered into payment default during 2014, 2013 and 2012 but were no longer held by the Corporation as of December 31, 2014, 2013 and 2012 due to sales and other dispositions. A payment default for consumer real estate TDRs is recognized when a borrower has missed three monthly payments (not necessarily consecutively) since modification. Payment defaults on a trial modification where the borrower has not yet met the terms of the agreement are included in the table below if the borrower is 90 days or more past due three months after the offer to modify is made. | ||||||||||||||||||||||||||||||||||||||
Consumer Real Estate – TDRs Entering Payment Default That Were Modified During the Preceding 12 Months | ||||||||||||||||||||||||||||||||||||||
2014 | ||||||||||||||||||||||||||||||||||||||
(Dollars in millions) | Residential Mortgage | Home | Total Carrying Value (1) | |||||||||||||||||||||||||||||||||||
Equity | ||||||||||||||||||||||||||||||||||||||
Modifications under government programs | $ | 696 | $ | 4 | $ | 700 | ||||||||||||||||||||||||||||||||
Modifications under proprietary programs | 714 | 12 | 726 | |||||||||||||||||||||||||||||||||||
Loans discharged in Chapter 7 bankruptcy (2) | 481 | 70 | 551 | |||||||||||||||||||||||||||||||||||
Trial modifications | 2,231 | 56 | 2,287 | |||||||||||||||||||||||||||||||||||
Total modifications | $ | 4,122 | $ | 142 | $ | 4,264 | ||||||||||||||||||||||||||||||||
2013 | ||||||||||||||||||||||||||||||||||||||
Modifications under government programs | $ | 454 | $ | 2 | $ | 456 | ||||||||||||||||||||||||||||||||
Modifications under proprietary programs | 1,117 | 4 | 1,121 | |||||||||||||||||||||||||||||||||||
Loans discharged in Chapter 7 bankruptcy (2) | 964 | 30 | 994 | |||||||||||||||||||||||||||||||||||
Trial modifications | 4,376 | 14 | 4,390 | |||||||||||||||||||||||||||||||||||
Total modifications | $ | 6,911 | $ | 50 | $ | 6,961 | ||||||||||||||||||||||||||||||||
2012 | ||||||||||||||||||||||||||||||||||||||
Modifications under government programs | $ | 202 | $ | 8 | $ | 210 | ||||||||||||||||||||||||||||||||
Modifications under proprietary programs | 942 | 14 | 956 | |||||||||||||||||||||||||||||||||||
Loans discharged in Chapter 7 bankruptcy (2) | 1,228 | 53 | 1,281 | |||||||||||||||||||||||||||||||||||
Trial modifications | 2,351 | 20 | 2,371 | |||||||||||||||||||||||||||||||||||
Total modifications | $ | 4,723 | $ | 95 | $ | 4,818 | ||||||||||||||||||||||||||||||||
(1) | Total carrying value includes loans with a carrying value of $2.0 billion, $2.4 billion and $667 million that entered into payment default during 2014, 2013 and 2012 but were no longer held by the Corporation as of December 31, 2014, 2013 and 2012 due to sales and other dispositions. | |||||||||||||||||||||||||||||||||||||
(2) | Includes loans discharged in Chapter 7 bankruptcy with no change in repayment terms that are classified as TDRs. | |||||||||||||||||||||||||||||||||||||
Credit Card and Other Consumer | ||||||||||||||||||||||||||||||||||||||
Impaired loans within the Credit Card and Other Consumer portfolio segment consist entirely of loans that have been modified in TDRs (the renegotiated credit card and other consumer TDR portfolio, collectively referred to as the renegotiated TDR portfolio). The Corporation seeks to assist customers that are experiencing financial difficulty by modifying loans while ensuring compliance with federal, local and international laws and guidelines. Credit card and other consumer loan modifications generally involve reducing the interest rate on the account and placing the customer on a fixed payment plan not exceeding 60 months, all of which are considered TDRs. In addition, the accounts of non-U.S. credit card customers who do not qualify for a fixed payment plan may have their interest rates reduced, as required by certain local jurisdictions. These modifications, which are also TDRs, tend to experience higher payment default rates given that the borrowers may lack the ability to repay even with the interest rate reduction. In all cases, the customer’s available line of credit is canceled. The Corporation makes loan modifications directly with borrowers for debt held only by the Corporation (internal programs). Additionally, the Corporation makes loan modifications for borrowers working with third-party renegotiation agencies that provide solutions to customers’ entire unsecured debt structures (external programs). The Corporation classifies other secured consumer loans that have been discharged in Chapter 7 bankruptcy as TDRs which are written down to collateral value and placed on nonaccrual status no later than the time of discharge. For more information on the regulatory guidance on loans discharged in Chapter 7 bankruptcy, see Nonperforming Loans and Leases in this Note. | ||||||||||||||||||||||||||||||||||||||
All credit card and substantially all other consumer loans that have been modified in TDRs remain on accrual status until the loan is either paid in full or charged off, which occurs no later than the end of the month in which the loan becomes 180 days past due or generally at 120 days past due for a loan that was placed on a fixed payment plan after July 1, 2012. | ||||||||||||||||||||||||||||||||||||||
The allowance for impaired credit card and substantially all other consumer loans is based on the present value of projected cash flows, which incorporates the Corporation’s historical payment default and loss experience on modified loans, discounted using the portfolio’s average contractual interest rate, excluding promotionally priced loans, in effect prior to restructuring. Credit card and other consumer loans are included in homogeneous pools which are collectively evaluated for impairment. For these portfolios, loss forecast models are utilized that consider a variety of factors including, but not limited to, historical loss experience, delinquency status, economic trends and credit scores. | ||||||||||||||||||||||||||||||||||||||
The table below provides the unpaid principal balance, carrying value and related allowance at December 31, 2014 and 2013, and the average carrying value and interest income recognized for 2014, 2013 and 2012 on the Corporation’s renegotiated TDR portfolio in the Credit Card and Other Consumer portfolio segment. | ||||||||||||||||||||||||||||||||||||||
Impaired Loans – Credit Card and Other Consumer – Renegotiated TDRs | ||||||||||||||||||||||||||||||||||||||
December 31, 2014 | December 31, 2013 | |||||||||||||||||||||||||||||||||||||
(Dollars in millions) | Unpaid | Carrying | Related | Unpaid | Carrying | Related | ||||||||||||||||||||||||||||||||
Principal | Value (1) | Allowance | Principal | Value (1) | Allowance | |||||||||||||||||||||||||||||||||
Balance | Balance | |||||||||||||||||||||||||||||||||||||
With no recorded allowance | ||||||||||||||||||||||||||||||||||||||
Direct/Indirect consumer | $ | 59 | $ | 25 | $ | — | $ | 75 | $ | 32 | $ | — | ||||||||||||||||||||||||||
Other consumer | — | — | — | 34 | 34 | — | ||||||||||||||||||||||||||||||||
With an allowance recorded | ||||||||||||||||||||||||||||||||||||||
U.S. credit card | $ | 804 | $ | 856 | $ | 207 | $ | 1,384 | $ | 1,465 | $ | 337 | ||||||||||||||||||||||||||
Non-U.S. credit card | 132 | 168 | 108 | 200 | 240 | 149 | ||||||||||||||||||||||||||||||||
Direct/Indirect consumer | 76 | 92 | 24 | 242 | 282 | 84 | ||||||||||||||||||||||||||||||||
Other consumer | — | — | — | 27 | 26 | 9 | ||||||||||||||||||||||||||||||||
Total | ||||||||||||||||||||||||||||||||||||||
U.S. credit card | $ | 804 | $ | 856 | $ | 207 | $ | 1,384 | $ | 1,465 | $ | 337 | ||||||||||||||||||||||||||
Non-U.S. credit card | 132 | 168 | 108 | 200 | 240 | 149 | ||||||||||||||||||||||||||||||||
Direct/Indirect consumer | 135 | 117 | 24 | 317 | 314 | 84 | ||||||||||||||||||||||||||||||||
Other consumer | — | — | — | 61 | 60 | 9 | ||||||||||||||||||||||||||||||||
2014 | 2013 | 2012 | ||||||||||||||||||||||||||||||||||||
Average | Interest | Average | Interest | Average | Interest | |||||||||||||||||||||||||||||||||
Carrying | Income | Carrying | Income | Carrying | Income | |||||||||||||||||||||||||||||||||
Value | Recognized (2) | Value | Recognized (2) | Value | Recognized (2) | |||||||||||||||||||||||||||||||||
With no recorded allowance | ||||||||||||||||||||||||||||||||||||||
Direct/Indirect consumer | $ | 27 | $ | — | $ | 42 | $ | — | $ | 58 | $ | — | ||||||||||||||||||||||||||
Other consumer | 33 | 2 | 34 | 2 | 35 | 2 | ||||||||||||||||||||||||||||||||
With an allowance recorded | ||||||||||||||||||||||||||||||||||||||
U.S. credit card | $ | 1,148 | $ | 71 | $ | 2,144 | $ | 134 | $ | 4,085 | $ | 253 | ||||||||||||||||||||||||||
Non-U.S. credit card | 210 | 6 | 266 | 7 | 464 | 10 | ||||||||||||||||||||||||||||||||
Direct/Indirect consumer | 180 | 9 | 456 | 24 | 929 | 50 | ||||||||||||||||||||||||||||||||
Other consumer | 23 | 1 | 28 | 2 | 29 | 2 | ||||||||||||||||||||||||||||||||
Total | ||||||||||||||||||||||||||||||||||||||
U.S. credit card | $ | 1,148 | $ | 71 | $ | 2,144 | $ | 134 | $ | 4,085 | $ | 253 | ||||||||||||||||||||||||||
Non-U.S. credit card | 210 | 6 | 266 | 7 | 464 | 10 | ||||||||||||||||||||||||||||||||
Direct/Indirect consumer | 207 | 9 | 498 | 24 | 987 | 50 | ||||||||||||||||||||||||||||||||
Other consumer | 56 | 3 | 62 | 4 | 64 | 4 | ||||||||||||||||||||||||||||||||
(1) | Includes accrued interest and fees. | |||||||||||||||||||||||||||||||||||||
(2) | Interest income recognized includes interest accrued and collected on the outstanding balances of accruing impaired loans as well as interest cash collections on nonaccruing impaired loans for which the principal is considered collectible. | |||||||||||||||||||||||||||||||||||||
The table below provides information on the Corporation’s primary modification programs for the renegotiated TDR portfolio at December 31, 2014 and 2013. | ||||||||||||||||||||||||||||||||||||||
Credit Card and Other Consumer – Renegotiated TDRs by Program Type | ||||||||||||||||||||||||||||||||||||||
31-Dec | ||||||||||||||||||||||||||||||||||||||
Internal Programs | External Programs | Other (1) | Total | Percent of Balances Current or Less Than 30 Days Past Due | ||||||||||||||||||||||||||||||||||
(Dollars in millions) | 2014 | 2013 | 2014 | 2013 | 2014 | 2013 | 2014 | 2013 | 2014 | 2013 | ||||||||||||||||||||||||||||
U.S. credit card | $ | 450 | $ | 842 | $ | 397 | $ | 607 | $ | 9 | $ | 16 | $ | 856 | $ | 1,465 | 84.99 | % | 82.77 | % | ||||||||||||||||||
Non-U.S. credit card | 41 | 71 | 16 | 26 | 111 | 143 | 168 | 240 | 47.56 | 49.01 | ||||||||||||||||||||||||||||
Direct/Indirect consumer | 50 | 170 | 34 | 106 | 33 | 38 | 117 | 314 | 85.21 | 84.29 | ||||||||||||||||||||||||||||
Other consumer | — | 60 | — | — | — | — | — | 60 | — | 71.08 | ||||||||||||||||||||||||||||
Total renegotiated TDRs | $ | 541 | $ | 1,143 | $ | 447 | $ | 739 | $ | 153 | $ | 197 | $ | 1,141 | $ | 2,079 | 79.51 | 78.77 | ||||||||||||||||||||
(1) | Other TDRs for non-U.S. credit card include modifications of accounts that are ineligible for a fixed payment plan. | |||||||||||||||||||||||||||||||||||||
The table below provides information on the Corporation’s renegotiated TDR portfolio including the December 31, 2014, 2013 and 2012 unpaid principal balance, carrying value and average pre- and post-modification interest rates of loans that were modified in TDRs during 2014, 2013 and 2012, and net charge-offs recorded during the period in which the modification occurred. | ||||||||||||||||||||||||||||||||||||||
Credit Card and Other Consumer – Renegotiated TDRs Entered into During 2014, 2013 and 2012 | ||||||||||||||||||||||||||||||||||||||
December 31, 2014 | 2014 | |||||||||||||||||||||||||||||||||||||
(Dollars in millions) | Unpaid Principal Balance | Carrying Value (1) | Pre-Modification Interest Rate | Post-Modification Interest Rate | Net | |||||||||||||||||||||||||||||||||
Charge-offs | ||||||||||||||||||||||||||||||||||||||
U.S. credit card | $ | 276 | $ | 301 | 16.64 | % | 5.15 | % | $ | 37 | ||||||||||||||||||||||||||||
Non-U.S. credit card | 91 | 106 | 24.9 | 0.68 | 91 | |||||||||||||||||||||||||||||||||
Direct/Indirect consumer | 27 | 19 | 8.66 | 4.9 | 14 | |||||||||||||||||||||||||||||||||
Total | $ | 394 | $ | 426 | 18.32 | 4.03 | $ | 142 | ||||||||||||||||||||||||||||||
31-Dec-13 | 2013 | |||||||||||||||||||||||||||||||||||||
U.S. credit card | $ | 299 | $ | 329 | 16.84 | % | 5.84 | % | $ | 30 | ||||||||||||||||||||||||||||
Non-U.S. credit card | 134 | 147 | 25.9 | 0.95 | 138 | |||||||||||||||||||||||||||||||||
Direct/Indirect consumer | 47 | 38 | 11.53 | 4.74 | 15 | |||||||||||||||||||||||||||||||||
Other consumer | 8 | 8 | 9.28 | 5.25 | — | |||||||||||||||||||||||||||||||||
Total | $ | 488 | $ | 522 | 18.89 | 4.37 | $ | 183 | ||||||||||||||||||||||||||||||
31-Dec-12 | 2012 | |||||||||||||||||||||||||||||||||||||
U.S. credit card | $ | 396 | $ | 400 | 17.59 | % | 6.36 | % | $ | 45 | ||||||||||||||||||||||||||||
Non-U.S. credit card | 196 | 206 | 26.19 | 1.15 | 190 | |||||||||||||||||||||||||||||||||
Direct/Indirect consumer | 160 | 113 | 9.59 | 5.72 | 52 | |||||||||||||||||||||||||||||||||
Other consumer | 9 | 9 | 9.97 | 6.44 | — | |||||||||||||||||||||||||||||||||
Total | $ | 761 | $ | 728 | 18.68 | 4.79 | $ | 287 | ||||||||||||||||||||||||||||||
(1) | Includes accrued interest and fees. | |||||||||||||||||||||||||||||||||||||
The table below provides information on the Corporation’s primary modification programs for the renegotiated TDR portfolio for loans that were modified in TDRs during 2014, 2013 and 2012. | ||||||||||||||||||||||||||||||||||||||
Credit Card and Other Consumer – Renegotiated TDRs Entered into During the Period by Program Type | ||||||||||||||||||||||||||||||||||||||
2014 | ||||||||||||||||||||||||||||||||||||||
(Dollars in millions) | Internal Programs | External Programs | Other (1) | Total | ||||||||||||||||||||||||||||||||||
U.S. credit card | $ | 196 | $ | 105 | $ | — | $ | 301 | ||||||||||||||||||||||||||||||
Non-U.S. credit card | 6 | 6 | 94 | 106 | ||||||||||||||||||||||||||||||||||
Direct/Indirect consumer | 4 | 2 | 13 | 19 | ||||||||||||||||||||||||||||||||||
Total renegotiated TDRs | $ | 206 | $ | 113 | $ | 107 | $ | 426 | ||||||||||||||||||||||||||||||
2013 | ||||||||||||||||||||||||||||||||||||||
U.S. credit card | $ | 192 | $ | 137 | $ | — | $ | 329 | ||||||||||||||||||||||||||||||
Non-U.S. credit card | 16 | 9 | 122 | 147 | ||||||||||||||||||||||||||||||||||
Direct/Indirect consumer | 15 | 8 | 15 | 38 | ||||||||||||||||||||||||||||||||||
Other consumer | 8 | — | — | 8 | ||||||||||||||||||||||||||||||||||
Total renegotiated TDRs | $ | 231 | $ | 154 | $ | 137 | $ | 522 | ||||||||||||||||||||||||||||||
2012 | ||||||||||||||||||||||||||||||||||||||
U.S. credit card | $ | 248 | $ | 152 | $ | — | $ | 400 | ||||||||||||||||||||||||||||||
Non-U.S. credit card | 38 | 14 | 154 | 206 | ||||||||||||||||||||||||||||||||||
Direct/Indirect consumer | 36 | 19 | 58 | 113 | ||||||||||||||||||||||||||||||||||
Other consumer | 9 | — | — | 9 | ||||||||||||||||||||||||||||||||||
Total renegotiated TDRs | $ | 331 | $ | 185 | $ | 212 | $ | 728 | ||||||||||||||||||||||||||||||
(1) | Other TDRs for non-U.S. credit card include modifications of accounts that are ineligible for a fixed payment plan. | |||||||||||||||||||||||||||||||||||||
Credit card and other consumer loans are deemed to be in payment default during the quarter in which a borrower misses the second of two consecutive payments. Payment defaults are one of the factors considered when projecting future cash flows in the calculation of the allowance for loan and lease losses for impaired credit card and other consumer loans. Based on historical experience, the Corporation estimates that 14 percent of new U.S. credit card TDRs, 81 percent of new non-U.S. credit card TDRs and 12 percent of new direct/indirect consumer TDRs may be in payment default within 12 months after modification. Loans that entered into payment default during 2014, 2013 and 2012 that had been modified in a TDR during the preceding 12 months were $56 million, $61 million and $203 million for U.S. credit card, $200 million, $236 million and $298 million for non-U.S. credit card, and $5 million, $12 million and $35 million for direct/indirect consumer, respectively. | ||||||||||||||||||||||||||||||||||||||
Commercial Loans | ||||||||||||||||||||||||||||||||||||||
Impaired commercial loans, which include nonperforming loans and TDRs (both performing and nonperforming), are primarily measured based on the present value of payments expected to be received, discounted at the loan’s original effective interest rate. Commercial impaired loans may also be measured based on observable market prices or, for loans that are solely dependent on the collateral for repayment, the estimated fair value of collateral, less costs to sell. If the carrying value of a loan exceeds this amount, a specific allowance is recorded as a component of the allowance for loan and lease losses. | ||||||||||||||||||||||||||||||||||||||
Modifications of loans to commercial borrowers that are experiencing financial difficulty are designed to reduce the Corporation’s loss exposure while providing the borrower with an opportunity to work through financial difficulties, often to avoid foreclosure or bankruptcy. Each modification is unique and reflects the individual circumstances of the borrower. Modifications that result in a TDR may include extensions of maturity at a concessionary (below market) rate of interest, payment forbearances or other actions designed to benefit the customer while mitigating the Corporation’s risk exposure. Reductions in interest rates are rare. Instead, the interest rates are typically increased, although the increased rate may not represent a market rate of interest. Infrequently, concessions may also include principal forgiveness in connection with foreclosure, short sale or other settlement agreements leading to termination or sale of the loan. | ||||||||||||||||||||||||||||||||||||||
At the time of restructuring, the loans are remeasured to reflect the impact, if any, on projected cash flows resulting from the modified terms. If there was no forgiveness of principal and the interest rate was not decreased, the modification may have little or no impact on the allowance established for the loan. If a portion of the loan is deemed to be uncollectible, a charge-off may be recorded at the time of restructuring. Alternatively, a charge-off may have already been recorded in a previous period such that no charge-off is required at the time of modification. For more information on modifications for the U.S. small business commercial portfolio, see Credit Card and Other Consumer in this Note. | ||||||||||||||||||||||||||||||||||||||
At December 31, 2014 and 2013, remaining commitments to lend additional funds to debtors whose terms have been modified in a commercial loan TDR were immaterial. Commercial foreclosed properties totaled $67 million and $90 million at December 31, 2014 and 2013. | ||||||||||||||||||||||||||||||||||||||
The table below provides the unpaid principal balance, carrying value and related allowance at December 31, 2014 and 2013, and the average carrying value and interest income recognized for 2014, 2013 and 2012 for impaired loans in the Corporation’s Commercial loan portfolio segment. Certain impaired commercial loans do not have a related allowance as the valuation of these impaired loans exceeded the carrying value, which is net of previously recorded charge-offs. | ||||||||||||||||||||||||||||||||||||||
Impaired Loans – Commercial | ||||||||||||||||||||||||||||||||||||||
December 31, 2014 | December 31, 2013 | |||||||||||||||||||||||||||||||||||||
(Dollars in millions) | Unpaid | Carrying | Related | Unpaid | Carrying | Related | ||||||||||||||||||||||||||||||||
Principal | Value | Allowance | Principal | Value | Allowance | |||||||||||||||||||||||||||||||||
Balance | Balance | |||||||||||||||||||||||||||||||||||||
With no recorded allowance | ||||||||||||||||||||||||||||||||||||||
U.S. commercial | $ | 668 | $ | 650 | $ | — | $ | 609 | $ | 577 | $ | — | ||||||||||||||||||||||||||
Commercial real estate | 60 | 48 | — | 254 | 228 | — | ||||||||||||||||||||||||||||||||
Non-U.S. commercial | — | — | — | 10 | 10 | — | ||||||||||||||||||||||||||||||||
With an allowance recorded | ||||||||||||||||||||||||||||||||||||||
U.S. commercial | $ | 1,139 | $ | 839 | $ | 75 | $ | 1,581 | $ | 1,262 | $ | 164 | ||||||||||||||||||||||||||
Commercial real estate | 678 | 495 | 48 | 1,066 | 731 | 61 | ||||||||||||||||||||||||||||||||
Non-U.S. commercial | 47 | 44 | 1 | 254 | 64 | 16 | ||||||||||||||||||||||||||||||||
U.S. small business commercial (1) | 133 | 122 | 35 | 186 | 176 | 36 | ||||||||||||||||||||||||||||||||
Total | ||||||||||||||||||||||||||||||||||||||
U.S. commercial | $ | 1,807 | $ | 1,489 | $ | 75 | $ | 2,190 | $ | 1,839 | $ | 164 | ||||||||||||||||||||||||||
Commercial real estate | 738 | 543 | 48 | 1,320 | 959 | 61 | ||||||||||||||||||||||||||||||||
Non-U.S. commercial | 47 | 44 | 1 | 264 | 74 | 16 | ||||||||||||||||||||||||||||||||
U.S. small business commercial (1) | 133 | 122 | 35 | 186 | 176 | 36 | ||||||||||||||||||||||||||||||||
2014 | 2013 | 2012 | ||||||||||||||||||||||||||||||||||||
Average | Interest | Average | Interest | Average | Interest | |||||||||||||||||||||||||||||||||
Carrying | Income | Carrying | Income | Carrying | Income | |||||||||||||||||||||||||||||||||
Value | Recognized (2) | Value | Recognized (2) | Value | Recognized (2) | |||||||||||||||||||||||||||||||||
With no recorded allowance | ||||||||||||||||||||||||||||||||||||||
U.S. commercial | $ | 546 | $ | 12 | $ | 442 | $ | 6 | $ | 588 | $ | 9 | ||||||||||||||||||||||||||
Commercial real estate | 166 | 3 | 269 | 3 | 1,119 | 3 | ||||||||||||||||||||||||||||||||
Non-U.S. commercial | 15 | — | 28 | — | 104 | — | ||||||||||||||||||||||||||||||||
With an allowance recorded | ||||||||||||||||||||||||||||||||||||||
U.S. commercial | $ | 1,198 | $ | 51 | $ | 1,553 | $ | 47 | $ | 2,104 | $ | 55 | ||||||||||||||||||||||||||
Commercial real estate | 632 | 16 | 1,148 | 28 | 2,126 | 29 | ||||||||||||||||||||||||||||||||
Non-U.S. commercial | 52 | 3 | 109 | 5 | 77 | 4 | ||||||||||||||||||||||||||||||||
U.S. small business commercial (1) | 151 | 3 | 236 | 6 | 409 | 13 | ||||||||||||||||||||||||||||||||
Total | ||||||||||||||||||||||||||||||||||||||
U.S. commercial | $ | 1,744 | $ | 63 | $ | 1,995 | $ | 53 | $ | 2,692 | $ | 64 | ||||||||||||||||||||||||||
Commercial real estate | 798 | 19 | 1,417 | 31 | 3,245 | 32 | ||||||||||||||||||||||||||||||||
Non-U.S. commercial | 67 | 3 | 137 | 5 | 181 | 4 | ||||||||||||||||||||||||||||||||
U.S. small business commercial (1) | 151 | 3 | 236 | 6 | 409 | 13 | ||||||||||||||||||||||||||||||||
(1) | Includes U.S. small business commercial renegotiated TDR loans and related allowance. | |||||||||||||||||||||||||||||||||||||
(2) | Interest income recognized includes interest accrued and collected on the outstanding balances of accruing impaired loans as well as interest cash collections on nonaccruing impaired loans for which the principal is considered collectible. | |||||||||||||||||||||||||||||||||||||
The table below presents the December 31, 2014, 2013 and 2012 unpaid principal balance and carrying value of commercial loans that were modified as TDRs during 2014, 2013 and 2012, and net charge-offs recorded during the period in which the modification occurred. The table below includes loans that were initially classified as TDRs during the period and also loans that had previously been classified as TDRs and were modified again during the period. | ||||||||||||||||||||||||||||||||||||||
Commercial – TDRs Entered into During 2014, 2013 and 2012 | ||||||||||||||||||||||||||||||||||||||
December 31, 2014 | 2014 | |||||||||||||||||||||||||||||||||||||
(Dollars in millions) | Unpaid Principal Balance | Carrying Value | Net Charge-offs | |||||||||||||||||||||||||||||||||||
U.S. commercial | $ | 818 | $ | 785 | $ | 49 | ||||||||||||||||||||||||||||||||
Commercial real estate | 346 | 346 | 8 | |||||||||||||||||||||||||||||||||||
Non-U.S. commercial | 44 | 43 | — | |||||||||||||||||||||||||||||||||||
U.S. small business commercial (1) | 3 | 3 | — | |||||||||||||||||||||||||||||||||||
Total | $ | 1,211 | $ | 1,177 | $ | 57 | ||||||||||||||||||||||||||||||||
31-Dec-13 | 2013 | |||||||||||||||||||||||||||||||||||||
U.S. commercial | $ | 926 | $ | 910 | $ | 33 | ||||||||||||||||||||||||||||||||
Commercial real estate | 483 | 425 | 3 | |||||||||||||||||||||||||||||||||||
Non-U.S. commercial | 61 | 44 | 7 | |||||||||||||||||||||||||||||||||||
U.S. small business commercial (1) | 8 | 9 | 1 | |||||||||||||||||||||||||||||||||||
Total | $ | 1,478 | $ | 1,388 | $ | 44 | ||||||||||||||||||||||||||||||||
31-Dec-12 | 2012 | |||||||||||||||||||||||||||||||||||||
U.S. commercial | $ | 590 | $ | 558 | $ | 34 | ||||||||||||||||||||||||||||||||
Commercial real estate | 793 | 721 | 20 | |||||||||||||||||||||||||||||||||||
Non-U.S. commercial | 90 | 89 | 1 | |||||||||||||||||||||||||||||||||||
U.S. small business commercial (1) | 22 | 22 | 5 | |||||||||||||||||||||||||||||||||||
Total | $ | 1,495 | $ | 1,390 | $ | 60 | ||||||||||||||||||||||||||||||||
(1) | U.S. small business commercial TDRs are comprised of renegotiated small business card loans. | |||||||||||||||||||||||||||||||||||||
A commercial TDR is generally deemed to be in payment default when the loan is 90 days or more past due, including delinquencies that were not resolved as part of the modification. U.S. small business commercial TDRs are deemed to be in payment default during the quarter in which a borrower misses the second of two consecutive payments. Payment defaults are one of the factors considered when projecting future cash flows, along with observable market prices or fair value of collateral when measuring the allowance for loan and lease losses. TDRs that were in payment default had a carrying value of $103 million, $55 million and $130 million for U.S. commercial and $211 million, $128 million and $455 million for commercial real estate at December 31, 2014, 2013 and 2012, respectively. | ||||||||||||||||||||||||||||||||||||||
Purchased Credit-impaired Loans | ||||||||||||||||||||||||||||||||||||||
PCI loans are acquired loans with evidence of credit quality deterioration since origination for which it is probable at purchase date that the Corporation will be unable to collect all contractually required payments. The following table presents PCI loans acquired in connection with the 2013 settlement with FNMA. | ||||||||||||||||||||||||||||||||||||||
Purchased Loans at Acquisition Date | ||||||||||||||||||||||||||||||||||||||
(Dollars in millions) | ||||||||||||||||||||||||||||||||||||||
Contractually required payments including interest | $ | 8,274 | ||||||||||||||||||||||||||||||||||||
Less: Nonaccretable difference | 2,159 | |||||||||||||||||||||||||||||||||||||
Cash flows expected to be collected (1) | 6,115 | |||||||||||||||||||||||||||||||||||||
Less: Accretable yield | 1,125 | |||||||||||||||||||||||||||||||||||||
Fair value of loans acquired | $ | 4,990 | ||||||||||||||||||||||||||||||||||||
(1) | Represents undiscounted expected principal and interest cash flows at acquisition. | |||||||||||||||||||||||||||||||||||||
The table below shows activity for the accretable yield on PCI loans, which includes the Countrywide Financial Corporation (Countrywide) portfolio and loans repurchased in connection with the settlement with FNMA. For more information on the settlement with FNMA, see Note 7 – Representations and Warranties Obligations and Corporate Guarantees. The amount of accretable yield is affected by changes in credit outlooks, including metrics such as default rates and loss severities, prepayment speeds, which can change the amount and period of time over which interest payments are expected to be received, and the interest rates on variable rate loans. The reclassifications from nonaccretable difference during 2014 and 2013 were due to lower expected loss rates and a decrease in forecasted prepayment speeds. Changes in the prepayment assumption affect the expected remaining life of the portfolio which results in a change to the amount of future interest cash flows. | ||||||||||||||||||||||||||||||||||||||
Rollforward of Accretable Yield | ||||||||||||||||||||||||||||||||||||||
(Dollars in millions) | ||||||||||||||||||||||||||||||||||||||
Accretable yield, January 1, 2013 | $ | 4,644 | ||||||||||||||||||||||||||||||||||||
Accretion | (1,194 | ) | ||||||||||||||||||||||||||||||||||||
Loans Purchased | 1,125 | |||||||||||||||||||||||||||||||||||||
Disposals/transfers | (361 | ) | ||||||||||||||||||||||||||||||||||||
Reclassifications from nonaccretable difference | 2,480 | |||||||||||||||||||||||||||||||||||||
Accretable yield, December 31, 2013 | 6,694 | |||||||||||||||||||||||||||||||||||||
Accretion | (1,061 | ) | ||||||||||||||||||||||||||||||||||||
Disposals/transfers | (506 | ) | ||||||||||||||||||||||||||||||||||||
Reclassifications from nonaccretable difference | 481 | |||||||||||||||||||||||||||||||||||||
Accretable yield, December 31, 2014 | $ | 5,608 | ||||||||||||||||||||||||||||||||||||
During 2014, the Corporation sold PCI loans with a carrying value of $1.9 billion, which excludes the related allowance of $317 million. For more information on PCI loans, see Note 1 – Summary of Significant Accounting Principles, and for the carrying value and valuation allowance for PCI loans, see Note 5 – Allowance for Credit Losses. | ||||||||||||||||||||||||||||||||||||||
Loans Held-for-sale | ||||||||||||||||||||||||||||||||||||||
The Corporation had LHFS of $12.8 billion and $11.4 billion at December 31, 2014 and 2013. Cash and non-cash proceeds from sales and paydowns of loans originally classified as LHFS were $40.1 billion, $81.0 billion and $58.0 billion for 2014, 2013 and 2012, respectively. Cash used for originations and purchases of LHFS totaled $40.1 billion, $65.7 billion and $59.5 billion for 2014, 2013 and 2012, respectively. |
Allowance_for_Credit_Losses
Allowance for Credit Losses | 12 Months Ended | |||||||||||||||
Dec. 31, 2014 | ||||||||||||||||
Loans and Leases Receivable, Allowance [Abstract] | ||||||||||||||||
Allowance for Credit Losses | Allowance for Credit Losses | |||||||||||||||
The table below summarizes the changes in the allowance for credit losses by portfolio segment for 2014, 2013 and 2012. | ||||||||||||||||
2014 | ||||||||||||||||
(Dollars in millions) | Consumer Real Estate | Credit Card | Commercial | Total | ||||||||||||
and Other | Allowance | |||||||||||||||
Consumer | ||||||||||||||||
Allowance for loan and lease losses, January 1 | $ | 8,518 | $ | 4,905 | $ | 4,005 | $ | 17,428 | ||||||||
Loans and leases charged off | (2,219 | ) | (4,149 | ) | (658 | ) | (7,026 | ) | ||||||||
Recoveries of loans and leases previously charged off | 1,426 | 871 | 346 | 2,643 | ||||||||||||
Net charge-offs | (793 | ) | (3,278 | ) | (312 | ) | (4,383 | ) | ||||||||
Write-offs of PCI loans | (810 | ) | — | — | (810 | ) | ||||||||||
Provision for loan and lease losses | (976 | ) | 2,458 | 749 | 2,231 | |||||||||||
Other (1) | (4 | ) | (38 | ) | (5 | ) | (47 | ) | ||||||||
Allowance for loan and lease losses, December 31 | 5,935 | 4,047 | 4,437 | 14,419 | ||||||||||||
Reserve for unfunded lending commitments, January 1 | — | — | 484 | 484 | ||||||||||||
Provision for unfunded lending commitments | — | — | 44 | 44 | ||||||||||||
Reserve for unfunded lending commitments, December 31 | — | — | 528 | 528 | ||||||||||||
Allowance for credit losses, December 31 | $ | 5,935 | $ | 4,047 | $ | 4,965 | $ | 14,947 | ||||||||
2013 | ||||||||||||||||
Allowance for loan and lease losses, January 1 | $ | 14,933 | $ | 6,140 | $ | 3,106 | $ | 24,179 | ||||||||
Loans and leases charged off | (3,766 | ) | (5,495 | ) | (1,108 | ) | (10,369 | ) | ||||||||
Recoveries of loans and leases previously charged off | 879 | 1,141 | 452 | 2,472 | ||||||||||||
Net charge-offs | (2,887 | ) | (4,354 | ) | (656 | ) | (7,897 | ) | ||||||||
Write-offs of PCI loans | (2,336 | ) | — | — | (2,336 | ) | ||||||||||
Provision for loan and lease losses | (1,124 | ) | 3,139 | 1,559 | 3,574 | |||||||||||
Other (1) | (68 | ) | (20 | ) | (4 | ) | (92 | ) | ||||||||
Allowance for loan and lease losses, December 31 | 8,518 | 4,905 | 4,005 | 17,428 | ||||||||||||
Reserve for unfunded lending commitments, January 1 | — | — | 513 | 513 | ||||||||||||
Provision for unfunded lending commitments | — | — | (18 | ) | (18 | ) | ||||||||||
Other | — | — | (11 | ) | (11 | ) | ||||||||||
Reserve for unfunded lending commitments, December 31 | — | — | 484 | 484 | ||||||||||||
Allowance for credit losses, December 31 | $ | 8,518 | $ | 4,905 | $ | 4,489 | $ | 17,912 | ||||||||
2012 | ||||||||||||||||
Allowance for loan and lease losses, January 1 | $ | 21,079 | $ | 8,569 | $ | 4,135 | $ | 33,783 | ||||||||
Loans and leases charged off | (7,849 | ) | (7,727 | ) | (2,096 | ) | (17,672 | ) | ||||||||
Recoveries of loans and leases previously charged off | 496 | 1,519 | 749 | 2,764 | ||||||||||||
Net charge-offs | (7,353 | ) | (6,208 | ) | (1,347 | ) | (14,908 | ) | ||||||||
Write-offs of PCI loans | (2,820 | ) | — | — | (2,820 | ) | ||||||||||
Provision for loan and lease losses | 4,073 | 3,899 | 338 | 8,310 | ||||||||||||
Other (1) | (46 | ) | (120 | ) | (20 | ) | (186 | ) | ||||||||
Allowance for loan and lease losses, December 31 | 14,933 | 6,140 | 3,106 | 24,179 | ||||||||||||
Reserve for unfunded lending commitments, January 1 | — | — | 714 | 714 | ||||||||||||
Provision for unfunded lending commitments | — | — | (141 | ) | (141 | ) | ||||||||||
Other | — | — | (60 | ) | (60 | ) | ||||||||||
Reserve for unfunded lending commitments, December 31 | — | — | 513 | 513 | ||||||||||||
Allowance for credit losses, December 31 | $ | 14,933 | $ | 6,140 | $ | 3,619 | $ | 24,692 | ||||||||
(1) | Primarily represents the net impact of portfolio sales, consolidations and deconsolidations, and foreign currency translation adjustments. | |||||||||||||||
In 2014, 2013 and 2012, for the PCI loan portfolio, the Corporation recorded a benefit of $31 million, $707 million and $103 million, respectively in the provision for credit losses with a corresponding decrease in the valuation allowance included as part of the allowance for loan and lease losses. Write-offs in the PCI loan portfolio totaled $810 million, $2.3 billion and $2.8 billion with a corresponding decrease in the PCI valuation allowance during 2014, 2013 and 2012, respectively. Write-offs in 2013 included certain PCI loans that were ineligible for the National Mortgage Settlement, but had characteristics similar to the eligible loans and the expectation of future cash proceeds was considered remote. Write-offs of PCI loans in 2012 primarily related to the National Mortgage Settlement. The valuation allowance associated with the PCI loan portfolio was $1.7 billion, $2.5 billion and $5.5 billion at December 31, 2014, 2013 and 2012, respectively. | ||||||||||||||||
The table below presents the allowance and the carrying value of outstanding loans and leases by portfolio segment at December 31, 2014 and 2013. | ||||||||||||||||
Allowance and Carrying Value by Portfolio Segment | ||||||||||||||||
December 31, 2014 | ||||||||||||||||
(Dollars in millions) | Consumer Real Estate | Credit Card | Commercial | Total | ||||||||||||
and Other | ||||||||||||||||
Consumer | ||||||||||||||||
Impaired loans and troubled debt restructurings (1) | ||||||||||||||||
Allowance for loan and lease losses (2) | $ | 727 | $ | 339 | $ | 159 | $ | 1,225 | ||||||||
Carrying value (3) | 25,628 | 1,141 | 2,198 | 28,967 | ||||||||||||
Allowance as a percentage of carrying value | 2.84 | % | 29.71 | % | 7.23 | % | 4.23 | % | ||||||||
Loans collectively evaluated for impairment | ||||||||||||||||
Allowance for loan and lease losses | $ | 3,556 | $ | 3,708 | $ | 4,278 | $ | 11,542 | ||||||||
Carrying value (3, 4) | 255,525 | 183,430 | 384,019 | 822,974 | ||||||||||||
Allowance as a percentage of carrying value (4) | 1.39 | % | 2.02 | % | 1.11 | % | 1.4 | % | ||||||||
Purchased credit-impaired loans | ||||||||||||||||
Valuation allowance | $ | 1,652 | n/a | n/a | $ | 1,652 | ||||||||||
Carrying value gross of valuation allowance | 20,769 | n/a | n/a | 20,769 | ||||||||||||
Valuation allowance as a percentage of carrying value | 7.95 | % | n/a | n/a | 7.95 | % | ||||||||||
Total | ||||||||||||||||
Allowance for loan and lease losses | $ | 5,935 | $ | 4,047 | $ | 4,437 | $ | 14,419 | ||||||||
Carrying value (3, 4) | 301,922 | 184,571 | 386,217 | 872,710 | ||||||||||||
Allowance as a percentage of carrying value (4) | 1.97 | % | 2.19 | % | 1.15 | % | 1.65 | % | ||||||||
December 31, 2013 | ||||||||||||||||
Impaired loans and troubled debt restructurings (1) | ||||||||||||||||
Allowance for loan and lease losses (2) | $ | 1,231 | $ | 579 | $ | 277 | $ | 2,087 | ||||||||
Carrying value (3) | 31,458 | 2,079 | 3,048 | 36,585 | ||||||||||||
Allowance as a percentage of carrying value | 3.91 | % | 27.85 | % | 9.09 | % | 5.7 | % | ||||||||
Loans collectively evaluated for impairment | ||||||||||||||||
Allowance for loan and lease losses | $ | 4,794 | $ | 4,326 | $ | 3,728 | $ | 12,848 | ||||||||
Carrying value (3, 4) | 285,015 | 185,969 | 385,357 | 856,341 | ||||||||||||
Allowance as a percentage of carrying value (4) | 1.68 | % | 2.33 | % | 0.97 | % | 1.5 | % | ||||||||
Purchased credit-impaired loans | ||||||||||||||||
Valuation allowance | $ | 2,493 | n/a | n/a | $ | 2,493 | ||||||||||
Carrying value gross of valuation allowance | 25,265 | n/a | n/a | 25,265 | ||||||||||||
Valuation allowance as a percentage of carrying value | 9.87 | % | n/a | n/a | 9.87 | % | ||||||||||
Total | ||||||||||||||||
Allowance for loan and lease losses | $ | 8,518 | $ | 4,905 | $ | 4,005 | $ | 17,428 | ||||||||
Carrying value (3, 4) | 341,738 | 188,048 | 388,405 | 918,191 | ||||||||||||
Allowance as a percentage of carrying value (4) | 2.49 | % | 2.61 | % | 1.03 | % | 1.9 | % | ||||||||
(1) | Impaired loans include nonperforming commercial loans and all TDRs, including both commercial and consumer TDRs. Impaired loans exclude nonperforming consumer loans unless they are TDRs, and all consumer and commercial loans accounted for under the fair value option. | |||||||||||||||
(2) | Allowance for loan and lease losses includes $35 million and $36 million related to impaired U.S. small business commercial at December 31, 2014 and 2013. | |||||||||||||||
(3) | Amounts are presented gross of the allowance for loan and lease losses. | |||||||||||||||
(4) | Outstanding loan and lease balances and ratios do not include loans accounted for under the fair value option of $8.7 billion and $10.0 billion at December 31, 2014 and 2013. | |||||||||||||||
n/a =ot applicable |
Securitizations_and_Other_Vari
Securitizations and Other Variable Interest Entities | 12 Months Ended | ||||||||||||||||||||||||||||||||||
Dec. 31, 2014 | |||||||||||||||||||||||||||||||||||
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |||||||||||||||||||||||||||||||||||
Securitizations and Other Variable Interest Entities | Securitizations and Other Variable Interest Entities | ||||||||||||||||||||||||||||||||||
The Corporation utilizes variable interest entities (VIEs) in the ordinary course of business to support its own and its customers’ financing and investing needs. The Corporation routinely securitizes loans and debt securities using VIEs as a source of funding for the Corporation and as a means of transferring the economic risk of the loans or debt securities to third parties. The assets are transferred into a trust or other securitization vehicle such that the assets are legally isolated from the creditors of the Corporation and are not available to satisfy its obligations. These assets can only be used to settle obligations of the trust or other securitization vehicle. The Corporation also administers, structures or invests in other VIEs including CDOs, investment vehicles and other entities. For more information on the Corporation’s utilization of VIEs, see Note 1 – Summary of Significant Accounting Principles. | |||||||||||||||||||||||||||||||||||
The tables in this Note present the assets and liabilities of consolidated and unconsolidated VIEs at December 31, 2014 and 2013, in situations where the Corporation has continuing involvement with transferred assets or if the Corporation otherwise has a variable interest in the VIE. The tables also present the Corporation’s maximum loss exposure at December 31, 2014 and 2013 resulting from its involvement with consolidated VIEs and unconsolidated VIEs in which the Corporation holds a variable interest. The Corporation’s maximum loss exposure is based on the unlikely event that all of the assets in the VIEs become worthless and incorporates not only potential losses associated with assets recorded on the Consolidated Balance Sheet but also potential losses associated with off-balance sheet commitments such as unfunded liquidity commitments and other contractual arrangements. The Corporation’s maximum loss exposure does not include losses previously recognized through write-downs of assets. | |||||||||||||||||||||||||||||||||||
The Corporation invests in asset-backed securities (ABS) issued by third-party VIEs with which it has no other form of involvement. These securities are included in Note 3 – Securities and Note 20 – Fair Value Measurements. In addition, the Corporation uses VIEs such as trust preferred securities trusts in connection with its funding activities. For additional information, see Note 11 – Long-term Debt. The Corporation also uses VIEs in the form of synthetic securitization vehicles to mitigate a portion of the credit risk on its residential mortgage loan portfolio, as described in Note 4 – Outstanding Loans and Leases. The Corporation uses VIEs, such as cash funds managed within Global Wealth & Investment Management (GWIM), to provide investment opportunities for clients. These VIEs, which are not consolidated by the Corporation, are not included in the tables in this Note. | |||||||||||||||||||||||||||||||||||
Except as described below, the Corporation did not provide financial support to consolidated or unconsolidated VIEs during 2014 or 2013 that it was not previously contractually required to provide, nor does it intend to do so. | |||||||||||||||||||||||||||||||||||
Mortgage-related Securitizations | |||||||||||||||||||||||||||||||||||
First-lien Mortgages | |||||||||||||||||||||||||||||||||||
As part of its mortgage banking activities, the Corporation securitizes a portion of the first-lien residential mortgage loans it originates or purchases from third parties, generally in the form of RMBS guaranteed by government-sponsored enterprises, FNMA and FHLMC (collectively the GSEs), or GNMA primarily in the case of FHA-insured and U.S. Department of Veterans Affairs (VA)-guaranteed mortgage loans. Securitization usually occurs in conjunction with or shortly after origination or purchase. In addition, the Corporation may, from time to time, securitize commercial mortgages it originates or purchases from other entities. The Corporation typically services the loans it securitizes. Further, the Corporation may retain beneficial interests in the securitization trusts including senior and subordinate securities and equity tranches issued by the trusts. Except as described below and in Note 7 – Representations and Warranties Obligations and Corporate Guarantees, the Corporation does not provide guarantees or recourse to the securitization trusts other than standard representations and warranties. | |||||||||||||||||||||||||||||||||||
The table below summarizes select information related to first-lien mortgage securitizations for 2014 and 2013. | |||||||||||||||||||||||||||||||||||
First-lien Mortgage Securitizations | |||||||||||||||||||||||||||||||||||
Residential Mortgage | |||||||||||||||||||||||||||||||||||
Agency | Non-agency - Subprime | Commercial Mortgage | |||||||||||||||||||||||||||||||||
(Dollars in millions) | 2014 | 2013 | 2014 | 2013 | 2014 | 2013 | |||||||||||||||||||||||||||||
Cash proceeds from new securitizations (1) | $ | 36,905 | $ | 49,888 | $ | 809 | $ | — | $ | 5,710 | $ | 5,326 | |||||||||||||||||||||||
Gain on securitizations (2) | 371 | 81 | 49 | — | 68 | 119 | |||||||||||||||||||||||||||||
(1) | The Corporation transfers residential mortgage loans to securitizations sponsored by the GSEs or GNMA in the normal course of business and receives RMBS in exchange which may then be sold into the market to third-party investors for cash proceeds. | ||||||||||||||||||||||||||||||||||
(2) | Substantially all of the first-lien residential and commercial mortgage loans securitized are initially classified as LHFS and accounted for under the fair value option. As such, gains are recognized on these LHFS prior to securitization. The Corporation recognized $715 million and $2.0 billion of gains, net of hedges, on loans securitized during 2014 and 2013. | ||||||||||||||||||||||||||||||||||
In addition to cash proceeds as reported in the table above, the Corporation received securities with an initial fair value of $5.4 billion and $3.3 billion in connection with first-lien mortgage securitizations in 2014 and 2013. All of these securities were initially classified as Level 2 assets within the fair value hierarchy. During 2014 and 2013, there were no changes to the initial classification. | |||||||||||||||||||||||||||||||||||
The Corporation recognizes consumer MSRs from the sale or securitization of first-lien mortgage loans. Servicing fee and ancillary fee income on consumer mortgage loans serviced, including securitizations where the Corporation has continuing involvement, were $1.8 billion and $2.9 billion in 2014 and 2013. Servicing advances on consumer mortgage loans, including securitizations where the Corporation has continuing involvement, were $10.4 billion and $14.1 billion at December 31, 2014 and 2013. The Corporation may have the option to repurchase delinquent loans out of securitization trusts, which reduces the amount of servicing advances it is required to make. During 2014 and 2013, $5.2 billion and $10.8 billion of loans were repurchased from first-lien securitization trusts primarily as a result of loan delinquencies or to perform modifications. The majority of these loans repurchased were FHA-insured mortgages collateralizing GNMA securities. For more information on MSRs, see Note 23 – Mortgage Servicing Rights. | |||||||||||||||||||||||||||||||||||
The table below summarizes select information related to first-lien mortgage securitization trusts in which the Corporation held a variable interest at December 31, 2014 and 2013. | |||||||||||||||||||||||||||||||||||
First-lien Mortgage VIEs | |||||||||||||||||||||||||||||||||||
Residential Mortgage | |||||||||||||||||||||||||||||||||||
Non-agency | |||||||||||||||||||||||||||||||||||
Agency | Prime | Subprime | Alt-A | Commercial Mortgage | |||||||||||||||||||||||||||||||
December 31 | December 31 | December 31 | |||||||||||||||||||||||||||||||||
(Dollars in millions) | 2014 | 2013 | 2014 | 2013 | 2014 | 2013 | 2014 | 2013 | 2014 | 2013 | |||||||||||||||||||||||||
Unconsolidated VIEs | |||||||||||||||||||||||||||||||||||
Maximum loss exposure (1) | $ | 14,918 | $ | 21,140 | $ | 1,288 | $ | 1,527 | $ | 3,167 | $ | 591 | $ | 710 | $ | 437 | $ | 352 | $ | 432 | |||||||||||||||
On-balance sheet assets | |||||||||||||||||||||||||||||||||||
Senior securities held (2): | |||||||||||||||||||||||||||||||||||
Trading account assets | $ | 584 | $ | 650 | $ | 3 | $ | — | $ | 14 | $ | 1 | $ | 81 | $ | 3 | $ | 54 | $ | 14 | |||||||||||||||
Debt securities carried at fair value | 13,473 | 19,451 | 816 | 988 | 2,811 | 220 | 383 | 109 | 76 | 306 | |||||||||||||||||||||||||
Held-to-maturity securities | 837 | 1,012 | — | — | — | — | — | — | 42 | — | |||||||||||||||||||||||||
Subordinate securities held (2): | |||||||||||||||||||||||||||||||||||
Trading account assets | — | — | — | — | — | 8 | 1 | — | 58 | 13 | |||||||||||||||||||||||||
Debt securities carried at fair value | — | — | 12 | 15 | 5 | 6 | — | — | 58 | 53 | |||||||||||||||||||||||||
Held-to-maturity securities | — | — | — | — | — | — | — | — | 15 | — | |||||||||||||||||||||||||
Residual interests held | — | — | 10 | 13 | — | — | — | — | 22 | 16 | |||||||||||||||||||||||||
All other assets (3) | 24 | 27 | 56 | 71 | 1 | 1 | 245 | 325 | — | — | |||||||||||||||||||||||||
Total retained positions | $ | 14,918 | $ | 21,140 | $ | 897 | $ | 1,087 | $ | 2,831 | $ | 236 | $ | 710 | $ | 437 | $ | 325 | $ | 402 | |||||||||||||||
Principal balance outstanding (4) | $ | 397,055 | $ | 437,765 | $ | 20,167 | $ | 25,104 | $ | 32,592 | $ | 36,854 | $ | 50,054 | $ | 56,454 | $ | 20,593 | $ | 19,730 | |||||||||||||||
Consolidated VIEs | |||||||||||||||||||||||||||||||||||
Maximum loss exposure (1) | $ | 38,345 | $ | 42,420 | $ | 77 | $ | 79 | $ | 206 | $ | 183 | $ | — | $ | — | $ | — | $ | — | |||||||||||||||
On-balance sheet assets | |||||||||||||||||||||||||||||||||||
Trading account assets | $ | 1,538 | $ | 1,640 | $ | — | $ | — | $ | 30 | $ | — | $ | — | $ | — | $ | — | $ | — | |||||||||||||||
Loans and leases | 36,187 | 40,316 | 130 | 140 | 768 | 803 | — | — | — | — | |||||||||||||||||||||||||
Allowance for loan and lease losses | (2 | ) | (3 | ) | — | — | — | — | — | — | — | — | |||||||||||||||||||||||
All other assets | 623 | 474 | 6 | — | 15 | 7 | — | — | — | — | |||||||||||||||||||||||||
Total assets | $ | 38,346 | $ | 42,427 | $ | 136 | $ | 140 | $ | 813 | $ | 810 | $ | — | $ | — | $ | — | $ | — | |||||||||||||||
On-balance sheet liabilities | |||||||||||||||||||||||||||||||||||
Long-term debt | $ | 1 | $ | 7 | $ | 56 | $ | 61 | $ | 770 | $ | 803 | $ | — | $ | — | $ | — | $ | — | |||||||||||||||
All other liabilities | — | — | 3 | — | 13 | 7 | — | — | — | — | |||||||||||||||||||||||||
Total liabilities | $ | 1 | $ | 7 | $ | 59 | $ | 61 | $ | 783 | $ | 810 | $ | — | $ | — | $ | — | $ | — | |||||||||||||||
(1) | Maximum loss exposure excludes the liability for representations and warranties obligations and corporate guarantees and also excludes servicing advances and other servicing rights and obligations. For additional information, see Note 7 – Representations and Warranties Obligations and Corporate Guarantees and Note 23 – Mortgage Servicing Rights. | ||||||||||||||||||||||||||||||||||
(2) | As a holder of these securities, the Corporation receives scheduled principal and interest payments. During 2014 and 2013, there were no OTTI losses recorded on those securities classified as AFS debt securities. | ||||||||||||||||||||||||||||||||||
(3) | Not included in the table above are all other assets of $635 million and $1.6 billion, representing the unpaid principal balance of mortgage loans eligible for repurchase from unconsolidated residential mortgage securitization vehicles, principally guaranteed by GNMA, and all other liabilities of $635 million and $1.6 billion, representing the principal amount that would be payable to the securitization vehicles if the Corporation was to exercise the repurchase option, at December 31, 2014 and 2013. | ||||||||||||||||||||||||||||||||||
(4) | Principal balance outstanding includes loans the Corporation transferred with which it has continuing involvement, which may include servicing the loans. | ||||||||||||||||||||||||||||||||||
Home Equity Loans | |||||||||||||||||||||||||||||||||||
The Corporation retains interests in home equity securitization trusts to which it transferred home equity loans. These retained interests include senior and subordinate securities and residual interests. In addition, the Corporation may be obligated to provide subordinate funding to the trusts during a rapid amortization event. The Corporation typically services the loans in the trusts. Except as described below and in Note 7 – Representations and Warranties Obligations and Corporate Guarantees, the Corporation does not provide guarantees or recourse to the securitization trusts other than standard representations and warranties. There were no securitizations of home equity loans during 2014 and 2013, and all of the home equity trusts that hold revolving home equity lines of credit (HELOCs) have entered the rapid amortization phase. | |||||||||||||||||||||||||||||||||||
The table below summarizes select information related to home equity loan securitization trusts in which the Corporation held a variable interest at December 31, 2014 and 2013. | |||||||||||||||||||||||||||||||||||
Home Equity Loan VIEs | |||||||||||||||||||||||||||||||||||
December 31 | |||||||||||||||||||||||||||||||||||
2014 | 2013 | ||||||||||||||||||||||||||||||||||
(Dollars in millions) | Consolidated | Unconsolidated | Total | Consolidated | Unconsolidated | Total | |||||||||||||||||||||||||||||
VIEs | VIEs | VIEs | VIEs | ||||||||||||||||||||||||||||||||
Maximum loss exposure (1) | $ | 991 | $ | 5,224 | $ | 6,215 | $ | 1,269 | $ | 6,217 | $ | 7,486 | |||||||||||||||||||||||
On-balance sheet assets | |||||||||||||||||||||||||||||||||||
Trading account assets | $ | — | $ | 14 | $ | 14 | $ | — | $ | 12 | $ | 12 | |||||||||||||||||||||||
Debt securities carried at fair value | — | 39 | 39 | — | 25 | 25 | |||||||||||||||||||||||||||||
Loans and leases | 1,014 | — | 1,014 | 1,329 | — | 1,329 | |||||||||||||||||||||||||||||
Allowance for loan and lease losses | (56 | ) | — | (56 | ) | (80 | ) | — | (80 | ) | |||||||||||||||||||||||||
All other assets | 33 | — | 33 | 20 | — | 20 | |||||||||||||||||||||||||||||
Total | $ | 991 | $ | 53 | $ | 1,044 | $ | 1,269 | $ | 37 | $ | 1,306 | |||||||||||||||||||||||
On-balance sheet liabilities | |||||||||||||||||||||||||||||||||||
Long-term debt | $ | 1,076 | $ | — | $ | 1,076 | $ | 1,450 | $ | — | $ | 1,450 | |||||||||||||||||||||||
All other liabilities | — | — | — | 90 | — | 90 | |||||||||||||||||||||||||||||
Total | $ | 1,076 | $ | — | $ | 1,076 | $ | 1,540 | $ | — | $ | 1,540 | |||||||||||||||||||||||
Principal balance outstanding | $ | 1,014 | $ | 6,362 | $ | 7,376 | $ | 1,329 | $ | 7,542 | $ | 8,871 | |||||||||||||||||||||||
(1) | For unconsolidated VIEs, the maximum loss exposure includes outstanding trust certificates issued by trusts in rapid amortization, net of recorded reserves, and excludes the liability for representations and warranties obligations and corporate guarantees. | ||||||||||||||||||||||||||||||||||
The maximum loss exposure in the table above includes the Corporation’s obligation to provide subordinated funding to the consolidated and unconsolidated home equity loan securitizations that have entered a rapid amortization period. During this period, cash payments from borrowers are accumulated to repay outstanding debt securities and the Corporation continues to make advances to borrowers when they draw on their lines of credit. At December 31, 2014 and 2013, home equity loan securitizations in rapid amortization for which the Corporation has a subordinated funding obligation, including both consolidated and unconsolidated trusts, had $6.3 billion and $7.6 billion of trust certificates outstanding. This amount is significantly greater than the amount the Corporation expects to fund. The charges that will ultimately be recorded as a result of the rapid amortization events depend on the undrawn available credit on the home equity lines, which totaled $39 million and $82 million at December 31, 2014 and 2013, as well as performance of the loans, the amount of subsequent draws and the timing of related cash flows. | |||||||||||||||||||||||||||||||||||
During 2013, the Corporation transferred servicing for consolidated home equity securitization trusts with total assets of $475 million and total liabilities of $616 million to a third party. As the Corporation no longer services the underlying loans, these trusts were deconsolidated, resulting in a gain of $141 million that was recorded in other income (loss) in the Consolidated Statement of Income. | |||||||||||||||||||||||||||||||||||
Credit Card Securitizations | |||||||||||||||||||||||||||||||||||
The Corporation securitizes originated and purchased credit card loans. The Corporation’s continuing involvement with the U.S. securitization trust includes servicing the receivables, retaining an undivided interest (seller’s interest) in the receivables, and holding certain retained interests including senior and subordinate securities, subordinate interests in accrued interest and fees on the securitized receivables, and cash reserve accounts. The seller’s interest in the U.S. trust, which is pari passu to the investors’ interest, is classified in loans and leases. All debt issued from the U.K. securitization trust has matured and the credit card receivables were reconveyed to the Corporation during 2014. | |||||||||||||||||||||||||||||||||||
The table below summarizes select information related to consolidated credit card securitization trusts in which the Corporation held a variable interest at December 31, 2014 and 2013. | |||||||||||||||||||||||||||||||||||
Credit Card VIEs | |||||||||||||||||||||||||||||||||||
December 31 | |||||||||||||||||||||||||||||||||||
(Dollars in millions) | 2014 | 2013 | |||||||||||||||||||||||||||||||||
Consolidated VIEs | |||||||||||||||||||||||||||||||||||
Maximum loss exposure | $ | 43,139 | $ | 49,621 | |||||||||||||||||||||||||||||||
On-balance sheet assets | |||||||||||||||||||||||||||||||||||
Derivative assets | $ | 1 | $ | 182 | |||||||||||||||||||||||||||||||
Loans and leases (1) | 53,068 | 61,241 | |||||||||||||||||||||||||||||||||
Allowance for loan and lease losses | (1,904 | ) | (2,585 | ) | |||||||||||||||||||||||||||||||
Loans held-for-sale | — | 386 | |||||||||||||||||||||||||||||||||
All other assets (2) | 391 | 2,281 | |||||||||||||||||||||||||||||||||
Total | $ | 51,556 | $ | 61,505 | |||||||||||||||||||||||||||||||
On-balance sheet liabilities | |||||||||||||||||||||||||||||||||||
Long-term debt | $ | 8,401 | $ | 11,822 | |||||||||||||||||||||||||||||||
All other liabilities | 16 | 62 | |||||||||||||||||||||||||||||||||
Total | $ | 8,417 | $ | 11,884 | |||||||||||||||||||||||||||||||
(1) | At December 31, 2014 and 2013, loans and leases included $36.9 billion and $41.2 billion of seller’s interest. | ||||||||||||||||||||||||||||||||||
(2) | At December 31, 2014 and 2013, all other assets included restricted cash, certain short-term investments, and unbilled accrued interest and fees. | ||||||||||||||||||||||||||||||||||
During 2014, $4.1 billion of new senior debt securities were issued to third-party investors from the U.S. credit card securitization trust and none were issued during 2013. | |||||||||||||||||||||||||||||||||||
The Corporation held subordinate securities issued by credit card securitization trusts with a notional principal amount of $7.4 billion and $7.9 billion at December 31, 2014 and 2013. These securities serve as a form of credit enhancement to the senior debt securities and have a stated interest rate of zero percent. There were $662 million of these subordinate securities issued during 2014 and none issued during 2013. | |||||||||||||||||||||||||||||||||||
Other Asset-backed Securitizations | |||||||||||||||||||||||||||||||||||
Other asset-backed securitizations include resecuritization trusts, municipal bond trusts, and automobile and other securitization trusts. The table below summarizes select information related to other asset-backed securitizations in which the Corporation held a variable interest at December 31, 2014 and 2013. | |||||||||||||||||||||||||||||||||||
Other Asset-backed VIEs | |||||||||||||||||||||||||||||||||||
Resecuritization Trusts | Municipal Bond Trusts | Automobile and Other | |||||||||||||||||||||||||||||||||
Securitization Trusts | |||||||||||||||||||||||||||||||||||
December 31 | December 31 | December 31 | |||||||||||||||||||||||||||||||||
(Dollars in millions) | 2014 | 2013 | 2014 | 2013 | 2014 | 2013 | |||||||||||||||||||||||||||||
Unconsolidated VIEs | |||||||||||||||||||||||||||||||||||
Maximum loss exposure | $ | 8,569 | $ | 11,913 | $ | 2,100 | $ | 2,192 | $ | 77 | $ | 81 | |||||||||||||||||||||||
On-balance sheet assets | |||||||||||||||||||||||||||||||||||
Senior securities held (1, 2): | |||||||||||||||||||||||||||||||||||
Trading account assets | $ | 767 | $ | 971 | $ | 25 | $ | 53 | $ | 6 | $ | 1 | |||||||||||||||||||||||
Debt securities carried at fair value | 6,945 | 10,866 | — | — | 61 | 70 | |||||||||||||||||||||||||||||
Held-to-maturity securities | 740 | — | — | — | — | — | |||||||||||||||||||||||||||||
Subordinate securities held (1, 2): | |||||||||||||||||||||||||||||||||||
Trading account assets | 37 | — | — | — | — | — | |||||||||||||||||||||||||||||
Debt securities carried at fair value | 73 | 71 | — | — | — | — | |||||||||||||||||||||||||||||
Residual interests held (3) | 7 | 5 | — | — | — | — | |||||||||||||||||||||||||||||
All other assets | — | — | — | — | 10 | 10 | |||||||||||||||||||||||||||||
Total retained positions | $ | 8,569 | $ | 11,913 | $ | 25 | $ | 53 | $ | 77 | $ | 81 | |||||||||||||||||||||||
Total assets of VIEs (4) | $ | 28,065 | $ | 40,924 | $ | 3,314 | $ | 3,643 | $ | 1,276 | $ | 1,788 | |||||||||||||||||||||||
Consolidated VIEs | |||||||||||||||||||||||||||||||||||
Maximum loss exposure | $ | 654 | $ | 164 | $ | 2,440 | $ | 2,667 | $ | 92 | $ | 94 | |||||||||||||||||||||||
On-balance sheet assets | |||||||||||||||||||||||||||||||||||
Trading account assets | $ | 1,295 | $ | 319 | $ | 2,452 | $ | 2,684 | $ | — | $ | — | |||||||||||||||||||||||
Loans and leases | — | — | — | — | — | 680 | |||||||||||||||||||||||||||||
Loans held-for-sale | — | — | — | — | 555 | — | |||||||||||||||||||||||||||||
All other assets | — | — | — | — | 54 | 61 | |||||||||||||||||||||||||||||
Total assets | $ | 1,295 | $ | 319 | $ | 2,452 | $ | 2,684 | $ | 609 | $ | 741 | |||||||||||||||||||||||
On-balance sheet liabilities | |||||||||||||||||||||||||||||||||||
Short-term borrowings | $ | — | $ | — | $ | 1,032 | $ | 1,073 | $ | — | $ | — | |||||||||||||||||||||||
Long-term debt | 641 | 155 | 12 | 17 | 516 | 646 | |||||||||||||||||||||||||||||
All other liabilities | — | — | — | — | 1 | 1 | |||||||||||||||||||||||||||||
Total liabilities | $ | 641 | $ | 155 | $ | 1,044 | $ | 1,090 | $ | 517 | $ | 647 | |||||||||||||||||||||||
(1) | As a holder of these securities, the Corporation receives scheduled principal and interest payments. During 2014 and 2013, there were no OTTI losses recorded on those securities classified as AFS debt securities. | ||||||||||||||||||||||||||||||||||
(2) | The retained senior and subordinate securities were valued using quoted market prices or observable market inputs (Level 2 of the fair value hierarchy). | ||||||||||||||||||||||||||||||||||
(3) | The retained residual interests are carried at fair value which was derived using model valuations (Level 2 of the fair value hierarchy). | ||||||||||||||||||||||||||||||||||
(4) | Total assets include loans the Corporation transferred with which the Corporation has continuing involvement, which may include servicing the loan. | ||||||||||||||||||||||||||||||||||
Resecuritization Trusts | |||||||||||||||||||||||||||||||||||
The Corporation transfers existing securities, typically MBS, into resecuritization vehicles at the request of customers seeking securities with specific characteristics. The Corporation may also resecuritize securities within its investment portfolio for purposes of improving liquidity and capital, and managing credit or interest rate risk. Generally, there are no significant ongoing activities performed in a resecuritization trust and no single investor has the unilateral ability to liquidate the trust. | |||||||||||||||||||||||||||||||||||
The Corporation resecuritized $14.4 billion and $26.5 billion of securities in 2014 and 2013. Resecuritizations in 2014 included $1.5 billion of AFS securities, and gains on sale of $71 million were recorded. Other securities transferred into resecuritization vehicles during 2014 and 2013 were classified as trading account assets. As such, changes in fair value were recorded in trading account profits prior to the resecuritization and no gain or loss on sale was recorded. | |||||||||||||||||||||||||||||||||||
Municipal Bond Trusts | |||||||||||||||||||||||||||||||||||
The Corporation administers municipal bond trusts that hold highly-rated, long-term, fixed-rate municipal bonds. The trusts obtain financing by issuing floating-rate trust certificates that reprice on a weekly or other short-term basis to third-party investors. The Corporation may transfer assets into the trusts and may also serve as remarketing agent and/or liquidity provider for the trusts. The floating-rate investors have the right to tender the certificates at specified dates. Should the Corporation be unable to remarket the tendered certificates, it may be obligated to purchase them at par under standby liquidity facilities. The Corporation also provides credit enhancement to investors in certain municipal bond trusts whereby the Corporation guarantees the payment of interest and principal on floating-rate certificates issued by these trusts in the event of default by the issuer of the underlying municipal bond. | |||||||||||||||||||||||||||||||||||
The Corporation’s liquidity commitments to unconsolidated municipal bond trusts, including those for which the Corporation was transferor, totaled $2.1 billion at both December 31, 2014 and 2013. The weighted-average remaining life of bonds held in the trusts at December 31, 2014 was 7.2 years. There were no material write-downs or downgrades of assets or issuers during 2014 and 2013. | |||||||||||||||||||||||||||||||||||
Automobile and Other Securitization Trusts | |||||||||||||||||||||||||||||||||||
The Corporation transfers automobile and other loans into securitization trusts, typically to improve liquidity or manage credit risk. At December 31, 2014 and 2013, the Corporation serviced assets or otherwise had continuing involvement with automobile and other securitization trusts with outstanding balances of $1.9 billion and $2.5 billion, including trusts collateralized by automobile loans of $400 million and $877 million, student loans of $609 million and $741 million, and other loans of $876 million and $911 million. | |||||||||||||||||||||||||||||||||||
Other Variable Interest Entities | |||||||||||||||||||||||||||||||||||
The table below summarizes select information related to other VIEs in which the Corporation held a variable interest at December 31, 2014 and 2013. | |||||||||||||||||||||||||||||||||||
Other VIEs | |||||||||||||||||||||||||||||||||||
December 31 | |||||||||||||||||||||||||||||||||||
2014 | 2013 | ||||||||||||||||||||||||||||||||||
(Dollars in millions) | Consolidated | Unconsolidated | Total | Consolidated | Unconsolidated | Total | |||||||||||||||||||||||||||||
Maximum loss exposure | $ | 7,981 | $ | 12,391 | $ | 20,372 | $ | 9,716 | $ | 12,523 | $ | 22,239 | |||||||||||||||||||||||
On-balance sheet assets | |||||||||||||||||||||||||||||||||||
Trading account assets | $ | 1,575 | $ | 355 | $ | 1,930 | $ | 3,769 | $ | 1,420 | $ | 5,189 | |||||||||||||||||||||||
Derivative assets | 5 | 284 | 289 | 3 | 739 | 742 | |||||||||||||||||||||||||||||
Debt securities carried at fair value | — | 483 | 483 | — | 1,944 | 1,944 | |||||||||||||||||||||||||||||
Loans and leases | 4,020 | 2,693 | 6,713 | 4,609 | 270 | 4,879 | |||||||||||||||||||||||||||||
Allowance for loan and lease losses | (6 | ) | — | (6 | ) | (6 | ) | — | (6 | ) | |||||||||||||||||||||||||
Loans held-for-sale | 1,267 | 814 | 2,081 | 998 | 85 | 1,083 | |||||||||||||||||||||||||||||
All other assets | 1,641 | 6,374 | 8,015 | 1,734 | 6,167 | 7,901 | |||||||||||||||||||||||||||||
Total | $ | 8,502 | $ | 11,003 | $ | 19,505 | $ | 11,107 | $ | 10,625 | $ | 21,732 | |||||||||||||||||||||||
On-balance sheet liabilities | |||||||||||||||||||||||||||||||||||
Short-term borrowings | $ | — | $ | — | $ | — | $ | 77 | $ | — | $ | 77 | |||||||||||||||||||||||
Long-term debt (1) | 1,834 | — | 1,834 | 4,487 | — | 4,487 | |||||||||||||||||||||||||||||
All other liabilities | 105 | 2,643 | 2,748 | 93 | 2,538 | 2,631 | |||||||||||||||||||||||||||||
Total | $ | 1,939 | $ | 2,643 | $ | 4,582 | $ | 4,657 | $ | 2,538 | $ | 7,195 | |||||||||||||||||||||||
Total assets of VIEs | $ | 8,502 | $ | 41,467 | $ | 49,969 | $ | 11,107 | $ | 38,505 | $ | 49,612 | |||||||||||||||||||||||
(1) | Includes $584 million, $0 and $780 million of long-term debt at December 31, 2014 and $1.2 billion, $1.3 billion and $780 million of long-term debt at December 31, 2013 issued by consolidated customer vehicles, CDO vehicles and investment vehicles, respectively, which has recourse to the general credit of the Corporation. | ||||||||||||||||||||||||||||||||||
Customer Vehicles | |||||||||||||||||||||||||||||||||||
Customer vehicles include credit-linked, equity-linked and commodity-linked note vehicles, repackaging vehicles, and asset acquisition vehicles, which are typically created on behalf of customers who wish to obtain market or credit exposure to a specific company, index, commodity or financial instrument. The Corporation may transfer assets to and invest in securities issued by these vehicles. The Corporation typically enters into credit, equity, interest rate, commodity or foreign currency derivatives to synthetically create or alter the investment profile of the issued securities. | |||||||||||||||||||||||||||||||||||
The Corporation’s maximum loss exposure to consolidated and unconsolidated customer vehicles totaled $4.7 billion and $5.9 billion at December 31, 2014 and 2013, including the notional amount of derivatives to which the Corporation is a counterparty, net of losses previously recorded, and the Corporation’s investment, if any, in securities issued by the vehicles. The maximum loss exposure has not been reduced to reflect the benefit of offsetting swaps with the customers or collateral arrangements. The Corporation also had liquidity commitments, including written put options and collateral value guarantees, with certain unconsolidated vehicles of $658 million and $748 million at December 31, 2014 and 2013, that are included in the table above. | |||||||||||||||||||||||||||||||||||
Collateralized Debt Obligation Vehicles | |||||||||||||||||||||||||||||||||||
The Corporation receives fees for structuring CDO vehicles, which hold diversified pools of fixed-income securities, typically corporate debt or ABS, which they fund by issuing multiple tranches of debt and equity securities. Synthetic CDOs enter into a portfolio of CDS to synthetically create exposure to fixed-income securities. CLOs, which are a subset of CDOs, hold pools of loans, typically corporate loans. CDOs are typically managed by third-party portfolio managers. The Corporation typically transfers assets to these CDOs, holds securities issued by the CDOs and may be a derivative counterparty to the CDOs, including a CDS counterparty for synthetic CDOs. The Corporation has also entered into total return swaps with certain CDOs whereby the Corporation absorbs the economic returns generated by specified assets held by the CDO. | |||||||||||||||||||||||||||||||||||
The Corporation’s maximum loss exposure to consolidated and unconsolidated CDOs totaled $780 million and $2.1 billion at December 31, 2014 and 2013. This exposure is calculated on a gross basis and does not reflect any benefit from insurance purchased from third parties. | |||||||||||||||||||||||||||||||||||
At December 31, 2014, the Corporation had $1.2 billion of aggregate liquidity exposure, included in the Other VIEs table net of previously recorded losses, to unconsolidated CDOs which hold senior CDO debt securities or other debt securities on the Corporation’s behalf. For additional information, see Note 12 – Commitments and Contingencies. | |||||||||||||||||||||||||||||||||||
Investment Vehicles | |||||||||||||||||||||||||||||||||||
The Corporation sponsors, invests in or provides financing, which may be in connection with the sale of assets, to a variety of investment vehicles that hold loans, real estate, debt securities or other financial instruments and are designed to provide the desired investment profile to investors or the Corporation. At December 31, 2014 and 2013, the Corporation’s consolidated investment vehicles had total assets of $1.1 billion and $1.2 billion. The Corporation also held investments in unconsolidated vehicles with total assets of $11.2 billion and $5.5 billion at December 31, 2014 and 2013. The Corporation’s maximum loss exposure associated with both consolidated and unconsolidated investment vehicles totaled $5.1 billion and $4.2 billion at December 31, 2014 and 2013 comprised primarily of on-balance sheet assets less non-recourse liabilities. | |||||||||||||||||||||||||||||||||||
The Corporation transferred servicing advance receivables to independent third parties in connection with the sale of MSRs. Portions of the receivables were transferred into unconsolidated securitization trusts. The Corporation retained senior interests in such receivables with a maximum loss exposure and funding obligation of $660 million and $2.5 billion, including a funded balance of $431 million and $1.9 billion at December 31, 2014 and 2013, which were classified in other debt securities carried at fair value. | |||||||||||||||||||||||||||||||||||
Leveraged Lease Trusts | |||||||||||||||||||||||||||||||||||
The Corporation’s net investment in consolidated leveraged lease trusts totaled $3.3 billion and $3.8 billion at December 31, 2014 and 2013. The trusts hold long-lived equipment such as rail cars, power generation and distribution equipment, and commercial aircraft. The Corporation structures the trusts and holds a significant residual interest. The net investment represents the Corporation’s maximum loss exposure to the trusts in the unlikely event that the leveraged lease investments become worthless. Debt issued by the leveraged lease trusts is non-recourse to the Corporation. | |||||||||||||||||||||||||||||||||||
Real Estate Vehicles | |||||||||||||||||||||||||||||||||||
The Corporation held investments in unconsolidated real estate vehicles of $6.2 billion and $5.8 billion at December 31, 2014 and 2013, which primarily consisted of investments in unconsolidated limited partnerships that finance the construction and rehabilitation of affordable rental housing and commercial real estate. An unrelated third party is typically the general partner and has control over the significant activities of the partnership. The Corporation earns a return primarily through the receipt of tax credits allocated to the real estate projects. The Corporation’s risk of loss is mitigated by policies requiring that the project qualify for the expected tax credits prior to making its investment. The Corporation may from time to time be asked to invest additional amounts to support a troubled project. Such additional investments have not been and are not expected to be significant. | |||||||||||||||||||||||||||||||||||
Other Asset-backed Financing Arrangements | |||||||||||||||||||||||||||||||||||
The Corporation transferred pools of financial assets to certain independent third parties and provided financing for up to 75 percent of the purchase price under asset-backed financing arrangements. At December 31, 2014 and 2013, the Corporation’s maximum loss exposure under these financing arrangements was $77 million and $1.1 billion, substantially all of which is classified in loans and leases. All principal and interest payments have been received when due in accordance with their contractual terms. These arrangements are not included in the Other VIEs table because the purchasers are not VIEs. |
Representations_and_Warranties
Representations and Warranties Obligations and Corporate Guarantees | 12 Months Ended | |||||||||||||||||||||||
Dec. 31, 2014 | ||||||||||||||||||||||||
Representations and Warranties Obligations and Corporate Guarantees [Abstract] | ||||||||||||||||||||||||
Representations and Warranties Obligations and Corporate Guarantees | Representations and Warranties Obligations and Corporate Guarantees | |||||||||||||||||||||||
Background | ||||||||||||||||||||||||
The Corporation securitizes first-lien residential mortgage loans generally in the form of RMBS guaranteed by the GSEs or by GNMA in the case of FHA-insured, VA-guaranteed and Rural Housing Service-guaranteed mortgage loans, and sells pools of first-lien residential mortgage loans in the form of whole loans. In addition, in prior years, legacy companies and certain subsidiaries sold pools of first-lien residential mortgage loans and home equity loans as private-label securitizations (in certain of these securitizations, monoline insurers or other financial guarantee providers insured all or some of the securities) or in the form of whole loans. In connection with these transactions, the Corporation or certain of its subsidiaries or legacy companies make or have made various representations and warranties. These representations and warranties, as set forth in the agreements, related to, among other things, the ownership of the loan, the validity of the lien securing the loan, the absence of delinquent taxes or liens against the property securing the loan, the process used to select the loan for inclusion in a transaction, the loan’s compliance with any applicable loan criteria, including underwriting standards, and the loan’s compliance with applicable federal, state and local laws. Breaches of these representations and warranties have resulted in and may continue to result in the requirement to repurchase mortgage loans or to otherwise make whole or provide other remedies to the GSEs, U.S. Department of Housing and Urban Development (HUD) with respect to FHA-insured loans, VA, whole-loan investors, securitization trusts, monoline insurers or other financial guarantors (collectively, repurchases). In all such cases, subsequent to repurchasing the loan, the Corporation would be exposed to any credit loss on the repurchased mortgage loans after accounting for any mortgage insurance (MI) or mortgage guarantee payments that it may receive. | ||||||||||||||||||||||||
Subject to the requirements and limitations of the applicable sales and securitization agreements, these representations and warranties can be enforced by the GSEs, HUD, VA, the whole-loan investor, the securitization trustee or others as governed by the applicable agreement or, in certain first-lien and home equity securitizations where monoline insurers or other financial guarantee providers have insured all or some of the securities issued, by the monoline insurer or other financial guarantor, where the contract so provides. In the case of private-label securitizations, the applicable agreements may permit investors, which may include the GSEs, with sufficient holdings to direct or influence action by the securitization trustee. In the case of loans sold to parties other than the GSEs or GNMA, the Corporation believes the contractual liability to repurchase typically arises only if there is a breach of the representations and warranties that materially and adversely affects the interest of the investor, or investors, or of the monoline insurer or other financial guarantor (as applicable) in the loan. Contracts with the GSEs do not contain equivalent language. Currently, the volume of unresolved repurchase claims from the FHA and VA for loans in GNMA-guaranteed securities is not significant because the claims are typically resolved promptly. The Corporation believes that the longer a loan performs prior to default, the less likely it is that an alleged underwriting breach of representations and warranties would have a material impact on the loan’s performance. | ||||||||||||||||||||||||
The estimate of the liability for representations and warranties exposures and the corresponding estimated range of possible loss is based upon currently available information, significant judgment, and a number of factors and assumptions, including those discussed in Liability for Representations and Warranties and Corporate Guarantees in this Note, that are subject to change. Changes to any one of these factors could significantly impact the estimate of the liability and could have a material adverse impact on the Corporation’s results of operations for any particular period. Given that these factors vary by counterparty, the Corporation analyzes representations and warranties obligations based on the specific counterparty, or type of counterparty, with whom the sale was made. | ||||||||||||||||||||||||
Settlement Actions | ||||||||||||||||||||||||
The Corporation has vigorously contested any request for repurchase when it concludes that a valid basis for repurchase does not exist and will continue to do so in the future. However, in an effort to resolve these legacy mortgage-related issues, the Corporation has reached bulk settlements, including various settlements with the GSEs, including settlement amounts which have been significant, with counterparties in lieu of a loan-by-loan review process. The Corporation may reach other settlements in the future if opportunities arise on terms it believes to be advantageous. However, there can be no assurance that the Corporation will reach future settlements or, if it does, that the terms of past settlements can be relied upon to predict the terms of future settlements. These bulk settlements generally did not cover all transactions with the relevant counterparties or all potential claims that may arise, including in some instances securities law, fraud and servicing claims. The Corporation’s liability in connection with the transactions and claims not covered by these settlements could be material to the Corporation’s results of operations or cash flows for any particular reporting period. The following provides a summary of the larger bulk settlement actions during the past few years. | ||||||||||||||||||||||||
FHFA Settlement | ||||||||||||||||||||||||
On March 25, 2014, the Corporation entered into a settlement with the Federal Housing Finance Agency (FHFA) as conservator of FNMA and Freddie Mac (FHLMC) to resolve (1) all outstanding RMBS litigation between FHFA, FNMA and FHLMC, and the Corporation and its affiliates, and (2) other legacy contract claims related to representations and warranties (collectively, the FHFA Settlement). In connection with the FHFA Settlement, on April 1, 2014, the Corporation paid FNMA and FHLMC, collectively $9.5 billion and received from them RMBS with a fair market value of approximately $3.2 billion, for a net cost of $6.3 billion. | ||||||||||||||||||||||||
Freddie Mac Settlement | ||||||||||||||||||||||||
On November 27, 2013, the Corporation entered into an agreement with FHLMC under which the Corporation paid FHLMC a total of $391 million to resolve all outstanding and potential mortgage repurchase and make-whole claims arising out of any alleged breach of selling representations and warranties related to loans that had been sold directly to FHLMC by entities related to Bank of America, N.A. from January 1, 2000 to December 31, 2009, subject to certain exceptions which the Corporation does not expect to be material, and to compensate FHLMC for certain past losses and potential future losses relating to denials, rescissions and cancellations of MI. | ||||||||||||||||||||||||
Fannie Mae Settlement | ||||||||||||||||||||||||
On January 6, 2013, the Corporation entered into an agreement with FNMA to resolve substantially all outstanding and potential repurchase and certain other claims related to the origination, sale and delivery of residential mortgage loans originated from January 1, 2000 through December 31, 2008 and sold directly to FNMA by entities related to Countrywide and BANA. | ||||||||||||||||||||||||
This agreement covers loans with an aggregate original principal balance of approximately $1.4 trillion and an aggregate outstanding principal balance of approximately $300 billion. Unresolved repurchase claims submitted by FNMA for alleged breaches of selling representations and warranties with respect to these loans totaled $12.2 billion of unpaid principal balance at December 31, 2012. This agreement extinguished substantially all of those unresolved repurchase claims, as well as any future representations and warranties repurchase claims associated with such loans, subject to certain exceptions which the Corporation does not expect to be material. | ||||||||||||||||||||||||
In January 2013, the Corporation made a cash payment to FNMA of $3.6 billion and also repurchased for $6.6 billion certain residential mortgage loans that had previously been sold to FNMA, which the Corporation has valued at less than the purchase price. | ||||||||||||||||||||||||
This agreement also clarified the parties’ obligations with respect to MI including establishing timeframes for certain payments and other actions, setting parameters for potential bulk settlements and providing for cooperation in future dealings with mortgage insurers. For additional information, see Open Mortgage Insurance Rescission Notices in this Note. | ||||||||||||||||||||||||
In addition, pursuant to a separate agreement, the Corporation settled substantially all of FNMA’s outstanding and future claims for compensatory fees arising out of foreclosure delays through December 31, 2012. Collectively, these agreements are referred to herein as the FNMA Settlement. | ||||||||||||||||||||||||
Monoline Settlements | ||||||||||||||||||||||||
FGIC Settlement | ||||||||||||||||||||||||
On April 7, 2014, the Corporation entered into a settlement with Financial Guaranty Insurance Company (FGIC) for certain second-lien RMBS trusts for which FGIC provided financial guarantee insurance. In addition, on April 11, 2014, separate settlements were entered into with the Bank of New York Mellon (BNY Mellon) as trustee with respect to seven of those trusts; settlements on two additional trusts with BNY Mellon as trustee were entered into on May 15, 2014 and May 28, 2014. The agreements resolved all outstanding litigation between FGIC and the Corporation, as well as outstanding and potential claims by FGIC and the trustee related to alleged representations and warranties breaches and other claims involving certain second-lien RMBS trusts for which FGIC provided financial guarantee insurance. The Corporation made payments totaling $950 million under the FGIC and trust settlements. | ||||||||||||||||||||||||
MBIA Settlement | ||||||||||||||||||||||||
On May 7, 2013, the Corporation entered into a comprehensive settlement with MBIA Inc. and certain of its affiliates (the MBIA Settlement) which resolved all outstanding litigation between the parties, as well as other claims between the parties, including outstanding and potential claims from MBIA related to alleged representations and warranties breaches and other claims involving certain first- and second-lien RMBS trusts for which MBIA provided financial guarantee insurance, certain of which claims were the subject of litigation. At the time of the settlement, the mortgages (first- and second-lien) in RMBS trusts covered by the MBIA Settlement had an original principal balance of $54.8 billion and an unpaid principal balance of $19.1 billion. | ||||||||||||||||||||||||
Under the MBIA Settlement, all pending litigation between the parties was dismissed and each party received a global release of those claims. The Corporation made a settlement payment to MBIA of $1.6 billion in cash and transferred to MBIA approximately $95 million in fair market value of notes issued by MBIA and previously held by the Corporation. In addition, MBIA issued to the Corporation warrants to purchase up to approximately 4.9 percent of MBIA’s currently outstanding common stock, at an exercise price of $9.59 per share, which may be exercised at any time prior to May 2018. In addition, the Corporation provided a senior secured $500 million credit facility to an affiliate of MBIA, which has since been repaid and terminated. | ||||||||||||||||||||||||
The parties also terminated various CDS transactions entered into between the Corporation and an MBIA-affiliate, LaCrosse Financial Products, LLC, and guaranteed by MBIA, which constituted all of the outstanding CDS protection agreements purchased by the Corporation from MBIA on commercial mortgage-backed securities. Collectively, those CDS transactions had a notional amount of $7.4 billion and a fair value of $813 million as of March 31, 2013. The parties also terminated certain other trades in order to close out positions between the parties. The termination of these trades did not have a material impact on the Corporation’s financial statements. | ||||||||||||||||||||||||
Syncora Settlement | ||||||||||||||||||||||||
On July 17, 2012, the Corporation entered into a settlement with a monoline insurer, Syncora Guarantee Inc. and Syncora Holdings, Ltd. (Syncora), to resolve all of Syncora’s outstanding and potential claims related to alleged representations and warranties breaches involving eight first- and six second-lien private-label securitization trusts where it provided financial guarantee insurance. The settlement covered private-label securitization trusts that had an original principal balance of first-lien mortgages of approximately $9.6 billion and second-lien mortgages of approximately $7.7 billion. The settlement provided for a cash payment of $375 million to Syncora and other transactions to terminate certain other relationships among the parties. | ||||||||||||||||||||||||
Settlement with the Bank of New York Mellon, as Trustee | ||||||||||||||||||||||||
On June 28, 2011, the Corporation, BAC Home Loans Servicing, LP (BAC HLS, which was subsequently merged with and into BANA in July 2011), and its Countrywide affiliates entered into a settlement agreement with BNY Mellon as trustee (the Trustee), to resolve all outstanding and potential claims related to alleged representations and warranties breaches (including repurchase claims), substantially all historical loan servicing claims and certain other historical claims with respect to 525 Countrywide first-lien and five second-lien non-GSE residential mortgage-backed securitization trusts (the Covered Trusts) containing loans principally originated between 2004 and 2008 for which BNY Mellon acts as trustee or indenture trustee (BNY Mellon Settlement). The Covered Trusts had an original principal balance of approximately $424 billion, of which $409 billion was originated between 2004 and 2008, and total outstanding principal and unpaid principal balance of loans that had defaulted (collectively, unpaid principal balance) of approximately $220 billion at June 28, 2011, of which $217 billion was originated between 2004 and 2008. The BNY Mellon Settlement is supported by a group of 22 institutional investors (the Investor Group) and is subject to final court approval and certain other conditions. | ||||||||||||||||||||||||
The BNY Mellon Settlement provides for a cash payment of $8.5 billion (the Settlement Payment) to the Trustee for distribution to the Covered Trusts after final court approval of the BNY Mellon Settlement. In addition to the Settlement Payment, the Corporation is obligated to pay attorneys’ fees and costs to the Investor Group’s counsel as well as all fees and expenses incurred by the Trustee related to obtaining final court approval of the BNY Mellon Settlement and certain tax rulings. | ||||||||||||||||||||||||
The BNY Mellon Settlement does not cover a small number of Countrywide-issued first-lien non-GSE RMBS transactions with loans originated principally between 2004 and 2008 for various reasons, including for example, six Countrywide-issued first-lien non-GSE RMBS transactions in which BNY Mellon is not the trustee. The BNY Mellon Settlement also does not cover Countrywide-issued second-lien securitization transactions in which a monoline insurer or other financial guarantor provides financial guaranty insurance. In addition, because the settlement is with the Trustee on behalf of the Covered Trusts and releases rights under the governing agreements for the Covered Trusts, the settlement does not release investors’ securities law or fraud claims based upon disclosures made in connection with their decision to purchase, sell or hold securities issued by the Covered Trusts. To date, various investors are pursuing securities law or fraud claims related to one or more of the Covered Trusts. The Corporation is not able to determine whether any additional securities law or fraud claims will be made by investors in the Covered Trusts. For information about mortgage-related securities law or fraud claims, see Litigation and Regulatory Matters in Note 12 – Commitments and Contingencies. For those Covered Trusts where a monoline insurer or other financial guarantor has an independent right to assert repurchase claims directly, the BNY Mellon Settlement does not release such insurer’s or guarantor’s repurchase claims. | ||||||||||||||||||||||||
On January 31, 2014, the court issued a decision, order and judgment approving the BNY Mellon Settlement. The court overruled the objections to the settlement, holding that the Trustee, BNY Mellon, acted in good faith, within its discretion and within the bounds of reasonableness in determining that the settlement agreement was in the best interests of the covered trusts. The court declined to approve the Trustee’s conduct only with respect to the Trustee’s consideration of a potential claim that a loan must be repurchased if the servicer modifies its terms. On February 21, 2014, final judgment was entered and the Trustee filed a notice of appeal regarding the court’s ruling on loan modification claims in the settlement. Certain objectors to the settlement filed cross-appeals appealing the court’s approval of the settlement, some of whom subsequently withdrew their objections. All appeals were fully briefed by September 22, 2014, and oral argument was held on October 23, 2014. The court’s January 31, 2014 decision, order and judgment remain subject to these appeals and it is not possible at this time to predict when the court approval process will be completed. | ||||||||||||||||||||||||
Although the Corporation is not a party to the proceeding, certain of its rights and obligations under the settlement agreement are conditioned on final court approval of the settlement. There can be no assurance final court approval will be obtained, that all conditions to the BNY Mellon Settlement will be satisfied, or if certain conditions to the BNY Mellon Settlement permitting withdrawal are met, that the Corporation and Countrywide will not withdraw from the settlement. | ||||||||||||||||||||||||
If final court approval is not obtained by December 31, 2015, the Corporation and Countrywide may withdraw from the BNY Mellon Settlement, if the Trustee consents. The BNY Mellon Settlement also provides that if Covered Trusts holding loans with an unpaid principal balance exceeding a specified amount are excluded from the final BNY Mellon Settlement, based on investor objections or otherwise, the Corporation and Countrywide have the option to withdraw from the BNY Mellon Settlement pursuant to the terms of the BNY Mellon Settlement agreement. If final court approval is not obtained or if the Corporation and Countrywide withdraw from the BNY Mellon Settlement in accordance with its terms, the Corporation’s future representations and warranties losses could be substantially different from existing accruals and the estimated range of possible loss over existing accruals described under Private-label Securitizations and Whole-loan Sales Experience in this Note. | ||||||||||||||||||||||||
Unresolved Repurchase Claims | ||||||||||||||||||||||||
Unresolved representations and warranties repurchase claims represent the notional amount of repurchase claims made by counterparties, typically the outstanding principal balance or the unpaid principal balance at the time of default. In the case of first-lien mortgages, the claim amount is often significantly greater than the expected loss amount due to the benefit of collateral and, in some cases, MI or mortgage guarantee payments. Claims received from a counterparty remain outstanding until the underlying loan is repurchased, the claim is rescinded by the counterparty or the representations and warranties claims with respect to the applicable trust are settled, and fully and finally released. When a claim is denied and the Corporation does not receive a response from the counterparty, the claim remains in the unresolved repurchase claims balance until resolution. Certain of the claims the Corporation receives are duplicate claims which represent more than one claim outstanding related to a particular loan, typically as the result of bulk claims submitted without individual file reviews. | ||||||||||||||||||||||||
The table below presents unresolved repurchase claims at December 31, 2014 and 2013. The unresolved repurchase claims include only claims where the Corporation believes that the counterparty has the contractual right to submit claims. For additional information, see Private-label Securitizations and Whole-loan Sales Experience in this Note and Note 12 – Commitments and Contingencies. | ||||||||||||||||||||||||
Unresolved Repurchase Claims by Counterparty and Product Type | ||||||||||||||||||||||||
December 31 | ||||||||||||||||||||||||
(Dollars in millions) | 2014 | 2013 | ||||||||||||||||||||||
By counterparty | ||||||||||||||||||||||||
Private-label securitization trustees, whole-loan investors, including third-party securitization sponsors and other (1, 2) | $ | 24,489 | $ | 17,953 | ||||||||||||||||||||
Monolines (3) | 1,546 | 1,532 | ||||||||||||||||||||||
GSEs | 59 | 170 | ||||||||||||||||||||||
Total gross (2) | 26,094 | 19,655 | ||||||||||||||||||||||
Duplicate claims (4) | (3,248 | ) | (961 | ) | ||||||||||||||||||||
Total unresolved repurchase claims by counterparty, net of duplicate claims | $ | 22,846 | $ | 18,694 | ||||||||||||||||||||
By product type | ||||||||||||||||||||||||
Prime loans | $ | 587 | $ | 623 | ||||||||||||||||||||
Alt-A | 2,397 | 2,259 | ||||||||||||||||||||||
Home equity | 2,485 | 1,905 | ||||||||||||||||||||||
Pay option | 6,294 | 5,780 | ||||||||||||||||||||||
Subprime | 14,121 | 8,928 | ||||||||||||||||||||||
Other | 210 | 160 | ||||||||||||||||||||||
Total (2) | 26,094 | 19,655 | ||||||||||||||||||||||
Duplicate claims (4) | (3,248 | ) | (961 | ) | ||||||||||||||||||||
Total unresolved repurchase claims by product type, net of duplicate claims | $ | 22,846 | $ | 18,694 | ||||||||||||||||||||
(1) | The total notional amount of unresolved repurchase claims does not include repurchase claims related to the trusts covered by the BNY Mellon Settlement. | |||||||||||||||||||||||
(2) | Includes $14.1 billion and $13.8 billion of claims based on individual file reviews and $10.4 billion and $4.1 billion of claims submitted without individual file reviews at December 31, 2014 and 2013. | |||||||||||||||||||||||
(3) | At December 31, 2014, substantially all of the unresolved monoline claims are currently the subject of litigation with a single monoline insurer pertain to second-lien loans. | |||||||||||||||||||||||
(4) | Represents more than one claim outstanding related to a particular loan, typically as the result of bulk claims submitted without individual file reviews. The December 31, 2014 amount includes approximately $2.9 billion of duplicate claims related to private-label investors submitted without individual loan file reviews. | |||||||||||||||||||||||
During 2014, the Corporation received $8.1 billion in new repurchase claims, including $6.3 billion of claims submitted without individual loan file reviews and $730 million of claims based on individual loan file reviews submitted by private-label securitization trustees and a financial guarantee provider, $459 million submitted by a monoline insurer, $347 million submitted by the GSEs for both Countrywide and legacy Bank of America originations not covered by the bulk settlements with the GSEs, and $265 million submitted by whole-loan investors. During 2014, $2.0 billion in claims were resolved. Of the claims resolved, $856 million were resolved through settlement, $535 million were resolved through rescissions and $594 million were resolved through mortgage repurchases and make-whole payments to GSEs, private-label securitization trusts and whole-loan investors. | ||||||||||||||||||||||||
The continued increase in the notional amount of unresolved repurchase claims during 2014 is primarily due to: (1) continued submission of claims by private-label securitization trustees, (2) the level of detail, support and analysis accompanying such claims, which impacts overall claim quality and, therefore, claims resolution, (3) the lack of an established process to resolve disputes related to these claims, (4) the submission of claims where the Corporation believes the statute of limitations has expired under current law and (5) the submission of duplicate claims, often in multiple submissions, on the same loan. For example, claims submitted without individual file reviews generally lack the level of detail and analysis of individual loans found in other claims that is necessary to support a claim. Absent any settlements, the Corporation expects unresolved repurchase claims related to private-label securitizations to increase as such claims continue to be submitted and there is not an established process for the ultimate resolution of such claims on which there is a disagreement. | ||||||||||||||||||||||||
In addition to the unresolved repurchase claims in the Unresolved Repurchase Claims by Counterparty and Product Type table, the Corporation has received notifications pertaining to loans for which the Corporation has not received a repurchase request from sponsors of third-party securitizations with whom the Corporation engaged in whole-loan transactions and that the Corporation may owe indemnity obligations. These notifications totaled $2.0 billion and $737 million at December 31, 2014 and 2013. | ||||||||||||||||||||||||
The Corporation also from time to time receives correspondence purporting to raise representations and warranties breach issues from entities that do not have contractual standing or ability to bring such claims. The Corporation believes such communications to be procedurally and/or substantively invalid, and generally does not respond to such correspondence. | ||||||||||||||||||||||||
The presence of repurchase claims on a given trust, receipt of notices of indemnification obligations and other communication, as discussed above, are all factors that inform the Corporation’s estimated liability for obligations under representations and warranties and the corresponding estimated range of possible loss. | ||||||||||||||||||||||||
Legacy companies sold $184.5 billion of loans originated between 2004 and 2008 into monoline-insured securitizations. At December 31, 2014 and 2013, for loans originated between 2004 and 2008, the unpaid principal balance of loans related to unresolved monoline repurchase claims was $1.5 billion and $1.5 billion. Substantially all of the remaining unresolved monoline claims pertain to second-lien loans and are currently the subject of litigation with a single monoline insurer. There may be additional claims or file requests in the future. | ||||||||||||||||||||||||
As a result of various settlements with the GSEs, the Corporation has resolved substantially all outstanding and potential representations and warranties repurchase claims on whole loans sold by legacy Bank of America and Countrywide to FNMA and FHLMC through June 30, 2012 and December 31, 2009, respectively. After these settlements, the Corporation’s exposure to representations and warranties liability for loans originated prior to 2009 and sold to the GSEs is limited to loans with an original principal balance of $18.3 billion and loans with certain defects excluded from the settlements that the Corporation does not believe will be material, such as certain specified violations of the GSEs’ charters, fraud and title defects. As of December 31, 2014, of the $18.3 billion, approximately $15.8 billion in principal has been paid and $956 million in principal has defaulted or was severely delinquent. The notional amount of unresolved repurchase claims submitted by the GSEs was $48 million related to these vintages. | ||||||||||||||||||||||||
Liability for Representations and Warranties and Corporate Guarantees | ||||||||||||||||||||||||
The liability for representations and warranties and corporate guarantees is included in accrued expenses and other liabilities on the Consolidated Balance Sheet and the related provision is included in mortgage banking income in the Consolidated Statement of Income. The liability for representations and warranties is established when those obligations are both probable and reasonably estimable. | ||||||||||||||||||||||||
The Corporation’s estimated liability at December 31, 2014 for obligations under representations and warranties given to the GSEs and the corresponding estimated range of possible loss considers, and is necessarily dependent on, and limited by, a number of factors, including the Corporation’s experience related to actual defaults, projected future defaults, historical loss experience, estimated home prices and other economic conditions. The methodology also considers such factors as the number of payments made by the borrower prior to default as well as certain other assumptions and judgmental factors. | ||||||||||||||||||||||||
The Corporation’s estimate of the non-GSE representations and warranties liability and the corresponding estimated range of possible loss at December 31, 2014 considers, among other things, implied repurchase experience based on the BNY Mellon Settlement, adjusted to reflect differences between the Covered Trusts and the remainder of the population of private-label securitizations, and assumes that the conditions to the BNY Mellon Settlement will be met. Since the non-GSE securitization trusts that were included in the BNY Mellon Settlement differ from those that were not included in the BNY Mellon Settlement, the Corporation adjusted the repurchase experience implied in the settlement in order to determine the estimated non-GSE representations and warranties liability and the corresponding estimated range of possible loss. The judgmental adjustments made include consideration of the differences in the mix of products in the subject securitizations, loan originator, likelihood of claims expected, the differences in the number of payments that the borrower has made prior to default and the sponsor of the securitizations. Where relevant, the Corporation also takes into account more recent experience, such as increased claim activity, notification of potential indemnification obligations, its experience with various counterparties, recent court decisions related to the statute of limitations as summarized below and other facts and circumstances, such as bulk settlements, as the Corporation believes appropriate. | ||||||||||||||||||||||||
A factor that impacts the non-GSE representations and warranties liability and the portion of the estimated range of possible loss corresponding to non-GSE representations and warranties exposures is the likelihood that claims will be presented, which is impacted by a number of factors, including contractual provisions that investors meet certain presentation thresholds under the non-GSE securitization agreements. A securitization trustee may investigate or demand repurchase on its own action, and most agreements contain a presentation threshold, for example 25 percent of the voting rights per trust, that allows investors to declare a servicing event of default under certain circumstances or to request certain action, such as requesting loan files, that the trustee may choose to accept and follow, exempt from liability, provided the trustee is acting in good faith. If there is an uncured servicing event of default and the trustee fails to bring suit during a 60-day period, then, under most agreements, investors may file suit. In addition to this, most agreements allow investors to direct the securitization trustee to investigate loan files or demand the repurchase of loans if security holders hold a specified percentage, for example, 25 percent, of the voting rights of each tranche of the outstanding securities. However, in certain circumstances the Corporation believes that trustees have presented repurchase claims without requiring investors to meet contractual voting rights thresholds. The population of private-label securitizations included in the BNY Mellon Settlement encompasses almost all Countrywide first-lien private-label securitizations including loans originated principally between 2004 and 2008. For the remainder of the population of private-label securitizations, claimants have come forward on certain securitizations and the Corporation believes it is probable that other claimants may continue to come forward with claims that meet the contractual requirements of other securitizations. Although the Corporation has not recorded any representations and warranties liability for certain potential private-label securitization and whole-loan exposures where the Corporation has had little to no claim activity, or where the applicable statute of limitations has expired, these exposures are included in the estimated range of possible loss. For more information on the representations and warranties liability and the corresponding estimated range of possible loss, see Estimated Range of Possible Loss in this Note. | ||||||||||||||||||||||||
The table below presents a rollforward of the liability for representations and warranties and corporate guarantees. | ||||||||||||||||||||||||
Representations and Warranties and Corporate Guarantees | ||||||||||||||||||||||||
(Dollars in millions) | 2014 | 2013 | ||||||||||||||||||||||
Liability for representations and warranties and corporate guarantees, January 1 | $ | 13,282 | $ | 19,021 | ||||||||||||||||||||
Additions for new sales | 8 | 36 | ||||||||||||||||||||||
Net reductions | (1,892 | ) | (6,615 | ) | ||||||||||||||||||||
Provision | 683 | 840 | ||||||||||||||||||||||
Liability for representations and warranties and corporate guarantees, December 31 | $ | 12,081 | $ | 13,282 | ||||||||||||||||||||
The representations and warranties liability represents the Corporation’s best estimate of probable incurred losses as of December 31, 2014. However, it is reasonably possible that future representations and warranties losses may occur in excess of the amounts recorded for these exposures. Although the Corporation has not recorded any representations and warranties liability for certain potential private-label securitization and whole-loan exposures where it has had little to no claim activity or where the applicable statute of limitations has expired, these exposures are included in the estimated range of possible loss. | ||||||||||||||||||||||||
Government-sponsored Enterprises Experience | ||||||||||||||||||||||||
Settlements with the GSEs have resolved substantially all outstanding and potential mortgage repurchase and make-whole claims relating to the origination, sale and delivery of residential mortgage loans that were sold directly to FNMA through June 30, 2012 and to FHLMC through December 31, 2009, subject to certain exclusions, which the Corporation does not expect will be material. | ||||||||||||||||||||||||
Private-label Securitizations and Whole-loan Sales Experience | ||||||||||||||||||||||||
In private-label securitizations, the applicable contracts contain provisions that investors meet certain presentation thresholds to direct a trustee to assert repurchase claims. However, in certain circumstances, the Corporation believes that trustees have presented repurchase claims without requiring investors to meet contractual voting rights thresholds. Continued high levels of new private-label claims are primarily the result of repurchase requests received from trustees for private-label securitization transactions not included in the BNY Mellon Settlement. | ||||||||||||||||||||||||
A December 2013 decision by the New York intermediate appellate court held that, under New York law, which governs many RMBS trusts, the six-year statute of limitations starts to run at the time the representations and warranties are made, not the date when the repurchase demand was denied. That decision has been applied by the state and federal courts in several RMBS lawsuits in which the Corporation is not a party, resulting in the dismissal as untimely of claims involving representations and warranties made more than six years prior to the initiation of the lawsuit. Unless overturned by New York’s highest appellate court, which has taken the case for review, this decision would apply to representations and warranties claims and lawsuits brought against the Corporation where New York law governs. A significant amount of representations and warranties claims and/or lawsuits the Corporation has received or may receive involve representations and warranties claims where the statute of limitations has expired under this ruling and has not been tolled by agreement and which the Corporation therefore believes would be untimely. The Corporation believes this ruling may have had an influence on requests for tolling agreements and the pace of lawsuits filed by private-label securitization trustees prior to the expiration of the statute of limitations. In addition, it is possible that in response to the statute of limitations rulings, parties seeking to pursue representations and warranties claims and/or lawsuits with respect to trusts where the statute of limitations for representations and warranties claims against the sponsor and/or issuer has run, may pursue alternate legal theories of recovery and/or assert claims against other contractual parties. For example, in 2014, institutional investors filed lawsuits against trustees alleging failure to pursue representations and warranties claims and servicer defaults based upon alleged contractual, statutory and tort theories of liability. The impact on the Corporation, if any, of such alternative legal theories or assertions is unclear. | ||||||||||||||||||||||||
The private-label securitization agreements generally require that counterparties have the ability to both assert a representations and warranties claim and to actually prove that a loan has an actionable defect under the applicable contracts. While the Corporation believes the agreements for private-label securitizations generally contain less rigorous representations and warranties and place higher burdens on claimants seeking repurchases than the express provisions of comparable agreements with the GSEs, without regard to any variations that may have arisen as a result of dealings with the GSEs, the agreements generally include a representation that underwriting practices were prudent and customary. In the case of private-label securitization trustees and third-party sponsors, there is currently no established process in place for the parties to reach a conclusion on an individual loan if there is a disagreement on the resolution of the claim. Private-label securitization investors generally do not have the contractual right to demand repurchase of loans directly or the right to access loan files directly. For more information on repurchase demands, see Unresolved Repurchase Claims in this Note. | ||||||||||||||||||||||||
Certain whole-loan investors have engaged with the Corporation in a consistent repurchase process and the Corporation has used that and other experience to record a liability related to existing and future claims from such counterparties. The BNY Mellon Settlement and subsequent activity with certain counterparties led to the determination that the Corporation had sufficient experience to record a liability related to its exposure on certain private-label securitizations, including certain private-label securitizations sponsored by third-party whole-loan investors, however, it did not provide sufficient experience to record a liability related to other private-label securitizations sponsored by third-party whole-loan investors. As it relates to the other private-label securitizations sponsored by third-party whole-loan investors and certain other whole-loan sales, as well as certain private-label securitizations impacted by recent court rulings on the statute of limitations, it is not possible to determine whether a loss has occurred or is probable and, therefore, no representations and warranties liability has been recorded in connection with these transactions. The Corporation’s estimated range of possible loss related to representations and warranties exposures as of December 31, 2014 included possible losses related to these whole-loan sales and private-label securitizations. | ||||||||||||||||||||||||
The majority of the repurchase claims that the Corporation has received and resolved outside of those from the GSEs and monolines are from third-party whole-loan investors. The Corporation provided representations and warranties in connection with the sale of whole loans and the whole-loan investors may retain the right to make repurchase claims even when the loans were aggregated with other collateral into private-label securitizations sponsored by the whole-loan investors; in other third-party securitizations, the whole-loan investor’s rights to enforce the representations and warranties were transferred to the securitization trustees. The Corporation reviews properly presented repurchase claims for these whole loans on a loan-by-loan basis. If, after the Corporation’s review, it does not believe a claim is valid, it will deny the claim and generally indicate a reason for the denial. When the whole-loan investor agrees with the Corporation’s denial of the claim, the whole-loan investor may rescind the claim. When there is disagreement as to the resolution of the claim, meaningful dialogue and negotiation between the parties are generally necessary to reach a resolution on an individual claim. Generally, a whole-loan investor is engaged in the repurchase process and the Corporation and the whole-loan investor reach resolution, either through loan-by-loan negotiation or at times, through a bulk settlement. Although the timeline for resolution varies, if the Corporation agrees that there is a breach that meets contractual requirements for repurchase, the claim is generally resolved promptly. When a claim has been denied and the Corporation does not hear from the counterparty for six months, the Corporation views these claims as inactive; however, they remain in the outstanding claims balance until resolution. | ||||||||||||||||||||||||
At December 31, 2014, for loans originated between 2004 and 2008, the notional amount of unresolved repurchase claims submitted by private-label securitization trustees, whole-loan investors, including third-party securitization sponsors, and others was $24.4 billion, including $3.2 billion of duplicate claims primarily submitted without a loan file review. These repurchase claims include claims in the amount of $4.7 billion, net of duplicate claims, where the Corporation believes the statute of limitations has expired under current law. The Corporation has performed an initial review with respect to substantially all of these claims and although the Corporation does not believe a valid basis for repurchase has been established by the claimant, it considers claims activity in the computation of its liability for representations and warranties. | ||||||||||||||||||||||||
Monoline Insurers Experience | ||||||||||||||||||||||||
During 2014, the Corporation had limited loan-level representations and warranties repurchase claims experience with the monoline insurers due to settlements with several monoline insurers and ongoing litigation with a single monoline insurer. To the extent the Corporation received repurchase claims from the monolines that were properly presented, it generally reviewed them on a loan-by-loan basis. Where the Corporation agrees that there has been a breach of representations and warranties given by the Corporation or subsidiaries or legacy companies that meets contractual requirements for repurchase, settlement is generally reached as to that loan within 60 to 90 days. For more information related to the monolines, see Note 12 – Commitments and Contingencies. | ||||||||||||||||||||||||
Open Mortgage Insurance Rescission Notices | ||||||||||||||||||||||||
In addition to repurchase claims, the Corporation receives notices from mortgage insurance companies of claim denials, cancellations or coverage rescission (collectively, MI rescission notices). | ||||||||||||||||||||||||
For loans sold to the GSEs or private-label securitization trusts (including those wrapped by the monoline insurers), MI rescission notices may give rise to a claim for breach of representations and warranties, depending on the terms of governing contracts. If the governing contract requires the Corporation to repurchase the affected loan or indemnify the investor for the related loss due to MI rescissions, the Corporation may realize the loss without the benefit of MI. In addition, mortgage insurance companies have in some cases asserted the ability to curtail MI payments as a result of alleged foreclosure delays thus reducing the MI proceeds available to offset the loss on the loan. | ||||||||||||||||||||||||
In certain settlements with the GSEs, the Corporation has generally agreed to pay the amount of MI coverage to the GSEs for loans that are the subject of MI rescission notices. Depending on the terms of settlement agreements or lack thereof with the mortgage insurance companies, the Corporation may collect only a portion of the amounts paid to the GSEs from the mortgage insurance companies. | ||||||||||||||||||||||||
The Corporation had approximately 65,000 open MI rescission notices at December 31, 2014 compared to 101,000 at December 31, 2013. The decline results primarily from settlements with certain MI companies that have been approved by the GSEs. Open MI rescission notices at December 31, 2014 included approximately 17,000 pertaining principally to first-lien mortgages sold to the GSEs and other investors as well as loans held-for-investment. At December 31, 2014, the Corporation also had approximately 48,000 open MI rescission notices pertaining to second-lien mortgages which are implicated in ongoing litigation with a mortgage insurance company where no loan-level review is currently contemplated nor required to preserve the Corporation’s legal rights. In this litigation, the litigating mortgage insurance company is also seeking bulk rescission of certain policies, separate and apart from loan-by-loan denials or rescissions. | ||||||||||||||||||||||||
Estimated Range of Possible Loss | ||||||||||||||||||||||||
The Corporation currently estimates that the range of possible loss for representations and warranties exposures could be up to $4 billion over existing accruals at December 31, 2014. The estimated range of possible loss reflects principally non-GSE exposures. It represents a reasonably possible loss, but does not represent a probable loss, and is based on currently available information, significant judgment and a number of assumptions that are subject to change. | ||||||||||||||||||||||||
The liability for representations and warranties exposures and the corresponding estimated range of possible loss do not consider losses related to servicing (except as such losses are included as potential costs of the BNY Mellon Settlement), including foreclosure and related costs, fraud, indemnity, or claims (including for RMBS) related to securities law or monoline insurance litigations. Losses with respect to one or more of these matters could be material to the Corporation’s results of operations or cash flows for any particular reporting period. | ||||||||||||||||||||||||
Future provisions and/or ranges of possible loss for representations and warranties may be significantly impacted if actual experiences are different from the Corporation’s assumptions in predictive models, including, without limitation, ultimate resolution of the BNY Mellon Settlement, estimated repurchase rates, estimated MI rescission rates, economic conditions, estimated home prices, consumer and counterparty behavior, the applicable statute of limitations and a variety of other judgmental factors. Adverse developments with respect to one or more of the assumptions underlying the liability for representations and warranties and the corresponding estimated range of possible loss could result in significant increases to future provisions and/or the estimated range of possible loss. Finally, although the Corporation believes that the representations and warranties typically given in non-GSE transactions are less rigorous than those given in GSE transactions, the Corporation does not have significant experience resolving loan-level claims in non-GSE transactions to measure the impact of these differences on the probability that a loan will be required to be repurchased. | ||||||||||||||||||||||||
Cash Payments | ||||||||||||||||||||||||
The Loan Repurchases and Indemnification Payments table presents first-lien and home equity loan repurchases and indemnification payments made by the Corporation to reimburse the investor or securitization trust for losses they incurred, and to resolve repurchase claims. Cash paid for loan repurchases includes the unpaid principal balance of the loan plus past due interest. The amount of loss for loan repurchases is reduced by the fair value of the underlying loan collateral. The repurchase of loans and indemnification payments related to first-lien and home equity repurchase claims generally resulted from material breaches of representations and warranties related to the loans’ material compliance with the applicable underwriting standards, including borrower misrepresentation, credit exceptions without sufficient compensating factors and non-compliance with underwriting procedures. The actual representations and warranties made in a sales transaction and the resulting repurchase and indemnification activity can vary by transaction or investor. A direct relationship between the type of defect that causes the breach of representations and warranties and the severity of the realized loss has not been observed. Loan repurchases or indemnification payments related to first-lien residential mortgages primarily involved the GSEs while repurchases or indemnification payments related to home equity loans primarily involved the monoline insurers. | ||||||||||||||||||||||||
Loan Repurchases and Indemnification Payments (excluding cash payments for settlements) | ||||||||||||||||||||||||
December 31 | ||||||||||||||||||||||||
2014 | 2013 | |||||||||||||||||||||||
(Dollars in millions) | Unpaid | Cash Paid | Loss | Unpaid | Cash Paid | Loss | ||||||||||||||||||
Principal | for | Principal | for | |||||||||||||||||||||
Balance | Repurchases | Balance | Repurchases | |||||||||||||||||||||
First-lien | ||||||||||||||||||||||||
Repurchases | $ | 211 | $ | 241 | $ | 79 | $ | 746 | $ | 784 | $ | 149 | ||||||||||||
Indemnification payments | 624 | 233 | 233 | 661 | 383 | 383 | ||||||||||||||||||
Total first-lien | 835 | 474 | 312 | 1,407 | 1,167 | 532 | ||||||||||||||||||
Home equity, indemnification payments | 22 | 22 | 22 | 74 | 77 | 77 | ||||||||||||||||||
Total first-lien and home equity | $ | 857 | $ | 496 | $ | 334 | $ | 1,481 | $ | 1,244 | $ | 609 | ||||||||||||
The amounts in the table above exclude payments made in connection with the FHFA Settlement, the 2013 settlements with FHLMC and FNMA, and amounts paid in monoline settlements during 2014 and 2013, including payments made directly to securitization trusts. |
Goodwill_and_Intangible_Assets
Goodwill and Intangible Assets | 12 Months Ended | |||||||||||||||||||||||
Dec. 31, 2014 | ||||||||||||||||||||||||
Goodwill and Intangible Assets Disclosure [Abstract] | ||||||||||||||||||||||||
Goodwill and Intangible Assets | Goodwill and Intangible Assets | |||||||||||||||||||||||
Goodwill | ||||||||||||||||||||||||
The table below presents goodwill balances by business segment at December 31, 2014 and 2013. Effective January 1, 2015, the Corporation changed its basis of presentation related to its business segments. For more information on this realignment, see Note 1 – Summary of Significant Accounting Principles. As part of the realignment, the Corporation moved a portion of the Business Banking business, including $1.6 billion of goodwill, from the former Consumer & Business Banking segment to Global Banking. This business constitutes a new reporting unit, Business Banking Regions, within the Global Banking segment. The remaining portion of the Business Banking business will be evaluated with Deposits as a single reporting unit within Consumer Banking. Prior periods have been reclassified to conform to current period presentation. | ||||||||||||||||||||||||
The reporting units utilized for goodwill impairment testing are the operating segments or one level below. | ||||||||||||||||||||||||
Goodwill | ||||||||||||||||||||||||
31-Dec | ||||||||||||||||||||||||
(Dollars in millions) | 2014 | 2013 | ||||||||||||||||||||||
Consumer Banking | $ | 30,125 | $ | 30,123 | ||||||||||||||||||||
Global Wealth & Investment Management | 9,698 | 9,698 | ||||||||||||||||||||||
Global Banking | 23,923 | 23,923 | ||||||||||||||||||||||
Global Markets | 5,197 | 5,197 | ||||||||||||||||||||||
All Other | 834 | 903 | ||||||||||||||||||||||
Total goodwill | $ | 69,777 | $ | 69,844 | ||||||||||||||||||||
For purposes of goodwill impairment testing, the Corporation utilizes allocated equity as a proxy for the carrying value of its reporting units. Allocated equity in the reporting units is comprised of allocated capital plus capital for the portion of goodwill and intangibles specifically assigned to the reporting unit. The goodwill impairment test involves comparing the fair value of each reporting unit with its carrying value, including goodwill, as measured by allocated equity. During 2014, the Corporation made refinements to the amount of capital allocated to each of its businesses based on multiple considerations that included, but were not limited to, risk-weighted assets measured under the Basel 3 Standardized and Advanced approaches, business segment exposures and risk profile, and strategic plans. As a result of this process, in 2014, the Corporation adjusted the amount of capital being allocated to its business segments. This change resulted in a reduction of the unallocated capital, which is reflected in All Other, and an aggregate increase to the amount of capital being allocated to the business segments. An increase in allocated capital in the business segments generally results in a reduction of the excess of the fair value over the carrying value and a reduction to the estimated fair value as a percentage of allocated carrying value for an individual reporting unit. | ||||||||||||||||||||||||
Also, certain changes were made to allocated capital to reflect the segment realignment described above. Prior periods have been reclassified to conform to the current period presentation. | ||||||||||||||||||||||||
There was no goodwill in LAS at December 31, 2014 and 2013. | ||||||||||||||||||||||||
Impairment Tests | ||||||||||||||||||||||||
During the three months ended September 30, 2014 and 2013, the Corporation completed its annual goodwill impairment test as of June 30 for all applicable reporting units. Based on the results of the annual goodwill impairment test, the Corporation determined there was no impairment. | ||||||||||||||||||||||||
The realignment triggered a test for goodwill impairment, which was performed both immediately before and after the realignment. In performing the goodwill impairment test, the Corporation compared the fair value of the affected reporting units with their carrying value as measured by allocated equity. The fair value of the affected reporting units exceeded their carrying value and, accordingly, no goodwill impairment resulted from the realignment. | ||||||||||||||||||||||||
Intangible Assets | ||||||||||||||||||||||||
The table below presents the gross carrying value and accumulated amortization for intangible assets at December 31, 2014 and 2013. | ||||||||||||||||||||||||
Intangible Assets (1, 2) | ||||||||||||||||||||||||
31-Dec | ||||||||||||||||||||||||
2014 | 2013 | |||||||||||||||||||||||
(Dollars in millions) | Gross | Accumulated | Net | Gross | Accumulated | Net | ||||||||||||||||||
Carrying Value | Amortization | Carrying Value | Carrying Value | Amortization | Carrying Value | |||||||||||||||||||
Purchased credit card relationships | $ | 5,504 | $ | 4,527 | $ | 977 | $ | 6,160 | $ | 4,849 | $ | 1,311 | ||||||||||||
Core deposit intangibles | 1,779 | 1,382 | 397 | 3,592 | 3,055 | 537 | ||||||||||||||||||
Customer relationships | 4,025 | 2,648 | 1,377 | 4,025 | 2,281 | 1,744 | ||||||||||||||||||
Affinity relationships | 1,565 | 1,283 | 282 | 1,575 | 1,197 | 378 | ||||||||||||||||||
Other intangibles | 2,045 | 466 | 1,579 | 2,045 | 441 | 1,604 | ||||||||||||||||||
Total intangible assets | $ | 14,918 | $ | 10,306 | $ | 4,612 | $ | 17,397 | $ | 11,823 | $ | 5,574 | ||||||||||||
(1) | Excludes fully amortized intangible assets. | |||||||||||||||||||||||
(2) | At December 31, 2014 and 2013, none of the intangible assets were impaired. | |||||||||||||||||||||||
The table below presents intangible asset amortization expense for 2014, 2013 and 2012. | ||||||||||||||||||||||||
Amortization Expense | ||||||||||||||||||||||||
(Dollars in millions) | 2014 | 2013 | 2012 | |||||||||||||||||||||
Purchased credit card and Affinity relationships | $ | 415 | $ | 475 | $ | 556 | ||||||||||||||||||
Core deposit intangibles | 140 | 197 | 254 | |||||||||||||||||||||
Customer relationships | 355 | 371 | 391 | |||||||||||||||||||||
Other intangibles | 26 | 43 | 63 | |||||||||||||||||||||
Total amortization expense | $ | 936 | $ | 1,086 | $ | 1,264 | ||||||||||||||||||
The table below presents estimated future intangible asset amortization expense at December 31, 2014. | ||||||||||||||||||||||||
Estimated Future Amortization Expense | ||||||||||||||||||||||||
(Dollars in millions) | 2015 | 2016 | 2017 | 2018 | 2019 | |||||||||||||||||||
Purchased credit card and Affinity relationships | $ | 358 | $ | 299 | $ | 239 | $ | 180 | $ | 121 | ||||||||||||||
Core deposit intangibles | 122 | 105 | 91 | 80 | 7 | |||||||||||||||||||
Customer relationships | 340 | 325 | 310 | 302 | 286 | |||||||||||||||||||
Other intangibles | 16 | 9 | 6 | 3 | 1 | |||||||||||||||||||
Total estimated future amortization expense | $ | 836 | $ | 738 | $ | 646 | $ | 565 | $ | 415 | ||||||||||||||
Deposits
Deposits | 12 Months Ended | |||||||||||||||
Dec. 31, 2014 | ||||||||||||||||
Deposits [Abstract] | ||||||||||||||||
Deposits | Deposits | |||||||||||||||
The Corporation had U.S. certificates of deposit and other U.S. time deposits of $100 thousand or more totaling $32.4 billion and $38.3 billion at December 31, 2014 and 2013. Non-U.S. certificates of deposit and other non-U.S. time deposits of $100 thousand or more totaled $14.0 billion and $26.2 billion at December 31, 2014 and 2013. The table below presents the contractual maturities for time deposits of $100 thousand or more at December 31, 2014. | ||||||||||||||||
Time Deposits of $100 Thousand or More | ||||||||||||||||
(Dollars in millions) | Three Months | Over Three | Thereafter | Total | ||||||||||||
or Less | Months to | |||||||||||||||
Twelve Months | ||||||||||||||||
U.S. certificates of deposit and other time deposits | $ | 15,327 | $ | 14,134 | $ | 2,948 | $ | 32,409 | ||||||||
Non-U.S. certificates of deposit and other time deposits | 12,446 | 1,308 | 253 | 14,007 | ||||||||||||
The scheduled contractual maturities for total time deposits at December 31, 2014 are presented in the table below. | ||||||||||||||||
Contractual Maturities of Total Time Deposits | ||||||||||||||||
(Dollars in millions) | U.S. | Non-U.S. | Total | |||||||||||||
Due in 2015 | $ | 61,439 | $ | 14,165 | $ | 75,604 | ||||||||||
Due in 2016 | 4,119 | 176 | 4,295 | |||||||||||||
Due in 2017 | 1,532 | 38 | 1,570 | |||||||||||||
Due in 2018 | 775 | — | 775 | |||||||||||||
Due in 2019 | 830 | 35 | 865 | |||||||||||||
Thereafter | 1,734 | — | 1,734 | |||||||||||||
Total time deposits | $ | 70,429 | $ | 14,414 | $ | 84,843 | ||||||||||
Federal_Funds_Sold_or_Purchase
Federal Funds Sold or Purchased, Securities Financing Agreements and Short-term Borrowings | 12 Months Ended | ||||||||||||||||||||
Dec. 31, 2014 | |||||||||||||||||||||
Federal Funds Sold, Securities Borrowed or Purchased Under Agreements to Resell and Short-term Borrowings [Abstract] | |||||||||||||||||||||
Federal Funds Sold or Purchased, Securities Financing Agreements and Short-term Borrowings | Federal Funds Sold or Purchased, Securities Financing Agreements and Short-term Borrowings | ||||||||||||||||||||
The table below presents federal funds sold or purchased, securities financing agreements, which include securities borrowed or purchased under agreements to resell and securities loaned or sold under agreements to repurchase, and short-term borrowings. | |||||||||||||||||||||
2014 | 2013 | 2012 | |||||||||||||||||||
(Dollars in millions) | Amount | Rate | Amount | Rate | Amount | Rate | |||||||||||||||
Federal funds sold | |||||||||||||||||||||
At December 31 | $ | — | — | % | $ | — | — | % | $ | 600 | 0.54 | % | |||||||||
Average during year | 3 | 0.9 | 7 | 0.69 | 351 | 0.43 | |||||||||||||||
Maximum month-end balance during year | 12 | n/a | 35 | n/a | 600 | n/a | |||||||||||||||
Securities borrowed or purchased under agreements to resell | |||||||||||||||||||||
At December 31 | 191,823 | 0.47 | 190,328 | 0.6 | 219,324 | 0.92 | |||||||||||||||
Average during year | 222,480 | 0.47 | 224,324 | 0.55 | 235,691 | 0.64 | |||||||||||||||
Maximum month-end balance during year | 240,110 | n/a | 249,791 | n/a | 252,985 | n/a | |||||||||||||||
Federal funds purchased | |||||||||||||||||||||
At December 31 | 14 | — | 186 | — | 1,151 | 0.17 | |||||||||||||||
Average during year | 147 | 0.05 | 191 | 0.06 | 384 | 0.11 | |||||||||||||||
Maximum month-end balance during year | 213 | n/a | 195 | n/a | 1,211 | n/a | |||||||||||||||
Securities loaned or sold under agreements to repurchase | |||||||||||||||||||||
At December 31 | 201,263 | 0.98 | 197,920 | 0.92 | 292,108 | 1.11 | |||||||||||||||
Average during year | 215,645 | 0.99 | 257,409 | 0.81 | 281,516 | 0.98 | |||||||||||||||
Maximum month-end balance during year | 239,984 | n/a | 319,608 | n/a | 319,401 | n/a | |||||||||||||||
Short-term borrowings | |||||||||||||||||||||
At December 31 | 31,172 | 1.47 | 45,999 | 1.55 | 30,731 | 3.08 | |||||||||||||||
Average during year | 41,886 | 1.08 | 43,816 | 1.89 | 36,500 | 2.22 | |||||||||||||||
Maximum month-end balance during year | 51,409 | n/a | 48,387 | n/a | 40,129 | n/a | |||||||||||||||
n/a =ot applicable | |||||||||||||||||||||
Bank of America, N.A. maintains a global program to offer up to a maximum of $75 billion outstanding at any one time, of bank notes with fixed or floating rates and maturities of at least seven days from the date of issue. Short-term bank notes outstanding under this program totaled $14.6 billion and $15.1 billion at December 31, 2014 and 2013. These short-term bank notes, along with Federal Home Loan Bank (FHLB) advances, U.S. Treasury tax and loan notes, and term federal funds purchased, are included in short-term borrowings on the Consolidated Balance Sheet. | |||||||||||||||||||||
Offsetting of Securities Financing Agreements | |||||||||||||||||||||
Substantially all of the Corporation’s repurchase and resale activities are transacted under legally enforceable master repurchase agreements that give the Corporation, in the event of default by the counterparty, the right to liquidate securities held and to offset receivables and payables with the same counterparty. The Corporation offsets repurchase and resale transactions with the same counterparty on the Consolidated Balance Sheet where it has such a legally enforceable master netting agreement and the transactions have the same maturity date. | |||||||||||||||||||||
Substantially all securities borrowing and lending activities are transacted under legally enforceable master securities lending agreements that give the Corporation, in the event of default by the counterparty, the right to liquidate securities held and to offset receivables and payables with the same counterparty. The Corporation offsets securities borrowing and lending transactions with the same counterparty on the Consolidated Balance Sheet where it has such a legally enforceable master netting agreement and the transactions have the same maturity date. | |||||||||||||||||||||
The Securities Financing Agreements table presents securities financing agreements included on the Consolidated Balance Sheet in federal funds sold and securities borrowed or purchased under agreements to resell, and in federal funds purchased and securities loaned or sold under agreements to repurchase at December 31, 2014 and 2013. Balances are presented on a gross basis, prior to the application of counterparty netting. Gross assets and liabilities are adjusted on an aggregate basis to take into consideration the effects of legally enforceable master netting agreements. For more information on the offsetting of derivatives, see Note 2 – Derivatives. | |||||||||||||||||||||
The “Other” amount in the table, which is included on the Consolidated Balance Sheet in accrued expenses and other liabilities, relates to transactions where the Corporation acts as the lender in a securities lending agreement and receives securities that can be pledged or sold as collateral. In these transactions, the Corporation recognizes an asset at fair value, representing the securities received, and a liability, representing the obligation to return those securities. | |||||||||||||||||||||
Gross assets and liabilities in the table include activity where uncertainty exists as to the enforceability of certain master netting agreements under bankruptcy laws in some countries or industries and, accordingly, these are reported on a gross basis. | |||||||||||||||||||||
The column titled “Financial Instruments” in the table includes securities collateral received or pledged under repurchase or securities lending agreements where there is a legally enforceable master netting agreement. These amounts are not offset on the Consolidated Balance Sheet, but are shown as a reduction to the net balance sheet amount in this table to derive a net asset or liability. Securities collateral received or pledged where the legal enforceability of the master netting agreements is not certain is not included. | |||||||||||||||||||||
Securities Financing Agreements | |||||||||||||||||||||
December 31, 2014 | |||||||||||||||||||||
(Dollars in millions) | Gross Assets/Liabilities | Amounts Offset | Net Balance Sheet Amount | Financial Instruments | Net Assets/Liabilities | ||||||||||||||||
Securities borrowed or purchased under agreements to resell (1) | $ | 316,567 | $ | (124,744 | ) | $ | 191,823 | $ | (145,573 | ) | $ | 46,250 | |||||||||
Securities loaned or sold under agreements to repurchase | $ | 326,007 | $ | (124,744 | ) | $ | 201,263 | $ | (164,306 | ) | $ | 36,957 | |||||||||
Other | 11,641 | — | 11,641 | (11,641 | ) | — | |||||||||||||||
Total | $ | 337,648 | $ | (124,744 | ) | $ | 212,904 | $ | (175,947 | ) | $ | 36,957 | |||||||||
31-Dec-13 | |||||||||||||||||||||
Securities borrowed or purchased under agreements to resell (1) | $ | 272,296 | $ | (81,968 | ) | $ | 190,328 | $ | (157,132 | ) | $ | 33,196 | |||||||||
Securities loaned or sold under agreements to repurchase | $ | 279,888 | $ | (81,968 | ) | $ | 197,920 | $ | (160,111 | ) | $ | 37,809 | |||||||||
Other | 10,871 | — | 10,871 | (10,871 | ) | — | |||||||||||||||
Total | $ | 290,759 | $ | (81,968 | ) | $ | 208,791 | $ | (170,982 | ) | $ | 37,809 | |||||||||
(1) | Excludes repurchase activity of $5.6 billion and $4.1 billion reported in Loans and leases at December 31, 2014 and 2013. |
Longterm_Debt
Long-term Debt | 12 Months Ended | |||||||||||||||||||||||||||
Dec. 31, 2014 | ||||||||||||||||||||||||||||
Debt Disclosure [Abstract] | ||||||||||||||||||||||||||||
Long-term Debt | Long-term Debt | |||||||||||||||||||||||||||
Long-term debt consists of borrowings having an original maturity of one year or more. The table below presents the balance of long-term debt at December 31, 2014 and 2013, and the related contractual rates and maturity dates as of December 31, 2014. | ||||||||||||||||||||||||||||
December 31 | ||||||||||||||||||||||||||||
(Dollars in millions) | 2014 | 2013 | ||||||||||||||||||||||||||
Notes issued by Bank of America Corporation | ||||||||||||||||||||||||||||
Senior notes: | ||||||||||||||||||||||||||||
Fixed, with a weighted-average rate of 4.67%, ranging from 1.25% to 8.83%, due 2015 to 2044 | $ | 113,069 | $ | 109,845 | ||||||||||||||||||||||||
Floating, with a weighted-average rate of 1.32%, ranging from 0.09% to 4.98%, due 2015 to 2044 | 14,559 | 22,268 | ||||||||||||||||||||||||||
Senior structured notes | 22,168 | 30,575 | ||||||||||||||||||||||||||
Subordinated notes: | ||||||||||||||||||||||||||||
Fixed, with a weighted-average rate of 4.91%, ranging from 0.80% to 10.20%, due 2015 to 2038 | 26,995 | 22,379 | ||||||||||||||||||||||||||
Floating, with a weighted-average rate of 0.97%, ranging from 0.01% to 3.16%, due 2016 to 2026 | 1,705 | 1,798 | ||||||||||||||||||||||||||
Junior subordinated notes (related to trust preferred securities): | ||||||||||||||||||||||||||||
Fixed, with a weighted-average rate of 6.78%, ranging from 5.25% to 8.05%, due 2027 to perpetual | 6,722 | 6,685 | ||||||||||||||||||||||||||
Floating, with a weighted-average rate of 0.92%, ranging from 0.78% to 1.24%, due 2027 to 2056 | 553 | 553 | ||||||||||||||||||||||||||
Total notes issued by Bank of America Corporation | 185,771 | 194,103 | ||||||||||||||||||||||||||
Notes issued by Bank of America, N.A. (1) | ||||||||||||||||||||||||||||
Senior notes: | ||||||||||||||||||||||||||||
Fixed, with a weighted-average rate of 1.98%, ranging from 0.08% to 7.72%, due 2015 to 2187 | 2,893 | 1,670 | ||||||||||||||||||||||||||
Floating, with a weighted-average rate of 0.60%, ranging from 0.36% to 0.70%, due 2015 to 2041 | 5,686 | 3,684 | ||||||||||||||||||||||||||
Subordinated notes: | ||||||||||||||||||||||||||||
Fixed, with a weighted-average rate of 5.68%, ranging from 5.30% to 6.10%, due 2016 to 2036 | 4,921 | 4,876 | ||||||||||||||||||||||||||
Floating, with a weighted-average rate of 0.53%, ranging from 0.26% to 0.54%, due 2016 to 2019 | 1,401 | 1,401 | ||||||||||||||||||||||||||
Advances from Federal Home Loan Banks: | ||||||||||||||||||||||||||||
Fixed, with a weighted-average rate of 5.34%, ranging from 0.01% to 7.72%, due 2015 to 2034 | 183 | 1,441 | ||||||||||||||||||||||||||
Floating, with a weighted-average rate of 0.26%, ranging from 0.24% to 0.30%, due 2015 to 2016 | 10,500 | 3,001 | ||||||||||||||||||||||||||
Securitizations and other BANA VIEs | 9,882 | 13,367 | ||||||||||||||||||||||||||
Total notes issued by Bank of America, N.A. | 35,466 | 29,440 | ||||||||||||||||||||||||||
Other debt | ||||||||||||||||||||||||||||
Senior notes: | ||||||||||||||||||||||||||||
Fixed, with a rate of 5.50%, due 2017 to 2021 | 1 | 194 | ||||||||||||||||||||||||||
Floating, with a rate of 1.88%, due 2015 | 21 | 115 | ||||||||||||||||||||||||||
Structured liabilities | 15,971 | 16,913 | ||||||||||||||||||||||||||
Junior subordinated notes (related to trust preferred securities): | ||||||||||||||||||||||||||||
Fixed, with a weighted-average rate of 7.14%, ranging from 7.00% to 7.28%, perpetual | 339 | 340 | ||||||||||||||||||||||||||
Floating, with a rate of 0.86%, due 2027 | 66 | 66 | ||||||||||||||||||||||||||
Nonbank VIEs | 3,425 | 6,081 | ||||||||||||||||||||||||||
Other | 2,079 | 2,422 | ||||||||||||||||||||||||||
Total other debt | 21,902 | 26,131 | ||||||||||||||||||||||||||
Total long-term debt | $ | 243,139 | $ | 249,674 | ||||||||||||||||||||||||
(1) | On October 1, 2014, FIA Card Services, N.A. was merged into Bank of America, N.A. | |||||||||||||||||||||||||||
Bank of America Corporation and Bank of America, N.A. maintain various U.S. and non-U.S. debt programs to offer both senior and subordinated notes. The notes may be denominated in U.S. Dollars or foreign currencies. At December 31, 2014 and 2013, the amount of foreign currency-denominated debt translated into U.S. Dollars included in total long-term debt was $51.9 billion and $73.4 billion. Foreign currency contracts may be used to convert certain foreign currency-denominated debt into U.S. Dollars. | ||||||||||||||||||||||||||||
At December 31, 2014, long-term debt of consolidated VIEs in the table above included debt of credit card, home equity and all other VIEs of $8.4 billion, $1.1 billion and $3.8 billion, respectively. Long-term debt of VIEs is collateralized by the assets of the VIEs. For additional information, see Note 6 – Securitizations and Other Variable Interest Entities. | ||||||||||||||||||||||||||||
The weighted-average effective interest rates for total long-term debt (excluding senior structured notes), total fixed-rate debt and total floating-rate debt were 4.06 percent, 4.65 percent and 0.84 percent, respectively, at December 31, 2014 and 4.37 percent, 5.14 percent and 0.92 percent, respectively, at December 31, 2013. The Corporation’s ALM activities maintain an overall interest rate risk management strategy that incorporates the use of interest rate contracts to manage fluctuations in earnings that are caused by interest rate volatility. The Corporation’s goal is to manage interest rate sensitivity so that movements in interest rates do not significantly adversely affect earnings and capital. The weighted-average rates are the contractual interest rates on the debt and do not reflect the impacts of derivative transactions. | ||||||||||||||||||||||||||||
Certain senior structured notes are accounted for under the fair value option. For more information on these senior structured notes, see Note 21 – Fair Value Option. | ||||||||||||||||||||||||||||
The table below shows the carrying value for aggregate annual contractual maturities of long-term debt as of December 31, 2014. Included in the table are certain structured notes issued by the Corporation that contain provisions whereby the borrowings are redeemable at the option of the holder (put options) at specified dates prior to maturity. Other structured notes have coupon or repayment terms linked to the performance of debt or equity securities, indices, currencies or commodities, and the maturity may be accelerated based on the value of a referenced index or security. In both cases, the Corporation or a subsidiary may be required to settle the obligation for cash or other securities prior to the contractual maturity date. These borrowings are reflected in the table as maturing at their contractual maturity date. | ||||||||||||||||||||||||||||
During 2014, the Corporation had total long-term debt maturities and purchases of $53.7 billion consisting of $33.9 billion for Bank of America Corporation, $8.9 billion for Bank of America, N.A. and $10.9 billion of other debt. During 2013, the Corporation had total long-term debt maturities and purchases of $65.6 billion consisting of $39.3 billion for Bank of America Corporation, $16.0 billion for Bank of America, N.A. and $10.3 billion of other debt. In 2013, in a combination of tender offers, calls and open-market transactions, the Corporation purchased senior and subordinated long-term debt with a carrying value of $9.2 billion and recorded net losses of $59 million in connection with these transactions. | ||||||||||||||||||||||||||||
Long-term Debt by Maturity | ||||||||||||||||||||||||||||
(Dollars in millions) | 2015 | 2016 | 2017 | 2018 | 2019 | Thereafter | Total | |||||||||||||||||||||
Bank of America Corporation | ||||||||||||||||||||||||||||
Senior notes | $ | 14,905 | $ | 17,373 | $ | 18,935 | $ | 20,006 | $ | 16,206 | $ | 40,203 | $ | 127,628 | ||||||||||||||
Senior structured notes | 5,558 | 2,825 | 1,791 | 1,885 | 1,526 | 8,583 | 22,168 | |||||||||||||||||||||
Subordinated notes | 1,221 | 5,074 | 5,219 | 2,951 | 1,580 | 12,655 | 28,700 | |||||||||||||||||||||
Junior subordinated notes | — | — | — | — | — | 7,275 | 7,275 | |||||||||||||||||||||
Total Bank of America Corporation | 21,684 | 25,272 | 25,945 | 24,842 | 19,312 | 68,716 | 185,771 | |||||||||||||||||||||
Bank of America, N.A. (1) | ||||||||||||||||||||||||||||
Senior notes | 777 | 2,498 | 5,162 | — | 19 | 123 | 8,579 | |||||||||||||||||||||
Subordinated notes | — | 1,069 | 3,553 | — | 1 | 1,699 | 6,322 | |||||||||||||||||||||
Advances from Federal Home Loan Banks | 4,503 | 6,003 | 10 | 10 | 16 | 141 | 10,683 | |||||||||||||||||||||
Securitizations and other Bank VIEs (2) | 1,151 | 1,298 | 3,554 | — | 2,450 | 1,429 | 9,882 | |||||||||||||||||||||
Total Bank of America, N.A. | 6,431 | 10,868 | 12,279 | 10 | 2,486 | 3,392 | 35,466 | |||||||||||||||||||||
Other debt | ||||||||||||||||||||||||||||
Senior notes | 21 | — | 1 | — | — | — | 22 | |||||||||||||||||||||
Structured liabilities | 2,314 | 2,133 | 2,296 | 1,281 | 1,027 | 6,920 | 15,971 | |||||||||||||||||||||
Junior subordinated notes | — | — | — | — | — | 405 | 405 | |||||||||||||||||||||
Nonbank VIEs (2) | 20 | 348 | 255 | 102 | 27 | 2,673 | 3,425 | |||||||||||||||||||||
Other | 254 | 927 | 429 | 45 | 4 | 420 | 2,079 | |||||||||||||||||||||
Total other debt | 2,609 | 3,408 | 2,981 | 1,428 | 1,058 | 10,418 | 21,902 | |||||||||||||||||||||
Total long-term debt | $ | 30,724 | $ | 39,548 | $ | 41,205 | $ | 26,280 | $ | 22,856 | $ | 82,526 | $ | 243,139 | ||||||||||||||
(1) | On October 1, 2014, FIA Card Services, N.A. was merged into Bank of America, N.A. | |||||||||||||||||||||||||||
(2) | Represents the total long-term debt included in the liabilities of consolidated VIEs on the Consolidated Balance Sheet. | |||||||||||||||||||||||||||
Trust Preferred and Hybrid Securities | ||||||||||||||||||||||||||||
Trust preferred securities (Trust Securities) are primarily issued by trust companies (the Trusts) that are not consolidated. These Trust Securities are mandatorily redeemable preferred security obligations of the Trusts. The sole assets of the Trusts generally are junior subordinated deferrable interest notes of the Corporation or its subsidiaries (the Notes). The Trusts generally are 100 percent-owned finance subsidiaries of the Corporation. Obligations associated with the Notes are included in the long-term debt table on page 72. | ||||||||||||||||||||||||||||
Certain of the Trust Securities were issued at a discount and may be redeemed prior to maturity at the option of the Corporation. The Trusts generally have invested the proceeds of such Trust Securities in the Notes. Each issue of the Notes has an interest rate equal to the corresponding Trust Securities distribution rate. The Corporation has the right to defer payment of interest on the Notes at any time or from time to time for a period not exceeding five years provided that no extension period may extend beyond the stated maturity of the relevant Notes. During any such extension period, distributions on the Trust Securities will also be deferred and the Corporation’s ability to pay dividends on its common and preferred stock will be restricted. | ||||||||||||||||||||||||||||
The Trust Securities generally are subject to mandatory redemption upon repayment of the related Notes at their stated maturity dates or their earlier redemption at a redemption price equal to their liquidation amount plus accrued distributions to the date fixed for redemption and the premium, if any, paid by the Corporation upon concurrent repayment of the related Notes. | ||||||||||||||||||||||||||||
Periodic cash payments and payments upon liquidation or redemption with respect to Trust Securities are guaranteed by the Corporation or its subsidiaries to the extent of funds held by the Trusts (the Preferred Securities Guarantee). The Preferred Securities Guarantee, when taken together with the Corporation’s other obligations including its obligations under the Notes, generally will constitute a full and unconditional guarantee, on a subordinated basis, by the Corporation of payments due on the Trust Securities. | ||||||||||||||||||||||||||||
In 2013, the Corporation entered into various agreements with certain Trust Securities holders pursuant to which the Corporation paid $933 million in cash in exchange for $934 million aggregate liquidation amount of previously issued Trust Securities. Upon the exchange, the Corporation immediately surrendered the Trust Securities to the unconsolidated Trusts for cancellation, resulting in the cancellation of an equal amount of junior subordinated notes that had a carrying value of $934 million, resulting in an insignificant gain. | ||||||||||||||||||||||||||||
The Trust Securities Summary table details the outstanding Trust Securities and the related Notes previously issued which remained outstanding at December 31, 2014. For more information on Trust Securities for regulatory capital purposes, see Note 16 – Regulatory Requirements and Restrictions. | ||||||||||||||||||||||||||||
Trust Securities Summary | ||||||||||||||||||||||||||||
(Dollars in millions) | ||||||||||||||||||||||||||||
31-Dec-14 | ||||||||||||||||||||||||||||
Issuer | Issuance Date | Aggregate | Aggregate | Stated Maturity | Per Annum Interest | Interest Payment | Redemption Period | |||||||||||||||||||||
Principal | Principal | of the Trust Securities | Rate of the Notes | Dates | ||||||||||||||||||||||||
Amount | Amount | |||||||||||||||||||||||||||
of Trust | of the | |||||||||||||||||||||||||||
Securities | Notes | |||||||||||||||||||||||||||
Bank of America | ||||||||||||||||||||||||||||
Capital Trust VI | Mar-05 | $ | 36 | $ | 37 | Mar-35 | 5.63 | % | Semi-Annual | Any time | ||||||||||||||||||
Capital Trust VII (1) | Aug-05 | 7 | 7 | Aug-35 | 5.25 | Semi-Annual | Any time | |||||||||||||||||||||
Capital Trust VIII | Aug-05 | 524 | 540 | Aug-35 | 6 | Quarterly | On or after 8/25/10 | |||||||||||||||||||||
Capital Trust XI | May-06 | 658 | 678 | May-36 | 6.63 | Semi-Annual | Any time | |||||||||||||||||||||
Capital Trust XV | May-07 | 1 | 1 | Jun-56 | 3-mo. LIBOR +80 bps | Quarterly | On or after 6/01/37 | |||||||||||||||||||||
NationsBank | ||||||||||||||||||||||||||||
Capital Trust III | Feb-97 | 131 | 136 | Jan-27 | 3-mo. LIBOR +55 bps | Quarterly | On or after 1/15/07 | |||||||||||||||||||||
BankAmerica | ||||||||||||||||||||||||||||
Capital III | Jan-97 | 103 | 106 | Jan-27 | 3-mo. LIBOR +57 bps | Quarterly | On or after 1/15/02 | |||||||||||||||||||||
Barnett | ||||||||||||||||||||||||||||
Capital III | Jan-97 | 64 | 66 | Feb-27 | 3-mo. LIBOR +62.5 bps | Quarterly | On or after 2/01/07 | |||||||||||||||||||||
Fleet | ||||||||||||||||||||||||||||
Capital Trust V | Dec-98 | 79 | 82 | Dec-28 | 3-mo. LIBOR +100 bps | Quarterly | On or after 12/18/03 | |||||||||||||||||||||
BankBoston | ||||||||||||||||||||||||||||
Capital Trust III | Jun-97 | 53 | 55 | Jun-27 | 3-mo. LIBOR +75 bps | Quarterly | On or after 6/15/07 | |||||||||||||||||||||
Capital Trust IV | Jun-98 | 102 | 106 | Jun-28 | 3-mo. LIBOR +60 bps | Quarterly | On or after 6/08/03 | |||||||||||||||||||||
MBNA | ||||||||||||||||||||||||||||
Capital Trust B | Jan-97 | 70 | 73 | Feb-27 | 3-mo. LIBOR +80 bps | Quarterly | On or after 2/01/07 | |||||||||||||||||||||
Countrywide | ||||||||||||||||||||||||||||
Capital III | Jun-97 | 200 | 206 | Jun-27 | 8.05 | Semi-Annual | Only under special event | |||||||||||||||||||||
Capital IV | Apr-03 | 500 | 515 | Apr-33 | 6.75 | Quarterly | On or after 4/11/08 | |||||||||||||||||||||
Capital V | Nov-06 | 1,495 | 1,496 | Nov-36 | 7 | Quarterly | On or after 11/01/11 | |||||||||||||||||||||
Merrill Lynch | ||||||||||||||||||||||||||||
Preferred Capital Trust III | Jan-98 | 750 | 901 | Perpetual | 7 | Quarterly | On or after 3/08 | |||||||||||||||||||||
Preferred Capital Trust IV | Jun-98 | 400 | 480 | Perpetual | 7.12 | Quarterly | On or after 6/08 | |||||||||||||||||||||
Preferred Capital Trust V | Nov-98 | 850 | 1,021 | Perpetual | 7.28 | Quarterly | On or after 9/08 | |||||||||||||||||||||
Capital Trust I | Dec-06 | 1,050 | 1,051 | Dec-66 | 6.45 | Quarterly | On or after 12/11 | |||||||||||||||||||||
Capital Trust II | May-07 | 950 | 951 | Jun-67 | 6.45 | Quarterly | On or after 6/12 | |||||||||||||||||||||
Capital Trust III | Aug-07 | 750 | 751 | Sep-67 | 7.375 | Quarterly | On or after 9/12 | |||||||||||||||||||||
Total | $ | 8,773 | $ | 9,259 | ||||||||||||||||||||||||
(1) | Notes are denominated in British Pound. Presentation currency is U.S. Dollar. |
Commitments_and_Contingencies
Commitments and Contingencies | 12 Months Ended | |||||||||||||||||||
Dec. 31, 2014 | ||||||||||||||||||||
Commitments and Contingencies Disclosure [Abstract] | ||||||||||||||||||||
Commitments and Contingencies | Commitments and Contingencies | |||||||||||||||||||
In the normal course of business, the Corporation enters into a number of off-balance sheet commitments. These commitments expose the Corporation to varying degrees of credit and market risk and are subject to the same credit and market risk limitation reviews as those instruments recorded on the Consolidated Balance Sheet. | ||||||||||||||||||||
Credit Extension Commitments | ||||||||||||||||||||
The Corporation enters into commitments to extend credit such as loan commitments, standby letters of credit (SBLCs) and commercial letters of credit to meet the financing needs of its customers. The table below includes the notional amount of unfunded legally binding lending commitments net of amounts distributed (e.g., syndicated) to other financial institutions of $15.7 billion and $21.9 billion at December 31, 2014 and 2013. At December 31, 2014, the carrying value of these commitments, excluding commitments accounted for under the fair value option, was $546 million, including deferred revenue of $18 million and a reserve for unfunded lending commitments of $528 million. At December 31, 2013, the comparable amounts were $503 million, $19 million and $484 million, respectively. The carrying value of these commitments is classified in accrued expenses and other liabilities on the Consolidated Balance Sheet. | ||||||||||||||||||||
The table below also includes the notional amount of commitments of $9.9 billion and $13.0 billion at December 31, 2014 and 2013 that are accounted for under the fair value option. However, the table below excludes cumulative net fair value adjustments of $405 million and $354 million on these commitments, which are classified in accrued expenses and other liabilities. For more information regarding the Corporation’s loan commitments accounted for under the fair value option, see Note 21 – Fair Value Option. | ||||||||||||||||||||
Credit Extension Commitments | ||||||||||||||||||||
December 31, 2014 | ||||||||||||||||||||
(Dollars in millions) | Expire in One | Expire After One | Expire After Three | Expire After Five | Total | |||||||||||||||
Year or Less | Year Through | Years Through | Years | |||||||||||||||||
Three Years | Five Years | |||||||||||||||||||
Notional amount of credit extension commitments | ||||||||||||||||||||
Loan commitments | $ | 79,897 | $ | 97,583 | $ | 146,743 | $ | 18,942 | $ | 343,165 | ||||||||||
Home equity lines of credit | 6,292 | 19,679 | 12,319 | 15,417 | 53,707 | |||||||||||||||
Standby letters of credit and financial guarantees (1) | 19,259 | 9,106 | 4,519 | 1,807 | 34,691 | |||||||||||||||
Letters of credit | 1,883 | 157 | 35 | 88 | 2,163 | |||||||||||||||
Legally binding commitments | 107,331 | 126,525 | 163,616 | 36,254 | 433,726 | |||||||||||||||
Credit card lines (2) | 363,989 | — | — | — | 363,989 | |||||||||||||||
Total credit extension commitments | $ | 471,320 | $ | 126,525 | $ | 163,616 | $ | 36,254 | $ | 797,715 | ||||||||||
December 31, 2013 | ||||||||||||||||||||
Notional amount of credit extension commitments | ||||||||||||||||||||
Loan commitments | $ | 80,799 | $ | 105,175 | $ | 133,290 | $ | 21,864 | $ | 341,128 | ||||||||||
Home equity lines of credit | 4,580 | 16,855 | 21,074 | 14,301 | 56,810 | |||||||||||||||
Standby letters of credit and financial guarantees (1) | 21,994 | 8,843 | 2,876 | 3,967 | 37,680 | |||||||||||||||
Letters of credit | 1,263 | 899 | 4 | 403 | 2,569 | |||||||||||||||
Legally binding commitments | 108,636 | 131,772 | 157,244 | 40,535 | 438,187 | |||||||||||||||
Credit card lines (2) | 377,846 | — | — | — | 377,846 | |||||||||||||||
Total credit extension commitments | $ | 486,482 | $ | 131,772 | $ | 157,244 | $ | 40,535 | $ | 816,033 | ||||||||||
(1) | The notional amounts of SBLCs and financial guarantees classified as investment grade and non-investment grade based on the credit quality of the underlying reference name within the instrument were $26.1 billion and $8.2 billion at December 31, 2014, and $27.6 billion and $9.6 billion at December 31, 2013. Amounts include consumer SBLCs of $396 million and $453 million at December 31, 2014 and 2013. | |||||||||||||||||||
(2) | Includes business card unused lines of credit. | |||||||||||||||||||
Legally binding commitments to extend credit generally have specified rates and maturities. Certain of these commitments have adverse change clauses that help to protect the Corporation against deterioration in the borrower’s ability to pay. | ||||||||||||||||||||
Other Commitments | ||||||||||||||||||||
At December 31, 2014 and 2013, the Corporation had commitments to purchase loans (e.g., residential mortgage and commercial real estate) of $1.8 billion and $1.5 billion, which upon settlement will be included in loans or LHFS. | ||||||||||||||||||||
At December 31, 2014 and 2013, the Corporation had commitments to enter into forward-dated resale and securities borrowing agreements of $73.2 billion and $75.5 billion, and commitments to enter into forward-dated repurchase and securities lending agreements of $55.8 billion and $38.3 billion. These commitments expire within the next 12 months. | ||||||||||||||||||||
The Corporation is a party to operating leases for certain of its premises and equipment. Commitments under these leases are approximately $2.6 billion, $2.3 billion, $1.9 billion, $1.5 billion and $1.2 billion for 2015 through 2019, respectively, and $4.9 billion in the aggregate for all years thereafter. | ||||||||||||||||||||
At December 31, 2014 and 2013, the Corporation had unfunded equity investment commitments of $57 million and $195 million. | ||||||||||||||||||||
Other Guarantees | ||||||||||||||||||||
Bank-owned Life Insurance Book Value Protection | ||||||||||||||||||||
The Corporation sells products that offer book value protection to insurance carriers who offer group life insurance policies to corporations, primarily banks. The book value protection is provided on portfolios of intermediate investment-grade fixed-income securities and is intended to cover any shortfall in the event that policyholders surrender their policies and market value is below book value. These guarantees are recorded as derivatives and carried at fair value in the trading portfolio. At December 31, 2014 and 2013, the notional amount of these guarantees totaled $13.6 billion and $13.4 billion and the Corporation’s maximum exposure related to these guarantees totaled $3.1 billion and $3.0 billion with estimated maturity dates between 2031 and 2039. The net fair value including the fee receivable associated with these guarantees was $25 million and $39 million at December 31, 2014 and 2013, and reflects the probability of surrender as well as the multiple structural protection features in the contracts. | ||||||||||||||||||||
Employee Retirement Protection | ||||||||||||||||||||
The Corporation sells products that offer book value protection primarily to plan sponsors of the Employee Retirement Income Security Act of 1974 (ERISA) governed pension plans, such as 401(k) plans and 457 plans. The book value protection is provided on portfolios of intermediate/short-term investment-grade fixed-income securities and is intended to cover any shortfall in the event that plan participants continue to make qualified withdrawals after all securities have been liquidated and there is remaining book value. The Corporation retains the option to exit the contract at any time. If the Corporation exercises its option, the investment manager will either terminate the contract or convert the portfolio into a high-quality fixed-income portfolio, typically all government or government-backed agency securities, with the proceeds of the liquidated assets to assure the return of principal. To manage its exposure, the Corporation imposes restrictions and constraints on the timing of the withdrawals, the manner in which the portfolio is liquidated and the funds are accessed, and the investment parameters of the underlying portfolio. These constraints, combined with significant structural protections, are designed to provide adequate buffers and guard against payments even under extreme stress scenarios. These guarantees are recorded as derivatives and carried in the trading portfolio at fair value, which was insignificant at December 31, 2014. At December 31, 2014 and 2013, the notional amount of these guarantees totaled $500 million and $4.6 billion with estimated maturity dates up to 2019 if the exit option is exercised on all deals. The decline in notional amount in 2014 was primarily the result of plan sponsors terminating contracts pursuant to exit options. As of December 31, 2014, the Corporation had not made a payment under these products. | ||||||||||||||||||||
Indemnifications | ||||||||||||||||||||
In the ordinary course of business, the Corporation enters into various agreements that contain indemnifications, such as tax indemnifications, whereupon payment may become due if certain external events occur, such as a change in tax law. The indemnification clauses are often standard contractual terms and were entered into in the normal course of business based on an assessment that the risk of loss would be remote. These agreements typically contain an early termination clause that permits the Corporation to exit the agreement upon these events. The maximum potential future payment under indemnification agreements is difficult to assess for several reasons, including the occurrence of an external event, the inability to predict future changes in tax and other laws, the difficulty in determining how such laws would apply to parties in contracts, the absence of exposure limits contained in standard contract language and the timing of the early termination clause. Historically, any payments made under these guarantees have been de minimis. The Corporation has assessed the probability of making such payments in the future as remote. | ||||||||||||||||||||
Merchant Services | ||||||||||||||||||||
In accordance with credit and debit card association rules, the Corporation sponsors merchant processing servicers that process credit and debit card transactions on behalf of various merchants. In connection with these services, a liability may arise in the event of a billing dispute between the merchant and a cardholder that is ultimately resolved in the cardholder’s favor. If the merchant defaults on its obligation to reimburse the cardholder, the cardholder, through its issuing bank, generally has until six months after the date of the transaction to present a chargeback to the merchant processor, which is primarily liable for any losses on covered transactions. However, if the merchant processor fails to meet its obligation to reimburse the cardholder for disputed transactions, then the Corporation, as the sponsor, could be held liable for the disputed amount. In 2014 and 2013, the sponsored entities processed and settled $647.1 billion and $623.7 billion of transactions and recorded losses of $16 million and $15 million. A significant portion of this activity was processed by a joint venture in which the Corporation holds a 49 percent ownership. At December 31, 2014 and 2013, the sponsored merchant processing servicers held as collateral $130 million and $203 million of merchant escrow deposits which may be used to offset amounts due from the individual merchants. | ||||||||||||||||||||
The Corporation believes the maximum potential exposure for chargebacks would not exceed the total amount of merchant transactions processed through Visa and MasterCard for the last six months, which represents the claim period for the cardholder, plus any outstanding delayed-delivery transactions. As of December 31, 2014 and 2013, the maximum potential exposure for sponsored transactions totaled $269.3 billion and $258.5 billion. However, the Corporation believes that the maximum potential exposure is not representative of the actual potential loss exposure and does not expect to make material payments in connection with these guarantees. | ||||||||||||||||||||
Exchange and Clearing House Member Guarantees | ||||||||||||||||||||
The Corporation is a member of various securities and derivative exchanges and clearinghouses, both in the U.S. and other countries. As a member, the Corporation may be required to pay a pro-rata share of the losses incurred by some of these organizations as a result of another member default and under other loss scenarios. The Corporation’s potential obligations may be limited to its membership interests in such exchanges and clearinghouses, to the amount (or multiple) of the Corporation’s contribution to the guarantee fund or, in limited instances, to the full pro-rata share of the residual losses after applying the guarantee fund. The Corporation’s maximum potential exposure under these membership agreements is difficult to estimate; however, the potential for the Corporation to be required to make these payments is remote. | ||||||||||||||||||||
Prime Brokerage and Securities Clearing Services | ||||||||||||||||||||
In connection with its prime brokerage and clearing businesses, the Corporation performs securities clearance and settlement services on behalf of its clients with other brokerage firms and clearinghouses. Under these arrangements, the Corporation stands ready to meet the obligations of its clients with respect to securities transactions. The Corporation’s obligations in this respect are secured by the assets in the clients’ accounts and the accounts of their customers as well as by any proceeds received from the transactions cleared and settled by the firm on behalf of clients or their customers. The Corporation’s maximum potential exposure under these arrangements is difficult to estimate; however, the potential for the Corporation to incur material losses pursuant to these arrangements is remote. | ||||||||||||||||||||
Other Derivative Contracts | ||||||||||||||||||||
The Corporation funds selected assets, including securities issued by CDOs and CLOs, through derivative contracts, typically total return swaps, with third parties and VIEs that are not consolidated by the Corporation. The total notional amount of these derivative contracts was $527 million and $1.8 billion with commercial banks and $1.2 billion and $1.3 billion with VIEs at December 31, 2014 and 2013. The underlying securities are senior securities and substantially all of the Corporation’s exposures are insured. Accordingly, the Corporation’s exposure to loss consists principally of counterparty risk to the insurers. In certain circumstances, generally as a result of ratings downgrades, the Corporation may be required to purchase the underlying assets, which would not result in additional gain or loss to the Corporation as such exposure is already reflected in the fair value of the derivative contracts. | ||||||||||||||||||||
Other Guarantees | ||||||||||||||||||||
The Corporation has entered into additional guarantee agreements and commitments, including sold risk participation swaps, liquidity facilities, lease-end obligation agreements, partial credit guarantees on certain leases, real estate joint venture guarantees, divested business commitments and sold put options that require gross settlement. The maximum potential future payment under these agreements was approximately $6.2 billion and $6.9 billion at December 31, 2014 and 2013. The estimated maturity dates of these obligations extend up to 2033. The Corporation has made no material payments under these guarantees. | ||||||||||||||||||||
In the normal course of business, the Corporation periodically guarantees the obligations of its affiliates in a variety of transactions including ISDA-related transactions and non-ISDA related transactions such as commodities trading, repurchase agreements, prime brokerage agreements and other transactions. | ||||||||||||||||||||
Payment Protection Insurance Claims Matter | ||||||||||||||||||||
In the U.K., the Corporation previously sold payment protection insurance (PPI) through its international card services business to credit card customers and consumer loan customers. PPI covers a consumer’s loan or debt repayment if certain events occur such as loss of job or illness. In response to an elevated level of customer complaints across the industry, heightened media coverage and pressure from consumer advocacy groups, the U.K. Financial Services Authority, which has subsequently been replaced by the Prudential Regulation Authority (PRA) and the Financial Conduct Authority (FCA), investigated and raised concerns about the way some companies have handled complaints related to the sale of these insurance policies. In connection with this matter, the Corporation established a reserve for PPI. The reserve was $378 million and $381 million at December 31, 2014 and 2013. The Corporation recorded expense of $621 million and $258 million in 2014 and 2013. The increase in the provision was due primarily to the volume of new complaints not decreasing as expected. It is reasonably possible that the Corporation will incur additional expense related to PPI claims; however, the amount of such additional expense cannot be reasonably estimated. | ||||||||||||||||||||
Litigation and Regulatory Matters | ||||||||||||||||||||
In the ordinary course of business, the Corporation and its subsidiaries are routinely defendants in or parties to many pending and threatened legal actions and proceedings, including actions brought on behalf of various classes of claimants. These actions and proceedings are generally based on alleged violations of consumer protection, securities, environmental, banking, employment, contract and other laws. In some of these actions and proceedings, claims for substantial monetary damages are asserted against the Corporation and its subsidiaries. | ||||||||||||||||||||
In the ordinary course of business, the Corporation and its subsidiaries are also subject to regulatory and governmental examinations, information gathering requests, inquiries, investigations, and threatened legal actions and proceedings. For example, certain subsidiaries of the Corporation are registered broker-dealers or investment advisors and are subject to regulation by the SEC, the Financial Industry Regulatory Authority, the European Commission, the PRA, the FCA and other international, federal and state securities regulators. In connection with formal and informal inquiries, the Corporation and its subsidiaries receive numerous requests, subpoenas and orders for documents, testimony and information in connection with various aspects of the Corporation’s regulated activities. | ||||||||||||||||||||
In view of the inherent difficulty of predicting the outcome of such litigation, regulatory and governmental matters, particularly where the claimants seek very large or indeterminate damages or where the matters present novel legal theories or involve a large number of parties, the Corporation generally cannot predict what the eventual outcome of the pending matters will be, what the timing of the ultimate resolution of these matters will be, or what the eventual loss, fines or penalties related to each pending matter may be. | ||||||||||||||||||||
In accordance with applicable accounting guidance, the Corporation establishes an accrued liability for litigation, regulatory and governmental matters when those matters present loss contingencies that are both probable and estimable. In such cases, there may be an exposure to loss in excess of any amounts accrued. As a litigation, regulatory or governmental matter develops, the Corporation, in conjunction with any outside counsel handling the matter, evaluates on an ongoing basis whether such matter presents a loss contingency that is probable and estimable. When a loss contingency is not both probable and estimable, the Corporation does not establish an accrued liability. If, at the time of evaluation, the loss contingency related to a litigation, regulatory or governmental matter is not both probable and estimable, the matter will continue to be monitored for further developments that would make such loss contingency both probable and estimable. Once the loss contingency related to a litigation, regulatory or governmental matter is deemed to be both probable and estimable, the Corporation will establish an accrued liability with respect to such loss contingency and record a corresponding amount of litigation-related expense. The Corporation continues to monitor the matter for further developments that could affect the amount of the accrued liability that has been previously established. Excluding expenses of internal or external legal service providers, litigation-related expense of $16.4 billion was recognized for 2014 compared to $6.1 billion for 2013. | ||||||||||||||||||||
For a limited number of the matters disclosed in this Note for which a loss, whether in excess of a related accrued liability or where there is no accrued liability, is reasonably possible in future periods, the Corporation is able to estimate a range of possible loss. In determining whether it is possible to estimate a range of possible loss, the Corporation reviews and evaluates its material litigation, regulatory and governmental matters on an ongoing basis, in conjunction with any outside counsel handling the matter, in light of potentially relevant factual and legal developments. These may include information learned through the discovery process, rulings on dispositive motions, settlement discussions, and other rulings by courts, arbitrators or others. In cases in which the Corporation possesses sufficient appropriate information to estimate a range of possible loss, that estimate is aggregated and disclosed below. There may be other disclosed matters for which a loss is probable or reasonably possible but such an estimate of the range of possible loss may not be possible. For those matters where an estimate of the range of possible loss is possible, management currently estimates the aggregate range of possible loss is $0 to $2.7 billion in excess of the accrued liability (if any) related to those matters. This estimated range of possible loss is based upon currently available information and is subject to significant judgment and a variety of assumptions, and known and unknown uncertainties. The matters underlying the estimated range will change from time to time, and actual results may vary significantly from the current estimate. Those matters for which an estimate is not possible are not included within this estimated range. Therefore, this estimated range of possible loss represents what the Corporation believes to be an estimate of possible loss only for certain matters meeting these criteria. It does not represent the Corporation’s maximum loss exposure. | ||||||||||||||||||||
Information is provided below regarding the nature of all of these contingencies and, where specified, the amount of the claim associated with these loss contingencies. Based on current knowledge, management does not believe that loss contingencies arising from pending matters, including the matters described herein, will have a material adverse effect on the consolidated financial position or liquidity of the Corporation. However, in light of the inherent uncertainties involved in these matters, some of which are beyond the Corporation’s control, and the very large or indeterminate damages sought in some of these matters, an adverse outcome in one or more of these matters could be material to the Corporation’s results of operations or cash flows for any particular reporting period. | ||||||||||||||||||||
Bond Insurance Litigation | ||||||||||||||||||||
Ambac Countrywide Litigation | ||||||||||||||||||||
The Corporation, Countrywide and other Countrywide entities are named as defendants in an action filed on September 29, 2010 and as amended on May 28, 2013, by Ambac Assurance Corporation and the Segregated Account of Ambac Assurance Corporation (together, Ambac), entitled Ambac Assurance Corporation and The Segregated Account of Ambac Assurance Corporation v. Countrywide Home Loans, Inc., et al. This action, currently pending in New York Supreme Court, New York County, relates to bond insurance policies provided by Ambac on certain securitized pools of second-lien (and in one pool, first-lien) HELOCs, first-lien subprime home equity loans and fixed-rate second-lien mortgage loans. Plaintiffs allege that they have paid claims as a result of defaults in the underlying loans and assert that the Countrywide defendants misrepresented the characteristics of the underlying loans and breached certain contractual representations and warranties regarding the underwriting and servicing of the loans. Plaintiffs also allege that the Corporation is liable based on successor liability theories. Damages claimed by Ambac are in excess of $2.2 billion and include the amount of payments for current and future claims it has paid or claims it will be obligated to pay under the policies, increasing over time as it pays claims under relevant policies, plus unspecified punitive damages. | ||||||||||||||||||||
On December 30, 2014, Ambac filed a second complaint in the same court against the same defendants, claiming fraudulent inducement against Countrywide and successor and vicarious liability against the Corporation relating to eight partially Ambac-insured RMBS transactions that closed between 2005 and 2007, all backed by negative amortization pay option adjustable-rate mortgage (ARM) loans that were originated in whole or in part by Countrywide. Seven of the eight securitizations were issued and underwritten by non-parties to the litigation. Ambac claims damages in excess of $600 million consisting of all alleged past and future claims against its policies, plus other unspecified compensatory and punitive damages. | ||||||||||||||||||||
Also on December 30, 2014, Ambac filed a third action in Wisconsin Circuit Court, Dane County, against Countrywide Home Loans, Inc., claiming that it was fraudulently induced to insure portions of five securitizations issued and underwritten in 2005 by a non-party that included Countrywide originated first-lien negative amortization pay option ARM loans. The complaint claims damages in excess of $350 million for all alleged past and future Ambac insured claims payment obligations plus other unspecified compensatory and punitive damages. | ||||||||||||||||||||
Ambac First Franklin Litigation | ||||||||||||||||||||
On April 16, 2012, Ambac sued First Franklin Financial Corp., BANA, MLPF&S, Merrill Lynch Mortgage Lending, Inc. (MLML), and Merrill Lynch Mortgage Investors, Inc. in New York Supreme Court, New York County. Plaintiffs’ claims relate to guaranty insurance Ambac provided on a First Franklin securitization (Franklin Mortgage Loan Trust, Series 2007-FFC). The securitization was sponsored by MLML, and certain certificates in the securitization were insured by Ambac. The complaint alleges that defendants breached representations and warranties concerning the origination of the underlying mortgage loans and asserts claims for fraudulent inducement, breach of contract and indemnification. Plaintiffs also assert breach of contract claims against BANA based upon its servicing of the loans in the securitization. The complaint alleges that Ambac has paid hundreds of millions of dollars in claims and has accrued and continues to accrue tens of millions of dollars in additional claims, and Ambac seeks as damages the total claims it has paid and its projected claims payment obligations, as well as specific performance of defendants’ contractual repurchase obligations. | ||||||||||||||||||||
On July 19, 2013, the court denied defendants’ motion to dismiss Ambac’s contract and fraud causes of action but granted dismissal of Ambac’s indemnification cause of action. In addition, the court denied defendants’ motion to dismiss Ambac’s claims for attorneys’ fees and punitive damages. | ||||||||||||||||||||
European Commission – Credit Default Swaps Antitrust Investigation | ||||||||||||||||||||
On July 1, 2013, the European Commission (Commission) announced that it had addressed a Statement of Objections (SO) to the Corporation, BANA and Banc of America Securities LLC (together, the Bank of America Entities), a number of other financial institutions, Markit Group Limited, and the International Swaps and Derivatives Association (together, the Parties). The SO sets forth the Commission’s preliminary conclusion that the Parties infringed European Union competition law by participating in alleged collusion to prevent exchange trading of CDS and futures. According to the SO, the conduct of the Bank of America Entities took place between August 2007 and April 2009. As part of the Commission’s procedures, the Parties have reviewed the evidence in the investigative file, responded to the Commission’s preliminary conclusions and attended a hearing before the Commission. If the Commission is satisfied that its preliminary conclusions are proved, the Commission has stated that it intends to impose a fine and require appropriate remedial measures. | ||||||||||||||||||||
Fontainebleau Las Vegas Litigation | ||||||||||||||||||||
On June 9, 2009, Avenue CLO Fund Ltd., et al. v. Bank of America, N.A., Merrill Lynch Capital Corporation, et al. was filed in the U.S. District Court for the District of Nevada by certain Fontainebleau Las Vegas, LLC (FBLV) project lenders. Plaintiffs alleged that, among other things, BANA breached its duties as disbursement agent under the agreement governing the disbursement of loaned funds to FBLV, then a Chapter 11 debtor-in-possession. Plaintiffs seek monetary damages of more than $700 million, plus interest. This action was subsequently transferred by the U.S. Judicial Panel on Multidistrict Litigation (JPML) to the U.S. District Court for the Southern District of Florida. | ||||||||||||||||||||
On March 19, 2012, the district court granted BANA’s motion for summary judgment on all causes of action against it in its capacity as disbursement agent and denied plaintiffs’ motion for summary judgment on those claims. On July 26, 2013, the U.S. Court of Appeals for the Eleventh Circuit affirmed in part and reversed in part the district court’s dismissal of the disbursement agent claims against BANA, holding that there were factual disputes that could not be resolved on a summary judgment motion, and remanded the case to the district court for further proceedings. | ||||||||||||||||||||
Dismissal of the other claims was affirmed on a separate appeal. On December 13, 2013, the JPML remanded the action to the District of Nevada for trial. | ||||||||||||||||||||
The parties have settled the action for $300 million, an amount that was fully accrued as of December 31, 2014. Pursuant to the settlement, plaintiffs have stipulated to the voluntary dismissal of their remaining claims with prejudice. | ||||||||||||||||||||
In re Bank of America Securities, Derivative and Employee Retirement Income Security Act (ERISA) Litigation | ||||||||||||||||||||
Beginning in January 2009, the Corporation, as well as certain current and former officers and directors, among others, were named as defendants in a variety of actions filed in state and federal courts. The actions generally concern alleged material misrepresentations and/or omissions with respect to certain securities filings by the Corporation. The securities filings contained information with respect to events that took place from September 2008 through January 2009 contemporaneous with the Corporation’s acquisition of Merrill Lynch & Co., Inc. (Merrill Lynch). Certain federal court actions were consolidated and/or coordinated in the U.S. District Court for the Southern District of New York (the District Court) under the caption In re Bank of America Securities, Derivative and Employee Retirement Income Security Act (ERISA) Litigation. | ||||||||||||||||||||
Plaintiffs in the consolidated securities class action (the Consolidated Securities Class Action) asserted claims under Sections 14(a), 10(b) and 20(a) of the Securities Exchange Act of 1934, and Sections 11, 12(a)(2) and 15 of the Securities Act of 1933 and asserted damages based on the drop in the stock price upon subsequent disclosures. On April 5, 2013, the District Court granted final approval of the settlement of the Consolidated Securities Class Action. On November 5, 2014, the U.S. Court of Appeals for the Second Circuit affirmed the final approval of the settlement of the Consolidated Securities Class Action. On February 3, 2015, the deadline for filing a petition for writ of certiorari with the U.S. Supreme Court elapsed without any objector filing a petition. | ||||||||||||||||||||
Certain shareholders opted to pursue their claims apart from the Consolidated Securities Class Action. Following settlements in an aggregate amount that was fully accrued as of December 31, 2013, the District Court dismissed the claims of these plaintiffs with prejudice. | ||||||||||||||||||||
In addition, on January 11, 2013, the District Court approved the settlement of claims filed by plaintiffs in a derivative action in the Consolidated Securities Class Action, which also resolved a consolidated derivative action filed in the Delaware Court of Chancery. | ||||||||||||||||||||
In addition, the District Court dismissed a complaint filed by plaintiffs in the ERISA actions in the Consolidated Securities Class Action on August 27, 2010, and the parties stipulated to the withdrawal of the appeal of that decision on January 14, 2013. | ||||||||||||||||||||
Interchange and Related Litigation | ||||||||||||||||||||
In 2005, a group of merchants filed a series of putative class actions and individual actions directed at interchange fees associated with Visa and MasterCard payment card transactions. These actions, which were consolidated in the U.S. District Court for the Eastern District of New York under the caption In Re Payment Card Interchange Fee and Merchant Discount Anti-Trust Litigation (Interchange), named Visa, MasterCard and several banks and bank holding companies (BHCs), including the Corporation, as defendants. Plaintiffs allege that defendants conspired to fix the level of default interchange rates and that certain rules of Visa and MasterCard related to merchant acceptance of payment cards at the point of sale were unreasonable restraints of trade. Plaintiffs sought unspecified damages and injunctive relief. | ||||||||||||||||||||
On October 19, 2012, defendants settled the matter. The settlement provides for, among other things, (i) payments by defendants to the class and individual plaintiffs totaling approximately $6.6 billion, allocated proportionately to each defendant based upon various loss-sharing agreements; (ii) distribution to class merchants of an amount equal to 10 bps of default interchange across all Visa and MasterCard credit card transactions for a period of eight consecutive months, to begin by July 29, 2013, which otherwise would have been paid to issuers and which effectively reduces credit interchange for that period of time; and (iii) modifications to certain Visa and MasterCard rules regarding merchant point of sale practices. | ||||||||||||||||||||
The court granted final approval of the class settlement agreement on December 13, 2013. Several class members appealed to the U.S. Court of Appeals for the Second Circuit. In addition, a number of class members opted out of the settlement of their past damages claims. The cash portion of the settlement was adjusted downward as a result of these opt outs. | ||||||||||||||||||||
The Corporation is named in three of the opt-out suits, including one brought by cardholders, and, as a result of various sharing agreements from the main Interchange litigation, the Corporation remains liable for any settlement or judgment in opt-out suits where it is not named as a defendant. All but one of the opt-out suits filed to date have been consolidated in the U.S. District Court for the Eastern District of New York. On July 18, 2014, the court denied defendants’ motion to dismiss opt-out complaints filed by merchants, and on November 26, 2014, the court granted defendants’ motion to dismiss the Sherman Act claim in the cardholder complaint. | ||||||||||||||||||||
LIBOR, Other Reference Rate and Foreign Exchange (FX) Inquiries and Litigation | ||||||||||||||||||||
The Corporation has received subpoenas and information requests from government authorities in North America, Europe and the Asia Pacific region, including the DoJ, the U.S. Commodity Futures Trading Commission (CFTC) and the FCA, concerning submissions made by panel banks in connection with the setting of LIBOR and other reference rates. The Corporation is cooperating with these inquiries. | ||||||||||||||||||||
In addition, the Corporation and BANA have been named as defendants along with most of the other LIBOR panel banks in a series of individual and class actions in various U.S. federal and state courts relating to defendants’ LIBOR contributions. All cases naming the Corporation have been or are in the process of being consolidated for pre-trial purposes in the U.S. District Court for the Southern District of New York by the JPML. The Corporation expects that any future cases naming it will similarly be consolidated for pre-trial purposes. Plaintiffs allege that they held or transacted in U.S. Dollar LIBOR-based derivatives or other financial instruments and sustained losses as a result of collusion or manipulation by defendants regarding the setting of U.S. Dollar LIBOR. Plaintiffs assert a variety of claims, including antitrust and Racketeer Influenced and Corrupt Organizations (RICO), common law fraud, and breach of contract claims, and seek compensatory, treble and punitive damages, and injunctive relief. | ||||||||||||||||||||
In a series of rulings, the court dismissed antitrust, RICO and certain state law claims, while permitting the Commodity Exchange Act and other state law claims to proceed. As a result of a procedural ruling by the Supreme Court, plaintiffs are pursuing an immediate appeal of the dismissal of their antitrust claims. Further, based on the statute of limitations, the court has substantially limited the time period for which manipulation claims under the Commodity Exchange Act may be pursued. As to the Corporation and BANA, the court has also dismissed manipulation claims based on alleged trader conduct, and certain common law claims by plaintiffs who alleged no direct dealings with the Corporation or BANA. Other claims against the Corporation and BANA remain pending, however, and the court is continuing to consider motions regarding them, including the applicability of its prior rulings to subsequently filed actions. | ||||||||||||||||||||
Certain regulatory and government authorities in North America, Europe and the Asia Pacific region are conducting investigations and making inquiries of a significant number of FX market participants, including the Corporation, regarding FX market participants’ conduct and systems and controls over multiple years. The Corporation is cooperating with these investigations and inquiries, some of which are likely to lead to regulatory or legal proceedings and expose the Corporation to material penalties, fines or losses, and could adversely affect its reputation. | ||||||||||||||||||||
In particular, in November 2014, the Corporation resolved a matter with the Office of the Comptroller of the Currency (OCC) by agreeing to the imposition of mandatory remedial measures and payment of $250 million in civil penalties associated with the Corporation’s FX business and its systems and controls. | ||||||||||||||||||||
The Corporation is in separate advanced discussions to resolve the regulatory matters of concern to another U.S. banking regulator involving the Corporation’s FX business and its systems and controls. There can be no assurances that these discussions will lead to a resolution, or of the amount or timing of any such resolution. | ||||||||||||||||||||
In addition, in a consolidated amended complaint filed on March 31, 2014, the Corporation and BANA were named as defendants along with other FX market participants in a putative class action filed in the U.S. District Court for the Southern District of New York on behalf of plaintiffs and a putative class who allegedly transacted in FX and are domiciled in the U.S. or transacted in FX in the U.S. (the U.S. Action). On April 30, 2014, a substantively similar class action was filed against the Corporation and other FX market participants on behalf of a plaintiff and putative class allegedly located in Norway (the Foreign Action). The complaints allege that class members transacted with defendants at or around the time of the fixing of the WM/Reuters Closing Spot Rates or entered into transactions that settled in whole or in part based on the WM/Reuters Closing Spot Rates and that they sustained losses as a result of the defendants’ alleged conspiracy to manipulate the WM/Reuters Closing Spot Rates. Plaintiffs in the U.S. Action assert a single claim for violations of Sections 1 and 3 of the Sherman Act, and plaintiff in the Foreign Action asserts claims for violations of the Sherman Act, as well as certain claims under New York statutory and common law. Plaintiffs seek compensatory and treble damages, and declaratory and injunctive relief. | ||||||||||||||||||||
On January 28, 2015, the court denied defendants’ motion to dismiss the U.S. Action, finding that plaintiffs had sufficiently pleaded the elements of an antitrust claim. In the same decision, the court granted with prejudice defendants’ motion to dismiss the Foreign Action, finding that the Sherman Act does not apply extraterritorially, except in limited circumstances not present in the case, and that plaintiff had failed to plead an actionable state law claim. | ||||||||||||||||||||
Montgomery | ||||||||||||||||||||
The Corporation, several current and former officers and directors, Banc of America Securities LLC (BAS), MLPF&S and other unaffiliated underwriters have been named as defendants in a putative class action filed in the U.S. District Court for the Southern District of New York entitled Montgomery v. Bank of America, et al. Plaintiff filed an amended complaint on January 14, 2011. Plaintiff seeks to sue on behalf of all persons who acquired certain series of preferred stock offered by the Corporation pursuant to a shelf registration statement dated May 5, 2006. Plaintiff’s claims arise from three offerings dated January 24, 2008, January 28, 2008 and May 20, 2008, from which the Corporation allegedly received proceeds of $15.8 billion. The amended complaint asserts claims under Sections 11, 12(a)(2) and 15 of the Securities Act of 1933, and alleges that the prospectus supplements associated with the offerings: (i) failed to disclose that the Corporation’s loans, leases, CDOs and commercial MBS were impaired to a greater extent than disclosed; (ii) misrepresented the extent of the impaired assets by failing to establish adequate reserves or properly record losses for its impaired assets; (iii) misrepresented the adequacy of the Corporation’s internal controls in light of the alleged impairment of its assets; (iv) misrepresented the Corporation’s capital base and Tier 1 leverage ratio for risk-based capital in light of the allegedly impaired assets; and (v) misrepresented the thoroughness and adequacy of the Corporation’s due diligence in connection with its acquisition of Countrywide. The amended complaint seeks rescission, compensatory and other damages. On March 16, 2012, the court granted defendants’ motion to dismiss the first amended complaint. On December 3, 2013, the court denied plaintiffs’ motion to file a second amended complaint. On February 6, 2014, plaintiffs appealed the denial of their motion to amend to the U.S. Court of Appeals for the Second Circuit. | ||||||||||||||||||||
Mortgage-backed Securities Litigation | ||||||||||||||||||||
The Corporation and its affiliates, Countrywide entities and their affiliates, and Merrill Lynch entities and their affiliates have been named as defendants in a number of cases relating to their various roles as issuer, originator, seller, depositor, sponsor, underwriter and/or controlling entity in MBS offerings, pursuant to which the MBS investors were entitled to a portion of the cash flow from the underlying pools of mortgages. These cases generally include purported class action suits and actions by individual MBS purchasers. Although the allegations vary by lawsuit, these cases generally allege that the registration statements, prospectuses and prospectus supplements for securities issued by securitization trusts contained material misrepresentations and omissions, in violation of the Securities Act of 1933 and/or state securities laws and other state statutory and common laws. | ||||||||||||||||||||
These cases generally involve allegations of false and misleading statements regarding: (i) the process by which the properties that served as collateral for the mortgage loans underlying the MBS were appraised; (ii) the percentage of equity that mortgage borrowers had in their homes; (iii) the borrowers’ ability to repay their mortgage loans; (iv) the underwriting practices by which those mortgage loans were originated; (v) the ratings given to the different tranches of MBS by rating agencies; and (vi) the validity of each issuing trust’s title to the mortgage loans comprising the pool for that securitization (collectively, MBS Claims). Plaintiffs in these cases generally seek unspecified compensatory damages, unspecified costs and legal fees and, in some instances, seek rescission. | ||||||||||||||||||||
The Corporation, Countrywide, Merrill Lynch and/or their affiliates may have claims for and/or may be subject to claims for contractual indemnification in connection with their various roles in regard to MBS. | ||||||||||||||||||||
On August 15, 2011, the JPML ordered multiple federal court cases involving Countrywide MBS consolidated for pretrial purposes in the U.S. District Court for the Central District of California in a multi-district litigation entitled In re Countrywide Financial Corp. Mortgage-Backed Securities Litigation (the Countrywide RMBS MDL). | ||||||||||||||||||||
Federal Home Loan Bank Litigation | ||||||||||||||||||||
On March 15, 2010, the Federal Home Loan Bank of San Francisco (FHLB San Francisco) filed an action in California Superior Court, San Francisco County, entitled Federal Home Loan Bank of San Francisco v. Credit Suisse Securities (USA) LLC, et al. FHLB San Francisco’s complaint asserts certain MBS Claims against BAS, Countrywide and several related entities in connection with its alleged purchase of 51 MBS offerings and one private placement issued and/or underwritten by those defendants between 2004 and 2007 and seeks rescission and unspecified damages. FHLB San Francisco dismissed the federal claims with prejudice on August 11, 2011. On September 8, 2011, the court denied defendants’ motions to dismiss the state law claims. On December 20, 2013, FHLB San Francisco voluntarily dismissed its negligent misrepresentation claims with prejudice. On October 15, 2014, the court denied the parties’ cross-motions for summary judgment with respect to two Countrywide trusts that were to be part of a bellwether trial. | ||||||||||||||||||||
The parties have settled the action and other related actions for $420 million, as well as with respect to certain claims, additional consideration; all amounts were fully accrued as of December 31, 2014. Pursuant to the settlement, FHLB San Francisco has voluntarily dismissed its remaining claims with prejudice. | ||||||||||||||||||||
Luther Class Action Litigation and Related Actions | ||||||||||||||||||||
Beginning in 2007, a number of pension funds and other investors filed putative class action lawsuits alleging certain MBS Claims against Countrywide, several of its affiliates, MLPF&S, the Corporation, NB Holdings Corporation and certain other defendants. Those class action lawsuits concerned a total of 429 MBS offerings involving over $350 billion in securities issued by subsidiaries of Countrywide between 2005 and 2007. The actions, entitled Luther v. Countrywide Financial Corporation, et al., Maine State Retirement System v. Countrywide Financial Corporation, et al., Western Conference of Teamsters Pension Trust Fund v. Countrywide Financial Corporation, et al., and Putnam Bank v. Countrywide Financial Corporation, et al., were all assigned to the Countrywide RMBS MDL court. On December 6, 2013, the court granted final approval to a settlement of these actions in the amount of $500 million. Beginning on January 14, 2014, a number of class members appealed to the U.S. Court of Appeals for the Ninth Circuit. | ||||||||||||||||||||
Prudential Insurance Litigation | ||||||||||||||||||||
On March 14, 2013, The Prudential Insurance Company of America and certain of its affiliates (collectively Prudential) filed a complaint in the U.S. District Court for the District of New Jersey, in a case entitled Prudential Insurance Company of America, et al. v. Bank of America, N.A., et al. Prudential has named the Corporation, Merrill Lynch and a number of related entities as defendants. Prudential asserts certain MBS Claims pertaining to 54 MBS offerings from which Prudential alleges that it purchased securities between 2004 and 2007. Prudential seeks, among other relief, compensatory damages, rescission or a rescissory measure of damages, punitive damages and other unspecified relief. On April 17, 2014, the court granted in part and denied in part defendants’ motion to dismiss the complaint. Prudential thereafter split its claims into two separate complaints, filing an amended complaint in the original action and a complaint in a separate action entitled Prudential Portfolios 2, et al. v. Bank of America, N.A., et al. Both cases are pending in the U.S. District Court for the District of New Jersey. On February 5, 2015, the court granted in part and denied in part defendants’ motion to dismiss those complaints, granting plaintiff leave to replead in certain respects. | ||||||||||||||||||||
Mortgage Repurchase Litigation | ||||||||||||||||||||
U.S. Bank Litigation | ||||||||||||||||||||
On August 29, 2011, U.S. Bank, National Association (U.S. Bank), as trustee for the HarborView Mortgage Loan Trust 2005-10 (the Trust), a mortgage pool backed by loans originated by Countrywide Home Loans, Inc. (CHL), filed a complaint in New York Supreme Court, New York County, in a case entitled U.S. Bank National Association, as Trustee for HarborView Mortgage Loan Trust, Series 2005-10 v. Countrywide Home Loans, Inc. (dba Bank of America Home Loans), Bank of America Corporation, Countrywide Financial Corporation, Bank of America, N.A. and NB Holdings Corporation. U.S. Bank asserts that, as a result of alleged misrepresentations by CHL in connection with its sale of the loans, defendants must repurchase all the loans in the pool, or in the alternative that it must repurchase a subset of those loans as to which U.S. Bank alleges that defendants have refused specific repurchase demands. U.S. Bank asserts claims for breach of contract and seeks specific performance of defendants’ alleged obligation to repurchase the entire pool of loans (alleged to have an original aggregate principal balance of $1.75 billion) or alternatively the aforementioned subset (alleged to have an aggregate principal balance of “over $100 million”), together with reimbursement of costs and expenses and other unspecified relief. On May 29, 2013, the New York Supreme Court dismissed U.S. Bank’s claim for repurchase of all the mortgage loans in the Trust. The court granted U.S. Bank leave to amend this claim. On June 18, 2013, U.S. Bank filed its second amended complaint seeking to replead its claim for repurchase of all loans in the Trust. On February 13, 2014, the court granted defendants’ motion to dismiss the repleaded claim seeking repurchase of all mortgage loans in the Trust; plaintiff has appealed that order. | ||||||||||||||||||||
On November 13, 2014, the court granted U.S. Bank’s motion for leave to amend the complaint; defendants have appealed that order. The amended complaint alleges breach of contract based upon defendants’ failure to repurchase loans that were the subject of specific repurchase demands and also alleges breach of contract based upon defendants’ discovery, during origination and servicing, of loans with material breaches of representations and warranties. | ||||||||||||||||||||
U.S. Bank Summonses with Notice | ||||||||||||||||||||
On August 29, 2014, U.S. Bank, solely in its capacity as Trustee for seven securitization trusts (the Trusts), served seven summonses with notice commencing potential actions against First Franklin Financial Corporation, Merrill Lynch Mortgage Lending, Inc., Merrill Lynch Mortgage Investors, Inc., and Ownit Mortgage Solutions Inc. in New York Supreme Court, New York County. The summonses indicate that defendants may be subject to breach of contract claims alleging that they breached representations and warranties related to loans securitized in the Trusts. The summonses allege that defendants failed to repurchase breaching mortgage loans from the Trusts. The summonses seek specific performance of defendants’ alleged obligation to repurchase breaching loans, declaratory judgment, compensatory, rescissory and other damages, and indemnity. On February 5, 2015, defendants demanded complaints on three of the Trusts. Defendants currently have until March 3, 2015 to demand the complaint with respect to one of the remaining Trusts, and until July 15, 2015 to demand complaints on the final three Trusts. | ||||||||||||||||||||
Ocala Investor Litigation | ||||||||||||||||||||
On November 25, 2009, BNP Paribas Mortgage Corporation (BNP) and Deutsche Bank AG each filed claims (the 2009 Actions) against BANA in the U.S. District Court for the Southern District of New York entitled BNP Paribas Mortgage Corporation v. Bank of America, N.A and Deutsche Bank AG v. Bank of America, N.A. Plaintiffs allege that BANA failed to properly perform its duties as indenture trustee, collateral agent, custodian and depositary for Ocala Funding, LLC (Ocala), a home mortgage warehousing facility, resulting in the loss of plaintiffs’ investment in Ocala. Ocala was a wholly-owned subsidiary of Taylor, Bean & Whitaker Mortgage Corp. (TBW), a home mortgage originator and servicer which is alleged to have committed fraud that led to its eventual bankruptcy. Ocala provided funding for TBW’s mortgage origination activities by issuing notes, the proceeds of which were to be used by TBW to originate home mortgages. Such mortgages and other Ocala assets in turn were pledged to BANA, as collateral agent, to secure the notes. Plaintiffs lost most or all of their investment in Ocala when, as the result of the alleged fraud committed by TBW, Ocala was unable to repay the notes purchased by plaintiffs and there was insufficient collateral to satisfy Ocala’s debt obligations. Plaintiffs allege that BANA breached its contractual, fiduciary and other duties to Ocala, thereby permitting TBW’s alleged fraud to go undetected. Plaintiffs seek compensatory damages and other relief from BANA, including interest and attorneys’ fees, in an unspecified amount, but which plaintiffs allege exceeds $1.6 billion. | ||||||||||||||||||||
On March 23, 2011, the court granted in part and denied in part BANA’s motions to dismiss the 2009 Actions. Plaintiffs filed amended complaints on October 1, 2012 that included additional contractual, tort and equitable claims. On June 6, 2013, the court granted BANA’s motion to dismiss plaintiffs’ claims for failure to sue, negligence, negligent misrepresentation and equitable relief. | ||||||||||||||||||||
On November 24, 2014, BANA moved for summary judgment and plaintiffs moved for partial summary judgment. | ||||||||||||||||||||
On February 19, 2015, BANA and BNP reached an agreement in principle to settle the 2009 actions for an amount not material to the Corporation’s results of operations, subject to the execution of a final settlement agreement. | ||||||||||||||||||||
O’Donnell Litigation | ||||||||||||||||||||
On February 24, 2012, Edward O’Donnell filed a sealed qui tam complaint under the Financial Institutions Reform, Recovery and Enforcement Act of 1989 (FIRREA) and the False Claims Act against the Corporation, individually, and as successor to Countrywide, CHL and a Countrywide business division known as Full Spectrum Lending. On October 24, 2012, the DoJ filed a complaint-in-intervention to join the matter, adding BANA, Countrywide and CHL as defendants. The action is entitled United States of America, ex rel, Edward O’Donnell, appearing Qui Tam v. Bank of America Corp., et al., and was filed in the U.S. District Court for the Southern District of New York. The complaint-in-intervention asserted certain fraud claims in connection with the sale of loans to FNMA and FHLMC by Full Spectrum Lending and by the Corporation and BANA. On January 11, 2013, the government filed an amended complaint which added Countrywide Bank, FSB (CFSB) and a former officer of the Corporation as defendants. The court dismissed False Claims Act counts on May 8, 2013. On September 6, 2013, the government filed a second amended complaint alleging claims under FIRREA concerning allegedly fraudulent loan sales to the GSEs between August 2007 and May 2008. On September 24, 2013, the government dismissed the Corporation as a defendant. | ||||||||||||||||||||
Following a trial, on October 23, 2013, a verdict of liability was returned against CHL, CFSB and BANA. On July 30, 2014, the court imposed a civil penalty of $1.3 billion on BANA. On February 3, 2015, the court denied the Corporation’s motions for judgment as a matter of law, or in the alternative, a new trial. The Corporation will appeal the verdict and judgment. | ||||||||||||||||||||
Pennsylvania Public School Employees’ Retirement System | ||||||||||||||||||||
The Corporation and several current and former officers were named as defendants in a putative class action filed in the U.S. District Court for the Southern District of New York entitled Pennsylvania Public School Employees’ Retirement System v. Bank of America, et al. | ||||||||||||||||||||
Following the filing of a complaint on February 2, 2011, plaintiff subsequently filed an amended complaint on September 23, 2011 in which plaintiff sought to sue on behalf of all persons who acquired the Corporation’s common stock between February 27, 2009 and October 19, 2010 and “Common Equivalent Securities” sold in a December 2009 offering. The amended complaint asserted claims under Sections 10(b) and 20(a) of the Securities Exchange Act of 1934 and Sections 11 and 15 of the Securities Act of 1933, and alleged that the Corporation’s public statements: (i) concealed problems in the Corporation’s mortgage servicing business resulting from the widespread use of the Mortgage Electronic Recording System; (ii) failed to disclose the Corporation’s exposure to mortgage repurchase claims; (iii) misrepresented the adequacy of internal controls; and (iv) violated certain Generally Accepted Accounting Principles. The amended complaint sought unspecified damages. | ||||||||||||||||||||
On July 11, 2012, the court granted in part and denied in part defendants’ motions to dismiss the amended complaint. All claims under the Securities Act were dismissed against all defendants, with prejudice. The motion to dismiss the claim against the Corporation under Section 10(b) of the Exchange Act was denied. All claims under the Exchange Act against the officers were dismissed, with leave to replead. Defendants moved to dismiss a second amended complaint in which plaintiff sought to replead claims against certain current and former officers under Sections 10(b) and 20(a). On April 17, 2013, the court granted in part and denied in part the motion to dismiss, sustaining Sections 10(b) and 20(a) claims against the current and former officers. | ||||||||||||||||||||
Policemen’s Annuity Litigation | ||||||||||||||||||||
On April 11, 2012, the Policemen’s Annuity & Benefit Fund of the City of Chicago, on its own behalf and on behalf of a proposed class of purchasers of 41 RMBS trusts collateralized mostly by Washington Mutual-originated (WaMu) mortgages, filed a proposed class action complaint against BANA and other unrelated parties in the U.S. District Court for the Southern District of New York, entitled Policemen’s Annuity and Benefit Fund of the City of Chicago v. Bank of America, N.A. and U.S. Bank National Association. BANA and U.S. Bank are named as defendants in their capacities as trustees, with BANA (formerly LaSalle Bank National Association) having served as the original trustee and U.S. Bank having replaced BANA as trustee. Plaintiff asserted claims under the federal Trust Indenture Act as well as state common law claims. Plaintiff alleged that, in light of the performance of the RMBS at issue, and in the wake of publicly-available information about the quality of loans originated by WaMu, the trustees were required to take certain steps to protect plaintiff’s interest in the value of the securities, and that plaintiff was damaged by defendants’ failures to notify it of deficiencies in the loans and of defaults under the relevant agreements, to ensure that the underlying mortgages could properly be foreclosed, and to enforce remedies available for loans that contained breaches of representations and warranties. Plaintiff sought unspecified compensatory damages and/or equitable relief, and costs and expenses. The court dismissed some of the common law claims, but allowed the Trust Indenture Act claim and a claim for breach of contract to proceed. After the filing of two amended complaints and the consolidation of the case with a related matter filed on August 23, 2013, entitled Vermont Pension Investment Committee and the Washington State Investment Board v. Bank of America, N.A. and U.S. Bank National Association, 10 named plaintiffs filed a third amended complaint on October 31, 2013, on behalf of two proposed classes of purchasers of 35 trusts collateralized mostly by WaMu-originated mortgages (later reduced to 34 trusts). | ||||||||||||||||||||
On June 5, 2014, the parties informed the court that they had reached an agreement in principle to settle the case for an amount not material to the Corporation’s results of operations, subject to approval of plaintiffs’ boards. The settlement remains subject to final court approval and various conditions. On November 10, 2014, the court preliminarily approved the proposed settlement, and scheduled a final approval hearing for March 12, 2015. | ||||||||||||||||||||
Takefuji Litigation | ||||||||||||||||||||
In April 2010, Takefuji Corporation (Takefuji) filed a claim against Merrill Lynch International and Merrill Lynch Japan Securities (MLJS) in Tokyo District Court. The claim concerns Takefuji’s purchase in 2007 of credit-linked notes structured and sold by defendants that resulted in a loss to Takefuji of approximately JPY29.0 billion (approximately $270 million) following an event of default. Takefuji alleges that defendants failed to meet certain disclosure obligations concerning the notes. | ||||||||||||||||||||
On July 19, 2013, the Tokyo District Court issued a judgment in defendants’ favor, a decision that Takefuji subsequently appealed to the Tokyo High Court. On August 27, 2014, the Tokyo High Court vacated the decision of the District Court and issued a judgment awarding Takefuji JPY14.5 billion (approximately $135 million) in damages, plus interest at a rate of five percent from March 18, 2008. On September 10, 2014, defendants filed an appeal with the Japanese Supreme Court. |
Shareholders_Equity
Shareholders' Equity | 12 Months Ended | |||||||||||||||||||
Dec. 31, 2014 | ||||||||||||||||||||
Equity [Abstract] | ||||||||||||||||||||
Shareholders' Equity | Shareholders’ Equity | |||||||||||||||||||
Common Stock | ||||||||||||||||||||
Declared Quarterly Cash Dividends on Common Stock (1) | ||||||||||||||||||||
Declaration Date | Record Date | Payment Date | Dividend Per Share | |||||||||||||||||
10-Feb-15 | March 6, 2015 | March 27, 2015 | $ | 0.05 | ||||||||||||||||
23-Oct-14 | 5-Dec-14 | December 26, 2014 | 0.05 | |||||||||||||||||
6-Aug-14 | 5-Sep-14 | September 26, 2014 | 0.05 | |||||||||||||||||
18-Jun-14 | 24-Jun-14 | June 30, 2014 | 0.01 | |||||||||||||||||
11-Feb-14 | 7-Mar-14 | March 28, 2014 | 0.01 | |||||||||||||||||
(1) | In 2014 and through February 25, 2015. | |||||||||||||||||||
The Corporation repurchased and retired 101.1 million and 231.7 million shares of common stock, which reduced shareholders’ equity by $1.7 billion and $3.2 billion in 2014 and 2013. In 2012, in connection with the exchanges described in Preferred Stock in this Note, the Corporation issued 50 million shares of its common stock. | ||||||||||||||||||||
At December 31, 2014, the Corporation had warrants outstanding and exercisable to purchase 121.8 million shares of common stock at an exercise price of $30.79 per share expiring on October 28, 2018, and warrants outstanding and exercisable to purchase 150.4 million shares of common stock at an exercise price of $13.24 per share expiring on January 16, 2019. These warrants were originally issued in connection with preferred stock issuances to the U.S. Department of the Treasury in 2009 and 2008, and are listed on the New York Stock Exchange. The terms of the warrants expiring on January 16, 2019 include a provision that requires an adjustment to the exercise price when the Corporation declares quarterly dividends at a level greater than $0.01 per common share. As a result of the Corporation’s third- and fourth-quarter 2014 dividends of $0.05 per common share, the exercise price of the warrants expiring on January 16, 2019 was adjusted from $13.30 to $13.24. The exercise price of these warrants is subject to continued adjustment each time the quarterly cash dividend is in excess of $0.01 per common share to compensate the shareholder for dilution resulting from an increased dividend, including as a result of the declaration of a quarterly common stock dividend of $0.05 per common share to be paid on March 27, 2015 to shareholders of record on March 6, 2015. The warrants expiring on October 18, 2018 also contain this anti-dilution provision except the adjustment is triggered only when the Corporation declares quarterly dividends at a level greater than $0.32 per common share. | ||||||||||||||||||||
In connection with the issuance of the Corporation’s 6% Cumulative Perpetual Preferred Stock, Series T (the Series T Preferred Stock), the Corporation issued a warrant to purchase 700 million shares of the Corporation’s common stock. The warrant is exercisable at the holder’s option at any time, in whole or in part, until September 1, 2021, at an exercise price of $7.142857 per share of common stock. The warrant may be settled in cash or by exchanging all or a portion of the Series T Preferred Stock. For more information on the Series T Preferred Stock, see Preferred Stock in this Note. | ||||||||||||||||||||
In connection with employee stock plans, in 2014, the Corporation issued approximately 43 million shares and repurchased approximately 17 million shares of its common stock to satisfy tax withholding obligations. At December 31, 2014, the Corporation had reserved 1.8 billion unissued shares of common stock for future issuances under employee stock plans, common stock warrants, convertible notes and preferred stock. | ||||||||||||||||||||
Preferred Stock | ||||||||||||||||||||
The cash dividends declared on preferred stock were $1.0 billion, $1.2 billion and $1.5 billion for 2014, 2013 and 2012. | ||||||||||||||||||||
On January 27, 2015, the Corporation issued 44,000 shares of its 6.500% Non-Cumulative Preferred Stock, Series Y for $1.1 billion. Dividends are paid quarterly commencing on April 27, 2015. Series Y Preferred Stock has a liquidation preference of $25,000 per share and is subject to certain restrictions in the event that the Corporation fails to declare and pay full dividends. | ||||||||||||||||||||
At the Corporation’s annual meeting of stockholders on May 7, 2014, the stockholders approved an amendment to the Series T Preferred Stock such that it qualifies as Tier 1 capital, and the amendment became effective in the three months ended June 30, 2014. The more significant changes to the terms of the Series T Preferred Stock in the amendment were: (1) dividends are no longer cumulative; (2) the dividend rate is fixed at 6%; and (3) the Corporation may redeem the Series T Preferred Stock only after the fifth anniversary of the effective date of the amendment. | ||||||||||||||||||||
In 2014, the Corporation issued $6.0 billion of its Preferred Stock, Series V, X, W and Z. On June 17, 2014, the Corporation issued 60,000 shares of its Fixed-to-Floating Rate Non-Cumulative Preferred Stock, Series V for $1.5 billion. Dividends are paid semi-annually commencing on December 17, 2014. On September 5, 2014, the Corporation issued 80,000 shares of its Fixed-to-Floating Rate Non-Cumulative Preferred Stock, Series X for $2.0 billion. Dividends are paid semi-annually commencing on March 5, 2015. On September 9, 2014, the Corporation issued 44,000 shares of its 6.625% Non-Cumulative Preferred Stock, Series W for $1.1 billion. Dividends are paid quarterly commencing on December 9, 2014. On October 23, 2014, the Corporation issued 56,000 shares of its Fixed-to-Floating Rate Non-Cumulative Preferred Stock, Series Z for $1.4 billion. Dividends are paid semi-annually commencing on April 23, 2015. Series V, X, W and Z preferred stock have a liquidation preference of $25,000 per share and are subject to certain restrictions in the event that the Corporation fails to declare and pay full dividends. | ||||||||||||||||||||
In 2013, the Corporation redeemed for $6.6 billion its Non-Cumulative Preferred Stock, Series H, J, 6, 7 and 8. The $100 million difference between the carrying value of $6.5 billion and the redemption price of the preferred stock was recorded as a preferred stock dividend. In addition, the Corporation issued $1.0 billion of its Fixed-to-Floating Rate Semi-annual Non-Cumulative Preferred Stock, Series U. | ||||||||||||||||||||
In 2012, the Corporation entered into various agreements with certain preferred stock and Trust Securities holders pursuant to which the Corporation and the holders of these securities agreed to exchange shares of various series of non-convertible preferred stock with a carrying value of $296 million and Trust Securities with a carrying value of $760 million for 50 million shares of the Corporation’s common stock with a fair value of $412 million, and $398 million in cash. The $246 million difference between the carrying value of the preferred stock and Trust Securities retired and the fair value of consideration issued was a $44 million reduction to preferred stock dividends recorded in retained earnings and a $202 million gain recorded in noninterest income. In 2012, the Corporation issued shares of the Corporation’s Series F Preferred Stock and Series G Preferred Stock for $633 million under stock purchase contracts. For additional information, see the Preferred Stock Summary table in this Note. | ||||||||||||||||||||
The table below presents a summary of perpetual preferred stock outstanding at December 31, 2014. | ||||||||||||||||||||
Preferred Stock Summary | ||||||||||||||||||||
(Dollars in millions, except as noted) | ||||||||||||||||||||
Series | Description | Initial | Total | Liquidation | Carrying | Per Annum | Redemption Period | |||||||||||||
Issuance | Shares | Preference | Value (1) | Dividend Rate | ||||||||||||||||
Date | Outstanding | per Share | ||||||||||||||||||
(in dollars) | ||||||||||||||||||||
Series B (2) | 7% Cumulative Redeemable | June | 7,571 | $ | 100 | $ | 1 | 7 | % | n/a | ||||||||||
1997 | ||||||||||||||||||||
Series D (3, 4) | 6.204% Non-Cumulative | September | 26,174 | 25,000 | 654 | 6.204 | % | On or after | ||||||||||||
2006 | 14-Sep-11 | |||||||||||||||||||
Series E (3, 4) | Floating Rate Non-Cumulative | November | 12,691 | 25,000 | 317 | 3-mo. LIBOR + 35 bps (5) | On or after | |||||||||||||
2006 | 15-Nov-11 | |||||||||||||||||||
Series F (3) | Floating Rate Non-Cumulative | March | 1,409 | 100,000 | 141 | 3-mo. LIBOR + 40 bps (5) | On or after | |||||||||||||
2012 | 15-Mar-12 | |||||||||||||||||||
Series G (3) | Adjustable Rate Non-Cumulative | March | 4,926 | 100,000 | 493 | 3-mo. LIBOR + 40 bps (5) | On or after | |||||||||||||
2012 | 15-Mar-12 | |||||||||||||||||||
Series I (3, 4) | 6.625% Non-Cumulative | September | 14,584 | 25,000 | 365 | 6.625 | % | On or after | ||||||||||||
2007 | 1-Oct-17 | |||||||||||||||||||
Series K (3, 6) | Fixed-to-Floating Rate Non-Cumulative | January | 61,773 | 25,000 | 1,544 | 8.00% through 1/29/18; 3-mo. LIBOR + 363 bps thereafter | On or after | |||||||||||||
2008 | 30-Jan-18 | |||||||||||||||||||
Series L | 7.25% Non-Cumulative Perpetual Convertible | January | 3,080,182 | 1,000 | 3,080 | 7.25 | % | n/a | ||||||||||||
2008 | ||||||||||||||||||||
Series M (3, 6) | Fixed-to-Floating Rate Non-Cumulative | April | 52,399 | 25,000 | 1,310 | 8.125% through 5/14/18; | On or after | |||||||||||||
2008 | 3-mo. LIBOR + 364 bps thereafter | 15-May-18 | ||||||||||||||||||
Series T | 6% Non-Cumulative | September | 50,000 | 100,000 | 2,918 | 6 | % | See description in Preferred Stock in | ||||||||||||
2011 | this Note | |||||||||||||||||||
Series U (6) | Fixed-to-Floating Rate Non-Cumulative | May | 40,000 | 25,000 | 1,000 | 5.2% through 6/1/23; | On or after | |||||||||||||
2013 | 3-mo. LIBOR + 313.5 bps thereafter | 1-Jun-23 | ||||||||||||||||||
Series V (6) | Fixed-to-Floating Rate Non-Cumulative | June | 60,000 | 25,000 | 1,500 | 5.125% through 6/17/19; | On or after | |||||||||||||
2014 | 3-mo. LIBOR + 338.7 bps thereafter | 17-Jun-19 | ||||||||||||||||||
Series W (4) | 6.625% Non-Cumulative | Sep-14 | 44,000 | 25,000 | 1,100 | 6.625 | % | On or after | ||||||||||||
9-Sep-19 | ||||||||||||||||||||
Series X (6) | Fixed-to-Floating Rate Non-Cumulative | Sep-14 | 80,000 | 25,000 | 2,000 | 6.250% through 9/5/2024; | On or after | |||||||||||||
3-mo. LIBOR + 370.5 bps thereafter | 5-Sep-24 | |||||||||||||||||||
Series Z (6) | Fixed-to-Floating Rate Non-Cumulative | Oct-14 | 56,000 | 25,000 | 1,400 | 6.500% through 10/23/24; | On or after | |||||||||||||
3-mo. LIBOR + 417.4 bps thereafter | 23-Oct-24 | |||||||||||||||||||
Series 1 (3, 7) | Floating Rate Non-Cumulative | November | 3,275 | 30,000 | 98 | 3-mo. LIBOR + 75 bps (8) | On or after | |||||||||||||
2004 | 28-Nov-09 | |||||||||||||||||||
Series 2 (3, 7) | Floating Rate Non-Cumulative | March | 9,967 | 30,000 | 299 | 3-mo. LIBOR + 65 bps (8) | On or after | |||||||||||||
2005 | 28-Nov-09 | |||||||||||||||||||
Series 3 (3, 7) | 6.375% Non-Cumulative | November | 21,773 | 30,000 | 653 | 6.375 | % | On or after | ||||||||||||
2005 | 28-Nov-10 | |||||||||||||||||||
Series 4 (3, 7) | Floating Rate Non-Cumulative | November | 7,010 | 30,000 | 210 | 3-mo. LIBOR + 75 bps (5) | On or after | |||||||||||||
2005 | 28-Nov-10 | |||||||||||||||||||
Series 5 (3, 7) | Floating Rate Non-Cumulative | March | 14,056 | 30,000 | 422 | 3-mo. LIBOR + 50 bps (5) | On or after | |||||||||||||
2007 | 21-May-12 | |||||||||||||||||||
Total | 3,647,790 | $ | 19,505 | |||||||||||||||||
(1) | Amounts shown are before third-party issuance costs and certain purchase accounting adjustments of $196 million. | |||||||||||||||||||
(2) | Series B Preferred Stock does not have early redemption/call rights. | |||||||||||||||||||
(3) | The Corporation may redeem series of preferred stock on or after the redemption date, in whole or in part, at its option, at the liquidation preference plus declared and unpaid dividends. | |||||||||||||||||||
(4) | Ownership is held in the form of depositary shares, each representing a 1/1,000th interest in a share of preferred stock, paying a quarterly cash dividend, if and when declared. | |||||||||||||||||||
(5) | Subject to 4.00% minimum rate per annum. | |||||||||||||||||||
(6) | Ownership is held in the form of depositary shares, each representing a 1/25th interest in a share of preferred stock, paying a semi-annual cash dividend, if and when declared, until the redemption date at which time, it adjusts to a quarterly cash dividend, if and when declared, thereafter. | |||||||||||||||||||
(7) | Ownership is held in the form of depositary shares, each representing a 1/1,200th interest in a share of preferred stock, paying a quarterly cash dividend, if and when declared. | |||||||||||||||||||
(8) | Subject to 3.00% minimum rate per annum. | |||||||||||||||||||
n/a =160;not applicable | ||||||||||||||||||||
Series L 7.25% Non-Cumulative Perpetual Convertible Preferred Stock (Series L Preferred Stock) listed in the Preferred Stock Summary table does not have early redemption/call rights. Each share of the Series L Preferred Stock may be converted at any time, at the option of the holder, into 20 shares of the Corporation’s common stock plus cash in lieu of fractional shares. The Corporation may cause some or all of the Series L Preferred Stock, at its option, at any time or from time to time, to be converted into shares of common stock at the then-applicable conversion rate if, for 20 trading days during any period of 30 consecutive trading days, the closing price of common stock exceeds 130 percent of the then-applicable conversion price of the Series L Preferred Stock. If a conversion of Series L Preferred Stock occurs subsequent to a dividend record date but prior to the dividend payment date, the Corporation will still pay any accrued dividends payable. | ||||||||||||||||||||
All series of preferred stock in the Preferred Stock Summary table have a par value of $0.01 per share, are not subject to the operation of a sinking fund, have no participation rights, and with the exception of the Series L Preferred Stock, are not convertible. The holders of the Series B Preferred Stock and Series 1 through 5 Preferred Stock have general voting rights, and the holders of the other series included in the table have no general voting rights. All outstanding series of preferred stock of the Corporation have preference over the Corporation’s common stock with respect to the payment of dividends and distribution of the Corporation’s assets in the event of a liquidation or dissolution. With the exception of the Series T Preferred Stock, if any dividend payable on these series is in arrears for three or more semi-annual or six or more quarterly dividend periods, as applicable (whether consecutive or not), the holders of these series and any other class or series of preferred stock ranking equally as to payment of dividends and upon which equivalent voting rights have been conferred and are exercisable (voting as a single class) will be entitled to vote for the election of two additional directors. These voting rights terminate when the Corporation has paid in full dividends on these series for at least two semi-annual or four quarterly dividend periods, as applicable, following the dividend arrearage. |
Accumulated_Other_Comprehensiv
Accumulated Other Comprehensive Income (Loss) | 12 Months Ended | |||||||||||||||||||||||||||||||||||
Dec. 31, 2014 | ||||||||||||||||||||||||||||||||||||
Equity [Abstract] | ||||||||||||||||||||||||||||||||||||
Accumulated Other Comprehensive Income (Loss) | Accumulated Other Comprehensive Income (Loss) | |||||||||||||||||||||||||||||||||||
The table below presents the changes in accumulated OCI after-tax for 2012, 2013 and 2014. | ||||||||||||||||||||||||||||||||||||
(Dollars in millions) | Available-for- | Available-for- | Derivatives | Employee | Foreign | Total | ||||||||||||||||||||||||||||||
Sale Debt | Sale Marketable | Benefit Plans | Currency (1) | |||||||||||||||||||||||||||||||||
Securities | Equity Securities | |||||||||||||||||||||||||||||||||||
Balance, December 31, 2011 | $ | 3,100 | $ | 3 | $ | (3,785 | ) | $ | (4,391 | ) | $ | (364 | ) | $ | (5,437 | ) | ||||||||||||||||||||
Net change | 1,343 | 459 | 916 | (65 | ) | (13 | ) | 2,640 | ||||||||||||||||||||||||||||
Balance, December 31, 2012 | $ | 4,443 | $ | 462 | $ | (2,869 | ) | $ | (4,456 | ) | $ | (377 | ) | $ | (2,797 | ) | ||||||||||||||||||||
Net change | (7,700 | ) | (466 | ) | 592 | 2,049 | (135 | ) | (5,660 | ) | ||||||||||||||||||||||||||
Balance, December 31, 2013 | $ | (3,257 | ) | $ | (4 | ) | $ | (2,277 | ) | $ | (2,407 | ) | $ | (512 | ) | $ | (8,457 | ) | ||||||||||||||||||
Net change | 4,600 | 21 | 616 | (943 | ) | (157 | ) | 4,137 | ||||||||||||||||||||||||||||
Balance, December 31, 2014 | $ | 1,343 | $ | 17 | $ | (1,661 | ) | $ | (3,350 | ) | $ | (669 | ) | $ | (4,320 | ) | ||||||||||||||||||||
(1) | The net change in fair value represents the impact of changes in spot foreign exchange rates on the Corporation’s net investment in non-U.S. operations, and related hedges. | |||||||||||||||||||||||||||||||||||
The table below presents the net change in fair value recorded in accumulated OCI, net realized gains and losses reclassified into earnings and other changes for each component of OCI before- and after-tax for 2014, 2013 and 2012. | ||||||||||||||||||||||||||||||||||||
Changes in OCI Components Before- and After-tax | ||||||||||||||||||||||||||||||||||||
2014 | 2013 | 2012 | ||||||||||||||||||||||||||||||||||
(Dollars in millions) | Before-tax | Tax effect | After-tax | Before-tax | Tax effect | After-tax | Before-tax | Tax effect | After-tax | |||||||||||||||||||||||||||
Available-for-sale debt securities: | ||||||||||||||||||||||||||||||||||||
Net increase (decrease) in fair value | $ | 8,698 | $ | (3,268 | ) | $ | 5,430 | $ | (10,989 | ) | $ | 4,077 | $ | (6,912 | ) | $ | 3,676 | $ | (1,319 | ) | $ | 2,357 | ||||||||||||||
Net realized gains reclassified into earnings | (1,338 | ) | 508 | (830 | ) | (1,251 | ) | 463 | (788 | ) | (1,609 | ) | 595 | (1,014 | ) | |||||||||||||||||||||
Net change | 7,360 | (2,760 | ) | 4,600 | (12,240 | ) | 4,540 | (7,700 | ) | 2,067 | (724 | ) | 1,343 | |||||||||||||||||||||||
Available-for-sale marketable equity securities: | ||||||||||||||||||||||||||||||||||||
Net increase in fair value | 34 | (13 | ) | 21 | 32 | (12 | ) | 20 | 748 | (277 | ) | 471 | ||||||||||||||||||||||||
Net realized gains reclassified into earnings | — | — | — | (771 | ) | 285 | (486 | ) | (19 | ) | 7 | (12 | ) | |||||||||||||||||||||||
Net change | 34 | (13 | ) | 21 | (739 | ) | 273 | (466 | ) | 729 | (270 | ) | 459 | |||||||||||||||||||||||
Derivatives: | ||||||||||||||||||||||||||||||||||||
Net increase in fair value | 195 | (54 | ) | 141 | 156 | (51 | ) | 105 | 430 | (166 | ) | 264 | ||||||||||||||||||||||||
Net realized losses reclassified into earnings | 760 | (285 | ) | 475 | 773 | (286 | ) | 487 | 1,035 | (383 | ) | 652 | ||||||||||||||||||||||||
Net change | 955 | (339 | ) | 616 | 929 | (337 | ) | 592 | 1,465 | (549 | ) | 916 | ||||||||||||||||||||||||
Employee benefit plans: | ||||||||||||||||||||||||||||||||||||
Net increase (decrease) in fair value | (1,629 | ) | 614 | (1,015 | ) | 2,985 | (1,128 | ) | 1,857 | (1,891 | ) | 660 | (1,231 | ) | ||||||||||||||||||||||
Net realized losses reclassified into earnings | 55 | (23 | ) | 32 | 237 | (79 | ) | 158 | 490 | (192 | ) | 298 | ||||||||||||||||||||||||
Settlements, curtailments and other | (1 | ) | 41 | 40 | 46 | (12 | ) | 34 | 1,378 | (510 | ) | 868 | ||||||||||||||||||||||||
Net change | (1,575 | ) | 632 | (943 | ) | 3,268 | (1,219 | ) | 2,049 | (23 | ) | (42 | ) | (65 | ) | |||||||||||||||||||||
Foreign currency: | ||||||||||||||||||||||||||||||||||||
Net increase (decrease) in fair value | 714 | (879 | ) | (165 | ) | 244 | (384 | ) | (140 | ) | (226 | ) | 233 | 7 | ||||||||||||||||||||||
Net realized (gains) losses reclassified into earnings | 20 | (12 | ) | 8 | 138 | (133 | ) | 5 | (30 | ) | 10 | (20 | ) | |||||||||||||||||||||||
Net change | 734 | (891 | ) | (157 | ) | 382 | (517 | ) | (135 | ) | (256 | ) | 243 | (13 | ) | |||||||||||||||||||||
Total other comprehensive income (loss) | $ | 7,508 | $ | (3,371 | ) | $ | 4,137 | $ | (8,400 | ) | $ | 2,740 | $ | (5,660 | ) | $ | 3,982 | $ | (1,342 | ) | $ | 2,640 | ||||||||||||||
The table below presents impacts on net income of significant amounts reclassified out of each component of accumulated OCI before- and after-tax for 2014, 2013 and 2012. | ||||||||||||||||||||||||||||||||||||
Reclassifications Out of Accumulated OCI | ||||||||||||||||||||||||||||||||||||
(Dollars in millions) | ||||||||||||||||||||||||||||||||||||
Accumulated OCI Components | Income Statement Line Item Impacted | 2014 | 2013 | 2012 | ||||||||||||||||||||||||||||||||
Available-for-sale debt securities: | ||||||||||||||||||||||||||||||||||||
Gains on sales of debt securities | $ | 1,354 | $ | 1,271 | $ | 1,662 | ||||||||||||||||||||||||||||||
Other income (loss) | (16 | ) | (20 | ) | (53 | ) | ||||||||||||||||||||||||||||||
Income before income taxes | 1,338 | 1,251 | 1,609 | |||||||||||||||||||||||||||||||||
Income tax expense | 508 | 463 | 595 | |||||||||||||||||||||||||||||||||
Reclassification to net income | 830 | 788 | 1,014 | |||||||||||||||||||||||||||||||||
Available-for-sale marketable equity securities: | ||||||||||||||||||||||||||||||||||||
Equity investment income | — | 771 | 19 | |||||||||||||||||||||||||||||||||
Income before income taxes | — | 771 | 19 | |||||||||||||||||||||||||||||||||
Income tax expense | — | 285 | 7 | |||||||||||||||||||||||||||||||||
Reclassification to net income | — | 486 | 12 | |||||||||||||||||||||||||||||||||
Derivatives: | ||||||||||||||||||||||||||||||||||||
Interest rate contracts | Net interest income | (1,119 | ) | (1,119 | ) | (956 | ) | |||||||||||||||||||||||||||||
Commodity contracts | Trading account profits | — | (1 | ) | (1 | ) | ||||||||||||||||||||||||||||||
Interest rate contracts | Other income | — | 18 | — | ||||||||||||||||||||||||||||||||
Equity compensation contracts | Personnel | 359 | 329 | (78 | ) | |||||||||||||||||||||||||||||||
Loss before income taxes | (760 | ) | (773 | ) | (1,035 | ) | ||||||||||||||||||||||||||||||
Income tax benefit | (285 | ) | (286 | ) | (383 | ) | ||||||||||||||||||||||||||||||
Reclassification to net income | (475 | ) | (487 | ) | (652 | ) | ||||||||||||||||||||||||||||||
Employee benefit plans: | ||||||||||||||||||||||||||||||||||||
Prior service cost | Personnel | (5 | ) | (4 | ) | (6 | ) | |||||||||||||||||||||||||||||
Transition obligation | Personnel | — | — | (32 | ) | |||||||||||||||||||||||||||||||
Net actuarial losses | Personnel | (50 | ) | (225 | ) | (443 | ) | |||||||||||||||||||||||||||||
Settlements and curtailments | Personnel | — | (8 | ) | (58 | ) | ||||||||||||||||||||||||||||||
Loss before income taxes | (55 | ) | (237 | ) | (539 | ) | ||||||||||||||||||||||||||||||
Income tax benefit | (23 | ) | (79 | ) | (212 | ) | ||||||||||||||||||||||||||||||
Reclassification to net income | (32 | ) | (158 | ) | (327 | ) | ||||||||||||||||||||||||||||||
Foreign currency: | ||||||||||||||||||||||||||||||||||||
Insignificant items | Other income (loss) | (20 | ) | (138 | ) | 30 | ||||||||||||||||||||||||||||||
Income (loss) before income taxes | (20 | ) | (138 | ) | 30 | |||||||||||||||||||||||||||||||
Income tax expense (benefit) | (12 | ) | (133 | ) | 10 | |||||||||||||||||||||||||||||||
Reclassification to net income | (8 | ) | (5 | ) | 20 | |||||||||||||||||||||||||||||||
Total reclassification adjustments | $ | 315 | $ | 624 | $ | 67 | ||||||||||||||||||||||||||||||
Earnings_Per_Common_Share
Earnings Per Common Share | 12 Months Ended | |||||||||||
Dec. 31, 2014 | ||||||||||||
Earnings Per Share [Abstract] | ||||||||||||
Earnings Per Common Share | Earnings Per Common Share | |||||||||||
The calculation of earnings per common share (EPS) and diluted EPS for 2014, 2013 and 2012 is presented below. For more information on the calculation of EPS, see Note 1 – Summary of Significant Accounting Principles. | ||||||||||||
(Dollars in millions, except per share information; shares in thousands) | 2014 | 2013 | 2012 | |||||||||
Earnings per common share | ||||||||||||
Net income | $ | 4,833 | $ | 11,431 | $ | 4,188 | ||||||
Preferred stock dividends | (1,044 | ) | (1,349 | ) | (1,428 | ) | ||||||
Net income applicable to common shareholders | 3,789 | 10,082 | 2,760 | |||||||||
Dividends and undistributed earnings allocated to participating securities | — | (2 | ) | (2 | ) | |||||||
Net income allocated to common shareholders | $ | 3,789 | $ | 10,080 | $ | 2,758 | ||||||
Average common shares issued and outstanding | 10,527,818 | 10,731,165 | 10,746,028 | |||||||||
Earnings per common share | $ | 0.36 | $ | 0.94 | $ | 0.26 | ||||||
Diluted earnings per common share | ||||||||||||
Net income applicable to common shareholders | $ | 3,789 | $ | 10,082 | $ | 2,760 | ||||||
Add preferred stock dividends due to assumed conversions | — | 300 | — | |||||||||
Dividends and undistributed earnings allocated to participating securities | — | (2 | ) | (2 | ) | |||||||
Net income allocated to common shareholders | $ | 3,789 | $ | 10,380 | $ | 2,758 | ||||||
Average common shares issued and outstanding | 10,527,818 | 10,731,165 | 10,746,028 | |||||||||
Dilutive potential common shares (1) | 56,717 | 760,253 | 94,826 | |||||||||
Total diluted average common shares issued and outstanding | 10,584,535 | 11,491,418 | 10,840,854 | |||||||||
Diluted earnings per common share | $ | 0.36 | $ | 0.9 | $ | 0.25 | ||||||
(1) | Includes incremental dilutive shares from restricted stock units, restricted stock, stock options and warrants. | |||||||||||
The Corporation previously issued a warrant to purchase 700 million shares of the Corporation’s common stock to the holder of the Series T Preferred Stock. The warrant may be exercised, at the option of the holder, through tendering the Series T Preferred Stock or paying cash. For 2014 and 2012, 700 million average dilutive potential common shares associated with the Series T Preferred Stock were not included in the diluted share count because the result would have been antidilutive under the “if-converted” method. For 2013, 700 million average dilutive potential common shares associated with the Series T Preferred Stock were included in the diluted share count under the “if-converted” method. For additional information, see Note 13 – Shareholders’ Equity. | ||||||||||||
For 2014, 2013 and 2012, 62 million average dilutive potential common shares associated with the Series L Preferred Stock were not included in the diluted share count because the result would have been antidilutive under the “if-converted” method. For 2014, 2013 and 2012, average options to purchase 91 million, 126 million and 163 million shares of common stock, respectively, were outstanding but not included in the computation of EPS because the result would have been antidilutive under the treasury stock method. For 2014, average warrants to purchase 122 million shares of common stock were outstanding but not included in the computation of EPS because the result would have been antidilutive under the treasury stock method compared to 272 million shares for both 2013 and 2012. For 2014, average warrants to purchase 150 million shares of common stock were included in the diluted EPS calculation under the treasury stock method. | ||||||||||||
In connection with the preferred stock actions described in Note 13 – Shareholders’ Equity, the Corporation recorded a $100 million non-cash preferred stock dividend in 2013 and a $44 million reduction to preferred stock dividends in 2012, both of which are included in the calculation of net income allocated to common shareholders. |
Regulatory_Requirements_and_Re
Regulatory Requirements and Restrictions | 12 Months Ended | |||||||||||||||||||
Dec. 31, 2014 | ||||||||||||||||||||
Banking and Thrift [Abstract] | ||||||||||||||||||||
Regulatory Requirements and Restrictions | Regulatory Requirements and Restrictions | |||||||||||||||||||
The Corporation manages its regulatory capital to comply with internal capital guidelines and regulatory standards of capital adequacy based on its current understanding of the rules and how they should be applied to its business as currently conducted. | ||||||||||||||||||||
The Federal Reserve, OCC and Federal Deposit Insurance Corporation (collectively, joint agencies) establish regulatory capital guidelines for U.S. banking organizations. Regulatory capital guidelines require that capital be measured in relation to the credit and market risks of both on- and off-balance sheet items using various risk weights. On January 1, 2014, the Basel 3 rules became effective and include transition provisions through January 1, 2019. Under Basel 3, Total capital consists of two tiers of capital, Tier 1 and Tier 2. Tier 1 capital is further composed of Common equity tier 1 capital and additional tier 1 capital. | ||||||||||||||||||||
Common equity tier 1 capital primarily includes qualifying common shareholders’ equity, retained earnings, accumulated other comprehensive income and certain minority interests. Goodwill, disallowed intangible assets and certain disallowed deferred tax assets are excluded from Common equity tier 1 capital. | ||||||||||||||||||||
Additional tier 1 capital primarily includes qualifying non-cumulative preferred stock, trust preferred securities (Trust Securities) subject to phase-out and certain minority interests. Certain deferred tax assets are also excluded. | ||||||||||||||||||||
Tier 2 capital primarily consists of qualifying subordinated debt, a limited portion of the allowance for loan and lease losses, Trust Securities subject to phase-out and reserves for unfunded lending commitments. The Corporation’s Total capital is the sum of Tier 1 capital plus Tier 2 capital. | ||||||||||||||||||||
To meet adequately capitalized regulatory requirements, an institution must maintain a Tier 1 capital ratio of 4.0 percent and a Total capital ratio of 8.0 percent. A “well-capitalized” institution must generally maintain capital ratios 200 bps higher than the minimum guidelines. The risk-based capital rules have been further supplemented by a Tier 1 leverage ratio, defined as Tier 1 capital divided by quarterly average total assets, after certain adjustments. BHCs must have a minimum Tier 1 leverage ratio of at least 4.0 percent. National banks must maintain a Tier 1 leverage ratio of at least 5.0 percent to be classified as “well capitalized.” Failure to meet the capital requirements established by the joint agencies can lead to certain mandatory and discretionary actions by regulators that could have a material adverse effect on the Corporation’s financial position. At December 31, 2014, the Corporation’s Tier 1 capital, Total capital and Tier 1 leverage ratios were 13.4 percent, 16.5 percent and 8.2 percent, respectively. Effective January 1, 2015, to meet adequately capitalized regulatory requirements, the Tier 1 capital ratio increases from 4.0 percent to 6.0 percent. This increase reflects a transfer of 2.0 percent from Tier 2 capital to Tier 1 capital, as less Tier 2 capital is permitted and more Tier 1 capital is required. The minimum Total capital ratio of 8.0 percent remains unchanged. | ||||||||||||||||||||
The table below presents capital ratios and related information in accordance with Basel 3 – Standardized Transition as measured at December 31, 2014 and the Basel 1 – 2013 Rules at December 31, 2013. Prior to October 1, 2014, the Corporation operated its banking activities primarily under two charters: BANA and, to a lesser extent, FIA. On October 1, 2014, FIA was merged into BANA. | ||||||||||||||||||||
Regulatory Capital | ||||||||||||||||||||
December 31 | ||||||||||||||||||||
2014 | 2013 | |||||||||||||||||||
Basel 3 Transition | Basel 1 | |||||||||||||||||||
(Dollars in millions) | Ratio | Amount | Minimum | Ratio | Amount | Minimum | ||||||||||||||
Required (1) | Required (1) | |||||||||||||||||||
Common equity tier 1 capital | ||||||||||||||||||||
Bank of America Corporation | 12.3 | % | $ | 155,361 | 4 | % | n/a | n/a | n/a | |||||||||||
Bank of America, N.A. | 13.1 | 145,150 | 4 | n/a | n/a | n/a | ||||||||||||||
Tier 1 common capital | ||||||||||||||||||||
Bank of America Corporation | n/a | n/a | n/a | 10.9 | % | $ | 141,522 | n/a | ||||||||||||
Tier 1 capital | ||||||||||||||||||||
Bank of America Corporation | 13.4 | 168,973 | 6 | 12.2 | 157,742 | 6 | % | |||||||||||||
Bank of America, N.A. | 13.1 | 145,150 | 6 | 12.3 | 125,886 | 6 | ||||||||||||||
Total capital | ||||||||||||||||||||
Bank of America Corporation | 16.5 | 208,670 | 10 | 15.1 | 196,567 | 10 | ||||||||||||||
Bank of America, N.A. | 14.6 | 161,623 | 10 | 13.8 | 141,232 | 10 | ||||||||||||||
Tier 1 leverage | ||||||||||||||||||||
Bank of America Corporation | 8.2 | 168,973 | 5 | 7.7 | 157,742 | 5 | ||||||||||||||
Bank of America, N.A. | 9.6 | 145,150 | 5 | 9.2 | 125,886 | 5 | ||||||||||||||
Risk-weighted assets (in billions) | ||||||||||||||||||||
Bank of America Corporation | n/a | 1,262 | n/a | n/a | 1,298 | n/a | ||||||||||||||
Bank of America, N.A. | n/a | 1,105 | n/a | n/a | 1,020 | n/a | ||||||||||||||
Adjusted quarterly average total assets (in billions) (2) | ||||||||||||||||||||
Bank of America Corporation | n/a | 2,060 | n/a | n/a | 2,052 | n/a | ||||||||||||||
Bank of America, N.A. | n/a | 1,509 | n/a | n/a | 1,368 | n/a | ||||||||||||||
(1) | Percent required to meet guidelines to be considered "well capitalized" under the Prompt Corrective Action framework, except for Common equity tier 1 capital which reflects capital adequacy minimum requirements as an advanced approaches bank under Basel 3 during a transition period in 2014. | |||||||||||||||||||
(2) | Reflects adjusted average total assets for the three months ended December 31, 2014 and 2013. | |||||||||||||||||||
n/a =ot applicable | ||||||||||||||||||||
Regulatory Capital | ||||||||||||||||||||
As a financial services holding company, the Corporation is subject to regulatory capital rules issued by U.S. banking regulators. On January 1, 2014, the Corporation became subject to the Basel 3 rules, which include certain transition provisions through 2018. Basel 3 generally continues to be subject to interpretation and clarification by U.S. banking regulators. Through December 31, 2013, the Corporation was subject to the Basel 1 general risk-based capital rules which included new measures of market risk including a charge related to stressed Value-at-Risk (VaR), an incremental risk charge and the comprehensive risk measure (CRM), as well as other technical modifications to Basel 1 (the Basel 1 – 2013 Rules). | ||||||||||||||||||||
Regulatory Capital Composition – Transition | ||||||||||||||||||||
Important differences in determining the composition of regulatory capital between the Basel 1 – 2013 Rules and Basel 3 include changes in capital deductions related to the Corporation’s MSRs, deferred tax assets and defined benefit pension assets, and the inclusion of unrealized gains and losses on AFS debt and certain marketable equity securities recorded in accumulated OCI. These changes will be impacted by, among other things, future changes in interest rates, overall earnings performance and corporate actions. Changes to the composition of regulatory capital under Basel 3, as compared to the Basel 1 – 2013 Rules, are recognized in 20 percent annual increments, and will be fully recognized as of January 1, 2018. When presented on a fully phased-in basis, capital, risk-weighted assets and the capital ratios assume all regulatory capital adjustments and deductions are fully recognized. | ||||||||||||||||||||
Additionally, Basel 3 revised the regulatory capital treatment for Trust Securities, requiring them to be partially transitioned from Tier 1 capital into Tier 2 capital in 2014 and 2015, until fully excluded from Tier 1 capital in 2016, and partially transitioned from Tier 2 capital beginning in 2016 with the full amount excluded in 2022. | ||||||||||||||||||||
Other Regulatory Matters | ||||||||||||||||||||
On February 18, 2014, the Federal Reserve approved a final rule implementing certain enhanced supervisory and prudential requirements established under the Dodd-Frank Wall Street Reform and Consumer Protection Act. The final rule formalizes risk management requirements primarily related to governance and liquidity risk management and reiterates the provisions of previously issued final rules related to risk-based and leverage capital and stress test requirements. Also, a debt-to-equity limit may be enacted for an individual BHC if it is determined to pose a grave threat to the financial stability of the U.S. Such limit is at the discretion of the Financial Stability Oversight Council (FSOC) or the Federal Reserve on behalf of the FSOC. | ||||||||||||||||||||
The Federal Reserve requires the Corporation’s banking subsidiaries to maintain reserve balances based on a percentage of certain deposits. Average daily reserve balance requirements for the Corporation by the Federal Reserve were $18.2 billion and $16.6 billion for 2014 and 2013. Currency and coin residing in branches and cash vaults (vault cash) are used to partially satisfy the reserve requirement. The average daily reserve balances, in excess of vault cash, held with the Federal Reserve amounted to $9.1 billion and $7.8 billion for 2014 and 2013. As of December 31, 2014 and 2013, the Corporation had cash in the amount of $4.5 billion and $6.0 billion, and securities with a fair value of $13.1 billion and $8.4 billion that were segregated in compliance with securities regulations or deposited with clearing organizations. | ||||||||||||||||||||
The primary sources of funds for cash distributions by the Corporation to its shareholders are capital distributions received from its banking subsidiary, BANA. In 2014, the Corporation received $12.4 billion in dividends from BANA. Prior to its merger with BANA, FIA returned capital of $4.2 billion to the Corporation in 2014. In 2015, BANA can declare and pay dividends of $16.9 billion to the Corporation plus an additional amount equal to its retained net profits for 2015 up to the date of any such dividend declaration. Bank of America California, N.A. can pay dividends of $924 million in 2015 plus an additional amount equal to its retained net profits for 2015 up to the date of any such dividend declaration. The amount of dividends that each subsidiary bank may declare in a calendar year is the subsidiary bank’s net profits for that year combined with its retained net profits for the preceding two years. Retained net profits, as defined by the OCC, consist of net income less dividends declared during the period. |
Employee_Benefit_Plans
Employee Benefit Plans | 12 Months Ended | |||||||||||||||||||||||||||||||||||||||
Dec. 31, 2014 | ||||||||||||||||||||||||||||||||||||||||
Compensation and Retirement Disclosure [Abstract] | ||||||||||||||||||||||||||||||||||||||||
Pension and Other Postretirement Benefits Disclosure | Employee Benefit Plans | |||||||||||||||||||||||||||||||||||||||
Pension and Postretirement Plans | ||||||||||||||||||||||||||||||||||||||||
The Corporation sponsors noncontributory trusteed pension plans, a number of noncontributory nonqualified pension plans, and postretirement health and life plans that cover eligible employees. As discussed below, certain of the pension plans were amended, effective June 30, 2012, to freeze benefits earned. The pension plans provide defined benefits based on an employee’s compensation and years of service. The Bank of America Pension Plan (the Pension Plan) provides participants with compensation credits, generally based on years of service. In 2013, the Corporation merged a defined benefit pension plan, which covered eligible employees of certain legacy companies, into the Bank of America Pension Plan. This plan is referred to as the Qualified Pension Plan (Qualified Pension Plans prior to this merger). For account balances based on compensation credits prior to January 1, 2008, the Pension Plan allows participants to select from various earnings measures, which are based on the returns of certain funds or common stock of the Corporation. The participant-selected earnings measures determine the earnings rate on the individual participant account balances in the Pension Plan. Participants may elect to modify earnings measure allocations on a periodic basis subject to the provisions of the Pension Plan. For account balances based on compensation credits subsequent to December 31, 2007, the account balance earnings rate is based on a benchmark rate. For eligible employees in the Pension Plan on or after January 1, 2008, the benefits become vested upon completion of three years of service. It is the policy of the Corporation to fund no less than the minimum funding amount required by ERISA. | ||||||||||||||||||||||||||||||||||||||||
The Pension Plan has a balance guarantee feature for account balances with participant-selected earnings, applied at the time a benefit payment is made from the plan that effectively provides principal protection for participant balances transferred and certain compensation credits. The Corporation is responsible for funding any shortfall on the guarantee feature. | ||||||||||||||||||||||||||||||||||||||||
As a result of acquisitions, the Corporation assumed the obligations related to the pension plans of certain legacy companies. The benefit structures under these acquired plans have not changed and remain intact in the merged plan. Certain benefit structures are substantially similar to the Pension Plan discussed above; however, certain of these structures do not allow participants to select various earnings measures; rather the earnings rate is based on a benchmark rate. In addition, these structures include participants with benefits determined under formulas based on average or career compensation and years of service rather than by reference to a pension account. Certain of the other structures provide a participant’s retirement benefits based on the number of years of benefit service and a percentage of the participant’s average annual compensation during the five highest paid consecutive years of the last 10 years of employment. | ||||||||||||||||||||||||||||||||||||||||
The 2013 merger of the defined benefit pension plan into the Qualified Pension Plan required a remeasurement of the qualified pension obligations and plan assets at fair value as of the merger date in addition to the required December 31 remeasurement. The 2013 remeasurements resulted in an increase in accumulated OCI of $2.0 billion, net-of-tax. | ||||||||||||||||||||||||||||||||||||||||
In 2012, in connection with a redesign of the Corporation’s retirement plans, the Compensation and Benefits Committee of the Corporation’s Board of Directors approved amendments to freeze benefits earned in the Qualified Pension Plans effective June 30, 2012. As a result of freezing the Qualified Pension Plans, a curtailment was triggered and a remeasurement of the qualified pension obligations and plan assets occurred. As of the remeasurement date, the plan assets had increased in value from the prior measurement date resulting in an increase in the funded status of the plan and the curtailment impact reduced the projected benefit obligation. The combined impact resulted in a $1.3 billion increase to the net pension assets recognized in other assets and a corresponding increase in accumulated OCI of $832 million, net-of-tax. The impact of the immediate recognition of the prior service cost of $58 million was recorded in personnel expense as a curtailment loss in 2012. | ||||||||||||||||||||||||||||||||||||||||
As a result of freezing the Qualified Pension Plans, the amortization period for actuarial gains and losses was changed from the average working life to the estimated average lifetime of benefits being paid. | ||||||||||||||||||||||||||||||||||||||||
The Corporation assumed the obligations related to the plans of Merrill Lynch. These plans include a terminated U.S. pension plan (the Other Pension Plan), non-U.S. pension plans, nonqualified pension plans and postretirement plans. The non-U.S. pension plans vary based on the country and local practices. | ||||||||||||||||||||||||||||||||||||||||
The Corporation has an annuity contract, previously purchased by Merrill Lynch, that guarantees the payment of benefits vested under the Other Pension Plan. The Corporation, under a supplemental agreement, may be responsible for, or benefit from actual experience and investment performance of the annuity assets. The Corporation made no contribution under this agreement in 2014 or 2013. Contributions may be required in the future under this agreement. | ||||||||||||||||||||||||||||||||||||||||
The Corporation sponsors a number of noncontributory, nonqualified pension plans (the Nonqualified Pension Plans). As a result of acquisitions, the Corporation assumed the obligations related to the noncontributory, nonqualified pension plans of certain legacy companies including Merrill Lynch. These plans, which are unfunded, provide defined pension benefits to certain employees. | ||||||||||||||||||||||||||||||||||||||||
In addition to retirement pension benefits, full-time, salaried employees and certain part-time employees may become eligible to continue participation as retirees in health care and/or life insurance plans sponsored by the Corporation. Based on the other provisions of the individual plans, certain retirees may also have the cost of these benefits partially paid by the Corporation. The obligations assumed as a result of acquisitions are substantially similar to the Corporation’s postretirement health and life plans, except for Countrywide which did not have a postretirement health and life plan. Collectively, these plans are referred to as the Postretirement Health and Life Plans. | ||||||||||||||||||||||||||||||||||||||||
The Pension and Postretirement Plans table summarizes the changes in the fair value of plan assets, changes in the projected benefit obligation (PBO), the funded status of both the accumulated benefit obligation (ABO) and the PBO, and the weighted-average assumptions used to determine benefit obligations for the pension plans and postretirement plans at December 31, 2014 and 2013. Amounts recognized at December 31, 2014 and 2013 are reflected in other assets, and in accrued expenses and other liabilities on the Consolidated Balance Sheet. The estimation of the Corporation’s PBO associated with these plans considers various actuarial assumptions, including assumptions for mortality rates and discount rates. As of December 31, 2014, the Corporation adopted mortality assumptions published by the Society of Actuaries in October 2014, adjusted to reflect observed and anticipated future mortality experience of the participants in the Corporation’s U.S. plans. The adoption of the new mortality assumptions resulted in an increase to the PBO of approximately $580 million at December 31, 2014. The discount rate assumptions are derived from a cash flow matching technique that utilizes rates that are based on Aa-rated corporate bonds with cash flows that match estimated benefit payments of each of the plans. The decrease in weighted-average discount rates in 2014 resulted in an increase to the PBO of approximately $1.9 billion at December 31, 2014. | ||||||||||||||||||||||||||||||||||||||||
The Corporation’s best estimate of its contributions to be made to the Non-U.S. Pension Plans, Nonqualified and Other Pension Plans, and Postretirement Health and Life Plans in 2015 is $56 million, $101 million and $87 million, respectively. The Corporation does not expect to make a contribution to the Qualified Pension Plan in 2015. | ||||||||||||||||||||||||||||||||||||||||
Pension and Postretirement Plans | ||||||||||||||||||||||||||||||||||||||||
Qualified | Non-U.S. | Nonqualified | Postretirement | |||||||||||||||||||||||||||||||||||||
Pension Plan (1) | Pension Plans (1) | and Other | Health and Life | |||||||||||||||||||||||||||||||||||||
Pension Plans (1) | Plans (1) | |||||||||||||||||||||||||||||||||||||||
(Dollars in millions) | 2014 | 2013 | 2014 | 2013 | 2014 | 2013 | 2014 | 2013 | ||||||||||||||||||||||||||||||||
Change in fair value of plan assets | ||||||||||||||||||||||||||||||||||||||||
Fair value, January 1 | $ | 18,276 | $ | 16,274 | $ | 2,457 | $ | 2,306 | $ | 2,720 | $ | 3,063 | $ | 72 | $ | 86 | ||||||||||||||||||||||||
Actual return on plan assets | 1,261 | 2,873 | 256 | 146 | 336 | (217 | ) | 6 | 9 | |||||||||||||||||||||||||||||||
Company contributions | — | — | 84 | 131 | 97 | 98 | 53 | 61 | ||||||||||||||||||||||||||||||||
Plan participant contributions | — | — | 1 | 1 | — | — | 129 | 138 | ||||||||||||||||||||||||||||||||
Settlements and curtailments | — | — | (5 | ) | (80 | ) | — | (7 | ) | — | — | |||||||||||||||||||||||||||||
Benefits paid | (923 | ) | (871 | ) | (68 | ) | (80 | ) | (226 | ) | (217 | ) | (248 | ) | (237 | ) | ||||||||||||||||||||||||
Federal subsidy on benefits paid | n/a | n/a | n/a | n/a | n/a | n/a | 16 | 15 | ||||||||||||||||||||||||||||||||
Foreign currency exchange rate changes | n/a | n/a | (161 | ) | 33 | n/a | n/a | n/a | n/a | |||||||||||||||||||||||||||||||
Fair value, December 31 | $ | 18,614 | $ | 18,276 | $ | 2,564 | $ | 2,457 | $ | 2,927 | $ | 2,720 | $ | 28 | $ | 72 | ||||||||||||||||||||||||
Change in projected benefit obligation | ||||||||||||||||||||||||||||||||||||||||
Projected benefit obligation, January 1 | $ | 14,145 | $ | 15,655 | $ | 2,580 | $ | 2,460 | $ | 3,070 | $ | 3,334 | $ | 1,356 | $ | 1,574 | ||||||||||||||||||||||||
Service cost | — | — | 29 | 32 | 1 | 1 | 8 | 9 | ||||||||||||||||||||||||||||||||
Interest cost | 665 | 623 | 109 | 98 | 133 | 120 | 58 | 54 | ||||||||||||||||||||||||||||||||
Plan participant contributions | — | — | 1 | 1 | — | — | 129 | 138 | ||||||||||||||||||||||||||||||||
Plan amendments | — | — | 1 | 2 | — | — | — | — | ||||||||||||||||||||||||||||||||
Settlements and curtailments | — | 17 | (6 | ) | (116 | ) | — | (7 | ) | — | — | |||||||||||||||||||||||||||||
Actuarial loss (gain) | 1,621 | (1,279 | ) | 208 | 156 | 351 | (161 | ) | 29 | (197 | ) | |||||||||||||||||||||||||||||
Benefits paid | (923 | ) | (871 | ) | (68 | ) | (80 | ) | (226 | ) | (217 | ) | (248 | ) | (237 | ) | ||||||||||||||||||||||||
Federal subsidy on benefits paid | n/a | n/a | n/a | n/a | n/a | n/a | 16 | 15 | ||||||||||||||||||||||||||||||||
Foreign currency exchange rate changes | n/a | n/a | (166 | ) | 27 | n/a | n/a | (2 | ) | — | ||||||||||||||||||||||||||||||
Projected benefit obligation, December 31 | $ | 15,508 | $ | 14,145 | $ | 2,688 | $ | 2,580 | $ | 3,329 | $ | 3,070 | $ | 1,346 | $ | 1,356 | ||||||||||||||||||||||||
Amount recognized, December 31 | $ | 3,106 | $ | 4,131 | $ | (124 | ) | $ | (123 | ) | $ | (402 | ) | $ | (350 | ) | $ | (1,318 | ) | $ | (1,284 | ) | ||||||||||||||||||
Funded status, December 31 | ||||||||||||||||||||||||||||||||||||||||
Accumulated benefit obligation | $ | 15,508 | $ | 14,145 | $ | 2,582 | $ | 2,463 | $ | 3,329 | $ | 3,067 | n/a | n/a | ||||||||||||||||||||||||||
Overfunded (unfunded) status of ABO | 3,106 | 4,131 | (18 | ) | (6 | ) | (402 | ) | (347 | ) | n/a | n/a | ||||||||||||||||||||||||||||
Provision for future salaries | — | — | 106 | 117 | — | 3 | n/a | n/a | ||||||||||||||||||||||||||||||||
Projected benefit obligation | 15,508 | 14,145 | 2,688 | 2,580 | 3,329 | 3,070 | $ | 1,346 | $ | 1,356 | ||||||||||||||||||||||||||||||
Weighted-average assumptions, December 31 | ||||||||||||||||||||||||||||||||||||||||
Discount rate | 4.12 | % | 4.85 | % | 3.56 | % | 4.3 | % | 3.8 | % | 4.55 | % | 3.75 | % | 4.5 | % | ||||||||||||||||||||||||
Rate of compensation increase | n/a | n/a | 4.7 | 4.91 | 4 | 4 | n/a | n/a | ||||||||||||||||||||||||||||||||
(1) | The measurement date for the Qualified Pension Plan, Non-U.S. Pension Plans, Nonqualified and Other Pension Plans, and Postretirement Health and Life Plans was December 31 of each year reported. | |||||||||||||||||||||||||||||||||||||||
n/a =ot applicable | ||||||||||||||||||||||||||||||||||||||||
Amounts recognized on the Consolidated Balance Sheet at December 31, 2014 and 2013 are presented in the table below. | ||||||||||||||||||||||||||||||||||||||||
Amounts Recognized on Consolidated Balance Sheet | ||||||||||||||||||||||||||||||||||||||||
Qualified | Non-U.S. | Nonqualified | Postretirement | |||||||||||||||||||||||||||||||||||||
Pension Plan | Pension Plans | and Other | Health and Life | |||||||||||||||||||||||||||||||||||||
Pension Plans | Plans | |||||||||||||||||||||||||||||||||||||||
(Dollars in millions) | 2014 | 2013 | 2014 | 2013 | 2014 | 2013 | 2014 | 2013 | ||||||||||||||||||||||||||||||||
Other assets | $ | 3,106 | $ | 4,131 | $ | 252 | $ | 205 | $ | 786 | $ | 777 | $ | — | $ | — | ||||||||||||||||||||||||
Accrued expenses and other liabilities | — | — | (376 | ) | (328 | ) | (1,188 | ) | (1,127 | ) | (1,318 | ) | (1,284 | ) | ||||||||||||||||||||||||||
Net amount recognized at December 31 | $ | 3,106 | $ | 4,131 | $ | (124 | ) | $ | (123 | ) | $ | (402 | ) | $ | (350 | ) | $ | (1,318 | ) | $ | (1,284 | ) | ||||||||||||||||||
Pension Plans with ABO and PBO in excess of plan assets as of December 31, 2014 and 2013 are presented in the table below. For the non-qualified plans not subject to ERISA or non-U.S. pension plans, funding strategies vary due to legal requirements and local practices. | ||||||||||||||||||||||||||||||||||||||||
Plans with ABO and PBO in Excess of Plan Assets | ||||||||||||||||||||||||||||||||||||||||
Non-U.S. | Nonqualified | |||||||||||||||||||||||||||||||||||||||
Pension Plans | and Other | |||||||||||||||||||||||||||||||||||||||
Pension Plans | ||||||||||||||||||||||||||||||||||||||||
(Dollars in millions) | 2014 | 2013 | 2014 | 2013 | ||||||||||||||||||||||||||||||||||||
Plans with ABO in excess of plan assets | ||||||||||||||||||||||||||||||||||||||||
PBO | $ | 583 | $ | 617 | $ | 1,190 | $ | 1,129 | ||||||||||||||||||||||||||||||||
ABO | 563 | 606 | 1,190 | 1,126 | ||||||||||||||||||||||||||||||||||||
Fair value of plan assets | 206 | 290 | 2 | 2 | ||||||||||||||||||||||||||||||||||||
Plans with PBO in excess of plan assets | ||||||||||||||||||||||||||||||||||||||||
PBO | $ | 583 | $ | 720 | $ | 1,190 | $ | 1,129 | ||||||||||||||||||||||||||||||||
Fair value of plan assets | 206 | 392 | 2 | 2 | ||||||||||||||||||||||||||||||||||||
Net periodic benefit cost of the Corporation’s plans for 2014, 2013 and 2012 included the following components. | ||||||||||||||||||||||||||||||||||||||||
Components of Net Periodic Benefit Cost | ||||||||||||||||||||||||||||||||||||||||
Qualified Pension Plan | Non-U.S. Pension Plans | |||||||||||||||||||||||||||||||||||||||
(Dollars in millions) | 2014 | 2013 | 2012 | 2014 | 2013 | 2012 | ||||||||||||||||||||||||||||||||||
Components of net periodic benefit cost | ||||||||||||||||||||||||||||||||||||||||
Service cost | $ | — | $ | — | $ | 236 | $ | 29 | $ | 32 | $ | 40 | ||||||||||||||||||||||||||||
Interest cost | 665 | 623 | 681 | 109 | 98 | 97 | ||||||||||||||||||||||||||||||||||
Expected return on plan assets | (1,018 | ) | (1,024 | ) | (1,246 | ) | (137 | ) | (121 | ) | (137 | ) | ||||||||||||||||||||||||||||
Amortization of prior service cost | — | — | 9 | 1 | — | — | ||||||||||||||||||||||||||||||||||
Amortization of net actuarial loss (gain) | 111 | 242 | 469 | 3 | 2 | (9 | ) | |||||||||||||||||||||||||||||||||
Recognized loss (gain) due to settlements and curtailments | — | 17 | 58 | 2 | (7 | ) | — | |||||||||||||||||||||||||||||||||
Net periodic benefit cost (income) | $ | (242 | ) | $ | (142 | ) | $ | 207 | $ | 7 | $ | 4 | $ | (9 | ) | |||||||||||||||||||||||||
Weighted-average assumptions used to determine net cost for years ended December 31 | ||||||||||||||||||||||||||||||||||||||||
Discount rate | 4.85 | % | 4 | % | 4.95 | % | 4.3 | % | 4.23 | % | 4.87 | % | ||||||||||||||||||||||||||||
Expected return on plan assets | 6 | 6.5 | 8 | 5.52 | 5.5 | 6.65 | ||||||||||||||||||||||||||||||||||
Rate of compensation increase | n/a | n/a | 4 | 4.91 | 4.37 | 4.42 | ||||||||||||||||||||||||||||||||||
Nonqualified and | Postretirement Health | |||||||||||||||||||||||||||||||||||||||
Other Pension Plans | and Life Plans | |||||||||||||||||||||||||||||||||||||||
(Dollars in millions) | 2014 | 2013 | 2012 | 2014 | 2013 | 2012 | ||||||||||||||||||||||||||||||||||
Components of net periodic benefit cost | ||||||||||||||||||||||||||||||||||||||||
Service cost | $ | 1 | $ | 1 | $ | 1 | $ | 8 | $ | 9 | $ | 13 | ||||||||||||||||||||||||||||
Interest cost | 133 | 120 | 138 | 58 | 54 | 71 | ||||||||||||||||||||||||||||||||||
Expected return on plan assets | (124 | ) | (109 | ) | (152 | ) | (4 | ) | (5 | ) | (8 | ) | ||||||||||||||||||||||||||||
Amortization of transition obligation | — | — | — | — | — | 32 | ||||||||||||||||||||||||||||||||||
Amortization of prior service cost (credits) | — | — | (3 | ) | 4 | 4 | 4 | |||||||||||||||||||||||||||||||||
Amortization of net actuarial loss (gain) | 25 | 25 | 8 | (89 | ) | (42 | ) | (38 | ) | |||||||||||||||||||||||||||||||
Recognized loss due to settlements and curtailments | — | 2 | — | — | 6 | — | ||||||||||||||||||||||||||||||||||
Net periodic benefit cost (income) | $ | 35 | $ | 39 | $ | (8 | ) | $ | (23 | ) | $ | 26 | $ | 74 | ||||||||||||||||||||||||||
Weighted-average assumptions used to determine net cost for years ended December 31 | ||||||||||||||||||||||||||||||||||||||||
Discount rate | 4.55 | % | 3.65 | % | 4.65 | % | 4.5 | % | 3.65 | % | 4.65 | % | ||||||||||||||||||||||||||||
Expected return on plan assets | 4.6 | 3.75 | 5.25 | 6 | 6.5 | 8 | ||||||||||||||||||||||||||||||||||
Rate of compensation increase | 4 | 4 | 4 | n/a | n/a | n/a | ||||||||||||||||||||||||||||||||||
n/a =ot applicable | ||||||||||||||||||||||||||||||||||||||||
The asset valuation method used to calculate the expected return on plan assets component of net period benefit cost for the Qualified Pension Plan recognizes 60 percent of the prior year’s market gains or losses at the next measurement date with the remaining 40 percent spread equally over the subsequent four years. | ||||||||||||||||||||||||||||||||||||||||
Net periodic postretirement health and life expense was determined using the “projected unit credit” actuarial method. Gains and losses for all benefit plans except postretirement health care are recognized in accordance with the standard amortization provisions of the applicable accounting guidance. For the Postretirement Health Care Plans, 50 percent of the unrecognized gain or loss at the beginning of the fiscal year (or at subsequent remeasurement) is recognized on a level basis during the year. | ||||||||||||||||||||||||||||||||||||||||
Assumed health care cost trend rates affect the postretirement benefit obligation and benefit cost reported for the Postretirement Health and Life Plans. The assumed health care cost trend rate used to measure the expected cost of benefits covered by the Postretirement Health and Life Plans is 7.00 percent for 2015 and 2016, reducing in steps to 5.00 percent in 2021 and later years. A one-percentage-point increase in assumed health care cost trend rates would have increased the service and interest costs, and the benefit obligation by $2 million and $47 million in 2014. A one-percentage-point decrease in assumed health care cost trend rates would have lowered the service and interest costs, and the benefit obligation by $2 million and $41 million in 2014. | ||||||||||||||||||||||||||||||||||||||||
The Corporation’s net periodic benefit cost (income) recognized for the plans is sensitive to the discount rate and expected return on plan assets. With all other assumptions held constant, a 25 basis point (bp) decline in the discount rate and expected return on plan asset assumptions would have resulted in an increase in the net periodic benefit cost for the Qualified Pension Plan recognized in 2014 of approximately $7 million and $43 million, and to be recognized in 2015 of approximately $9 million and $44 million. For the Postretirement Health and Life Plans, a 25 bp decline in the discount rate would have resulted in an increase in the net periodic benefit cost recognized in 2014 of approximately $9 million, and to be recognized in 2015 of approximately $10 million. For the Non-U.S. Pension Plans and the Nonqualified and Other Pension Plans, a 25 bp decline in discount rates would not have a significant impact on the net periodic benefit cost for 2014 and 2015. | ||||||||||||||||||||||||||||||||||||||||
Pretax amounts included in accumulated OCI for employee benefit plans at December 31, 2014 and 2013 are presented in the table below. | ||||||||||||||||||||||||||||||||||||||||
Pretax Amounts included in Accumulated OCI | ||||||||||||||||||||||||||||||||||||||||
Qualified | Non-U.S. | Nonqualified | Postretirement | Total | ||||||||||||||||||||||||||||||||||||
Pension Plan | Pension Plans | and Other | Health and | |||||||||||||||||||||||||||||||||||||
Pension Plans | Life Plans | |||||||||||||||||||||||||||||||||||||||
(Dollars in millions) | 2014 | 2013 | 2014 | 2013 | 2014 | 2013 | 2014 | 2013 | 2014 | 2013 | ||||||||||||||||||||||||||||||
Net actuarial loss (gain) | $ | 4,061 | $ | 2,794 | $ | 355 | $ | 271 | $ | 968 | $ | 855 | $ | (56 | ) | $ | (171 | ) | $ | 5,328 | $ | 3,749 | ||||||||||||||||||
Prior service cost (credits) | — | — | (9 | ) | (9 | ) | — | — | 20 | 24 | 11 | 15 | ||||||||||||||||||||||||||||
Amounts recognized in accumulated OCI | $ | 4,061 | $ | 2,794 | $ | 346 | $ | 262 | $ | 968 | $ | 855 | $ | (36 | ) | $ | (147 | ) | $ | 5,339 | $ | 3,764 | ||||||||||||||||||
Pretax amounts recognized in OCI for employee benefit plans in 2014 included the following components. | ||||||||||||||||||||||||||||||||||||||||
Pretax Amounts Recognized in OCI in 2014 | ||||||||||||||||||||||||||||||||||||||||
(Dollars in millions) | Qualified | Non-U.S. | Nonqualified | Postretirement | Total | |||||||||||||||||||||||||||||||||||
Pension Plan | Pension Plans | and Other | Health and | |||||||||||||||||||||||||||||||||||||
Pension Plans | Life Plans | |||||||||||||||||||||||||||||||||||||||
Current year actuarial loss | $ | 1,378 | $ | 87 | $ | 138 | $ | 26 | $ | 1,629 | ||||||||||||||||||||||||||||||
Amortization of actuarial gain (loss) | (111 | ) | (3 | ) | (25 | ) | 89 | (50 | ) | |||||||||||||||||||||||||||||||
Current year prior service cost | — | 1 | — | — | 1 | |||||||||||||||||||||||||||||||||||
Amortization of prior service cost | — | (1 | ) | — | (4 | ) | (5 | ) | ||||||||||||||||||||||||||||||||
Amounts recognized in OCI | $ | 1,267 | $ | 84 | $ | 113 | $ | 111 | $ | 1,575 | ||||||||||||||||||||||||||||||
The estimated pretax amounts that will be amortized from accumulated OCI into expense in 2015 are presented in the table below. | ||||||||||||||||||||||||||||||||||||||||
Estimated Pretax Amounts Amortized from Accumulated OCI into Period Cost in 2015 | ||||||||||||||||||||||||||||||||||||||||
(Dollars in millions) | Qualified | Non-U.S. | Nonqualified | Postretirement | Total | |||||||||||||||||||||||||||||||||||
Pension Plan | Pension Plans | and Other | Health and | |||||||||||||||||||||||||||||||||||||
Pension Plans | Life Plans | |||||||||||||||||||||||||||||||||||||||
Net actuarial loss (gain) | $ | 166 | $ | 6 | $ | 34 | $ | (34 | ) | $ | 172 | |||||||||||||||||||||||||||||
Prior service cost | — | 1 | — | 4 | 5 | |||||||||||||||||||||||||||||||||||
Total amounts amortized from accumulated OCI | $ | 166 | $ | 7 | $ | 34 | $ | (30 | ) | $ | 177 | |||||||||||||||||||||||||||||
Plan Assets | ||||||||||||||||||||||||||||||||||||||||
The Qualified Pension Plan has been established as a retirement vehicle for participants, and trusts have been established to secure benefits promised under the Qualified Pension Plan. The Corporation’s policy is to invest the trust assets in a prudent manner for the exclusive purpose of providing benefits to participants and defraying reasonable expenses of administration. The Corporation’s investment strategy is designed to provide a total return that, over the long term, increases the ratio of assets to liabilities. The strategy attempts to maximize the investment return on assets at a level of risk deemed appropriate by the Corporation while complying with ERISA and any applicable regulations and laws. The investment strategy utilizes asset allocation as a principal determinant for establishing the risk/return profile of the assets. Asset allocation ranges are established, periodically reviewed and adjusted as funding levels and liability characteristics change. Active and passive investment managers are employed to help enhance the risk/return profile of the assets. An additional aspect of the investment strategy used to minimize risk (part of the asset allocation plan) includes matching the equity exposure of participant-selected earnings measures. For example, the common stock of the Corporation held in the trust is maintained as an offset to the exposure related to participants who elected to receive an earnings measure based on the return performance of common stock of the Corporation. No plan assets are expected to be returned to the Corporation during 2015. | ||||||||||||||||||||||||||||||||||||||||
The assets of the Non-U.S. Pension Plans are primarily attributable to a U.K. pension plan. This U.K. pension plan’s assets are invested prudently so that the benefits promised to members are provided with consideration given to the nature and the duration of the plan’s liabilities. The current investment strategy was set following an asset-liability study and advice from the trustee’s investment advisors. The selected asset allocation strategy is designed to achieve a higher return than the lowest risk strategy while maintaining a prudent approach to meeting the plan’s liabilities. | ||||||||||||||||||||||||||||||||||||||||
The expected return on asset assumption was developed through analysis of historical market returns, historical asset class volatility and correlations, current market conditions, anticipated future asset allocations, the funds’ past experience, and expectations on potential future market returns. The expected return on assets assumption is determined using the calculated market-related value for the Qualified Pension Plan and the Other Pension Plan and the fair value for the Non-U.S. Pension Plans and Postretirement Health and Life Plans. The expected return on assets assumption represents a long-term average view of the performance of the assets in the Qualified Pension Plan, the Non-U.S. Pension Plans, the Other Pension Plan, and Postretirement Health and Life Plans, a return that may or may not be achieved during any one calendar year. The terminated Other U.S. Pension Plan is invested solely in an annuity contract which is primarily invested in fixed-income securities structured such that asset maturities match the duration of the plan’s obligations. | ||||||||||||||||||||||||||||||||||||||||
The target allocations for 2015 by asset category for the Qualified Pension Plan, Non-U.S. Pension Plans, Nonqualified and Other Pension Plans, and Postretirement Health and Life Plans are presented in the table below. | ||||||||||||||||||||||||||||||||||||||||
2015 Target Allocation | ||||||||||||||||||||||||||||||||||||||||
Percentage | ||||||||||||||||||||||||||||||||||||||||
Asset Category | Qualified | Non-U.S. | Nonqualified | Postretirement | ||||||||||||||||||||||||||||||||||||
Pension Plan | Pension Plans | and Other | Health and Life | |||||||||||||||||||||||||||||||||||||
Pension Plans | Plans | |||||||||||||||||||||||||||||||||||||||
Equity securities | 30 - 60 | Oct-35 | 0 - 5 | 0 - 20 | ||||||||||||||||||||||||||||||||||||
Debt securities | 40 - 70 | 40 - 80 | 95 - 100 | 70 - 100 | ||||||||||||||||||||||||||||||||||||
Real estate | 0 - 10 | 0 - 15 | 0 - 5 | 0 - 5 | ||||||||||||||||||||||||||||||||||||
Other | 0 - 5 | 0 - 15 | 0 - 5 | 0 - 5 | ||||||||||||||||||||||||||||||||||||
Equity securities for the Qualified Pension Plan include common stock of the Corporation in the amounts of $215 million (1.15 percent of total plan assets) and $200 million (1.10 percent of total plan assets) at December 31, 2014 and 2013. | ||||||||||||||||||||||||||||||||||||||||
Fair Value Measurements | ||||||||||||||||||||||||||||||||||||||||
For information on fair value measurements, including descriptions of Level 1, 2 and 3 of the fair value hierarchy and the valuation methods employed by the Corporation, see Note 1 – Summary of Significant Accounting Principles and Note 20 – Fair Value Measurements. | ||||||||||||||||||||||||||||||||||||||||
Combined plan investment assets measured at fair value by level and in total at December 31, 2014 and 2013 are summarized in the Fair Value Measurements table. | ||||||||||||||||||||||||||||||||||||||||
Fair Value Measurements | ||||||||||||||||||||||||||||||||||||||||
December 31, 2014 | ||||||||||||||||||||||||||||||||||||||||
(Dollars in millions) | Level 1 | Level 2 | Level 3 | Total | ||||||||||||||||||||||||||||||||||||
Cash and short-term investments | ||||||||||||||||||||||||||||||||||||||||
Money market and interest-bearing cash | $ | 3,814 | $ | — | $ | — | $ | 3,814 | ||||||||||||||||||||||||||||||||
Cash and cash equivalent commingled/mutual funds | — | 4 | — | 4 | ||||||||||||||||||||||||||||||||||||
Fixed income | ||||||||||||||||||||||||||||||||||||||||
U.S. government and government agency securities | 2,004 | 2,151 | 11 | 4,166 | ||||||||||||||||||||||||||||||||||||
Corporate debt securities | — | 1,454 | — | 1,454 | ||||||||||||||||||||||||||||||||||||
Asset-backed securities | — | 1,930 | — | 1,930 | ||||||||||||||||||||||||||||||||||||
Non-U.S. debt securities | 627 | 487 | — | 1,114 | ||||||||||||||||||||||||||||||||||||
Fixed income commingled/mutual funds | 101 | 1,397 | — | 1,498 | ||||||||||||||||||||||||||||||||||||
Equity | ||||||||||||||||||||||||||||||||||||||||
Common and preferred equity securities | 6,628 | — | — | 6,628 | ||||||||||||||||||||||||||||||||||||
Equity commingled/mutual funds | 16 | 1,817 | — | 1,833 | ||||||||||||||||||||||||||||||||||||
Public real estate investment trusts | 124 | — | — | 124 | ||||||||||||||||||||||||||||||||||||
Real estate | ||||||||||||||||||||||||||||||||||||||||
Private real estate | — | — | 127 | 127 | ||||||||||||||||||||||||||||||||||||
Real estate commingled/mutual funds | — | 4 | 632 | 636 | ||||||||||||||||||||||||||||||||||||
Limited partnerships | — | 122 | 65 | 187 | ||||||||||||||||||||||||||||||||||||
Other investments (1) | 1 | 490 | 127 | 618 | ||||||||||||||||||||||||||||||||||||
Total plan investment assets, at fair value | $ | 13,315 | $ | 9,856 | $ | 962 | $ | 24,133 | ||||||||||||||||||||||||||||||||
December 31, 2013 | ||||||||||||||||||||||||||||||||||||||||
Cash and short-term investments | ||||||||||||||||||||||||||||||||||||||||
Money market and interest-bearing cash | $ | 2,586 | $ | — | $ | — | $ | 2,586 | ||||||||||||||||||||||||||||||||
Cash and cash equivalent commingled/mutual funds | — | 223 | — | 223 | ||||||||||||||||||||||||||||||||||||
Fixed income | ||||||||||||||||||||||||||||||||||||||||
U.S. government and government agency securities | 1,590 | 2,245 | 12 | 3,847 | ||||||||||||||||||||||||||||||||||||
Corporate debt securities | — | 1,233 | — | 1,233 | ||||||||||||||||||||||||||||||||||||
Asset-backed securities | — | 1,455 | — | 1,455 | ||||||||||||||||||||||||||||||||||||
Non-U.S. debt securities | 547 | 502 | 6 | 1,055 | ||||||||||||||||||||||||||||||||||||
Fixed income commingled/mutual funds | 89 | 1,279 | — | 1,368 | ||||||||||||||||||||||||||||||||||||
Equity | ||||||||||||||||||||||||||||||||||||||||
Common and preferred equity securities | 7,463 | — | — | 7,463 | ||||||||||||||||||||||||||||||||||||
Equity commingled/mutual funds | 213 | 2,308 | — | 2,521 | ||||||||||||||||||||||||||||||||||||
Public real estate investment trusts | 127 | — | — | 127 | ||||||||||||||||||||||||||||||||||||
Real estate | ||||||||||||||||||||||||||||||||||||||||
Private real estate | — | — | 119 | 119 | ||||||||||||||||||||||||||||||||||||
Real estate commingled/mutual funds | — | 7 | 462 | 469 | ||||||||||||||||||||||||||||||||||||
Limited partnerships | — | 117 | 145 | 262 | ||||||||||||||||||||||||||||||||||||
Other investments (1) | — | 662 | 135 | 797 | ||||||||||||||||||||||||||||||||||||
Total plan investment assets, at fair value | $ | 12,615 | $ | 10,031 | $ | 879 | $ | 23,525 | ||||||||||||||||||||||||||||||||
(1) | Other investments include interest rate swaps of $297 million and $435 million, participant loans of $78 million and $87 million, commodity and balanced funds of $178 million and $229 million and other various investments of $65 million and $46 million at December 31, 2014 and 2013. | |||||||||||||||||||||||||||||||||||||||
The Level 3 Fair Value Measurements table presents a reconciliation of all plan investment assets measured at fair value using significant unobservable inputs (Level 3) during 2014, 2013 and 2012. | ||||||||||||||||||||||||||||||||||||||||
Level 3 Fair Value Measurements | ||||||||||||||||||||||||||||||||||||||||
2014 | ||||||||||||||||||||||||||||||||||||||||
(Dollars in millions) | Balance | Actual Return on | Purchases | Sales and Settlements | Transfers into/ | Balance | ||||||||||||||||||||||||||||||||||
January 1 | Plan Assets Still | (out of) Level 3 | December 31 | |||||||||||||||||||||||||||||||||||||
Held at the | ||||||||||||||||||||||||||||||||||||||||
Reporting Date | ||||||||||||||||||||||||||||||||||||||||
Fixed income | ||||||||||||||||||||||||||||||||||||||||
U.S. government and government agency securities | $ | 12 | $ | — | $ | — | $ | (1 | ) | $ | — | $ | 11 | |||||||||||||||||||||||||||
Non-U.S. debt securities | 6 | — | — | (2 | ) | (4 | ) | — | ||||||||||||||||||||||||||||||||
Real estate | ||||||||||||||||||||||||||||||||||||||||
Private real estate | 119 | 5 | 5 | (2 | ) | — | 127 | |||||||||||||||||||||||||||||||||
Real estate commingled/mutual funds | 462 | 20 | 150 | — | — | 632 | ||||||||||||||||||||||||||||||||||
Limited partnerships | 145 | 5 | 3 | (88 | ) | — | 65 | |||||||||||||||||||||||||||||||||
Other investments | 135 | 1 | 1 | (10 | ) | — | 127 | |||||||||||||||||||||||||||||||||
Total | $ | 879 | $ | 31 | $ | 159 | $ | (103 | ) | $ | (4 | ) | $ | 962 | ||||||||||||||||||||||||||
2013 | ||||||||||||||||||||||||||||||||||||||||
Fixed income | ||||||||||||||||||||||||||||||||||||||||
U.S. government and government agency securities | $ | 13 | $ | — | $ | — | $ | (1 | ) | $ | — | $ | 12 | |||||||||||||||||||||||||||
Non-U.S. debt securities | 10 | (2 | ) | — | (2 | ) | — | 6 | ||||||||||||||||||||||||||||||||
Real estate | ||||||||||||||||||||||||||||||||||||||||
Private real estate | 110 | 4 | 7 | (2 | ) | — | 119 | |||||||||||||||||||||||||||||||||
Real estate commingled/mutual funds | 324 | 15 | 123 | — | — | 462 | ||||||||||||||||||||||||||||||||||
Limited partnerships | 231 | 8 | 23 | (89 | ) | (28 | ) | 145 | ||||||||||||||||||||||||||||||||
Other investments | 129 | (6 | ) | 13 | (1 | ) | — | 135 | ||||||||||||||||||||||||||||||||
Total | $ | 817 | $ | 19 | $ | 166 | $ | (95 | ) | $ | (28 | ) | $ | 879 | ||||||||||||||||||||||||||
2012 | ||||||||||||||||||||||||||||||||||||||||
Fixed income | ||||||||||||||||||||||||||||||||||||||||
U.S. government and government agency securities | $ | 13 | $ | — | $ | — | $ | — | $ | — | $ | 13 | ||||||||||||||||||||||||||||
Non-U.S. debt securities | 10 | (1 | ) | 1 | (1 | ) | 1 | 10 | ||||||||||||||||||||||||||||||||
Real estate | ||||||||||||||||||||||||||||||||||||||||
Private real estate | 113 | (2 | ) | 2 | (3 | ) | — | 110 | ||||||||||||||||||||||||||||||||
Real estate commingled/mutual funds | 249 | 13 | 62 | — | — | 324 | ||||||||||||||||||||||||||||||||||
Limited partnerships | 232 | 8 | 11 | (20 | ) | — | 231 | |||||||||||||||||||||||||||||||||
Other investments | 122 | 7 | 4 | (4 | ) | — | 129 | |||||||||||||||||||||||||||||||||
Total | $ | 739 | $ | 25 | $ | 80 | $ | (28 | ) | $ | 1 | $ | 817 | |||||||||||||||||||||||||||
Projected Benefit Payments | ||||||||||||||||||||||||||||||||||||||||
Benefit payments projected to be made from the Qualified Pension Plan, Non-U.S. Pension Plans, Nonqualified and Other Pension Plans, and Postretirement Health and Life Plans are presented in the table below. | ||||||||||||||||||||||||||||||||||||||||
Projected Benefit Payments | ||||||||||||||||||||||||||||||||||||||||
Postretirement Health and Life Plans | ||||||||||||||||||||||||||||||||||||||||
(Dollars in millions) | Qualified | Non-U.S. | Nonqualified | Net Payments (3) | Medicare | |||||||||||||||||||||||||||||||||||
Pension Plan (1) | Pension Plans (2) | and Other | Subsidy | |||||||||||||||||||||||||||||||||||||
Pension Plans (2) | ||||||||||||||||||||||||||||||||||||||||
2015 | $ | 921 | $ | 55 | $ | 244 | $ | 130 | $ | 14 | ||||||||||||||||||||||||||||||
2016 | 908 | 58 | 241 | 126 | 14 | |||||||||||||||||||||||||||||||||||
2017 | 900 | 62 | 242 | 122 | 14 | |||||||||||||||||||||||||||||||||||
2018 | 899 | 65 | 239 | 117 | 13 | |||||||||||||||||||||||||||||||||||
2019 | 895 | 72 | 236 | 111 | 13 | |||||||||||||||||||||||||||||||||||
2020 – 2024 | 4,407 | 449 | 1,136 | 495 | 58 | |||||||||||||||||||||||||||||||||||
(1) | Benefit payments expected to be made from the plan’s assets. | |||||||||||||||||||||||||||||||||||||||
(2) | Benefit payments expected to be made from a combination of the plans’ and the Corporation’s assets. | |||||||||||||||||||||||||||||||||||||||
(3) | Benefit payments (net of retiree contributions) expected to be made from a combination of the plans’ and the Corporation’s assets. | |||||||||||||||||||||||||||||||||||||||
Defined Contribution Plans | ||||||||||||||||||||||||||||||||||||||||
The Corporation maintains qualified defined contribution retirement plans and nonqualified defined contribution retirement plans. The Corporation contributed $1.0 billion, $1.1 billion and $886 million in 2014, 2013 and 2012, respectively, to the qualified defined contribution plans. At December 31, 2014 and 2013, 238 million and 235 million shares of the Corporation’s common stock were held by these plans. Payments to the plans for dividends on common stock were $29 million, $10 million and $10 million in 2014, 2013 and 2012, respectively. | ||||||||||||||||||||||||||||||||||||||||
Certain non-U.S. employees are covered under defined contribution pension plans that are separately administered in accordance with local laws. |
Stockbased_Compensation_Plans
Stock-based Compensation Plans | 12 Months Ended | ||||||
Dec. 31, 2014 | |||||||
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | |||||||
Stock-based Compensation Plans | Stock-based Compensation Plans | ||||||
The Corporation administers a number of equity compensation plans, with awards being granted predominantly from the Corporation’s Key Associate Stock Plan. Under the Key Associate Stock Plan, the Corporation grants stock-based awards, including stock options, restricted stock and restricted stock units (RSUs). Grants in 2014 included RSUs which generally vest in three equal annual installments beginning one year from the grant date, and awards which will vest subject to the attainment of specified performance goals. | |||||||
For most awards, expense is generally recognized ratably over the vesting period net of estimated forfeitures, unless the employee meets certain retirement eligibility criteria. For awards to employees that meet retirement eligibility criteria, the Corporation records the expense upon grant. For employees that become retirement eligible during the vesting period, the Corporation recognizes expense from the grant date to the date on which the employee becomes retirement eligible, net of estimated forfeitures. The compensation cost for the stock-based plans was $2.30 billion, $2.28 billion and $2.27 billion in 2014, 2013 and 2012, respectively. The related income tax benefit was $854 million, $842 million and $839 million for 2014, 2013 and 2012, respectively. | |||||||
Key Associate Stock Plan | |||||||
The Key Associate Stock Plan became effective January 1, 2003. It provides for different types of awards, including stock options, restricted stock and RSUs. As of December 31, 2014, the shareholders had authorized approximately 1.1 billion shares for grant under this plan. Additionally, any shares covered by awards under certain legacy plans that cancel, terminate, expire, lapse or settle in cash after a specified date may be re-granted under the Key Associate Stock Plan. | |||||||
During 2014, the Corporation issued 133 million RSUs to certain employees under the Key Associate Stock Plan. Certain awards are earned based on the achievement of specified performance criteria. RSUs may be settled in cash or in shares of common stock depending on the terms of the applicable award. In 2014, two million of these RSUs were authorized to be settled in shares of common stock with the remainder in cash. Certain awards contain clawback provisions which permit the Corporation to cancel all or a portion of the award under specified circumstances. The compensation cost for cash-settled awards and awards subject to certain clawback provisions, which in the aggregate represented substantially all of the awards in 2014, is accrued over the vesting period and adjusted to fair value based upon changes in the share price of the Corporation’s common stock. | |||||||
From time to time, the Corporation enters into equity total return swaps to hedge a portion of RSUs granted to certain employees as part of their compensation in prior periods to minimize the change in the expense to the Corporation driven by fluctuations in the fair value of the RSUs. Certain of these derivatives are designated as cash flow hedges of unrecognized unvested awards with the changes in fair value of the hedge recorded in accumulated OCI and reclassified into earnings in the same period as the RSUs affect earnings. The remaining derivatives are used to hedge the price risk of cash-settled awards with changes in fair value recorded in personnel expense. For information on amounts recognized on equity total return swaps used to hedge the Corporation’s outstanding RSUs, see Note 2 – Derivatives. | |||||||
Other Stock Plans | |||||||
The Corporation assumed the obligations of certain stock compensation plans with the acquisition of Merrill Lynch. These plans are no longer active and no awards were granted in 2014, 2013 or 2012. At December 31, 2014, five million unvested RSUs remained outstanding under the Merrill Lynch Financial Advisor Capital Accumulation Award Plan. These awards were granted in 2003 and thereafter and are generally payable eight years from the grant date in a fixed number of the Corporation’s common shares. | |||||||
Restricted Stock/Units | |||||||
The table below presents the status at December 31, 2014 of the share-settled restricted stock/units and changes during 2014. | |||||||
Stock-settled Restricted Stock/Units | |||||||
Shares/Units | Weighted- | ||||||
average Grant Date Fair Value | |||||||
Outstanding at January 1, 2014 | 71,202,751 | $ | 12.05 | ||||
Granted | 2,064,195 | 16.63 | |||||
Vested | (42,209,408 | ) | 14.27 | ||||
Canceled | (1,174,769 | ) | 10.45 | ||||
Outstanding at December 31, 2014 | 29,882,769 | $ | 9.3 | ||||
The table below presents the status at December 31, 2014 of the cash-settled RSUs granted under the Key Associate Stock Plan and changes during 2014. | |||||||
Cash-settled Restricted Units | |||||||
Units | |||||||
Outstanding at January 1, 2014 | 359,928,869 | ||||||
Granted | 130,956,173 | ||||||
Vested | (162,061,256 | ) | |||||
Canceled | (11,867,351 | ) | |||||
Outstanding at December 31, 2014 | 316,956,435 | ||||||
At December 31, 2014, there was an estimated $1.5 billion of total unrecognized compensation cost related to certain share-based compensation awards that is expected to be recognized over a period of up to four years, with a weighted-average period of 1.6 years. The total fair value of restricted stock vested in 2014, 2013 and 2012 was $576 million, $1.0 billion and $2.9 billion, respectively. In 2014, 2013 and 2012, the amount of cash paid to settle equity-based awards for all equity compensation plans was $1.7 billion, $1.4 billion and $779 million, respectively. | |||||||
Stock Options | |||||||
The table below presents the status of all option plans at December 31, 2014 and changes during 2014. | |||||||
Stock Options | |||||||
Options | Weighted- | ||||||
average | |||||||
Exercise Price | |||||||
Outstanding at January 1, 2014 | 122,168,691 | $ | 48.23 | ||||
Forfeited | (34,081,637 | ) | 46.32 | ||||
Outstanding at December 31, 2014 | 88,087,054 | 48.96 | |||||
Options vested and exercisable at December 31, 2014 | 88,087,054 | 48.96 | |||||
Outstanding options at December 31, 2014 included 79 million options under the Key Associate Stock Plan and nine million options to employees of predecessor company plans assumed in mergers. All options outstanding as of December 31, 2014 were vested and exercisable with a weighted-average remaining contractual term of 1.6 years and have no aggregate intrinsic value. No options have been granted since 2008. |
Income_Taxes
Income Taxes | 12 Months Ended | ||||||||||||||||||||
Dec. 31, 2014 | |||||||||||||||||||||
Income Tax Disclosure [Abstract] | |||||||||||||||||||||
Income Taxes | Income Taxes | ||||||||||||||||||||
The components of income tax expense (benefit) for 2014, 2013 and 2012 are presented in the table below. | |||||||||||||||||||||
Income Tax Expense (Benefit) | |||||||||||||||||||||
(Dollars in millions) | 2014 | 2013 | 2012 | ||||||||||||||||||
Current income tax expense | |||||||||||||||||||||
U.S. federal | $ | 443 | $ | 180 | $ | 458 | |||||||||||||||
U.S. state and local | 340 | 786 | 592 | ||||||||||||||||||
Non-U.S. | 513 | 513 | 569 | ||||||||||||||||||
Total current expense | 1,296 | 1,479 | 1,619 | ||||||||||||||||||
Deferred income tax expense (benefit) | |||||||||||||||||||||
U.S. federal | 583 | 2,056 | (3,433 | ) | |||||||||||||||||
U.S. state and local | 85 | (94 | ) | (55 | ) | ||||||||||||||||
Non-U.S. | 58 | 1,300 | 753 | ||||||||||||||||||
Total deferred expense (benefit) | 726 | 3,262 | (2,735 | ) | |||||||||||||||||
Total income tax expense (benefit) | $ | 2,022 | $ | 4,741 | $ | (1,116 | ) | ||||||||||||||
Total income tax expense (benefit) does not reflect the deferred tax effects of unrealized gains and losses on AFS debt and marketable equity securities, foreign currency translation adjustments, derivatives and employee benefit plan adjustments that are included in accumulated OCI. These tax effects resulted in an expense of $3.4 billion in 2014 and $1.3 billion in 2012, and a benefit of $2.7 billion in 2013, recorded in accumulated OCI. In addition, total income tax expense (benefit) does not reflect tax effects associated with the Corporation’s employee stock plans which decreased common stock and additional paid-in capital $35 million, $128 million and $277 million in 2014, 2013 and 2012, respectively. | |||||||||||||||||||||
Income tax expense (benefit) for 2014, 2013 and 2012 varied from the amount computed by applying the statutory income tax rate to income before income taxes. A reconciliation of the expected U.S. federal income tax expense, calculated by applying the federal statutory tax rate of 35 percent, to the Corporation’s actual income tax expense (benefit), and the effective tax rates for 2014, 2013 and 2012 are presented in the table below. | |||||||||||||||||||||
Reconciliation of Income Tax Expense (Benefit) | |||||||||||||||||||||
2014 | 2013 | 2012 | |||||||||||||||||||
(Dollars in millions) | Amount | Percent | Amount | Percent | Amount | Percent | |||||||||||||||
Expected U.S. federal income tax expense | $ | 2,399 | 35 | % | $ | 5,660 | 35 | % | $ | 1,075 | 35 | % | |||||||||
Increase (decrease) in taxes resulting from: | (0.001 | )% | (0.001 | )% | (0.001 | )% | |||||||||||||||
State tax expense, net of federal benefit | 276 | 4 | 450 | 2.8 | 349 | 11.4 | |||||||||||||||
Affordable housing credits/other credits | (950 | ) | (13.8 | ) | (863 | ) | (5.3 | ) | (783 | ) | (25.5 | ) | |||||||||
Changes in prior period UTBs, including interest | (741 | ) | (10.8 | ) | (255 | ) | (1.6 | ) | (198 | ) | (6.4 | ) | |||||||||
Tax-exempt income, including dividends | (533 | ) | (7.8 | ) | (524 | ) | (3.2 | ) | (576 | ) | (18.8 | ) | |||||||||
Non-U.S. tax rate differential (1) | (507 | ) | (7.4 | ) | (940 | ) | (5.8 | ) | (1,968 | ) | (64.1 | ) | |||||||||
Nondeductible expenses | 1,982 | 28.9 | 104 | 0.6 | 231 | 7.5 | |||||||||||||||
Leveraged lease tax differential | 53 | 0.8 | 26 | 0.2 | 83 | 2.7 | |||||||||||||||
Non-U.S. statutory rate reductions | — | — | 1,133 | 7 | 788 | 25.7 | |||||||||||||||
Other | 43 | 0.6 | (50 | ) | (0.4 | ) | (117 | ) | (3.8 | ) | |||||||||||
Total income tax expense (benefit) | $ | 2,022 | 29.5 | % | $ | 4,741 | 29.3 | % | $ | (1,116 | ) | (36.3 | )% | ||||||||
(1) | Includes in 2012, a $1.7 billion income tax benefit attributable to the excess of foreign tax credits recognized in the U.S. upon repatriation of the earnings of certain non-U.S. subsidiaries over the related U.S. tax liability. | ||||||||||||||||||||
The reconciliation of the beginning unrecognized tax benefits (UTB) balance to the ending balance is presented in the table below. | |||||||||||||||||||||
Reconciliation of the Change in Unrecognized Tax Benefits | |||||||||||||||||||||
(Dollars in millions) | 2014 | 2013 | 2012 | ||||||||||||||||||
Balance, January 1 | $ | 3,068 | $ | 3,677 | $ | 4,203 | |||||||||||||||
Increases related to positions taken during the current year | 75 | 98 | 352 | ||||||||||||||||||
Increases related to positions taken during prior years (1) | 519 | 254 | 142 | ||||||||||||||||||
Decreases related to positions taken during prior years (1) | (973 | ) | (508 | ) | (711 | ) | |||||||||||||||
Settlements | (1,594 | ) | (448 | ) | (205 | ) | |||||||||||||||
Expiration of statute of limitations | (27 | ) | (5 | ) | (104 | ) | |||||||||||||||
Balance, December 31 | $ | 1,068 | $ | 3,068 | $ | 3,677 | |||||||||||||||
(1) | The sum per year of positions taken during prior years differs from the $741 million, $255 million and $198 million in the Reconciliation of Income Tax Expense (Benefit) table due to temporary items, state items and jurisdictional offsets, as well as the inclusion of interest in the Reconciliation of Income Tax Expense (Benefit) table. | ||||||||||||||||||||
At December 31, 2014, 2013 and 2012, the balance of the Corporation’s UTBs which would, if recognized, affect the Corporation’s effective tax rate was $0.7 billion, $2.5 billion and $3.1 billion, respectively. Included in the UTB balance are some items the recognition of which would not affect the effective tax rate, such as the tax effect of certain temporary differences, the portion of gross state UTBs that would be offset by the tax benefit of the associated federal deduction and the portion of gross non-U.S. UTBs that would be offset by tax reductions in other jurisdictions. | |||||||||||||||||||||
The Corporation files income tax returns in more than 100 state and non-U.S. jurisdictions each year. The IRS and other tax authorities in countries and states in which the Corporation has significant business operations examine tax returns periodically (continuously in some jurisdictions). The Tax Examination Status table summarizes the status of significant examinations (U.S. federal unless otherwise noted) for the Corporation and various subsidiaries as of December 31, 2014. | |||||||||||||||||||||
Tax Examination Status | |||||||||||||||||||||
Years under | Status at December 31 2014 | ||||||||||||||||||||
Examination | |||||||||||||||||||||
U.S. (1) | 2010 – 2011 | IRS Appeals | |||||||||||||||||||
U.S. | 2012 – 2013 | Field examination | |||||||||||||||||||
New York | 2008 – 2012 | Field examination | |||||||||||||||||||
U.K. | 2012 | Field examination | |||||||||||||||||||
(1) | Field examination completed during 2014. The Corporation filed a protest related to certain adjustments with the IRS administrative appeals division. | ||||||||||||||||||||
During 2014, the Corporation settled and effectively resolved the federal examinations related to years 2005 through 2009 and all open Merrill Lynch years through 2008, as well as various state and local examinations for multiple years. | |||||||||||||||||||||
It is reasonably possible that the UTB balance may decrease by as much as $0.4 billion during the next 12 months, since resolved items will be removed from the balance whether their resolution results in payment or recognition. | |||||||||||||||||||||
During 2014, 2013 and 2012, the Corporation recognized a benefit of $196 million and expense of $127 million and $99 million, respectively, for interest and penalties, net-of-tax, in income tax expense. At December 31, 2014 and 2013, the Corporation’s accrual for interest and penalties that related to income taxes, net of taxes and remittances, was $455 million and $888 million. | |||||||||||||||||||||
Significant components of the Corporation’s net deferred tax assets and liabilities at December 31, 2014 and 2013 are presented in the table below. | |||||||||||||||||||||
Deferred Tax Assets and Liabilities | |||||||||||||||||||||
31-Dec | |||||||||||||||||||||
(Dollars in millions) | 2014 | 2013 | |||||||||||||||||||
Deferred tax assets | |||||||||||||||||||||
Net operating loss carryforwards | $ | 9,787 | $ | 10,967 | |||||||||||||||||
Accrued expenses | 5,916 | 6,749 | |||||||||||||||||||
Tax credit carryforwards | 5,614 | 9,689 | |||||||||||||||||||
Security, loan and debt valuations | 5,190 | 4,264 | |||||||||||||||||||
Allowance for credit losses | 5,047 | 6,100 | |||||||||||||||||||
Employee compensation and retirement benefits | 3,665 | 2,729 | |||||||||||||||||||
State income taxes | 2,034 | 2,643 | |||||||||||||||||||
Available-for-sale securities | — | 1,918 | |||||||||||||||||||
Other | 1,688 | 722 | |||||||||||||||||||
Gross deferred tax assets | 38,941 | 45,781 | |||||||||||||||||||
Valuation allowance | (1,111 | ) | (1,940 | ) | |||||||||||||||||
Total deferred tax assets, net of valuation allowance | 37,830 | 43,841 | |||||||||||||||||||
Deferred tax liabilities | |||||||||||||||||||||
Equipment lease financing | 2,880 | 3,106 | |||||||||||||||||||
Intangibles | 1,349 | 1,529 | |||||||||||||||||||
Mortgage servicing rights | 1,041 | 1,547 | |||||||||||||||||||
Available-for-sale securities | 828 | — | |||||||||||||||||||
Fee income | 816 | 798 | |||||||||||||||||||
Long-term borrowings | 587 | 3,033 | |||||||||||||||||||
Other | 2,075 | 1,472 | |||||||||||||||||||
Gross deferred tax liabilities | 9,576 | 11,485 | |||||||||||||||||||
Net deferred tax assets | $ | 28,254 | $ | 32,356 | |||||||||||||||||
The table below summarizes the deferred tax assets and related valuation allowances recognized for the net operating loss (NOL) and tax credit carryforwards at December 31, 2014. | |||||||||||||||||||||
Net Operating Loss and Tax Credit Carryforward Deferred Tax Assets | |||||||||||||||||||||
(Dollars in millions) | Deferred | Valuation | Net | First Year | |||||||||||||||||
Tax Asset | Allowance | Deferred | Expiring | ||||||||||||||||||
Tax Asset | |||||||||||||||||||||
Net operating losses – U.S. | $ | 3,065 | $ | — | $ | 3,065 | After 2027 | ||||||||||||||
Net operating losses – U.K. | 6,276 | — | 6,276 | None (1) | |||||||||||||||||
Net operating losses – other non-U.S. | 446 | (316 | ) | 130 | Various | ||||||||||||||||
Net operating losses – U.S. states (2) | 1,168 | (460 | ) | 708 | Various | ||||||||||||||||
General business credits | 3,383 | — | 3,383 | After 2029 | |||||||||||||||||
Foreign tax credits | 2,231 | (68 | ) | 2,163 | After 2022 | ||||||||||||||||
(1) | The U.K. net operating losses may be carried forward indefinitely. | ||||||||||||||||||||
(2) | The net operating losses and related valuation allowances for U.S. states before considering the benefit of federal deductions were $1.8 billion and $708 million. | ||||||||||||||||||||
Management concluded that no valuation allowance was necessary to reduce the U.K. NOL carryforwards and U.S. NOL and general business credit carryforwards since estimated future taxable income will be sufficient to utilize these assets prior to their expiration. The majority of the Corporation’s U.K. net deferred tax assets, which consist primarily of NOLs, are expected to be realized by certain subsidiaries over an extended number of years. Management’s conclusion is supported by financial results and forecasts, the reorganization of certain business activities and the indefinite period to carry forward NOLs. However, significant changes to those estimates, such as changes that would be caused by a substantial and prolonged worsening of the condition of Europe’s capital markets, or a change in applicable laws, could lead management to reassess its U.K. valuation allowance conclusions. | |||||||||||||||||||||
At December 31, 2014, U.S. federal income taxes had not been provided on $17.2 billion of undistributed earnings of non-U.S. subsidiaries that management has determined have been reinvested for an indefinite period of time. If the Corporation were to record a deferred tax liability associated with these undistributed earnings, the amount would be approximately $4.5 billion at December 31, 2014. |
Fair_Value_Measurements
Fair Value Measurements | 12 Months Ended | ||||||||||||||||||||||||||||||
Dec. 31, 2014 | |||||||||||||||||||||||||||||||
Fair Value Disclosures [Abstract] | |||||||||||||||||||||||||||||||
Fair Value Measurements | Fair Value Measurements | ||||||||||||||||||||||||||||||
Under applicable accounting guidance, fair value is defined as the exchange price that would be received for an asset or paid to transfer a liability (an exit price) in the principal or most advantageous market for the asset or liability in an orderly transaction between market participants on the measurement date. The Corporation determines the fair values of its financial instruments based on the fair value hierarchy established under applicable accounting guidance which requires an entity to maximize the use of observable inputs and minimize the use of unobservable inputs when measuring fair value. There are three levels of inputs used to measure fair value. The Corporation conducts a review of its fair value hierarchy classifications on a quarterly basis. Transfers into or out of fair value hierarchy classifications are made if the significant inputs used in the financial models measuring the fair values of the assets and liabilities became unobservable or observable, respectively, in the current marketplace. These transfers are considered to be effective as of the beginning of the quarter in which they occur. For more information regarding the fair value hierarchy and how the Corporation measures fair value, see Note 1 – Summary of Significant Accounting Principles. The Corporation accounts for certain financial instruments under the fair value option. For additional information, see Note 21 – Fair Value Option. | |||||||||||||||||||||||||||||||
Valuation Processes and Techniques | |||||||||||||||||||||||||||||||
The Corporation has various processes and controls in place to ensure that fair value is reasonably estimated. A model validation policy governs the use and control of valuation models used to estimate fair value. This policy requires review and approval of models by personnel who are independent of the front office, and periodic reassessments of models to ensure that they are continuing to perform as designed. In addition, detailed reviews of trading gains and losses are conducted on a daily basis by personnel who are independent of the front office. A price verification group, which is also independent of the front office, utilizes available market information including executed trades, market prices and market-observable valuation model inputs to ensure that fair values are reasonably estimated. The Corporation performs due diligence procedures over third-party pricing service providers in order to support their use in the valuation process. Where market information is not available to support internal valuations, independent reviews of the valuations are performed and any material exposures are escalated through a management review process. | |||||||||||||||||||||||||||||||
While the Corporation believes its valuation methods are appropriate and consistent with other market participants, the use of different methodologies or assumptions to determine the fair value of certain financial instruments could result in a different estimate of fair value at the reporting date. | |||||||||||||||||||||||||||||||
During 2014, except for the adoption of FVA, there were no changes to the valuation techniques that had, or are expected to have, a material impact on the Corporation’s consolidated financial position or results of operations. | |||||||||||||||||||||||||||||||
Level 1, 2 and 3 Valuation Techniques | |||||||||||||||||||||||||||||||
Financial instruments are considered Level 1 when the valuation is based on quoted prices in active markets for identical assets or liabilities. Level 2 financial instruments are valued using quoted prices for similar assets or liabilities, quoted prices in markets that are not active, or models using inputs that are observable or can be corroborated by observable market data for substantially the full term of the assets or liabilities. Financial instruments are considered Level 3 when their values are determined using pricing models, discounted cash flow methodologies or similar techniques, and at least one significant model assumption or input is unobservable and when determination of the fair value requires significant management judgment or estimation. | |||||||||||||||||||||||||||||||
Trading Account Assets and Liabilities and Debt Securities | |||||||||||||||||||||||||||||||
The fair values of trading account assets and liabilities are primarily based on actively traded markets where prices are based on either direct market quotes or observed transactions. The fair values of debt securities are generally based on quoted market prices or market prices for similar assets. Liquidity is a significant factor in the determination of the fair values of trading account assets and liabilities and debt securities. Market price quotes may not be readily available for some positions, or positions within a market sector where trading activity has slowed significantly or ceased. Some of these instruments are valued using a discounted cash flow model, which estimates the fair value of the securities using internal credit risk, interest rate and prepayment risk models that incorporate management’s best estimate of current key assumptions such as default rates, loss severity and prepayment rates. Principal and interest cash flows are discounted using an observable discount rate for similar instruments with adjustments that management believes a market participant would consider in determining fair value for the specific security. Other instruments are valued using a net asset value approach which considers the value of the underlying securities. Underlying assets are valued using external pricing services, where available, or matrix pricing based on the vintages and ratings. Situations of illiquidity generally are triggered by the market’s perception of credit uncertainty regarding a single company or a specific market sector. In these instances, fair value is determined based on limited available market information and other factors, principally from reviewing the issuer’s financial statements and changes in credit ratings made by one or more rating agencies. | |||||||||||||||||||||||||||||||
Derivative Assets and Liabilities | |||||||||||||||||||||||||||||||
The fair values of derivative assets and liabilities traded in the OTC market are determined using quantitative models that utilize multiple market inputs including interest rates, prices and indices to generate continuous yield or pricing curves and volatility factors to value the position. The majority of market inputs are actively quoted and can be validated through external sources, including brokers, market transactions and third-party pricing services. When third-party pricing services are used, the methods and assumptions are reviewed by the Corporation. Estimation risk is greater for derivative asset and liability positions that are either option-based or have longer maturity dates where observable market inputs are less readily available, or are unobservable, in which case, quantitative-based extrapolations of rate, price or index scenarios are used in determining fair values. The fair values of derivative assets and liabilities include adjustments for market liquidity, counterparty credit quality and other instrument-specific factors, where appropriate. In addition, the Corporation incorporates within its fair value measurements of OTC derivatives a valuation adjustment to reflect the credit risk associated with the net position. Positions are netted by counterparty, and fair value for net long exposures is adjusted for counterparty credit risk while the fair value for net short exposures is adjusted for the Corporation’s own credit risk. The Corporation also incorporates FVA within its fair value measurements to include funding costs on uncollateralized derivatives and derivatives where the Corporation is not permitted to use the collateral it receives. An estimate of severity of loss is also used in the determination of fair value, primarily based on market data. | |||||||||||||||||||||||||||||||
Loans and Loan Commitments | |||||||||||||||||||||||||||||||
The fair values of loans and loan commitments are based on market prices, where available, or discounted cash flow analyses using market-based credit spreads of comparable debt instruments or credit derivatives of the specific borrower or comparable borrowers. Results of discounted cash flow analyses may be adjusted, as appropriate, to reflect other market conditions or the perceived credit risk of the borrower. | |||||||||||||||||||||||||||||||
Mortgage Servicing Rights | |||||||||||||||||||||||||||||||
The fair values of MSRs are determined using models that rely on estimates of prepayment rates, the resultant weighted-average lives of the MSRs and the option-adjusted spread levels. For more information on MSRs, see Note 23 – Mortgage Servicing Rights. | |||||||||||||||||||||||||||||||
Loans Held-for-sale | |||||||||||||||||||||||||||||||
The fair values of LHFS are based on quoted market prices, where available, or are determined by discounting estimated cash flows using interest rates approximating the Corporation’s current origination rates for similar loans adjusted to reflect the inherent credit risk. The borrower-specific credit risk is embedded within the quoted market prices or is implied by considering loan performance when selecting comparables. | |||||||||||||||||||||||||||||||
Private Equity Investments | |||||||||||||||||||||||||||||||
Private equity investments consist of direct investments and fund investments which are initially valued at their transaction price. Thereafter, the fair value of direct investments is based on an assessment of each individual investment using methodologies that include publicly-traded comparables derived by multiplying a key performance metric (e.g., earnings before interest, taxes, depreciation and amortization) of the portfolio company by the relevant valuation multiple observed for comparable companies, acquisition comparables, entry level multiples and discounted cash flow analyses, and are subject to appropriate discounts for lack of liquidity or marketability. After initial recognition, the fair value of fund investments is based on the Corporation’s proportionate interest in the fund’s capital as reported by the respective fund managers. | |||||||||||||||||||||||||||||||
Short-term Borrowings and Long-term Debt | |||||||||||||||||||||||||||||||
The Corporation issues structured liabilities that have coupons or repayment terms linked to the performance of debt or equity securities, indices, currencies or commodities. The fair values of these structured liabilities are estimated using quantitative models for the combined derivative and debt portions of the notes. These models incorporate observable and, in some instances, unobservable inputs including security prices, interest rate yield curves, option volatility, currency, commodity or equity rates and correlations among these inputs. The Corporation also considers the impact of its own credit spreads in determining the discount rate used to value these liabilities. The credit spread is determined by reference to observable spreads in the secondary bond market. | |||||||||||||||||||||||||||||||
Securities Financing Agreements | |||||||||||||||||||||||||||||||
The fair values of certain reverse repurchase agreements, repurchase agreements and securities borrowed transactions are determined using quantitative models, including discounted cash flow models that require the use of multiple market inputs including interest rates and spreads to generate continuous yield or pricing curves, and volatility factors. The majority of market inputs are actively quoted and can be validated through external sources, including brokers, market transactions and third-party pricing services. | |||||||||||||||||||||||||||||||
Deposits | |||||||||||||||||||||||||||||||
The fair values of deposits are determined using quantitative models, including discounted cash flow models that require the use of multiple market inputs including interest rates and spreads to generate continuous yield or pricing curves, and volatility factors. The majority of market inputs are actively quoted and can be validated through external sources, including brokers, market transactions and third-party pricing services. The Corporation considers the impact of its own credit spreads in the valuation of these liabilities. The credit risk is determined by reference to observable credit spreads in the secondary cash market. | |||||||||||||||||||||||||||||||
Asset-backed Secured Financings | |||||||||||||||||||||||||||||||
The fair values of asset-backed secured financings are based on external broker bids, where available, or are determined by discounting estimated cash flows using interest rates approximating the Corporation’s current origination rates for similar loans adjusted to reflect the inherent credit risk. | |||||||||||||||||||||||||||||||
Recurring Fair Value | |||||||||||||||||||||||||||||||
Assets and liabilities carried at fair value on a recurring basis at December 31, 2014 and 2013, including financial instruments which the Corporation accounts for under the fair value option, are summarized in the following tables. | |||||||||||||||||||||||||||||||
December 31, 2014 | |||||||||||||||||||||||||||||||
Fair Value Measurements | |||||||||||||||||||||||||||||||
(Dollars in millions) | Level 1 | Level 2 | Level 3 | Netting Adjustments (1) | Assets/Liabilities at Fair Value | ||||||||||||||||||||||||||
Assets | |||||||||||||||||||||||||||||||
Federal funds sold and securities borrowed or purchased under agreements to resell | $ | — | $ | 62,182 | $ | — | $ | — | $ | 62,182 | |||||||||||||||||||||
Trading account assets: | |||||||||||||||||||||||||||||||
U.S. government and agency securities (2) | 33,470 | 17,549 | — | — | 51,019 | ||||||||||||||||||||||||||
Corporate securities, trading loans and other | 243 | 31,699 | 3,270 | — | 35,212 | ||||||||||||||||||||||||||
Equity securities | 33,518 | 22,488 | 352 | — | 56,358 | ||||||||||||||||||||||||||
Non-U.S. sovereign debt | 20,348 | 15,332 | 574 | — | 36,254 | ||||||||||||||||||||||||||
Mortgage trading loans and ABS | — | 10,879 | 2,063 | — | 12,942 | ||||||||||||||||||||||||||
Total trading account assets | 87,579 | 97,947 | 6,259 | — | 191,785 | ||||||||||||||||||||||||||
Derivative assets (3) | 4,957 | 972,977 | 6,851 | (932,103 | ) | 52,682 | |||||||||||||||||||||||||
AFS debt securities: | |||||||||||||||||||||||||||||||
U.S. Treasury and agency securities | 67,413 | 2,182 | — | — | 69,595 | ||||||||||||||||||||||||||
Mortgage-backed securities: | |||||||||||||||||||||||||||||||
Agency | — | 165,039 | — | — | 165,039 | ||||||||||||||||||||||||||
Agency-collateralized mortgage obligations | — | 14,248 | — | — | 14,248 | ||||||||||||||||||||||||||
Non-agency residential | — | 4,175 | 279 | — | 4,454 | ||||||||||||||||||||||||||
Commercial | — | 4,000 | — | — | 4,000 | ||||||||||||||||||||||||||
Non-U.S. securities | 3,191 | 3,029 | 10 | — | 6,230 | ||||||||||||||||||||||||||
Corporate/Agency bonds | — | 368 | — | — | 368 | ||||||||||||||||||||||||||
Other taxable securities | 20 | 9,104 | 1,667 | — | 10,791 | ||||||||||||||||||||||||||
Tax-exempt securities | — | 8,950 | 599 | — | 9,549 | ||||||||||||||||||||||||||
Total AFS debt securities | 70,624 | 211,095 | 2,555 | — | 284,274 | ||||||||||||||||||||||||||
Other debt securities carried at fair value: | |||||||||||||||||||||||||||||||
U.S. Treasury and agency securities | 1,541 | — | — | — | 1,541 | ||||||||||||||||||||||||||
Mortgage-backed securities: | |||||||||||||||||||||||||||||||
Agency | — | 15,704 | — | — | 15,704 | ||||||||||||||||||||||||||
Non-agency residential | — | 3,745 | — | — | 3,745 | ||||||||||||||||||||||||||
Non-U.S. securities | 13,270 | 1,862 | — | — | 15,132 | ||||||||||||||||||||||||||
Other taxable securities | — | 299 | — | — | 299 | ||||||||||||||||||||||||||
Total other debt securities carried at fair value | 14,811 | 21,610 | — | — | 36,421 | ||||||||||||||||||||||||||
Loans and leases | — | 6,698 | 1,983 | — | 8,681 | ||||||||||||||||||||||||||
Mortgage servicing rights | — | — | 3,530 | — | 3,530 | ||||||||||||||||||||||||||
Loans held-for-sale | — | 6,628 | 173 | — | 6,801 | ||||||||||||||||||||||||||
Other assets | 11,581 | 1,381 | 911 | — | 13,873 | ||||||||||||||||||||||||||
Total assets (4) | $ | 189,552 | $ | 1,380,518 | $ | 22,262 | $ | (932,103 | ) | $ | 660,229 | ||||||||||||||||||||
Liabilities | |||||||||||||||||||||||||||||||
Interest-bearing deposits in U.S. offices | $ | — | $ | 1,469 | $ | — | $ | — | $ | 1,469 | |||||||||||||||||||||
Federal funds purchased and securities loaned or sold under agreements to repurchase | — | 35,357 | — | — | 35,357 | ||||||||||||||||||||||||||
Trading account liabilities: | |||||||||||||||||||||||||||||||
U.S. government and agency securities | 18,514 | 446 | — | — | 18,960 | ||||||||||||||||||||||||||
Equity securities | 24,679 | 3,670 | — | — | 28,349 | ||||||||||||||||||||||||||
Non-U.S. sovereign debt | 16,089 | 3,625 | — | — | 19,714 | ||||||||||||||||||||||||||
Corporate securities and other | 189 | 6,944 | 36 | — | 7,169 | ||||||||||||||||||||||||||
Total trading account liabilities | 59,471 | 14,685 | 36 | — | 74,192 | ||||||||||||||||||||||||||
Derivative liabilities (3) | 4,493 | 969,502 | 7,771 | (934,857 | ) | 46,909 | |||||||||||||||||||||||||
Short-term borrowings | — | 2,697 | — | — | 2,697 | ||||||||||||||||||||||||||
Accrued expenses and other liabilities | 10,795 | 1,250 | 10 | — | 12,055 | ||||||||||||||||||||||||||
Long-term debt | — | 34,042 | 2,362 | — | 36,404 | ||||||||||||||||||||||||||
Total liabilities (4) | $ | 74,759 | $ | 1,059,002 | $ | 10,179 | $ | (934,857 | ) | $ | 209,083 | ||||||||||||||||||||
(1) | Amounts represent the impact of legally enforceable master netting agreements and also cash collateral held or placed with the same counterparties. | ||||||||||||||||||||||||||||||
(2) | Includes $17.2 billion of government-sponsored enterprise obligations. | ||||||||||||||||||||||||||||||
(3) | For further disaggregation of derivative assets and liabilities, see Note 2 – Derivatives. | ||||||||||||||||||||||||||||||
(4) | During 2014, the Corporation reclassified certain assets and liabilities within its fair value hierarchy based on a review of its inputs used to measure fair value. Accordingly, approximately $4.1 billion of assets related to U.S. government and agency securities, non-U.S. government securities and equity derivatives, and $570 million of liabilities related to equity derivatives were transferred from Level 1 to Level 2. | ||||||||||||||||||||||||||||||
December 31, 2013 | |||||||||||||||||||||||||||||||
Fair Value Measurements | |||||||||||||||||||||||||||||||
(Dollars in millions) | Level 1 | Level 2 | Level 3 | Netting Adjustments (1) | Assets/Liabilities at Fair Value | ||||||||||||||||||||||||||
Assets | |||||||||||||||||||||||||||||||
Federal funds sold and securities borrowed or purchased under agreements to resell | $ | — | $ | 68,656 | $ | — | $ | — | $ | 68,656 | |||||||||||||||||||||
Trading account assets: | |||||||||||||||||||||||||||||||
U.S. government and agency securities (2) | 34,222 | 14,625 | — | — | 48,847 | ||||||||||||||||||||||||||
Corporate securities, trading loans and other | 1,147 | 27,746 | 3,559 | — | 32,452 | ||||||||||||||||||||||||||
Equity securities | 41,324 | 22,741 | 386 | — | 64,451 | ||||||||||||||||||||||||||
Non-U.S. sovereign debt | 24,357 | 12,399 | 468 | — | 37,224 | ||||||||||||||||||||||||||
Mortgage trading loans and ABS | — | 13,388 | 4,631 | — | 18,019 | ||||||||||||||||||||||||||
Total trading account assets | 101,050 | 90,899 | 9,044 | — | 200,993 | ||||||||||||||||||||||||||
Derivative assets (3) | 2,374 | 910,602 | 7,277 | (872,758 | ) | 47,495 | |||||||||||||||||||||||||
AFS debt securities: | |||||||||||||||||||||||||||||||
U.S. Treasury and agency securities | 6,591 | 2,363 | — | — | 8,954 | ||||||||||||||||||||||||||
Mortgage-backed securities: | |||||||||||||||||||||||||||||||
Agency | — | 164,935 | — | — | 164,935 | ||||||||||||||||||||||||||
Agency-collateralized mortgage obligations | — | 22,492 | — | — | 22,492 | ||||||||||||||||||||||||||
Non-agency residential | — | 6,239 | — | — | 6,239 | ||||||||||||||||||||||||||
Commercial | — | 2,480 | — | — | 2,480 | ||||||||||||||||||||||||||
Non-U.S. securities | 3,698 | 3,415 | 107 | — | 7,220 | ||||||||||||||||||||||||||
Corporate/Agency bonds | — | 873 | — | — | 873 | ||||||||||||||||||||||||||
Other taxable securities | 20 | 12,963 | 3,847 | — | 16,830 | ||||||||||||||||||||||||||
Tax-exempt securities | — | 5,122 | 806 | — | 5,928 | ||||||||||||||||||||||||||
Total AFS debt securities | 10,309 | 220,882 | 4,760 | — | 235,951 | ||||||||||||||||||||||||||
Other debt securities carried at fair value: | |||||||||||||||||||||||||||||||
U.S. Treasury and agency securities | 4,062 | — | — | — | 4,062 | ||||||||||||||||||||||||||
Mortgage-backed securities: | |||||||||||||||||||||||||||||||
Agency | — | 16,500 | — | — | 16,500 | ||||||||||||||||||||||||||
Agency-collateralized mortgage obligations | — | 218 | — | — | 218 | ||||||||||||||||||||||||||
Commercial | — | 749 | — | — | 749 | ||||||||||||||||||||||||||
Non-U.S. securities | 7,457 | 3,858 | — | — | 11,315 | ||||||||||||||||||||||||||
Total other debt securities carried at fair value | 11,519 | 21,325 | — | — | 32,844 | ||||||||||||||||||||||||||
Loans and leases | — | 6,985 | 3,057 | — | 10,042 | ||||||||||||||||||||||||||
Mortgage servicing rights | — | — | 5,042 | — | 5,042 | ||||||||||||||||||||||||||
Loans held-for-sale | — | 5,727 | 929 | — | 6,656 | ||||||||||||||||||||||||||
Other assets | 14,474 | 1,912 | 1,669 | — | 18,055 | ||||||||||||||||||||||||||
Total assets (4) | $ | 139,726 | $ | 1,326,988 | $ | 31,778 | $ | (872,758 | ) | $ | 625,734 | ||||||||||||||||||||
Liabilities | |||||||||||||||||||||||||||||||
Interest-bearing deposits in U.S. offices | $ | — | $ | 1,899 | $ | — | $ | — | $ | 1,899 | |||||||||||||||||||||
Federal funds purchased and securities loaned or sold under agreements to repurchase | — | 26,500 | — | — | 26,500 | ||||||||||||||||||||||||||
Trading account liabilities: | |||||||||||||||||||||||||||||||
U.S. government and agency securities | 26,915 | 348 | — | — | 27,263 | ||||||||||||||||||||||||||
Equity securities | 23,874 | 3,711 | — | — | 27,585 | ||||||||||||||||||||||||||
Non-U.S. sovereign debt | 20,755 | 1,387 | — | — | 22,142 | ||||||||||||||||||||||||||
Corporate securities and other | 518 | 5,926 | 35 | — | 6,479 | ||||||||||||||||||||||||||
Total trading account liabilities | 72,062 | 11,372 | 35 | — | 83,469 | ||||||||||||||||||||||||||
Derivative liabilities (3) | 1,968 | 896,907 | 7,501 | (868,969 | ) | 37,407 | |||||||||||||||||||||||||
Short-term borrowings | — | 1,520 | — | — | 1,520 | ||||||||||||||||||||||||||
Accrued expenses and other liabilities | 10,130 | 1,093 | 10 | — | 11,233 | ||||||||||||||||||||||||||
Long-term debt | — | 45,045 | 1,990 | — | 47,035 | ||||||||||||||||||||||||||
Total liabilities (4) | $ | 84,160 | $ | 984,336 | $ | 9,536 | $ | (868,969 | ) | $ | 209,063 | ||||||||||||||||||||
(1) | Amounts represent the impact of legally enforceable master netting agreements and also cash collateral held or placed with the same counterparties. | ||||||||||||||||||||||||||||||
(2) | Includes $15.6 billion of government-sponsored enterprise obligations. | ||||||||||||||||||||||||||||||
(3) | For further disaggregation of derivative assets and liabilities, see Note 2 – Derivatives. | ||||||||||||||||||||||||||||||
(4) | During 2013, $500 million of other assets were transferred from Level 1 to Level 2 primarily due to a restriction that became effective for a private equity investment that was subsequently sold once the restriction was lifted. | ||||||||||||||||||||||||||||||
The following tables present a reconciliation of all assets and liabilities measured at fair value on a recurring basis using significant unobservable inputs (Level 3) during 2014, 2013 and 2012, including net realized and unrealized gains (losses) included in earnings and accumulated OCI. | |||||||||||||||||||||||||||||||
Level 3 – Fair Value Measurements (1) | |||||||||||||||||||||||||||||||
2014 | |||||||||||||||||||||||||||||||
Gross | |||||||||||||||||||||||||||||||
(Dollars in millions) | Balance | Gains | Gains | Purchases | Sales | Issuances | Settlements | Gross | Gross | Balance | |||||||||||||||||||||
1-Jan | (Losses) | (Losses) | Transfers | Transfers | 31-Dec | ||||||||||||||||||||||||||
2014 | in Earnings | in OCI | into | out of | 2014 | ||||||||||||||||||||||||||
Level 3 | Level 3 | ||||||||||||||||||||||||||||||
Trading account assets: | |||||||||||||||||||||||||||||||
U.S. government and agency securities | $ | — | $ | — | $ | — | $ | 87 | $ | (87 | ) | $ | — | $ | — | $ | — | $ | — | $ | — | ||||||||||
Corporate securities, trading loans and other | 3,559 | 180 | — | 1,675 | (857 | ) | — | (938 | ) | 1,275 | (1,624 | ) | 3,270 | ||||||||||||||||||
Equity securities | 386 | — | — | 104 | (86 | ) | — | (16 | ) | 146 | (182 | ) | 352 | ||||||||||||||||||
Non-U.S. sovereign debt | 468 | 30 | — | 120 | (34 | ) | — | (19 | ) | 11 | (2 | ) | 574 | ||||||||||||||||||
Mortgage trading loans and ABS | 4,631 | 199 | — | 1,643 | (1,259 | ) | — | (585 | ) | 39 | (2,605 | ) | 2,063 | ||||||||||||||||||
Total trading account assets | 9,044 | 409 | — | 3,629 | (2,323 | ) | — | (1,558 | ) | 1,471 | (4,413 | ) | 6,259 | ||||||||||||||||||
Net derivative assets (2) | (224 | ) | 463 | — | 823 | (1,738 | ) | — | (432 | ) | 28 | 160 | (920 | ) | |||||||||||||||||
AFS debt securities: | |||||||||||||||||||||||||||||||
Non-agency residential MBS | — | (2 | ) | — | 11 | — | — | — | 270 | — | 279 | ||||||||||||||||||||
Non-U.S. securities | 107 | (7 | ) | (11 | ) | 241 | — | — | (147 | ) | — | (173 | ) | 10 | |||||||||||||||||
Corporate/Agency bonds | — | — | — | — | — | — | — | 93 | (93 | ) | — | ||||||||||||||||||||
Other taxable securities | 3,847 | 9 | (8 | ) | 154 | — | — | (1,381 | ) | — | (954 | ) | 1,667 | ||||||||||||||||||
Tax-exempt securities | 806 | 8 | — | — | (16 | ) | — | (235 | ) | 36 | — | 599 | |||||||||||||||||||
Total AFS debt securities | 4,760 | 8 | (19 | ) | 406 | (16 | ) | — | (1,763 | ) | 399 | (1,220 | ) | 2,555 | |||||||||||||||||
Loans and leases (3, 4) | 3,057 | 69 | — | — | (3 | ) | 699 | (1,591 | ) | 25 | (273 | ) | 1,983 | ||||||||||||||||||
Mortgage servicing rights (4) | 5,042 | (1,231 | ) | — | — | (61 | ) | 707 | (927 | ) | — | — | 3,530 | ||||||||||||||||||
Loans held-for-sale (3) | 929 | 45 | — | 59 | (725 | ) | 23 | (216 | ) | 83 | (25 | ) | 173 | ||||||||||||||||||
Other assets (5) | 1,669 | (98 | ) | — | — | (430 | ) | — | (245 | ) | 39 | (24 | ) | 911 | |||||||||||||||||
Trading account liabilities – Corporate securities and other | (35 | ) | 1 | — | 10 | (13 | ) | — | — | (9 | ) | 10 | (36 | ) | |||||||||||||||||
Accrued expenses and other liabilities (3) | (10 | ) | 2 | — | — | — | (3 | ) | — | — | 1 | (10 | ) | ||||||||||||||||||
Long-term debt (3) | (1,990 | ) | 49 | — | 169 | — | (615 | ) | 540 | (1,581 | ) | 1,066 | (2,362 | ) | |||||||||||||||||
(1) | Assets (liabilities). For assets, increase (decrease) to Level 3 and for liabilities, (increase) decrease to Level 3. | ||||||||||||||||||||||||||||||
(2) | Net derivatives include derivative assets of $6.9 billion and derivative liabilities of $7.8 billion. | ||||||||||||||||||||||||||||||
(3) | Amounts represent instruments that are accounted for under the fair value option. | ||||||||||||||||||||||||||||||
(4) | Issuances represent loan originations and mortgage servicing rights retained following securitizations or whole-loan sales. | ||||||||||||||||||||||||||||||
(5) | Other assets is primarily comprised of private equity investments and certain long-term fixed-rate margin loans that are accounted for under the fair value option. | ||||||||||||||||||||||||||||||
During 2014, the transfers into Level 3 included $1.5 billion of trading account assets, $399 million of AFS debt securities and $1.6 billion of long-term debt. Transfers into Level 3 for trading account assets were primarily the result of decreased availability of third-party prices for certain corporate loans and securities. Transfers into Level 3 for AFS debt securities were primarily due to decreased price observability related to municipal auction rate securities (ARS). Transfers into Level 3 for long-term debt were primarily due to changes in the impact of unobservable inputs on the value of certain structured liabilities. Transfers occur on a regular basis for these long-term debt instruments due to changes in the impact of unobservable inputs on the value of the embedded derivative in relation to the instrument as a whole. | |||||||||||||||||||||||||||||||
During 2014, the transfers out of Level 3 included $4.4 billion of trading account assets, $160 million of net derivative assets, $1.2 billion of AFS debt securities, $273 million of loans and leases and $1.1 billion of long-term debt. Transfers out of Level 3 for trading account assets were primarily the result of increased market liquidity and price observability on certain CLOs. Transfers out of Level 3 for net derivative assets were primarily due to increased price observability for certain equity derivatives. Transfers out of Level 3 for AFS debt securities were primarily due to increased price observability on certain CLOs. Transfers out of Level 3 for loans and leases were primarily due to increased price observability. Transfers out of Level 3 for long-term debt were primarily due to changes in the impact of unobservable inputs on the value of certain structured liabilities. | |||||||||||||||||||||||||||||||
Level 3 – Fair Value Measurements (1) | |||||||||||||||||||||||||||||||
2013 | |||||||||||||||||||||||||||||||
Gross | |||||||||||||||||||||||||||||||
(Dollars in millions) | Balance | Gains | Gains | Purchases | Sales | Issuances | Settlements | Gross | Gross | Balance | |||||||||||||||||||||
January 1 | (Losses) | (Losses) | Transfers | Transfers | December 31 | ||||||||||||||||||||||||||
2013 | in Earnings | in OCI | into | out of | 2013 | ||||||||||||||||||||||||||
Level 3 | Level 3 | ||||||||||||||||||||||||||||||
Trading account assets: | |||||||||||||||||||||||||||||||
Corporate securities, trading loans and other | $ | 3,726 | $ | 242 | $ | — | $ | 3,848 | $ | (3,110 | ) | $ | 59 | $ | (651 | ) | $ | 890 | $ | (1,445 | ) | $ | 3,559 | ||||||||
Equity securities | 545 | 74 | — | 96 | (175 | ) | — | (100 | ) | 70 | (124 | ) | 386 | ||||||||||||||||||
Non-U.S. sovereign debt | 353 | 50 | — | 122 | (18 | ) | — | (36 | ) | 2 | (5 | ) | 468 | ||||||||||||||||||
Mortgage trading loans and ABS | 4,935 | 53 | — | 2,514 | (1,993 | ) | — | (868 | ) | 20 | (30 | ) | 4,631 | ||||||||||||||||||
Total trading account assets | 9,559 | 419 | — | 6,580 | (5,296 | ) | 59 | (1,655 | ) | 982 | (1,604 | ) | 9,044 | ||||||||||||||||||
Net derivative assets (2) | 1,468 | (304 | ) | — | 824 | (1,467 | ) | — | (1,362 | ) | (10 | ) | 627 | (224 | ) | ||||||||||||||||
AFS debt securities: | |||||||||||||||||||||||||||||||
Commercial MBS | 10 | — | — | — | — | — | (10 | ) | — | — | — | ||||||||||||||||||||
Non-U.S. securities | — | 5 | 2 | 1 | (1 | ) | — | — | 100 | — | 107 | ||||||||||||||||||||
Corporate/Agency bonds | 92 | — | 4 | — | — | — | — | — | (96 | ) | — | ||||||||||||||||||||
Other taxable securities | 3,928 | 9 | 15 | 1,055 | — | — | (1,155 | ) | — | (5 | ) | 3,847 | |||||||||||||||||||
Tax-exempt securities | 1,061 | 3 | 19 | — | — | — | (109 | ) | — | (168 | ) | 806 | |||||||||||||||||||
Total AFS debt securities | 5,091 | 17 | 40 | 1,056 | (1 | ) | — | (1,274 | ) | 100 | (269 | ) | 4,760 | ||||||||||||||||||
Loans and leases (3, 4) | 2,287 | 98 | — | 310 | (128 | ) | 1,252 | (757 | ) | 19 | (24 | ) | 3,057 | ||||||||||||||||||
Mortgage servicing rights (4) | 5,716 | 1,941 | — | — | (2,044 | ) | 472 | (1,043 | ) | — | — | 5,042 | |||||||||||||||||||
Loans held-for-sale (3) | 2,733 | 62 | — | 8 | (402 | ) | 4 | (1,507 | ) | 34 | (3 | ) | 929 | ||||||||||||||||||
Other assets (5) | 3,129 | (288 | ) | — | 46 | (383 | ) | — | (1,019 | ) | 239 | (55 | ) | 1,669 | |||||||||||||||||
Trading account liabilities – Corporate securities and other | (64 | ) | 10 | — | 43 | (54 | ) | (5 | ) | — | (9 | ) | 44 | (35 | ) | ||||||||||||||||
Accrued expenses and other liabilities (3) | (15 | ) | 30 | — | — | — | (751 | ) | 724 | (1 | ) | 3 | (10 | ) | |||||||||||||||||
Long-term debt (3) | (2,301 | ) | 13 | — | 358 | (4 | ) | (172 | ) | 258 | (1,331 | ) | 1,189 | (1,990 | ) | ||||||||||||||||
(1) | Assets (liabilities). For assets, increase (decrease) to Level 3 and for liabilities, (increase) decrease to Level 3. | ||||||||||||||||||||||||||||||
(2) | Net derivatives include derivative assets of $7.3 billion and derivative liabilities of $7.5 billion. | ||||||||||||||||||||||||||||||
(3) | Amounts represent instruments that are accounted for under the fair value option. | ||||||||||||||||||||||||||||||
(4) | Issuances represent loan originations and mortgage servicing rights retained following securitizations or whole-loan sales. | ||||||||||||||||||||||||||||||
(5) | Other assets is primarily comprised of private equity investments and certain long-term fixed-rate margin loans that are accounted for under the fair value option. | ||||||||||||||||||||||||||||||
During 2013, the transfers into Level 3 included $982 million of trading account assets, $100 million of AFS debt securities, $239 million of other assets and $1.3 billion of long-term debt. Transfers into Level 3 for trading account assets were primarily the result of decreased third-party prices available for certain corporate loans and securities. Transfers into Level 3 for AFS debt securities were primarily due to decreased price observability. Transfers into Level 3 for other assets were primarily due to a lack of independent pricing data for certain receivables. Transfers into Level 3 for long-term debt were primarily due to changes in the impact of unobservable inputs on the value of certain structured liabilities. Transfers occur on a regular basis for these long-term debt instruments due to changes in the impact of unobservable inputs on the value of the embedded derivative in relation to the instrument as a whole. | |||||||||||||||||||||||||||||||
During 2013, the transfers out of Level 3 included $1.6 billion of trading account assets, $627 million of net derivative assets, $269 million of AFS debt securities and $1.2 billion of long-term debt. Transfers out of Level 3 for trading account assets were primarily the result of increased market liquidity and third-party prices available for certain corporate loans and securities. Transfers out of Level 3 for net derivative assets were primarily due to increased price observability (i.e., market comparables for the referenced instruments) for certain options. Transfers out of Level 3 for AFS debt securities were primarily due to increased market liquidity. Transfers out of Level 3 for long-term debt were primarily due to changes in the impact of unobservable inputs on the value of certain structured liabilities. | |||||||||||||||||||||||||||||||
Level 3 – Fair Value Measurements (1) | |||||||||||||||||||||||||||||||
2012 | |||||||||||||||||||||||||||||||
Gross | |||||||||||||||||||||||||||||||
(Dollars in millions) | Balance | Gains | Gains | Purchases | Sales | Issuances | Settlements | Gross Transfers | Gross Transfers | Balance | |||||||||||||||||||||
January 1 | (Losses) | (Losses) | into | out of | December 31 | ||||||||||||||||||||||||||
2012 | in Earnings | in OCI | Level 3 | Level 3 | 2012 | ||||||||||||||||||||||||||
Trading account assets: | |||||||||||||||||||||||||||||||
Corporate securities, trading loans and other (2) | $ | 6,880 | $ | 195 | $ | — | $ | 2,798 | $ | (4,556 | ) | $ | — | $ | (1,077 | ) | $ | 436 | $ | (950 | ) | $ | 3,726 | ||||||||
Equity securities | 544 | 31 | — | 201 | (271 | ) | — | 27 | 90 | (77 | ) | 545 | |||||||||||||||||||
Non-U.S. sovereign debt | 342 | 8 | — | 388 | (359 | ) | — | (5 | ) | — | (21 | ) | 353 | ||||||||||||||||||
Mortgage trading loans and ABS (2) | 3,689 | 215 | — | 2,574 | (1,536 | ) | — | (678 | ) | 844 | (173 | ) | 4,935 | ||||||||||||||||||
Total trading account assets | 11,455 | 449 | — | 5,961 | (6,722 | ) | — | (1,733 | ) | 1,370 | (1,221 | ) | 9,559 | ||||||||||||||||||
Net derivative assets (3) | 5,866 | (221 | ) | — | 893 | (1,012 | ) | — | (3,328 | ) | (269 | ) | (461 | ) | 1,468 | ||||||||||||||||
AFS debt securities: | |||||||||||||||||||||||||||||||
Mortgage-backed securities: | |||||||||||||||||||||||||||||||
Agency | 37 | — | — | — | — | — | (4 | ) | — | (33 | ) | — | |||||||||||||||||||
Non-agency residential | 860 | (69 | ) | 19 | — | (306 | ) | — | (2 | ) | — | (502 | ) | — | |||||||||||||||||
Non-agency commercial | 40 | — | — | — | (24 | ) | — | (6 | ) | — | — | 10 | |||||||||||||||||||
Corporate/Agency bonds | 162 | (2 | ) | — | (2 | ) | — | — | (39 | ) | — | (27 | ) | 92 | |||||||||||||||||
Other taxable securities | 4,265 | 23 | 26 | 3,196 | (28 | ) | — | (3,345 | ) | — | (209 | ) | 3,928 | ||||||||||||||||||
Tax-exempt securities | 2,648 | 61 | 20 | — | (133 | ) | — | (1,535 | ) | — | — | 1,061 | |||||||||||||||||||
Total AFS debt securities | 8,012 | 13 | 65 | 3,194 | (491 | ) | — | (4,931 | ) | — | (771 | ) | 5,091 | ||||||||||||||||||
Loans and leases (4, 5) | 2,744 | 334 | — | 564 | (1,520 | ) | — | (274 | ) | 450 | (11 | ) | 2,287 | ||||||||||||||||||
Mortgage servicing rights (5) | 7,378 | (430 | ) | — | — | (122 | ) | 374 | (1,484 | ) | — | — | 5,716 | ||||||||||||||||||
Loans held-for-sale (4) | 3,387 | 352 | — | 794 | (834 | ) | — | (414 | ) | 80 | (632 | ) | 2,733 | ||||||||||||||||||
Other assets (6) | 4,235 | (54 | ) | — | 109 | (1,039 | ) | 270 | (381 | ) | — | (11 | ) | 3,129 | |||||||||||||||||
Trading account liabilities – Corporate securities and other | (114 | ) | 4 | — | 116 | (136 | ) | — | 80 | (68 | ) | 54 | (64 | ) | |||||||||||||||||
Short-term borrowings (4) | — | — | — | — | — | (232 | ) | 232 | — | — | — | ||||||||||||||||||||
Accrued expenses and other liabilities (4) | (14 | ) | (4 | ) | — | 8 | — | (9 | ) | — | — | 4 | (15 | ) | |||||||||||||||||
Long-term debt (4) | (2,943 | ) | (307 | ) | — | 290 | (33 | ) | (259 | ) | 1,239 | (2,040 | ) | 1,752 | (2,301 | ) | |||||||||||||||
(1) | Assets (liabilities). For assets, increase (decrease) to Level 3 and for liabilities, (increase) decrease to Level 3. | ||||||||||||||||||||||||||||||
(2) | During 2012, approximately $900 million was reclassified from Trading account assets – Corporate securities, trading loans and other to Trading account assets – Mortgage trading loans and ABS. In the table above, this reclassification is presented as a sale of Trading account assets – Corporate securities, trading loans and other and as a purchase of Trading account assets – Mortgage trading loans and ABS. | ||||||||||||||||||||||||||||||
(3) | Net derivatives include derivative assets of $8.1 billion and derivative liabilities of $6.6 billion. | ||||||||||||||||||||||||||||||
(4) | Amounts represent instruments that are accounted for under the fair value option. | ||||||||||||||||||||||||||||||
(5) | Issuances represent loan originations and mortgage servicing rights retained following securitizations or whole-loan sales. | ||||||||||||||||||||||||||||||
(6) | Other assets is primarily comprised of net monoline exposure to a single counterparty and private equity investments. | ||||||||||||||||||||||||||||||
During 2012, the transfers into Level 3 included $1.4 billion of trading account assets, $269 million of net derivative assets, $450 million of loans and leases and $2.0 billion of long-term debt. Transfers into Level 3 for trading account assets were primarily the result of decreased market liquidity for certain corporate loans and updated information related to certain CLOs. Transfers into Level 3 for net derivative assets were primarily related to decreased price observability for certain long-dated equity derivative liabilities due to a lack of independent pricing. Transfers into Level 3 for loans and leases were due to updated information related to certain commercial loans. Transfers into Level 3 for long-term debt were primarily due to changes in the impact of unobservable inputs on the value of certain structured liabilities. Transfers occur on a regular basis for these long-term debt instruments due to changes in the impact of unobservable inputs on the value of the embedded derivative in relation to the instrument as a whole. | |||||||||||||||||||||||||||||||
During 2012, the transfers out of Level 3 included $1.2 billion of trading account assets, $461 million of net derivative assets, $771 million of AFS debt securities, $632 million of LHFS and $1.8 billion of long-term debt. Transfers out of Level 3 for trading account assets were primarily related to increased market liquidity for certain corporate and commercial real estate loans. Transfers out of Level 3 for net derivative assets were primarily related to increased price observability (i.e., market comparables for the referenced instruments) for certain total return swaps and foreign exchange swaps. Transfers out of Level 3 for AFS debt securities were primarily related to increased price observability for certain non-agency RMBS and ABS. Transfers out of Level 3 for LHFS were primarily related to increased observable inputs, primarily liquid comparables. Transfers out of Level 3 for long-term debt were primarily due to changes in the impact of unobservable inputs on the value of certain structured liabilities. | |||||||||||||||||||||||||||||||
The following tables summarize gains (losses) due to changes in fair value, including both realized and unrealized gains (losses), recorded in earnings for Level 3 assets and liabilities during 2014, 2013 and 2012. These amounts include gains (losses) on loans, LHFS, loan commitments and structured liabilities that are accounted for under the fair value option. | |||||||||||||||||||||||||||||||
Level 3 – Total Realized and Unrealized Gains (Losses) Included in Earnings | |||||||||||||||||||||||||||||||
2014 | |||||||||||||||||||||||||||||||
(Dollars in millions) | Trading | Mortgage | Other (2) | Total | |||||||||||||||||||||||||||
Account | Banking | ||||||||||||||||||||||||||||||
Profits | Income | ||||||||||||||||||||||||||||||
(Losses) | (Loss) (1) | ||||||||||||||||||||||||||||||
Trading account assets: | |||||||||||||||||||||||||||||||
Corporate securities, trading loans and other | $ | 180 | $ | — | $ | — | $ | 180 | |||||||||||||||||||||||
Non-U.S. sovereign debt | 30 | — | — | 30 | |||||||||||||||||||||||||||
Mortgage trading loans and ABS | 199 | — | — | 199 | |||||||||||||||||||||||||||
Total trading account assets | 409 | — | — | 409 | |||||||||||||||||||||||||||
Net derivative assets | (475 | ) | 834 | 104 | 463 | ||||||||||||||||||||||||||
AFS debt securities: | |||||||||||||||||||||||||||||||
Non-agency residential MBS | — | — | (2 | ) | (2 | ) | |||||||||||||||||||||||||
Non-U.S. securities | — | — | (7 | ) | (7 | ) | |||||||||||||||||||||||||
Other taxable securities | — | — | 9 | 9 | |||||||||||||||||||||||||||
Tax-exempt securities | — | — | 8 | 8 | |||||||||||||||||||||||||||
Total AFS debt securities | — | — | 8 | 8 | |||||||||||||||||||||||||||
Loans and leases (3) | — | — | 69 | 69 | |||||||||||||||||||||||||||
Mortgage servicing rights | (6 | ) | (1,225 | ) | — | (1,231 | ) | ||||||||||||||||||||||||
Loans held-for-sale (3) | (14 | ) | — | 59 | 45 | ||||||||||||||||||||||||||
Other assets | — | (79 | ) | (19 | ) | (98 | ) | ||||||||||||||||||||||||
Trading account liabilities – Corporate securities and other | 1 | — | — | 1 | |||||||||||||||||||||||||||
Accrued expenses and other liabilities (3) | — | — | 2 | 2 | |||||||||||||||||||||||||||
Long-term debt (3) | 78 | — | (29 | ) | 49 | ||||||||||||||||||||||||||
Total | $ | (7 | ) | $ | (470 | ) | $ | 194 | $ | (283 | ) | ||||||||||||||||||||
2013 | |||||||||||||||||||||||||||||||
Trading account assets: | |||||||||||||||||||||||||||||||
Corporate securities, trading loans and other | $ | 242 | $ | — | $ | — | $ | 242 | |||||||||||||||||||||||
Equity securities | 74 | — | — | 74 | |||||||||||||||||||||||||||
Non-U.S. sovereign debt | 50 | — | — | 50 | |||||||||||||||||||||||||||
Mortgage trading loans and ABS | 53 | — | — | 53 | |||||||||||||||||||||||||||
Total trading account assets | 419 | — | — | 419 | |||||||||||||||||||||||||||
Net derivative assets | (1,224 | ) | 927 | (7 | ) | (304 | ) | ||||||||||||||||||||||||
AFS debt securities: | |||||||||||||||||||||||||||||||
Non-U.S. securities | — | — | 5 | 5 | |||||||||||||||||||||||||||
Other taxable securities | — | — | 9 | 9 | |||||||||||||||||||||||||||
Tax-exempt securities | — | — | 3 | 3 | |||||||||||||||||||||||||||
Total AFS debt securities | — | — | 17 | 17 | |||||||||||||||||||||||||||
Loans and leases (3) | — | (38 | ) | 136 | 98 | ||||||||||||||||||||||||||
Mortgage servicing rights | — | 1,941 | — | 1,941 | |||||||||||||||||||||||||||
Loans held-for-sale (3) | — | 2 | 60 | 62 | |||||||||||||||||||||||||||
Other assets | — | 122 | (410 | ) | (288 | ) | |||||||||||||||||||||||||
Trading account liabilities – Corporate securities and other | 10 | — | — | 10 | |||||||||||||||||||||||||||
Accrued expenses and other liabilities (3) | — | 30 | — | 30 | |||||||||||||||||||||||||||
Long-term debt (3) | 45 | — | (32 | ) | 13 | ||||||||||||||||||||||||||
Total | $ | (750 | ) | $ | 2,984 | $ | (236 | ) | $ | 1,998 | |||||||||||||||||||||
(1) | Mortgage banking income (loss) does not reflect the impact of Level 1 and Level 2 hedges on MSRs. | ||||||||||||||||||||||||||||||
(2) | Amounts included are primarily recorded in other income (loss). Equity investment gains of $86 million and $77 million recorded on net derivative assets and other assets were also included for 2014 and 2013. | ||||||||||||||||||||||||||||||
(3) | Amounts represent instruments that are accounted for under the fair value option. | ||||||||||||||||||||||||||||||
Level 3 – Total Realized and Unrealized Gains (Losses) Included in Earnings (continued) | |||||||||||||||||||||||||||||||
2012 | |||||||||||||||||||||||||||||||
(Dollars in millions) | Trading | Mortgage | Other (2) | Total | |||||||||||||||||||||||||||
Account | Banking | ||||||||||||||||||||||||||||||
Profits | Income | ||||||||||||||||||||||||||||||
(Losses) | (Loss) (1) | ||||||||||||||||||||||||||||||
Trading account assets: | |||||||||||||||||||||||||||||||
Corporate securities, trading loans and other | $ | 195 | $ | — | $ | — | $ | 195 | |||||||||||||||||||||||
Equity securities | 31 | — | — | 31 | |||||||||||||||||||||||||||
Non-U.S. sovereign debt | 8 | — | — | 8 | |||||||||||||||||||||||||||
Mortgage trading loans and ABS | 215 | — | — | 215 | |||||||||||||||||||||||||||
Total trading account assets | 449 | — | — | 449 | |||||||||||||||||||||||||||
Net derivative assets | (3,208 | ) | 2,987 | — | (221 | ) | |||||||||||||||||||||||||
AFS debt securities: | |||||||||||||||||||||||||||||||
Non-agency residential MBS | — | — | (69 | ) | (69 | ) | |||||||||||||||||||||||||
Corporate/Agency bonds | — | — | (2 | ) | (2 | ) | |||||||||||||||||||||||||
Other taxable securities | 2 | — | 21 | 23 | |||||||||||||||||||||||||||
Tax-exempt securities | — | — | 61 | 61 | |||||||||||||||||||||||||||
Total AFS debt securities | 2 | — | 11 | 13 | |||||||||||||||||||||||||||
Loans and leases (3) | — | — | 334 | 334 | |||||||||||||||||||||||||||
Mortgage servicing rights | — | (430 | ) | — | (430 | ) | |||||||||||||||||||||||||
Loans held-for-sale (3) | — | 148 | 204 | 352 | |||||||||||||||||||||||||||
Other assets | — | (74 | ) | 20 | (54 | ) | |||||||||||||||||||||||||
Trading account liabilities – Corporate securities and other | 4 | — | — | 4 | |||||||||||||||||||||||||||
Accrued expenses and other liabilities (3) | — | — | (4 | ) | (4 | ) | |||||||||||||||||||||||||
Long-term debt (3) | (133 | ) | — | (174 | ) | (307 | ) | ||||||||||||||||||||||||
Total | $ | (2,886 | ) | $ | 2,631 | $ | 391 | $ | 136 | ||||||||||||||||||||||
(1) | Mortgage banking income (loss) does not reflect the impact of Level 1 and Level 2 hedges on MSRs. | ||||||||||||||||||||||||||||||
(2) | Amounts included are primarily recorded in other income (loss). Equity investment gains of $97 million recorded on other assets were also included for 2012. | ||||||||||||||||||||||||||||||
(3) | Amounts represent instruments that are accounted for under the fair value option. | ||||||||||||||||||||||||||||||
The table below summarizes changes in unrealized gains (losses) recorded in earnings during 2014, 2013 and 2012 for Level 3 assets and liabilities that were still held at December 31, 2014, 2013 and 2012. These amounts include changes in fair value on loans, LHFS, loan commitments and structured liabilities that are accounted for under the fair value option. | |||||||||||||||||||||||||||||||
Level 3 – Changes in Unrealized Gains (Losses) Relating to Assets and Liabilities Still Held at Reporting Date | |||||||||||||||||||||||||||||||
2014 | |||||||||||||||||||||||||||||||
(Dollars in millions) | Trading | Mortgage | Other (2) | Total | |||||||||||||||||||||||||||
Account | Banking | ||||||||||||||||||||||||||||||
Profits | Income | ||||||||||||||||||||||||||||||
(Losses) | (Loss) (1) | ||||||||||||||||||||||||||||||
Trading account assets: | |||||||||||||||||||||||||||||||
Corporate securities, trading loans and other | $ | 69 | $ | — | $ | — | $ | 69 | |||||||||||||||||||||||
Equity securities | (8 | ) | — | — | (8 | ) | |||||||||||||||||||||||||
Non-U.S. sovereign debt | 31 | — | — | 31 | |||||||||||||||||||||||||||
Mortgage trading loans and ABS | 79 | — | — | 79 | |||||||||||||||||||||||||||
Total trading account assets | 171 | — | — | 171 | |||||||||||||||||||||||||||
Net derivative assets | (276 | ) | 85 | 104 | (87 | ) | |||||||||||||||||||||||||
Loans and leases (3) | — | — | 76 | 76 | |||||||||||||||||||||||||||
Mortgage servicing rights | (6 | ) | (1,747 | ) | — | (1,753 | ) | ||||||||||||||||||||||||
Loans held-for-sale (3) | (14 | ) | — | 10 | (4 | ) | |||||||||||||||||||||||||
Other assets | — | (50 | ) | 102 | 52 | ||||||||||||||||||||||||||
Trading account liabilities – Corporate securities and other | 1 | — | — | 1 | |||||||||||||||||||||||||||
Accrued expenses and other liabilities (3) | — | — | 1 | 1 | |||||||||||||||||||||||||||
Long-term debt (3) | 29 | — | (37 | ) | (8 | ) | |||||||||||||||||||||||||
Total | $ | (95 | ) | $ | (1,712 | ) | $ | 256 | $ | (1,551 | ) | ||||||||||||||||||||
2013 | |||||||||||||||||||||||||||||||
Trading account assets: | |||||||||||||||||||||||||||||||
Corporate securities, trading loans and other | $ | (130 | ) | $ | — | $ | — | $ | (130 | ) | |||||||||||||||||||||
Equity securities | 40 | — | — | 40 | |||||||||||||||||||||||||||
Non-U.S. sovereign debt | 80 | — | — | 80 | |||||||||||||||||||||||||||
Mortgage trading loans and ABS | (174 | ) | — | — | (174 | ) | |||||||||||||||||||||||||
Total trading account assets | (184 | ) | — | — | (184 | ) | |||||||||||||||||||||||||
Net derivative assets | (1,375 | ) | 42 | (7 | ) | (1,340 | ) | ||||||||||||||||||||||||
Loans and leases (3) | — | (34 | ) | 152 | 118 | ||||||||||||||||||||||||||
Mortgage servicing rights | — | 1,541 | — | 1,541 | |||||||||||||||||||||||||||
Loans held-for-sale (3) | — | 6 | 57 | 63 | |||||||||||||||||||||||||||
Other assets | — | 166 | 14 | 180 | |||||||||||||||||||||||||||
Long-term debt (3) | (4 | ) | — | (32 | ) | (36 | ) | ||||||||||||||||||||||||
Total | $ | (1,563 | ) | $ | 1,721 | $ | 184 | $ | 342 | ||||||||||||||||||||||
2012 | |||||||||||||||||||||||||||||||
Trading account assets: | |||||||||||||||||||||||||||||||
Corporate securities, trading loans and other | $ | (19 | ) | $ | — | $ | — | $ | (19 | ) | |||||||||||||||||||||
Equity securities | 17 | — | — | 17 | |||||||||||||||||||||||||||
Non-U.S. sovereign debt | 20 | — | — | 20 | |||||||||||||||||||||||||||
Mortgage trading loans and ABS | 36 | — | — | 36 | |||||||||||||||||||||||||||
Total trading account assets | 54 | — | — | 54 | |||||||||||||||||||||||||||
Net derivative assets | (2,782 | ) | 456 | — | (2,326 | ) | |||||||||||||||||||||||||
AFS debt securities – Other taxable securities | 2 | — | — | 2 | |||||||||||||||||||||||||||
Loans and leases (3) | — | — | 214 | 214 | |||||||||||||||||||||||||||
Mortgage servicing rights | — | (1,100 | ) | — | (1,100 | ) | |||||||||||||||||||||||||
Loans held-for-sale (3) | — | 112 | 168 | 280 | |||||||||||||||||||||||||||
Other assets | — | (71 | ) | 50 | (21 | ) | |||||||||||||||||||||||||
Trading account liabilities – Corporate securities and other | 4 | — | — | 4 | |||||||||||||||||||||||||||
Accrued expenses and other liabilities (3) | — | — | (2 | ) | (2 | ) | |||||||||||||||||||||||||
Long-term debt (3) | (136 | ) | — | (173 | ) | (309 | ) | ||||||||||||||||||||||||
Total | $ | (2,858 | ) | $ | (603 | ) | $ | 257 | $ | (3,204 | ) | ||||||||||||||||||||
(1) | Mortgage banking income (loss) does not reflect the impact of Level 1 and Level 2 hedges on MSRs. | ||||||||||||||||||||||||||||||
(2) | Amounts included are primarily recorded in other income (loss). Equity investment gains of $170 million and $53 million recorded on net derivative assets and other assets were included for 2014 and 2013, and gains of $141 million recorded on other assets were included for 2012. | ||||||||||||||||||||||||||||||
(3) | Amounts represent instruments that are accounted for under the fair value option. | ||||||||||||||||||||||||||||||
The following tables present information about significant unobservable inputs related to the Corporation’s material categories of Level 3 financial assets and liabilities at December 31, 2014 and 2013. | |||||||||||||||||||||||||||||||
Quantitative Information about Level 3 Fair Value Measurements at December 31, 2014 | |||||||||||||||||||||||||||||||
(Dollars in millions) | Inputs | ||||||||||||||||||||||||||||||
Financial Instrument | Fair | Valuation | Significant Unobservable | Ranges of | Weighted Average | ||||||||||||||||||||||||||
Value | Technique | Inputs | Inputs | ||||||||||||||||||||||||||||
Loans and Securities (1) | |||||||||||||||||||||||||||||||
Instruments backed by residential real estate assets | $ | 2,030 | Discounted cash flow, Market comparables | Yield | 0% to 25% | 6 | % | ||||||||||||||||||||||||
Trading account assets – Mortgage trading loans and ABS | 483 | Prepayment speed | 0% to 35% CPR | 14 | % | ||||||||||||||||||||||||||
Loans and leases | 1,374 | Default rate | 2% to 15% CDR | 7 | % | ||||||||||||||||||||||||||
Loans held-for-sale | 173 | Loss severity | 26% to 100% | 34 | % | ||||||||||||||||||||||||||
Commercial loans, debt securities and other | $ | 7,203 | Discounted cash flow, Market comparables | Yield | 0% to 40% | 9 | % | ||||||||||||||||||||||||
Trading account assets – Corporate securities, trading loans and other | 3,224 | Enterprise value/EBITDA multiple | 0x to 30x | 6x | |||||||||||||||||||||||||||
Trading account assets – Non-U.S. sovereign debt | 574 | Prepayment speed | 1% to 30% | 12 | % | ||||||||||||||||||||||||||
Trading account assets – Mortgage trading loans and ABS | 1,580 | Default rate | 1% to 5% | 4 | % | ||||||||||||||||||||||||||
AFS debt securities – Other taxable securities | 1,216 | Loss severity | 25% to 40% | 38 | % | ||||||||||||||||||||||||||
Loans and leases | 609 | Duration | 0 years to 5 years | 3 years | |||||||||||||||||||||||||||
Price | $0 to $107 | $76 | |||||||||||||||||||||||||||||
Auction rate securities | $ | 1,096 | Discounted cash flow, Market comparables | Price | $60 to $100 | $95 | |||||||||||||||||||||||||
Trading account assets – Corporate securities, trading loans and other | 46 | ||||||||||||||||||||||||||||||
AFS debt securities – Other taxable securities | 451 | ||||||||||||||||||||||||||||||
AFS debt securities – Tax-exempt securities | 599 | ||||||||||||||||||||||||||||||
Structured liabilities | |||||||||||||||||||||||||||||||
Long-term debt | $ | (2,362 | ) | Industry standard derivative pricing (2, 3) | Equity correlation | 20% to 98% | 65 | % | |||||||||||||||||||||||
Long-dated equity volatilities | 6% to 69% | 24 | % | ||||||||||||||||||||||||||||
Long-dated volatilities (IR) | 0% to 2% | 1 | % | ||||||||||||||||||||||||||||
Net derivative assets | |||||||||||||||||||||||||||||||
Credit derivatives | $ | 22 | Discounted cash flow, Stochastic recovery correlation model | Yield | 0% to 25% | 14 | % | ||||||||||||||||||||||||
Upfront points | 0 points to 100 points | 65 points | |||||||||||||||||||||||||||||
Spread to index | 25 bps to 450 bps | 119 bps | |||||||||||||||||||||||||||||
Credit correlation | 24% to 99% | 51 | % | ||||||||||||||||||||||||||||
Prepayment speed | 3% to 20% CPR | 11 | % | ||||||||||||||||||||||||||||
Default rate | 4% CDR | n/a | |||||||||||||||||||||||||||||
Loss severity | 35 | % | n/a | ||||||||||||||||||||||||||||
Equity derivatives | $ | (1,560 | ) | Industry standard derivative pricing (2) | Equity correlation | 20% to 98% | 65 | % | |||||||||||||||||||||||
Long-dated equity volatilities | 6% to 69% | 24 | % | ||||||||||||||||||||||||||||
Commodity derivatives | $ | 141 | Discounted cash flow, Industry standard derivative pricing (2) | Natural gas forward price | $2/MMBtu to $7/MMBtu | $5/MMBtu | |||||||||||||||||||||||||
Correlation | 82% to 93% | 90 | % | ||||||||||||||||||||||||||||
Volatilities | 16% to 98% | 35 | % | ||||||||||||||||||||||||||||
Interest rate derivatives | $ | 477 | Industry standard derivative pricing (3) | Correlation (IR/IR) | 11% to 99% | 55 | % | ||||||||||||||||||||||||
Correlation (FX/IR) | -48% to 40% | -5 | % | ||||||||||||||||||||||||||||
Long-dated inflation rates | 0% to 3% | 1 | % | ||||||||||||||||||||||||||||
Long-dated inflation volatilities | 0% to 2% | 1 | % | ||||||||||||||||||||||||||||
Total net derivative assets | $ | (920 | ) | ||||||||||||||||||||||||||||
(1) | The categories are aggregated based upon product type which differs from financial statement classification. The following is a reconciliation to the line items in the table on page 107: Trading account assets – Corporate securities, trading loans and other of $3.3 billion, Trading account assets – Non-U.S. sovereign debt of $574 million, Trading account assets – Mortgage trading loans and ABS of $2.1 billion, AFS debt securities – Other taxable securities of $1.7 billion, AFS debt securities – Tax-exempt securities of $599 million, Loans and leases of $2.0 billion and LHFS of $173 million. | ||||||||||||||||||||||||||||||
(2) | Includes models such as Monte Carlo simulation and Black-Scholes. | ||||||||||||||||||||||||||||||
(3) | Includes models such as Monte Carlo simulation, Black-Scholes and other methods that model the joint dynamics of interest, inflation and foreign exchange rates. | ||||||||||||||||||||||||||||||
CPR =onstant Prepayment Rate | |||||||||||||||||||||||||||||||
CDR =onstant Default Rate | |||||||||||||||||||||||||||||||
EBITDA =arnings before interest, taxes, depreciation and amortization | |||||||||||||||||||||||||||||||
MMBtu =illion British thermal units | |||||||||||||||||||||||||||||||
IR =nterest Rate | |||||||||||||||||||||||||||||||
FX =oreign Exchange | |||||||||||||||||||||||||||||||
n/a =ot applicable | |||||||||||||||||||||||||||||||
Quantitative Information about Level 3 Fair Value Measurements at December 31, 2013 | |||||||||||||||||||||||||||||||
(Dollars in millions) | Inputs | ||||||||||||||||||||||||||||||
Financial Instrument | Fair | Valuation | Significant Unobservable | Ranges of | Weighted Average | ||||||||||||||||||||||||||
Value | Technique | Inputs | Inputs | ||||||||||||||||||||||||||||
Loans and Securities (1) | |||||||||||||||||||||||||||||||
Instruments backed by residential real estate assets | $ | 3,443 | Discounted cash flow, Market comparables | Yield | 2% to 25% | 6 | % | ||||||||||||||||||||||||
Trading account assets – Mortgage trading loans and ABS | 363 | Prepayment speed | 0% to 35% CPR | 9 | % | ||||||||||||||||||||||||||
Loans and leases | 2,151 | Default rate | 1% to 20% CDR | 6 | % | ||||||||||||||||||||||||||
Loans held-for-sale | 929 | Loss severity | 21% to 80% | 35 | % | ||||||||||||||||||||||||||
Commercial loans, debt securities and other | $ | 12,135 | Discounted cash flow, Market comparables | Yield | 0% to 45% | 5 | % | ||||||||||||||||||||||||
Trading account assets – Corporate securities, trading loans and other | 3,462 | Enterprise value/EBITDA multiple | 0x to 24x | 7x | |||||||||||||||||||||||||||
Trading account assets – Non-U.S. sovereign debt | 468 | Prepayment speed | 5% to 40% | 19 | % | ||||||||||||||||||||||||||
Trading account assets – Mortgage trading loans and ABS | 4,268 | Default rate | 1% to 5% | 4 | % | ||||||||||||||||||||||||||
AFS debt securities – Other taxable securities | 3,031 | Loss severity | 25% to 42% | 36 | % | ||||||||||||||||||||||||||
Loans and leases | 906 | Duration | 1 year to 5 years | 4 years | |||||||||||||||||||||||||||
Auction rate securities | $ | 1,719 | Discounted cash flow, Market comparables | Projected tender price/Refinancing level | 60% to 100% | 96 | % | ||||||||||||||||||||||||
Trading account assets – Corporate securities, trading loans and other | 97 | ||||||||||||||||||||||||||||||
AFS debt securities – Other taxable securities | 816 | ||||||||||||||||||||||||||||||
AFS debt securities – Tax-exempt securities | 806 | ||||||||||||||||||||||||||||||
Structured liabilities | |||||||||||||||||||||||||||||||
Long-term debt | $ | (1,990 | ) | Industry standard derivative pricing (2, 3) | Equity correlation | 18% to 98% | 70 | % | |||||||||||||||||||||||
Long-dated equity volatilities | 4% to 63% | 27 | % | ||||||||||||||||||||||||||||
Long-dated volatilities (IR) | 0% to 2% | 1 | % | ||||||||||||||||||||||||||||
Net derivative assets | |||||||||||||||||||||||||||||||
Credit derivatives | $ | 808 | Discounted cash flow, Stochastic recovery correlation model | Yield | 3% to 25% | 14 | % | ||||||||||||||||||||||||
Upfront points | 0 points to 100 points | 63 points | |||||||||||||||||||||||||||||
Spread to index | -1,407 bps to 1,741 bps | 91 bps | |||||||||||||||||||||||||||||
Credit correlation | 14% to 99% | 47 | % | ||||||||||||||||||||||||||||
Prepayment speed | 3% to 40% CPR | 13 | % | ||||||||||||||||||||||||||||
Default rate | 1% to 5% CDR | 3 | % | ||||||||||||||||||||||||||||
Loss severity | 20% to 42% | 35 | % | ||||||||||||||||||||||||||||
Equity derivatives | $ | (1,596 | ) | Industry standard derivative pricing (2) | Equity correlation | 18% to 98% | 70 | % | |||||||||||||||||||||||
Long-dated equity volatilities | 4% to 63% | 27 | % | ||||||||||||||||||||||||||||
Commodity derivatives | $ | 6 | Discounted cash flow, Industry standard derivative pricing (2) | Natural gas forward price | $3/MMBtu to $11/MMBtu | $6/MMBtu | |||||||||||||||||||||||||
Correlation | 47% to 89% | 81 | % | ||||||||||||||||||||||||||||
Volatilities | 9% to 109% | 30 | % | ||||||||||||||||||||||||||||
Interest rate derivatives | $ | 558 | Industry standard derivative pricing (3) | Correlation (IR/IR) | 24% to 99% | 60 | % | ||||||||||||||||||||||||
Correlation (FX/IR) | -30% to 40% | -4 | % | ||||||||||||||||||||||||||||
Long-dated inflation rates | 0% to 3% | 2 | % | ||||||||||||||||||||||||||||
Long-dated inflation volatilities | 0% to 2% | 1 | % | ||||||||||||||||||||||||||||
Total net derivative assets | $ | (224 | ) | ||||||||||||||||||||||||||||
(1) | The categories are aggregated based upon product type which differs from financial statement classification. The following is a reconciliation to the line items in the table on page 108: Trading account assets – Corporate securities, trading loans and other of $3.6 billion, Trading account assets – Non-U.S. sovereign debt of $468 million, Trading account assets – Mortgage trading loans and ABS of $4.6 billion, AFS debt securities – Other taxable securities of $3.8 billion, AFS debt securities – Tax-exempt securities of $806 million, Loans and leases of $3.1 billion and LHFS of $929 million. | ||||||||||||||||||||||||||||||
(2) | Includes models such as Monte Carlo simulation and Black-Scholes. | ||||||||||||||||||||||||||||||
(3) | Includes models such as Monte Carlo simulation, Black-Scholes and other methods that model the joint dynamics of interest, inflation and foreign exchange rates. | ||||||||||||||||||||||||||||||
CPR =onstant Prepayment Rate | |||||||||||||||||||||||||||||||
CDR =onstant Default Rate | |||||||||||||||||||||||||||||||
EBITDA =arnings before interest, taxes, depreciation and amortization | |||||||||||||||||||||||||||||||
MMBtu =illion British thermal units | |||||||||||||||||||||||||||||||
IR =nterest Rate | |||||||||||||||||||||||||||||||
FX =oreign Exchange | |||||||||||||||||||||||||||||||
In the tables above, instruments backed by residential real estate assets include RMBS, whole loans and mortgage CDOs. Commercial loans, debt securities and other include corporate CLOs and CDOs, commercial loans and bonds, and securities backed by non-real estate assets. Structured liabilities primarily include equity-linked notes that are accounted for under the fair value option. | |||||||||||||||||||||||||||||||
In addition to the instruments in the tables above, the Corporation held $347 million and $767 million of instruments at December 31, 2014 and 2013 consisting primarily of certain direct private equity investments and private equity funds that were classified as Level 3 and reported within other assets. Valuations of direct private equity investments are based on the most recent company financial information. Inputs generally include market and acquisition comparables, entry level multiples, as well as other variables. The Corporation selects a valuation methodology (e.g., market comparables) for each investment and, in certain instances, multiple inputs are weighted to derive the most representative value. Discounts are applied as appropriate to consider the lack of liquidity and marketability versus publicly-traded companies. For private equity funds, fair value is determined using the net asset value as provided by the individual fund’s general partner. | |||||||||||||||||||||||||||||||
The Corporation uses multiple market approaches in valuing certain of its Level 3 financial instruments. For example, market comparables and discounted cash flows are used together. For a given product, such as corporate debt securities, market comparables may be used to estimate some of the unobservable inputs and then these inputs are incorporated into a discounted cash flow model. Therefore, the balances disclosed encompass both of these techniques. | |||||||||||||||||||||||||||||||
The level of aggregation and diversity within the products disclosed in the tables result in certain ranges of inputs being wide and unevenly distributed across asset and liability categories. At December 31, 2014 and 2013, weighted averages are disclosed for all loans, securities, structured liabilities and net derivative assets. | |||||||||||||||||||||||||||||||
For more information on the inputs and techniques used in the valuation of MSRs, see Note 23 – Mortgage Servicing Rights. | |||||||||||||||||||||||||||||||
Sensitivity of Fair Value Measurements to Changes in Unobservable Inputs | |||||||||||||||||||||||||||||||
Loans and Securities | |||||||||||||||||||||||||||||||
For instruments backed by residential real estate assets and commercial loans, debt securities and other, a significant increase in market yields, default rates, loss severities or duration would result in a significantly lower fair value for long positions. Short positions would be impacted in a directionally opposite way. The impact of changes in prepayment speeds would have differing impacts depending on the seniority of the instrument and, in the case of CLOs, whether prepayments can be reinvested. | |||||||||||||||||||||||||||||||
For auction rate securities, a significant increase in price and/or projected tender price/refinancing levels would result in a significantly higher fair value. | |||||||||||||||||||||||||||||||
Structured Liabilities and Derivatives | |||||||||||||||||||||||||||||||
For credit derivatives, a significant increase in market yield, including spreads to indices, upfront points (i.e., a single upfront payment made by a protection buyer at inception), default rates or loss severities would result in a significantly lower fair value for protection sellers and higher fair value for protection buyers. The impact of changes in prepayment speeds would have differing impacts depending on the seniority of the instrument and, in the case of CLOs, whether prepayments can be reinvested. | |||||||||||||||||||||||||||||||
Structured credit derivatives, which include tranched portfolio CDS and derivatives with derivative product company (DPC) and monoline counterparties, are impacted by credit correlation, including default and wrong-way correlation. Default correlation is a parameter that describes the degree of dependence among credit default rates within a credit portfolio that underlies a credit derivative instrument. The sensitivity of this input on the fair value varies depending on the level of subordination of the tranche. For senior tranches that are net purchases of protection, a significant increase in default correlation would result in a significantly higher fair value. Net short protection positions would be impacted in a directionally opposite way. Wrong-way correlation is a parameter that describes the probability that as exposure to a counterparty increases, the credit quality of the counterparty decreases. A significantly higher degree of wrong-way correlation between a DPC counterparty and underlying derivative exposure would result in a significantly lower fair value. | |||||||||||||||||||||||||||||||
For equity derivatives, interest rate derivatives and structured liabilities, a significant change in long-dated rates and volatilities and correlation inputs (e.g., the degree of correlation between an equity security and an index, between two different interest rates, or between interest rates and foreign exchange rates) would result in a significant impact to the fair value; however, the magnitude and direction of the impact depends on whether the Corporation is long or short the exposure. | |||||||||||||||||||||||||||||||
Nonrecurring Fair Value | |||||||||||||||||||||||||||||||
The Corporation holds certain assets that are measured at fair value, but only in certain situations (e.g., impairment) and these measurements are referred to herein as nonrecurring. These assets primarily include LHFS, certain loans and leases, and foreclosed properties. The amounts below represent only balances measured at fair value during 2014, 2013 and 2012, and still held as of the reporting date. | |||||||||||||||||||||||||||||||
Assets Measured at Fair Value on a Nonrecurring Basis | |||||||||||||||||||||||||||||||
31-Dec | |||||||||||||||||||||||||||||||
2014 | 2013 | ||||||||||||||||||||||||||||||
(Dollars in millions) | Level 2 | Level 3 | Level 2 | Level 3 | |||||||||||||||||||||||||||
Assets | |||||||||||||||||||||||||||||||
Loans held-for-sale | $ | 156 | $ | 30 | $ | 2,138 | $ | 115 | |||||||||||||||||||||||
Loans and leases | 5 | 4,636 | 18 | 5,240 | |||||||||||||||||||||||||||
Foreclosed properties (1) | — | 1,197 | 12 | 1,258 | |||||||||||||||||||||||||||
Other assets | 13 | — | 88 | — | |||||||||||||||||||||||||||
Gains (Losses) | |||||||||||||||||||||||||||||||
2014 | 2013 | 2012 | |||||||||||||||||||||||||||||
Assets | |||||||||||||||||||||||||||||||
Loans held-for-sale | $ | (19 | ) | $ | (71 | ) | $ | (24 | ) | ||||||||||||||||||||||
Loans and leases | (1,132 | ) | (1,104 | ) | (3,116 | ) | |||||||||||||||||||||||||
Foreclosed properties (1) | (40 | ) | (39 | ) | (47 | ) | |||||||||||||||||||||||||
Other assets | (6 | ) | (20 | ) | (16 | ) | |||||||||||||||||||||||||
(1) | Amounts are included in other assets on the Consolidated Balance Sheet and represent fair value of, and related losses on, foreclosed properties that were written down subsequent to their initial classification as foreclosed properties. | ||||||||||||||||||||||||||||||
The table below presents information about significant unobservable inputs related to the Corporation’s nonrecurring Level 3 financial assets and liabilities at December 31, 2014 and 2013. | |||||||||||||||||||||||||||||||
Quantitative Information about Nonrecurring Level 3 Fair Value Measurements | |||||||||||||||||||||||||||||||
December 31, 2014 | |||||||||||||||||||||||||||||||
(Dollars in millions) | Inputs | ||||||||||||||||||||||||||||||
Financial Instrument | Fair Value | Valuation | Significant Unobservable | Ranges of | Weighted Average | ||||||||||||||||||||||||||
Technique | Inputs | Inputs | |||||||||||||||||||||||||||||
Instruments backed by residential real estate assets | $ | 4,636 | Market comparables | OREO discount | 0% to 28% | 8 | % | ||||||||||||||||||||||||
Loans and leases | 4,636 | Cost to sell | 7% to 14% | 8 | % | ||||||||||||||||||||||||||
December 31, 2013 | |||||||||||||||||||||||||||||||
Instruments backed by residential real estate assets | $ | 5,240 | Market comparables | OREO discount | 0% to 19% | 8 | % | ||||||||||||||||||||||||
Loans and leases | 5,240 | Cost to sell | 8 | % | n/a | ||||||||||||||||||||||||||
n/a =ot applicable | |||||||||||||||||||||||||||||||
Instruments backed by residential real estate assets represent residential mortgages where the loan has been written down to the fair value of the underlying collateral. In addition to the instruments disclosed in the table above, the Corporation holds foreclosed residential properties where the fair value is based on unadjusted third-party appraisals or broker price opinions. Appraisals are generally conducted every 90 days. Factors considered in determining the fair value include geographic sales trends, the value of comparable surrounding properties as well as the condition of the property. |
Fair_Value_Option
Fair Value Option | 12 Months Ended | |||||||||||||||||||||||
Dec. 31, 2014 | ||||||||||||||||||||||||
Fair Value Option [Abstract] | ||||||||||||||||||||||||
Fair Value, Option | Fair Value Option | |||||||||||||||||||||||
Loans and Loan Commitments | ||||||||||||||||||||||||
The Corporation elects to account for certain commercial loans and loan commitments that exceed the Corporation’s single name credit risk concentration guidelines under the fair value option. Lending commitments, both funded and unfunded, are actively managed and monitored and, as appropriate, credit risk for these lending relationships may be mitigated through the use of credit derivatives, with the Corporation’s public side credit view and market perspectives determining the size and timing of the hedging activity. These credit derivatives do not meet the requirements for designation as accounting hedges and therefore are carried at fair value with changes in fair value recorded in other income (loss). Electing the fair value option allows the Corporation to carry these loans and loan commitments at fair value, which is more consistent with management’s view of the underlying economics and the manner in which they are managed. In addition, election of the fair value option allows the Corporation to reduce the accounting volatility that would otherwise result from the asymmetry created by accounting for the financial instruments at historical cost and the credit derivatives at fair value. The Corporation also elected the fair value option for certain loans held in consolidated VIEs. Of the changes in fair value of these loans, gains of $32 million, $148 million and $527 million were attributable to changes in borrower-specific credit risk in 2014, 2013 and 2012. | ||||||||||||||||||||||||
Loans Held-for-sale | ||||||||||||||||||||||||
The Corporation elects to account for residential mortgage LHFS, commercial mortgage LHFS and certain other LHFS under the fair value option with interest income on these LHFS recorded in other interest income. These loans are actively managed and monitored and, as appropriate, certain market risks of the loans may be mitigated through the use of derivatives. The Corporation has elected not to designate the derivatives as qualifying accounting hedges and therefore they are carried at fair value with changes in fair value recorded in other income (loss). The changes in fair value of the loans are largely offset by changes in the fair value of the derivatives. Of the changes in fair value of these loans, gains of $84 million, $225 million and $425 million were attributable to changes in borrower-specific credit risk in 2014, 2013 and 2012. Election of the fair value option allows the Corporation to reduce the accounting volatility that would otherwise result from the asymmetry created by accounting for the financial instruments at the lower of cost or fair value and the derivatives at fair value. The Corporation has not elected to account for certain other LHFS under the fair value option primarily because these loans are floating-rate loans that are not hedged using derivative instruments. | ||||||||||||||||||||||||
Loans Reported as Trading Account Assets | ||||||||||||||||||||||||
The Corporation elects to account for certain loans that are held for the purpose of trading and risk-managed on a fair value basis under the fair value option. Of the changes in fair value of these loans, gains of $28 million and $56 million were attributable to changes in borrower-specific credit risk in 2014 and 2013. An immaterial portion of the changes in fair value of these loans was attributable to changes in borrower-specific credit risk in 2012. | ||||||||||||||||||||||||
Other Assets | ||||||||||||||||||||||||
The Corporation elects to account for certain private equity investments that are not in an investment company under the fair value option as this measurement basis is consistent with applicable accounting guidance for similar investments that are in an investment company. The Corporation also elects to account for certain long-term fixed-rate margin loans that are hedged with derivatives under the fair value option. Election of the fair value option allows the Corporation to reduce the accounting volatility that would otherwise result from the asymmetry created by accounting for the financial instruments at historical cost and the derivatives at fair value. | ||||||||||||||||||||||||
Securities Financing Agreements | ||||||||||||||||||||||||
The Corporation elects to account for certain securities financing agreements, including resale and repurchase agreements, under the fair value option based on the tenor of the agreements, which reflects the magnitude of the interest rate risk. The majority of securities financing agreements collateralized by U.S. government securities are not accounted for under the fair value option as these contracts are generally short-dated and therefore the interest rate risk is not significant. | ||||||||||||||||||||||||
Long-term Deposits | ||||||||||||||||||||||||
The Corporation elects to account for certain long-term fixed-rate and rate-linked deposits that are hedged with derivatives that do not qualify for hedge accounting under the fair value option. Election of the fair value option allows the Corporation to reduce the accounting volatility that would otherwise result from the asymmetry created by accounting for the financial instruments at historical cost and the derivatives at fair value. The Corporation did not elect to carry other long-term deposits at fair value because they were not hedged using derivatives. | ||||||||||||||||||||||||
Short-term Borrowings | ||||||||||||||||||||||||
The Corporation elects to account for certain short-term borrowings, primarily short-term structured liabilities, under the fair value option because this debt is risk-managed on a fair value basis. | ||||||||||||||||||||||||
The Corporation elects to account for certain asset-backed secured financings, which are also classified in short-term borrowings, under the fair value option. Election of the fair value option allows the Corporation to reduce the accounting volatility that would otherwise result from the asymmetry created by accounting for the asset-backed secured financings at historical cost and the corresponding mortgage LHFS securing these financings at fair value. | ||||||||||||||||||||||||
Long-term Debt | ||||||||||||||||||||||||
The Corporation elects to account for certain long-term debt, primarily structured liabilities, under the fair value option. This long-term debt is either risk-managed on a fair value basis or the related hedges do not qualify for hedge accounting. | ||||||||||||||||||||||||
The table below provides information about the fair value carrying amount and the contractual principal outstanding of assets and liabilities accounted for under the fair value option at December 31, 2014 and 2013. | ||||||||||||||||||||||||
Fair Value Option Elections | ||||||||||||||||||||||||
31-Dec | ||||||||||||||||||||||||
2014 | 2013 | |||||||||||||||||||||||
(Dollars in millions) | Fair Value Carrying Amount | Contractual Principal Outstanding | Fair Value Carrying Amount Less Unpaid Principal | Fair Value Carrying Amount | Contractual Principal Outstanding | Fair Value Carrying Amount Less Unpaid Principal | ||||||||||||||||||
Loans reported as trading account assets (1) | $ | 4,607 | $ | 8,487 | $ | (3,880 | ) | $ | 2,406 | $ | 4,541 | $ | (2,135 | ) | ||||||||||
Trading inventory – other | 6,865 | n/a | n/a | 5,475 | n/a | n/a | ||||||||||||||||||
Consumer and commercial loans | 8,681 | 8,925 | (244 | ) | 10,042 | 10,423 | (381 | ) | ||||||||||||||||
Loans held-for-sale | 6,801 | 6,920 | (119 | ) | 6,656 | 6,996 | (340 | ) | ||||||||||||||||
Securities financing agreements | 97,539 | 97,234 | 305 | 95,156 | 94,890 | 266 | ||||||||||||||||||
Other assets | 253 | 270 | (17 | ) | 278 | 270 | 8 | |||||||||||||||||
Long-term deposits | 1,469 | 1,361 | 108 | 1,899 | 1,797 | 102 | ||||||||||||||||||
Unfunded loan commitments | 405 | n/a | n/a | 354 | n/a | n/a | ||||||||||||||||||
Short-term borrowings | 2,697 | 2,697 | — | 1,520 | 1,520 | — | ||||||||||||||||||
Long-term debt (2) | 36,404 | 35,815 | 589 | 47,035 | 46,669 | 366 | ||||||||||||||||||
(1) | A significant portion of the loans reported as trading account assets are distressed loans which trade and were purchased at a deep discount to par, and the remainder are loans with a fair value near contractual principal outstanding. | |||||||||||||||||||||||
(2) | Includes structured liabilities with a fair value of $35.3 billion and contractual principal outstanding of $34.6 billion at December 31, 2014 compared to $40.7 billion and $39.7 billion at December 31, 2013. | |||||||||||||||||||||||
n/a =ot applicable | ||||||||||||||||||||||||
The table below provides information about where changes in the fair value of assets and liabilities accounted for under the fair value option are included in the Consolidated Statement of Income for 2014, 2013 and 2012. | ||||||||||||||||||||||||
Gains (Losses) Relating to Assets and Liabilities Accounted for Under the Fair Value Option | ||||||||||||||||||||||||
2014 | ||||||||||||||||||||||||
(Dollars in millions) | Trading Account Profits (Losses) | Mortgage Banking Income | Other | Total | ||||||||||||||||||||
(Loss) | Income | |||||||||||||||||||||||
(Loss) | ||||||||||||||||||||||||
Loans reported as trading account assets | $ | (87 | ) | $ | — | $ | — | $ | (87 | ) | ||||||||||||||
Trading inventory – other (1) | 1,091 | — | — | 1,091 | ||||||||||||||||||||
Consumer and commercial loans | (24 | ) | — | 69 | 45 | |||||||||||||||||||
Loans held-for-sale (2) | (56 | ) | 798 | 83 | 825 | |||||||||||||||||||
Securities financing agreements | (110 | ) | — | — | (110 | ) | ||||||||||||||||||
Long-term deposits | 23 | — | (26 | ) | (3 | ) | ||||||||||||||||||
Unfunded loan commitments | — | — | (64 | ) | (64 | ) | ||||||||||||||||||
Short-term borrowings | 52 | — | — | 52 | ||||||||||||||||||||
Long-term debt (3) | 239 | — | 407 | 646 | ||||||||||||||||||||
Total | $ | 1,128 | $ | 798 | $ | 469 | $ | 2,395 | ||||||||||||||||
2013 | ||||||||||||||||||||||||
Loans reported as trading account assets | $ | 83 | $ | — | $ | — | $ | 83 | ||||||||||||||||
Trading inventory – other (1) | 1,355 | — | — | 1,355 | ||||||||||||||||||||
Consumer and commercial loans | (28 | ) | (38 | ) | 240 | 174 | ||||||||||||||||||
Loans held-for-sale (2) | 7 | 966 | 75 | 1,048 | ||||||||||||||||||||
Securities financing agreements | (80 | ) | — | — | (80 | ) | ||||||||||||||||||
Other assets | — | — | (77 | ) | (77 | ) | ||||||||||||||||||
Long-term deposits | 30 | — | 84 | 114 | ||||||||||||||||||||
Asset-backed secured financings | — | (91 | ) | — | (91 | ) | ||||||||||||||||||
Unfunded loan commitments | — | — | 180 | 180 | ||||||||||||||||||||
Short-term borrowings | (70 | ) | — | — | (70 | ) | ||||||||||||||||||
Long-term debt (3) | (602 | ) | — | (649 | ) | (1,251 | ) | |||||||||||||||||
Total | $ | 695 | $ | 837 | $ | (147 | ) | $ | 1,385 | |||||||||||||||
2012 | ||||||||||||||||||||||||
Loans reported as trading account assets | $ | 232 | $ | — | $ | — | $ | 232 | ||||||||||||||||
Trading inventory – other (1) | 659 | — | — | 659 | ||||||||||||||||||||
Consumer and commercial loans | 17 | — | 542 | 559 | ||||||||||||||||||||
Loans held-for-sale (2) | 75 | 3,048 | 190 | 3,313 | ||||||||||||||||||||
Securities financing agreements | (90 | ) | — | — | (90 | ) | ||||||||||||||||||
Other assets | — | — | 12 | 12 | ||||||||||||||||||||
Long-term deposits | — | — | 29 | 29 | ||||||||||||||||||||
Asset-backed secured financings | — | (180 | ) | — | (180 | ) | ||||||||||||||||||
Unfunded loan commitments | — | — | 704 | 704 | ||||||||||||||||||||
Short-term borrowings | 1 | — | — | 1 | ||||||||||||||||||||
Long-term debt (3) | (1,888 | ) | — | (5,107 | ) | (6,995 | ) | |||||||||||||||||
Total | $ | (994 | ) | $ | 2,868 | $ | (3,630 | ) | $ | (1,756 | ) | |||||||||||||
(1) | The gains (losses) in trading account profits (losses) are primarily offset by gains (losses) on trading liabilities that hedge these assets. | |||||||||||||||||||||||
(2) | Includes the value of interest rate lock commitments on loans funded, including those sold during the period. | |||||||||||||||||||||||
(3) | The majority of the net gains (losses) in trading account profits (losses) relate to the embedded derivative in structured liabilities and are offset by gains (losses) on derivatives and securities that hedge these liabilities. The net gains (losses) in other income (loss) relate to the impact on structured liabilities of changes in the Corporation’s credit spreads. |
Fair_Value_of_Financial_Instru
Fair Value of Financial Instruments | 12 Months Ended | |||||||||||||||
Dec. 31, 2014 | ||||||||||||||||
Fair Value Disclosures [Abstract] | ||||||||||||||||
Fair Value of Financial Instruments | Fair Value of Financial Instruments | |||||||||||||||
The fair values of financial instruments and their classifications within the fair value hierarchy have been derived using methodologies described in Note 20 – Fair Value Measurements. The following disclosures include financial instruments where only a portion of the ending balance at December 31, 2014 and 2013 was carried at fair value on the Consolidated Balance Sheet. | ||||||||||||||||
Short-term Financial Instruments | ||||||||||||||||
The carrying value of short-term financial instruments, including cash and cash equivalents, time deposits placed and other short-term investments, federal funds sold and purchased, certain resale and repurchase agreements, customer and other receivables, customer payables (within accrued expenses and other liabilities on the Consolidated Balance Sheet), and short-term borrowings approximates the fair value of these instruments. These financial instruments generally expose the Corporation to limited credit risk and have no stated maturities or have short-term maturities and carry interest rates that approximate market. The Corporation elected to account for certain resale and repurchase agreements under the fair value option. | ||||||||||||||||
Under the fair value hierarchy, cash and cash equivalents are classified as Level 1. Time deposits placed and other short-term investments, such as U.S. government securities and short-term commercial paper, are classified as Level 1 and Level 2. Federal funds sold and purchased are classified as Level 2. Resale and repurchase agreements are classified as Level 2 because they are generally short-dated and/or variable-rate instruments collateralized by U.S. government or agency securities. Customer and other receivables primarily consist of margin loans, servicing advances and other accounts receivable and are classified as Level 2 and Level 3. Customer payables and short-term borrowings are classified as Level 2. | ||||||||||||||||
Held-to-maturity Debt Securities | ||||||||||||||||
HTM debt securities, which consist primarily of U.S. agency debt securities, are classified as Level 2 using the same methodologies as AFS U.S. agency debt securities. For more information on HTM debt securities, see Note 3 – Securities. | ||||||||||||||||
Loans | ||||||||||||||||
The fair values for commercial and consumer loans are generally determined by discounting both principal and interest cash flows expected to be collected using a discount rate for similar instruments with adjustments that the Corporation believes a market participant would consider in determining fair value. The Corporation estimates the cash flows expected to be collected using internal credit risk, interest rate and prepayment risk models that incorporate the Corporation’s best estimate of current key assumptions, such as default rates, loss severity and prepayment speeds for the life of the loan. The carrying value of loans is presented net of the applicable allowance for loan losses and excludes leases. The Corporation accounts for certain commercial loans and residential mortgage loans under the fair value option. | ||||||||||||||||
Deposits | ||||||||||||||||
The fair value for certain deposits with stated maturities was determined by discounting contractual cash flows using current market rates for instruments with similar maturities. The carrying value of non-U.S. time deposits approximates fair value. For deposits with no stated maturities, the carrying value was considered to approximate fair value and does not take into account the significant value of the cost advantage and stability of the Corporation’s long-term relationships with depositors. The Corporation accounts for certain long-term fixed-rate deposits under the fair value option. | ||||||||||||||||
Long-term Debt | ||||||||||||||||
The Corporation uses quoted market prices, when available, to estimate fair value for its long-term debt. When quoted market prices are not available, fair value is estimated based on current market interest rates and credit spreads for debt with similar terms and maturities. The Corporation accounts for certain structured liabilities under the fair value option. | ||||||||||||||||
Fair Value of Financial Instruments | ||||||||||||||||
The carrying values and fair values by fair value hierarchy of certain financial instruments where only a portion of the ending balance was carried at fair value at December 31, 2014 and 2013 are presented in the table below. | ||||||||||||||||
Fair Value of Financial Instruments | ||||||||||||||||
31-Dec-14 | ||||||||||||||||
Fair Value | ||||||||||||||||
(Dollars in millions) | Carrying Value | Level 2 | Level 3 | Total | ||||||||||||
Financial assets | ||||||||||||||||
Loans | $ | 842,259 | $ | 87,174 | $ | 776,370 | $ | 863,544 | ||||||||
Loans held-for-sale | 12,836 | 12,236 | 618 | 12,854 | ||||||||||||
Financial liabilities | ||||||||||||||||
Deposits | 1,118,936 | 1,119,427 | — | 1,119,427 | ||||||||||||
Long-term debt | 243,139 | 249,692 | 2,362 | 252,054 | ||||||||||||
December 31, 2013 | ||||||||||||||||
Financial assets | ||||||||||||||||
Loans | $ | 885,724 | $ | 102,564 | $ | 789,273 | $ | 891,837 | ||||||||
Loans held-for-sale | 11,362 | 8,872 | 2,613 | 11,485 | ||||||||||||
Financial liabilities | ||||||||||||||||
Deposits | 1,119,271 | 1,119,512 | — | 1,119,512 | ||||||||||||
Long-term debt | 249,674 | 257,402 | 1,990 | 259,392 | ||||||||||||
Commercial Unfunded Lending Commitments | ||||||||||||||||
Fair values were generally determined using a discounted cash flow valuation approach which is applied using market-based CDS or internally developed benchmark credit curves. The Corporation accounts for certain loan commitments under the fair value option. | ||||||||||||||||
The carrying values and fair values of the Corporation’s commercial unfunded lending commitments were $932 million and $3.8 billion at December 31, 2014, and $830 million and $3.7 billion at December 31, 2013. Commercial unfunded lending commitments are primarily classified as Level 3. The carrying value of these commitments is classified in accrued expenses and other liabilities. | ||||||||||||||||
The Corporation does not estimate the fair values of consumer unfunded lending commitments because, in many instances, the Corporation can reduce or cancel these commitments by providing notice to the borrower. For more information on commitments, see Note 12 – Commitments and Contingencies. |
Mortgage_Servicing_Rights
Mortgage Servicing Rights | 12 Months Ended | |||||||||||
Dec. 31, 2014 | ||||||||||||
Transfers and Servicing [Abstract] | ||||||||||||
Mortgage Servicing Rights | Mortgage Servicing Rights | |||||||||||
The Corporation accounts for consumer MSRs at fair value with changes in fair value recorded in mortgage banking income in the Consolidated Statement of Income. The Corporation manages the risk in these MSRs with securities including MBS and U.S. Treasury securities, as well as certain derivatives such as options and interest rate swaps, which are not designated as accounting hedges. The securities used to manage the risk in the MSRs are classified in other assets with changes in the fair value of the securities and the related interest income recorded in mortgage banking income. | ||||||||||||
The table below presents activity for residential mortgage and home equity MSRs for 2014 and 2013. Residential reverse mortgage MSRs, which are carried at the lower of cost or fair value and accounted for using the amortization method, totaled $10 million at December 31, 2013, and are not included in the tables below. | ||||||||||||
Rollforward of Mortgage Servicing Rights | ||||||||||||
(Dollars in millions) | 2014 | 2013 | ||||||||||
Balance, January 1 | $ | 5,042 | $ | 5,716 | ||||||||
Additions | 707 | 472 | ||||||||||
Sales | (61 | ) | (2,044 | ) | ||||||||
Amortization of expected cash flows (1) | (927 | ) | (1,043 | ) | ||||||||
Impact of changes in interest rates and other market factors (2) | (1,191 | ) | 1,524 | |||||||||
Model and other cash flow assumption changes: (3) | ||||||||||||
Projected cash flows, including changes in costs to service loans | (163 | ) | (27 | ) | ||||||||
Impact of changes in the Home Price Index | (25 | ) | (398 | ) | ||||||||
Impact of changes to the prepayment model | 243 | 609 | ||||||||||
Other model changes (4) | (95 | ) | 233 | |||||||||
Balance, December 31 (5) | $ | 3,530 | $ | 5,042 | ||||||||
Mortgage loans serviced for investors (in billions) | $ | 490 | $ | 550 | ||||||||
(1) | Represents the net change in fair value of the MSR asset due to the recognition of modeled cash flows. | |||||||||||
(2) | These amounts reflect the changes in modeled MSR fair value primarily due to observed changes in interest rates, volatility, spreads and the shape of the forward swap curve. | |||||||||||
(3) | These amounts reflect periodic adjustments to the valuation model to reflect changes in the modeled relationship between inputs and their impact on projected cash flows as well as changes in certain cash flow assumptions such as cost to service and ancillary income per loan. | |||||||||||
(4) | These amounts include the impact of periodic recalibrations of the model to reflect changes in the relationship between market interest rate spreads and projected cash flows. Also included is a decrease of $127 million for 2014 due to changes in option-adjusted spread rate assumptions. | |||||||||||
(5) | At December 31, 2014, includes $3.3 billion of U.S. and $259 million of non-U.S. consumer MSR balances. | |||||||||||
The Corporation primarily uses an option-adjusted spread (OAS) valuation approach which factors in prepayment risk to determine the fair value of MSRs. This approach consists of projecting servicing cash flows under multiple interest rate scenarios and discounting these cash flows using risk-adjusted discount rates. In addition to updating the valuation model for interest, discount and prepayment rates, periodic adjustments are made to recalibrate the valuation model for factors used to project cash flows. The changes to the factors capture the effect of variances related to actual versus estimated servicing proceeds. | ||||||||||||
Significant economic assumptions in estimating the fair value of MSRs at December 31, 2014 and 2013 are presented below. The change in fair value as a result of changes in OAS rates is included within “Model and other cash flow assumption changes” in the Rollforward of Mortgage Servicing Rights table. The weighted-average life is not an input in the valuation model but is a product of both changes in market rates of interest and changes in model and other cash flow assumptions. The weighted-average life represents the average period of time that the MSRs’ cash flows are expected to be received. Absent other changes, an increase (decrease) to the weighted-average life would generally result in an increase (decrease) in the fair value of the MSRs. | ||||||||||||
Significant Economic Assumptions | ||||||||||||
31-Dec | ||||||||||||
2014 | 2013 | |||||||||||
Fixed | Adjustable | Fixed | Adjustable | |||||||||
Weighted-average OAS | 4.52 | % | 7.61 | % | 3.97 | % | 7.61 | % | ||||
Weighted-average life, in years | 4.53 | 2.95 | 5.7 | 2.86 | ||||||||
The table below presents the sensitivity of the weighted-average lives and fair value of MSRs to changes in modeled assumptions. These sensitivities are hypothetical and should be used with caution. As the amounts indicate, changes in fair value based on variations in assumptions generally cannot be extrapolated because the relationship of the change in assumption to the change in fair value may not be linear. Also, the effect of a variation in a particular assumption on the fair value of MSRs that continue to be held by the Corporation is calculated without changing any other assumption. In reality, changes in one factor may result in changes in another, which might magnify or counteract the sensitivities. The below sensitivities do not reflect any hedge strategies that may be undertaken to mitigate such risk. | ||||||||||||
Sensitivity Impacts | ||||||||||||
December 31, 2014 | ||||||||||||
Change in | ||||||||||||
Weighted-average Lives | ||||||||||||
(Dollars in millions) | Fixed | Adjustable | Change in Fair Value | |||||||||
Prepayment rates | ||||||||||||
Impact of 10% decrease | 0.23 | years | 0.19 | years | $ | 232 | ||||||
Impact of 20% decrease | 0.5 | 0.4 | 494 | |||||||||
Impact of 10% increase | (0.21 | ) | (0.16 | ) | (208 | ) | ||||||
Impact of 20% increase | (0.39 | ) | (0.31 | ) | (395 | ) | ||||||
OAS level | ||||||||||||
Impact of 100 bps decrease | $ | 158 | ||||||||||
Impact of 200 bps decrease | 329 | |||||||||||
Impact of 100 bps increase | (146 | ) | ||||||||||
Impact of 200 bps increase | (281 | ) |
Business_Segment_Information
Business Segment Information | 12 Months Ended | |||||||||||||||||||||||||||||
Dec. 31, 2014 | ||||||||||||||||||||||||||||||
Segment Reporting [Abstract] | ||||||||||||||||||||||||||||||
Segment Reporting Disclosure | Business Segment Information | |||||||||||||||||||||||||||||
Effective January 1, 2015, to align the segments with how the Corporation manages the businesses in 2015, it changed its basis of presentation, and following such change, reports its results of operations through the following five business segments: Consumer Banking, Global Wealth & Investment Management (GWIM), Global Banking, Global Markets and Legacy Assets & Servicing (LAS), with the remaining operations recorded in All Other. For more information on the Corporation's segment realignment, see Note 1 – Summary of Significant Accounting Principles. | ||||||||||||||||||||||||||||||
Consumer Banking | ||||||||||||||||||||||||||||||
Consumer Banking offers a diversified range of credit, banking and investment products and services to consumers and small businesses. Consumer Banking product offerings include traditional savings accounts, money market savings accounts, CDs and IRAs, noninterest- and interest-bearing checking accounts, investment accounts and products, as well as credit and debit cards, residential mortgages and home equity loans, and direct and indirect loans to consumers and small businesses in the U.S. Customers and clients have access to a franchise network that stretches coast to coast through 32 states and the District of Columbia. The franchise network includes approximately 4,800 financial centers, 15,800 ATMs, nationwide call centers, and online and mobile platforms. | ||||||||||||||||||||||||||||||
Global Wealth & Investment Management | ||||||||||||||||||||||||||||||
GWIM provides a high-touch client experience through a network of financial advisors focused on clients with over $250,000 in total investable assets, as well as tailored solutions to meet clients’ needs through a full set of brokerage, banking and retirement products. GWIM also provides comprehensive wealth management solutions targeted to high net worth and ultra high net worth clients, as well as customized solutions to meet clients’ wealth structuring, investment management, trust and banking needs, including specialty asset management services. | ||||||||||||||||||||||||||||||
Global Banking | ||||||||||||||||||||||||||||||
Global Banking provides a wide range of lending-related products and services, integrated working capital management and treasury solutions to clients, and underwriting and advisory services through the Corporation’s network of offices and client relationship teams. Global Banking’s lending products and services include commercial loans, leases, commitment facilities, trade finance, real estate lending and asset-based lending. Global Banking’s treasury solutions business includes treasury management, foreign exchange and short-term investing options. Global Banking also provides investment banking products to clients such as debt and equity underwriting and distribution, and merger-related and other advisory services. The economics of most investment banking and underwriting activities are shared primarily between Global Banking and Global Markets based on the activities performed by each segment. Global Banking clients generally include middle-market companies, commercial real estate firms, auto dealerships, not-for-profit companies, large global corporations, financial institutions, leasing clients, and mid-sized U.S.-based businesses requiring customized and integrated financial advice and solutions. | ||||||||||||||||||||||||||||||
Global Markets | ||||||||||||||||||||||||||||||
Global Markets offers sales and trading services, including research, to institutional clients across fixed-income, credit, currency, commodity and equity businesses. Global Markets product coverage includes securities and derivative products in both the primary and secondary markets. Global Markets provides market-making, financing, securities clearing, settlement and custody services globally to institutional investor clients in support of their investing and trading activities. Global Markets also works with commercial and corporate clients to provide risk management products using interest rate, equity, credit, currency and commodity derivatives, foreign exchange, fixed-income and mortgage-related products. As a result of market-making activities in these products, Global Markets may be required to manage risk in a broad range of financial products including government securities, equity and equity-linked securities, high-grade and high-yield corporate debt securities, syndicated loans, MBS, commodities and ABS. In addition, the economics of most investment banking and underwriting activities are shared primarily between Global Markets and Global Banking based on the activities performed by each segment. | ||||||||||||||||||||||||||||||
Legacy Assets & Servicing | ||||||||||||||||||||||||||||||
LAS is responsible for mortgage servicing activities related to residential first mortgage and home equity loans serviced for others and loans held by the Corporation, including loans that have been designated as the LAS Portfolios, and manages certain legacy exposures related to mortgage originations, sales and servicing activities (e.g., litigation, representations and warranties). LAS also includes the results of MSR activities, including net hedge results. Home equity loans are held on the balance sheet of LAS, and residential mortgage loans are included as part of All Other. The financial results of the on-balance sheet loans are reported in the segment that owns the loans or in All Other. | ||||||||||||||||||||||||||||||
All Other | ||||||||||||||||||||||||||||||
All Other consists of ALM activities, equity investments, the international consumer card business, liquidating businesses, residual expense allocations and other. ALM activities encompass residential mortgage securities, interest rate and foreign currency risk management activities including the residual net interest income allocation, the impact of certain allocation methodologies and accounting hedge ineffectiveness. Additionally, certain residential mortgage loans that are managed by LAS are held in All Other. The results of certain ALM activities are allocated to the business segments. | ||||||||||||||||||||||||||||||
Basis of Presentation | ||||||||||||||||||||||||||||||
The management accounting and reporting process derives segment and business results by utilizing allocation methodologies for revenue and expense. The net income derived for the businesses is dependent upon revenue and cost allocations using an activity-based costing model, funds transfer pricing, and other methodologies and assumptions management believes are appropriate to reflect the results of the business. | ||||||||||||||||||||||||||||||
Total revenue, net of interest expense, includes net interest income on an FTE basis and noninterest income. The adjustment of net interest income to an FTE basis results in a corresponding increase in income tax expense. The segment results also reflect certain revenue and expense methodologies that are utilized to determine net income. The net interest income of the businesses includes the results of a funds transfer pricing process that matches assets and liabilities with similar interest rate sensitivity and maturity characteristics. In segments where the total of liabilities and equity exceeds assets, which are generally deposit-taking segments, the Corporation allocates assets to match liabilities. Net interest income of the business segments also includes an allocation of net interest income generated by certain of the Corporation’s ALM activities. In addition, the business segments are impacted by the migration of customers and clients and their deposit, loan and brokerage balances between client-managed businesses. Subsequent to the date of migration, the associated net interest income, noninterest income and noninterest expense are recorded in the business to which the customers or clients migrated. | ||||||||||||||||||||||||||||||
The Corporation’s ALM activities include an overall interest rate risk management strategy that incorporates the use of various derivatives and cash instruments to manage fluctuations in earnings and capital that are caused by interest rate volatility. The Corporation’s goal is to manage interest rate sensitivity so that movements in interest rates do not significantly adversely affect earnings and capital. The results of a majority of the Corporation’s ALM activities are allocated to the business segments and fluctuate based on the performance of the ALM activities. ALM activities include external product pricing decisions including deposit pricing strategies, the effects of the Corporation’s internal funds transfer pricing process and the net effects of other ALM activities. | ||||||||||||||||||||||||||||||
Certain expenses not directly attributable to a specific business segment are allocated to the segments. The most significant of these expenses include data and item processing costs and certain centralized or shared functions. Data processing costs are allocated to the segments based on equipment usage. Item processing costs are allocated to the segments based on the volume of items processed for each segment. The costs of certain other centralized or shared functions are allocated based on methodologies that reflect utilization. | ||||||||||||||||||||||||||||||
The table below presents net income (loss) and the components thereto (with net interest income on an FTE basis) for 2014, 2013 and 2012, and total assets at December 31, 2014 and 2013 for each business segment, as well as All Other. | ||||||||||||||||||||||||||||||
Results for Business Segments and All Other | ||||||||||||||||||||||||||||||
At and for the Year Ended December 31 | Total Corporation (1) | Consumer Banking | Global Wealth & | |||||||||||||||||||||||||||
Investment Management | ||||||||||||||||||||||||||||||
(Dollars in millions) | 2014 | 2013 | 2012 | 2014 | 2013 | 2012 | 2014 | 2013 | 2012 | |||||||||||||||||||||
Net interest income (FTE basis) | $ | 40,821 | $ | 43,124 | $ | 41,557 | $ | 20,178 | $ | 20,620 | $ | 20,470 | $ | 5,836 | $ | 6,064 | $ | 5,827 | ||||||||||||
Noninterest income | 44,295 | 46,677 | 42,678 | 10,630 | 11,313 | 12,800 | 12,568 | 11,726 | 10,691 | |||||||||||||||||||||
Total revenue, net of interest expense (FTE basis) | 85,116 | 89,801 | 84,235 | 30,808 | 31,933 | 33,270 | 18,404 | 17,790 | 16,518 | |||||||||||||||||||||
Provision for credit losses | 2,275 | 3,556 | 8,169 | 2,680 | 3,166 | 4,199 | 14 | 56 | 266 | |||||||||||||||||||||
Amortization of intangibles | 936 | 1,086 | 1,264 | 398 | 502 | 622 | 367 | 387 | 410 | |||||||||||||||||||||
Other noninterest expense | 74,181 | 68,128 | 70,829 | 17,458 | 18,409 | 18,818 | 13,280 | 12,646 | 12,312 | |||||||||||||||||||||
Income before income taxes (FTE basis) | 7,724 | 17,031 | 3,973 | 10,272 | 9,856 | 9,631 | 4,743 | 4,701 | 3,530 | |||||||||||||||||||||
Income tax expense (benefit) (FTE basis) | 2,891 | 5,600 | (215 | ) | 3,831 | 3,613 | 3,456 | 1,769 | 1,724 | 1,286 | ||||||||||||||||||||
Net income | $ | 4,833 | $ | 11,431 | $ | 4,188 | $ | 6,441 | $ | 6,243 | $ | 6,175 | $ | 2,974 | $ | 2,977 | $ | 2,244 | ||||||||||||
Year-end total assets | $ | 2,104,534 | $ | 2,102,273 | $ | 589,048 | $ | 567,741 | $ | 274,887 | $ | 271,290 | ||||||||||||||||||
Global Banking | Global Markets | |||||||||||||||||||||||||||||
2014 | 2013 | 2012 | 2014 | 2013 | 2012 | |||||||||||||||||||||||||
Net interest income (FTE basis) | $ | 9,828 | $ | 9,704 | $ | 8,888 | $ | 3,986 | $ | 4,224 | $ | 3,667 | ||||||||||||||||||
Noninterest income | 7,849 | 7,800 | 7,772 | 12,133 | 11,166 | 5,507 | ||||||||||||||||||||||||
Total revenue, net of interest expense (FTE basis) | 17,677 | 17,504 | 16,660 | 16,119 | 15,390 | 9,174 | ||||||||||||||||||||||||
Provision for credit losses | 322 | 1,142 | (321 | ) | 110 | 140 | 34 | |||||||||||||||||||||||
Amortization of intangibles | 45 | 64 | 83 | 65 | 65 | 64 | ||||||||||||||||||||||||
Other noninterest expense | 8,217 | 8,085 | 8,121 | 11,706 | 11,930 | 11,221 | ||||||||||||||||||||||||
Income (loss) before income taxes (FTE basis) | 9,093 | 8,213 | 8,777 | 4,238 | 3,255 | (2,145 | ) | |||||||||||||||||||||||
Income tax expense (benefit) (FTE basis) | 3,338 | 3,013 | 3,194 | 1,519 | 2,101 | (161 | ) | |||||||||||||||||||||||
Net income (loss) | $ | 5,755 | $ | 5,200 | $ | 5,583 | $ | 2,719 | $ | 1,154 | $ | (1,984 | ) | |||||||||||||||||
Year-end total assets | $ | 357,081 | $ | 360,789 | $ | 579,512 | $ | 575,473 | ||||||||||||||||||||||
Legacy Assets & Servicing | All Other | |||||||||||||||||||||||||||||
2014 | 2013 | 2012 | 2014 | 2013 | 2012 | |||||||||||||||||||||||||
Net interest income (FTE basis) | $ | 1,516 | $ | 1,541 | $ | 1,567 | $ | (523 | ) | $ | 971 | $ | 1,138 | |||||||||||||||||
Noninterest income | 1,164 | 2,915 | 2,537 | (49 | ) | 1,757 | 3,371 | |||||||||||||||||||||||
Total revenue, net of interest expense (FTE basis) | 2,680 | 4,456 | 4,104 | (572 | ) | 2,728 | 4,509 | |||||||||||||||||||||||
Provision for credit losses | 127 | (283 | ) | 1,371 | (978 | ) | (665 | ) | 2,620 | |||||||||||||||||||||
Amortization of intangibles | — | — | — | 61 | 68 | 85 | ||||||||||||||||||||||||
Other noninterest expense | 20,643 | 12,483 | 13,759 | 2,877 | 4,575 | 6,598 | ||||||||||||||||||||||||
Loss before income taxes (FTE basis) | (18,090 | ) | (7,744 | ) | (11,026 | ) | (2,532 | ) | (1,250 | ) | (4,794 | ) | ||||||||||||||||||
Income tax benefit (FTE basis) | (4,976 | ) | (2,839 | ) | (3,857 | ) | (2,590 | ) | (2,012 | ) | (4,133 | ) | ||||||||||||||||||
Net income (loss) | $ | (13,114 | ) | $ | (4,905 | ) | $ | (7,169 | ) | $ | 58 | $ | 762 | $ | (661 | ) | ||||||||||||||
Year-end total assets | $ | 45,958 | $ | 59,458 | $ | 258,048 | $ | 267,522 | ||||||||||||||||||||||
(1) | There were no material intersegment revenues. | |||||||||||||||||||||||||||||
The table below presents a reconciliation of the five business segments’ total revenue, net of interest expense, on an FTE basis, and net income to the Consolidated Statement of Income, and total assets to the Consolidated Balance Sheet. The adjustments presented in the table below include consolidated income, expense and asset amounts not specifically allocated to individual business segments. | ||||||||||||||||||||||||||||||
Business Segment Reconciliations | ||||||||||||||||||||||||||||||
(Dollars in millions) | 2014 | 2013 | 2012 | |||||||||||||||||||||||||||
Segments’ total revenue, net of interest expense (FTE basis) | $ | 85,688 | $ | 87,073 | $ | 79,726 | ||||||||||||||||||||||||
Adjustments: | ||||||||||||||||||||||||||||||
ALM activities | (804 | ) | (545 | ) | 2,266 | |||||||||||||||||||||||||
Equity investment income | 729 | 2,737 | 1,252 | |||||||||||||||||||||||||||
Liquidating businesses and other | (497 | ) | 536 | 991 | ||||||||||||||||||||||||||
FTE basis adjustment | (869 | ) | (859 | ) | (901 | ) | ||||||||||||||||||||||||
Consolidated revenue, net of interest expense | $ | 84,247 | $ | 88,942 | $ | 83,334 | ||||||||||||||||||||||||
Segments’ total net income | $ | 4,775 | $ | 10,669 | $ | 4,849 | ||||||||||||||||||||||||
Adjustments, net of taxes: | ||||||||||||||||||||||||||||||
ALM activities | (343 | ) | (929 | ) | (1,144 | ) | ||||||||||||||||||||||||
Equity investment income | 456 | 1,724 | 789 | |||||||||||||||||||||||||||
Liquidating businesses and other | (55 | ) | (33 | ) | (306 | ) | ||||||||||||||||||||||||
Consolidated net income | $ | 4,833 | $ | 11,431 | $ | 4,188 | ||||||||||||||||||||||||
December 31 | ||||||||||||||||||||||||||||||
2014 | 2013 | |||||||||||||||||||||||||||||
Segments’ total assets | $ | 1,846,486 | $ | 1,834,751 | ||||||||||||||||||||||||||
Adjustments: | ||||||||||||||||||||||||||||||
ALM activities, including securities portfolio | 658,319 | 664,519 | ||||||||||||||||||||||||||||
Equity investments | 4,886 | 5,637 | ||||||||||||||||||||||||||||
Liquidating businesses and other | 73,018 | 70,879 | ||||||||||||||||||||||||||||
Elimination of segment asset allocations to match liabilities | (478,175 | ) | (473,513 | ) | ||||||||||||||||||||||||||
Consolidated total assets | $ | 2,104,534 | $ | 2,102,273 | ||||||||||||||||||||||||||
Parent_Company_Information
Parent Company Information | 12 Months Ended | |||||||||||
Dec. 31, 2014 | ||||||||||||
Condensed Financial Information of Parent Company Only Disclosure [Abstract] | ||||||||||||
Parent Company Information | Parent Company Information | |||||||||||
The following tables present the Parent Company-only financial information. This financial information is presented in accordance with bank regulatory reporting requirements and, accordingly, the information for 2012 has not been restated for the 2013 merger of Merrill Lynch & Co., Inc. into Bank of America Corporation. | ||||||||||||
Condensed Statement of Income | ||||||||||||
(Dollars in millions) | 2014 | 2013 | 2012 | |||||||||
Income | ||||||||||||
Dividends from subsidiaries: | ||||||||||||
Bank holding companies and related subsidiaries | $ | 12,400 | $ | 8,532 | $ | 16,213 | ||||||
Nonbank companies and related subsidiaries | 149 | 357 | 542 | |||||||||
Interest from subsidiaries | 1,836 | 2,087 | 627 | |||||||||
Other income (loss) | 72 | 233 | (304 | ) | ||||||||
Total income | 14,457 | 11,209 | 17,078 | |||||||||
Expense | ||||||||||||
Interest on borrowed funds | 7,213 | 8,109 | 6,147 | |||||||||
Noninterest expense | 4,471 | 10,938 | 10,872 | |||||||||
Total expense | 11,684 | 19,047 | 17,019 | |||||||||
Income (loss) before income taxes and equity in undistributed earnings of subsidiaries | 2,773 | (7,838 | ) | 59 | ||||||||
Income tax benefit | (4,079 | ) | (7,227 | ) | (5,883 | ) | ||||||
Income (loss) before equity in undistributed earnings of subsidiaries | 6,852 | (611 | ) | 5,942 | ||||||||
Equity in undistributed earnings (losses) of subsidiaries: | ||||||||||||
Bank holding companies and related subsidiaries | 3,613 | 14,150 | 1,072 | |||||||||
Nonbank companies and related subsidiaries | (5,632 | ) | (2,108 | ) | (2,826 | ) | ||||||
Total equity in undistributed earnings (losses) of subsidiaries | (2,019 | ) | 12,042 | (1,754 | ) | |||||||
Net income | $ | 4,833 | $ | 11,431 | $ | 4,188 | ||||||
Net income applicable to common shareholders | $ | 3,789 | $ | 10,082 | $ | 2,760 | ||||||
Condensed Balance Sheet | ||||||||||||
31-Dec | ||||||||||||
(Dollars in millions) | 2014 | 2013 | ||||||||||
Assets | ||||||||||||
Cash held at bank subsidiaries (1) | $ | 100,304 | $ | 98,679 | ||||||||
Securities | 932 | 747 | ||||||||||
Receivables from subsidiaries: | ||||||||||||
Bank holding companies and related subsidiaries | 23,356 | 23,558 | ||||||||||
Banks and related subsidiaries | 2,395 | 1,682 | ||||||||||
Nonbank companies and related subsidiaries | 52,251 | 46,577 | ||||||||||
Investments in subsidiaries: | ||||||||||||
Bank holding companies and related subsidiaries | 270,441 | 268,234 | ||||||||||
Nonbank companies and related subsidiaries | 2,139 | 1,818 | ||||||||||
Other assets | 14,599 | 19,073 | ||||||||||
Total assets | $ | 466,417 | $ | 460,368 | ||||||||
Liabilities and shareholders’ equity | ||||||||||||
Short-term borrowings | $ | 46 | $ | 181 | ||||||||
Accrued expenses and other liabilities | 16,872 | 15,428 | ||||||||||
Payables to subsidiaries: | ||||||||||||
Banks and related subsidiaries | 2,559 | 1,991 | ||||||||||
Nonbank companies and related subsidiaries | 17,698 | 15,980 | ||||||||||
Long-term debt | 185,771 | 194,103 | ||||||||||
Total liabilities | 222,946 | 227,683 | ||||||||||
Shareholders’ equity | 243,471 | 232,685 | ||||||||||
Total liabilities and shareholders’ equity | $ | 466,417 | $ | 460,368 | ||||||||
(1) | Balance includes third-party cash held of $29 million and $33 million at December 31, 2014 and 2013. | |||||||||||
Condensed Statement of Cash Flows | ||||||||||||
(Dollars in millions) | 2014 | 2013 | 2012 | |||||||||
Operating activities | ||||||||||||
Net income | $ | 4,833 | $ | 11,431 | $ | 4,188 | ||||||
Reconciliation of net income to net cash provided by (used in) operating activities: | ||||||||||||
Equity in undistributed (earnings) losses of subsidiaries | 2,019 | (12,042 | ) | 1,754 | ||||||||
Other operating activities, net | 2,143 | (10,422 | ) | (3,432 | ) | |||||||
Net cash provided by (used in) operating activities | 8,995 | (11,033 | ) | 2,510 | ||||||||
Investing activities | ||||||||||||
Net sales (purchases) of securities | (142 | ) | 459 | 13 | ||||||||
Net payments from (to) subsidiaries | (5,902 | ) | 39,336 | 12,973 | ||||||||
Other investing activities, net | 19 | 3 | 445 | |||||||||
Net cash provided by (used in) investing activities | (6,025 | ) | 39,798 | 13,431 | ||||||||
Financing activities | ||||||||||||
Net increase (decrease) in short-term borrowings | (55 | ) | 178 | (616 | ) | |||||||
Net increase (decrease) in other advances | 1,264 | (14,378 | ) | 10,100 | ||||||||
Proceeds from issuance of long-term debt | 29,324 | 30,966 | 17,176 | |||||||||
Retirement of long-term debt | (33,854 | ) | (39,320 | ) | (63,851 | ) | ||||||
Proceeds from issuance of preferred stock | 5,957 | 1,008 | 667 | |||||||||
Redemption of preferred stock | — | (6,461 | ) | — | ||||||||
Common stock repurchased | (1,675 | ) | (3,220 | ) | — | |||||||
Cash dividends paid | (2,306 | ) | (1,677 | ) | (1,909 | ) | ||||||
Other financing activities, net | — | — | (668 | ) | ||||||||
Net cash used in financing activities | (1,345 | ) | (32,904 | ) | (39,101 | ) | ||||||
Net increase (decrease) in cash held at bank subsidiaries | 1,625 | (4,139 | ) | (23,160 | ) | |||||||
Cash held at bank subsidiaries at January 1 | 98,679 | 102,818 | 124,991 | |||||||||
Cash held at bank subsidiaries at December 31 | $ | 100,304 | $ | 98,679 | $ | 101,831 | ||||||
Performance_by_Geographic_Area
Performance by Geographic Area | 12 Months Ended | |||||||||||||||||
Dec. 31, 2014 | ||||||||||||||||||
Segments, Geographical Areas [Abstract] | ||||||||||||||||||
Performance by Geographic Area | Performance by Geographical Area | |||||||||||||||||
Since the Corporation’s operations are highly integrated, certain asset, liability, income and expense amounts must be allocated to arrive at total assets, total revenue, net of interest expense, income before income taxes and net income (loss) by geographic area. The Corporation identifies its geographic performance based on the business unit structure used to manage the capital or expense deployed in the region as applicable. This requires certain judgments related to the allocation of revenue so that revenue can be appropriately matched with the related capital or expense deployed in the region. | ||||||||||||||||||
31-Dec | Year Ended December 31 | |||||||||||||||||
(Dollars in millions) | Year | Total Assets (1) | Total Revenue, Net of Interest Expense (2) | Income Before Income Taxes | Net Income (Loss) | |||||||||||||
U.S. (3) | 2014 | $ | 1,792,719 | $ | 72,960 | $ | 4,643 | $ | 3,305 | |||||||||
2013 | 1,803,243 | 76,612 | 13,221 | 10,588 | ||||||||||||||
2012 | 72,175 | 1,867 | 4,116 | |||||||||||||||
Asia (4) | 2014 | 92,005 | 3,605 | 759 | 473 | |||||||||||||
2013 | 98,605 | 4,442 | 1,382 | 887 | ||||||||||||||
2012 | 3,478 | 353 | 282 | |||||||||||||||
Europe, Middle East and Africa | 2014 | 190,365 | 6,409 | 1,098 | 813 | |||||||||||||
2013 | 169,708 | 6,353 | 1,003 | (403 | ) | |||||||||||||
2012 | 6,011 | 323 | (543 | ) | ||||||||||||||
Latin America and the Caribbean | 2014 | 29,445 | 1,273 | 355 | 242 | |||||||||||||
2013 | 30,717 | 1,535 | 566 | 359 | ||||||||||||||
2012 | 1,670 | 529 | 333 | |||||||||||||||
Total Non-U.S. | 2014 | 311,815 | 11,287 | 2,212 | 1,528 | |||||||||||||
2013 | 299,030 | 12,330 | 2,951 | 843 | ||||||||||||||
2012 | 11,159 | 1,205 | 72 | |||||||||||||||
Total Consolidated | 2014 | $ | 2,104,534 | $ | 84,247 | $ | 6,855 | $ | 4,833 | |||||||||
2013 | 2,102,273 | 88,942 | 16,172 | 11,431 | ||||||||||||||
2012 | 83,334 | 3,072 | 4,188 | |||||||||||||||
(1) | Total assets include long-lived assets, which are primarily located in the U.S. | |||||||||||||||||
(2) | There were no material intercompany revenues between geographic regions for any of the periods presented. | |||||||||||||||||
(3) | Substantially reflects the U.S. | |||||||||||||||||
(4) | Amounts include pretax gains of $753 million ($474 million net-of-tax) on the sale of common shares of CCB during 2013. |
Summary_of_Significant_Account1
Summary of Significant Accounting Principles (Policies) | 12 Months Ended | |
Dec. 31, 2014 | ||
Accounting Policies [Abstract] | ||
Consolidation | The Consolidated Financial Statements include the accounts of the Corporation and its majority-owned subsidiaries, and those variable interest entities (VIEs) where the Corporation is the primary beneficiary. Intercompany accounts and transactions have been eliminated. Results of operations of acquired companies are included from the dates of acquisition and for VIEs, from the dates that the Corporation became the primary beneficiary. Assets held in an agency or fiduciary capacity are not included in the Consolidated Financial Statements. The Corporation accounts for investments in companies for which it owns a voting interest and for which it has the ability to exercise significant influence over operating and financing decisions using the equity method of accounting. These investments are included in other assets. Equity method investments are subject to impairment testing and the Corporation’s proportionate share of income or loss is included in equity investment income. | |
Basis of Accounting | The preparation of the Consolidated Financial Statements in conformity with accounting principles generally accepted in the United States of America requires management to make estimates and assumptions that affect reported amounts and disclosures. Realized results could differ from those estimates and assumptions. | |
The Corporation evaluates subsequent events through the date of filing with the Securities and Exchange Commission (SEC). Certain prior-period amounts have been reclassified to conform to current period presentation. | ||
New Accounting Pronouncements | In August 2014, the Financial Accounting Standards Board (FASB) issued new accounting guidance on classification and measurement of foreclosed mortgage loans that are government guaranteed. This new guidance states that such foreclosed properties should be classified as other assets and measured based on the amount of the loan balance expected to be recovered from the guarantor. The new guidance is effective beginning on January 1, 2015 using either a prospective or modified retrospective transition method. This new guidance will not have a material impact on the Corporation’s consolidated financial position or results of operations. | |
In August 2014, the FASB issued new accounting guidance that provides a measurement alternative for entities that consolidate a collateralized financing entity (CFE). The new guidance allows an entity to measure both the financial assets and financial liabilities of a CFE using the fair value of either the financial assets or financial liabilities, whichever is more observable. This alternative is available for CFEs where the financial assets and financial liabilities are carried at fair value and changes in fair value are reported in earnings. The new guidance is effective beginning on January 1, 2016. This new guidance will not have a material impact on the Corporation’s consolidated financial position or results of operations. | ||
In June 2014, the FASB issued new guidance on accounting and disclosure of repurchase-to-maturity (RTM) transactions and repurchase financings (repos). Under this new accounting guidance, RTMs will be accounted for as secured borrowings rather than sales of an asset, and transfers of financial assets with a contemporaneous repo will no longer be evaluated to determine whether they should be accounted for on a combined basis as forward contracts. The new guidance also prescribes additional disclosures particularly on the nature of collateral pledged in repos accounted for as secured borrowings. The new guidance is effective beginning on January 1, 2015. This new guidance will not have a material impact on the Corporation’s consolidated financial position or results of operations. | ||
In May 2014, the FASB issued new accounting guidance to clarify the principles for recognizing revenue from contracts with customers. The new accounting guidance, which does not apply to financial instruments, is effective on a retrospective basis beginning on January 1, 2017. The Corporation does not expect the new guidance to have a material impact on its consolidated financial position or results of operations. | ||
In January 2014, the FASB issued new guidance on accounting for qualified affordable housing projects which permits entities to make an accounting policy election to apply the proportional amortization method when specific conditions are met. The new accounting guidance is effective on a retrospective basis beginning on January 1, 2015 with early adoption permitted. The Corporation is currently assessing whether it will adopt the proportional amortization method. If adopted, the Corporation does not expect it to have a material impact on its consolidated financial position or results of operations. | ||
In December 2012, the FASB issued a proposed standard on accounting for credit losses. It would replace multiple existing impairment models, including an “incurred loss” model for loans, with an “expected loss” model. The FASB has not yet established an effective date but a final standard is expected to be issued in the second half of 2015. The final standard may materially reduce retained earnings in the period of adoption. | ||
Cash and Cash Equivalents | Cash and cash equivalents include cash on hand, cash items in the process of collection, cash segregated under federal and other brokerage regulations, and amounts due from correspondent banks, the Federal Reserve Bank and certain non-U.S. central banks. | |
Securities Financing Agreements | Securities borrowed or purchased under agreements to resell and securities loaned or sold under agreements to repurchase (securities financing agreements) are treated as collateralized financing transactions except in instances where the transaction is required to be accounted for as individual sale and purchase transactions. Generally, these agreements are recorded at the amounts at which the securities were acquired or sold plus accrued interest, except for certain securities financing agreements that the Corporation accounts for under the fair value option. Changes in the fair value of securities financing agreements that are accounted for under the fair value option are recorded in trading account profits in the Consolidated Statement of Income. For more information on securities financing agreements that the Corporation accounts for under the fair value option, see Note 21 – Fair Value Option. | |
The Corporation’s policy is to obtain possession of collateral with a market value equal to or in excess of the principal amount loaned under resale agreements. To ensure that the market value of the underlying collateral remains sufficient, collateral is generally valued daily and the Corporation may require counterparties to deposit additional collateral or may return collateral pledged when appropriate. Securities financing agreements give rise to negligible credit risk as a result of these collateral provisions and, accordingly, no allowance for loan losses is considered necessary. | ||
Substantially all repurchase and resale activities are transacted under legally enforceable master repurchase agreements that give the Corporation, in the event of default by the counterparty, the right to liquidate securities held and to offset receivables and payables with the same counterparty. The Corporation offsets repurchase and resale transactions with the same counterparty on the Consolidated Balance Sheet where it has such a legally enforceable master netting agreement and the transactions have the same maturity date. | ||
In transactions where the Corporation acts as the lender in a securities lending agreement and receives securities that can be pledged or sold as collateral, it recognizes an asset on the Consolidated Balance Sheet at fair value, representing the securities received, and a liability, representing the obligation to return those securities. | ||
In repurchase transactions, typically, the termination date for a repurchase agreement is before the maturity date of the underlying security. However, in certain situations, the Corporation may enter into repurchase agreements where the termination date of the repurchase transaction is the same as the maturity date of the underlying security and these transactions are referred to as “repo-to-maturity” (RTM) transactions. In accordance with applicable accounting guidance, the Corporation accounts for RTM transactions as sales and purchases when the transferred securities are highly liquid. In instances where securities are considered sold or purchased, the Corporation removes the securities from or recognizes the securities on the Consolidated Balance Sheet and, in the case of sales, recognizes a gain or loss, where applicable, in the Consolidated Statement of Income. At December 31, 2014 and 2013, the Corporation had no outstanding RTM transactions that had been accounted for as sales and an immaterial amount of transactions that had been accounted for as purchases. | ||
Collateral | The Corporation accepts securities as collateral that it is permitted by contract or custom to sell or repledge. At December 31, 2014 and 2013, the fair value of this collateral was $519.2 billion and $575.3 billion, of which $424.5 billion and $430.4 billion was sold or repledged. The primary source of this collateral is securities borrowed or purchased under agreements to resell. The Corporation also pledges company-owned securities and loans as collateral in transactions that include repurchase agreements, securities loaned, public and trust deposits, U.S. Treasury tax and loan notes, and short-term borrowings. This collateral, which in some cases can be sold or repledged by the counterparties to the transactions, is parenthetically disclosed on the Consolidated Balance Sheet. | |
In certain cases, the Corporation has transferred assets to consolidated VIEs where those restricted assets serve as collateral for the interests issued by the VIEs. These assets are included on the Consolidated Balance Sheet in Assets of Consolidated VIEs. | ||
In addition, the Corporation obtains collateral in connection with its derivative contracts. Required collateral levels vary depending on the credit risk rating and the type of counterparty. Generally, the Corporation accepts collateral in the form of cash, U.S. Treasury securities and other marketable securities. Based on provisions contained in master netting agreements, the Corporation nets cash collateral received against derivative assets. The Corporation also pledges collateral on its own derivative positions which can be applied against derivative liabilities. | ||
Trading Instruments | Financial instruments utilized in trading activities are carried at fair value. Fair value is generally based on quoted market prices or quoted market prices for similar assets and liabilities. If these market prices are not available, fair values are estimated based on dealer quotes, pricing models, discounted cash flow methodologies, or similar techniques where the determination of fair value may require significant management judgment or estimation. Realized gains and losses are recorded on a trade-date basis. Realized and unrealized gains and losses are recognized in trading account profits. | |
Derivatives and Hedging Activities | Derivatives are entered into on behalf of customers, for trading or to support risk management activities. Derivatives used in risk management activities include derivatives that are both designated in qualifying accounting hedge relationships and derivatives used to hedge market risks in relationships that are not designated in qualifying accounting hedge relationships (referred to as other risk management activities). Derivatives utilized by the Corporation include swaps, financial futures and forward settlement contracts, and option contracts. A swap agreement is a contract between two parties to exchange cash flows based on specified underlying notional amounts, assets and/or indices. Financial futures and forward settlement contracts are agreements to buy or sell a quantity of a financial instrument (including another derivative financial instrument), index, currency or commodity at a predetermined rate or price during a period or at a date in the future. Option agreements can be transacted on organized exchanges or directly between parties. | |
All derivatives are recorded on the Consolidated Balance Sheet at fair value, taking into consideration the effects of legally enforceable master netting agreements that allow the Corporation to settle positive and negative positions and offset cash collateral held with the same counterparty on a net basis. For exchange-traded contracts, fair value is based on quoted market prices in active or inactive markets or is derived from observable market- based pricing parameters, similar to those applied to over-the-counter (OTC) derivatives. For non-exchange traded contracts, fair value is based on dealer quotes, pricing models, discounted cash flow methodologies or similar techniques for which the determination of fair value may require significant management judgment or estimation. | ||
Valuations of derivative assets and liabilities reflect the value of the instrument including counterparty credit risk. These values also take into account the Corporation’s own credit standing. | ||
Trading Derivatives and Other Risk Management Activities | ||
Derivatives held for trading purposes are included in derivative assets or derivative liabilities on the Consolidated Balance Sheet with changes in fair value included in trading account profits. | ||
Derivatives used for other risk management activities are included in derivative assets or derivative liabilities. Derivatives used in other risk management activities have not been designated in a qualifying accounting hedge relationship because they did not qualify or the risk that is being mitigated pertains to an item that is reported at fair value through earnings so that the effect of measuring the derivative instrument and the asset or liability to which the risk exposure pertains will offset in the Consolidated Statement of Income to the extent effective. The changes in the fair value of derivatives that serve to mitigate certain risks associated with mortgage servicing rights (MSRs), interest rate lock commitments (IRLCs) and first mortgage loans held-for-sale (LHFS) that are originated by the Corporation are recorded in mortgage banking income. Changes in the fair value of derivatives that serve to mitigate interest rate risk and foreign currency risk are included in other income (loss). Credit derivatives are also used by the Corporation to mitigate the risk associated with various credit exposures. The changes in the fair value of these derivatives are included in other income (loss). | ||
Derivatives Used For Hedge Accounting Purposes (Accounting Hedges) | ||
For accounting hedges, the Corporation formally documents at inception all relationships between hedging instruments and hedged items, as well as the risk management objectives and strategies for undertaking various accounting hedges. Additionally, the Corporation primarily uses regression analysis at the inception of a hedge and for each reporting period thereafter to assess whether the derivative used in a hedging transaction is expected to be and has been highly effective in offsetting changes in the fair value or cash flows of a hedged item or forecasted transaction. The Corporation discontinues hedge accounting when it is determined that a derivative is not expected to be or has ceased to be highly effective as a hedge, and then reflects changes in fair value of the derivative in earnings after termination of the hedge relationship. | ||
The Corporation uses its accounting hedges as either fair value hedges, cash flow hedges or hedges of net investments in foreign operations. The Corporation manages interest rate and foreign currency exchange rate sensitivity predominantly through the use of derivatives. Fair value hedges are used to protect against changes in the fair value of the Corporation’s assets and liabilities that are attributable to interest rate or foreign exchange volatility. Cash flow hedges are used primarily to minimize the variability in cash flows of assets or liabilities, or forecasted transactions caused by interest rate or foreign exchange fluctuations. For terminated cash flow hedges, the maximum length of time over which forecasted transactions are hedged is approximately 25 years, with a substantial portion of the hedged transactions being less than 10 years. For open or future cash flow hedges, the maximum length of time over which forecasted transactions are or will be hedged is less than seven years. | ||
Changes in the fair value of derivatives designated as fair value hedges are recorded in earnings, together and in the same income statement line item with changes in the fair value of the related hedged item. Changes in the fair value of derivatives designated as cash flow hedges are recorded in accumulated other comprehensive income (OCI) and are reclassified into the line item in the income statement in which the hedged item is recorded in the same period the hedged item affects earnings. Hedge ineffectiveness and gains and losses on the excluded component of a derivative in assessing hedge effectiveness are recorded in earnings in the same income statement line item. The Corporation records changes in the fair value of derivatives used as hedges of the net investment in foreign operations, to the extent effective, as a component of accumulated OCI. | ||
If a derivative instrument in a fair value hedge is terminated or the hedge designation removed, the previous adjustments to the carrying value of the hedged asset or liability are subsequently accounted for in the same manner as other components of the carrying value of that asset or liability. For interest-earning assets and interest-bearing liabilities, such adjustments are amortized to earnings over the remaining life of the respective asset or liability. If a derivative instrument in a cash flow hedge is terminated or the hedge designation is removed, related amounts in accumulated OCI are reclassified into earnings in the same period or periods during which the hedged forecasted transaction affects earnings. If it becomes probable that a forecasted transaction will not occur, any related amounts in accumulated OCI are reclassified into earnings in that period. | ||
Interest Rate Lock Commitments | The Corporation enters into IRLCs in connection with its mortgage banking activities to fund residential mortgage loans at specified times in the future. IRLCs that relate to the origination of mortgage loans that will be classified as held-for-sale are considered derivative instruments under applicable accounting guidance. As such, these IRLCs are recorded at fair value with changes in fair value recorded in mortgage banking income, typically resulting in recognition of a gain when the Corporation enters into IRLCs. | |
In estimating the fair value of an IRLC, the Corporation assigns a probability that the loan commitment will be exercised and the loan will be funded. The fair value of the commitments is derived from the fair value of related mortgage loans which is based on observable market data and includes the expected net future cash flows related to servicing of the loans. Changes in the fair value of IRLCs are recognized based on interest rate changes, changes in the probability that the commitment will be exercised and the passage of time. Changes from the expected future cash flows related to the customer relationship are excluded from the valuation of IRLCs. | ||
Outstanding IRLCs expose the Corporation to the risk that the price of the loans underlying the commitments might decline from inception of the rate lock to funding of the loan. To manage this risk, the Corporation utilizes forward loan sales commitments and other derivative instruments, including interest rate swaps and options, to economically hedge the risk of potential changes in the value of the loans that would result from the commitments. The changes in the fair value of these derivatives are recorded in mortgage banking income. | ||
Securities | Securities | |
Debt securities are recorded on the Consolidated Balance Sheet as of their trade date. Debt securities bought principally with the intent to buy and sell in the short term as part of the Corporation’s trading activities are reported at fair value in trading account assets with unrealized gains and losses included in trading account profits. Debt securities purchased for longer term investment purposes, as part of asset and liability management (ALM) and other strategic activities are generally reported at fair value as available-for-sale (AFS) securities with net unrealized gains and losses net-of-tax included in accumulated OCI. Certain other debt securities purchased for ALM and other strategic purposes are reported at fair value with unrealized gains and losses reported in other income (loss). These are referred to as other debt securities carried at fair value. AFS securities and other debt securities carried at fair value are reported in debt securities on the Consolidated Balance Sheet. The Corporation may hedge these other debt securities with risk management derivatives with the unrealized gains and losses also reported in other income (loss). The debt securities are carried at fair value with unrealized gains and losses reported in other income (loss) to mitigate accounting asymmetry with the risk management derivatives and to achieve operational simplifications. Debt securities which management has the intent and ability to hold to maturity are reported at amortized cost. Certain debt securities purchased for use in other risk management activities, such as hedging certain market risks related to MSRs, are reported in other assets at fair value with unrealized gains and losses reported in the same line item as the item being hedged. | ||
The Corporation regularly evaluates each AFS and held-to-maturity (HTM) debt security where the value has declined below amortized cost to assess whether the decline in fair value is other than temporary. In determining whether an impairment is other than temporary, the Corporation considers the severity and duration of the decline in fair value, the length of time expected for recovery, the financial condition of the issuer, and other qualitative factors, as well as whether the Corporation either plans to sell the security or it is more-likely-than-not that it will be required to sell the security before recovery of the amortized cost. If the impairment of the AFS or HTM debt security is credit-related, an other-than-temporary impairment (OTTI) loss is recorded in earnings. For AFS debt securities, the non-credit-related impairment loss is recognized in accumulated OCI. If the Corporation intends to sell an AFS debt security or believes it will more-likely-than-not be required to sell a security, the Corporation records the full amount of the impairment loss as an OTTI loss. | ||
Interest on debt securities, including amortization of premiums and accretion of discounts, is included in interest income. Premiums and discounts are amortized to interest income over the estimated lives of the securities. Prepayment experience, which is primarily driven by interest rates, is continually evaluated to determine the estimated lives of the securities. When a change is made to the estimated lives of the securities, the related premium or discount is adjusted, with a corresponding charge or credit to interest income, to the appropriate amount had the current estimated lives been applied since the acquisition of the securities. Realized gains and losses from the sales of debt securities are determined using the specific identification method. | ||
Marketable equity securities are classified based on management’s intention on the date of purchase and recorded on the Consolidated Balance Sheet as of the trade date. Marketable equity securities that are bought and held principally for the purpose of resale in the near term are classified as trading and are carried at fair value with unrealized gains and losses included in trading account profits. Other marketable equity securities are accounted for as AFS and classified in other assets. All AFS marketable equity securities are carried at fair value with net unrealized gains and losses included in accumulated OCI on an after-tax basis. If there is an other-than-temporary decline in the fair value of any individual AFS marketable equity security, the cost basis is reduced and the Corporation reclassifies the associated net unrealized loss out of accumulated OCI with a corresponding charge to equity investment income. Dividend income on AFS marketable equity securities is included in equity investment income. Realized gains and losses on the sale of all AFS marketable equity securities, which are recorded in equity investment income, are determined using the specific identification method. | ||
Certain equity investments held by Global Principal Investments (GPI), the Corporation’s diversified equity investor in private equity, real estate and other alternative investments, are subject to investment company accounting under applicable accounting guidance and, accordingly, are carried at fair value with changes in fair value reported in equity investment income. These investments are included in other assets. Initially, the transaction price of the investment is generally considered to be the best indicator of fair value. Thereafter, valuation of direct investments is based on an assessment of each individual investment using methodologies that include publicly-traded comparables derived by multiplying a key performance metric of the portfolio company by the relevant valuation multiple observed for comparable companies, acquisition comparables, entry level multiples and discounted cash flow analyses, and are subject to appropriate discounts for lack of liquidity or marketability. For fund investments, the Corporation generally records the fair value of its proportionate interest in the fund’s capital as reported by the respective fund managers. | ||
Loans and Leases | Loans, with the exception of loans accounted for under the fair value option, are measured at historical cost and reported at their outstanding principal balances net of any unearned income, charge-offs, unamortized deferred fees and costs on originated loans, and for purchased loans, net of any unamortized premiums or discounts. Loan origination fees and certain direct origination costs are deferred and recognized as adjustments to interest income over the lives of the related loans. Unearned income, discounts and premiums are amortized to interest income using a level yield methodology. The Corporation elects to account for certain consumer and commercial loans under the fair value option with changes in fair value reported in other income (loss). | |
Under applicable accounting guidance, for reporting purposes, the loan and lease portfolio is categorized by portfolio segment and, within each portfolio segment, by class of financing receivables. A portfolio segment is defined as the level at which an entity develops and documents a systematic methodology to determine the allowance for credit losses, and a class of financing receivables is defined as the level of disaggregation of portfolio segments based on the initial measurement attribute, risk characteristics and methods for assessing risk. The Corporation’s three portfolio segments are Consumer Real Estate (formerly referred to as Home Loans), Credit Card and Other Consumer, and Commercial. The classes within the Consumer Real Estate portfolio segment are core portfolio residential mortgage, Legacy Assets & Servicing residential mortgage, core portfolio home equity and Legacy Assets & Servicing home equity. The classes within the Credit Card and Other Consumer portfolio segment are U.S. credit card, non-U.S. credit card, direct/indirect consumer and other consumer. The classes within the Commercial portfolio segment are U.S. commercial, commercial real estate, commercial lease financing, non-U.S. commercial and U.S. small business commercial. | ||
Purchased Credit-impaired Loans | ||
The Corporation purchases loans with and without evidence of credit quality deterioration since origination. Evidence of credit quality deterioration as of the purchase date may include statistics such as past due status, refreshed borrower credit scores and refreshed loan-to-value (LTV) ratios, some of which are not immediately available as of the purchase date. Purchased loans with evidence of credit quality deterioration for which it is probable that the Corporation will not receive all contractually required payments receivable are accounted for as purchased credit- impaired (PCI) loans. The excess of the cash flows expected to be collected on PCI loans, measured as of the acquisition date, over the estimated fair value is referred to as the accretable yield and is recognized in interest income over the remaining life of the loan using a level yield methodology. The difference between contractually required payments as of the acquisition date and the cash flows expected to be collected is referred to as the nonaccretable difference. PCI loans that have similar risk characteristics, primarily credit risk, collateral type and interest rate risk, are pooled and accounted for as a single asset with a single composite interest rate and an aggregate expectation of cash flows. Once a pool is assembled, it is treated as if it was one loan for purposes of applying the accounting guidance for PCI loans. An individual loan is removed from a PCI loan pool if it is sold, foreclosed, forgiven or the expectation of any future proceeds is remote. When a loan is removed from a PCI loan pool and the foreclosure or recovery value of the loan is less than the loan’s carrying value, the difference is first applied against the PCI pool’s nonaccretable difference. If the nonaccretable difference has been fully utilized, only then is the PCI pool’s basis applicable to that loan written-off against its valuation reserve; however, the integrity of the pool is maintained and it continues to be accounted for as if it was one loan. | ||
The Corporation continues to estimate cash flows expected to be collected over the life of the PCI loans using internal credit risk, interest rate and prepayment risk models that incorporate management’s best estimate of current key assumptions such as default rates, loss severity and prepayment speeds. If, upon subsequent evaluation, the Corporation determines it is probable that the present value of the expected cash flows has decreased, the PCI loan is considered to be further impaired resulting in a charge to the provision for credit losses and a corresponding increase to a valuation allowance included in the allowance for loan and lease losses. The present value of the expected cash flows is then recalculated each period, which may result in additional impairment or a reduction of the valuation allowance. If there is no valuation allowance and it is probable that there is a significant increase in the present value of the expected cash flows, the Corporation recalculates the amount of accretable yield as the excess of the revised expected cash flows over the current carrying value resulting in a reclassification from nonaccretable difference to accretable yield. Reclassifications from nonaccretable difference can also occur if there is a change in the expected lives of the loans. The present value of the expected cash flows is determined using the PCI loans’ effective interest rate, adjusted for changes in the PCI loans’ interest rate indices. | ||
Leases | ||
The Corporation provides equipment financing to its customers through a variety of lease arrangements. Direct financing leases are carried at the aggregate of lease payments receivable plus estimated residual value of the leased property less unearned income. Leveraged leases, which are a form of financing leases, are reported net of non-recourse debt. Unearned income on leveraged and direct financing leases is accreted to interest income over the lease terms using methods that approximate the interest method. | ||
Allowance for Credit Losses | The allowance for credit losses, which includes the allowance for loan and lease losses and the reserve for unfunded lending commitments, represents management’s estimate of probable losses inherent in the Corporation’s lending activities. The allowance for loan and lease losses and the reserve for unfunded lending commitments exclude amounts for loans and unfunded lending commitments accounted for under the fair value option as the fair values of these instruments reflect a credit component. The allowance for loan and lease losses does not include amounts related to accrued interest receivable, other than billed interest and fees on credit card receivables, as accrued interest receivable is reversed when a loan is placed on nonaccrual status. The allowance for loan and lease losses represents the estimated probable credit losses on funded consumer and commercial loans and leases while the reserve for unfunded lending commitments, including standby letters of credit and binding unfunded loan commitments, represents estimated probable credit losses on these unfunded credit instruments based on utilization assumptions. Lending-related credit exposures deemed to be uncollectible, excluding loans carried at fair value, are charged off against these accounts. Write-offs on PCI loans on which there is a valuation allowance are written-off against the valuation allowance. For additional information, see Purchased Credit-impaired Loans in this Note. Cash recovered on previously charged-off amounts is recorded as a recovery to these accounts. Management evaluates the adequacy of the allowance for credit losses based on the combined total of the allowance for loan and lease losses and the reserve for unfunded lending commitments. | |
The Corporation performs periodic and systematic detailed reviews of its lending portfolios to identify credit risks and to assess the overall collectability of those portfolios. The allowance on certain homogeneous consumer loan portfolios, which generally consist of consumer real estate within the Consumer Real Estate portfolio segment and credit card loans within the Credit Card and Other Consumer portfolio segment, is based on aggregated portfolio segment evaluations generally by product type. Loss forecast models are utilized for these portfolios which consider a variety of factors including, but not limited to, historical loss experience, estimated defaults or foreclosures based on portfolio trends, delinquencies, bankruptcies, economic conditions and credit scores. | ||
The Corporation’s Consumer Real Estate portfolio segment is comprised primarily of large groups of homogeneous consumer loans secured by residential real estate. The amount of losses incurred in the homogeneous loan pools is estimated based on the number of loans that will default and the loss in the event of default. Using modeling methodologies, the Corporation estimates the number of homogeneous loans that will default based on the individual loans’ attributes aggregated into pools of homogeneous loans with similar attributes. The attributes that are most significant to the probability of default and are used to estimate defaults include refreshed LTV or, in the case of a subordinated lien, refreshed combined LTV, borrower credit score, months since origination (referred to as vintage) and geography, all of which are further broken down by present collection status (whether the loan is current, delinquent, in default or in bankruptcy). This estimate is based on the Corporation’s historical experience with the loan portfolio. The estimate is adjusted to reflect an assessment of environmental factors not yet reflected in the historical data underlying the loss estimates, such as changes in real estate values, local and national economies, underwriting standards and the regulatory environment. The probability of default on a loan is based on an analysis of the movement of loans with the measured attributes from either current or any of the delinquency categories to default over a 12-month period. On home equity loans where the Corporation holds only a second-lien position and foreclosure is not the best alternative, the loss severity is estimated at 100 percent. | ||
The allowance on certain commercial loans (except business card and certain small business loans) is calculated using loss rates delineated by risk rating and product type. Factors considered when assessing loss rates include the value of the underlying collateral, if applicable, the industry of the obligor, and the obligor’s liquidity and other financial indicators along with certain qualitative factors. These statistical models are updated regularly for changes in economic and business conditions. Included in the analysis of consumer and commercial loan portfolios are reserves which are maintained to cover uncertainties that affect the Corporation’s estimate of probable losses including domestic and global economic uncertainty and large single-name defaults. | ||
The remaining portfolios, including nonperforming commercial loans, as well as consumer and commercial loans modified in a troubled debt restructuring (TDR), are reviewed in accordance with applicable accounting guidance on impaired loans and TDRs. If necessary, a specific allowance is established for these loans if they are deemed to be impaired. A loan is considered impaired when, based on current information and events, it is probable that the Corporation will be unable to collect all amounts due, including principal and/or interest, in accordance with the contractual terms of the agreement, or the loan has been modified in a TDR. Once a loan has been identified as impaired, management measures impairment primarily based on the present value of payments expected to be received, discounted at the loans’ original effective contractual interest rates, or discounted at the portfolio average contractual annual percentage rate, excluding promotionally priced loans, in effect prior to restructuring. Impaired loans and TDRs may also be measured based on observable market prices, or for loans that are solely dependent on the collateral for repayment, the estimated fair value of the collateral less costs to sell. If the recorded investment in impaired loans exceeds this amount, a specific allowance is established as a component of the allowance for loan and lease losses unless these are secured consumer loans that are solely dependent on the collateral for repayment, in which case the amount that exceeds the fair value of the collateral is charged off. | ||
Generally, when determining the fair value of the collateral securing consumer real estate-secured loans that are solely dependent on the collateral for repayment, prior to performing a detailed property valuation including a walk-through of a property, the Corporation initially estimates the fair value of the collateral securing these consumer loans using an automated valuation method (AVM). An AVM is a tool that estimates the value of a property by reference to market data including sales of comparable properties and price trends specific to the Metropolitan Statistical Area in which the property being valued is located. In the event that an AVM value is not available, the Corporation utilizes publicized indices or if these methods provide less reliable valuations, the Corporation uses appraisals or broker price opinions to estimate the fair value of the collateral. While there is inherent imprecision in these valuations, the Corporation believes that they are representative of the portfolio in the aggregate. | ||
In addition to the allowance for loan and lease losses, the Corporation also estimates probable losses related to unfunded lending commitments, such as letters of credit and financial guarantees, and binding unfunded loan commitments. The reserve for unfunded lending commitments excludes commitments accounted for under the fair value option. Unfunded lending commitments are subject to individual reviews and are analyzed and segregated by risk according to the Corporation’s internal risk rating scale. These risk classifications, in conjunction with an analysis of historical loss experience, utilization assumptions, current economic conditions, performance trends within the portfolio and any other pertinent information, result in the estimation of the reserve for unfunded lending commitments. | ||
The allowance for credit losses related to the loan and lease portfolio is reported separately on the Consolidated Balance Sheet whereas the reserve for unfunded lending commitments is reported on the Consolidated Balance Sheet in accrued expenses and other liabilities. The provision for credit losses related to the loan and lease portfolio and unfunded lending commitments is reported in the Consolidated Statement of Income. | ||
Nonperforming Loan and Lease, Charge-offs and Delinquencies | Nonperforming loans and leases generally include loans and leases that have been placed on nonaccrual status, including nonaccruing loans whose contractual terms have been restructured in a manner that grants a concession to a borrower experiencing financial difficulties. Loans accounted for under the fair value option, PCI loans and LHFS are not reported as nonperforming. | |
In accordance with the Corporation’s policies, consumer real estate-secured loans, including residential mortgages and home equity loans, are generally placed on nonaccrual status and classified as nonperforming at 90 days past due unless repayment of the loan is insured by the Federal Housing Administration or through individually insured long-term standby agreements with Fannie Mae or Freddie Mac (the fully-insured portfolio). Residential mortgage loans in the fully-insured portfolio are not placed on nonaccrual status and, therefore, are not reported as nonperforming. Junior-lien home equity loans are placed on nonaccrual status and classified as nonperforming when the underlying first-lien mortgage loan becomes 90 days past due even if the junior-lien loan is current. Accrued interest receivable is reversed when a consumer loan is placed on nonaccrual status. Interest collections on nonaccruing consumer loans for which the ultimate collectability of principal is uncertain are generally applied as principal reductions; otherwise, such collections are credited to interest income when received. These loans may be restored to accrual status when all principal and interest is current and full repayment of the remaining contractual principal and interest is expected, or when the loan otherwise becomes well-secured and is in the process of collection. The outstanding balance of real estate-secured loans that is in excess of the estimated property value less costs to sell is charged off no later than the end of the month in which the loan becomes 180 days past due unless the loan is fully insured. The estimated property value less costs to sell is determined using the same process as described for impaired loans in Allowance for Credit Losses in this Note. | ||
Consumer loans secured by personal property, credit card loans and other unsecured consumer loans are not placed on nonaccrual status prior to charge-off and, therefore, are not reported as nonperforming loans, except for certain secured consumer loans, including those that have been modified in a TDR. Personal property-secured loans are charged off to collateral value no later than the end of the month in which the account becomes 120 days past due or, for loans in bankruptcy, 60 days past due. Credit card and other unsecured consumer loans are charged off no later than the end of the month in which the account becomes 180 days past due or within 60 days after receipt of notification of death or bankruptcy. | ||
Commercial loans and leases, excluding business card loans, that are past due 90 days or more as to principal or interest, or where reasonable doubt exists as to timely collection, including loans that are individually identified as being impaired, are generally placed on nonaccrual status and classified as nonperforming unless well-secured and in the process of collection. | ||
Accrued interest receivable is reversed when commercial loans and leases are placed on nonaccrual status. Interest collections on nonaccruing commercial loans and leases for which the ultimate collectability of principal is uncertain are applied as principal reductions; otherwise, such collections are credited to income when received. Commercial loans and leases may be restored to accrual status when all principal and interest is current and full repayment of the remaining contractual principal and interest is expected, or when the loan otherwise becomes well-secured and is in the process of collection. Business card loans are charged off no later than the end of the month in which the account becomes 180 days past due or 60 days after receipt of notification of death or bankruptcy. These loans are not placed on nonaccrual status prior to charge-off and, therefore, are not reported as nonperforming loans. Other commercial loans and leases are generally charged off when all or a portion of the principal amount is determined to be uncollectible. | ||
The entire balance of a consumer loan or commercial loan or lease is contractually delinquent if the minimum payment is not received by the specified due date on the customer’s billing statement. Interest and fees continue to accrue on past due loans and leases until the date the loan is placed on nonaccrual status, if applicable. | ||
PCI loans are recorded at fair value at the acquisition date. Although the PCI loans may be contractually delinquent, the Corporation does not classify these loans as nonperforming as the loans were written down to fair value at the acquisition date and the accretable yield is recognized in interest income over the remaining life of the loan. In addition, reported net charge-offs exclude write-offs on PCI loans as the fair value already considers the estimated credit losses. | ||
Troubled Debt Restructurings | Consumer loans and commercial loans and leases whose contractual terms have been restructured in a manner that grants a concession to a borrower experiencing financial difficulties are classified as TDRs. Concessions could include a reduction in the interest rate to a rate that is below market on the loan, payment extensions, forgiveness of principal, forbearance or other actions designed to maximize collections. Secured consumer loans that have been discharged in Chapter 7 bankruptcy and have not been reaffirmed by the borrower are classified as TDRs at the time of discharge. Consumer real estate-secured loans for which a binding offer to restructure has been extended are also classified as TDRs. Loans classified as TDRs are considered impaired loans. Loans that are carried at fair value, LHFS and PCI loans are not classified as TDRs. | |
Secured consumer loans whose contractual terms have been modified in a TDR and are current at the time of restructuring generally remain on accrual status if there is demonstrated performance prior to the restructuring and payment in full under the restructured terms is expected. Otherwise, the loans are placed on nonaccrual status and reported as nonperforming, except for the fully-insured loans, until there is sustained repayment performance for a reasonable period, generally six months. If accruing consumer TDRs cease to perform in accordance with their modified contractual terms, they are placed on nonaccrual status and reported as nonperforming TDRs. Consumer TDRs that bear a below-market rate of interest are generally reported as TDRs throughout their remaining lives. Secured consumer loans that have been discharged in Chapter 7 bankruptcy are placed on nonaccrual status and written down to the estimated collateral value less costs to sell no later than at the time of discharge. If these loans are contractually current, interest collections are generally recorded in interest income on a cash basis. Credit card and other unsecured consumer loans that have been renegotiated in a TDR are not placed on nonaccrual status. Credit card and other unsecured consumer loans that have been renegotiated and placed on a fixed payment plan after July 1, 2012 are generally charged off no later than the end of the month in which the account becomes 120 days past due. | ||
Commercial loans and leases whose contractual terms have been modified in a TDR are typically placed on nonaccrual status and reported as nonperforming until the loans or leases have performed for an adequate period of time under the restructured agreement, generally six months. If the borrower had demonstrated performance under the previous terms and the underwriting process shows the capacity to continue to perform under the modified terms, the loan may remain on accrual status. Accruing commercial TDRs are reported as performing TDRs through the end of the calendar year in which the loans are returned to accrual status. In addition, if accruing commercial TDRs bear less than a market rate of interest at the time of modification, they are reported as performing TDRs throughout their remaining lives unless and until they cease to perform in accordance with their modified contractual terms, at which time they are placed on nonaccrual status and reported as nonperforming TDRs. | ||
A loan that had previously been modified in a TDR and is subsequently refinanced under current underwriting standards at a market rate with no concessionary terms is accounted for as a new loan and is no longer reported as a TDR. | ||
Loan Held-for-sale | Loans that are intended to be sold in the foreseeable future, including residential mortgages, loan syndications, and to a lesser degree, commercial real estate, consumer finance and other loans, are reported as LHFS and are carried at the lower of aggregate cost or fair value. The Corporation accounts for certain LHFS, including residential mortgage LHFS, under the fair value option. Loan origination costs related to LHFS that the Corporation accounts for under the fair value option are recognized in noninterest expense when incurred. Loan origination costs for LHFS carried at the lower of cost or fair value are capitalized as part of the carrying value of the loans and recognized as a reduction of noninterest income upon the sale of such loans. LHFS that are on nonaccrual status and are reported as nonperforming, as defined in the policy herein, are reported separately from nonperforming loans and leases. | |
Premises and Equipment | Premises and equipment are carried at cost less accumulated depreciation and amortization. Depreciation and amortization are recognized using the straight-line method over the estimated useful lives of the assets. Estimated lives range up to 40 years for buildings, up to 12 years for furniture and equipment, and the shorter of lease term or estimated useful life for leasehold improvements. | |
The Corporation capitalizes the costs associated with certain computer hardware, software and internally developed software, and amortizes the costs over the expected useful life. Direct project costs of internally developed software are capitalized when it is probable that the project will be completed and the software will be used for its intended function. | ||
Mortgage Servicing Rights | The Corporation accounts for consumer MSRs, including residential mortgage and home equity MSRs, at fair value with changes in fair value recorded in mortgage banking income. To reduce the volatility of earnings related to interest rate and market value fluctuations, U.S. Treasury securities, mortgage-backed securities and derivatives such as options and interest rate swaps may be used to hedge certain market risks of the MSRs. Such derivatives are not designated as qualifying accounting hedges. These instruments are carried at fair value with changes in fair value recognized in mortgage banking income. | |
The Corporation estimates the fair value of consumer MSRs using a valuation model that calculates the present value of estimated future net servicing income and, when available, quoted prices from independent parties. The present value calculation is based on an option-adjusted spread (OAS) valuation approach that factors in prepayment risk. This approach consists of projecting servicing cash flows under multiple interest rate scenarios and discounting these cash flows using risk-adjusted discount rates. The key economic assumptions used in MSR valuations include weighted-average lives of the MSRs and the OAS levels. The OAS represents the spread that is added to the discount rate so that the sum of the discounted cash flows equals the market price; therefore, it is a measure of the extra yield over the reference discount factor that the Corporation expects to earn by holding the asset. | ||
Goodwill and Intangible Assets | Goodwill is the purchase premium after adjusting for the fair value of net assets acquired. Goodwill is not amortized but is reviewed for potential impairment on an annual basis, or when events or circumstances indicate a potential impairment, at the reporting unit level. A reporting unit, as defined under applicable accounting guidance, is a business segment or one level below a business segment. The goodwill impairment analysis is a two-step test. The first step of the goodwill impairment test involves comparing the fair value of each reporting unit with its carrying value, including goodwill, as measured by allocated equity. In certain circumstances, the first step may be performed using a qualitative assessment. If the fair value of the reporting unit exceeds its carrying value, goodwill of the reporting unit is considered not impaired; however, if the carrying value of the reporting unit exceeds its fair value, the second step must be performed to measure potential impairment. | |
The second step involves calculating an implied fair value of goodwill for each reporting unit for which the first step indicated possible impairment. The implied fair value of goodwill is determined in the same manner as the amount of goodwill recognized in a business combination, which is the excess of the fair value of the reporting unit, as determined in the first step, over the aggregate fair values of the assets, liabilities and identifiable intangibles as if the reporting unit was being acquired in a business combination. Measurement of the fair values of the assets and liabilities of a reporting unit is consistent with the requirements of the fair value measurements accounting guidance, as described in Fair Value in this Note. The adjustments to measure the assets, liabilities and intangibles at fair value are for the purpose of measuring the implied fair value of goodwill and such adjustments are not reflected on the Consolidated Balance Sheet. If the implied fair value of goodwill exceeds the goodwill assigned to the reporting unit, there is no impairment. If the goodwill assigned to a reporting unit exceeds the implied fair value of goodwill, an impairment charge is recorded for the excess. An impairment loss recognized cannot exceed the amount of goodwill assigned to a reporting unit. An impairment loss establishes a new basis in the goodwill and subsequent reversals of goodwill impairment losses are not permitted under applicable accounting guidance. | ||
For intangible assets subject to amortization, an impairment loss is recognized if the carrying value of the intangible asset is not recoverable and exceeds fair value. The carrying value of the intangible asset is considered not recoverable if it exceeds the sum of the undiscounted cash flows expected to result from the use of the asset. | ||
Variable Interest Entities | A VIE is an entity that lacks equity investors or whose equity investors do not have a controlling financial interest in the entity through their equity investments. The entity that has a controlling financial interest in a VIE is referred to as the primary beneficiary and consolidates the VIE. The Corporation is deemed to have a controlling financial interest and is the primary beneficiary of a VIE if it has both the power to direct the activities of the VIE that most significantly impact the VIE’s economic performance and an obligation to absorb losses or the right to receive benefits that could potentially be significant to the VIE. On a quarterly basis, the Corporation reassesses whether it has a controlling financial interest in and is the primary beneficiary of a VIE. The quarterly reassessment process considers whether the Corporation has acquired or divested the power to direct the activities of the VIE through changes in governing documents or other circumstances. The reassessment also considers whether the Corporation has acquired or disposed of a financial interest that could be significant to the VIE, or whether an interest in the VIE has become significant or is no longer significant. The consolidation status of the VIEs with which the Corporation is involved may change as a result of such reassessments. Changes in consolidation status are applied prospectively, with assets and liabilities of a newly consolidated VIE initially recorded at fair value. A gain or loss may be recognized upon deconsolidation of a VIE depending on the carrying values of deconsolidated assets and liabilities compared to the fair value of retained interests and ongoing contractual arrangements. | |
The Corporation primarily uses VIEs for its securitization activities, in which the Corporation transfers whole loans or debt securities into a trust or other vehicle such that the assets are legally isolated from the creditors of the Corporation. Assets held in a trust can only be used to settle obligations of the trust. The creditors of these trusts typically have no recourse to the Corporation except in accordance with the Corporation’s obligations under standard representations and warranties. | ||
When the Corporation is the servicer of whole loans held in a securitization trust, including non-agency residential mortgages, home equity loans, credit cards, automobile loans and student loans, the Corporation has the power to direct the most significant activities of the trust. The Corporation generally does not have the power to direct the most significant activities of a residential mortgage agency trust except in certain circumstances in which the Corporation holds substantially all of the issued securities and has the unilateral right to liquidate the trust. The power to direct the most significant activities of a commercial mortgage securitization trust is typically held by the special servicer or by the party holding specific subordinate securities which embody certain controlling rights. The Corporation consolidates a whole-loan securitization trust if it has the power to direct the most significant activities and also holds securities issued by the trust or has other contractual arrangements, other than standard representations and warranties, that could potentially be significant to the trust. | ||
The Corporation may also transfer trading account securities and AFS securities into municipal bond or resecuritization trusts. The Corporation consolidates a municipal bond or resecuritization trust if it has control over the ongoing activities of the trust such as the remarketing of the trust’s liabilities or, if there are no ongoing activities, sole discretion over the design of the trust, including the identification of securities to be transferred in and the structure of securities to be issued, and also retains securities or has liquidity or other commitments that could potentially be significant to the trust. The Corporation does not consolidate a municipal bond or resecuritization trust if one or a limited number of third-party investors share responsibility for the design of the trust or have control over the significant activities of the trust through liquidation or other substantive rights. | ||
Other VIEs used by the Corporation include collateralized debt obligations (CDOs), investment vehicles created on behalf of customers and other investment vehicles. The Corporation does not routinely serve as collateral manager for CDOs and, therefore, does not typically have the power to direct the activities that most significantly impact the economic performance of a CDO. However, following an event of default, if the Corporation is a majority holder of senior securities issued by a CDO and acquires the power to manage the assets of the CDO, the Corporation consolidates the CDO. | ||
The Corporation consolidates a customer or other investment vehicle if it has control over the initial design of the vehicle or manages the assets in the vehicle and also absorbs potentially significant gains or losses through an investment in the vehicle, derivative contracts or other arrangements. The Corporation does not consolidate an investment vehicle if a single investor controlled the initial design of the vehicle or manages the assets in the vehicles or if the Corporation does not have a variable interest that could potentially be significant to the vehicle. | ||
Retained interests in securitized assets are initially recorded at fair value. In addition, the Corporation may invest in debt securities issued by unconsolidated VIEs. Fair values of these debt securities, which are classified as trading account assets, debt securities carried at fair value or held-to-maturity securities, are based primarily on quoted market prices in active or inactive markets. Generally, quoted market prices for retained residual interests are not available; therefore, the Corporation estimates fair values based on the present value of the associated expected future cash flows. This may require management to estimate credit losses, prepayment speeds, forward interest yield curves, discount rates and other factors that impact the value of retained interests. Retained residual interests in unconsolidated securitization trusts are classified in trading account assets or other assets with changes in fair value recorded in earnings. The Corporation may also enter into derivatives with unconsolidated VIEs, which are carried at fair value with changes in fair value recorded in earnings. | ||
Fair Value | The Corporation measures the fair values of its assets and liabilities, where applicable, in accordance with accounting guidance that requires an entity to base fair value on exit price. A three-level hierarchy, provided in the applicable accounting guidance, for inputs is utilized in measuring fair value which maximizes the use of observable inputs and minimizes the use of unobservable inputs by requiring that observable inputs be used to determine the exit price when available. Under applicable accounting guidance, the Corporation categorizes its financial instruments, based on the priority of inputs to the valuation technique, into this three-level hierarchy, as described below. Trading account assets and liabilities, derivative assets and liabilities, AFS debt and equity securities, other debt securities carried at fair value, consumer MSRs and certain other assets are carried at fair value in accordance with applicable accounting guidance. The Corporation has also elected to account for certain assets and liabilities under the fair value option, including certain commercial and consumer loans and loan commitments, LHFS, short-term borrowings, securities financing agreements, long-term deposits and long-term debt. The following describes the three-level hierarchy. | |
Level 1 | Unadjusted quoted prices in active markets for identical assets or liabilities. Level 1 assets and liabilities include debt and equity securities and derivative contracts that are traded in an active exchange market, as well as certain U.S. Treasury securities that are highly liquid and are actively traded in OTC markets. | |
Level 2 | Observable inputs other than Level 1 prices, such as quoted prices for similar assets or liabilities, quoted prices in markets that are not active, or other inputs that are observable or can be corroborated by observable market data for substantially the full term of the assets or liabilities. Level 2 assets and liabilities include debt securities with quoted prices that are traded less frequently than exchange-traded instruments and derivative contracts where fair value is determined using a pricing model with inputs that are observable in the market or can be derived principally from or corroborated by observable market data. This category generally includes U.S. government and agency mortgage-backed and asset-backed securities, corporate debt securities, derivative contracts, certain loans and LHFS. | |
Level 3 | Unobservable inputs that are supported by little or no market activity and that are significant to the overall fair value of the assets or liabilities. Level 3 assets and liabilities include financial instruments for which the determination of fair value requires significant management judgment or estimation. The fair value for such assets and liabilities is generally determined using pricing models, market comparables, discounted cash flow methodologies or similar techniques that incorporate the assumptions a market participant would use in pricing the asset or liability. This category generally includes certain private equity investments and other principal investments, retained residual interests in securitizations, consumer MSRs, certain asset-backed securities, highly structured, complex or long-dated derivative contracts, certain loans and LHFS, IRLCs and certain CDOs where independent pricing information cannot be obtained for a significant portion of the underlying assets. | |
Income Taxes | There are two components of income tax expense: current and deferred. Current income tax expense reflects taxes to be paid or refunded for the current period. Deferred income tax expense results from changes in deferred tax assets and liabilities between periods. These gross deferred tax assets and liabilities represent decreases or increases in taxes expected to be paid in the future because of future reversals of temporary differences in the bases of assets and liabilities as measured by tax laws and their bases as reported in the financial statements. Deferred tax assets are also recognized for tax attributes such as net operating loss carryforwards and tax credit carryforwards. Valuation allowances are recorded to reduce deferred tax assets to the amounts management concludes are more-likely-than-not to be realized. | |
Income tax benefits are recognized and measured based upon a two-step model: first, a tax position must be more-likely-than-not to be sustained based solely on its technical merits in order to be recognized, and second, the benefit is measured as the largest dollar amount of that position that is more-likely-than-not to be sustained upon settlement. The difference between the benefit recognized and the tax benefit claimed on a tax return is referred to as an unrecognized tax benefit. The Corporation records income tax-related interest and penalties, if applicable, within income tax expense. | ||
Retirement Benefits | The Corporation has retirement plans covering substantially all full-time and certain part-time employees. Pension expense under these plans is charged to current operations and consists of several components of net pension cost based on various actuarial assumptions regarding future experience under the plans. | |
In addition, the Corporation has unfunded supplemental benefit plans and supplemental executive retirement plans (SERPs) for selected officers of the Corporation and its subsidiaries that provide benefits that cannot be paid from a qualified retirement plan due to Internal Revenue Code restrictions. The Corporation’s current executive officers do not earn additional retirement income under SERPs. These plans are nonqualified under the Internal Revenue Code and assets used to fund benefit payments are not segregated from other assets of the Corporation; therefore, in general, a participant’s or beneficiary’s claim to benefits under these plans is as a general creditor. In addition, the Corporation has several postretirement healthcare and life insurance benefit plans. | ||
Accumulated Other Comprehensive Income | The Corporation records unrealized gains and losses on AFS debt and marketable equity securities, gains and losses on cash flow accounting hedges, certain employee benefit plan adjustments, foreign currency translation adjustments and related hedges of net investments in foreign operations, and the cumulative adjustment related to certain accounting changes in accumulated OCI, net-of-tax. Unrealized gains and losses on AFS debt and marketable equity securities are reclassified to earnings as the gains or losses are realized upon sale of the securities. Unrealized losses on AFS securities deemed to represent OTTI are reclassified to earnings at the time of the impairment charge. For AFS debt securities that the Corporation does not intend to sell or it is not more-likely-than-not that it will be required to sell, only the credit component of an unrealized loss is reclassified to earnings. Gains or losses on derivatives accounted for as cash flow hedges are reclassified to earnings when the hedged transaction affects earnings. Translation gains or losses on foreign currency translation adjustments are reclassified to earnings upon the substantial sale or liquidation of investments in foreign operations. | |
Revenue Recognition | The following summarizes the Corporation’s revenue recognition policies as they relate to certain noninterest income line items in the Consolidated Statement of Income. | |
Card income is derived from fees such as interchange, cash advance, annual, late, over-limit and other miscellaneous fees, which are recorded as revenue when earned, primarily on an accrual basis. Uncollected fees are included in the customer card receivables balances with an amount recorded in the allowance for loan and lease losses for estimated uncollectible card receivables. Uncollected fees are written off when a card receivable reaches 180 days past due. | ||
Service charges include fees for insufficient funds, overdrafts and other banking services and are recorded as revenue when earned. Uncollected fees are included in outstanding loan balances with an amount recorded for estimated uncollectible service fees receivable. Uncollected fees are written off when a fee receivable reaches 60 days past due. | ||
Investment and brokerage services revenue consists primarily of asset management fees and brokerage income that are recognized over the period the services are provided or when commissions are earned. Asset management fees consist primarily of fees for investment management and trust services and are generally based on the dollar amount of the assets being managed. Brokerage income is generally derived from commissions and fees earned on the sale of various financial products. | ||
Investment banking income consists primarily of advisory and underwriting fees that are recognized in income as the services are provided and no contingencies exist. Revenues are generally recognized net of any direct expenses. Non-reimbursed expenses are recorded as noninterest expense. | ||
Earnings Per Common Share | Earnings per common share (EPS) is computed by dividing net income (loss) allocated to common shareholders by the weighted-average common shares outstanding, except that it does not include unvested common shares subject to repurchase or cancellation. Net income (loss) allocated to common shareholders represents net income (loss) applicable to common shareholders which is net income (loss) adjusted for preferred stock dividends including dividends declared, accretion of discounts on preferred stock including accelerated accretion when preferred stock is repaid early, and cumulative dividends related to the current dividend period that have not been declared as of period end, less income allocated to participating securities (see below for more information). Diluted EPS is computed by dividing income (loss) allocated to common shareholders plus dividends on dilutive convertible preferred stock and preferred stock that can be tendered to exercise warrants, by the weighted-average common shares outstanding plus amounts representing the dilutive effect of stock options outstanding, restricted stock, restricted stock units, outstanding warrants and the dilution resulting from the conversion of convertible preferred stock, if applicable. | |
Unvested share-based payment awards that contain nonforfeitable rights to dividends are participating securities that are included in computing EPS using the two-class method. The two-class method is an earnings allocation formula under which EPS is calculated for common stock and participating securities according to dividends declared and participating rights in undistributed earnings. Under this method, all earnings, distributed and undistributed, are allocated to participating securities and common shares based on their respective rights to receive dividends. | ||
In an exchange of non-convertible preferred stock, income allocated to common shareholders is adjusted for the difference between the carrying value of the preferred stock and the fair value of the consideration exchanged. In an induced conversion of convertible preferred stock, income allocated to common shareholders is reduced by the excess of the fair value of the consideration exchanged over the fair value of the common stock that would have been issued under the original conversion terms. | ||
Foreign Currency Translation | Assets, liabilities and operations of foreign branches and subsidiaries are recorded based on the functional currency of each entity. For certain of the foreign operations, the functional currency is the local currency, in which case the assets, liabilities and operations are translated, for consolidation purposes, from the local currency to the U.S. Dollar reporting currency at period-end rates for assets and liabilities and generally at average rates for results of operations. The resulting unrealized gains or losses, as well as gains and losses from certain hedges, are reported as a component of accumulated OCI, net-of-tax. When the foreign entity’s functional currency is determined to be the U.S. Dollar, the resulting remeasurement gains or losses on foreign currency-denominated assets or liabilities are included in earnings. | |
Credit Card and Deposit Arrangements | Endorsing Organization Agreements | |
The Corporation contracts with other organizations to obtain their endorsement of the Corporation’s loan and deposit products. This endorsement may provide to the Corporation exclusive rights to market to the organization’s members or to customers on behalf of the Corporation. These organizations endorse the Corporation’s loan and deposit products and provide the Corporation with their mailing lists and marketing activities. These agreements generally have terms that range from two to five years. The Corporation typically pays royalties in exchange for the endorsement. Compensation costs related to the credit card agreements are recorded as contra-revenue in card income. | ||
Cardholder Reward Agreements | ||
The Corporation offers reward programs that allow its cardholders to earn points that can be redeemed for a broad range of rewards including cash, travel and gift cards. The Corporation establishes a rewards liability based upon the points earned that are expected to be redeemed and the average cost per point redeemed. The points to be redeemed are estimated based on past redemption behavior, card product type, account transaction activity and other historical card performance. The liability is reduced as the points are redeemed. The estimated cost of the rewards programs is recorded as contra-revenue in card income. |
Derivatives_Tables
Derivatives (Tables) | 12 Months Ended | |||||||||||||||||||||||||||
Dec. 31, 2014 | ||||||||||||||||||||||||||||
Derivative Instruments and Hedging Activities Disclosure [Abstract] | ||||||||||||||||||||||||||||
Schedule of Derivative Instruments | The following tables present derivative instruments included on the Consolidated Balance Sheet in derivative assets and liabilities at December 31, 2014 and 2013. Balances are presented on a gross basis, prior to the application of counterparty and cash collateral netting. Total derivative assets and liabilities are adjusted on an aggregate basis to take into consideration the effects of legally enforceable master netting agreements and have been reduced by the cash collateral received or paid. | |||||||||||||||||||||||||||
December 31, 2014 | ||||||||||||||||||||||||||||
Gross Derivative Assets | Gross Derivative Liabilities | |||||||||||||||||||||||||||
(Dollars in billions) | Contract/ | Trading and Other Risk Management Derivatives | Qualifying | Total | Trading and Other Risk Management Derivatives | Qualifying | Total | |||||||||||||||||||||
Notional (1) | Accounting | Accounting | ||||||||||||||||||||||||||
Hedges | Hedges | |||||||||||||||||||||||||||
Interest rate contracts | ||||||||||||||||||||||||||||
Swaps | $ | 29,445.40 | $ | 658.5 | $ | 8.5 | $ | 667 | $ | 658.2 | $ | 0.5 | $ | 658.7 | ||||||||||||||
Futures and forwards | 10,159.40 | 1.7 | — | 1.7 | 2 | — | 2 | |||||||||||||||||||||
Written options | 1,725.20 | — | — | — | 85.4 | — | 85.4 | |||||||||||||||||||||
Purchased options | 1,739.80 | 85.6 | — | 85.6 | — | — | — | |||||||||||||||||||||
Foreign exchange contracts | ||||||||||||||||||||||||||||
Swaps | 2,159.10 | 51.5 | 0.8 | 52.3 | 54.6 | 1.9 | 56.5 | |||||||||||||||||||||
Spot, futures and forwards | 4,226.40 | 68.9 | 1.5 | 70.4 | 72.4 | 0.2 | 72.6 | |||||||||||||||||||||
Written options | 600.7 | — | — | — | 16 | — | 16 | |||||||||||||||||||||
Purchased options | 584.6 | 15.1 | — | 15.1 | — | — | — | |||||||||||||||||||||
Equity contracts | ||||||||||||||||||||||||||||
Swaps | 193.7 | 3.2 | — | 3.2 | 4 | — | 4 | |||||||||||||||||||||
Futures and forwards | 69.5 | 2.1 | — | 2.1 | 1.8 | — | 1.8 | |||||||||||||||||||||
Written options | 341 | — | — | — | 26 | — | 26 | |||||||||||||||||||||
Purchased options | 318.4 | 27.9 | — | 27.9 | — | — | — | |||||||||||||||||||||
Commodity contracts | ||||||||||||||||||||||||||||
Swaps | 74.3 | 5.8 | — | 5.8 | 8.5 | — | 8.5 | |||||||||||||||||||||
Futures and forwards | 376.5 | 4.5 | — | 4.5 | 1.8 | — | 1.8 | |||||||||||||||||||||
Written options | 129.5 | — | — | — | 11.5 | — | 11.5 | |||||||||||||||||||||
Purchased options | 141.3 | 10.7 | — | 10.7 | — | — | — | |||||||||||||||||||||
Credit derivatives | ||||||||||||||||||||||||||||
Purchased credit derivatives: | ||||||||||||||||||||||||||||
Credit default swaps | 1,094.80 | 13.3 | — | 13.3 | 23.4 | — | 23.4 | |||||||||||||||||||||
Total return swaps/other | 44.3 | 0.2 | — | 0.2 | 1.4 | — | 1.4 | |||||||||||||||||||||
Written credit derivatives: | ||||||||||||||||||||||||||||
Credit default swaps | 1,073.10 | 24.5 | — | 24.5 | 11.9 | — | 11.9 | |||||||||||||||||||||
Total return swaps/other | 61 | 0.5 | — | 0.5 | 0.3 | — | 0.3 | |||||||||||||||||||||
Gross derivative assets/liabilities | $ | 974 | $ | 10.8 | $ | 984.8 | $ | 979.2 | $ | 2.6 | $ | 981.8 | ||||||||||||||||
Less: Legally enforceable master netting agreements | (884.8 | ) | (884.8 | ) | ||||||||||||||||||||||||
Less: Cash collateral received/paid | (47.3 | ) | (50.1 | ) | ||||||||||||||||||||||||
Total derivative assets/liabilities | $ | 52.7 | $ | 46.9 | ||||||||||||||||||||||||
(1) | Represents the total contract/notional amount of derivative assets and liabilities outstanding. | |||||||||||||||||||||||||||
December 31, 2013 | ||||||||||||||||||||||||||||
Gross Derivative Assets | Gross Derivative Liabilities | |||||||||||||||||||||||||||
(Dollars in billions) | Contract/ | Trading and Other Risk Management Derivatives | Qualifying | Total | Trading and Other Risk Management Derivatives | Qualifying | Total | |||||||||||||||||||||
Notional (1) | Accounting | Accounting | ||||||||||||||||||||||||||
Hedges | Hedges | |||||||||||||||||||||||||||
Interest rate contracts | ||||||||||||||||||||||||||||
Swaps | $ | 33,272.00 | $ | 659.9 | $ | 7.5 | $ | 667.4 | $ | 658.4 | $ | 0.9 | $ | 659.3 | ||||||||||||||
Futures and forwards | 8,217.60 | 1.6 | — | 1.6 | 1.5 | — | 1.5 | |||||||||||||||||||||
Written options | 2,065.40 | — | — | — | 64.4 | — | 64.4 | |||||||||||||||||||||
Purchased options | 2,028.30 | 65.4 | — | 65.4 | — | — | — | |||||||||||||||||||||
Foreign exchange contracts | ||||||||||||||||||||||||||||
Swaps | 2,284.10 | 43.1 | 1 | 44.1 | 42.7 | 1 | 43.7 | |||||||||||||||||||||
Spot, futures and forwards | 2,922.50 | 32.5 | 0.7 | 33.2 | 33.5 | 1.1 | 34.6 | |||||||||||||||||||||
Written options | 412.4 | — | — | — | 9.2 | — | 9.2 | |||||||||||||||||||||
Purchased options | 392.4 | 8.8 | — | 8.8 | — | — | — | |||||||||||||||||||||
Equity contracts | ||||||||||||||||||||||||||||
Swaps | 162 | 3.6 | — | 3.6 | 4.2 | — | 4.2 | |||||||||||||||||||||
Futures and forwards | 71.4 | 1.1 | — | 1.1 | 1.4 | — | 1.4 | |||||||||||||||||||||
Written options | 315.6 | — | — | — | 29.6 | — | 29.6 | |||||||||||||||||||||
Purchased options | 266.7 | 30.4 | — | 30.4 | — | — | — | |||||||||||||||||||||
Commodity contracts | ||||||||||||||||||||||||||||
Swaps | 73.1 | 3.8 | — | 3.8 | 5.7 | — | 5.7 | |||||||||||||||||||||
Futures and forwards | 454.4 | 4.7 | — | 4.7 | 2.5 | — | 2.5 | |||||||||||||||||||||
Written options | 157.3 | — | — | — | 5 | — | 5 | |||||||||||||||||||||
Purchased options | 164 | 5.2 | — | 5.2 | — | — | — | |||||||||||||||||||||
Credit derivatives | ||||||||||||||||||||||||||||
Purchased credit derivatives: | ||||||||||||||||||||||||||||
Credit default swaps | 1,305.10 | 15.7 | — | 15.7 | 28.1 | — | 28.1 | |||||||||||||||||||||
Total return swaps/other | 38.1 | 2 | — | 2 | 3.2 | — | 3.2 | |||||||||||||||||||||
Written credit derivatives: | ||||||||||||||||||||||||||||
Credit default swaps | 1,265.40 | 29.3 | — | 29.3 | 13.8 | — | 13.8 | |||||||||||||||||||||
Total return swaps/other | 63.4 | 4 | — | 4 | 0.2 | — | 0.2 | |||||||||||||||||||||
Gross derivative assets/liabilities | $ | 911.1 | $ | 9.2 | $ | 920.3 | $ | 903.4 | $ | 3 | $ | 906.4 | ||||||||||||||||
Less: Legally enforceable master netting agreements | (825.5 | ) | (825.5 | ) | ||||||||||||||||||||||||
Less: Cash collateral received/paid | (47.3 | ) | (43.5 | ) | ||||||||||||||||||||||||
Total derivative assets/liabilities | $ | 47.5 | $ | 37.4 | ||||||||||||||||||||||||
(1) | Represents the total contract/notional amount of derivative assets and liabilities outstanding. | |||||||||||||||||||||||||||
Derivative [Line Items] | ||||||||||||||||||||||||||||
Schedule of Derivative Instruments in Statement of Financial Position, Fair Value | The table below summarizes information related to fair value hedges for 2014, 2013 and 2012, including hedges of interest rate risk on long-term debt that were acquired as part of a business combination and redesignated. At redesignation, the fair value of the derivatives was positive. As the derivatives mature, the fair value will approach zero. As a result, ineffectiveness will occur and the fair value changes in the derivatives and the long-term debt being hedged may be directionally the same in certain scenarios. Based on a regression analysis, the derivatives continue to be highly effective at offsetting changes in the fair value of the long-term debt attributable to interest rate risk. | |||||||||||||||||||||||||||
Derivatives Designated as Fair Value Hedges | ||||||||||||||||||||||||||||
Gains (Losses) | 2014 | |||||||||||||||||||||||||||
(Dollars in millions) | Derivative | Hedged | Hedge | |||||||||||||||||||||||||
Item | Ineffectiveness | |||||||||||||||||||||||||||
Interest rate risk on long-term debt (1) | $ | 2,144 | $ | (2,935 | ) | $ | (791 | ) | ||||||||||||||||||||
Interest rate and foreign currency risk on long-term debt (1) | (2,212 | ) | 2,120 | (92 | ) | |||||||||||||||||||||||
Interest rate risk on available-for-sale securities (2) | (35 | ) | 3 | (32 | ) | |||||||||||||||||||||||
Price risk on commodity inventory (3) | 21 | (15 | ) | 6 | ||||||||||||||||||||||||
Total | $ | (82 | ) | $ | (827 | ) | $ | (909 | ) | |||||||||||||||||||
2013 | ||||||||||||||||||||||||||||
Interest rate risk on long-term debt (1) | $ | (4,704 | ) | $ | 3,925 | $ | (779 | ) | ||||||||||||||||||||
Interest rate and foreign currency risk on long-term debt (1) | (1,291 | ) | 1,085 | (206 | ) | |||||||||||||||||||||||
Interest rate risk on available-for-sale securities (2) | 839 | (840 | ) | (1 | ) | |||||||||||||||||||||||
Price risk on commodity inventory (3) | (13 | ) | 11 | (2 | ) | |||||||||||||||||||||||
Total | $ | (5,169 | ) | $ | 4,181 | $ | (988 | ) | ||||||||||||||||||||
2012 | ||||||||||||||||||||||||||||
Interest rate risk on long-term debt (1) | $ | (195 | ) | $ | (770 | ) | $ | (965 | ) | |||||||||||||||||||
Interest rate and foreign currency risk on long-term debt (1) | (1,482 | ) | 1,225 | (257 | ) | |||||||||||||||||||||||
Interest rate risk on available-for-sale securities (2) | (4 | ) | 91 | 87 | ||||||||||||||||||||||||
Price risk on commodity inventory (3) | (6 | ) | 6 | — | ||||||||||||||||||||||||
Total | $ | (1,687 | ) | $ | 552 | $ | (1,135 | ) | ||||||||||||||||||||
(1) | Amounts are recorded in interest expense on long-term debt and in other income (loss). | |||||||||||||||||||||||||||
(2) | Amounts are recorded in interest income on debt securities. | |||||||||||||||||||||||||||
(3) | Amounts relating to commodity inventory are recorded in trading account profits. | |||||||||||||||||||||||||||
Cash Flow and Net Investment Hedges | The table below summarizes certain information related to cash flow hedges and net investment hedges for 2014, 2013 and 2012. Of the $1.7 billion net loss (after-tax) on derivatives in accumulated other comprehensive income (OCI) for 2014, $803 million ($502 million after-tax) is expected to be reclassified into earnings in the next 12 months. These net losses reclassified into earnings are expected to primarily reduce net interest income related to the respective hedged items. Amounts related to price risk on restricted stock awards reclassified from accumulated OCI are recorded in personnel expense. | |||||||||||||||||||||||||||
Derivatives Designated as Cash Flow and Net Investment Hedges | ||||||||||||||||||||||||||||
2014 | ||||||||||||||||||||||||||||
(Dollars in millions, amounts pretax) | Gains (Losses) | Gains (Losses) | Hedge | |||||||||||||||||||||||||
Recognized in | in Income | Ineffectiveness and | ||||||||||||||||||||||||||
Accumulated OCI | Reclassified from | Amounts Excluded | ||||||||||||||||||||||||||
on Derivatives | Accumulated OCI | from Effectiveness | ||||||||||||||||||||||||||
Testing (1) | ||||||||||||||||||||||||||||
Cash flow hedges | ||||||||||||||||||||||||||||
Interest rate risk on variable-rate portfolios | $ | 68 | $ | (1,119 | ) | $ | (4 | ) | ||||||||||||||||||||
Price risk on restricted stock awards | 127 | 359 | — | |||||||||||||||||||||||||
Total | $ | 195 | $ | (760 | ) | $ | (4 | ) | ||||||||||||||||||||
Net investment hedges | ||||||||||||||||||||||||||||
Foreign exchange risk | $ | 3,021 | $ | 21 | $ | (503 | ) | |||||||||||||||||||||
2013 | ||||||||||||||||||||||||||||
Cash flow hedges | ||||||||||||||||||||||||||||
Interest rate risk on variable-rate portfolios | $ | (321 | ) | $ | (1,102 | ) | $ | — | ||||||||||||||||||||
Price risk on restricted stock awards | 477 | 329 | — | |||||||||||||||||||||||||
Total | $ | 156 | $ | (773 | ) | $ | — | |||||||||||||||||||||
Net investment hedges | ||||||||||||||||||||||||||||
Foreign exchange risk | $ | 1,024 | $ | (355 | ) | $ | (134 | ) | ||||||||||||||||||||
2012 | ||||||||||||||||||||||||||||
Cash flow hedges | ||||||||||||||||||||||||||||
Interest rate risk on variable-rate portfolios | $ | 10 | $ | (957 | ) | $ | — | |||||||||||||||||||||
Price risk on restricted stock awards | 420 | (78 | ) | — | ||||||||||||||||||||||||
Total | $ | 430 | $ | (1,035 | ) | $ | — | |||||||||||||||||||||
Net investment hedges | ||||||||||||||||||||||||||||
Foreign exchange risk | $ | (771 | ) | $ | (26 | ) | $ | (269 | ) | |||||||||||||||||||
(1) | Amounts related to derivatives designated as cash flow hedges represent hedge ineffectiveness and amounts related to net investment hedges represent amounts excluded from effectiveness testing. | |||||||||||||||||||||||||||
Other Risk Management Derivatives | The table below presents gains (losses) on these derivatives for 2014, 2013 and 2012. These gains (losses) are largely offset by the income or expense that is recorded on the hedged item. The change in the impact of interest rate and foreign currency risk on ALM activities was primarily driven by decreasing interest rates and foreign currency weakening against the U.S. Dollar throughout 2014 compared to strengthening during 2013. | |||||||||||||||||||||||||||
Other Risk Management Derivatives | ||||||||||||||||||||||||||||
Gains (Losses) | ||||||||||||||||||||||||||||
(Dollars in millions) | 2014 | 2013 | 2012 | |||||||||||||||||||||||||
Interest rate risk on mortgage banking income (1) | $ | 1,017 | $ | (619 | ) | $ | 1,324 | |||||||||||||||||||||
Credit risk on loans (2) | 16 | (47 | ) | (95 | ) | |||||||||||||||||||||||
Interest rate and foreign currency risk on ALM activities (3) | (3,683 | ) | 2,501 | 424 | ||||||||||||||||||||||||
Price risk on restricted stock awards (4) | 600 | 865 | 1,008 | |||||||||||||||||||||||||
Other | (9 | ) | (19 | ) | 58 | |||||||||||||||||||||||
(1) | Net gains (losses) on these derivatives are recorded in mortgage banking income as they are used to mitigate the interest rate risk related to MSRs, interest rate lock commitments and mortgage loans held-for-sale, all of which are measured at fair value with changes in fair value recorded in mortgage banking income. The net gains on interest rate lock commitments related to the origination of mortgage loans that are held-for-sale, which are not included in the table but are considered derivative instruments, were $776 million, $927 million and $3.0 billion for 2014, 2013 and 2012, respectively. | |||||||||||||||||||||||||||
(2) | Net gains (losses) on these derivatives are recorded in other income (loss). | |||||||||||||||||||||||||||
(3) | Primarily related to hedges of debt securities carried at fair value and hedges of foreign currency-denominated debt. Gains (losses) on these derivatives and the related hedged items are recorded in other income (loss). | |||||||||||||||||||||||||||
(4) | Gains (losses) on these derivatives are recorded in personnel expense. | |||||||||||||||||||||||||||
Schedule of Derivative Instruments Included in Trading Activities | The table below, which includes both derivatives and non-derivative cash instruments, identifies the amounts in the respective income statement line items attributable to the Corporation’s sales and trading revenue in Global Markets, categorized by primary risk, for 2014, 2013 and 2012. The difference between total trading account profits in the table below and in the Consolidated Statement of Income represents trading activities in business segments other than Global Markets. This table includes debit valuation adjustment (DVA) gains (losses), net of hedges, and funding valuation adjustment (FVA) losses. Global Markets results in Note 24 – Business Segment Information are presented on a fully taxable-equivalent (FTE) basis. The table below is not presented on an FTE basis. | |||||||||||||||||||||||||||
Sales and Trading Revenue | ||||||||||||||||||||||||||||
2014 | ||||||||||||||||||||||||||||
(Dollars in millions) | Trading Account Profits | Net Interest Income | Other (1) | Total | ||||||||||||||||||||||||
Interest rate risk | $ | 952 | $ | 1,169 | $ | 363 | $ | 2,484 | ||||||||||||||||||||
Foreign exchange risk | 1,177 | 8 | (128 | ) | 1,057 | |||||||||||||||||||||||
Equity risk | 1,954 | (70 | ) | 2,318 | 4,202 | |||||||||||||||||||||||
Credit risk | 1,410 | 2,682 | 614 | 4,706 | ||||||||||||||||||||||||
Other risk | 504 | (319 | ) | 106 | 291 | |||||||||||||||||||||||
Total sales and trading revenue | $ | 5,997 | $ | 3,470 | $ | 3,273 | $ | 12,740 | ||||||||||||||||||||
2013 | ||||||||||||||||||||||||||||
Interest rate risk | $ | 1,120 | $ | 1,104 | $ | (333 | ) | $ | 1,891 | |||||||||||||||||||
Foreign exchange risk | 1,170 | 5 | (103 | ) | 1,072 | |||||||||||||||||||||||
Equity risk | 1,994 | 111 | 2,075 | 4,180 | ||||||||||||||||||||||||
Credit risk | 2,083 | 2,710 | 78 | 4,871 | ||||||||||||||||||||||||
Other risk | 367 | (219 | ) | 69 | 217 | |||||||||||||||||||||||
Total sales and trading revenue | $ | 6,734 | $ | 3,711 | $ | 1,786 | $ | 12,231 | ||||||||||||||||||||
2012 | ||||||||||||||||||||||||||||
Interest rate risk | $ | (2,875 | ) | $ | 1,039 | $ | (4 | ) | $ | (1,840 | ) | |||||||||||||||||
Foreign exchange risk | 909 | 5 | 5 | 919 | ||||||||||||||||||||||||
Equity risk | 259 | (57 | ) | 1,891 | 2,093 | |||||||||||||||||||||||
Credit risk | 2,514 | 2,321 | 961 | 5,796 | ||||||||||||||||||||||||
Other risk | 4,899 | (227 | ) | (5,148 | ) | (476 | ) | |||||||||||||||||||||
Total sales and trading revenue | $ | 5,706 | $ | 3,081 | $ | (2,295 | ) | $ | 6,492 | |||||||||||||||||||
(1) | Represents amounts in investment and brokerage services and other income (loss) that are recorded in Global Markets and included in the definition of sales and trading revenue. Includes investment and brokerage services revenue of $2.2 billion, $2.0 billion and $1.8 billion for 2014, 2013 and 2012, respectively. | |||||||||||||||||||||||||||
Disclosure of Credit Derivatives | Credit derivative instruments where the Corporation is the seller of credit protection and their expiration at December 31, 2014 and 2013 are summarized in the table below. These instruments are classified as investment and non-investment grade based on the credit quality of the underlying referenced obligation. The Corporation considers ratings of BBB- or higher as investment grade. Non-investment grade includes non-rated credit derivative instruments. The Corporation discloses internal categorizations of investment grade and non-investment grade consistent with how risk is managed for these instruments. | |||||||||||||||||||||||||||
Credit Derivative Instruments | ||||||||||||||||||||||||||||
December 31, 2014 | ||||||||||||||||||||||||||||
Carrying Value | ||||||||||||||||||||||||||||
(Dollars in millions) | Less than | One to | Three to | Over Five | Total | |||||||||||||||||||||||
One Year | Three Years | Five Years | Years | |||||||||||||||||||||||||
Credit default swaps: | ||||||||||||||||||||||||||||
Investment grade | $ | 100 | $ | 714 | $ | 1,455 | $ | 939 | $ | 3,208 | ||||||||||||||||||
Non-investment grade | 916 | 2,107 | 1,338 | 4,301 | 8,662 | |||||||||||||||||||||||
Total | 1,016 | 2,821 | 2,793 | 5,240 | 11,870 | |||||||||||||||||||||||
Total return swaps/other: | ||||||||||||||||||||||||||||
Investment grade | 24 | — | — | — | 24 | |||||||||||||||||||||||
Non-investment grade | 64 | 247 | 2 | — | 313 | |||||||||||||||||||||||
Total | 88 | 247 | 2 | — | 337 | |||||||||||||||||||||||
Total credit derivatives | $ | 1,104 | $ | 3,068 | $ | 2,795 | $ | 5,240 | $ | 12,207 | ||||||||||||||||||
Credit-related notes: | ||||||||||||||||||||||||||||
Investment grade | $ | 2 | $ | 365 | $ | 568 | $ | 2,634 | $ | 3,569 | ||||||||||||||||||
Non-investment grade | 5 | 141 | 85 | 1,443 | 1,674 | |||||||||||||||||||||||
Total credit-related notes | $ | 7 | $ | 506 | $ | 653 | $ | 4,077 | $ | 5,243 | ||||||||||||||||||
Maximum Payout/Notional | ||||||||||||||||||||||||||||
Credit default swaps: | ||||||||||||||||||||||||||||
Investment grade | $ | 132,974 | $ | 342,914 | $ | 242,728 | $ | 28,982 | $ | 747,598 | ||||||||||||||||||
Non-investment grade | 54,326 | 170,580 | 80,011 | 20,586 | 325,503 | |||||||||||||||||||||||
Total | 187,300 | 513,494 | 322,739 | 49,568 | 1,073,101 | |||||||||||||||||||||||
Total return swaps/other: | ||||||||||||||||||||||||||||
Investment grade | 22,645 | — | — | — | 22,645 | |||||||||||||||||||||||
Non-investment grade | 23,839 | 10,792 | 3,268 | 487 | 38,386 | |||||||||||||||||||||||
Total | 46,484 | 10,792 | 3,268 | 487 | 61,031 | |||||||||||||||||||||||
Total credit derivatives | $ | 233,784 | $ | 524,286 | $ | 326,007 | $ | 50,055 | $ | 1,134,132 | ||||||||||||||||||
December 31, 2013 | ||||||||||||||||||||||||||||
Carrying Value | ||||||||||||||||||||||||||||
Credit default swaps: | ||||||||||||||||||||||||||||
Investment grade | $ | 2 | $ | 220 | $ | 974 | $ | 1,134 | $ | 2,330 | ||||||||||||||||||
Non-investment grade | 424 | 1,924 | 2,469 | 6,667 | 11,484 | |||||||||||||||||||||||
Total | 426 | 2,144 | 3,443 | 7,801 | 13,814 | |||||||||||||||||||||||
Total return swaps/other: | ||||||||||||||||||||||||||||
Investment grade | 22 | — | — | — | 22 | |||||||||||||||||||||||
Non-investment grade | 29 | 38 | 2 | 86 | 155 | |||||||||||||||||||||||
Total | 51 | 38 | 2 | 86 | 177 | |||||||||||||||||||||||
Total credit derivatives | $ | 477 | $ | 2,182 | $ | 3,445 | $ | 7,887 | $ | 13,991 | ||||||||||||||||||
Credit-related notes: | ||||||||||||||||||||||||||||
Investment grade | $ | — | $ | 278 | $ | 595 | $ | 4,457 | $ | 5,330 | ||||||||||||||||||
Non-investment grade | 145 | 107 | 756 | 946 | 1,954 | |||||||||||||||||||||||
Total credit-related notes | $ | 145 | $ | 385 | $ | 1,351 | $ | 5,403 | $ | 7,284 | ||||||||||||||||||
Maximum Payout/Notional | ||||||||||||||||||||||||||||
Credit default swaps: | ||||||||||||||||||||||||||||
Investment grade | $ | 170,764 | $ | 379,273 | $ | 411,426 | $ | 36,039 | $ | 997,502 | ||||||||||||||||||
Non-investment grade | 53,316 | 90,986 | 95,319 | 28,257 | 267,878 | |||||||||||||||||||||||
Total | 224,080 | 470,259 | 506,745 | 64,296 | 1,265,380 | |||||||||||||||||||||||
Total return swaps/other: | ||||||||||||||||||||||||||||
Investment grade | 21,771 | — | — | — | 21,771 | |||||||||||||||||||||||
Non-investment grade | 27,784 | 8,150 | 4,103 | 1,599 | 41,636 | |||||||||||||||||||||||
Total | 49,555 | 8,150 | 4,103 | 1,599 | 63,407 | |||||||||||||||||||||||
Total credit derivatives | $ | 273,635 | $ | 478,409 | $ | 510,848 | $ | 65,895 | $ | 1,328,787 | ||||||||||||||||||
Additional Collateral required to be posted upon downgrade | The table below presents the amount of additional collateral that would have been contractually required by derivative contracts and other trading agreements at December 31, 2014 if the rating agencies had downgraded their long-term senior debt ratings for the Corporation or certain subsidiaries by one incremental notch and by an additional second incremental notch. | |||||||||||||||||||||||||||
Additional Collateral Required to be Posted Upon Downgrade | ||||||||||||||||||||||||||||
December 31, 2014 | ||||||||||||||||||||||||||||
(Dollars in millions) | One | Second | ||||||||||||||||||||||||||
incremental notch | incremental notch | |||||||||||||||||||||||||||
Bank of America Corporation | $ | 1,402 | $ | 2,825 | ||||||||||||||||||||||||
Bank of America, N.A. and subsidiaries (1) | 1,072 | 1,886 | ||||||||||||||||||||||||||
(1) | Included in Bank of America Corporation collateral requirements in this table. | |||||||||||||||||||||||||||
Derivative Liability subject to unilateral termination upon downgrade | The table below presents the derivative liabilities that would be subject to unilateral termination by counterparties and the amounts of collateral that would have been contractually required at December 31, 2014 if the long-term senior debt ratings for the Corporation or certain subsidiaries had been lower by one incremental notch and by an additional second incremental notch. | |||||||||||||||||||||||||||
Derivative Liabilities Subject to Unilateral Termination Upon Downgrade | ||||||||||||||||||||||||||||
December 31, 2014 | ||||||||||||||||||||||||||||
(Dollars in millions) | One | Second | ||||||||||||||||||||||||||
incremental notch | incremental notch | |||||||||||||||||||||||||||
Derivative liability | $ | 1,785 | $ | 3,850 | ||||||||||||||||||||||||
Collateral posted | 1,520 | 2,986 | ||||||||||||||||||||||||||
Valuation Adjustments on Derivatives | The table below presents CVA, DVA and FVA gains (losses) on derivatives, which are recorded in trading account profits, on a gross and net of hedge basis for 2014, 2013 and 2012. CVA gains reduce the cumulative CVA thereby increasing the derivative assets balance. DVA gains increase the cumulative DVA thereby decreasing the derivative liabilities balance. CVA and DVA losses have the opposite impact. FVA gains related to derivative assets reduce the cumulative FVA thereby increasing the derivative assets balance. FVA gains related to derivative liabilities increase the cumulative FVA thereby decreasing the derivative liabilities balance. | |||||||||||||||||||||||||||
Valuation Adjustments on Derivatives | ||||||||||||||||||||||||||||
Gains (Losses) | ||||||||||||||||||||||||||||
2014 | 2013 | 2012 | ||||||||||||||||||||||||||
(Dollars in millions) | Gross | Net | Gross | Net | Gross | Net | ||||||||||||||||||||||
Derivative assets (CVA) (1) | $ | (22 | ) | $ | 191 | $ | 738 | $ | (96 | ) | $ | 1,022 | $ | 291 | ||||||||||||||
Derivative assets (FVA) (2) | (632 | ) | (632 | ) | n/a | n/a | n/a | n/a | ||||||||||||||||||||
Derivative liabilities (DVA) (3) | (28 | ) | (150 | ) | (39 | ) | (75 | ) | (2,212 | ) | (2,477 | ) | ||||||||||||||||
Derivative liabilities (FVA) (2) | 135 | 135 | n/a | n/a | n/a | n/a | ||||||||||||||||||||||
(1) | At December 31, 2014, 2013 and 2012, the cumulative CVA reduced the derivative assets balance by $1.6 billion, $1.6 billion and $2.4 billion, respectively. | |||||||||||||||||||||||||||
(2) | FVA was adopted in 2014 and the cumulative FVA reduced the net derivatives balance by $497 million. | |||||||||||||||||||||||||||
(3) | At December 31, 2014, 2013 and 2012, the cumulative DVA reduced the derivative liabilities balance by $0.8 billion, $0.8 billion and $0.8 billion, respectively. | |||||||||||||||||||||||||||
Derivative | ||||||||||||||||||||||||||||
Derivative [Line Items] | ||||||||||||||||||||||||||||
Offsetting Liabilities | ||||||||||||||||||||||||||||
Offsetting of Derivatives | ||||||||||||||||||||||||||||
December 31, 2014 | December 31, 2013 | |||||||||||||||||||||||||||
(Dollars in billions) | Derivative | Derivative Liabilities | Derivative | Derivative Liabilities | ||||||||||||||||||||||||
Assets | Assets | |||||||||||||||||||||||||||
Interest rate contracts | ||||||||||||||||||||||||||||
Over-the-counter | $ | 386.6 | $ | 373.2 | $ | 381.7 | $ | 365.9 | ||||||||||||||||||||
Exchange-traded | 0.1 | 0.1 | 0.4 | 0.3 | ||||||||||||||||||||||||
Over-the-counter cleared | 365.7 | 368.7 | 351.2 | 356.5 | ||||||||||||||||||||||||
Foreign exchange contracts | ||||||||||||||||||||||||||||
Over-the-counter | 133 | 139.9 | 82.9 | 83.9 | ||||||||||||||||||||||||
Equity contracts | ||||||||||||||||||||||||||||
Over-the-counter | 19.5 | 16.7 | 20.3 | 17.6 | ||||||||||||||||||||||||
Exchange-traded | 8.6 | 7.8 | 8.4 | 9.8 | ||||||||||||||||||||||||
Commodity contracts | ||||||||||||||||||||||||||||
Over-the-counter | 10.2 | 11.9 | 6.3 | 7.4 | ||||||||||||||||||||||||
Exchange-traded | 7.4 | 7.7 | 3.3 | 2.9 | ||||||||||||||||||||||||
Over-the-counter cleared | 0.1 | 0.6 | — | — | ||||||||||||||||||||||||
Credit derivatives | ||||||||||||||||||||||||||||
Over-the-counter | 30.8 | 30.2 | 44 | 38.9 | ||||||||||||||||||||||||
Over-the-counter cleared | 7 | 6.8 | 5.8 | 5.9 | ||||||||||||||||||||||||
Total gross derivative assets/liabilities, before netting | ||||||||||||||||||||||||||||
Over-the-counter | 580.1 | 571.9 | 535.2 | 513.7 | ||||||||||||||||||||||||
Exchange-traded | 16.1 | 15.6 | 12.1 | 13 | ||||||||||||||||||||||||
Over-the-counter cleared | 372.8 | 376.1 | 357 | 362.4 | ||||||||||||||||||||||||
Less: Legally enforceable master netting agreements and cash collateral received/paid | ||||||||||||||||||||||||||||
Over-the-counter | (545.7 | ) | (545.5 | ) | (505.0 | ) | (495.4 | ) | ||||||||||||||||||||
Exchange-traded | (13.9 | ) | (13.9 | ) | (11.2 | ) | (11.2 | ) | ||||||||||||||||||||
Over-the-counter cleared | (372.5 | ) | (375.5 | ) | (356.6 | ) | (362.4 | ) | ||||||||||||||||||||
Derivative assets/liabilities, after netting | 36.9 | 28.7 | 31.5 | 20.1 | ||||||||||||||||||||||||
Other gross derivative assets/liabilities | 15.8 | 18.2 | 16 | 17.3 | ||||||||||||||||||||||||
Total derivative assets/liabilities | 52.7 | 46.9 | 47.5 | 37.4 | ||||||||||||||||||||||||
Less: Financial instruments collateral (1) | (13.3 | ) | (8.9 | ) | (10.1 | ) | (4.6 | ) | ||||||||||||||||||||
Total net derivative assets/liabilities | $ | 39.4 | $ | 38 | $ | 37.4 | $ | 32.8 | ||||||||||||||||||||
(1) | These amounts are limited to the derivative asset/liability balance and, accordingly, do not include excess collateral received/pledged. | |||||||||||||||||||||||||||
Offsetting Assets | ||||||||||||||||||||||||||||
Offsetting of Derivatives | ||||||||||||||||||||||||||||
December 31, 2014 | December 31, 2013 | |||||||||||||||||||||||||||
(Dollars in billions) | Derivative | Derivative Liabilities | Derivative | Derivative Liabilities | ||||||||||||||||||||||||
Assets | Assets | |||||||||||||||||||||||||||
Interest rate contracts | ||||||||||||||||||||||||||||
Over-the-counter | $ | 386.6 | $ | 373.2 | $ | 381.7 | $ | 365.9 | ||||||||||||||||||||
Exchange-traded | 0.1 | 0.1 | 0.4 | 0.3 | ||||||||||||||||||||||||
Over-the-counter cleared | 365.7 | 368.7 | 351.2 | 356.5 | ||||||||||||||||||||||||
Foreign exchange contracts | ||||||||||||||||||||||||||||
Over-the-counter | 133 | 139.9 | 82.9 | 83.9 | ||||||||||||||||||||||||
Equity contracts | ||||||||||||||||||||||||||||
Over-the-counter | 19.5 | 16.7 | 20.3 | 17.6 | ||||||||||||||||||||||||
Exchange-traded | 8.6 | 7.8 | 8.4 | 9.8 | ||||||||||||||||||||||||
Commodity contracts | ||||||||||||||||||||||||||||
Over-the-counter | 10.2 | 11.9 | 6.3 | 7.4 | ||||||||||||||||||||||||
Exchange-traded | 7.4 | 7.7 | 3.3 | 2.9 | ||||||||||||||||||||||||
Over-the-counter cleared | 0.1 | 0.6 | — | — | ||||||||||||||||||||||||
Credit derivatives | ||||||||||||||||||||||||||||
Over-the-counter | 30.8 | 30.2 | 44 | 38.9 | ||||||||||||||||||||||||
Over-the-counter cleared | 7 | 6.8 | 5.8 | 5.9 | ||||||||||||||||||||||||
Total gross derivative assets/liabilities, before netting | ||||||||||||||||||||||||||||
Over-the-counter | 580.1 | 571.9 | 535.2 | 513.7 | ||||||||||||||||||||||||
Exchange-traded | 16.1 | 15.6 | 12.1 | 13 | ||||||||||||||||||||||||
Over-the-counter cleared | 372.8 | 376.1 | 357 | 362.4 | ||||||||||||||||||||||||
Less: Legally enforceable master netting agreements and cash collateral received/paid | ||||||||||||||||||||||||||||
Over-the-counter | (545.7 | ) | (545.5 | ) | (505.0 | ) | (495.4 | ) | ||||||||||||||||||||
Exchange-traded | (13.9 | ) | (13.9 | ) | (11.2 | ) | (11.2 | ) | ||||||||||||||||||||
Over-the-counter cleared | (372.5 | ) | (375.5 | ) | (356.6 | ) | (362.4 | ) | ||||||||||||||||||||
Derivative assets/liabilities, after netting | 36.9 | 28.7 | 31.5 | 20.1 | ||||||||||||||||||||||||
Other gross derivative assets/liabilities | 15.8 | 18.2 | 16 | 17.3 | ||||||||||||||||||||||||
Total derivative assets/liabilities | 52.7 | 46.9 | 47.5 | 37.4 | ||||||||||||||||||||||||
Less: Financial instruments collateral (1) | (13.3 | ) | (8.9 | ) | (10.1 | ) | (4.6 | ) | ||||||||||||||||||||
Total net derivative assets/liabilities | $ | 39.4 | $ | 38 | $ | 37.4 | $ | 32.8 | ||||||||||||||||||||
(1) | These amounts are limited to the derivative asset/liability balance and, accordingly, do not include excess collateral received/pledged. |
Securities_Tables
Securities (Tables) | 12 Months Ended | ||||||||||||||||||||||||||||||||||
Dec. 31, 2014 | |||||||||||||||||||||||||||||||||||
Investments, Debt and Equity Securities [Abstract] | |||||||||||||||||||||||||||||||||||
Marketable Securities | The table below presents the amortized cost, gross unrealized gains and losses, and fair value of available-for-sale (AFS) debt securities, other debt securities carried at fair value, HTM debt securities and AFS marketable equity securities at December 31, 2014 and 2013. | ||||||||||||||||||||||||||||||||||
Debt Securities and Available-for-Sale Marketable Equity Securities | |||||||||||||||||||||||||||||||||||
31-Dec-14 | |||||||||||||||||||||||||||||||||||
(Dollars in millions) | Amortized | Gross | Gross | Fair | |||||||||||||||||||||||||||||||
Cost | Unrealized | Unrealized | Value | ||||||||||||||||||||||||||||||||
Gains | Losses | ||||||||||||||||||||||||||||||||||
Available-for-sale debt securities | |||||||||||||||||||||||||||||||||||
U.S. Treasury and agency securities | $ | 69,267 | $ | 360 | $ | (32 | ) | $ | 69,595 | ||||||||||||||||||||||||||
Mortgage-backed securities: | |||||||||||||||||||||||||||||||||||
Agency | 163,592 | 2,040 | (593 | ) | 165,039 | ||||||||||||||||||||||||||||||
Agency-collateralized mortgage obligations | 14,175 | 152 | (79 | ) | 14,248 | ||||||||||||||||||||||||||||||
Non-agency residential (1) | 4,244 | 287 | (77 | ) | 4,454 | ||||||||||||||||||||||||||||||
Commercial | 3,931 | 69 | — | 4,000 | |||||||||||||||||||||||||||||||
Non-U.S. securities | 6,208 | 33 | (11 | ) | 6,230 | ||||||||||||||||||||||||||||||
Corporate/Agency bonds | 361 | 9 | (2 | ) | 368 | ||||||||||||||||||||||||||||||
Other taxable securities, substantially all asset-backed securities | 10,774 | 39 | (22 | ) | 10,791 | ||||||||||||||||||||||||||||||
Total taxable securities | 272,552 | 2,989 | (816 | ) | 274,725 | ||||||||||||||||||||||||||||||
Tax-exempt securities | 9,556 | 12 | (19 | ) | 9,549 | ||||||||||||||||||||||||||||||
Total available-for-sale debt securities | 282,108 | 3,001 | (835 | ) | 284,274 | ||||||||||||||||||||||||||||||
Other debt securities carried at fair value | 36,524 | 261 | (364 | ) | 36,421 | ||||||||||||||||||||||||||||||
Total debt securities carried at fair value | 318,632 | 3,262 | (1,199 | ) | 320,695 | ||||||||||||||||||||||||||||||
Held-to-maturity debt securities, substantially all U.S. agency mortgage-backed securities | 59,766 | 486 | (611 | ) | 59,641 | ||||||||||||||||||||||||||||||
Total debt securities | $ | 378,398 | $ | 3,748 | $ | (1,810 | ) | $ | 380,336 | ||||||||||||||||||||||||||
Available-for-sale marketable equity securities (2) | $ | 336 | $ | 27 | $ | — | $ | 363 | |||||||||||||||||||||||||||
31-Dec-13 | |||||||||||||||||||||||||||||||||||
Available-for-sale debt securities | |||||||||||||||||||||||||||||||||||
U.S. Treasury and agency securities | $ | 8,910 | $ | 106 | $ | (62 | ) | $ | 8,954 | ||||||||||||||||||||||||||
Mortgage-backed securities: | |||||||||||||||||||||||||||||||||||
Agency | 170,112 | 777 | (5,954 | ) | 164,935 | ||||||||||||||||||||||||||||||
Agency-collateralized mortgage obligations | 22,731 | 76 | (315 | ) | 22,492 | ||||||||||||||||||||||||||||||
Non-agency residential (1) | 6,124 | 238 | (123 | ) | 6,239 | ||||||||||||||||||||||||||||||
Commercial | 2,429 | 63 | (12 | ) | 2,480 | ||||||||||||||||||||||||||||||
Non-U.S. securities | 7,207 | 37 | (24 | ) | 7,220 | ||||||||||||||||||||||||||||||
Corporate/Agency bonds | 860 | 20 | (7 | ) | 873 | ||||||||||||||||||||||||||||||
Other taxable securities, substantially all asset-backed securities | 16,805 | 30 | (5 | ) | 16,830 | ||||||||||||||||||||||||||||||
Total taxable securities | 235,178 | 1,347 | (6,502 | ) | 230,023 | ||||||||||||||||||||||||||||||
Tax-exempt securities | 5,967 | 10 | (49 | ) | 5,928 | ||||||||||||||||||||||||||||||
Total available-for-sale debt securities | 241,145 | 1,357 | (6,551 | ) | 235,951 | ||||||||||||||||||||||||||||||
Other debt securities carried at fair value | 34,145 | 34 | (1,335 | ) | 32,844 | ||||||||||||||||||||||||||||||
Total debt securities carried at fair value | 275,290 | 1,391 | (7,886 | ) | 268,795 | ||||||||||||||||||||||||||||||
Held-to-maturity debt securities, substantially all U.S. agency mortgage-backed securities | 55,150 | 20 | (2,740 | ) | 52,430 | ||||||||||||||||||||||||||||||
Total debt securities | $ | 330,440 | $ | 1,411 | $ | (10,626 | ) | $ | 321,225 | ||||||||||||||||||||||||||
Available-for-sale marketable equity securities (2) | $ | 230 | $ | — | $ | (7 | ) | $ | 223 | ||||||||||||||||||||||||||
(1) | At December 31, 2014 and 2013, the underlying collateral type included approximately 76 percent and 89 percent prime, 14 percent and seven percent Alt-A, and 10 percent and four percent subprime. | ||||||||||||||||||||||||||||||||||
(2) | Classified in other assets on the Consolidated Balance Sheet. | ||||||||||||||||||||||||||||||||||
Schedule of Other Debt Securities Carried at Fair Value | The table below presents the components of other debt securities carried at fair value where the changes in fair value are reported in other income. In 2014, the Corporation recorded unrealized mark-to-market net gains in other income of $1.2 billion and realized gains of $275 million on other debt securities carried at fair value, which exclude the impact of certain hedges, the results of which are also reported in other income, compared to unrealized mark-to-market net losses of $1.3 billion and realized losses of $963 million in 2013. | ||||||||||||||||||||||||||||||||||
Other Debt Securities Carried at Fair Value | |||||||||||||||||||||||||||||||||||
31-Dec | |||||||||||||||||||||||||||||||||||
(Dollars in millions) | 2014 | 2013 | |||||||||||||||||||||||||||||||||
U.S. Treasury and agency securities | $ | 1,541 | $ | 4,062 | |||||||||||||||||||||||||||||||
Mortgage-backed securities: | |||||||||||||||||||||||||||||||||||
Agency | 15,704 | 16,500 | |||||||||||||||||||||||||||||||||
Agency-collateralized mortgage obligations | — | 218 | |||||||||||||||||||||||||||||||||
Non-agency residential | 3,745 | — | |||||||||||||||||||||||||||||||||
Commercial | — | 749 | |||||||||||||||||||||||||||||||||
Non-U.S. securities (1) | 15,132 | 11,315 | |||||||||||||||||||||||||||||||||
Other taxable securities, substantially all asset-backed securities | 299 | — | |||||||||||||||||||||||||||||||||
Total | $ | 36,421 | $ | 32,844 | |||||||||||||||||||||||||||||||
(1) | These securities are primarily used to satisfy certain international regulatory liquidity requirements. | ||||||||||||||||||||||||||||||||||
Components of Realized Gains and Losses on Sales of Debt Securities | The table below presents gross realized gains and losses on sales of AFS debt securities for 2014, 2013 and 2012. | ||||||||||||||||||||||||||||||||||
Gains and Losses on Sales of AFS Debt Securities | |||||||||||||||||||||||||||||||||||
(Dollars in millions) | 2014 | 2013 | 2012 | ||||||||||||||||||||||||||||||||
Gross gains | $ | 1,366 | $ | 1,302 | $ | 2,128 | |||||||||||||||||||||||||||||
Gross losses | (12 | ) | (31 | ) | (466 | ) | |||||||||||||||||||||||||||||
Net gains on sales of AFS debt securities | $ | 1,354 | $ | 1,271 | $ | 1,662 | |||||||||||||||||||||||||||||
Income tax expense attributable to realized net gains on sales of AFS debt securities | $ | 515 | $ | 470 | $ | 615 | |||||||||||||||||||||||||||||
Current Fair Value and Associated Gross Unrealized Losses on Investments | The table below presents the amortized cost and fair value of the Corporation’s debt securities carried at fair value and HTM debt securities from Fannie Mae (FNMA), the Government National Mortgage Association (GNMA), U.S. Treasury and Freddie Mac (FHLMC), where the investment exceeded 10 percent of consolidated shareholders’ equity at December 31, 2014 and 2013. | ||||||||||||||||||||||||||||||||||
Selected Securities Exceeding 10 Percent of Shareholders’ Equity | |||||||||||||||||||||||||||||||||||
December 31 | |||||||||||||||||||||||||||||||||||
2014 | 2013 | ||||||||||||||||||||||||||||||||||
(Dollars in millions) | Amortized | Fair | Amortized | Fair | |||||||||||||||||||||||||||||||
Cost | Value | Cost | Value | ||||||||||||||||||||||||||||||||
Fannie Mae | $ | 130,725 | $ | 131,418 | $ | 123,813 | $ | 118,708 | |||||||||||||||||||||||||||
Government National Mortgage Association | 98,278 | 98,633 | 118,700 | 115,314 | |||||||||||||||||||||||||||||||
U.S. Treasury | 68,481 | 68,801 | 10,533 | 10,428 | |||||||||||||||||||||||||||||||
Freddie Mac | 28,288 | 28,556 | 24,908 | 24,075 | |||||||||||||||||||||||||||||||
Amortized Cost and Fair Value of Corporations Investment | The table below presents the fair value and the associated gross unrealized losses on AFS debt securities and whether these securities have had gross unrealized losses for less than 12 months or for 12 months or longer at December 31, 2014 and 2013. | ||||||||||||||||||||||||||||||||||
Temporarily Impaired and Other-than-temporarily Impaired AFS Debt Securities | |||||||||||||||||||||||||||||||||||
December 31, 2014 | |||||||||||||||||||||||||||||||||||
Less than Twelve Months | Twelve Months or Longer | Total | |||||||||||||||||||||||||||||||||
(Dollars in millions) | Fair | Gross Unrealized Losses | Fair | Gross Unrealized Losses | Fair | Gross Unrealized Losses | |||||||||||||||||||||||||||||
Value | Value | Value | |||||||||||||||||||||||||||||||||
Temporarily impaired available-for-sale debt securities | |||||||||||||||||||||||||||||||||||
U.S. Treasury and agency securities | $ | 10,121 | $ | (22 | ) | $ | 667 | $ | (10 | ) | $ | 10,788 | $ | (32 | ) | ||||||||||||||||||||
Mortgage-backed securities: | |||||||||||||||||||||||||||||||||||
Agency | 1,366 | (8 | ) | 43,118 | (585 | ) | 44,484 | (593 | ) | ||||||||||||||||||||||||||
Agency-collateralized mortgage obligations | 2,242 | (19 | ) | 3,075 | (60 | ) | 5,317 | (79 | ) | ||||||||||||||||||||||||||
Non-agency residential | 307 | (3 | ) | 809 | (41 | ) | 1,116 | (44 | ) | ||||||||||||||||||||||||||
Non-U.S. securities | 157 | (9 | ) | 32 | (2 | ) | 189 | (11 | ) | ||||||||||||||||||||||||||
Corporate/Agency bonds | 43 | (1 | ) | 93 | (1 | ) | 136 | (2 | ) | ||||||||||||||||||||||||||
Other taxable securities, substantially all asset-backed securities | 575 | (3 | ) | 1,080 | (19 | ) | 1,655 | (22 | ) | ||||||||||||||||||||||||||
Total taxable securities | 14,811 | (65 | ) | 48,874 | (718 | ) | 63,685 | (783 | ) | ||||||||||||||||||||||||||
Tax-exempt securities | 980 | (1 | ) | 680 | (18 | ) | 1,660 | (19 | ) | ||||||||||||||||||||||||||
Total temporarily impaired available-for-sale debt securities | 15,791 | (66 | ) | 49,554 | (736 | ) | 65,345 | (802 | ) | ||||||||||||||||||||||||||
Other-than-temporarily impaired available-for-sale debt securities (1) | |||||||||||||||||||||||||||||||||||
Non-agency residential mortgage-backed securities | 555 | (33 | ) | — | — | 555 | (33 | ) | |||||||||||||||||||||||||||
Total temporarily impaired and other-than-temporarily impaired | $ | 16,346 | $ | (99 | ) | $ | 49,554 | $ | (736 | ) | $ | 65,900 | $ | (835 | ) | ||||||||||||||||||||
available-for-sale debt securities | |||||||||||||||||||||||||||||||||||
December 31, 2013 | |||||||||||||||||||||||||||||||||||
Temporarily impaired available-for-sale debt securities | |||||||||||||||||||||||||||||||||||
U.S. Treasury and agency securities | $ | 5,770 | $ | (61 | ) | $ | 19 | $ | (1 | ) | $ | 5,789 | $ | (62 | ) | ||||||||||||||||||||
Mortgage-backed securities: | |||||||||||||||||||||||||||||||||||
Agency | 132,032 | (5,457 | ) | 9,324 | (497 | ) | 141,356 | (5,954 | ) | ||||||||||||||||||||||||||
Agency-collateralized mortgage obligations | 13,438 | (210 | ) | 2,661 | (105 | ) | 16,099 | (315 | ) | ||||||||||||||||||||||||||
Non-agency residential | 819 | (15 | ) | 1,237 | (106 | ) | 2,056 | (121 | ) | ||||||||||||||||||||||||||
Commercial | 286 | (12 | ) | — | — | 286 | (12 | ) | |||||||||||||||||||||||||||
Non-U.S. securities | — | — | 45 | (24 | ) | 45 | (24 | ) | |||||||||||||||||||||||||||
Corporate/Agency bonds | 106 | (3 | ) | 282 | (4 | ) | 388 | (7 | ) | ||||||||||||||||||||||||||
Other taxable securities, substantially all asset-backed securities | 116 | (2 | ) | 280 | (3 | ) | 396 | (5 | ) | ||||||||||||||||||||||||||
Total taxable securities | 152,567 | (5,760 | ) | 13,848 | (740 | ) | 166,415 | (6,500 | ) | ||||||||||||||||||||||||||
Tax-exempt securities | 1,789 | (30 | ) | 990 | (19 | ) | 2,779 | (49 | ) | ||||||||||||||||||||||||||
Total temporarily impaired available-for-sale debt securities | 154,356 | (5,790 | ) | 14,838 | (759 | ) | 169,194 | (6,549 | ) | ||||||||||||||||||||||||||
Other-than-temporarily impaired available-for-sale debt securities (1) | |||||||||||||||||||||||||||||||||||
Non-agency residential mortgage-backed securities | 2 | (1 | ) | 1 | (1 | ) | 3 | (2 | ) | ||||||||||||||||||||||||||
Total temporarily impaired and other-than-temporarily impaired | $ | 154,358 | $ | (5,791 | ) | $ | 14,839 | $ | (760 | ) | $ | 169,197 | $ | (6,551 | ) | ||||||||||||||||||||
available-for-sale debt securities | |||||||||||||||||||||||||||||||||||
(1) | Includes other-than-temporarily impaired AFS debt securities on which an OTTI loss, primarily related to changes in interest rates, remains in accumulated OCI. | ||||||||||||||||||||||||||||||||||
Corporation Recorded Other-than-Temporary Impairment Losses on AFS Debt Securities | The table below presents a rollforward of the credit losses recognized in earnings in 2014, 2013 and 2012 on AFS debt securities that the Corporation does not have the intent to sell or will not more-likely-than-not be required to sell. | ||||||||||||||||||||||||||||||||||
Rollforward of Credit Losses Recognized | |||||||||||||||||||||||||||||||||||
(Dollars in millions) | 2014 | 2013 | 2012 | ||||||||||||||||||||||||||||||||
Balance, January 1 | $ | 184 | $ | 243 | $ | 310 | |||||||||||||||||||||||||||||
Additions for credit losses recognized on AFS debt securities that had no previous impairment losses | 14 | 6 | 7 | ||||||||||||||||||||||||||||||||
Additions for credit losses recognized on AFS debt securities that had previously incurred impairment losses | 2 | 14 | 46 | ||||||||||||||||||||||||||||||||
Reductions for AFS debt securities matured, sold or intended to be sold | — | (79 | ) | (120 | ) | ||||||||||||||||||||||||||||||
Balance, December 31 | $ | 200 | $ | 184 | $ | 243 | |||||||||||||||||||||||||||||
The Corporation recorded other-than-temporary impairment (OTTI) losses on AFS debt securities in 2014, 2013 and 2012 as presented in the Net Impairment Losses Recognized in Earnings table. Substantially all OTTI losses in 2014, 2013 and 2012 consisted of credit losses on non-agency residential mortgage-backed securities (RMBS) and were recorded in other income in the Consolidated Statement of Income. A debt security is impaired when its fair value is less than its amortized cost. If the Corporation intends or will more-likely-than-not be required to sell a debt security prior to recovery, the entire impairment loss is recorded in the Consolidated Statement of Income. For AFS debt securities the Corporation does not intend or will not more-likely-than-not be required to sell, an analysis is performed to determine if any of the impairment is due to credit or whether it is due to other factors (e.g., interest rate). Credit losses are considered unrecoverable and are recorded in the Consolidated Statement of Income with the remaining unrealized losses recorded in OCI. In certain instances, the credit loss on a debt security may exceed the total impairment, in which case, the excess of the credit loss over the total impairment is recorded as an unrealized gain in OCI. | |||||||||||||||||||||||||||||||||||
Net Impairment Losses Recognized in Earnings | |||||||||||||||||||||||||||||||||||
(Dollars in millions) | 2014 | 2013 | 2012 | ||||||||||||||||||||||||||||||||
Total OTTI losses (unrealized and realized) | $ | (30 | ) | $ | (21 | ) | $ | (57 | ) | ||||||||||||||||||||||||||
Unrealized OTTI losses recognized in OCI | 14 | 1 | 4 | ||||||||||||||||||||||||||||||||
Net impairment losses recognized in earnings | $ | (16 | ) | $ | (20 | ) | $ | (53 | ) | ||||||||||||||||||||||||||
Significant Assumptions Used in the Valuation of Non-Agency Residential MBS | Significant assumptions used in estimating the expected cash flows for measuring credit losses on non-agency RMBS were as follows at December 31, 2014. | ||||||||||||||||||||||||||||||||||
Significant Assumptions | |||||||||||||||||||||||||||||||||||
Range (1) | |||||||||||||||||||||||||||||||||||
Weighted- | 10th | 90th | |||||||||||||||||||||||||||||||||
average | Percentile (2) | Percentile (2) | |||||||||||||||||||||||||||||||||
Prepayment speed | 15.3 | % | 3.1 | % | 29.9 | % | |||||||||||||||||||||||||||||
Loss severity | 35.2 | 11.8 | 44.7 | ||||||||||||||||||||||||||||||||
Life default rate | 39.6 | 1.5 | 98.6 | ||||||||||||||||||||||||||||||||
(1) | Represents the range of inputs/assumptions based upon the underlying collateral. | ||||||||||||||||||||||||||||||||||
(2) | The value of a variable below which the indicated percentile of observations will fall. | ||||||||||||||||||||||||||||||||||
Expected Maturity Distribution | The expected maturity distribution of the Corporation’s MBS, the contractual maturity distribution of the Corporation’s other debt securities carried at fair value and HTM debt securities, and the yields on the Corporation’s debt securities carried at fair value and HTM debt securities at December 31, 2014 are summarized in the table below. Actual maturities may differ from the contractual or expected maturities since borrowers may have the right to prepay obligations with or without prepayment penalties. | ||||||||||||||||||||||||||||||||||
Maturities of Debt Securities Carried at Fair Value and Held-to-maturity Debt Securities | |||||||||||||||||||||||||||||||||||
December 31, 2014 | |||||||||||||||||||||||||||||||||||
Due in One | Due after One Year | Due after Five Years | Due after | Total | |||||||||||||||||||||||||||||||
Year or Less | through Five Years | through Ten Years | Ten Years | ||||||||||||||||||||||||||||||||
(Dollars in millions) | Amount | Yield (1) | Amount | Yield (1) | Amount | Yield (1) | Amount | Yield (1) | Amount | Yield (1) | |||||||||||||||||||||||||
Amortized cost of debt securities carried at fair value | |||||||||||||||||||||||||||||||||||
U.S. Treasury and agency securities | $ | 577 | 0.41 | % | $ | 51,153 | 1.6 | % | $ | 17,535 | 2.1 | % | $ | 1,480 | 3 | % | $ | 70,745 | 1.78 | % | |||||||||||||||
Mortgage-backed securities: | |||||||||||||||||||||||||||||||||||
Agency | 28 | 4.6 | 24,283 | 2.7 | 152,950 | 2.8 | 2,175 | 3 | 179,436 | 2.8 | |||||||||||||||||||||||||
Agency-collateralized mortgage obligations | 794 | 0.4 | 2,874 | 2 | 10,488 | 2.8 | 19 | 0.6 | 14,175 | 2.5 | |||||||||||||||||||||||||
Non-agency residential | 517 | 5.09 | 1,834 | 5.39 | 1,236 | 4.78 | 4,443 | 10.61 | 8,030 | 8.15 | |||||||||||||||||||||||||
Commercial | 188 | 9.69 | 590 | 2.32 | 3,150 | 2.8 | 3 | 2.83 | 3,931 | 3.07 | |||||||||||||||||||||||||
Non-U.S. securities | 18,991 | 0.98 | 2,261 | 3.83 | 68 | 6.23 | — | — | 21,320 | 1.3 | |||||||||||||||||||||||||
Corporate/Agency bonds | 59 | 1.79 | 112 | 3.77 | 94 | 3.74 | 96 | 0.63 | 361 | 2.43 | |||||||||||||||||||||||||
Other taxable securities, substantially all asset-backed securities | 3,199 | 1.34 | 5,707 | 1.22 | 1,376 | 1.81 | 796 | 4.36 | 11,078 | 1.59 | |||||||||||||||||||||||||
Total taxable securities | 24,353 | 1.16 | 88,814 | 2.07 | 186,897 | 2.8 | 9,012 | 6.86 | 309,076 | 2.56 | |||||||||||||||||||||||||
Tax-exempt securities | 929 | 0.97 | 3,768 | 1.13 | 3,082 | 1.15 | 1,777 | 0.86 | 9,556 | 1.14 | |||||||||||||||||||||||||
Total amortized cost of debt securities carried at fair value | $ | 25,282 | 1.16 | $ | 92,582 | 2.03 | $ | 189,979 | 2.77 | $ | 10,789 | 5.87 | $ | 318,632 | 2.51 | ||||||||||||||||||||
Amortized cost of held-to-maturity debt securities (2) | $ | 108 | 0.84 | $ | 19,513 | 2.4 | $ | 39,917 | 2.3 | $ | 228 | 3.31 | $ | 59,766 | 2.4 | ||||||||||||||||||||
Debt securities carried at fair value | |||||||||||||||||||||||||||||||||||
U.S. Treasury and agency securities | $ | 577 | $ | 51,383 | $ | 17,633 | $ | 1,543 | $ | 71,136 | |||||||||||||||||||||||||
Mortgage-backed securities: | |||||||||||||||||||||||||||||||||||
Agency | 29 | 24,859 | 153,649 | 2,206 | 180,743 | ||||||||||||||||||||||||||||||
Agency-collateralized mortgage obligations | 795 | 2,838 | 10,596 | 19 | 14,248 | ||||||||||||||||||||||||||||||
Non-agency residential | 521 | 1,849 | 1,316 | 4,513 | 8,199 | ||||||||||||||||||||||||||||||
Commercial | 191 | 594 | 3,212 | 3 | 4,000 | ||||||||||||||||||||||||||||||
Non-U.S. securities | 18,982 | 2,309 | 71 | — | 21,362 | ||||||||||||||||||||||||||||||
Corporate/Agency bonds | 60 | 117 | 96 | 95 | 368 | ||||||||||||||||||||||||||||||
Other taxable securities, substantially all asset-backed securities | 3,202 | 5,699 | 1,399 | 790 | 11,090 | ||||||||||||||||||||||||||||||
Total taxable securities | 24,357 | 89,648 | 187,972 | 9,169 | 311,146 | ||||||||||||||||||||||||||||||
Tax-exempt securities | 929 | 3,770 | 3,078 | 1,772 | 9,549 | ||||||||||||||||||||||||||||||
Total debt securities carried at fair value | $ | 25,286 | $ | 93,418 | $ | 191,050 | $ | 10,941 | $ | 320,695 | |||||||||||||||||||||||||
Fair value of held-to-maturity debt securities (2) | $ | 108 | $ | 19,762 | $ | 39,538 | $ | 233 | $ | 59,641 | |||||||||||||||||||||||||
(1) | Average yield is computed using the effective yield of each security at the end of the period, weighted based on the amortized cost of each security. The effective yield considers the contractual coupon, amortization of premiums and accretion of discounts, and excludes the effect of related hedging derivatives. | ||||||||||||||||||||||||||||||||||
(2) | Substantially all U.S. agency MBS. |
Outstanding_Loans_and_Leases_T
Outstanding Loans and Leases (Tables) | 12 Months Ended | |||||||||||||||||||||||||||||||||||||
Dec. 31, 2014 | ||||||||||||||||||||||||||||||||||||||
Loans and Leases Receivable Disclosure [Abstract] | ||||||||||||||||||||||||||||||||||||||
Schedule of Loans and Leases Outstanding | The following tables present total outstanding loans and leases and an aging analysis for the Corporation’s Consumer Real Estate, Credit Card and Other Consumer, and Commercial portfolio segments, by class of financing receivables, at December 31, 2014 and 2013. | |||||||||||||||||||||||||||||||||||||
December 31, 2014 | ||||||||||||||||||||||||||||||||||||||
(Dollars in millions) | 30-59 Days Past Due (1) | 60-89 Days Past Due (1) | 90 Days or | Total Past | Total Current or Less Than 30 Days Past Due (3) | Purchased | Loans Accounted for Under the Fair Value Option | Total | ||||||||||||||||||||||||||||||
More | Due 30 Days | Credit-impaired (4) | Outstandings | |||||||||||||||||||||||||||||||||||
Past Due (2) | or More | |||||||||||||||||||||||||||||||||||||
Consumer real estate | ||||||||||||||||||||||||||||||||||||||
Core portfolio | ||||||||||||||||||||||||||||||||||||||
Residential mortgage | $ | 1,847 | $ | 700 | $ | 5,561 | $ | 8,108 | $ | 154,112 | $ | 162,220 | ||||||||||||||||||||||||||
Home equity | 218 | 105 | 744 | 1,067 | 50,820 | 51,887 | ||||||||||||||||||||||||||||||||
Legacy Assets & Servicing portfolio | ||||||||||||||||||||||||||||||||||||||
Residential mortgage (5) | 2,008 | 1,060 | 10,513 | 13,581 | 25,244 | $ | 15,152 | 53,977 | ||||||||||||||||||||||||||||||
Home equity | 374 | 174 | 1,166 | 1,714 | 26,507 | 5,617 | 33,838 | |||||||||||||||||||||||||||||||
Credit card and other consumer | ||||||||||||||||||||||||||||||||||||||
U.S. credit card | 494 | 341 | 866 | 1,701 | 90,178 | 91,879 | ||||||||||||||||||||||||||||||||
Non-U.S. credit card | 49 | 39 | 95 | 183 | 10,282 | 10,465 | ||||||||||||||||||||||||||||||||
Direct/Indirect consumer (6) | 245 | 71 | 65 | 381 | 80,000 | 80,381 | ||||||||||||||||||||||||||||||||
Other consumer (7) | 11 | 2 | 2 | 15 | 1,831 | 1,846 | ||||||||||||||||||||||||||||||||
Total consumer | 5,246 | 2,492 | 19,012 | 26,750 | 438,974 | 20,769 | 486,493 | |||||||||||||||||||||||||||||||
Consumer loans accounted for under the fair value option (8) | $ | 2,077 | 2,077 | |||||||||||||||||||||||||||||||||||
Total consumer loans and leases | 5,246 | 2,492 | 19,012 | 26,750 | 438,974 | 20,769 | 2,077 | 488,570 | ||||||||||||||||||||||||||||||
Commercial | ||||||||||||||||||||||||||||||||||||||
U.S. commercial | 320 | 151 | 318 | 789 | 219,504 | 220,293 | ||||||||||||||||||||||||||||||||
Commercial real estate (9) | 138 | 16 | 288 | 442 | 47,240 | 47,682 | ||||||||||||||||||||||||||||||||
Commercial lease financing | 121 | 41 | 42 | 204 | 24,662 | 24,866 | ||||||||||||||||||||||||||||||||
Non-U.S. commercial | 5 | 4 | — | 9 | 80,074 | 80,083 | ||||||||||||||||||||||||||||||||
U.S. small business commercial | 88 | 45 | 94 | 227 | 13,066 | 13,293 | ||||||||||||||||||||||||||||||||
Total commercial | 672 | 257 | 742 | 1,671 | 384,546 | 386,217 | ||||||||||||||||||||||||||||||||
Commercial loans accounted for under the fair value option (8) | 6,604 | 6,604 | ||||||||||||||||||||||||||||||||||||
Total commercial loans and leases | 672 | 257 | 742 | 1,671 | 384,546 | 6,604 | 392,821 | |||||||||||||||||||||||||||||||
Total loans and leases | $ | 5,918 | $ | 2,749 | $ | 19,754 | $ | 28,421 | $ | 823,520 | $ | 20,769 | $ | 8,681 | $ | 881,391 | ||||||||||||||||||||||
Percentage of outstandings | 0.67 | % | 0.31 | % | 2.24 | % | 3.22 | % | 93.44 | % | 2.36 | % | 0.98 | % | 100 | % | ||||||||||||||||||||||
(1) | Consumer real estate loans 30-59 days past due includes fully-insured loans of $2.1 billion and nonperforming loans of $392 million. Consumer real estate loans 60-89 days past due includes fully-insured loans of $1.1 billion and nonperforming loans of $332 million. | |||||||||||||||||||||||||||||||||||||
(2) | Consumer real estate includes fully-insured loans of $11.4 billion. | |||||||||||||||||||||||||||||||||||||
(3) | Consumer real estate includes $3.6 billion and direct/indirect consumer includes $27 million of nonperforming loans. | |||||||||||||||||||||||||||||||||||||
(4) | PCI loan amounts are shown gross of the valuation allowance. | |||||||||||||||||||||||||||||||||||||
(5) | Total outstandings includes pay option loans of $3.2 billion. The Corporation no longer originates this product. | |||||||||||||||||||||||||||||||||||||
(6) | Total outstandings includes dealer financial services loans of $37.7 billion, unsecured consumer lending loans of $1.5 billion, U.S. securities-based lending loans of $35.8 billion, non-U.S. consumer loans of $4.0 billion, student loans of $632 million and other consumer loans of $761 million. | |||||||||||||||||||||||||||||||||||||
(7) | Total outstandings includes consumer finance loans of $676 million, consumer leases of $1.0 billion, consumer overdrafts of $162 million and other non-U.S. consumer loans of $3 million. | |||||||||||||||||||||||||||||||||||||
(8) | Consumer loans accounted for under the fair value option were residential mortgage loans of $1.9 billion and home equity loans of $196 million. Commercial loans accounted for under the fair value option were U.S. commercial loans of $1.9 billion and non-U.S. commercial loans of $4.7 billion. For additional information, see Note 20 – Fair Value Measurements and Note 21 – Fair Value Option. | |||||||||||||||||||||||||||||||||||||
(9) | Total outstandings includes U.S. commercial real estate loans of $45.2 billion and non-U.S. commercial real estate loans of $2.5 billion. | |||||||||||||||||||||||||||||||||||||
December 31, 2013 | ||||||||||||||||||||||||||||||||||||||
(Dollars in millions) | 30-59 Days | 60-89 Days Past Due (1) | 90 Days or | Total Past | Total | Purchased | Loans | Total Outstandings | ||||||||||||||||||||||||||||||
Past Due (1) | More | Due 30 Days | Current or | Credit-impaired (4) | Accounted | |||||||||||||||||||||||||||||||||
Past Due (2) | or More | Less Than | for Under | |||||||||||||||||||||||||||||||||||
30 Days | the Fair | |||||||||||||||||||||||||||||||||||||
Past Due (3) | Value Option | |||||||||||||||||||||||||||||||||||||
Consumer real estate | ||||||||||||||||||||||||||||||||||||||
Core portfolio | ||||||||||||||||||||||||||||||||||||||
Residential mortgage | $ | 2,151 | $ | 754 | $ | 7,188 | $ | 10,093 | $ | 167,243 | $ | 177,336 | ||||||||||||||||||||||||||
Home equity | 243 | 113 | 693 | 1,049 | 53,450 | 54,499 | ||||||||||||||||||||||||||||||||
Legacy Assets & Servicing portfolio | ||||||||||||||||||||||||||||||||||||||
Residential mortgage (5) | 2,758 | 1,412 | 16,746 | 20,916 | 31,142 | $ | 18,672 | 70,730 | ||||||||||||||||||||||||||||||
Home equity | 444 | 221 | 1,292 | 1,957 | 30,623 | 6,593 | 39,173 | |||||||||||||||||||||||||||||||
Credit card and other consumer | ||||||||||||||||||||||||||||||||||||||
U.S. credit card | 598 | 422 | 1,053 | 2,073 | 90,265 | 92,338 | ||||||||||||||||||||||||||||||||
Non-U.S. credit card | 63 | 54 | 131 | 248 | 11,293 | 11,541 | ||||||||||||||||||||||||||||||||
Direct/Indirect consumer (6) | 431 | 175 | 410 | 1,016 | 81,176 | 82,192 | ||||||||||||||||||||||||||||||||
Other consumer (7) | 24 | 8 | 20 | 52 | 1,925 | 1,977 | ||||||||||||||||||||||||||||||||
Total consumer | 6,712 | 3,159 | 27,533 | 37,404 | 467,117 | 25,265 | 529,786 | |||||||||||||||||||||||||||||||
Consumer loans accounted for under the fair value option (8) | $ | 2,164 | 2,164 | |||||||||||||||||||||||||||||||||||
Total consumer loans and leases | 6,712 | 3,159 | 27,533 | 37,404 | 467,117 | 25,265 | 2,164 | 531,950 | ||||||||||||||||||||||||||||||
Commercial | ||||||||||||||||||||||||||||||||||||||
U.S. commercial | 363 | 151 | 309 | 823 | 211,734 | 212,557 | ||||||||||||||||||||||||||||||||
Commercial real estate (9) | 30 | 29 | 243 | 302 | 47,591 | 47,893 | ||||||||||||||||||||||||||||||||
Commercial lease financing | 110 | 37 | 48 | 195 | 25,004 | 25,199 | ||||||||||||||||||||||||||||||||
Non-U.S. commercial | 103 | 8 | 17 | 128 | 89,334 | 89,462 | ||||||||||||||||||||||||||||||||
U.S. small business commercial | 87 | 55 | 113 | 255 | 13,039 | 13,294 | ||||||||||||||||||||||||||||||||
Total commercial | 693 | 280 | 730 | 1,703 | 386,702 | 388,405 | ||||||||||||||||||||||||||||||||
Commercial loans accounted for under the fair value option (8) | 7,878 | 7,878 | ||||||||||||||||||||||||||||||||||||
Total commercial loans and leases | 693 | 280 | 730 | 1,703 | 386,702 | 7,878 | 396,283 | |||||||||||||||||||||||||||||||
Total loans and leases | $ | 7,405 | $ | 3,439 | $ | 28,263 | $ | 39,107 | $ | 853,819 | $ | 25,265 | $ | 10,042 | $ | 928,233 | ||||||||||||||||||||||
Percentage of outstandings | 0.8 | % | 0.37 | % | 3.04 | % | 4.21 | % | 91.99 | % | 2.72 | % | 1.08 | % | 100 | % | ||||||||||||||||||||||
(1) | Consumer real estate loans 30-59 days past due includes fully-insured loans of $2.5 billion and nonperforming loans of $623 million. Consumer real estate loans 60-89 days past due includes fully-insured loans of $1.2 billion and nonperforming loans of $410 million. | |||||||||||||||||||||||||||||||||||||
(2) | Consumer real estate includes fully-insured loans of $17.0 billion. | |||||||||||||||||||||||||||||||||||||
(3) | Consumer real estate includes $5.9 billion and direct/indirect consumer includes $33 million of nonperforming loans. | |||||||||||||||||||||||||||||||||||||
(4) | PCI loan amounts are shown gross of the valuation allowance. | |||||||||||||||||||||||||||||||||||||
(5) | Total outstandings includes pay option loans of $4.4 billion. The Corporation no longer originates this product. | |||||||||||||||||||||||||||||||||||||
(6) | Total outstandings includes dealer financial services loans of $38.5 billion, unsecured consumer lending loans of $2.7 billion, U.S. securities-based lending loans of $31.2 billion, non-U.S. consumer loans of $4.7 billion, student loans of $4.1 billion and other consumer loans of $1.0 billion. | |||||||||||||||||||||||||||||||||||||
(7) | Total outstandings includes consumer finance loans of $1.2 billion, consumer leases of $606 million, consumer overdrafts of $176 million and other non-U.S. consumer loans of $5 million. | |||||||||||||||||||||||||||||||||||||
(8) | Consumer loans accounted for under the fair value option were residential mortgage loans of $2.0 billion and home equity loans of $147 million. Commercial loans accounted for under the fair value option were U.S. commercial loans of $1.5 billion and non-U.S. commercial loans of $6.4 billion. For additional information, see Note 20 – Fair Value Measurements and Note 21 – Fair Value Option. | |||||||||||||||||||||||||||||||||||||
(9) | Total outstandings includes U.S. commercial real estate loans of $46.3 billion and non-U.S. commercial real estate loans of $1.6 billion. | |||||||||||||||||||||||||||||||||||||
Schedule of Financing Receivables, Non Accrual Status | The table below presents the Corporation’s nonperforming loans and leases including nonperforming TDRs, and loans accruing past due 90 days or more at December 31, 2014 and 2013. Nonperforming loans held-for-sale (LHFS) are excluded from nonperforming loans and leases as they are recorded at either fair value or the lower of cost or fair value. For more information on the criteria for classification as nonperforming, see Note 1 – Summary of Significant Accounting Principles. | |||||||||||||||||||||||||||||||||||||
Credit Quality | ||||||||||||||||||||||||||||||||||||||
31-Dec | ||||||||||||||||||||||||||||||||||||||
Nonperforming Loans and Leases (1) | Accruing Past Due | |||||||||||||||||||||||||||||||||||||
90 Days or More | ||||||||||||||||||||||||||||||||||||||
(Dollars in millions) | 2014 | 2013 | 2014 | 2013 | ||||||||||||||||||||||||||||||||||
Consumer real estate | ||||||||||||||||||||||||||||||||||||||
Core portfolio | ||||||||||||||||||||||||||||||||||||||
Residential mortgage (2) | $ | 2,398 | $ | 3,316 | $ | 3,942 | $ | 5,137 | ||||||||||||||||||||||||||||||
Home equity | 1,496 | 1,431 | — | — | ||||||||||||||||||||||||||||||||||
Legacy Assets & Servicing portfolio | ||||||||||||||||||||||||||||||||||||||
Residential mortgage (2) | 4,491 | 8,396 | 7,465 | 11,824 | ||||||||||||||||||||||||||||||||||
Home equity | 2,405 | 2,644 | — | — | ||||||||||||||||||||||||||||||||||
Credit card and other consumer | ||||||||||||||||||||||||||||||||||||||
U.S. credit card | n/a | n/a | 866 | 1,053 | ||||||||||||||||||||||||||||||||||
Non-U.S. credit card | n/a | n/a | 95 | 131 | ||||||||||||||||||||||||||||||||||
Direct/Indirect consumer | 28 | 35 | 64 | 408 | ||||||||||||||||||||||||||||||||||
Other consumer | 1 | 18 | 1 | 2 | ||||||||||||||||||||||||||||||||||
Total consumer | 10,819 | 15,840 | 12,433 | 18,555 | ||||||||||||||||||||||||||||||||||
Commercial | ||||||||||||||||||||||||||||||||||||||
U.S. commercial | 701 | 819 | 110 | 47 | ||||||||||||||||||||||||||||||||||
Commercial real estate | 321 | 322 | 3 | 21 | ||||||||||||||||||||||||||||||||||
Commercial lease financing | 3 | 16 | 41 | 41 | ||||||||||||||||||||||||||||||||||
Non-U.S. commercial | 1 | 64 | — | 17 | ||||||||||||||||||||||||||||||||||
U.S. small business commercial | 87 | 88 | 67 | 78 | ||||||||||||||||||||||||||||||||||
Total commercial | 1,113 | 1,309 | 221 | 204 | ||||||||||||||||||||||||||||||||||
Total loans and leases | $ | 11,932 | $ | 17,149 | $ | 12,654 | $ | 18,759 | ||||||||||||||||||||||||||||||
(1) | Nonperforming loan balances do not include nonaccruing TDRs removed from the PCI loan portfolio prior to January 1, 2010 of $102 million and $260 million at December 31, 2014 and 2013. | |||||||||||||||||||||||||||||||||||||
(2) | Residential mortgage loans in the Core and Legacy Assets & Servicing portfolios accruing past due 90 days or more are fully-insured loans. At December 31, 2014 and 2013, residential mortgage includes $7.3 billion and $13.0 billion of loans on which interest has been curtailed by the FHA, and therefore are no longer accruing interest, although principal is still insured, and $4.1 billion and $4.0 billion of loans on which interest is still accruing. | |||||||||||||||||||||||||||||||||||||
n/a =ot applicable | ||||||||||||||||||||||||||||||||||||||
Financing Receivable Credit Quality Indicators | The following tables present certain credit quality indicators for the Corporation’s Consumer Real Estate, Credit Card and Other Consumer, and Commercial portfolio segments, by class of financing receivables, at December 31, 2014 and 2013. | |||||||||||||||||||||||||||||||||||||
Consumer Real Estate – Credit Quality Indicators (1) | ||||||||||||||||||||||||||||||||||||||
December 31, 2014 | ||||||||||||||||||||||||||||||||||||||
(Dollars in millions) | Core Portfolio Residential | Legacy Assets & Servicing Residential | Residential Mortgage PCI (3) | Core Portfolio Home Equity (2) | Legacy Assets & Servicing Home Equity (2) | Home | ||||||||||||||||||||||||||||||||
Mortgage (2) | Mortgage (2) | Equity PCI | ||||||||||||||||||||||||||||||||||||
Refreshed LTV (4, 5) | ||||||||||||||||||||||||||||||||||||||
Less than or equal to 90 percent | $ | 100,255 | $ | 18,499 | $ | 9,972 | $ | 45,414 | $ | 17,453 | $ | 2,046 | ||||||||||||||||||||||||||
Greater than 90 percent but less than or equal to 100 percent | 4,958 | 3,081 | 2,005 | 2,442 | 3,272 | 1,048 | ||||||||||||||||||||||||||||||||
Greater than 100 percent | 4,017 | 5,265 | 3,175 | 4,031 | 7,496 | 2,523 | ||||||||||||||||||||||||||||||||
Fully-insured loans (6) | 52,990 | 11,980 | — | — | — | — | ||||||||||||||||||||||||||||||||
Total consumer real estate | $ | 162,220 | $ | 38,825 | $ | 15,152 | $ | 51,887 | $ | 28,221 | $ | 5,617 | ||||||||||||||||||||||||||
Refreshed FICO score | ||||||||||||||||||||||||||||||||||||||
Less than 620 | $ | 4,184 | $ | 6,313 | $ | 6,109 | $ | 2,169 | $ | 3,470 | $ | 864 | ||||||||||||||||||||||||||
Greater than or equal to 620 and less than 680 | 6,272 | 4,032 | 3,014 | 3,683 | 4,529 | 995 | ||||||||||||||||||||||||||||||||
Greater than or equal to 680 and less than 740 | 21,946 | 6,463 | 3,310 | 10,231 | 7,905 | 1,651 | ||||||||||||||||||||||||||||||||
Greater than or equal to 740 | 76,828 | 10,037 | 2,719 | 35,804 | 12,317 | 2,107 | ||||||||||||||||||||||||||||||||
Fully-insured loans (6) | 52,990 | 11,980 | — | — | — | — | ||||||||||||||||||||||||||||||||
Total consumer real estate | $ | 162,220 | $ | 38,825 | $ | 15,152 | $ | 51,887 | $ | 28,221 | $ | 5,617 | ||||||||||||||||||||||||||
(1) | Excludes $2.1 billion of loans accounted for under the fair value option. | |||||||||||||||||||||||||||||||||||||
(2) | Excludes PCI loans. | |||||||||||||||||||||||||||||||||||||
(3) | Includes $2.8 billion of pay option loans. The Corporation no longer originates this product. | |||||||||||||||||||||||||||||||||||||
(4) | Refreshed LTV percentages for PCI loans are calculated using the carrying value net of the related valuation allowance. | |||||||||||||||||||||||||||||||||||||
(5) | Effective December 31, 2014, with the exception of high-value properties, underlying values for LTV ratios are primarily determined using automated valuation models. For high-value properties, generally with an original value of $1 million or more, estimated property values are determined using the CoreLogic Case-Shiller Index. Prior-period values have been updated to reflect this change. Previously reported values were primarily determined through an index-based approach. | |||||||||||||||||||||||||||||||||||||
(6) | Credit quality indicators are not reported for fully-insured loans as principal repayment is insured. | |||||||||||||||||||||||||||||||||||||
Credit Card and Other Consumer – Credit Quality Indicators | ||||||||||||||||||||||||||||||||||||||
December 31, 2014 | ||||||||||||||||||||||||||||||||||||||
(Dollars in millions) | U.S. Credit | Non-U.S. | Direct/Indirect | Other | ||||||||||||||||||||||||||||||||||
Card | Credit Card | Consumer | Consumer (1) | |||||||||||||||||||||||||||||||||||
Refreshed FICO score | ||||||||||||||||||||||||||||||||||||||
Less than 620 | $ | 4,467 | $ | — | $ | 1,296 | $ | 266 | ||||||||||||||||||||||||||||||
Greater than or equal to 620 and less than 680 | 12,177 | — | 1,892 | 227 | ||||||||||||||||||||||||||||||||||
Greater than or equal to 680 and less than 740 | 34,986 | — | 10,749 | 307 | ||||||||||||||||||||||||||||||||||
Greater than or equal to 740 | 40,249 | — | 25,279 | 881 | ||||||||||||||||||||||||||||||||||
Other internal credit metrics (2, 3, 4) | — | 10,465 | 41,165 | 165 | ||||||||||||||||||||||||||||||||||
Total credit card and other consumer | $ | 91,879 | $ | 10,465 | $ | 80,381 | $ | 1,846 | ||||||||||||||||||||||||||||||
(1) | Thirty-seven percent of the other consumer portfolio is associated with portfolios from certain consumer finance businesses that the Corporation previously exited. | |||||||||||||||||||||||||||||||||||||
(2) | Other internal credit metrics may include delinquency status, geography or other factors. | |||||||||||||||||||||||||||||||||||||
(3) | Direct/indirect consumer includes $39.7 billion of securities-based lending which is overcollateralized and therefore has minimal credit risk and $632 million of loans the Corporation no longer originates. | |||||||||||||||||||||||||||||||||||||
(4) | Non-U.S. credit card represents the U.K. credit card portfolio which is evaluated using internal credit metrics, including delinquency status. At December 31, 2014, 98 percent of this portfolio was current or less than 30 days past due, one percent was 30-89 days past due and one percent was 90 days or more past due. | |||||||||||||||||||||||||||||||||||||
Commercial – Credit Quality Indicators (1) | ||||||||||||||||||||||||||||||||||||||
December 31, 2014 | ||||||||||||||||||||||||||||||||||||||
(Dollars in millions) | U.S. | Commercial | Commercial | Non-U.S. | U.S. Small | |||||||||||||||||||||||||||||||||
Commercial | Real Estate | Lease | Commercial | Business | ||||||||||||||||||||||||||||||||||
Financing | Commercial (2) | |||||||||||||||||||||||||||||||||||||
Risk ratings | ||||||||||||||||||||||||||||||||||||||
Pass rated | $ | 213,839 | $ | 46,632 | $ | 23,832 | $ | 79,367 | $ | 751 | ||||||||||||||||||||||||||||
Reservable criticized | 6,454 | 1,050 | 1,034 | 716 | 182 | |||||||||||||||||||||||||||||||||
Refreshed FICO score (3) | ||||||||||||||||||||||||||||||||||||||
Less than 620 | 184 | |||||||||||||||||||||||||||||||||||||
Greater than or equal to 620 and less than 680 | 529 | |||||||||||||||||||||||||||||||||||||
Greater than or equal to 680 and less than 740 | 1,591 | |||||||||||||||||||||||||||||||||||||
Greater than or equal to 740 | 2,910 | |||||||||||||||||||||||||||||||||||||
Other internal credit metrics (3, 4) | 7,146 | |||||||||||||||||||||||||||||||||||||
Total commercial | $ | 220,293 | $ | 47,682 | $ | 24,866 | $ | 80,083 | $ | 13,293 | ||||||||||||||||||||||||||||
(1) | Excludes $6.6 billion of loans accounted for under the fair value option. | |||||||||||||||||||||||||||||||||||||
(2) | U.S. small business commercial includes $762 million of criticized business card and small business loans which are evaluated using refreshed FICO scores or internal credit metrics, including delinquency status, rather than risk ratings. At December 31, 2014, 98 percent of the balances where internal credit metrics are used was current or less than 30 days past due. | |||||||||||||||||||||||||||||||||||||
(3) | Refreshed FICO score and other internal credit metrics are applicable only to the U.S. small business commercial portfolio. | |||||||||||||||||||||||||||||||||||||
(4) | Other internal credit metrics may include delinquency status, application scores, geography or other factors. | |||||||||||||||||||||||||||||||||||||
Consumer Real Estate – Credit Quality Indicators (1) | ||||||||||||||||||||||||||||||||||||||
December 31, 2013 | ||||||||||||||||||||||||||||||||||||||
(Dollars in millions) | Core Portfolio Residential | Legacy Assets & Servicing Residential | Residential Mortgage PCI (3) | Core Portfolio Home Equity (2) | Legacy Assets & Servicing Home Equity (2) | Home | ||||||||||||||||||||||||||||||||
Mortgage (2) | Mortgage (2) | Equity PCI | ||||||||||||||||||||||||||||||||||||
Refreshed LTV (4, 5) | ||||||||||||||||||||||||||||||||||||||
Less than or equal to 90 percent | $ | 94,255 | $ | 21,587 | $ | 10,605 | $ | 44,892 | $ | 17,006 | $ | 1,598 | ||||||||||||||||||||||||||
Greater than 90 percent but less than or equal to 100 percent | 7,013 | 4,216 | 2,638 | 3,178 | 3,948 | 1,121 | ||||||||||||||||||||||||||||||||
Greater than 100 percent | 6,356 | 8,720 | 5,429 | 6,429 | 11,626 | 3,874 | ||||||||||||||||||||||||||||||||
Fully-insured loans (6) | 69,712 | 17,535 | — | — | — | — | ||||||||||||||||||||||||||||||||
Total consumer real estate | $ | 177,336 | $ | 52,058 | $ | 18,672 | $ | 54,499 | $ | 32,580 | $ | 6,593 | ||||||||||||||||||||||||||
Refreshed FICO score | ||||||||||||||||||||||||||||||||||||||
Less than 620 | $ | 5,334 | $ | 9,955 | $ | 9,129 | $ | 2,415 | $ | 4,259 | $ | 1,045 | ||||||||||||||||||||||||||
Greater than or equal to 620 and less than 680 | 7,164 | 5,276 | 3,349 | 4,211 | 5,133 | 1,172 | ||||||||||||||||||||||||||||||||
Greater than or equal to 680 and less than 740 | 22,617 | 7,639 | 3,211 | 11,726 | 9,143 | 1,936 | ||||||||||||||||||||||||||||||||
Greater than or equal to 740 | 72,509 | 11,653 | 2,983 | 36,147 | 14,045 | 2,440 | ||||||||||||||||||||||||||||||||
Fully-insured loans (6) | 69,712 | 17,535 | — | — | — | — | ||||||||||||||||||||||||||||||||
Total consumer real estate | $ | 177,336 | $ | 52,058 | $ | 18,672 | $ | 54,499 | $ | 32,580 | $ | 6,593 | ||||||||||||||||||||||||||
(1) | Excludes $2.2 billion of loans accounted for under the fair value option. | |||||||||||||||||||||||||||||||||||||
(2) | Excludes PCI loans. | |||||||||||||||||||||||||||||||||||||
(3) | Includes $4.0 billion of pay option loans. The Corporation no longer originates this product. | |||||||||||||||||||||||||||||||||||||
(4) | Refreshed LTV percentages for PCI loans are calculated using the carrying value net of the related valuation allowance. | |||||||||||||||||||||||||||||||||||||
(5) | Effective December 31, 2014, with the exception of high-value properties, underlying values for LTV ratios are primarily determined using automated valuation models. For high-value properties, generally with an original value of $1 million or more, estimated property values are determined using the CoreLogic Case-Shiller Index. Prior-period values have been updated to reflect this change. Previously reported values were primarily determined through an index-based approach. | |||||||||||||||||||||||||||||||||||||
(6) | Credit quality indicators are not reported for fully-insured loans as principal repayment is insured. | |||||||||||||||||||||||||||||||||||||
Credit Card and Other Consumer – Credit Quality Indicators | ||||||||||||||||||||||||||||||||||||||
December 31, 2013 | ||||||||||||||||||||||||||||||||||||||
(Dollars in millions) | U.S. Credit | Non-U.S. | Direct/Indirect | Other | ||||||||||||||||||||||||||||||||||
Card | Credit Card | Consumer | Consumer (1) | |||||||||||||||||||||||||||||||||||
Refreshed FICO score | ||||||||||||||||||||||||||||||||||||||
Less than 620 | $ | 4,989 | $ | — | $ | 1,220 | $ | 539 | ||||||||||||||||||||||||||||||
Greater than or equal to 620 and less than 680 | 12,753 | — | 3,345 | 264 | ||||||||||||||||||||||||||||||||||
Greater than or equal to 680 and less than 740 | 35,413 | — | 9,887 | 199 | ||||||||||||||||||||||||||||||||||
Greater than or equal to 740 | 39,183 | — | 26,220 | 188 | ||||||||||||||||||||||||||||||||||
Other internal credit metrics (2, 3, 4) | — | 11,541 | 41,520 | 787 | ||||||||||||||||||||||||||||||||||
Total credit card and other consumer | $ | 92,338 | $ | 11,541 | $ | 82,192 | $ | 1,977 | ||||||||||||||||||||||||||||||
(1) | Sixty percent of the other consumer portfolio is associated with portfolios from certain consumer finance businesses that the Corporation previously exited. | |||||||||||||||||||||||||||||||||||||
(2) | Other internal credit metrics may include delinquency status, geography or other factors. | |||||||||||||||||||||||||||||||||||||
(3) | Direct/indirect consumer includes $35.8 billion of securities-based lending which is overcollateralized and therefore has minimal credit risk and $4.1 billion of loans the Corporation no longer originates. | |||||||||||||||||||||||||||||||||||||
(4) | Non-U.S. credit card represents the U.K. credit card portfolio which is evaluated using internal credit metrics, including delinquency status. At December 31, 2013, 98 percent of this portfolio was current or less than 30 days past due, one percent was 30-89 days past due and one percent was 90 days or more past due. | |||||||||||||||||||||||||||||||||||||
Commercial – Credit Quality Indicators (1) | ||||||||||||||||||||||||||||||||||||||
December 31, 2013 | ||||||||||||||||||||||||||||||||||||||
(Dollars in millions) | U.S. | Commercial | Commercial | Non-U.S. | U.S. Small | |||||||||||||||||||||||||||||||||
Commercial | Real Estate | Lease | Commercial | Business | ||||||||||||||||||||||||||||||||||
Financing | Commercial (2) | |||||||||||||||||||||||||||||||||||||
Risk ratings | ||||||||||||||||||||||||||||||||||||||
Pass rated | $ | 205,416 | $ | 46,507 | $ | 24,211 | $ | 88,138 | $ | 1,191 | ||||||||||||||||||||||||||||
Reservable criticized | 7,141 | 1,386 | 988 | 1,324 | 346 | |||||||||||||||||||||||||||||||||
Refreshed FICO score (3) | ||||||||||||||||||||||||||||||||||||||
Less than 620 | 224 | |||||||||||||||||||||||||||||||||||||
Greater than or equal to 620 and less than 680 | 534 | |||||||||||||||||||||||||||||||||||||
Greater than or equal to 680 and less than 740 | 1,567 | |||||||||||||||||||||||||||||||||||||
Greater than or equal to 740 | 2,779 | |||||||||||||||||||||||||||||||||||||
Other internal credit metrics (3, 4) | 6,653 | |||||||||||||||||||||||||||||||||||||
Total commercial | $ | 212,557 | $ | 47,893 | $ | 25,199 | $ | 89,462 | $ | 13,294 | ||||||||||||||||||||||||||||
(1) | Excludes $7.9 billion of loans accounted for under the fair value option. | |||||||||||||||||||||||||||||||||||||
(2) | U.S. small business commercial includes $289 million of criticized business card and small business loans which are evaluated using refreshed FICO scores or internal credit metrics, including delinquency status, rather than risk ratings. At December 31, 2013, 99 percent of the balances where internal credit metrics are used was current or less than 30 days past due. | |||||||||||||||||||||||||||||||||||||
(3) | Refreshed FICO score and other internal credit metrics are applicable only to the U.S. small business commercial portfolio. | |||||||||||||||||||||||||||||||||||||
(4) | Other internal credit metrics may include delinquency status, application scores, geography or other factors. | |||||||||||||||||||||||||||||||||||||
Financing Receivable, Modifications [Line Items] | ||||||||||||||||||||||||||||||||||||||
Certain Loans Acquired in Transfer Not Accounted for as Debt Securities Acquired During Period | The following table presents PCI loans acquired in connection with the 2013 settlement with FNMA. | |||||||||||||||||||||||||||||||||||||
Purchased Loans at Acquisition Date | ||||||||||||||||||||||||||||||||||||||
(Dollars in millions) | ||||||||||||||||||||||||||||||||||||||
Contractually required payments including interest | $ | 8,274 | ||||||||||||||||||||||||||||||||||||
Less: Nonaccretable difference | 2,159 | |||||||||||||||||||||||||||||||||||||
Cash flows expected to be collected (1) | 6,115 | |||||||||||||||||||||||||||||||||||||
Less: Accretable yield | 1,125 | |||||||||||||||||||||||||||||||||||||
Fair value of loans acquired | $ | 4,990 | ||||||||||||||||||||||||||||||||||||
(1) | Represents undiscounted expected principal and interest cash flows at acquisition. | |||||||||||||||||||||||||||||||||||||
Accretable Yield Activity | The table below shows activity for the accretable yield on PCI loans, which includes the Countrywide Financial Corporation (Countrywide) portfolio and loans repurchased in connection with the settlement with FNMA. For more information on the settlement with FNMA, see Note 7 – Representations and Warranties Obligations and Corporate Guarantees. The amount of accretable yield is affected by changes in credit outlooks, including metrics such as default rates and loss severities, prepayment speeds, which can change the amount and period of time over which interest payments are expected to be received, and the interest rates on variable rate loans. The reclassifications from nonaccretable difference during 2014 and 2013 were due to lower expected loss rates and a decrease in forecasted prepayment speeds. Changes in the prepayment assumption affect the expected remaining life of the portfolio which results in a change to the amount of future interest cash flows. | |||||||||||||||||||||||||||||||||||||
Rollforward of Accretable Yield | ||||||||||||||||||||||||||||||||||||||
(Dollars in millions) | ||||||||||||||||||||||||||||||||||||||
Accretable yield, January 1, 2013 | $ | 4,644 | ||||||||||||||||||||||||||||||||||||
Accretion | (1,194 | ) | ||||||||||||||||||||||||||||||||||||
Loans Purchased | 1,125 | |||||||||||||||||||||||||||||||||||||
Disposals/transfers | (361 | ) | ||||||||||||||||||||||||||||||||||||
Reclassifications from nonaccretable difference | 2,480 | |||||||||||||||||||||||||||||||||||||
Accretable yield, December 31, 2013 | 6,694 | |||||||||||||||||||||||||||||||||||||
Accretion | (1,061 | ) | ||||||||||||||||||||||||||||||||||||
Disposals/transfers | (506 | ) | ||||||||||||||||||||||||||||||||||||
Reclassifications from nonaccretable difference | 481 | |||||||||||||||||||||||||||||||||||||
Accretable yield, December 31, 2014 | $ | 5,608 | ||||||||||||||||||||||||||||||||||||
Consumer real estate | ||||||||||||||||||||||||||||||||||||||
Financing Receivable, Impaired [Line Items] | ||||||||||||||||||||||||||||||||||||||
Impaired Financing Receivables | The table below provides the unpaid principal balance, carrying value and related allowance at December 31, 2014 and 2013, and the average carrying value and interest income recognized for 2014, 2013 and 2012 for impaired loans in the Corporation’s Consumer Real Estate portfolio segment and includes primarily loans managed by LAS. Certain impaired consumer real estate loans do not have a related allowance as the current valuation of these impaired loans exceeded the carrying value, which is net of previously recorded charge-offs. | |||||||||||||||||||||||||||||||||||||
Impaired Loans – Consumer Real Estate | ||||||||||||||||||||||||||||||||||||||
December 31, 2014 | December 31, 2013 | |||||||||||||||||||||||||||||||||||||
(Dollars in millions) | Unpaid | Carrying | Related | Unpaid | Carrying | Related | ||||||||||||||||||||||||||||||||
Principal | Value | Allowance | Principal | Value | Allowance | |||||||||||||||||||||||||||||||||
Balance | Balance | |||||||||||||||||||||||||||||||||||||
With no recorded allowance | ||||||||||||||||||||||||||||||||||||||
Residential mortgage | $ | 19,710 | $ | 15,605 | $ | — | $ | 21,567 | $ | 16,450 | $ | — | ||||||||||||||||||||||||||
Home equity | 3,540 | 1,630 | — | 3,249 | 1,385 | — | ||||||||||||||||||||||||||||||||
With an allowance recorded | ||||||||||||||||||||||||||||||||||||||
Residential mortgage | $ | 7,861 | $ | 7,665 | $ | 531 | $ | 13,341 | $ | 12,862 | $ | 991 | ||||||||||||||||||||||||||
Home equity | 852 | 728 | 196 | 893 | 761 | 240 | ||||||||||||||||||||||||||||||||
Total | ||||||||||||||||||||||||||||||||||||||
Residential mortgage | $ | 27,571 | $ | 23,270 | $ | 531 | $ | 34,908 | $ | 29,312 | $ | 991 | ||||||||||||||||||||||||||
Home equity | 4,392 | 2,358 | 196 | 4,142 | 2,146 | 240 | ||||||||||||||||||||||||||||||||
2014 | 2013 | 2012 | ||||||||||||||||||||||||||||||||||||
Average | Interest | Average | Interest | Average | Interest | |||||||||||||||||||||||||||||||||
Carrying | Income | Carrying | Income | Carrying | Income | |||||||||||||||||||||||||||||||||
Value | Recognized (1) | Value | Recognized (1) | Value | Recognized (1) | |||||||||||||||||||||||||||||||||
With no recorded allowance | ||||||||||||||||||||||||||||||||||||||
Residential mortgage | $ | 15,065 | $ | 490 | $ | 16,625 | $ | 621 | $ | 10,937 | $ | 366 | ||||||||||||||||||||||||||
Home equity | 1,486 | 87 | 1,245 | 76 | 734 | 49 | ||||||||||||||||||||||||||||||||
With an allowance recorded | ||||||||||||||||||||||||||||||||||||||
Residential mortgage | $ | 10,826 | $ | 411 | $ | 13,926 | $ | 616 | $ | 11,575 | $ | 423 | ||||||||||||||||||||||||||
Home equity | 743 | 25 | 912 | 41 | 1,145 | 44 | ||||||||||||||||||||||||||||||||
Total | ||||||||||||||||||||||||||||||||||||||
Residential mortgage | $ | 25,891 | $ | 901 | $ | 30,551 | $ | 1,237 | $ | 22,512 | $ | 789 | ||||||||||||||||||||||||||
Home equity | 2,229 | 112 | 2,157 | 117 | 1,879 | 93 | ||||||||||||||||||||||||||||||||
(1) | Interest income recognized includes interest accrued and collected on the outstanding balances of accruing impaired loans as well as interest cash collections on nonaccruing impaired loans for which the principal is considered collectible. | |||||||||||||||||||||||||||||||||||||
Financing Receivable, Modifications [Line Items] | ||||||||||||||||||||||||||||||||||||||
Troubled Debt Restructurings on Financing Receivables | The table below presents the carrying value of loans that entered into payment default during 2014, 2013 and 2012 that were modified in a TDR during the 12 months preceding payment default. Total carrying value includes loans with a carrying value of $2.0 billion, $2.4 billion and $667 million that entered into payment default during 2014, 2013 and 2012 but were no longer held by the Corporation as of December 31, 2014, 2013 and 2012 due to sales and other dispositions. A payment default for consumer real estate TDRs is recognized when a borrower has missed three monthly payments (not necessarily consecutively) since modification. Payment defaults on a trial modification where the borrower has not yet met the terms of the agreement are included in the table below if the borrower is 90 days or more past due three months after the offer to modify is made. | |||||||||||||||||||||||||||||||||||||
Consumer Real Estate – TDRs Entering Payment Default That Were Modified During the Preceding 12 Months | ||||||||||||||||||||||||||||||||||||||
2014 | ||||||||||||||||||||||||||||||||||||||
(Dollars in millions) | Residential Mortgage | Home | Total Carrying Value (1) | |||||||||||||||||||||||||||||||||||
Equity | ||||||||||||||||||||||||||||||||||||||
Modifications under government programs | $ | 696 | $ | 4 | $ | 700 | ||||||||||||||||||||||||||||||||
Modifications under proprietary programs | 714 | 12 | 726 | |||||||||||||||||||||||||||||||||||
Loans discharged in Chapter 7 bankruptcy (2) | 481 | 70 | 551 | |||||||||||||||||||||||||||||||||||
Trial modifications | 2,231 | 56 | 2,287 | |||||||||||||||||||||||||||||||||||
Total modifications | $ | 4,122 | $ | 142 | $ | 4,264 | ||||||||||||||||||||||||||||||||
2013 | ||||||||||||||||||||||||||||||||||||||
Modifications under government programs | $ | 454 | $ | 2 | $ | 456 | ||||||||||||||||||||||||||||||||
Modifications under proprietary programs | 1,117 | 4 | 1,121 | |||||||||||||||||||||||||||||||||||
Loans discharged in Chapter 7 bankruptcy (2) | 964 | 30 | 994 | |||||||||||||||||||||||||||||||||||
Trial modifications | 4,376 | 14 | 4,390 | |||||||||||||||||||||||||||||||||||
Total modifications | $ | 6,911 | $ | 50 | $ | 6,961 | ||||||||||||||||||||||||||||||||
2012 | ||||||||||||||||||||||||||||||||||||||
Modifications under government programs | $ | 202 | $ | 8 | $ | 210 | ||||||||||||||||||||||||||||||||
Modifications under proprietary programs | 942 | 14 | 956 | |||||||||||||||||||||||||||||||||||
Loans discharged in Chapter 7 bankruptcy (2) | 1,228 | 53 | 1,281 | |||||||||||||||||||||||||||||||||||
Trial modifications | 2,351 | 20 | 2,371 | |||||||||||||||||||||||||||||||||||
Total modifications | $ | 4,723 | $ | 95 | $ | 4,818 | ||||||||||||||||||||||||||||||||
(1) | Total carrying value includes loans with a carrying value of $2.0 billion, $2.4 billion and $667 million that entered into payment default during 2014, 2013 and 2012 but were no longer held by the Corporation as of December 31, 2014, 2013 and 2012 due to sales and other dispositions. | |||||||||||||||||||||||||||||||||||||
(2) | Includes loans discharged in Chapter 7 bankruptcy with no change in repayment terms that are classified as TDRs. | |||||||||||||||||||||||||||||||||||||
The table below presents the December 31, 2014, 2013 and 2012 carrying value for consumer real estate loans that were modified in a TDR during 2014, 2013 and 2012, by type of modification. | ||||||||||||||||||||||||||||||||||||||
Consumer Real Estate – Modification Programs | ||||||||||||||||||||||||||||||||||||||
TDRs Entered into During 2014 | ||||||||||||||||||||||||||||||||||||||
(Dollars in millions) | Residential Mortgage | Home | Total Carrying Value | |||||||||||||||||||||||||||||||||||
Equity | ||||||||||||||||||||||||||||||||||||||
Modifications under government programs | ||||||||||||||||||||||||||||||||||||||
Contractual interest rate reduction | $ | 643 | $ | 56 | $ | 699 | ||||||||||||||||||||||||||||||||
Principal and/or interest forbearance | 16 | 18 | 34 | |||||||||||||||||||||||||||||||||||
Other modifications (1) | 98 | 1 | 99 | |||||||||||||||||||||||||||||||||||
Total modifications under government programs | 757 | 75 | 832 | |||||||||||||||||||||||||||||||||||
Modifications under proprietary programs | ||||||||||||||||||||||||||||||||||||||
Contractual interest rate reduction | 244 | 22 | 266 | |||||||||||||||||||||||||||||||||||
Capitalization of past due amounts | 71 | 2 | 73 | |||||||||||||||||||||||||||||||||||
Principal and/or interest forbearance | 66 | 75 | 141 | |||||||||||||||||||||||||||||||||||
Other modifications (1) | 40 | 47 | 87 | |||||||||||||||||||||||||||||||||||
Total modifications under proprietary programs | 421 | 146 | 567 | |||||||||||||||||||||||||||||||||||
Trial modifications | 3,421 | 182 | 3,603 | |||||||||||||||||||||||||||||||||||
Loans discharged in Chapter 7 bankruptcy (2) | 521 | 189 | 710 | |||||||||||||||||||||||||||||||||||
Total modifications | $ | 5,120 | $ | 592 | $ | 5,712 | ||||||||||||||||||||||||||||||||
TDRs Entered into During 2013 | ||||||||||||||||||||||||||||||||||||||
Modifications under government programs | ||||||||||||||||||||||||||||||||||||||
Contractual interest rate reduction | $ | 1,815 | $ | 48 | $ | 1,863 | ||||||||||||||||||||||||||||||||
Principal and/or interest forbearance | 35 | 24 | 59 | |||||||||||||||||||||||||||||||||||
Other modifications (1) | 100 | — | 100 | |||||||||||||||||||||||||||||||||||
Total modifications under government programs | 1,950 | 72 | 2,022 | |||||||||||||||||||||||||||||||||||
Modifications under proprietary programs | ||||||||||||||||||||||||||||||||||||||
Contractual interest rate reduction | 2,799 | 40 | 2,839 | |||||||||||||||||||||||||||||||||||
Capitalization of past due amounts | 132 | 2 | 134 | |||||||||||||||||||||||||||||||||||
Principal and/or interest forbearance | 469 | 17 | 486 | |||||||||||||||||||||||||||||||||||
Other modifications (1) | 105 | 25 | 130 | |||||||||||||||||||||||||||||||||||
Total modifications under proprietary programs | 3,505 | 84 | 3,589 | |||||||||||||||||||||||||||||||||||
Trial modifications | 3,410 | 87 | 3,497 | |||||||||||||||||||||||||||||||||||
Loans discharged in Chapter 7 bankruptcy (2) | 1,151 | 278 | 1,429 | |||||||||||||||||||||||||||||||||||
Total modifications | $ | 10,016 | $ | 521 | $ | 10,537 | ||||||||||||||||||||||||||||||||
TDRs Entered into During 2012 | ||||||||||||||||||||||||||||||||||||||
Modifications under government programs | ||||||||||||||||||||||||||||||||||||||
Contractual interest rate reduction | $ | 642 | $ | 78 | $ | 720 | ||||||||||||||||||||||||||||||||
Principal and/or interest forbearance | 51 | 31 | 82 | |||||||||||||||||||||||||||||||||||
Other modifications (1) | 37 | 1 | 38 | |||||||||||||||||||||||||||||||||||
Total modifications under government programs | 730 | 110 | 840 | |||||||||||||||||||||||||||||||||||
Modifications under proprietary programs | ||||||||||||||||||||||||||||||||||||||
Contractual interest rate reduction | 3,350 | 44 | 3,394 | |||||||||||||||||||||||||||||||||||
Capitalization of past due amounts | 144 | — | 144 | |||||||||||||||||||||||||||||||||||
Principal and/or interest forbearance | 424 | 16 | 440 | |||||||||||||||||||||||||||||||||||
Other modifications (1) | 97 | 21 | 118 | |||||||||||||||||||||||||||||||||||
Total modifications under proprietary programs | 4,015 | 81 | 4,096 | |||||||||||||||||||||||||||||||||||
Trial modifications | 4,547 | 69 | 4,616 | |||||||||||||||||||||||||||||||||||
Loans discharged in Chapter 7 bankruptcy (2) | 2,936 | 598 | 3,534 | |||||||||||||||||||||||||||||||||||
Total modifications | $ | 12,228 | $ | 858 | $ | 13,086 | ||||||||||||||||||||||||||||||||
(1) | Includes other modifications such as term or payment extensions and repayment plans. | |||||||||||||||||||||||||||||||||||||
(2) | Includes loans discharged in Chapter 7 bankruptcy with no change in repayment terms that are classified as TDRs. | |||||||||||||||||||||||||||||||||||||
The following table presents the December 31, 2014, 2013 and 2012 unpaid principal balance, carrying value, and average pre- and post-modification interest rates on consumer real estate loans that were modified in TDRs during 2014, 2013 and 2012, and net charge-offs recorded during the period in which the modification occurred. The following Consumer Real Estate portfolio segment tables include loans that were initially classified as TDRs during the period and also loans that had previously been classified as TDRs and were modified again during the period. These TDRs are primarily managed by LAS. | ||||||||||||||||||||||||||||||||||||||
Consumer Real Estate – TDRs Entered into During 2014, 2013 and 2012 (1) | ||||||||||||||||||||||||||||||||||||||
December 31, 2014 | 2014 | |||||||||||||||||||||||||||||||||||||
(Dollars in millions) | Unpaid Principal Balance | Carrying | Pre-Modification Interest Rate | Post-Modification Interest Rate (2) | Net | |||||||||||||||||||||||||||||||||
Value | Charge-offs (3) | |||||||||||||||||||||||||||||||||||||
Residential mortgage | $ | 5,940 | $ | 5,120 | 5.28 | % | 4.93 | % | $ | 72 | ||||||||||||||||||||||||||||
Home equity | 863 | 592 | 4 | 3.33 | 99 | |||||||||||||||||||||||||||||||||
Total | $ | 6,803 | $ | 5,712 | 5.12 | 4.73 | $ | 171 | ||||||||||||||||||||||||||||||
31-Dec-13 | 2013 | |||||||||||||||||||||||||||||||||||||
Residential mortgage | $ | 11,233 | $ | 10,016 | 5.3 | % | 4.27 | % | $ | 235 | ||||||||||||||||||||||||||||
Home equity | 878 | 521 | 5.29 | 3.92 | 192 | |||||||||||||||||||||||||||||||||
Total | $ | 12,111 | $ | 10,537 | 5.3 | 4.24 | $ | 427 | ||||||||||||||||||||||||||||||
31-Dec-12 | 2012 | |||||||||||||||||||||||||||||||||||||
Residential mortgage | $ | 15,088 | $ | 12,228 | 5.52 | % | 4.7 | % | $ | 523 | ||||||||||||||||||||||||||||
Home equity | 1,721 | 858 | 5.22 | 4.39 | 716 | |||||||||||||||||||||||||||||||||
Total | $ | 16,809 | $ | 13,086 | 5.49 | 4.66 | $ | 1,239 | ||||||||||||||||||||||||||||||
(1) | TDRs entered into during 2014 include modifications with principal forgiveness of $53 million related to residential mortgage and $1 million related to home equity. TDRs entered into during 2013 include residential mortgage modifications with principal forgiveness of $467 million. TDRs entered into during 2012 include modifications with principal forgiveness of $778 million related to residential mortgage and $9 million related to home equity. | |||||||||||||||||||||||||||||||||||||
(2) | The post-modification interest rate reflects the interest rate applicable only to permanently completed modifications, which exclude loans that are in a trial modification period. | |||||||||||||||||||||||||||||||||||||
(3) | Net charge-offs include amounts recorded on loans modified during the period that are no longer held by the Corporation at December 31, 2014, 2013 and 2012 due to sales and other dispositions. | |||||||||||||||||||||||||||||||||||||
Credit card and other consumer | ||||||||||||||||||||||||||||||||||||||
Financing Receivable, Impaired [Line Items] | ||||||||||||||||||||||||||||||||||||||
Impaired Financing Receivables | The table below provides the unpaid principal balance, carrying value and related allowance at December 31, 2014 and 2013, and the average carrying value and interest income recognized for 2014, 2013 and 2012 on the Corporation’s renegotiated TDR portfolio in the Credit Card and Other Consumer portfolio segment. | |||||||||||||||||||||||||||||||||||||
Impaired Loans – Credit Card and Other Consumer – Renegotiated TDRs | ||||||||||||||||||||||||||||||||||||||
December 31, 2014 | December 31, 2013 | |||||||||||||||||||||||||||||||||||||
(Dollars in millions) | Unpaid | Carrying | Related | Unpaid | Carrying | Related | ||||||||||||||||||||||||||||||||
Principal | Value (1) | Allowance | Principal | Value (1) | Allowance | |||||||||||||||||||||||||||||||||
Balance | Balance | |||||||||||||||||||||||||||||||||||||
With no recorded allowance | ||||||||||||||||||||||||||||||||||||||
Direct/Indirect consumer | $ | 59 | $ | 25 | $ | — | $ | 75 | $ | 32 | $ | — | ||||||||||||||||||||||||||
Other consumer | — | — | — | 34 | 34 | — | ||||||||||||||||||||||||||||||||
With an allowance recorded | ||||||||||||||||||||||||||||||||||||||
U.S. credit card | $ | 804 | $ | 856 | $ | 207 | $ | 1,384 | $ | 1,465 | $ | 337 | ||||||||||||||||||||||||||
Non-U.S. credit card | 132 | 168 | 108 | 200 | 240 | 149 | ||||||||||||||||||||||||||||||||
Direct/Indirect consumer | 76 | 92 | 24 | 242 | 282 | 84 | ||||||||||||||||||||||||||||||||
Other consumer | — | — | — | 27 | 26 | 9 | ||||||||||||||||||||||||||||||||
Total | ||||||||||||||||||||||||||||||||||||||
U.S. credit card | $ | 804 | $ | 856 | $ | 207 | $ | 1,384 | $ | 1,465 | $ | 337 | ||||||||||||||||||||||||||
Non-U.S. credit card | 132 | 168 | 108 | 200 | 240 | 149 | ||||||||||||||||||||||||||||||||
Direct/Indirect consumer | 135 | 117 | 24 | 317 | 314 | 84 | ||||||||||||||||||||||||||||||||
Other consumer | — | — | — | 61 | 60 | 9 | ||||||||||||||||||||||||||||||||
2014 | 2013 | 2012 | ||||||||||||||||||||||||||||||||||||
Average | Interest | Average | Interest | Average | Interest | |||||||||||||||||||||||||||||||||
Carrying | Income | Carrying | Income | Carrying | Income | |||||||||||||||||||||||||||||||||
Value | Recognized (2) | Value | Recognized (2) | Value | Recognized (2) | |||||||||||||||||||||||||||||||||
With no recorded allowance | ||||||||||||||||||||||||||||||||||||||
Direct/Indirect consumer | $ | 27 | $ | — | $ | 42 | $ | — | $ | 58 | $ | — | ||||||||||||||||||||||||||
Other consumer | 33 | 2 | 34 | 2 | 35 | 2 | ||||||||||||||||||||||||||||||||
With an allowance recorded | ||||||||||||||||||||||||||||||||||||||
U.S. credit card | $ | 1,148 | $ | 71 | $ | 2,144 | $ | 134 | $ | 4,085 | $ | 253 | ||||||||||||||||||||||||||
Non-U.S. credit card | 210 | 6 | 266 | 7 | 464 | 10 | ||||||||||||||||||||||||||||||||
Direct/Indirect consumer | 180 | 9 | 456 | 24 | 929 | 50 | ||||||||||||||||||||||||||||||||
Other consumer | 23 | 1 | 28 | 2 | 29 | 2 | ||||||||||||||||||||||||||||||||
Total | ||||||||||||||||||||||||||||||||||||||
U.S. credit card | $ | 1,148 | $ | 71 | $ | 2,144 | $ | 134 | $ | 4,085 | $ | 253 | ||||||||||||||||||||||||||
Non-U.S. credit card | 210 | 6 | 266 | 7 | 464 | 10 | ||||||||||||||||||||||||||||||||
Direct/Indirect consumer | 207 | 9 | 498 | 24 | 987 | 50 | ||||||||||||||||||||||||||||||||
Other consumer | 56 | 3 | 62 | 4 | 64 | 4 | ||||||||||||||||||||||||||||||||
(1) | Includes accrued interest and fees. | |||||||||||||||||||||||||||||||||||||
(2) | Interest income recognized includes interest accrued and collected on the outstanding balances of accruing impaired loans as well as interest cash collections on nonaccruing impaired loans for which the principal is considered collectible. | |||||||||||||||||||||||||||||||||||||
Financing Receivable, Modifications [Line Items] | ||||||||||||||||||||||||||||||||||||||
Troubled Debt Restructurings on Financing Receivables | The table below provides information on the Corporation’s renegotiated TDR portfolio including the December 31, 2014, 2013 and 2012 unpaid principal balance, carrying value and average pre- and post-modification interest rates of loans that were modified in TDRs during 2014, 2013 and 2012, and net charge-offs recorded during the period in which the modification occurred. | |||||||||||||||||||||||||||||||||||||
Credit Card and Other Consumer – Renegotiated TDRs Entered into During 2014, 2013 and 2012 | ||||||||||||||||||||||||||||||||||||||
December 31, 2014 | 2014 | |||||||||||||||||||||||||||||||||||||
(Dollars in millions) | Unpaid Principal Balance | Carrying Value (1) | Pre-Modification Interest Rate | Post-Modification Interest Rate | Net | |||||||||||||||||||||||||||||||||
Charge-offs | ||||||||||||||||||||||||||||||||||||||
U.S. credit card | $ | 276 | $ | 301 | 16.64 | % | 5.15 | % | $ | 37 | ||||||||||||||||||||||||||||
Non-U.S. credit card | 91 | 106 | 24.9 | 0.68 | 91 | |||||||||||||||||||||||||||||||||
Direct/Indirect consumer | 27 | 19 | 8.66 | 4.9 | 14 | |||||||||||||||||||||||||||||||||
Total | $ | 394 | $ | 426 | 18.32 | 4.03 | $ | 142 | ||||||||||||||||||||||||||||||
31-Dec-13 | 2013 | |||||||||||||||||||||||||||||||||||||
U.S. credit card | $ | 299 | $ | 329 | 16.84 | % | 5.84 | % | $ | 30 | ||||||||||||||||||||||||||||
Non-U.S. credit card | 134 | 147 | 25.9 | 0.95 | 138 | |||||||||||||||||||||||||||||||||
Direct/Indirect consumer | 47 | 38 | 11.53 | 4.74 | 15 | |||||||||||||||||||||||||||||||||
Other consumer | 8 | 8 | 9.28 | 5.25 | — | |||||||||||||||||||||||||||||||||
Total | $ | 488 | $ | 522 | 18.89 | 4.37 | $ | 183 | ||||||||||||||||||||||||||||||
31-Dec-12 | 2012 | |||||||||||||||||||||||||||||||||||||
U.S. credit card | $ | 396 | $ | 400 | 17.59 | % | 6.36 | % | $ | 45 | ||||||||||||||||||||||||||||
Non-U.S. credit card | 196 | 206 | 26.19 | 1.15 | 190 | |||||||||||||||||||||||||||||||||
Direct/Indirect consumer | 160 | 113 | 9.59 | 5.72 | 52 | |||||||||||||||||||||||||||||||||
Other consumer | 9 | 9 | 9.97 | 6.44 | — | |||||||||||||||||||||||||||||||||
Total | $ | 761 | $ | 728 | 18.68 | 4.79 | $ | 287 | ||||||||||||||||||||||||||||||
(1) | Includes accrued interest and fees. | |||||||||||||||||||||||||||||||||||||
The table below provides information on the Corporation’s primary modification programs for the renegotiated TDR portfolio for loans that were modified in TDRs during 2014, 2013 and 2012. | ||||||||||||||||||||||||||||||||||||||
Credit Card and Other Consumer – Renegotiated TDRs Entered into During the Period by Program Type | ||||||||||||||||||||||||||||||||||||||
2014 | ||||||||||||||||||||||||||||||||||||||
(Dollars in millions) | Internal Programs | External Programs | Other (1) | Total | ||||||||||||||||||||||||||||||||||
U.S. credit card | $ | 196 | $ | 105 | $ | — | $ | 301 | ||||||||||||||||||||||||||||||
Non-U.S. credit card | 6 | 6 | 94 | 106 | ||||||||||||||||||||||||||||||||||
Direct/Indirect consumer | 4 | 2 | 13 | 19 | ||||||||||||||||||||||||||||||||||
Total renegotiated TDRs | $ | 206 | $ | 113 | $ | 107 | $ | 426 | ||||||||||||||||||||||||||||||
2013 | ||||||||||||||||||||||||||||||||||||||
U.S. credit card | $ | 192 | $ | 137 | $ | — | $ | 329 | ||||||||||||||||||||||||||||||
Non-U.S. credit card | 16 | 9 | 122 | 147 | ||||||||||||||||||||||||||||||||||
Direct/Indirect consumer | 15 | 8 | 15 | 38 | ||||||||||||||||||||||||||||||||||
Other consumer | 8 | — | — | 8 | ||||||||||||||||||||||||||||||||||
Total renegotiated TDRs | $ | 231 | $ | 154 | $ | 137 | $ | 522 | ||||||||||||||||||||||||||||||
2012 | ||||||||||||||||||||||||||||||||||||||
U.S. credit card | $ | 248 | $ | 152 | $ | — | $ | 400 | ||||||||||||||||||||||||||||||
Non-U.S. credit card | 38 | 14 | 154 | 206 | ||||||||||||||||||||||||||||||||||
Direct/Indirect consumer | 36 | 19 | 58 | 113 | ||||||||||||||||||||||||||||||||||
Other consumer | 9 | — | — | 9 | ||||||||||||||||||||||||||||||||||
Total renegotiated TDRs | $ | 331 | $ | 185 | $ | 212 | $ | 728 | ||||||||||||||||||||||||||||||
(1) | Other TDRs for non-U.S. credit card include modifications of accounts that are ineligible for a fixed payment plan. | |||||||||||||||||||||||||||||||||||||
The table below provides information on the Corporation’s primary modification programs for the renegotiated TDR portfolio at December 31, 2014 and 2013. | ||||||||||||||||||||||||||||||||||||||
Credit Card and Other Consumer – Renegotiated TDRs by Program Type | ||||||||||||||||||||||||||||||||||||||
31-Dec | ||||||||||||||||||||||||||||||||||||||
Internal Programs | External Programs | Other (1) | Total | Percent of Balances Current or Less Than 30 Days Past Due | ||||||||||||||||||||||||||||||||||
(Dollars in millions) | 2014 | 2013 | 2014 | 2013 | 2014 | 2013 | 2014 | 2013 | 2014 | 2013 | ||||||||||||||||||||||||||||
U.S. credit card | $ | 450 | $ | 842 | $ | 397 | $ | 607 | $ | 9 | $ | 16 | $ | 856 | $ | 1,465 | 84.99 | % | 82.77 | % | ||||||||||||||||||
Non-U.S. credit card | 41 | 71 | 16 | 26 | 111 | 143 | 168 | 240 | 47.56 | 49.01 | ||||||||||||||||||||||||||||
Direct/Indirect consumer | 50 | 170 | 34 | 106 | 33 | 38 | 117 | 314 | 85.21 | 84.29 | ||||||||||||||||||||||||||||
Other consumer | — | 60 | — | — | — | — | — | 60 | — | 71.08 | ||||||||||||||||||||||||||||
Total renegotiated TDRs | $ | 541 | $ | 1,143 | $ | 447 | $ | 739 | $ | 153 | $ | 197 | $ | 1,141 | $ | 2,079 | 79.51 | 78.77 | ||||||||||||||||||||
(1) | Other TDRs for non-U.S. credit card include modifications of accounts that are ineligible for a fixed payment plan. | |||||||||||||||||||||||||||||||||||||
Commercial Portfolio Segment | ||||||||||||||||||||||||||||||||||||||
Financing Receivable, Impaired [Line Items] | ||||||||||||||||||||||||||||||||||||||
Impaired Financing Receivables | The table below provides the unpaid principal balance, carrying value and related allowance at December 31, 2014 and 2013, and the average carrying value and interest income recognized for 2014, 2013 and 2012 for impaired loans in the Corporation’s Commercial loan portfolio segment. Certain impaired commercial loans do not have a related allowance as the valuation of these impaired loans exceeded the carrying value, which is net of previously recorded charge-offs. | |||||||||||||||||||||||||||||||||||||
Impaired Loans – Commercial | ||||||||||||||||||||||||||||||||||||||
December 31, 2014 | December 31, 2013 | |||||||||||||||||||||||||||||||||||||
(Dollars in millions) | Unpaid | Carrying | Related | Unpaid | Carrying | Related | ||||||||||||||||||||||||||||||||
Principal | Value | Allowance | Principal | Value | Allowance | |||||||||||||||||||||||||||||||||
Balance | Balance | |||||||||||||||||||||||||||||||||||||
With no recorded allowance | ||||||||||||||||||||||||||||||||||||||
U.S. commercial | $ | 668 | $ | 650 | $ | — | $ | 609 | $ | 577 | $ | — | ||||||||||||||||||||||||||
Commercial real estate | 60 | 48 | — | 254 | 228 | — | ||||||||||||||||||||||||||||||||
Non-U.S. commercial | — | — | — | 10 | 10 | — | ||||||||||||||||||||||||||||||||
With an allowance recorded | ||||||||||||||||||||||||||||||||||||||
U.S. commercial | $ | 1,139 | $ | 839 | $ | 75 | $ | 1,581 | $ | 1,262 | $ | 164 | ||||||||||||||||||||||||||
Commercial real estate | 678 | 495 | 48 | 1,066 | 731 | 61 | ||||||||||||||||||||||||||||||||
Non-U.S. commercial | 47 | 44 | 1 | 254 | 64 | 16 | ||||||||||||||||||||||||||||||||
U.S. small business commercial (1) | 133 | 122 | 35 | 186 | 176 | 36 | ||||||||||||||||||||||||||||||||
Total | ||||||||||||||||||||||||||||||||||||||
U.S. commercial | $ | 1,807 | $ | 1,489 | $ | 75 | $ | 2,190 | $ | 1,839 | $ | 164 | ||||||||||||||||||||||||||
Commercial real estate | 738 | 543 | 48 | 1,320 | 959 | 61 | ||||||||||||||||||||||||||||||||
Non-U.S. commercial | 47 | 44 | 1 | 264 | 74 | 16 | ||||||||||||||||||||||||||||||||
U.S. small business commercial (1) | 133 | 122 | 35 | 186 | 176 | 36 | ||||||||||||||||||||||||||||||||
2014 | 2013 | 2012 | ||||||||||||||||||||||||||||||||||||
Average | Interest | Average | Interest | Average | Interest | |||||||||||||||||||||||||||||||||
Carrying | Income | Carrying | Income | Carrying | Income | |||||||||||||||||||||||||||||||||
Value | Recognized (2) | Value | Recognized (2) | Value | Recognized (2) | |||||||||||||||||||||||||||||||||
With no recorded allowance | ||||||||||||||||||||||||||||||||||||||
U.S. commercial | $ | 546 | $ | 12 | $ | 442 | $ | 6 | $ | 588 | $ | 9 | ||||||||||||||||||||||||||
Commercial real estate | 166 | 3 | 269 | 3 | 1,119 | 3 | ||||||||||||||||||||||||||||||||
Non-U.S. commercial | 15 | — | 28 | — | 104 | — | ||||||||||||||||||||||||||||||||
With an allowance recorded | ||||||||||||||||||||||||||||||||||||||
U.S. commercial | $ | 1,198 | $ | 51 | $ | 1,553 | $ | 47 | $ | 2,104 | $ | 55 | ||||||||||||||||||||||||||
Commercial real estate | 632 | 16 | 1,148 | 28 | 2,126 | 29 | ||||||||||||||||||||||||||||||||
Non-U.S. commercial | 52 | 3 | 109 | 5 | 77 | 4 | ||||||||||||||||||||||||||||||||
U.S. small business commercial (1) | 151 | 3 | 236 | 6 | 409 | 13 | ||||||||||||||||||||||||||||||||
Total | ||||||||||||||||||||||||||||||||||||||
U.S. commercial | $ | 1,744 | $ | 63 | $ | 1,995 | $ | 53 | $ | 2,692 | $ | 64 | ||||||||||||||||||||||||||
Commercial real estate | 798 | 19 | 1,417 | 31 | 3,245 | 32 | ||||||||||||||||||||||||||||||||
Non-U.S. commercial | 67 | 3 | 137 | 5 | 181 | 4 | ||||||||||||||||||||||||||||||||
U.S. small business commercial (1) | 151 | 3 | 236 | 6 | 409 | 13 | ||||||||||||||||||||||||||||||||
(1) | Includes U.S. small business commercial renegotiated TDR loans and related allowance. | |||||||||||||||||||||||||||||||||||||
(2) | Interest income recognized includes interest accrued and collected on the outstanding balances of accruing impaired loans as well as interest cash collections on nonaccruing impaired loans for which the principal is considered collectible. | |||||||||||||||||||||||||||||||||||||
Financing Receivable, Modifications [Line Items] | ||||||||||||||||||||||||||||||||||||||
Troubled Debt Restructurings on Financing Receivables | The table below presents the December 31, 2014, 2013 and 2012 unpaid principal balance and carrying value of commercial loans that were modified as TDRs during 2014, 2013 and 2012, and net charge-offs recorded during the period in which the modification occurred. The table below includes loans that were initially classified as TDRs during the period and also loans that had previously been classified as TDRs and were modified again during the period. | |||||||||||||||||||||||||||||||||||||
Commercial – TDRs Entered into During 2014, 2013 and 2012 | ||||||||||||||||||||||||||||||||||||||
December 31, 2014 | 2014 | |||||||||||||||||||||||||||||||||||||
(Dollars in millions) | Unpaid Principal Balance | Carrying Value | Net Charge-offs | |||||||||||||||||||||||||||||||||||
U.S. commercial | $ | 818 | $ | 785 | $ | 49 | ||||||||||||||||||||||||||||||||
Commercial real estate | 346 | 346 | 8 | |||||||||||||||||||||||||||||||||||
Non-U.S. commercial | 44 | 43 | — | |||||||||||||||||||||||||||||||||||
U.S. small business commercial (1) | 3 | 3 | — | |||||||||||||||||||||||||||||||||||
Total | $ | 1,211 | $ | 1,177 | $ | 57 | ||||||||||||||||||||||||||||||||
31-Dec-13 | 2013 | |||||||||||||||||||||||||||||||||||||
U.S. commercial | $ | 926 | $ | 910 | $ | 33 | ||||||||||||||||||||||||||||||||
Commercial real estate | 483 | 425 | 3 | |||||||||||||||||||||||||||||||||||
Non-U.S. commercial | 61 | 44 | 7 | |||||||||||||||||||||||||||||||||||
U.S. small business commercial (1) | 8 | 9 | 1 | |||||||||||||||||||||||||||||||||||
Total | $ | 1,478 | $ | 1,388 | $ | 44 | ||||||||||||||||||||||||||||||||
31-Dec-12 | 2012 | |||||||||||||||||||||||||||||||||||||
U.S. commercial | $ | 590 | $ | 558 | $ | 34 | ||||||||||||||||||||||||||||||||
Commercial real estate | 793 | 721 | 20 | |||||||||||||||||||||||||||||||||||
Non-U.S. commercial | 90 | 89 | 1 | |||||||||||||||||||||||||||||||||||
U.S. small business commercial (1) | 22 | 22 | 5 | |||||||||||||||||||||||||||||||||||
Total | $ | 1,495 | $ | 1,390 | $ | 60 | ||||||||||||||||||||||||||||||||
(1) | U.S. small business commercial TDRs are comprised of renegotiated small business card loans. |
Allowance_for_Credit_Losses_Ta
Allowance for Credit Losses (Tables) | 12 Months Ended | |||||||||||||||
Dec. 31, 2014 | ||||||||||||||||
Loans and Leases Receivable, Allowance [Abstract] | ||||||||||||||||
Changes in the Allowance for Credit Losses | The table below presents the allowance and the carrying value of outstanding loans and leases by portfolio segment at December 31, 2014 and 2013. | |||||||||||||||
Allowance and Carrying Value by Portfolio Segment | ||||||||||||||||
December 31, 2014 | ||||||||||||||||
(Dollars in millions) | Consumer Real Estate | Credit Card | Commercial | Total | ||||||||||||
and Other | ||||||||||||||||
Consumer | ||||||||||||||||
Impaired loans and troubled debt restructurings (1) | ||||||||||||||||
Allowance for loan and lease losses (2) | $ | 727 | $ | 339 | $ | 159 | $ | 1,225 | ||||||||
Carrying value (3) | 25,628 | 1,141 | 2,198 | 28,967 | ||||||||||||
Allowance as a percentage of carrying value | 2.84 | % | 29.71 | % | 7.23 | % | 4.23 | % | ||||||||
Loans collectively evaluated for impairment | ||||||||||||||||
Allowance for loan and lease losses | $ | 3,556 | $ | 3,708 | $ | 4,278 | $ | 11,542 | ||||||||
Carrying value (3, 4) | 255,525 | 183,430 | 384,019 | 822,974 | ||||||||||||
Allowance as a percentage of carrying value (4) | 1.39 | % | 2.02 | % | 1.11 | % | 1.4 | % | ||||||||
Purchased credit-impaired loans | ||||||||||||||||
Valuation allowance | $ | 1,652 | n/a | n/a | $ | 1,652 | ||||||||||
Carrying value gross of valuation allowance | 20,769 | n/a | n/a | 20,769 | ||||||||||||
Valuation allowance as a percentage of carrying value | 7.95 | % | n/a | n/a | 7.95 | % | ||||||||||
Total | ||||||||||||||||
Allowance for loan and lease losses | $ | 5,935 | $ | 4,047 | $ | 4,437 | $ | 14,419 | ||||||||
Carrying value (3, 4) | 301,922 | 184,571 | 386,217 | 872,710 | ||||||||||||
Allowance as a percentage of carrying value (4) | 1.97 | % | 2.19 | % | 1.15 | % | 1.65 | % | ||||||||
December 31, 2013 | ||||||||||||||||
Impaired loans and troubled debt restructurings (1) | ||||||||||||||||
Allowance for loan and lease losses (2) | $ | 1,231 | $ | 579 | $ | 277 | $ | 2,087 | ||||||||
Carrying value (3) | 31,458 | 2,079 | 3,048 | 36,585 | ||||||||||||
Allowance as a percentage of carrying value | 3.91 | % | 27.85 | % | 9.09 | % | 5.7 | % | ||||||||
Loans collectively evaluated for impairment | ||||||||||||||||
Allowance for loan and lease losses | $ | 4,794 | $ | 4,326 | $ | 3,728 | $ | 12,848 | ||||||||
Carrying value (3, 4) | 285,015 | 185,969 | 385,357 | 856,341 | ||||||||||||
Allowance as a percentage of carrying value (4) | 1.68 | % | 2.33 | % | 0.97 | % | 1.5 | % | ||||||||
Purchased credit-impaired loans | ||||||||||||||||
Valuation allowance | $ | 2,493 | n/a | n/a | $ | 2,493 | ||||||||||
Carrying value gross of valuation allowance | 25,265 | n/a | n/a | 25,265 | ||||||||||||
Valuation allowance as a percentage of carrying value | 9.87 | % | n/a | n/a | 9.87 | % | ||||||||||
Total | ||||||||||||||||
Allowance for loan and lease losses | $ | 8,518 | $ | 4,905 | $ | 4,005 | $ | 17,428 | ||||||||
Carrying value (3, 4) | 341,738 | 188,048 | 388,405 | 918,191 | ||||||||||||
Allowance as a percentage of carrying value (4) | 2.49 | % | 2.61 | % | 1.03 | % | 1.9 | % | ||||||||
(1) | Impaired loans include nonperforming commercial loans and all TDRs, including both commercial and consumer TDRs. Impaired loans exclude nonperforming consumer loans unless they are TDRs, and all consumer and commercial loans accounted for under the fair value option. | |||||||||||||||
(2) | Allowance for loan and lease losses includes $35 million and $36 million related to impaired U.S. small business commercial at December 31, 2014 and 2013. | |||||||||||||||
(3) | Amounts are presented gross of the allowance for loan and lease losses. | |||||||||||||||
(4) | Outstanding loan and lease balances and ratios do not include loans accounted for under the fair value option of $8.7 billion and $10.0 billion at December 31, 2014 and 2013. | |||||||||||||||
n/a =ot applicable | ||||||||||||||||
The table below summarizes the changes in the allowance for credit losses by portfolio segment for 2014, 2013 and 2012. | ||||||||||||||||
2014 | ||||||||||||||||
(Dollars in millions) | Consumer Real Estate | Credit Card | Commercial | Total | ||||||||||||
and Other | Allowance | |||||||||||||||
Consumer | ||||||||||||||||
Allowance for loan and lease losses, January 1 | $ | 8,518 | $ | 4,905 | $ | 4,005 | $ | 17,428 | ||||||||
Loans and leases charged off | (2,219 | ) | (4,149 | ) | (658 | ) | (7,026 | ) | ||||||||
Recoveries of loans and leases previously charged off | 1,426 | 871 | 346 | 2,643 | ||||||||||||
Net charge-offs | (793 | ) | (3,278 | ) | (312 | ) | (4,383 | ) | ||||||||
Write-offs of PCI loans | (810 | ) | — | — | (810 | ) | ||||||||||
Provision for loan and lease losses | (976 | ) | 2,458 | 749 | 2,231 | |||||||||||
Other (1) | (4 | ) | (38 | ) | (5 | ) | (47 | ) | ||||||||
Allowance for loan and lease losses, December 31 | 5,935 | 4,047 | 4,437 | 14,419 | ||||||||||||
Reserve for unfunded lending commitments, January 1 | — | — | 484 | 484 | ||||||||||||
Provision for unfunded lending commitments | — | — | 44 | 44 | ||||||||||||
Reserve for unfunded lending commitments, December 31 | — | — | 528 | 528 | ||||||||||||
Allowance for credit losses, December 31 | $ | 5,935 | $ | 4,047 | $ | 4,965 | $ | 14,947 | ||||||||
2013 | ||||||||||||||||
Allowance for loan and lease losses, January 1 | $ | 14,933 | $ | 6,140 | $ | 3,106 | $ | 24,179 | ||||||||
Loans and leases charged off | (3,766 | ) | (5,495 | ) | (1,108 | ) | (10,369 | ) | ||||||||
Recoveries of loans and leases previously charged off | 879 | 1,141 | 452 | 2,472 | ||||||||||||
Net charge-offs | (2,887 | ) | (4,354 | ) | (656 | ) | (7,897 | ) | ||||||||
Write-offs of PCI loans | (2,336 | ) | — | — | (2,336 | ) | ||||||||||
Provision for loan and lease losses | (1,124 | ) | 3,139 | 1,559 | 3,574 | |||||||||||
Other (1) | (68 | ) | (20 | ) | (4 | ) | (92 | ) | ||||||||
Allowance for loan and lease losses, December 31 | 8,518 | 4,905 | 4,005 | 17,428 | ||||||||||||
Reserve for unfunded lending commitments, January 1 | — | — | 513 | 513 | ||||||||||||
Provision for unfunded lending commitments | — | — | (18 | ) | (18 | ) | ||||||||||
Other | — | — | (11 | ) | (11 | ) | ||||||||||
Reserve for unfunded lending commitments, December 31 | — | — | 484 | 484 | ||||||||||||
Allowance for credit losses, December 31 | $ | 8,518 | $ | 4,905 | $ | 4,489 | $ | 17,912 | ||||||||
2012 | ||||||||||||||||
Allowance for loan and lease losses, January 1 | $ | 21,079 | $ | 8,569 | $ | 4,135 | $ | 33,783 | ||||||||
Loans and leases charged off | (7,849 | ) | (7,727 | ) | (2,096 | ) | (17,672 | ) | ||||||||
Recoveries of loans and leases previously charged off | 496 | 1,519 | 749 | 2,764 | ||||||||||||
Net charge-offs | (7,353 | ) | (6,208 | ) | (1,347 | ) | (14,908 | ) | ||||||||
Write-offs of PCI loans | (2,820 | ) | — | — | (2,820 | ) | ||||||||||
Provision for loan and lease losses | 4,073 | 3,899 | 338 | 8,310 | ||||||||||||
Other (1) | (46 | ) | (120 | ) | (20 | ) | (186 | ) | ||||||||
Allowance for loan and lease losses, December 31 | 14,933 | 6,140 | 3,106 | 24,179 | ||||||||||||
Reserve for unfunded lending commitments, January 1 | — | — | 714 | 714 | ||||||||||||
Provision for unfunded lending commitments | — | — | (141 | ) | (141 | ) | ||||||||||
Other | — | — | (60 | ) | (60 | ) | ||||||||||
Reserve for unfunded lending commitments, December 31 | — | — | 513 | 513 | ||||||||||||
Allowance for credit losses, December 31 | $ | 14,933 | $ | 6,140 | $ | 3,619 | $ | 24,692 | ||||||||
(1) | Primarily represents the net impact of portfolio sales, consolidations and deconsolidations, and foreign currency translation adjustments. |
Securitizations_and_Other_Vari1
Securitizations and Other Variable Interest Entities (Tables) | 12 Months Ended | ||||||||||||||||||||||||||||||||||
Dec. 31, 2014 | |||||||||||||||||||||||||||||||||||
Variable Interest Entity [Line Items] | |||||||||||||||||||||||||||||||||||
Mortgage Related Securitizations | The table below summarizes select information related to first-lien mortgage securitizations for 2014 and 2013. | ||||||||||||||||||||||||||||||||||
First-lien Mortgage Securitizations | |||||||||||||||||||||||||||||||||||
Residential Mortgage | |||||||||||||||||||||||||||||||||||
Agency | Non-agency - Subprime | Commercial Mortgage | |||||||||||||||||||||||||||||||||
(Dollars in millions) | 2014 | 2013 | 2014 | 2013 | 2014 | 2013 | |||||||||||||||||||||||||||||
Cash proceeds from new securitizations (1) | $ | 36,905 | $ | 49,888 | $ | 809 | $ | — | $ | 5,710 | $ | 5,326 | |||||||||||||||||||||||
Gain on securitizations (2) | 371 | 81 | 49 | — | 68 | 119 | |||||||||||||||||||||||||||||
(1) | The Corporation transfers residential mortgage loans to securitizations sponsored by the GSEs or GNMA in the normal course of business and receives RMBS in exchange which may then be sold into the market to third-party investors for cash proceeds. | ||||||||||||||||||||||||||||||||||
(2) | Substantially all of the first-lien residential and commercial mortgage loans securitized are initially classified as LHFS and accounted for under the fair value option. As such, gains are recognized on these LHFS prior to securitization. The Corporation recognized $715 million and $2.0 billion of gains, net of hedges, on loans securitized during 2014 and 2013. | ||||||||||||||||||||||||||||||||||
First Lien Mortgages | |||||||||||||||||||||||||||||||||||
Variable Interest Entity [Line Items] | |||||||||||||||||||||||||||||||||||
Schedule of Variable Interest Entities | The table below summarizes select information related to first-lien mortgage securitization trusts in which the Corporation held a variable interest at December 31, 2014 and 2013. | ||||||||||||||||||||||||||||||||||
First-lien Mortgage VIEs | |||||||||||||||||||||||||||||||||||
Residential Mortgage | |||||||||||||||||||||||||||||||||||
Non-agency | |||||||||||||||||||||||||||||||||||
Agency | Prime | Subprime | Alt-A | Commercial Mortgage | |||||||||||||||||||||||||||||||
December 31 | December 31 | December 31 | |||||||||||||||||||||||||||||||||
(Dollars in millions) | 2014 | 2013 | 2014 | 2013 | 2014 | 2013 | 2014 | 2013 | 2014 | 2013 | |||||||||||||||||||||||||
Unconsolidated VIEs | |||||||||||||||||||||||||||||||||||
Maximum loss exposure (1) | $ | 14,918 | $ | 21,140 | $ | 1,288 | $ | 1,527 | $ | 3,167 | $ | 591 | $ | 710 | $ | 437 | $ | 352 | $ | 432 | |||||||||||||||
On-balance sheet assets | |||||||||||||||||||||||||||||||||||
Senior securities held (2): | |||||||||||||||||||||||||||||||||||
Trading account assets | $ | 584 | $ | 650 | $ | 3 | $ | — | $ | 14 | $ | 1 | $ | 81 | $ | 3 | $ | 54 | $ | 14 | |||||||||||||||
Debt securities carried at fair value | 13,473 | 19,451 | 816 | 988 | 2,811 | 220 | 383 | 109 | 76 | 306 | |||||||||||||||||||||||||
Held-to-maturity securities | 837 | 1,012 | — | — | — | — | — | — | 42 | — | |||||||||||||||||||||||||
Subordinate securities held (2): | |||||||||||||||||||||||||||||||||||
Trading account assets | — | — | — | — | — | 8 | 1 | — | 58 | 13 | |||||||||||||||||||||||||
Debt securities carried at fair value | — | — | 12 | 15 | 5 | 6 | — | — | 58 | 53 | |||||||||||||||||||||||||
Held-to-maturity securities | — | — | — | — | — | — | — | — | 15 | — | |||||||||||||||||||||||||
Residual interests held | — | — | 10 | 13 | — | — | — | — | 22 | 16 | |||||||||||||||||||||||||
All other assets (3) | 24 | 27 | 56 | 71 | 1 | 1 | 245 | 325 | — | — | |||||||||||||||||||||||||
Total retained positions | $ | 14,918 | $ | 21,140 | $ | 897 | $ | 1,087 | $ | 2,831 | $ | 236 | $ | 710 | $ | 437 | $ | 325 | $ | 402 | |||||||||||||||
Principal balance outstanding (4) | $ | 397,055 | $ | 437,765 | $ | 20,167 | $ | 25,104 | $ | 32,592 | $ | 36,854 | $ | 50,054 | $ | 56,454 | $ | 20,593 | $ | 19,730 | |||||||||||||||
Consolidated VIEs | |||||||||||||||||||||||||||||||||||
Maximum loss exposure (1) | $ | 38,345 | $ | 42,420 | $ | 77 | $ | 79 | $ | 206 | $ | 183 | $ | — | $ | — | $ | — | $ | — | |||||||||||||||
On-balance sheet assets | |||||||||||||||||||||||||||||||||||
Trading account assets | $ | 1,538 | $ | 1,640 | $ | — | $ | — | $ | 30 | $ | — | $ | — | $ | — | $ | — | $ | — | |||||||||||||||
Loans and leases | 36,187 | 40,316 | 130 | 140 | 768 | 803 | — | — | — | — | |||||||||||||||||||||||||
Allowance for loan and lease losses | (2 | ) | (3 | ) | — | — | — | — | — | — | — | — | |||||||||||||||||||||||
All other assets | 623 | 474 | 6 | — | 15 | 7 | — | — | — | — | |||||||||||||||||||||||||
Total assets | $ | 38,346 | $ | 42,427 | $ | 136 | $ | 140 | $ | 813 | $ | 810 | $ | — | $ | — | $ | — | $ | — | |||||||||||||||
On-balance sheet liabilities | |||||||||||||||||||||||||||||||||||
Long-term debt | $ | 1 | $ | 7 | $ | 56 | $ | 61 | $ | 770 | $ | 803 | $ | — | $ | — | $ | — | $ | — | |||||||||||||||
All other liabilities | — | — | 3 | — | 13 | 7 | — | — | — | — | |||||||||||||||||||||||||
Total liabilities | $ | 1 | $ | 7 | $ | 59 | $ | 61 | $ | 783 | $ | 810 | $ | — | $ | — | $ | — | $ | — | |||||||||||||||
(1) | Maximum loss exposure excludes the liability for representations and warranties obligations and corporate guarantees and also excludes servicing advances and other servicing rights and obligations. For additional information, see Note 7 – Representations and Warranties Obligations and Corporate Guarantees and Note 23 – Mortgage Servicing Rights. | ||||||||||||||||||||||||||||||||||
(2) | As a holder of these securities, the Corporation receives scheduled principal and interest payments. During 2014 and 2013, there were no OTTI losses recorded on those securities classified as AFS debt securities. | ||||||||||||||||||||||||||||||||||
(3) | Not included in the table above are all other assets of $635 million and $1.6 billion, representing the unpaid principal balance of mortgage loans eligible for repurchase from unconsolidated residential mortgage securitization vehicles, principally guaranteed by GNMA, and all other liabilities of $635 million and $1.6 billion, representing the principal amount that would be payable to the securitization vehicles if the Corporation was to exercise the repurchase option, at December 31, 2014 and 2013. | ||||||||||||||||||||||||||||||||||
(4) | Principal balance outstanding includes loans the Corporation transferred with which it has continuing involvement, which may include servicing the loans. | ||||||||||||||||||||||||||||||||||
Home equity lines of credit | |||||||||||||||||||||||||||||||||||
Variable Interest Entity [Line Items] | |||||||||||||||||||||||||||||||||||
Schedule of Variable Interest Entities | The table below summarizes select information related to home equity loan securitization trusts in which the Corporation held a variable interest at December 31, 2014 and 2013. | ||||||||||||||||||||||||||||||||||
Home Equity Loan VIEs | |||||||||||||||||||||||||||||||||||
December 31 | |||||||||||||||||||||||||||||||||||
2014 | 2013 | ||||||||||||||||||||||||||||||||||
(Dollars in millions) | Consolidated | Unconsolidated | Total | Consolidated | Unconsolidated | Total | |||||||||||||||||||||||||||||
VIEs | VIEs | VIEs | VIEs | ||||||||||||||||||||||||||||||||
Maximum loss exposure (1) | $ | 991 | $ | 5,224 | $ | 6,215 | $ | 1,269 | $ | 6,217 | $ | 7,486 | |||||||||||||||||||||||
On-balance sheet assets | |||||||||||||||||||||||||||||||||||
Trading account assets | $ | — | $ | 14 | $ | 14 | $ | — | $ | 12 | $ | 12 | |||||||||||||||||||||||
Debt securities carried at fair value | — | 39 | 39 | — | 25 | 25 | |||||||||||||||||||||||||||||
Loans and leases | 1,014 | — | 1,014 | 1,329 | — | 1,329 | |||||||||||||||||||||||||||||
Allowance for loan and lease losses | (56 | ) | — | (56 | ) | (80 | ) | — | (80 | ) | |||||||||||||||||||||||||
All other assets | 33 | — | 33 | 20 | — | 20 | |||||||||||||||||||||||||||||
Total | $ | 991 | $ | 53 | $ | 1,044 | $ | 1,269 | $ | 37 | $ | 1,306 | |||||||||||||||||||||||
On-balance sheet liabilities | |||||||||||||||||||||||||||||||||||
Long-term debt | $ | 1,076 | $ | — | $ | 1,076 | $ | 1,450 | $ | — | $ | 1,450 | |||||||||||||||||||||||
All other liabilities | — | — | — | 90 | — | 90 | |||||||||||||||||||||||||||||
Total | $ | 1,076 | $ | — | $ | 1,076 | $ | 1,540 | $ | — | $ | 1,540 | |||||||||||||||||||||||
Principal balance outstanding | $ | 1,014 | $ | 6,362 | $ | 7,376 | $ | 1,329 | $ | 7,542 | $ | 8,871 | |||||||||||||||||||||||
(1) | For unconsolidated VIEs, the maximum loss exposure includes outstanding trust certificates issued by trusts in rapid amortization, net of recorded reserves, and excludes the liability for representations and warranties obligations and corporate guarantees. | ||||||||||||||||||||||||||||||||||
Credit Card Receivable | |||||||||||||||||||||||||||||||||||
Variable Interest Entity [Line Items] | |||||||||||||||||||||||||||||||||||
Schedule of Variable Interest Entities | The table below summarizes select information related to consolidated credit card securitization trusts in which the Corporation held a variable interest at December 31, 2014 and 2013. | ||||||||||||||||||||||||||||||||||
Credit Card VIEs | |||||||||||||||||||||||||||||||||||
December 31 | |||||||||||||||||||||||||||||||||||
(Dollars in millions) | 2014 | 2013 | |||||||||||||||||||||||||||||||||
Consolidated VIEs | |||||||||||||||||||||||||||||||||||
Maximum loss exposure | $ | 43,139 | $ | 49,621 | |||||||||||||||||||||||||||||||
On-balance sheet assets | |||||||||||||||||||||||||||||||||||
Derivative assets | $ | 1 | $ | 182 | |||||||||||||||||||||||||||||||
Loans and leases (1) | 53,068 | 61,241 | |||||||||||||||||||||||||||||||||
Allowance for loan and lease losses | (1,904 | ) | (2,585 | ) | |||||||||||||||||||||||||||||||
Loans held-for-sale | — | 386 | |||||||||||||||||||||||||||||||||
All other assets (2) | 391 | 2,281 | |||||||||||||||||||||||||||||||||
Total | $ | 51,556 | $ | 61,505 | |||||||||||||||||||||||||||||||
On-balance sheet liabilities | |||||||||||||||||||||||||||||||||||
Long-term debt | $ | 8,401 | $ | 11,822 | |||||||||||||||||||||||||||||||
All other liabilities | 16 | 62 | |||||||||||||||||||||||||||||||||
Total | $ | 8,417 | $ | 11,884 | |||||||||||||||||||||||||||||||
(1) | At December 31, 2014 and 2013, loans and leases included $36.9 billion and $41.2 billion of seller’s interest. | ||||||||||||||||||||||||||||||||||
(2) | At December 31, 2014 and 2013, all other assets included restricted cash, certain short-term investments, and unbilled accrued interest and fees. | ||||||||||||||||||||||||||||||||||
Other Asset-backed Securitizations | |||||||||||||||||||||||||||||||||||
Variable Interest Entity [Line Items] | |||||||||||||||||||||||||||||||||||
Schedule of Variable Interest Entities | The table below summarizes select information related to other asset-backed securitizations in which the Corporation held a variable interest at December 31, 2014 and 2013. | ||||||||||||||||||||||||||||||||||
Other Asset-backed VIEs | |||||||||||||||||||||||||||||||||||
Resecuritization Trusts | Municipal Bond Trusts | Automobile and Other | |||||||||||||||||||||||||||||||||
Securitization Trusts | |||||||||||||||||||||||||||||||||||
December 31 | December 31 | December 31 | |||||||||||||||||||||||||||||||||
(Dollars in millions) | 2014 | 2013 | 2014 | 2013 | 2014 | 2013 | |||||||||||||||||||||||||||||
Unconsolidated VIEs | |||||||||||||||||||||||||||||||||||
Maximum loss exposure | $ | 8,569 | $ | 11,913 | $ | 2,100 | $ | 2,192 | $ | 77 | $ | 81 | |||||||||||||||||||||||
On-balance sheet assets | |||||||||||||||||||||||||||||||||||
Senior securities held (1, 2): | |||||||||||||||||||||||||||||||||||
Trading account assets | $ | 767 | $ | 971 | $ | 25 | $ | 53 | $ | 6 | $ | 1 | |||||||||||||||||||||||
Debt securities carried at fair value | 6,945 | 10,866 | — | — | 61 | 70 | |||||||||||||||||||||||||||||
Held-to-maturity securities | 740 | — | — | — | — | — | |||||||||||||||||||||||||||||
Subordinate securities held (1, 2): | |||||||||||||||||||||||||||||||||||
Trading account assets | 37 | — | — | — | — | — | |||||||||||||||||||||||||||||
Debt securities carried at fair value | 73 | 71 | — | — | — | — | |||||||||||||||||||||||||||||
Residual interests held (3) | 7 | 5 | — | — | — | — | |||||||||||||||||||||||||||||
All other assets | — | — | — | — | 10 | 10 | |||||||||||||||||||||||||||||
Total retained positions | $ | 8,569 | $ | 11,913 | $ | 25 | $ | 53 | $ | 77 | $ | 81 | |||||||||||||||||||||||
Total assets of VIEs (4) | $ | 28,065 | $ | 40,924 | $ | 3,314 | $ | 3,643 | $ | 1,276 | $ | 1,788 | |||||||||||||||||||||||
Consolidated VIEs | |||||||||||||||||||||||||||||||||||
Maximum loss exposure | $ | 654 | $ | 164 | $ | 2,440 | $ | 2,667 | $ | 92 | $ | 94 | |||||||||||||||||||||||
On-balance sheet assets | |||||||||||||||||||||||||||||||||||
Trading account assets | $ | 1,295 | $ | 319 | $ | 2,452 | $ | 2,684 | $ | — | $ | — | |||||||||||||||||||||||
Loans and leases | — | — | — | — | — | 680 | |||||||||||||||||||||||||||||
Loans held-for-sale | — | — | — | — | 555 | — | |||||||||||||||||||||||||||||
All other assets | — | — | — | — | 54 | 61 | |||||||||||||||||||||||||||||
Total assets | $ | 1,295 | $ | 319 | $ | 2,452 | $ | 2,684 | $ | 609 | $ | 741 | |||||||||||||||||||||||
On-balance sheet liabilities | |||||||||||||||||||||||||||||||||||
Short-term borrowings | $ | — | $ | — | $ | 1,032 | $ | 1,073 | $ | — | $ | — | |||||||||||||||||||||||
Long-term debt | 641 | 155 | 12 | 17 | 516 | 646 | |||||||||||||||||||||||||||||
All other liabilities | — | — | — | — | 1 | 1 | |||||||||||||||||||||||||||||
Total liabilities | $ | 641 | $ | 155 | $ | 1,044 | $ | 1,090 | $ | 517 | $ | 647 | |||||||||||||||||||||||
(1) | As a holder of these securities, the Corporation receives scheduled principal and interest payments. During 2014 and 2013, there were no OTTI losses recorded on those securities classified as AFS debt securities. | ||||||||||||||||||||||||||||||||||
(2) | The retained senior and subordinate securities were valued using quoted market prices or observable market inputs (Level 2 of the fair value hierarchy). | ||||||||||||||||||||||||||||||||||
(3) | The retained residual interests are carried at fair value which was derived using model valuations (Level 2 of the fair value hierarchy). | ||||||||||||||||||||||||||||||||||
(4) | Total assets include loans the Corporation transferred with which the Corporation has continuing involvement, which may include servicing the loan. | ||||||||||||||||||||||||||||||||||
Other Variable Interest Entities | |||||||||||||||||||||||||||||||||||
Variable Interest Entity [Line Items] | |||||||||||||||||||||||||||||||||||
Schedule of Variable Interest Entities | The table below summarizes select information related to other VIEs in which the Corporation held a variable interest at December 31, 2014 and 2013. | ||||||||||||||||||||||||||||||||||
Other VIEs | |||||||||||||||||||||||||||||||||||
December 31 | |||||||||||||||||||||||||||||||||||
2014 | 2013 | ||||||||||||||||||||||||||||||||||
(Dollars in millions) | Consolidated | Unconsolidated | Total | Consolidated | Unconsolidated | Total | |||||||||||||||||||||||||||||
Maximum loss exposure | $ | 7,981 | $ | 12,391 | $ | 20,372 | $ | 9,716 | $ | 12,523 | $ | 22,239 | |||||||||||||||||||||||
On-balance sheet assets | |||||||||||||||||||||||||||||||||||
Trading account assets | $ | 1,575 | $ | 355 | $ | 1,930 | $ | 3,769 | $ | 1,420 | $ | 5,189 | |||||||||||||||||||||||
Derivative assets | 5 | 284 | 289 | 3 | 739 | 742 | |||||||||||||||||||||||||||||
Debt securities carried at fair value | — | 483 | 483 | — | 1,944 | 1,944 | |||||||||||||||||||||||||||||
Loans and leases | 4,020 | 2,693 | 6,713 | 4,609 | 270 | 4,879 | |||||||||||||||||||||||||||||
Allowance for loan and lease losses | (6 | ) | — | (6 | ) | (6 | ) | — | (6 | ) | |||||||||||||||||||||||||
Loans held-for-sale | 1,267 | 814 | 2,081 | 998 | 85 | 1,083 | |||||||||||||||||||||||||||||
All other assets | 1,641 | 6,374 | 8,015 | 1,734 | 6,167 | 7,901 | |||||||||||||||||||||||||||||
Total | $ | 8,502 | $ | 11,003 | $ | 19,505 | $ | 11,107 | $ | 10,625 | $ | 21,732 | |||||||||||||||||||||||
On-balance sheet liabilities | |||||||||||||||||||||||||||||||||||
Short-term borrowings | $ | — | $ | — | $ | — | $ | 77 | $ | — | $ | 77 | |||||||||||||||||||||||
Long-term debt (1) | 1,834 | — | 1,834 | 4,487 | — | 4,487 | |||||||||||||||||||||||||||||
All other liabilities | 105 | 2,643 | 2,748 | 93 | 2,538 | 2,631 | |||||||||||||||||||||||||||||
Total | $ | 1,939 | $ | 2,643 | $ | 4,582 | $ | 4,657 | $ | 2,538 | $ | 7,195 | |||||||||||||||||||||||
Total assets of VIEs | $ | 8,502 | $ | 41,467 | $ | 49,969 | $ | 11,107 | $ | 38,505 | $ | 49,612 | |||||||||||||||||||||||
(1) | Includes $584 million, $0 and $780 million of long-term debt at December 31, 2014 and $1.2 billion, $1.3 billion and $780 million of long-term debt at December 31, 2013 issued by consolidated customer vehicles, CDO vehicles and investment vehicles, respectively, which has recourse to the general credit of the Corporation. |
Representations_and_Warranties1
Representations and Warranties Obligations and Corporate Guarantees (Tables) | 12 Months Ended | |||||||||||||||||||||||
Dec. 31, 2014 | ||||||||||||||||||||||||
Representations and Warranties Obligations and Corporate Guarantees [Abstract] | ||||||||||||||||||||||||
Outstanding Claims by Category and Product | The table below presents unresolved repurchase claims at December 31, 2014 and 2013. The unresolved repurchase claims include only claims where the Corporation believes that the counterparty has the contractual right to submit claims. For additional information, see Private-label Securitizations and Whole-loan Sales Experience in this Note and Note 12 – Commitments and Contingencies. | |||||||||||||||||||||||
Unresolved Repurchase Claims by Counterparty and Product Type | ||||||||||||||||||||||||
December 31 | ||||||||||||||||||||||||
(Dollars in millions) | 2014 | 2013 | ||||||||||||||||||||||
By counterparty | ||||||||||||||||||||||||
Private-label securitization trustees, whole-loan investors, including third-party securitization sponsors and other (1, 2) | $ | 24,489 | $ | 17,953 | ||||||||||||||||||||
Monolines (3) | 1,546 | 1,532 | ||||||||||||||||||||||
GSEs | 59 | 170 | ||||||||||||||||||||||
Total gross (2) | 26,094 | 19,655 | ||||||||||||||||||||||
Duplicate claims (4) | (3,248 | ) | (961 | ) | ||||||||||||||||||||
Total unresolved repurchase claims by counterparty, net of duplicate claims | $ | 22,846 | $ | 18,694 | ||||||||||||||||||||
By product type | ||||||||||||||||||||||||
Prime loans | $ | 587 | $ | 623 | ||||||||||||||||||||
Alt-A | 2,397 | 2,259 | ||||||||||||||||||||||
Home equity | 2,485 | 1,905 | ||||||||||||||||||||||
Pay option | 6,294 | 5,780 | ||||||||||||||||||||||
Subprime | 14,121 | 8,928 | ||||||||||||||||||||||
Other | 210 | 160 | ||||||||||||||||||||||
Total (2) | 26,094 | 19,655 | ||||||||||||||||||||||
Duplicate claims (4) | (3,248 | ) | (961 | ) | ||||||||||||||||||||
Total unresolved repurchase claims by product type, net of duplicate claims | $ | 22,846 | $ | 18,694 | ||||||||||||||||||||
(1) | The total notional amount of unresolved repurchase claims does not include repurchase claims related to the trusts covered by the BNY Mellon Settlement. | |||||||||||||||||||||||
(2) | Includes $14.1 billion and $13.8 billion of claims based on individual file reviews and $10.4 billion and $4.1 billion of claims submitted without individual file reviews at December 31, 2014 and 2013. | |||||||||||||||||||||||
(3) | At December 31, 2014, substantially all of the unresolved monoline claims are currently the subject of litigation with a single monoline insurer pertain to second-lien loans. | |||||||||||||||||||||||
(4) | Represents more than one claim outstanding related to a particular loan, typically as the result of bulk claims submitted without individual file reviews. The December 31, 2014 amount includes approximately $2.9 billion of duplicate claims related to private-label investors submitted without individual loan file reviews. | |||||||||||||||||||||||
Rollforward of Liability for Representation and Warranties | The table below presents a rollforward of the liability for representations and warranties and corporate guarantees. | |||||||||||||||||||||||
Representations and Warranties and Corporate Guarantees | ||||||||||||||||||||||||
(Dollars in millions) | 2014 | 2013 | ||||||||||||||||||||||
Liability for representations and warranties and corporate guarantees, January 1 | $ | 13,282 | $ | 19,021 | ||||||||||||||||||||
Additions for new sales | 8 | 36 | ||||||||||||||||||||||
Net reductions | (1,892 | ) | (6,615 | ) | ||||||||||||||||||||
Provision | 683 | 840 | ||||||||||||||||||||||
Liability for representations and warranties and corporate guarantees, December 31 | $ | 12,081 | $ | 13,282 | ||||||||||||||||||||
Loan Repurchases and Indemnification Payments | ||||||||||||||||||||||||
Loan Repurchases and Indemnification Payments (excluding cash payments for settlements) | ||||||||||||||||||||||||
December 31 | ||||||||||||||||||||||||
2014 | 2013 | |||||||||||||||||||||||
(Dollars in millions) | Unpaid | Cash Paid | Loss | Unpaid | Cash Paid | Loss | ||||||||||||||||||
Principal | for | Principal | for | |||||||||||||||||||||
Balance | Repurchases | Balance | Repurchases | |||||||||||||||||||||
First-lien | ||||||||||||||||||||||||
Repurchases | $ | 211 | $ | 241 | $ | 79 | $ | 746 | $ | 784 | $ | 149 | ||||||||||||
Indemnification payments | 624 | 233 | 233 | 661 | 383 | 383 | ||||||||||||||||||
Total first-lien | 835 | 474 | 312 | 1,407 | 1,167 | 532 | ||||||||||||||||||
Home equity, indemnification payments | 22 | 22 | 22 | 74 | 77 | 77 | ||||||||||||||||||
Total first-lien and home equity | $ | 857 | $ | 496 | $ | 334 | $ | 1,481 | $ | 1,244 | $ | 609 | ||||||||||||
Goodwill_and_Intangible_Assets1
Goodwill and Intangible Assets (Tables) | 12 Months Ended | |||||||||||||||||||||||
Dec. 31, 2014 | ||||||||||||||||||||||||
Goodwill and Intangible Assets Disclosure [Abstract] | ||||||||||||||||||||||||
Goodwill | The table below presents goodwill balances by business segment at December 31, 2014 and 2013. Effective January 1, 2015, the Corporation changed its basis of presentation related to its business segments. For more information on this realignment, see Note 1 – Summary of Significant Accounting Principles. As part of the realignment, the Corporation moved a portion of the Business Banking business, including $1.6 billion of goodwill, from the former Consumer & Business Banking segment to Global Banking. This business constitutes a new reporting unit, Business Banking Regions, within the Global Banking segment. The remaining portion of the Business Banking business will be evaluated with Deposits as a single reporting unit within Consumer Banking. Prior periods have been reclassified to conform to current period presentation. | |||||||||||||||||||||||
The reporting units utilized for goodwill impairment testing are the operating segments or one level below. | ||||||||||||||||||||||||
Goodwill | ||||||||||||||||||||||||
31-Dec | ||||||||||||||||||||||||
(Dollars in millions) | 2014 | 2013 | ||||||||||||||||||||||
Consumer Banking | $ | 30,125 | $ | 30,123 | ||||||||||||||||||||
Global Wealth & Investment Management | 9,698 | 9,698 | ||||||||||||||||||||||
Global Banking | 23,923 | 23,923 | ||||||||||||||||||||||
Global Markets | 5,197 | 5,197 | ||||||||||||||||||||||
All Other | 834 | 903 | ||||||||||||||||||||||
Total goodwill | $ | 69,777 | $ | 69,844 | ||||||||||||||||||||
Intangible Assets | The table below presents the gross carrying value and accumulated amortization for intangible assets at December 31, 2014 and 2013. | |||||||||||||||||||||||
Intangible Assets (1, 2) | ||||||||||||||||||||||||
31-Dec | ||||||||||||||||||||||||
2014 | 2013 | |||||||||||||||||||||||
(Dollars in millions) | Gross | Accumulated | Net | Gross | Accumulated | Net | ||||||||||||||||||
Carrying Value | Amortization | Carrying Value | Carrying Value | Amortization | Carrying Value | |||||||||||||||||||
Purchased credit card relationships | $ | 5,504 | $ | 4,527 | $ | 977 | $ | 6,160 | $ | 4,849 | $ | 1,311 | ||||||||||||
Core deposit intangibles | 1,779 | 1,382 | 397 | 3,592 | 3,055 | 537 | ||||||||||||||||||
Customer relationships | 4,025 | 2,648 | 1,377 | 4,025 | 2,281 | 1,744 | ||||||||||||||||||
Affinity relationships | 1,565 | 1,283 | 282 | 1,575 | 1,197 | 378 | ||||||||||||||||||
Other intangibles | 2,045 | 466 | 1,579 | 2,045 | 441 | 1,604 | ||||||||||||||||||
Total intangible assets | $ | 14,918 | $ | 10,306 | $ | 4,612 | $ | 17,397 | $ | 11,823 | $ | 5,574 | ||||||||||||
(1) | Excludes fully amortized intangible assets. | |||||||||||||||||||||||
(2) | At December 31, 2014 and 2013, none of the intangible assets were impaired. | |||||||||||||||||||||||
Schedule of Amortization Expense | The table below presents intangible asset amortization expense for 2014, 2013 and 2012. | |||||||||||||||||||||||
Amortization Expense | ||||||||||||||||||||||||
(Dollars in millions) | 2014 | 2013 | 2012 | |||||||||||||||||||||
Purchased credit card and Affinity relationships | $ | 415 | $ | 475 | $ | 556 | ||||||||||||||||||
Core deposit intangibles | 140 | 197 | 254 | |||||||||||||||||||||
Customer relationships | 355 | 371 | 391 | |||||||||||||||||||||
Other intangibles | 26 | 43 | 63 | |||||||||||||||||||||
Total amortization expense | $ | 936 | $ | 1,086 | $ | 1,264 | ||||||||||||||||||
Schedule of Future Intangible Asset Amortization Expense | The table below presents estimated future intangible asset amortization expense at December 31, 2014. | |||||||||||||||||||||||
Estimated Future Amortization Expense | ||||||||||||||||||||||||
(Dollars in millions) | 2015 | 2016 | 2017 | 2018 | 2019 | |||||||||||||||||||
Purchased credit card and Affinity relationships | $ | 358 | $ | 299 | $ | 239 | $ | 180 | $ | 121 | ||||||||||||||
Core deposit intangibles | 122 | 105 | 91 | 80 | 7 | |||||||||||||||||||
Customer relationships | 340 | 325 | 310 | 302 | 286 | |||||||||||||||||||
Other intangibles | 16 | 9 | 6 | 3 | 1 | |||||||||||||||||||
Total estimated future amortization expense | $ | 836 | $ | 738 | $ | 646 | $ | 565 | $ | 415 | ||||||||||||||
Deposits_Tables
Deposits (Tables) | 12 Months Ended | |||||||||||||||
Dec. 31, 2014 | ||||||||||||||||
Deposits [Abstract] | ||||||||||||||||
Details of Time Deposits | The table below presents the contractual maturities for time deposits of $100 thousand or more at December 31, 2014. | |||||||||||||||
Time Deposits of $100 Thousand or More | ||||||||||||||||
(Dollars in millions) | Three Months | Over Three | Thereafter | Total | ||||||||||||
or Less | Months to | |||||||||||||||
Twelve Months | ||||||||||||||||
U.S. certificates of deposit and other time deposits | $ | 15,327 | $ | 14,134 | $ | 2,948 | $ | 32,409 | ||||||||
Non-U.S. certificates of deposit and other time deposits | 12,446 | 1,308 | 253 | 14,007 | ||||||||||||
Schedule of Maturities for Total Time Deposits | The scheduled contractual maturities for total time deposits at December 31, 2014 are presented in the table below. | |||||||||||||||
Contractual Maturities of Total Time Deposits | ||||||||||||||||
(Dollars in millions) | U.S. | Non-U.S. | Total | |||||||||||||
Due in 2015 | $ | 61,439 | $ | 14,165 | $ | 75,604 | ||||||||||
Due in 2016 | 4,119 | 176 | 4,295 | |||||||||||||
Due in 2017 | 1,532 | 38 | 1,570 | |||||||||||||
Due in 2018 | 775 | — | 775 | |||||||||||||
Due in 2019 | 830 | 35 | 865 | |||||||||||||
Thereafter | 1,734 | — | 1,734 | |||||||||||||
Total time deposits | $ | 70,429 | $ | 14,414 | $ | 84,843 | ||||||||||
Federal_Funds_Sold_or_Purchase1
Federal Funds Sold or Purchased, Securities Financing Agreements and Short-term Borrowings (Tables) | 12 Months Ended | ||||||||||||||||||||
Dec. 31, 2014 | |||||||||||||||||||||
Federal Funds Sold, Securities Borrowed or Purchased Under Agreements to Resell and Short-term Borrowings [Abstract] | |||||||||||||||||||||
Federal Funds Sold Securities Borrowed Or Purchased Under Agreements To Resell And Short Term Borrowings | The table below presents federal funds sold or purchased, securities financing agreements, which include securities borrowed or purchased under agreements to resell and securities loaned or sold under agreements to repurchase, and short-term borrowings. | ||||||||||||||||||||
2014 | 2013 | 2012 | |||||||||||||||||||
(Dollars in millions) | Amount | Rate | Amount | Rate | Amount | Rate | |||||||||||||||
Federal funds sold | |||||||||||||||||||||
At December 31 | $ | — | — | % | $ | — | — | % | $ | 600 | 0.54 | % | |||||||||
Average during year | 3 | 0.9 | 7 | 0.69 | 351 | 0.43 | |||||||||||||||
Maximum month-end balance during year | 12 | n/a | 35 | n/a | 600 | n/a | |||||||||||||||
Securities borrowed or purchased under agreements to resell | |||||||||||||||||||||
At December 31 | 191,823 | 0.47 | 190,328 | 0.6 | 219,324 | 0.92 | |||||||||||||||
Average during year | 222,480 | 0.47 | 224,324 | 0.55 | 235,691 | 0.64 | |||||||||||||||
Maximum month-end balance during year | 240,110 | n/a | 249,791 | n/a | 252,985 | n/a | |||||||||||||||
Federal funds purchased | |||||||||||||||||||||
At December 31 | 14 | — | 186 | — | 1,151 | 0.17 | |||||||||||||||
Average during year | 147 | 0.05 | 191 | 0.06 | 384 | 0.11 | |||||||||||||||
Maximum month-end balance during year | 213 | n/a | 195 | n/a | 1,211 | n/a | |||||||||||||||
Securities loaned or sold under agreements to repurchase | |||||||||||||||||||||
At December 31 | 201,263 | 0.98 | 197,920 | 0.92 | 292,108 | 1.11 | |||||||||||||||
Average during year | 215,645 | 0.99 | 257,409 | 0.81 | 281,516 | 0.98 | |||||||||||||||
Maximum month-end balance during year | 239,984 | n/a | 319,608 | n/a | 319,401 | n/a | |||||||||||||||
Short-term borrowings | |||||||||||||||||||||
At December 31 | 31,172 | 1.47 | 45,999 | 1.55 | 30,731 | 3.08 | |||||||||||||||
Average during year | 41,886 | 1.08 | 43,816 | 1.89 | 36,500 | 2.22 | |||||||||||||||
Maximum month-end balance during year | 51,409 | n/a | 48,387 | n/a | 40,129 | n/a | |||||||||||||||
n/a =ot applicable | |||||||||||||||||||||
Securities Borrowed and Securities Purchased Under Agreements to Resell | |||||||||||||||||||||
Offsetting Assets [Line Items] | |||||||||||||||||||||
Offsetting Assets | |||||||||||||||||||||
Securities Financing Agreements | |||||||||||||||||||||
December 31, 2014 | |||||||||||||||||||||
(Dollars in millions) | Gross Assets/Liabilities | Amounts Offset | Net Balance Sheet Amount | Financial Instruments | Net Assets/Liabilities | ||||||||||||||||
Securities borrowed or purchased under agreements to resell (1) | $ | 316,567 | $ | (124,744 | ) | $ | 191,823 | $ | (145,573 | ) | $ | 46,250 | |||||||||
Securities loaned or sold under agreements to repurchase | $ | 326,007 | $ | (124,744 | ) | $ | 201,263 | $ | (164,306 | ) | $ | 36,957 | |||||||||
Other | 11,641 | — | 11,641 | (11,641 | ) | — | |||||||||||||||
Total | $ | 337,648 | $ | (124,744 | ) | $ | 212,904 | $ | (175,947 | ) | $ | 36,957 | |||||||||
31-Dec-13 | |||||||||||||||||||||
Securities borrowed or purchased under agreements to resell (1) | $ | 272,296 | $ | (81,968 | ) | $ | 190,328 | $ | (157,132 | ) | $ | 33,196 | |||||||||
Securities loaned or sold under agreements to repurchase | $ | 279,888 | $ | (81,968 | ) | $ | 197,920 | $ | (160,111 | ) | $ | 37,809 | |||||||||
Other | 10,871 | — | 10,871 | (10,871 | ) | — | |||||||||||||||
Total | $ | 290,759 | $ | (81,968 | ) | $ | 208,791 | $ | (170,982 | ) | $ | 37,809 | |||||||||
(1) | Excludes repurchase activity of $5.6 billion and $4.1 billion reported in Loans and leases at December 31, 2014 and 2013. | ||||||||||||||||||||
Securities Loaned and Financial Assets Sold Under Agreements to Repurchase | |||||||||||||||||||||
Offsetting Liabilities [Line Items] | |||||||||||||||||||||
Offsetting Liabilities | |||||||||||||||||||||
Securities Financing Agreements | |||||||||||||||||||||
December 31, 2014 | |||||||||||||||||||||
(Dollars in millions) | Gross Assets/Liabilities | Amounts Offset | Net Balance Sheet Amount | Financial Instruments | Net Assets/Liabilities | ||||||||||||||||
Securities borrowed or purchased under agreements to resell (1) | $ | 316,567 | $ | (124,744 | ) | $ | 191,823 | $ | (145,573 | ) | $ | 46,250 | |||||||||
Securities loaned or sold under agreements to repurchase | $ | 326,007 | $ | (124,744 | ) | $ | 201,263 | $ | (164,306 | ) | $ | 36,957 | |||||||||
Other | 11,641 | — | 11,641 | (11,641 | ) | — | |||||||||||||||
Total | $ | 337,648 | $ | (124,744 | ) | $ | 212,904 | $ | (175,947 | ) | $ | 36,957 | |||||||||
31-Dec-13 | |||||||||||||||||||||
Securities borrowed or purchased under agreements to resell (1) | $ | 272,296 | $ | (81,968 | ) | $ | 190,328 | $ | (157,132 | ) | $ | 33,196 | |||||||||
Securities loaned or sold under agreements to repurchase | $ | 279,888 | $ | (81,968 | ) | $ | 197,920 | $ | (160,111 | ) | $ | 37,809 | |||||||||
Other | 10,871 | — | 10,871 | (10,871 | ) | — | |||||||||||||||
Total | $ | 290,759 | $ | (81,968 | ) | $ | 208,791 | $ | (170,982 | ) | $ | 37,809 | |||||||||
(1) | Excludes repurchase activity of $5.6 billion and $4.1 billion reported in Loans and leases at December 31, 2014 and 2013. |
Longterm_Debt_Tables
Long-term Debt (Tables) | 12 Months Ended | |||||||||||||||||||||||||||
Dec. 31, 2014 | ||||||||||||||||||||||||||||
Debt Disclosure [Abstract] | ||||||||||||||||||||||||||||
Balance of Long-term Debt | The table below presents the balance of long-term debt at December 31, 2014 and 2013, and the related contractual rates and maturity dates as of December 31, 2014. | |||||||||||||||||||||||||||
December 31 | ||||||||||||||||||||||||||||
(Dollars in millions) | 2014 | 2013 | ||||||||||||||||||||||||||
Notes issued by Bank of America Corporation | ||||||||||||||||||||||||||||
Senior notes: | ||||||||||||||||||||||||||||
Fixed, with a weighted-average rate of 4.67%, ranging from 1.25% to 8.83%, due 2015 to 2044 | $ | 113,069 | $ | 109,845 | ||||||||||||||||||||||||
Floating, with a weighted-average rate of 1.32%, ranging from 0.09% to 4.98%, due 2015 to 2044 | 14,559 | 22,268 | ||||||||||||||||||||||||||
Senior structured notes | 22,168 | 30,575 | ||||||||||||||||||||||||||
Subordinated notes: | ||||||||||||||||||||||||||||
Fixed, with a weighted-average rate of 4.91%, ranging from 0.80% to 10.20%, due 2015 to 2038 | 26,995 | 22,379 | ||||||||||||||||||||||||||
Floating, with a weighted-average rate of 0.97%, ranging from 0.01% to 3.16%, due 2016 to 2026 | 1,705 | 1,798 | ||||||||||||||||||||||||||
Junior subordinated notes (related to trust preferred securities): | ||||||||||||||||||||||||||||
Fixed, with a weighted-average rate of 6.78%, ranging from 5.25% to 8.05%, due 2027 to perpetual | 6,722 | 6,685 | ||||||||||||||||||||||||||
Floating, with a weighted-average rate of 0.92%, ranging from 0.78% to 1.24%, due 2027 to 2056 | 553 | 553 | ||||||||||||||||||||||||||
Total notes issued by Bank of America Corporation | 185,771 | 194,103 | ||||||||||||||||||||||||||
Notes issued by Bank of America, N.A. (1) | ||||||||||||||||||||||||||||
Senior notes: | ||||||||||||||||||||||||||||
Fixed, with a weighted-average rate of 1.98%, ranging from 0.08% to 7.72%, due 2015 to 2187 | 2,893 | 1,670 | ||||||||||||||||||||||||||
Floating, with a weighted-average rate of 0.60%, ranging from 0.36% to 0.70%, due 2015 to 2041 | 5,686 | 3,684 | ||||||||||||||||||||||||||
Subordinated notes: | ||||||||||||||||||||||||||||
Fixed, with a weighted-average rate of 5.68%, ranging from 5.30% to 6.10%, due 2016 to 2036 | 4,921 | 4,876 | ||||||||||||||||||||||||||
Floating, with a weighted-average rate of 0.53%, ranging from 0.26% to 0.54%, due 2016 to 2019 | 1,401 | 1,401 | ||||||||||||||||||||||||||
Advances from Federal Home Loan Banks: | ||||||||||||||||||||||||||||
Fixed, with a weighted-average rate of 5.34%, ranging from 0.01% to 7.72%, due 2015 to 2034 | 183 | 1,441 | ||||||||||||||||||||||||||
Floating, with a weighted-average rate of 0.26%, ranging from 0.24% to 0.30%, due 2015 to 2016 | 10,500 | 3,001 | ||||||||||||||||||||||||||
Securitizations and other BANA VIEs | 9,882 | 13,367 | ||||||||||||||||||||||||||
Total notes issued by Bank of America, N.A. | 35,466 | 29,440 | ||||||||||||||||||||||||||
Other debt | ||||||||||||||||||||||||||||
Senior notes: | ||||||||||||||||||||||||||||
Fixed, with a rate of 5.50%, due 2017 to 2021 | 1 | 194 | ||||||||||||||||||||||||||
Floating, with a rate of 1.88%, due 2015 | 21 | 115 | ||||||||||||||||||||||||||
Structured liabilities | 15,971 | 16,913 | ||||||||||||||||||||||||||
Junior subordinated notes (related to trust preferred securities): | ||||||||||||||||||||||||||||
Fixed, with a weighted-average rate of 7.14%, ranging from 7.00% to 7.28%, perpetual | 339 | 340 | ||||||||||||||||||||||||||
Floating, with a rate of 0.86%, due 2027 | 66 | 66 | ||||||||||||||||||||||||||
Nonbank VIEs | 3,425 | 6,081 | ||||||||||||||||||||||||||
Other | 2,079 | 2,422 | ||||||||||||||||||||||||||
Total other debt | 21,902 | 26,131 | ||||||||||||||||||||||||||
Total long-term debt | $ | 243,139 | $ | 249,674 | ||||||||||||||||||||||||
(1) | On October 1, 2014, FIA Card Services, N.A. was merged into Bank of America, N.A. | |||||||||||||||||||||||||||
Schedule of Maturities of Long-term Debt | ||||||||||||||||||||||||||||
Long-term Debt by Maturity | ||||||||||||||||||||||||||||
(Dollars in millions) | 2015 | 2016 | 2017 | 2018 | 2019 | Thereafter | Total | |||||||||||||||||||||
Bank of America Corporation | ||||||||||||||||||||||||||||
Senior notes | $ | 14,905 | $ | 17,373 | $ | 18,935 | $ | 20,006 | $ | 16,206 | $ | 40,203 | $ | 127,628 | ||||||||||||||
Senior structured notes | 5,558 | 2,825 | 1,791 | 1,885 | 1,526 | 8,583 | 22,168 | |||||||||||||||||||||
Subordinated notes | 1,221 | 5,074 | 5,219 | 2,951 | 1,580 | 12,655 | 28,700 | |||||||||||||||||||||
Junior subordinated notes | — | — | — | — | — | 7,275 | 7,275 | |||||||||||||||||||||
Total Bank of America Corporation | 21,684 | 25,272 | 25,945 | 24,842 | 19,312 | 68,716 | 185,771 | |||||||||||||||||||||
Bank of America, N.A. (1) | ||||||||||||||||||||||||||||
Senior notes | 777 | 2,498 | 5,162 | — | 19 | 123 | 8,579 | |||||||||||||||||||||
Subordinated notes | — | 1,069 | 3,553 | — | 1 | 1,699 | 6,322 | |||||||||||||||||||||
Advances from Federal Home Loan Banks | 4,503 | 6,003 | 10 | 10 | 16 | 141 | 10,683 | |||||||||||||||||||||
Securitizations and other Bank VIEs (2) | 1,151 | 1,298 | 3,554 | — | 2,450 | 1,429 | 9,882 | |||||||||||||||||||||
Total Bank of America, N.A. | 6,431 | 10,868 | 12,279 | 10 | 2,486 | 3,392 | 35,466 | |||||||||||||||||||||
Other debt | ||||||||||||||||||||||||||||
Senior notes | 21 | — | 1 | — | — | — | 22 | |||||||||||||||||||||
Structured liabilities | 2,314 | 2,133 | 2,296 | 1,281 | 1,027 | 6,920 | 15,971 | |||||||||||||||||||||
Junior subordinated notes | — | — | — | — | — | 405 | 405 | |||||||||||||||||||||
Nonbank VIEs (2) | 20 | 348 | 255 | 102 | 27 | 2,673 | 3,425 | |||||||||||||||||||||
Other | 254 | 927 | 429 | 45 | 4 | 420 | 2,079 | |||||||||||||||||||||
Total other debt | 2,609 | 3,408 | 2,981 | 1,428 | 1,058 | 10,418 | 21,902 | |||||||||||||||||||||
Total long-term debt | $ | 30,724 | $ | 39,548 | $ | 41,205 | $ | 26,280 | $ | 22,856 | $ | 82,526 | $ | 243,139 | ||||||||||||||
(1) | On October 1, 2014, FIA Card Services, N.A. was merged into Bank of America, N.A. | |||||||||||||||||||||||||||
(2) | Represents the total long-term debt included in the liabilities of consolidated VIEs on the Consolidated Balance Sheet. | |||||||||||||||||||||||||||
Financial Instruments Subject to Mandatory Redemption Disclosure | The Trust Securities Summary table details the outstanding Trust Securities and the related Notes previously issued which remained outstanding at December 31, 2014. For more information on Trust Securities for regulatory capital purposes, see Note 16 – Regulatory Requirements and Restrictions. | |||||||||||||||||||||||||||
Trust Securities Summary | ||||||||||||||||||||||||||||
(Dollars in millions) | ||||||||||||||||||||||||||||
31-Dec-14 | ||||||||||||||||||||||||||||
Issuer | Issuance Date | Aggregate | Aggregate | Stated Maturity | Per Annum Interest | Interest Payment | Redemption Period | |||||||||||||||||||||
Principal | Principal | of the Trust Securities | Rate of the Notes | Dates | ||||||||||||||||||||||||
Amount | Amount | |||||||||||||||||||||||||||
of Trust | of the | |||||||||||||||||||||||||||
Securities | Notes | |||||||||||||||||||||||||||
Bank of America | ||||||||||||||||||||||||||||
Capital Trust VI | Mar-05 | $ | 36 | $ | 37 | Mar-35 | 5.63 | % | Semi-Annual | Any time | ||||||||||||||||||
Capital Trust VII (1) | Aug-05 | 7 | 7 | Aug-35 | 5.25 | Semi-Annual | Any time | |||||||||||||||||||||
Capital Trust VIII | Aug-05 | 524 | 540 | Aug-35 | 6 | Quarterly | On or after 8/25/10 | |||||||||||||||||||||
Capital Trust XI | May-06 | 658 | 678 | May-36 | 6.63 | Semi-Annual | Any time | |||||||||||||||||||||
Capital Trust XV | May-07 | 1 | 1 | Jun-56 | 3-mo. LIBOR +80 bps | Quarterly | On or after 6/01/37 | |||||||||||||||||||||
NationsBank | ||||||||||||||||||||||||||||
Capital Trust III | Feb-97 | 131 | 136 | Jan-27 | 3-mo. LIBOR +55 bps | Quarterly | On or after 1/15/07 | |||||||||||||||||||||
BankAmerica | ||||||||||||||||||||||||||||
Capital III | Jan-97 | 103 | 106 | Jan-27 | 3-mo. LIBOR +57 bps | Quarterly | On or after 1/15/02 | |||||||||||||||||||||
Barnett | ||||||||||||||||||||||||||||
Capital III | Jan-97 | 64 | 66 | Feb-27 | 3-mo. LIBOR +62.5 bps | Quarterly | On or after 2/01/07 | |||||||||||||||||||||
Fleet | ||||||||||||||||||||||||||||
Capital Trust V | Dec-98 | 79 | 82 | Dec-28 | 3-mo. LIBOR +100 bps | Quarterly | On or after 12/18/03 | |||||||||||||||||||||
BankBoston | ||||||||||||||||||||||||||||
Capital Trust III | Jun-97 | 53 | 55 | Jun-27 | 3-mo. LIBOR +75 bps | Quarterly | On or after 6/15/07 | |||||||||||||||||||||
Capital Trust IV | Jun-98 | 102 | 106 | Jun-28 | 3-mo. LIBOR +60 bps | Quarterly | On or after 6/08/03 | |||||||||||||||||||||
MBNA | ||||||||||||||||||||||||||||
Capital Trust B | Jan-97 | 70 | 73 | Feb-27 | 3-mo. LIBOR +80 bps | Quarterly | On or after 2/01/07 | |||||||||||||||||||||
Countrywide | ||||||||||||||||||||||||||||
Capital III | Jun-97 | 200 | 206 | Jun-27 | 8.05 | Semi-Annual | Only under special event | |||||||||||||||||||||
Capital IV | Apr-03 | 500 | 515 | Apr-33 | 6.75 | Quarterly | On or after 4/11/08 | |||||||||||||||||||||
Capital V | Nov-06 | 1,495 | 1,496 | Nov-36 | 7 | Quarterly | On or after 11/01/11 | |||||||||||||||||||||
Merrill Lynch | ||||||||||||||||||||||||||||
Preferred Capital Trust III | Jan-98 | 750 | 901 | Perpetual | 7 | Quarterly | On or after 3/08 | |||||||||||||||||||||
Preferred Capital Trust IV | Jun-98 | 400 | 480 | Perpetual | 7.12 | Quarterly | On or after 6/08 | |||||||||||||||||||||
Preferred Capital Trust V | Nov-98 | 850 | 1,021 | Perpetual | 7.28 | Quarterly | On or after 9/08 | |||||||||||||||||||||
Capital Trust I | Dec-06 | 1,050 | 1,051 | Dec-66 | 6.45 | Quarterly | On or after 12/11 | |||||||||||||||||||||
Capital Trust II | May-07 | 950 | 951 | Jun-67 | 6.45 | Quarterly | On or after 6/12 | |||||||||||||||||||||
Capital Trust III | Aug-07 | 750 | 751 | Sep-67 | 7.375 | Quarterly | On or after 9/12 | |||||||||||||||||||||
Total | $ | 8,773 | $ | 9,259 | ||||||||||||||||||||||||
(1) | Notes are denominated in British Pound. Presentation currency is U.S. Dollar. |
Commitments_and_Contingencies_
Commitments and Contingencies (Tables) | 12 Months Ended | |||||||||||||||||||
Dec. 31, 2014 | ||||||||||||||||||||
Commitments and Contingencies Disclosure [Abstract] | ||||||||||||||||||||
Schedule of Credit Extension Commitment Expirations | The table below also includes the notional amount of commitments of $9.9 billion and $13.0 billion at December 31, 2014 and 2013 that are accounted for under the fair value option. However, the table below excludes cumulative net fair value adjustments of $405 million and $354 million on these commitments, which are classified in accrued expenses and other liabilities. For more information regarding the Corporation’s loan commitments accounted for under the fair value option, see Note 21 – Fair Value Option. | |||||||||||||||||||
Credit Extension Commitments | ||||||||||||||||||||
December 31, 2014 | ||||||||||||||||||||
(Dollars in millions) | Expire in One | Expire After One | Expire After Three | Expire After Five | Total | |||||||||||||||
Year or Less | Year Through | Years Through | Years | |||||||||||||||||
Three Years | Five Years | |||||||||||||||||||
Notional amount of credit extension commitments | ||||||||||||||||||||
Loan commitments | $ | 79,897 | $ | 97,583 | $ | 146,743 | $ | 18,942 | $ | 343,165 | ||||||||||
Home equity lines of credit | 6,292 | 19,679 | 12,319 | 15,417 | 53,707 | |||||||||||||||
Standby letters of credit and financial guarantees (1) | 19,259 | 9,106 | 4,519 | 1,807 | 34,691 | |||||||||||||||
Letters of credit | 1,883 | 157 | 35 | 88 | 2,163 | |||||||||||||||
Legally binding commitments | 107,331 | 126,525 | 163,616 | 36,254 | 433,726 | |||||||||||||||
Credit card lines (2) | 363,989 | — | — | — | 363,989 | |||||||||||||||
Total credit extension commitments | $ | 471,320 | $ | 126,525 | $ | 163,616 | $ | 36,254 | $ | 797,715 | ||||||||||
December 31, 2013 | ||||||||||||||||||||
Notional amount of credit extension commitments | ||||||||||||||||||||
Loan commitments | $ | 80,799 | $ | 105,175 | $ | 133,290 | $ | 21,864 | $ | 341,128 | ||||||||||
Home equity lines of credit | 4,580 | 16,855 | 21,074 | 14,301 | 56,810 | |||||||||||||||
Standby letters of credit and financial guarantees (1) | 21,994 | 8,843 | 2,876 | 3,967 | 37,680 | |||||||||||||||
Letters of credit | 1,263 | 899 | 4 | 403 | 2,569 | |||||||||||||||
Legally binding commitments | 108,636 | 131,772 | 157,244 | 40,535 | 438,187 | |||||||||||||||
Credit card lines (2) | 377,846 | — | — | — | 377,846 | |||||||||||||||
Total credit extension commitments | $ | 486,482 | $ | 131,772 | $ | 157,244 | $ | 40,535 | $ | 816,033 | ||||||||||
(1) | The notional amounts of SBLCs and financial guarantees classified as investment grade and non-investment grade based on the credit quality of the underlying reference name within the instrument were $26.1 billion and $8.2 billion at December 31, 2014, and $27.6 billion and $9.6 billion at December 31, 2013. Amounts include consumer SBLCs of $396 million and $453 million at December 31, 2014 and 2013. | |||||||||||||||||||
(2) | Includes business card unused lines of credit. |
Shareholders_Equity_Tables
Shareholders' Equity (Tables) | 12 Months Ended | |||||||||||||||||||
Dec. 31, 2014 | ||||||||||||||||||||
Equity [Abstract] | ||||||||||||||||||||
Schedule of Dividends | Common Stock | |||||||||||||||||||
Declared Quarterly Cash Dividends on Common Stock (1) | ||||||||||||||||||||
Declaration Date | Record Date | Payment Date | Dividend Per Share | |||||||||||||||||
10-Feb-15 | March 6, 2015 | March 27, 2015 | $ | 0.05 | ||||||||||||||||
23-Oct-14 | 5-Dec-14 | December 26, 2014 | 0.05 | |||||||||||||||||
6-Aug-14 | 5-Sep-14 | September 26, 2014 | 0.05 | |||||||||||||||||
18-Jun-14 | 24-Jun-14 | June 30, 2014 | 0.01 | |||||||||||||||||
11-Feb-14 | 7-Mar-14 | March 28, 2014 | 0.01 | |||||||||||||||||
(1) | In 2014 and through February 25, 2015. | |||||||||||||||||||
Schedule of Stock by Class | The table below presents a summary of perpetual preferred stock outstanding at December 31, 2014. | |||||||||||||||||||
Preferred Stock Summary | ||||||||||||||||||||
(Dollars in millions, except as noted) | ||||||||||||||||||||
Series | Description | Initial | Total | Liquidation | Carrying | Per Annum | Redemption Period | |||||||||||||
Issuance | Shares | Preference | Value (1) | Dividend Rate | ||||||||||||||||
Date | Outstanding | per Share | ||||||||||||||||||
(in dollars) | ||||||||||||||||||||
Series B (2) | 7% Cumulative Redeemable | June | 7,571 | $ | 100 | $ | 1 | 7 | % | n/a | ||||||||||
1997 | ||||||||||||||||||||
Series D (3, 4) | 6.204% Non-Cumulative | September | 26,174 | 25,000 | 654 | 6.204 | % | On or after | ||||||||||||
2006 | 14-Sep-11 | |||||||||||||||||||
Series E (3, 4) | Floating Rate Non-Cumulative | November | 12,691 | 25,000 | 317 | 3-mo. LIBOR + 35 bps (5) | On or after | |||||||||||||
2006 | 15-Nov-11 | |||||||||||||||||||
Series F (3) | Floating Rate Non-Cumulative | March | 1,409 | 100,000 | 141 | 3-mo. LIBOR + 40 bps (5) | On or after | |||||||||||||
2012 | 15-Mar-12 | |||||||||||||||||||
Series G (3) | Adjustable Rate Non-Cumulative | March | 4,926 | 100,000 | 493 | 3-mo. LIBOR + 40 bps (5) | On or after | |||||||||||||
2012 | 15-Mar-12 | |||||||||||||||||||
Series I (3, 4) | 6.625% Non-Cumulative | September | 14,584 | 25,000 | 365 | 6.625 | % | On or after | ||||||||||||
2007 | 1-Oct-17 | |||||||||||||||||||
Series K (3, 6) | Fixed-to-Floating Rate Non-Cumulative | January | 61,773 | 25,000 | 1,544 | 8.00% through 1/29/18; 3-mo. LIBOR + 363 bps thereafter | On or after | |||||||||||||
2008 | 30-Jan-18 | |||||||||||||||||||
Series L | 7.25% Non-Cumulative Perpetual Convertible | January | 3,080,182 | 1,000 | 3,080 | 7.25 | % | n/a | ||||||||||||
2008 | ||||||||||||||||||||
Series M (3, 6) | Fixed-to-Floating Rate Non-Cumulative | April | 52,399 | 25,000 | 1,310 | 8.125% through 5/14/18; | On or after | |||||||||||||
2008 | 3-mo. LIBOR + 364 bps thereafter | 15-May-18 | ||||||||||||||||||
Series T | 6% Non-Cumulative | September | 50,000 | 100,000 | 2,918 | 6 | % | See description in Preferred Stock in | ||||||||||||
2011 | this Note | |||||||||||||||||||
Series U (6) | Fixed-to-Floating Rate Non-Cumulative | May | 40,000 | 25,000 | 1,000 | 5.2% through 6/1/23; | On or after | |||||||||||||
2013 | 3-mo. LIBOR + 313.5 bps thereafter | 1-Jun-23 | ||||||||||||||||||
Series V (6) | Fixed-to-Floating Rate Non-Cumulative | June | 60,000 | 25,000 | 1,500 | 5.125% through 6/17/19; | On or after | |||||||||||||
2014 | 3-mo. LIBOR + 338.7 bps thereafter | 17-Jun-19 | ||||||||||||||||||
Series W (4) | 6.625% Non-Cumulative | Sep-14 | 44,000 | 25,000 | 1,100 | 6.625 | % | On or after | ||||||||||||
9-Sep-19 | ||||||||||||||||||||
Series X (6) | Fixed-to-Floating Rate Non-Cumulative | Sep-14 | 80,000 | 25,000 | 2,000 | 6.250% through 9/5/2024; | On or after | |||||||||||||
3-mo. LIBOR + 370.5 bps thereafter | 5-Sep-24 | |||||||||||||||||||
Series Z (6) | Fixed-to-Floating Rate Non-Cumulative | Oct-14 | 56,000 | 25,000 | 1,400 | 6.500% through 10/23/24; | On or after | |||||||||||||
3-mo. LIBOR + 417.4 bps thereafter | 23-Oct-24 | |||||||||||||||||||
Series 1 (3, 7) | Floating Rate Non-Cumulative | November | 3,275 | 30,000 | 98 | 3-mo. LIBOR + 75 bps (8) | On or after | |||||||||||||
2004 | 28-Nov-09 | |||||||||||||||||||
Series 2 (3, 7) | Floating Rate Non-Cumulative | March | 9,967 | 30,000 | 299 | 3-mo. LIBOR + 65 bps (8) | On or after | |||||||||||||
2005 | 28-Nov-09 | |||||||||||||||||||
Series 3 (3, 7) | 6.375% Non-Cumulative | November | 21,773 | 30,000 | 653 | 6.375 | % | On or after | ||||||||||||
2005 | 28-Nov-10 | |||||||||||||||||||
Series 4 (3, 7) | Floating Rate Non-Cumulative | November | 7,010 | 30,000 | 210 | 3-mo. LIBOR + 75 bps (5) | On or after | |||||||||||||
2005 | 28-Nov-10 | |||||||||||||||||||
Series 5 (3, 7) | Floating Rate Non-Cumulative | March | 14,056 | 30,000 | 422 | 3-mo. LIBOR + 50 bps (5) | On or after | |||||||||||||
2007 | 21-May-12 | |||||||||||||||||||
Total | 3,647,790 | $ | 19,505 | |||||||||||||||||
(1) | Amounts shown are before third-party issuance costs and certain purchase accounting adjustments of $196 million. | |||||||||||||||||||
(2) | Series B Preferred Stock does not have early redemption/call rights. | |||||||||||||||||||
(3) | The Corporation may redeem series of preferred stock on or after the redemption date, in whole or in part, at its option, at the liquidation preference plus declared and unpaid dividends. | |||||||||||||||||||
(4) | Ownership is held in the form of depositary shares, each representing a 1/1,000th interest in a share of preferred stock, paying a quarterly cash dividend, if and when declared. | |||||||||||||||||||
(5) | Subject to 4.00% minimum rate per annum. | |||||||||||||||||||
(6) | Ownership is held in the form of depositary shares, each representing a 1/25th interest in a share of preferred stock, paying a semi-annual cash dividend, if and when declared, until the redemption date at which time, it adjusts to a quarterly cash dividend, if and when declared, thereafter. | |||||||||||||||||||
(7) | Ownership is held in the form of depositary shares, each representing a 1/1,200th interest in a share of preferred stock, paying a quarterly cash dividend, if and when declared. | |||||||||||||||||||
(8) | Subject to 3.00% minimum rate per annum. | |||||||||||||||||||
n/a =160;not applicable |
Accumulated_Other_Comprehensiv1
Accumulated Other Comprehensive Income (Loss) (Tables) | 12 Months Ended | |||||||||||||||||||||||||||||||||||
Dec. 31, 2014 | ||||||||||||||||||||||||||||||||||||
Equity [Abstract] | ||||||||||||||||||||||||||||||||||||
Schedule of Accumulated OCI | The table below presents the changes in accumulated OCI after-tax for 2012, 2013 and 2014. | |||||||||||||||||||||||||||||||||||
(Dollars in millions) | Available-for- | Available-for- | Derivatives | Employee | Foreign | Total | ||||||||||||||||||||||||||||||
Sale Debt | Sale Marketable | Benefit Plans | Currency (1) | |||||||||||||||||||||||||||||||||
Securities | Equity Securities | |||||||||||||||||||||||||||||||||||
Balance, December 31, 2011 | $ | 3,100 | $ | 3 | $ | (3,785 | ) | $ | (4,391 | ) | $ | (364 | ) | $ | (5,437 | ) | ||||||||||||||||||||
Net change | 1,343 | 459 | 916 | (65 | ) | (13 | ) | 2,640 | ||||||||||||||||||||||||||||
Balance, December 31, 2012 | $ | 4,443 | $ | 462 | $ | (2,869 | ) | $ | (4,456 | ) | $ | (377 | ) | $ | (2,797 | ) | ||||||||||||||||||||
Net change | (7,700 | ) | (466 | ) | 592 | 2,049 | (135 | ) | (5,660 | ) | ||||||||||||||||||||||||||
Balance, December 31, 2013 | $ | (3,257 | ) | $ | (4 | ) | $ | (2,277 | ) | $ | (2,407 | ) | $ | (512 | ) | $ | (8,457 | ) | ||||||||||||||||||
Net change | 4,600 | 21 | 616 | (943 | ) | (157 | ) | 4,137 | ||||||||||||||||||||||||||||
Balance, December 31, 2014 | $ | 1,343 | $ | 17 | $ | (1,661 | ) | $ | (3,350 | ) | $ | (669 | ) | $ | (4,320 | ) | ||||||||||||||||||||
(1) | The net change in fair value represents the impact of changes in spot foreign exchange rates on the Corporation’s net investment in non-U.S. operations, and related hedges. | |||||||||||||||||||||||||||||||||||
Schedule of Amounts Recognized in Other Comprehensive Income (Loss) | The table below presents the net change in fair value recorded in accumulated OCI, net realized gains and losses reclassified into earnings and other changes for each component of OCI before- and after-tax for 2014, 2013 and 2012. | |||||||||||||||||||||||||||||||||||
Changes in OCI Components Before- and After-tax | ||||||||||||||||||||||||||||||||||||
2014 | 2013 | 2012 | ||||||||||||||||||||||||||||||||||
(Dollars in millions) | Before-tax | Tax effect | After-tax | Before-tax | Tax effect | After-tax | Before-tax | Tax effect | After-tax | |||||||||||||||||||||||||||
Available-for-sale debt securities: | ||||||||||||||||||||||||||||||||||||
Net increase (decrease) in fair value | $ | 8,698 | $ | (3,268 | ) | $ | 5,430 | $ | (10,989 | ) | $ | 4,077 | $ | (6,912 | ) | $ | 3,676 | $ | (1,319 | ) | $ | 2,357 | ||||||||||||||
Net realized gains reclassified into earnings | (1,338 | ) | 508 | (830 | ) | (1,251 | ) | 463 | (788 | ) | (1,609 | ) | 595 | (1,014 | ) | |||||||||||||||||||||
Net change | 7,360 | (2,760 | ) | 4,600 | (12,240 | ) | 4,540 | (7,700 | ) | 2,067 | (724 | ) | 1,343 | |||||||||||||||||||||||
Available-for-sale marketable equity securities: | ||||||||||||||||||||||||||||||||||||
Net increase in fair value | 34 | (13 | ) | 21 | 32 | (12 | ) | 20 | 748 | (277 | ) | 471 | ||||||||||||||||||||||||
Net realized gains reclassified into earnings | — | — | — | (771 | ) | 285 | (486 | ) | (19 | ) | 7 | (12 | ) | |||||||||||||||||||||||
Net change | 34 | (13 | ) | 21 | (739 | ) | 273 | (466 | ) | 729 | (270 | ) | 459 | |||||||||||||||||||||||
Derivatives: | ||||||||||||||||||||||||||||||||||||
Net increase in fair value | 195 | (54 | ) | 141 | 156 | (51 | ) | 105 | 430 | (166 | ) | 264 | ||||||||||||||||||||||||
Net realized losses reclassified into earnings | 760 | (285 | ) | 475 | 773 | (286 | ) | 487 | 1,035 | (383 | ) | 652 | ||||||||||||||||||||||||
Net change | 955 | (339 | ) | 616 | 929 | (337 | ) | 592 | 1,465 | (549 | ) | 916 | ||||||||||||||||||||||||
Employee benefit plans: | ||||||||||||||||||||||||||||||||||||
Net increase (decrease) in fair value | (1,629 | ) | 614 | (1,015 | ) | 2,985 | (1,128 | ) | 1,857 | (1,891 | ) | 660 | (1,231 | ) | ||||||||||||||||||||||
Net realized losses reclassified into earnings | 55 | (23 | ) | 32 | 237 | (79 | ) | 158 | 490 | (192 | ) | 298 | ||||||||||||||||||||||||
Settlements, curtailments and other | (1 | ) | 41 | 40 | 46 | (12 | ) | 34 | 1,378 | (510 | ) | 868 | ||||||||||||||||||||||||
Net change | (1,575 | ) | 632 | (943 | ) | 3,268 | (1,219 | ) | 2,049 | (23 | ) | (42 | ) | (65 | ) | |||||||||||||||||||||
Foreign currency: | ||||||||||||||||||||||||||||||||||||
Net increase (decrease) in fair value | 714 | (879 | ) | (165 | ) | 244 | (384 | ) | (140 | ) | (226 | ) | 233 | 7 | ||||||||||||||||||||||
Net realized (gains) losses reclassified into earnings | 20 | (12 | ) | 8 | 138 | (133 | ) | 5 | (30 | ) | 10 | (20 | ) | |||||||||||||||||||||||
Net change | 734 | (891 | ) | (157 | ) | 382 | (517 | ) | (135 | ) | (256 | ) | 243 | (13 | ) | |||||||||||||||||||||
Total other comprehensive income (loss) | $ | 7,508 | $ | (3,371 | ) | $ | 4,137 | $ | (8,400 | ) | $ | 2,740 | $ | (5,660 | ) | $ | 3,982 | $ | (1,342 | ) | $ | 2,640 | ||||||||||||||
Reclassification out of Accumulated Other Comprehensive Income | The table below presents impacts on net income of significant amounts reclassified out of each component of accumulated OCI before- and after-tax for 2014, 2013 and 2012. | |||||||||||||||||||||||||||||||||||
Reclassifications Out of Accumulated OCI | ||||||||||||||||||||||||||||||||||||
(Dollars in millions) | ||||||||||||||||||||||||||||||||||||
Accumulated OCI Components | Income Statement Line Item Impacted | 2014 | 2013 | 2012 | ||||||||||||||||||||||||||||||||
Available-for-sale debt securities: | ||||||||||||||||||||||||||||||||||||
Gains on sales of debt securities | $ | 1,354 | $ | 1,271 | $ | 1,662 | ||||||||||||||||||||||||||||||
Other income (loss) | (16 | ) | (20 | ) | (53 | ) | ||||||||||||||||||||||||||||||
Income before income taxes | 1,338 | 1,251 | 1,609 | |||||||||||||||||||||||||||||||||
Income tax expense | 508 | 463 | 595 | |||||||||||||||||||||||||||||||||
Reclassification to net income | 830 | 788 | 1,014 | |||||||||||||||||||||||||||||||||
Available-for-sale marketable equity securities: | ||||||||||||||||||||||||||||||||||||
Equity investment income | — | 771 | 19 | |||||||||||||||||||||||||||||||||
Income before income taxes | — | 771 | 19 | |||||||||||||||||||||||||||||||||
Income tax expense | — | 285 | 7 | |||||||||||||||||||||||||||||||||
Reclassification to net income | — | 486 | 12 | |||||||||||||||||||||||||||||||||
Derivatives: | ||||||||||||||||||||||||||||||||||||
Interest rate contracts | Net interest income | (1,119 | ) | (1,119 | ) | (956 | ) | |||||||||||||||||||||||||||||
Commodity contracts | Trading account profits | — | (1 | ) | (1 | ) | ||||||||||||||||||||||||||||||
Interest rate contracts | Other income | — | 18 | — | ||||||||||||||||||||||||||||||||
Equity compensation contracts | Personnel | 359 | 329 | (78 | ) | |||||||||||||||||||||||||||||||
Loss before income taxes | (760 | ) | (773 | ) | (1,035 | ) | ||||||||||||||||||||||||||||||
Income tax benefit | (285 | ) | (286 | ) | (383 | ) | ||||||||||||||||||||||||||||||
Reclassification to net income | (475 | ) | (487 | ) | (652 | ) | ||||||||||||||||||||||||||||||
Employee benefit plans: | ||||||||||||||||||||||||||||||||||||
Prior service cost | Personnel | (5 | ) | (4 | ) | (6 | ) | |||||||||||||||||||||||||||||
Transition obligation | Personnel | — | — | (32 | ) | |||||||||||||||||||||||||||||||
Net actuarial losses | Personnel | (50 | ) | (225 | ) | (443 | ) | |||||||||||||||||||||||||||||
Settlements and curtailments | Personnel | — | (8 | ) | (58 | ) | ||||||||||||||||||||||||||||||
Loss before income taxes | (55 | ) | (237 | ) | (539 | ) | ||||||||||||||||||||||||||||||
Income tax benefit | (23 | ) | (79 | ) | (212 | ) | ||||||||||||||||||||||||||||||
Reclassification to net income | (32 | ) | (158 | ) | (327 | ) | ||||||||||||||||||||||||||||||
Foreign currency: | ||||||||||||||||||||||||||||||||||||
Insignificant items | Other income (loss) | (20 | ) | (138 | ) | 30 | ||||||||||||||||||||||||||||||
Income (loss) before income taxes | (20 | ) | (138 | ) | 30 | |||||||||||||||||||||||||||||||
Income tax expense (benefit) | (12 | ) | (133 | ) | 10 | |||||||||||||||||||||||||||||||
Reclassification to net income | (8 | ) | (5 | ) | 20 | |||||||||||||||||||||||||||||||
Total reclassification adjustments | $ | 315 | $ | 624 | $ | 67 | ||||||||||||||||||||||||||||||
Earnings_Per_Common_Share_Tabl
Earnings Per Common Share (Tables) | 12 Months Ended | |||||||||||
Dec. 31, 2014 | ||||||||||||
Earnings Per Share [Abstract] | ||||||||||||
Calculation of earnings per common share and diluted earnings per common share | The calculation of earnings per common share (EPS) and diluted EPS for 2014, 2013 and 2012 is presented below. For more information on the calculation of EPS, see Note 1 – Summary of Significant Accounting Principles. | |||||||||||
(Dollars in millions, except per share information; shares in thousands) | 2014 | 2013 | 2012 | |||||||||
Earnings per common share | ||||||||||||
Net income | $ | 4,833 | $ | 11,431 | $ | 4,188 | ||||||
Preferred stock dividends | (1,044 | ) | (1,349 | ) | (1,428 | ) | ||||||
Net income applicable to common shareholders | 3,789 | 10,082 | 2,760 | |||||||||
Dividends and undistributed earnings allocated to participating securities | — | (2 | ) | (2 | ) | |||||||
Net income allocated to common shareholders | $ | 3,789 | $ | 10,080 | $ | 2,758 | ||||||
Average common shares issued and outstanding | 10,527,818 | 10,731,165 | 10,746,028 | |||||||||
Earnings per common share | $ | 0.36 | $ | 0.94 | $ | 0.26 | ||||||
Diluted earnings per common share | ||||||||||||
Net income applicable to common shareholders | $ | 3,789 | $ | 10,082 | $ | 2,760 | ||||||
Add preferred stock dividends due to assumed conversions | — | 300 | — | |||||||||
Dividends and undistributed earnings allocated to participating securities | — | (2 | ) | (2 | ) | |||||||
Net income allocated to common shareholders | $ | 3,789 | $ | 10,380 | $ | 2,758 | ||||||
Average common shares issued and outstanding | 10,527,818 | 10,731,165 | 10,746,028 | |||||||||
Dilutive potential common shares (1) | 56,717 | 760,253 | 94,826 | |||||||||
Total diluted average common shares issued and outstanding | 10,584,535 | 11,491,418 | 10,840,854 | |||||||||
Diluted earnings per common share | $ | 0.36 | $ | 0.9 | $ | 0.25 | ||||||
(1) | Includes incremental dilutive shares from restricted stock units, restricted stock, stock options and warrants. |
Regulatory_Requirements_and_Re1
Regulatory Requirements and Restrictions (Tables) | 12 Months Ended | |||||||||||||||||||
Dec. 31, 2014 | ||||||||||||||||||||
Banking and Thrift [Abstract] | ||||||||||||||||||||
Schedule of Compliance with Regulatory Capital Requirements under Banking Regulations | The table below presents capital ratios and related information in accordance with Basel 3 – Standardized Transition as measured at December 31, 2014 and the Basel 1 – 2013 Rules at December 31, 2013. Prior to October 1, 2014, the Corporation operated its banking activities primarily under two charters: BANA and, to a lesser extent, FIA. On October 1, 2014, FIA was merged into BANA. | |||||||||||||||||||
Regulatory Capital | ||||||||||||||||||||
December 31 | ||||||||||||||||||||
2014 | 2013 | |||||||||||||||||||
Basel 3 Transition | Basel 1 | |||||||||||||||||||
(Dollars in millions) | Ratio | Amount | Minimum | Ratio | Amount | Minimum | ||||||||||||||
Required (1) | Required (1) | |||||||||||||||||||
Common equity tier 1 capital | ||||||||||||||||||||
Bank of America Corporation | 12.3 | % | $ | 155,361 | 4 | % | n/a | n/a | n/a | |||||||||||
Bank of America, N.A. | 13.1 | 145,150 | 4 | n/a | n/a | n/a | ||||||||||||||
Tier 1 common capital | ||||||||||||||||||||
Bank of America Corporation | n/a | n/a | n/a | 10.9 | % | $ | 141,522 | n/a | ||||||||||||
Tier 1 capital | ||||||||||||||||||||
Bank of America Corporation | 13.4 | 168,973 | 6 | 12.2 | 157,742 | 6 | % | |||||||||||||
Bank of America, N.A. | 13.1 | 145,150 | 6 | 12.3 | 125,886 | 6 | ||||||||||||||
Total capital | ||||||||||||||||||||
Bank of America Corporation | 16.5 | 208,670 | 10 | 15.1 | 196,567 | 10 | ||||||||||||||
Bank of America, N.A. | 14.6 | 161,623 | 10 | 13.8 | 141,232 | 10 | ||||||||||||||
Tier 1 leverage | ||||||||||||||||||||
Bank of America Corporation | 8.2 | 168,973 | 5 | 7.7 | 157,742 | 5 | ||||||||||||||
Bank of America, N.A. | 9.6 | 145,150 | 5 | 9.2 | 125,886 | 5 | ||||||||||||||
Risk-weighted assets (in billions) | ||||||||||||||||||||
Bank of America Corporation | n/a | 1,262 | n/a | n/a | 1,298 | n/a | ||||||||||||||
Bank of America, N.A. | n/a | 1,105 | n/a | n/a | 1,020 | n/a | ||||||||||||||
Adjusted quarterly average total assets (in billions) (2) | ||||||||||||||||||||
Bank of America Corporation | n/a | 2,060 | n/a | n/a | 2,052 | n/a | ||||||||||||||
Bank of America, N.A. | n/a | 1,509 | n/a | n/a | 1,368 | n/a | ||||||||||||||
(1) | Percent required to meet guidelines to be considered "well capitalized" under the Prompt Corrective Action framework, except for Common equity tier 1 capital which reflects capital adequacy minimum requirements as an advanced approaches bank under Basel 3 during a transition period in 2014. | |||||||||||||||||||
(2) | Reflects adjusted average total assets for the three months ended December 31, 2014 and 2013. | |||||||||||||||||||
n/a =ot applicable |
Employee_Benefit_Plans_Tables
Employee Benefit Plans (Tables) | 12 Months Ended | |||||||||||||||||||||||||||||||||||||||
Dec. 31, 2014 | ||||||||||||||||||||||||||||||||||||||||
Compensation and Retirement Disclosure [Abstract] | ||||||||||||||||||||||||||||||||||||||||
Schedule of Defined Benefit Plans Disclosures | ||||||||||||||||||||||||||||||||||||||||
Pension and Postretirement Plans | ||||||||||||||||||||||||||||||||||||||||
Qualified | Non-U.S. | Nonqualified | Postretirement | |||||||||||||||||||||||||||||||||||||
Pension Plan (1) | Pension Plans (1) | and Other | Health and Life | |||||||||||||||||||||||||||||||||||||
Pension Plans (1) | Plans (1) | |||||||||||||||||||||||||||||||||||||||
(Dollars in millions) | 2014 | 2013 | 2014 | 2013 | 2014 | 2013 | 2014 | 2013 | ||||||||||||||||||||||||||||||||
Change in fair value of plan assets | ||||||||||||||||||||||||||||||||||||||||
Fair value, January 1 | $ | 18,276 | $ | 16,274 | $ | 2,457 | $ | 2,306 | $ | 2,720 | $ | 3,063 | $ | 72 | $ | 86 | ||||||||||||||||||||||||
Actual return on plan assets | 1,261 | 2,873 | 256 | 146 | 336 | (217 | ) | 6 | 9 | |||||||||||||||||||||||||||||||
Company contributions | — | — | 84 | 131 | 97 | 98 | 53 | 61 | ||||||||||||||||||||||||||||||||
Plan participant contributions | — | — | 1 | 1 | — | — | 129 | 138 | ||||||||||||||||||||||||||||||||
Settlements and curtailments | — | — | (5 | ) | (80 | ) | — | (7 | ) | — | — | |||||||||||||||||||||||||||||
Benefits paid | (923 | ) | (871 | ) | (68 | ) | (80 | ) | (226 | ) | (217 | ) | (248 | ) | (237 | ) | ||||||||||||||||||||||||
Federal subsidy on benefits paid | n/a | n/a | n/a | n/a | n/a | n/a | 16 | 15 | ||||||||||||||||||||||||||||||||
Foreign currency exchange rate changes | n/a | n/a | (161 | ) | 33 | n/a | n/a | n/a | n/a | |||||||||||||||||||||||||||||||
Fair value, December 31 | $ | 18,614 | $ | 18,276 | $ | 2,564 | $ | 2,457 | $ | 2,927 | $ | 2,720 | $ | 28 | $ | 72 | ||||||||||||||||||||||||
Change in projected benefit obligation | ||||||||||||||||||||||||||||||||||||||||
Projected benefit obligation, January 1 | $ | 14,145 | $ | 15,655 | $ | 2,580 | $ | 2,460 | $ | 3,070 | $ | 3,334 | $ | 1,356 | $ | 1,574 | ||||||||||||||||||||||||
Service cost | — | — | 29 | 32 | 1 | 1 | 8 | 9 | ||||||||||||||||||||||||||||||||
Interest cost | 665 | 623 | 109 | 98 | 133 | 120 | 58 | 54 | ||||||||||||||||||||||||||||||||
Plan participant contributions | — | — | 1 | 1 | — | — | 129 | 138 | ||||||||||||||||||||||||||||||||
Plan amendments | — | — | 1 | 2 | — | — | — | — | ||||||||||||||||||||||||||||||||
Settlements and curtailments | — | 17 | (6 | ) | (116 | ) | — | (7 | ) | — | — | |||||||||||||||||||||||||||||
Actuarial loss (gain) | 1,621 | (1,279 | ) | 208 | 156 | 351 | (161 | ) | 29 | (197 | ) | |||||||||||||||||||||||||||||
Benefits paid | (923 | ) | (871 | ) | (68 | ) | (80 | ) | (226 | ) | (217 | ) | (248 | ) | (237 | ) | ||||||||||||||||||||||||
Federal subsidy on benefits paid | n/a | n/a | n/a | n/a | n/a | n/a | 16 | 15 | ||||||||||||||||||||||||||||||||
Foreign currency exchange rate changes | n/a | n/a | (166 | ) | 27 | n/a | n/a | (2 | ) | — | ||||||||||||||||||||||||||||||
Projected benefit obligation, December 31 | $ | 15,508 | $ | 14,145 | $ | 2,688 | $ | 2,580 | $ | 3,329 | $ | 3,070 | $ | 1,346 | $ | 1,356 | ||||||||||||||||||||||||
Amount recognized, December 31 | $ | 3,106 | $ | 4,131 | $ | (124 | ) | $ | (123 | ) | $ | (402 | ) | $ | (350 | ) | $ | (1,318 | ) | $ | (1,284 | ) | ||||||||||||||||||
Funded status, December 31 | ||||||||||||||||||||||||||||||||||||||||
Accumulated benefit obligation | $ | 15,508 | $ | 14,145 | $ | 2,582 | $ | 2,463 | $ | 3,329 | $ | 3,067 | n/a | n/a | ||||||||||||||||||||||||||
Overfunded (unfunded) status of ABO | 3,106 | 4,131 | (18 | ) | (6 | ) | (402 | ) | (347 | ) | n/a | n/a | ||||||||||||||||||||||||||||
Provision for future salaries | — | — | 106 | 117 | — | 3 | n/a | n/a | ||||||||||||||||||||||||||||||||
Projected benefit obligation | 15,508 | 14,145 | 2,688 | 2,580 | 3,329 | 3,070 | $ | 1,346 | $ | 1,356 | ||||||||||||||||||||||||||||||
Weighted-average assumptions, December 31 | ||||||||||||||||||||||||||||||||||||||||
Discount rate | 4.12 | % | 4.85 | % | 3.56 | % | 4.3 | % | 3.8 | % | 4.55 | % | 3.75 | % | 4.5 | % | ||||||||||||||||||||||||
Rate of compensation increase | n/a | n/a | 4.7 | 4.91 | 4 | 4 | n/a | n/a | ||||||||||||||||||||||||||||||||
(1) | The measurement date for the Qualified Pension Plan, Non-U.S. Pension Plans, Nonqualified and Other Pension Plans, and Postretirement Health and Life Plans was December 31 of each year reported. | |||||||||||||||||||||||||||||||||||||||
n/a =ot applicable | ||||||||||||||||||||||||||||||||||||||||
Schedule of Amounts Recognized in Balance Sheet | Amounts recognized on the Consolidated Balance Sheet at December 31, 2014 and 2013 are presented in the table below. | |||||||||||||||||||||||||||||||||||||||
Amounts Recognized on Consolidated Balance Sheet | ||||||||||||||||||||||||||||||||||||||||
Qualified | Non-U.S. | Nonqualified | Postretirement | |||||||||||||||||||||||||||||||||||||
Pension Plan | Pension Plans | and Other | Health and Life | |||||||||||||||||||||||||||||||||||||
Pension Plans | Plans | |||||||||||||||||||||||||||||||||||||||
(Dollars in millions) | 2014 | 2013 | 2014 | 2013 | 2014 | 2013 | 2014 | 2013 | ||||||||||||||||||||||||||||||||
Other assets | $ | 3,106 | $ | 4,131 | $ | 252 | $ | 205 | $ | 786 | $ | 777 | $ | — | $ | — | ||||||||||||||||||||||||
Accrued expenses and other liabilities | — | — | (376 | ) | (328 | ) | (1,188 | ) | (1,127 | ) | (1,318 | ) | (1,284 | ) | ||||||||||||||||||||||||||
Net amount recognized at December 31 | $ | 3,106 | $ | 4,131 | $ | (124 | ) | $ | (123 | ) | $ | (402 | ) | $ | (350 | ) | $ | (1,318 | ) | $ | (1,284 | ) | ||||||||||||||||||
Schedule of Accumulated Benefit Obligations in Excess of Fair Value of Plan Assets | Pension Plans with ABO and PBO in excess of plan assets as of December 31, 2014 and 2013 are presented in the table below. For the non-qualified plans not subject to ERISA or non-U.S. pension plans, funding strategies vary due to legal requirements and local practices. | |||||||||||||||||||||||||||||||||||||||
Plans with ABO and PBO in Excess of Plan Assets | ||||||||||||||||||||||||||||||||||||||||
Non-U.S. | Nonqualified | |||||||||||||||||||||||||||||||||||||||
Pension Plans | and Other | |||||||||||||||||||||||||||||||||||||||
Pension Plans | ||||||||||||||||||||||||||||||||||||||||
(Dollars in millions) | 2014 | 2013 | 2014 | 2013 | ||||||||||||||||||||||||||||||||||||
Plans with ABO in excess of plan assets | ||||||||||||||||||||||||||||||||||||||||
PBO | $ | 583 | $ | 617 | $ | 1,190 | $ | 1,129 | ||||||||||||||||||||||||||||||||
ABO | 563 | 606 | 1,190 | 1,126 | ||||||||||||||||||||||||||||||||||||
Fair value of plan assets | 206 | 290 | 2 | 2 | ||||||||||||||||||||||||||||||||||||
Plans with PBO in excess of plan assets | ||||||||||||||||||||||||||||||||||||||||
PBO | $ | 583 | $ | 720 | $ | 1,190 | $ | 1,129 | ||||||||||||||||||||||||||||||||
Fair value of plan assets | 206 | 392 | 2 | 2 | ||||||||||||||||||||||||||||||||||||
Schedule of Benefit Obligations in Excess of Fair Value of Plan Assets | Pension Plans with ABO and PBO in excess of plan assets as of December 31, 2014 and 2013 are presented in the table below. For the non-qualified plans not subject to ERISA or non-U.S. pension plans, funding strategies vary due to legal requirements and local practices. | |||||||||||||||||||||||||||||||||||||||
Plans with ABO and PBO in Excess of Plan Assets | ||||||||||||||||||||||||||||||||||||||||
Non-U.S. | Nonqualified | |||||||||||||||||||||||||||||||||||||||
Pension Plans | and Other | |||||||||||||||||||||||||||||||||||||||
Pension Plans | ||||||||||||||||||||||||||||||||||||||||
(Dollars in millions) | 2014 | 2013 | 2014 | 2013 | ||||||||||||||||||||||||||||||||||||
Plans with ABO in excess of plan assets | ||||||||||||||||||||||||||||||||||||||||
PBO | $ | 583 | $ | 617 | $ | 1,190 | $ | 1,129 | ||||||||||||||||||||||||||||||||
ABO | 563 | 606 | 1,190 | 1,126 | ||||||||||||||||||||||||||||||||||||
Fair value of plan assets | 206 | 290 | 2 | 2 | ||||||||||||||||||||||||||||||||||||
Plans with PBO in excess of plan assets | ||||||||||||||||||||||||||||||||||||||||
PBO | $ | 583 | $ | 720 | $ | 1,190 | $ | 1,129 | ||||||||||||||||||||||||||||||||
Fair value of plan assets | 206 | 392 | 2 | 2 | ||||||||||||||||||||||||||||||||||||
Schedule of Net Benefit Costs | Net periodic benefit cost of the Corporation’s plans for 2014, 2013 and 2012 included the following components. | |||||||||||||||||||||||||||||||||||||||
Components of Net Periodic Benefit Cost | ||||||||||||||||||||||||||||||||||||||||
Qualified Pension Plan | Non-U.S. Pension Plans | |||||||||||||||||||||||||||||||||||||||
(Dollars in millions) | 2014 | 2013 | 2012 | 2014 | 2013 | 2012 | ||||||||||||||||||||||||||||||||||
Components of net periodic benefit cost | ||||||||||||||||||||||||||||||||||||||||
Service cost | $ | — | $ | — | $ | 236 | $ | 29 | $ | 32 | $ | 40 | ||||||||||||||||||||||||||||
Interest cost | 665 | 623 | 681 | 109 | 98 | 97 | ||||||||||||||||||||||||||||||||||
Expected return on plan assets | (1,018 | ) | (1,024 | ) | (1,246 | ) | (137 | ) | (121 | ) | (137 | ) | ||||||||||||||||||||||||||||
Amortization of prior service cost | — | — | 9 | 1 | — | — | ||||||||||||||||||||||||||||||||||
Amortization of net actuarial loss (gain) | 111 | 242 | 469 | 3 | 2 | (9 | ) | |||||||||||||||||||||||||||||||||
Recognized loss (gain) due to settlements and curtailments | — | 17 | 58 | 2 | (7 | ) | — | |||||||||||||||||||||||||||||||||
Net periodic benefit cost (income) | $ | (242 | ) | $ | (142 | ) | $ | 207 | $ | 7 | $ | 4 | $ | (9 | ) | |||||||||||||||||||||||||
Weighted-average assumptions used to determine net cost for years ended December 31 | ||||||||||||||||||||||||||||||||||||||||
Discount rate | 4.85 | % | 4 | % | 4.95 | % | 4.3 | % | 4.23 | % | 4.87 | % | ||||||||||||||||||||||||||||
Expected return on plan assets | 6 | 6.5 | 8 | 5.52 | 5.5 | 6.65 | ||||||||||||||||||||||||||||||||||
Rate of compensation increase | n/a | n/a | 4 | 4.91 | 4.37 | 4.42 | ||||||||||||||||||||||||||||||||||
Nonqualified and | Postretirement Health | |||||||||||||||||||||||||||||||||||||||
Other Pension Plans | and Life Plans | |||||||||||||||||||||||||||||||||||||||
(Dollars in millions) | 2014 | 2013 | 2012 | 2014 | 2013 | 2012 | ||||||||||||||||||||||||||||||||||
Components of net periodic benefit cost | ||||||||||||||||||||||||||||||||||||||||
Service cost | $ | 1 | $ | 1 | $ | 1 | $ | 8 | $ | 9 | $ | 13 | ||||||||||||||||||||||||||||
Interest cost | 133 | 120 | 138 | 58 | 54 | 71 | ||||||||||||||||||||||||||||||||||
Expected return on plan assets | (124 | ) | (109 | ) | (152 | ) | (4 | ) | (5 | ) | (8 | ) | ||||||||||||||||||||||||||||
Amortization of transition obligation | — | — | — | — | — | 32 | ||||||||||||||||||||||||||||||||||
Amortization of prior service cost (credits) | — | — | (3 | ) | 4 | 4 | 4 | |||||||||||||||||||||||||||||||||
Amortization of net actuarial loss (gain) | 25 | 25 | 8 | (89 | ) | (42 | ) | (38 | ) | |||||||||||||||||||||||||||||||
Recognized loss due to settlements and curtailments | — | 2 | — | — | 6 | — | ||||||||||||||||||||||||||||||||||
Net periodic benefit cost (income) | $ | 35 | $ | 39 | $ | (8 | ) | $ | (23 | ) | $ | 26 | $ | 74 | ||||||||||||||||||||||||||
Weighted-average assumptions used to determine net cost for years ended December 31 | ||||||||||||||||||||||||||||||||||||||||
Discount rate | 4.55 | % | 3.65 | % | 4.65 | % | 4.5 | % | 3.65 | % | 4.65 | % | ||||||||||||||||||||||||||||
Expected return on plan assets | 4.6 | 3.75 | 5.25 | 6 | 6.5 | 8 | ||||||||||||||||||||||||||||||||||
Rate of compensation increase | 4 | 4 | 4 | n/a | n/a | n/a | ||||||||||||||||||||||||||||||||||
n/a =ot applicable | ||||||||||||||||||||||||||||||||||||||||
Schedule of Pretax Amounts Included in Accumulated OCI | Pretax amounts included in accumulated OCI for employee benefit plans at December 31, 2014 and 2013 are presented in the table below. | |||||||||||||||||||||||||||||||||||||||
Pretax Amounts included in Accumulated OCI | ||||||||||||||||||||||||||||||||||||||||
Qualified | Non-U.S. | Nonqualified | Postretirement | Total | ||||||||||||||||||||||||||||||||||||
Pension Plan | Pension Plans | and Other | Health and | |||||||||||||||||||||||||||||||||||||
Pension Plans | Life Plans | |||||||||||||||||||||||||||||||||||||||
(Dollars in millions) | 2014 | 2013 | 2014 | 2013 | 2014 | 2013 | 2014 | 2013 | 2014 | 2013 | ||||||||||||||||||||||||||||||
Net actuarial loss (gain) | $ | 4,061 | $ | 2,794 | $ | 355 | $ | 271 | $ | 968 | $ | 855 | $ | (56 | ) | $ | (171 | ) | $ | 5,328 | $ | 3,749 | ||||||||||||||||||
Prior service cost (credits) | — | — | (9 | ) | (9 | ) | — | — | 20 | 24 | 11 | 15 | ||||||||||||||||||||||||||||
Amounts recognized in accumulated OCI | $ | 4,061 | $ | 2,794 | $ | 346 | $ | 262 | $ | 968 | $ | 855 | $ | (36 | ) | $ | (147 | ) | $ | 5,339 | $ | 3,764 | ||||||||||||||||||
Schedule of Pretax Amounts Recognized in OCI | Pretax amounts recognized in OCI for employee benefit plans in 2014 included the following components. | |||||||||||||||||||||||||||||||||||||||
Pretax Amounts Recognized in OCI in 2014 | ||||||||||||||||||||||||||||||||||||||||
(Dollars in millions) | Qualified | Non-U.S. | Nonqualified | Postretirement | Total | |||||||||||||||||||||||||||||||||||
Pension Plan | Pension Plans | and Other | Health and | |||||||||||||||||||||||||||||||||||||
Pension Plans | Life Plans | |||||||||||||||||||||||||||||||||||||||
Current year actuarial loss | $ | 1,378 | $ | 87 | $ | 138 | $ | 26 | $ | 1,629 | ||||||||||||||||||||||||||||||
Amortization of actuarial gain (loss) | (111 | ) | (3 | ) | (25 | ) | 89 | (50 | ) | |||||||||||||||||||||||||||||||
Current year prior service cost | — | 1 | — | — | 1 | |||||||||||||||||||||||||||||||||||
Amortization of prior service cost | — | (1 | ) | — | (4 | ) | (5 | ) | ||||||||||||||||||||||||||||||||
Amounts recognized in OCI | $ | 1,267 | $ | 84 | $ | 113 | $ | 111 | $ | 1,575 | ||||||||||||||||||||||||||||||
Schedule of Estimated Pretax Amounts Amortized from Accumulated OCI into Period Cost | The estimated pretax amounts that will be amortized from accumulated OCI into expense in 2015 are presented in the table below. | |||||||||||||||||||||||||||||||||||||||
Estimated Pretax Amounts Amortized from Accumulated OCI into Period Cost in 2015 | ||||||||||||||||||||||||||||||||||||||||
(Dollars in millions) | Qualified | Non-U.S. | Nonqualified | Postretirement | Total | |||||||||||||||||||||||||||||||||||
Pension Plan | Pension Plans | and Other | Health and | |||||||||||||||||||||||||||||||||||||
Pension Plans | Life Plans | |||||||||||||||||||||||||||||||||||||||
Net actuarial loss (gain) | $ | 166 | $ | 6 | $ | 34 | $ | (34 | ) | $ | 172 | |||||||||||||||||||||||||||||
Prior service cost | — | 1 | — | 4 | 5 | |||||||||||||||||||||||||||||||||||
Total amounts amortized from accumulated OCI | $ | 166 | $ | 7 | $ | 34 | $ | (30 | ) | $ | 177 | |||||||||||||||||||||||||||||
Schedule of Allocation of Plan Assets | Combined plan investment assets measured at fair value by level and in total at December 31, 2014 and 2013 are summarized in the Fair Value Measurements table. | |||||||||||||||||||||||||||||||||||||||
Fair Value Measurements | ||||||||||||||||||||||||||||||||||||||||
December 31, 2014 | ||||||||||||||||||||||||||||||||||||||||
(Dollars in millions) | Level 1 | Level 2 | Level 3 | Total | ||||||||||||||||||||||||||||||||||||
Cash and short-term investments | ||||||||||||||||||||||||||||||||||||||||
Money market and interest-bearing cash | $ | 3,814 | $ | — | $ | — | $ | 3,814 | ||||||||||||||||||||||||||||||||
Cash and cash equivalent commingled/mutual funds | — | 4 | — | 4 | ||||||||||||||||||||||||||||||||||||
Fixed income | ||||||||||||||||||||||||||||||||||||||||
U.S. government and government agency securities | 2,004 | 2,151 | 11 | 4,166 | ||||||||||||||||||||||||||||||||||||
Corporate debt securities | — | 1,454 | — | 1,454 | ||||||||||||||||||||||||||||||||||||
Asset-backed securities | — | 1,930 | — | 1,930 | ||||||||||||||||||||||||||||||||||||
Non-U.S. debt securities | 627 | 487 | — | 1,114 | ||||||||||||||||||||||||||||||||||||
Fixed income commingled/mutual funds | 101 | 1,397 | — | 1,498 | ||||||||||||||||||||||||||||||||||||
Equity | ||||||||||||||||||||||||||||||||||||||||
Common and preferred equity securities | 6,628 | — | — | 6,628 | ||||||||||||||||||||||||||||||||||||
Equity commingled/mutual funds | 16 | 1,817 | — | 1,833 | ||||||||||||||||||||||||||||||||||||
Public real estate investment trusts | 124 | — | — | 124 | ||||||||||||||||||||||||||||||||||||
Real estate | ||||||||||||||||||||||||||||||||||||||||
Private real estate | — | — | 127 | 127 | ||||||||||||||||||||||||||||||||||||
Real estate commingled/mutual funds | — | 4 | 632 | 636 | ||||||||||||||||||||||||||||||||||||
Limited partnerships | — | 122 | 65 | 187 | ||||||||||||||||||||||||||||||||||||
Other investments (1) | 1 | 490 | 127 | 618 | ||||||||||||||||||||||||||||||||||||
Total plan investment assets, at fair value | $ | 13,315 | $ | 9,856 | $ | 962 | $ | 24,133 | ||||||||||||||||||||||||||||||||
December 31, 2013 | ||||||||||||||||||||||||||||||||||||||||
Cash and short-term investments | ||||||||||||||||||||||||||||||||||||||||
Money market and interest-bearing cash | $ | 2,586 | $ | — | $ | — | $ | 2,586 | ||||||||||||||||||||||||||||||||
Cash and cash equivalent commingled/mutual funds | — | 223 | — | 223 | ||||||||||||||||||||||||||||||||||||
Fixed income | ||||||||||||||||||||||||||||||||||||||||
U.S. government and government agency securities | 1,590 | 2,245 | 12 | 3,847 | ||||||||||||||||||||||||||||||||||||
Corporate debt securities | — | 1,233 | — | 1,233 | ||||||||||||||||||||||||||||||||||||
Asset-backed securities | — | 1,455 | — | 1,455 | ||||||||||||||||||||||||||||||||||||
Non-U.S. debt securities | 547 | 502 | 6 | 1,055 | ||||||||||||||||||||||||||||||||||||
Fixed income commingled/mutual funds | 89 | 1,279 | — | 1,368 | ||||||||||||||||||||||||||||||||||||
Equity | ||||||||||||||||||||||||||||||||||||||||
Common and preferred equity securities | 7,463 | — | — | 7,463 | ||||||||||||||||||||||||||||||||||||
Equity commingled/mutual funds | 213 | 2,308 | — | 2,521 | ||||||||||||||||||||||||||||||||||||
Public real estate investment trusts | 127 | — | — | 127 | ||||||||||||||||||||||||||||||||||||
Real estate | ||||||||||||||||||||||||||||||||||||||||
Private real estate | — | — | 119 | 119 | ||||||||||||||||||||||||||||||||||||
Real estate commingled/mutual funds | — | 7 | 462 | 469 | ||||||||||||||||||||||||||||||||||||
Limited partnerships | — | 117 | 145 | 262 | ||||||||||||||||||||||||||||||||||||
Other investments (1) | — | 662 | 135 | 797 | ||||||||||||||||||||||||||||||||||||
Total plan investment assets, at fair value | $ | 12,615 | $ | 10,031 | $ | 879 | $ | 23,525 | ||||||||||||||||||||||||||||||||
(1) | Other investments include interest rate swaps of $297 million and $435 million, participant loans of $78 million and $87 million, commodity and balanced funds of $178 million and $229 million and other various investments of $65 million and $46 million at December 31, 2014 and 2013. | |||||||||||||||||||||||||||||||||||||||
The target allocations for 2015 by asset category for the Qualified Pension Plan, Non-U.S. Pension Plans, Nonqualified and Other Pension Plans, and Postretirement Health and Life Plans are presented in the table below. | ||||||||||||||||||||||||||||||||||||||||
2015 Target Allocation | ||||||||||||||||||||||||||||||||||||||||
Percentage | ||||||||||||||||||||||||||||||||||||||||
Asset Category | Qualified | Non-U.S. | Nonqualified | Postretirement | ||||||||||||||||||||||||||||||||||||
Pension Plan | Pension Plans | and Other | Health and Life | |||||||||||||||||||||||||||||||||||||
Pension Plans | Plans | |||||||||||||||||||||||||||||||||||||||
Equity securities | 30 - 60 | Oct-35 | 0 - 5 | 0 - 20 | ||||||||||||||||||||||||||||||||||||
Debt securities | 40 - 70 | 40 - 80 | 95 - 100 | 70 - 100 | ||||||||||||||||||||||||||||||||||||
Real estate | 0 - 10 | 0 - 15 | 0 - 5 | 0 - 5 | ||||||||||||||||||||||||||||||||||||
Other | 0 - 5 | 0 - 15 | 0 - 5 | 0 - 5 | ||||||||||||||||||||||||||||||||||||
Schedule of Changes in Fair Value of Plan Assets | The Level 3 Fair Value Measurements table presents a reconciliation of all plan investment assets measured at fair value using significant unobservable inputs (Level 3) during 2014, 2013 and 2012. | |||||||||||||||||||||||||||||||||||||||
Level 3 Fair Value Measurements | ||||||||||||||||||||||||||||||||||||||||
2014 | ||||||||||||||||||||||||||||||||||||||||
(Dollars in millions) | Balance | Actual Return on | Purchases | Sales and Settlements | Transfers into/ | Balance | ||||||||||||||||||||||||||||||||||
January 1 | Plan Assets Still | (out of) Level 3 | December 31 | |||||||||||||||||||||||||||||||||||||
Held at the | ||||||||||||||||||||||||||||||||||||||||
Reporting Date | ||||||||||||||||||||||||||||||||||||||||
Fixed income | ||||||||||||||||||||||||||||||||||||||||
U.S. government and government agency securities | $ | 12 | $ | — | $ | — | $ | (1 | ) | $ | — | $ | 11 | |||||||||||||||||||||||||||
Non-U.S. debt securities | 6 | — | — | (2 | ) | (4 | ) | — | ||||||||||||||||||||||||||||||||
Real estate | ||||||||||||||||||||||||||||||||||||||||
Private real estate | 119 | 5 | 5 | (2 | ) | — | 127 | |||||||||||||||||||||||||||||||||
Real estate commingled/mutual funds | 462 | 20 | 150 | — | — | 632 | ||||||||||||||||||||||||||||||||||
Limited partnerships | 145 | 5 | 3 | (88 | ) | — | 65 | |||||||||||||||||||||||||||||||||
Other investments | 135 | 1 | 1 | (10 | ) | — | 127 | |||||||||||||||||||||||||||||||||
Total | $ | 879 | $ | 31 | $ | 159 | $ | (103 | ) | $ | (4 | ) | $ | 962 | ||||||||||||||||||||||||||
2013 | ||||||||||||||||||||||||||||||||||||||||
Fixed income | ||||||||||||||||||||||||||||||||||||||||
U.S. government and government agency securities | $ | 13 | $ | — | $ | — | $ | (1 | ) | $ | — | $ | 12 | |||||||||||||||||||||||||||
Non-U.S. debt securities | 10 | (2 | ) | — | (2 | ) | — | 6 | ||||||||||||||||||||||||||||||||
Real estate | ||||||||||||||||||||||||||||||||||||||||
Private real estate | 110 | 4 | 7 | (2 | ) | — | 119 | |||||||||||||||||||||||||||||||||
Real estate commingled/mutual funds | 324 | 15 | 123 | — | — | 462 | ||||||||||||||||||||||||||||||||||
Limited partnerships | 231 | 8 | 23 | (89 | ) | (28 | ) | 145 | ||||||||||||||||||||||||||||||||
Other investments | 129 | (6 | ) | 13 | (1 | ) | — | 135 | ||||||||||||||||||||||||||||||||
Total | $ | 817 | $ | 19 | $ | 166 | $ | (95 | ) | $ | (28 | ) | $ | 879 | ||||||||||||||||||||||||||
2012 | ||||||||||||||||||||||||||||||||||||||||
Fixed income | ||||||||||||||||||||||||||||||||||||||||
U.S. government and government agency securities | $ | 13 | $ | — | $ | — | $ | — | $ | — | $ | 13 | ||||||||||||||||||||||||||||
Non-U.S. debt securities | 10 | (1 | ) | 1 | (1 | ) | 1 | 10 | ||||||||||||||||||||||||||||||||
Real estate | ||||||||||||||||||||||||||||||||||||||||
Private real estate | 113 | (2 | ) | 2 | (3 | ) | — | 110 | ||||||||||||||||||||||||||||||||
Real estate commingled/mutual funds | 249 | 13 | 62 | — | — | 324 | ||||||||||||||||||||||||||||||||||
Limited partnerships | 232 | 8 | 11 | (20 | ) | — | 231 | |||||||||||||||||||||||||||||||||
Other investments | 122 | 7 | 4 | (4 | ) | — | 129 | |||||||||||||||||||||||||||||||||
Total | $ | 739 | $ | 25 | $ | 80 | $ | (28 | ) | $ | 1 | $ | 817 | |||||||||||||||||||||||||||
Schedule of Expected Benefit Payments | Benefit payments projected to be made from the Qualified Pension Plan, Non-U.S. Pension Plans, Nonqualified and Other Pension Plans, and Postretirement Health and Life Plans are presented in the table below. | |||||||||||||||||||||||||||||||||||||||
Projected Benefit Payments | ||||||||||||||||||||||||||||||||||||||||
Postretirement Health and Life Plans | ||||||||||||||||||||||||||||||||||||||||
(Dollars in millions) | Qualified | Non-U.S. | Nonqualified | Net Payments (3) | Medicare | |||||||||||||||||||||||||||||||||||
Pension Plan (1) | Pension Plans (2) | and Other | Subsidy | |||||||||||||||||||||||||||||||||||||
Pension Plans (2) | ||||||||||||||||||||||||||||||||||||||||
2015 | $ | 921 | $ | 55 | $ | 244 | $ | 130 | $ | 14 | ||||||||||||||||||||||||||||||
2016 | 908 | 58 | 241 | 126 | 14 | |||||||||||||||||||||||||||||||||||
2017 | 900 | 62 | 242 | 122 | 14 | |||||||||||||||||||||||||||||||||||
2018 | 899 | 65 | 239 | 117 | 13 | |||||||||||||||||||||||||||||||||||
2019 | 895 | 72 | 236 | 111 | 13 | |||||||||||||||||||||||||||||||||||
2020 – 2024 | 4,407 | 449 | 1,136 | 495 | 58 | |||||||||||||||||||||||||||||||||||
(1) | Benefit payments expected to be made from the plan’s assets. | |||||||||||||||||||||||||||||||||||||||
(2) | Benefit payments expected to be made from a combination of the plans’ and the Corporation’s assets. | |||||||||||||||||||||||||||||||||||||||
(3) | Benefit payments (net of retiree contributions) expected to be made from a combination of the plans’ and the Corporation’s assets. |
Stockbased_Compensation_Plans_
Stock-based Compensation Plans (Tables) | 12 Months Ended | ||||||
Dec. 31, 2014 | |||||||
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | |||||||
Schedule of Share-based Compensation, Restricted Stock and Restricted Stock Units Activity | The table below presents the status at December 31, 2014 of the cash-settled RSUs granted under the Key Associate Stock Plan and changes during 2014. | ||||||
Cash-settled Restricted Units | |||||||
Units | |||||||
Outstanding at January 1, 2014 | 359,928,869 | ||||||
Granted | 130,956,173 | ||||||
Vested | (162,061,256 | ) | |||||
Canceled | (11,867,351 | ) | |||||
Outstanding at December 31, 2014 | 316,956,435 | ||||||
The table below presents the status at December 31, 2014 of the share-settled restricted stock/units and changes during 2014. | |||||||
Stock-settled Restricted Stock/Units | |||||||
Shares/Units | Weighted- | ||||||
average Grant Date Fair Value | |||||||
Outstanding at January 1, 2014 | 71,202,751 | $ | 12.05 | ||||
Granted | 2,064,195 | 16.63 | |||||
Vested | (42,209,408 | ) | 14.27 | ||||
Canceled | (1,174,769 | ) | 10.45 | ||||
Outstanding at December 31, 2014 | 29,882,769 | $ | 9.3 | ||||
Schedule of Share-based Compensation, Stock Options, Activity | The table below presents the status of all option plans at December 31, 2014 and changes during 2014. | ||||||
Stock Options | |||||||
Options | Weighted- | ||||||
average | |||||||
Exercise Price | |||||||
Outstanding at January 1, 2014 | 122,168,691 | $ | 48.23 | ||||
Forfeited | (34,081,637 | ) | 46.32 | ||||
Outstanding at December 31, 2014 | 88,087,054 | 48.96 | |||||
Options vested and exercisable at December 31, 2014 | 88,087,054 | 48.96 | |||||
Income_Taxes_Tables
Income Taxes (Tables) | 12 Months Ended | ||||||||||||||||||||
Dec. 31, 2014 | |||||||||||||||||||||
Income Tax Disclosure [Abstract] | |||||||||||||||||||||
Schedule of Components of Income Tax Expense (Benefit) | The components of income tax expense (benefit) for 2014, 2013 and 2012 are presented in the table below. | ||||||||||||||||||||
Income Tax Expense (Benefit) | |||||||||||||||||||||
(Dollars in millions) | 2014 | 2013 | 2012 | ||||||||||||||||||
Current income tax expense | |||||||||||||||||||||
U.S. federal | $ | 443 | $ | 180 | $ | 458 | |||||||||||||||
U.S. state and local | 340 | 786 | 592 | ||||||||||||||||||
Non-U.S. | 513 | 513 | 569 | ||||||||||||||||||
Total current expense | 1,296 | 1,479 | 1,619 | ||||||||||||||||||
Deferred income tax expense (benefit) | |||||||||||||||||||||
U.S. federal | 583 | 2,056 | (3,433 | ) | |||||||||||||||||
U.S. state and local | 85 | (94 | ) | (55 | ) | ||||||||||||||||
Non-U.S. | 58 | 1,300 | 753 | ||||||||||||||||||
Total deferred expense (benefit) | 726 | 3,262 | (2,735 | ) | |||||||||||||||||
Total income tax expense (benefit) | $ | 2,022 | $ | 4,741 | $ | (1,116 | ) | ||||||||||||||
Schedule of Effective Income Tax Rate Reconciliation | A reconciliation of the expected U.S. federal income tax expense, calculated by applying the federal statutory tax rate of 35 percent, to the Corporation’s actual income tax expense (benefit), and the effective tax rates for 2014, 2013 and 2012 are presented in the table below. | ||||||||||||||||||||
Reconciliation of Income Tax Expense (Benefit) | |||||||||||||||||||||
2014 | 2013 | 2012 | |||||||||||||||||||
(Dollars in millions) | Amount | Percent | Amount | Percent | Amount | Percent | |||||||||||||||
Expected U.S. federal income tax expense | $ | 2,399 | 35 | % | $ | 5,660 | 35 | % | $ | 1,075 | 35 | % | |||||||||
Increase (decrease) in taxes resulting from: | (0.001 | )% | (0.001 | )% | (0.001 | )% | |||||||||||||||
State tax expense, net of federal benefit | 276 | 4 | 450 | 2.8 | 349 | 11.4 | |||||||||||||||
Affordable housing credits/other credits | (950 | ) | (13.8 | ) | (863 | ) | (5.3 | ) | (783 | ) | (25.5 | ) | |||||||||
Changes in prior period UTBs, including interest | (741 | ) | (10.8 | ) | (255 | ) | (1.6 | ) | (198 | ) | (6.4 | ) | |||||||||
Tax-exempt income, including dividends | (533 | ) | (7.8 | ) | (524 | ) | (3.2 | ) | (576 | ) | (18.8 | ) | |||||||||
Non-U.S. tax rate differential (1) | (507 | ) | (7.4 | ) | (940 | ) | (5.8 | ) | (1,968 | ) | (64.1 | ) | |||||||||
Nondeductible expenses | 1,982 | 28.9 | 104 | 0.6 | 231 | 7.5 | |||||||||||||||
Leveraged lease tax differential | 53 | 0.8 | 26 | 0.2 | 83 | 2.7 | |||||||||||||||
Non-U.S. statutory rate reductions | — | — | 1,133 | 7 | 788 | 25.7 | |||||||||||||||
Other | 43 | 0.6 | (50 | ) | (0.4 | ) | (117 | ) | (3.8 | ) | |||||||||||
Total income tax expense (benefit) | $ | 2,022 | 29.5 | % | $ | 4,741 | 29.3 | % | $ | (1,116 | ) | (36.3 | )% | ||||||||
(1) | Includes in 2012, a $1.7 billion income tax benefit attributable to the excess of foreign tax credits recognized in the U.S. upon repatriation of the earnings of certain non-U.S. subsidiaries over the related U.S. tax liability. | ||||||||||||||||||||
Reconciliation of Change in Unrecognized Tax Benefits | The reconciliation of the beginning unrecognized tax benefits (UTB) balance to the ending balance is presented in the table below. | ||||||||||||||||||||
Reconciliation of the Change in Unrecognized Tax Benefits | |||||||||||||||||||||
(Dollars in millions) | 2014 | 2013 | 2012 | ||||||||||||||||||
Balance, January 1 | $ | 3,068 | $ | 3,677 | $ | 4,203 | |||||||||||||||
Increases related to positions taken during the current year | 75 | 98 | 352 | ||||||||||||||||||
Increases related to positions taken during prior years (1) | 519 | 254 | 142 | ||||||||||||||||||
Decreases related to positions taken during prior years (1) | (973 | ) | (508 | ) | (711 | ) | |||||||||||||||
Settlements | (1,594 | ) | (448 | ) | (205 | ) | |||||||||||||||
Expiration of statute of limitations | (27 | ) | (5 | ) | (104 | ) | |||||||||||||||
Balance, December 31 | $ | 1,068 | $ | 3,068 | $ | 3,677 | |||||||||||||||
(1) | The sum per year of positions taken during prior years differs from the $741 million, $255 million and $198 million in the Reconciliation of Income Tax Expense (Benefit) table due to temporary items, state items and jurisdictional offsets, as well as the inclusion of interest in the Reconciliation of Income Tax Expense (Benefit) table. | ||||||||||||||||||||
Summary of Income Tax Examinations | The Tax Examination Status table summarizes the status of significant examinations (U.S. federal unless otherwise noted) for the Corporation and various subsidiaries as of December 31, 2014. | ||||||||||||||||||||
Tax Examination Status | |||||||||||||||||||||
Years under | Status at December 31 2014 | ||||||||||||||||||||
Examination | |||||||||||||||||||||
U.S. (1) | 2010 – 2011 | IRS Appeals | |||||||||||||||||||
U.S. | 2012 – 2013 | Field examination | |||||||||||||||||||
New York | 2008 – 2012 | Field examination | |||||||||||||||||||
U.K. | 2012 | Field examination | |||||||||||||||||||
(1) | Field examination completed during 2014. The Corporation filed a protest related to certain adjustments with the IRS administrative appeals division. | ||||||||||||||||||||
Schedule of Deferred Tax Assets and Liabilities | Significant components of the Corporation’s net deferred tax assets and liabilities at December 31, 2014 and 2013 are presented in the table below. | ||||||||||||||||||||
Deferred Tax Assets and Liabilities | |||||||||||||||||||||
31-Dec | |||||||||||||||||||||
(Dollars in millions) | 2014 | 2013 | |||||||||||||||||||
Deferred tax assets | |||||||||||||||||||||
Net operating loss carryforwards | $ | 9,787 | $ | 10,967 | |||||||||||||||||
Accrued expenses | 5,916 | 6,749 | |||||||||||||||||||
Tax credit carryforwards | 5,614 | 9,689 | |||||||||||||||||||
Security, loan and debt valuations | 5,190 | 4,264 | |||||||||||||||||||
Allowance for credit losses | 5,047 | 6,100 | |||||||||||||||||||
Employee compensation and retirement benefits | 3,665 | 2,729 | |||||||||||||||||||
State income taxes | 2,034 | 2,643 | |||||||||||||||||||
Available-for-sale securities | — | 1,918 | |||||||||||||||||||
Other | 1,688 | 722 | |||||||||||||||||||
Gross deferred tax assets | 38,941 | 45,781 | |||||||||||||||||||
Valuation allowance | (1,111 | ) | (1,940 | ) | |||||||||||||||||
Total deferred tax assets, net of valuation allowance | 37,830 | 43,841 | |||||||||||||||||||
Deferred tax liabilities | |||||||||||||||||||||
Equipment lease financing | 2,880 | 3,106 | |||||||||||||||||||
Intangibles | 1,349 | 1,529 | |||||||||||||||||||
Mortgage servicing rights | 1,041 | 1,547 | |||||||||||||||||||
Available-for-sale securities | 828 | — | |||||||||||||||||||
Fee income | 816 | 798 | |||||||||||||||||||
Long-term borrowings | 587 | 3,033 | |||||||||||||||||||
Other | 2,075 | 1,472 | |||||||||||||||||||
Gross deferred tax liabilities | 9,576 | 11,485 | |||||||||||||||||||
Net deferred tax assets | $ | 28,254 | $ | 32,356 | |||||||||||||||||
Deferred Tax Assets And Related Valuation Allowances Recognized For Net Operating And Other Loss Carryforwards And Tax Credit Carryforwards | The table below summarizes the deferred tax assets and related valuation allowances recognized for the net operating loss (NOL) and tax credit carryforwards at December 31, 2014. | ||||||||||||||||||||
Net Operating Loss and Tax Credit Carryforward Deferred Tax Assets | |||||||||||||||||||||
(Dollars in millions) | Deferred | Valuation | Net | First Year | |||||||||||||||||
Tax Asset | Allowance | Deferred | Expiring | ||||||||||||||||||
Tax Asset | |||||||||||||||||||||
Net operating losses – U.S. | $ | 3,065 | $ | — | $ | 3,065 | After 2027 | ||||||||||||||
Net operating losses – U.K. | 6,276 | — | 6,276 | None (1) | |||||||||||||||||
Net operating losses – other non-U.S. | 446 | (316 | ) | 130 | Various | ||||||||||||||||
Net operating losses – U.S. states (2) | 1,168 | (460 | ) | 708 | Various | ||||||||||||||||
General business credits | 3,383 | — | 3,383 | After 2029 | |||||||||||||||||
Foreign tax credits | 2,231 | (68 | ) | 2,163 | After 2022 | ||||||||||||||||
(1) | The U.K. net operating losses may be carried forward indefinitely. | ||||||||||||||||||||
(2) | The net operating losses and related valuation allowances for U.S. states before considering the benefit of federal deductions were $1.8 billion and $708 million. | ||||||||||||||||||||
Summary of Tax Credit Carryforwards | The table below summarizes the deferred tax assets and related valuation allowances recognized for the net operating loss (NOL) and tax credit carryforwards at December 31, 2014. | ||||||||||||||||||||
Net Operating Loss and Tax Credit Carryforward Deferred Tax Assets | |||||||||||||||||||||
(Dollars in millions) | Deferred | Valuation | Net | First Year | |||||||||||||||||
Tax Asset | Allowance | Deferred | Expiring | ||||||||||||||||||
Tax Asset | |||||||||||||||||||||
Net operating losses – U.S. | $ | 3,065 | $ | — | $ | 3,065 | After 2027 | ||||||||||||||
Net operating losses – U.K. | 6,276 | — | 6,276 | None (1) | |||||||||||||||||
Net operating losses – other non-U.S. | 446 | (316 | ) | 130 | Various | ||||||||||||||||
Net operating losses – U.S. states (2) | 1,168 | (460 | ) | 708 | Various | ||||||||||||||||
General business credits | 3,383 | — | 3,383 | After 2029 | |||||||||||||||||
Foreign tax credits | 2,231 | (68 | ) | 2,163 | After 2022 | ||||||||||||||||
(1) | The U.K. net operating losses may be carried forward indefinitely. | ||||||||||||||||||||
(2) | The net operating losses and related valuation allowances for U.S. states before considering the benefit of federal deductions were $1.8 billion and $708 million. |
Fair_Value_Measurements_Tables
Fair Value Measurements (Tables) | 12 Months Ended | ||||||||||||||||||||||||||||||
Dec. 31, 2014 | |||||||||||||||||||||||||||||||
Fair Value Disclosures [Abstract] | |||||||||||||||||||||||||||||||
Assets and Liabilities Carried at Fair Value on a Recurring Basis | Assets and liabilities carried at fair value on a recurring basis at December 31, 2014 and 2013, including financial instruments which the Corporation accounts for under the fair value option, are summarized in the following tables. | ||||||||||||||||||||||||||||||
December 31, 2014 | |||||||||||||||||||||||||||||||
Fair Value Measurements | |||||||||||||||||||||||||||||||
(Dollars in millions) | Level 1 | Level 2 | Level 3 | Netting Adjustments (1) | Assets/Liabilities at Fair Value | ||||||||||||||||||||||||||
Assets | |||||||||||||||||||||||||||||||
Federal funds sold and securities borrowed or purchased under agreements to resell | $ | — | $ | 62,182 | $ | — | $ | — | $ | 62,182 | |||||||||||||||||||||
Trading account assets: | |||||||||||||||||||||||||||||||
U.S. government and agency securities (2) | 33,470 | 17,549 | — | — | 51,019 | ||||||||||||||||||||||||||
Corporate securities, trading loans and other | 243 | 31,699 | 3,270 | — | 35,212 | ||||||||||||||||||||||||||
Equity securities | 33,518 | 22,488 | 352 | — | 56,358 | ||||||||||||||||||||||||||
Non-U.S. sovereign debt | 20,348 | 15,332 | 574 | — | 36,254 | ||||||||||||||||||||||||||
Mortgage trading loans and ABS | — | 10,879 | 2,063 | — | 12,942 | ||||||||||||||||||||||||||
Total trading account assets | 87,579 | 97,947 | 6,259 | — | 191,785 | ||||||||||||||||||||||||||
Derivative assets (3) | 4,957 | 972,977 | 6,851 | (932,103 | ) | 52,682 | |||||||||||||||||||||||||
AFS debt securities: | |||||||||||||||||||||||||||||||
U.S. Treasury and agency securities | 67,413 | 2,182 | — | — | 69,595 | ||||||||||||||||||||||||||
Mortgage-backed securities: | |||||||||||||||||||||||||||||||
Agency | — | 165,039 | — | — | 165,039 | ||||||||||||||||||||||||||
Agency-collateralized mortgage obligations | — | 14,248 | — | — | 14,248 | ||||||||||||||||||||||||||
Non-agency residential | — | 4,175 | 279 | — | 4,454 | ||||||||||||||||||||||||||
Commercial | — | 4,000 | — | — | 4,000 | ||||||||||||||||||||||||||
Non-U.S. securities | 3,191 | 3,029 | 10 | — | 6,230 | ||||||||||||||||||||||||||
Corporate/Agency bonds | — | 368 | — | — | 368 | ||||||||||||||||||||||||||
Other taxable securities | 20 | 9,104 | 1,667 | — | 10,791 | ||||||||||||||||||||||||||
Tax-exempt securities | — | 8,950 | 599 | — | 9,549 | ||||||||||||||||||||||||||
Total AFS debt securities | 70,624 | 211,095 | 2,555 | — | 284,274 | ||||||||||||||||||||||||||
Other debt securities carried at fair value: | |||||||||||||||||||||||||||||||
U.S. Treasury and agency securities | 1,541 | — | — | — | 1,541 | ||||||||||||||||||||||||||
Mortgage-backed securities: | |||||||||||||||||||||||||||||||
Agency | — | 15,704 | — | — | 15,704 | ||||||||||||||||||||||||||
Non-agency residential | — | 3,745 | — | — | 3,745 | ||||||||||||||||||||||||||
Non-U.S. securities | 13,270 | 1,862 | — | — | 15,132 | ||||||||||||||||||||||||||
Other taxable securities | — | 299 | — | — | 299 | ||||||||||||||||||||||||||
Total other debt securities carried at fair value | 14,811 | 21,610 | — | — | 36,421 | ||||||||||||||||||||||||||
Loans and leases | — | 6,698 | 1,983 | — | 8,681 | ||||||||||||||||||||||||||
Mortgage servicing rights | — | — | 3,530 | — | 3,530 | ||||||||||||||||||||||||||
Loans held-for-sale | — | 6,628 | 173 | — | 6,801 | ||||||||||||||||||||||||||
Other assets | 11,581 | 1,381 | 911 | — | 13,873 | ||||||||||||||||||||||||||
Total assets (4) | $ | 189,552 | $ | 1,380,518 | $ | 22,262 | $ | (932,103 | ) | $ | 660,229 | ||||||||||||||||||||
Liabilities | |||||||||||||||||||||||||||||||
Interest-bearing deposits in U.S. offices | $ | — | $ | 1,469 | $ | — | $ | — | $ | 1,469 | |||||||||||||||||||||
Federal funds purchased and securities loaned or sold under agreements to repurchase | — | 35,357 | — | — | 35,357 | ||||||||||||||||||||||||||
Trading account liabilities: | |||||||||||||||||||||||||||||||
U.S. government and agency securities | 18,514 | 446 | — | — | 18,960 | ||||||||||||||||||||||||||
Equity securities | 24,679 | 3,670 | — | — | 28,349 | ||||||||||||||||||||||||||
Non-U.S. sovereign debt | 16,089 | 3,625 | — | — | 19,714 | ||||||||||||||||||||||||||
Corporate securities and other | 189 | 6,944 | 36 | — | 7,169 | ||||||||||||||||||||||||||
Total trading account liabilities | 59,471 | 14,685 | 36 | — | 74,192 | ||||||||||||||||||||||||||
Derivative liabilities (3) | 4,493 | 969,502 | 7,771 | (934,857 | ) | 46,909 | |||||||||||||||||||||||||
Short-term borrowings | — | 2,697 | — | — | 2,697 | ||||||||||||||||||||||||||
Accrued expenses and other liabilities | 10,795 | 1,250 | 10 | — | 12,055 | ||||||||||||||||||||||||||
Long-term debt | — | 34,042 | 2,362 | — | 36,404 | ||||||||||||||||||||||||||
Total liabilities (4) | $ | 74,759 | $ | 1,059,002 | $ | 10,179 | $ | (934,857 | ) | $ | 209,083 | ||||||||||||||||||||
(1) | Amounts represent the impact of legally enforceable master netting agreements and also cash collateral held or placed with the same counterparties. | ||||||||||||||||||||||||||||||
(2) | Includes $17.2 billion of government-sponsored enterprise obligations. | ||||||||||||||||||||||||||||||
(3) | For further disaggregation of derivative assets and liabilities, see Note 2 – Derivatives. | ||||||||||||||||||||||||||||||
(4) | During 2014, the Corporation reclassified certain assets and liabilities within its fair value hierarchy based on a review of its inputs used to measure fair value. Accordingly, approximately $4.1 billion of assets related to U.S. government and agency securities, non-U.S. government securities and equity derivatives, and $570 million of liabilities related to equity derivatives were transferred from Level 1 to Level 2. | ||||||||||||||||||||||||||||||
December 31, 2013 | |||||||||||||||||||||||||||||||
Fair Value Measurements | |||||||||||||||||||||||||||||||
(Dollars in millions) | Level 1 | Level 2 | Level 3 | Netting Adjustments (1) | Assets/Liabilities at Fair Value | ||||||||||||||||||||||||||
Assets | |||||||||||||||||||||||||||||||
Federal funds sold and securities borrowed or purchased under agreements to resell | $ | — | $ | 68,656 | $ | — | $ | — | $ | 68,656 | |||||||||||||||||||||
Trading account assets: | |||||||||||||||||||||||||||||||
U.S. government and agency securities (2) | 34,222 | 14,625 | — | — | 48,847 | ||||||||||||||||||||||||||
Corporate securities, trading loans and other | 1,147 | 27,746 | 3,559 | — | 32,452 | ||||||||||||||||||||||||||
Equity securities | 41,324 | 22,741 | 386 | — | 64,451 | ||||||||||||||||||||||||||
Non-U.S. sovereign debt | 24,357 | 12,399 | 468 | — | 37,224 | ||||||||||||||||||||||||||
Mortgage trading loans and ABS | — | 13,388 | 4,631 | — | 18,019 | ||||||||||||||||||||||||||
Total trading account assets | 101,050 | 90,899 | 9,044 | — | 200,993 | ||||||||||||||||||||||||||
Derivative assets (3) | 2,374 | 910,602 | 7,277 | (872,758 | ) | 47,495 | |||||||||||||||||||||||||
AFS debt securities: | |||||||||||||||||||||||||||||||
U.S. Treasury and agency securities | 6,591 | 2,363 | — | — | 8,954 | ||||||||||||||||||||||||||
Mortgage-backed securities: | |||||||||||||||||||||||||||||||
Agency | — | 164,935 | — | — | 164,935 | ||||||||||||||||||||||||||
Agency-collateralized mortgage obligations | — | 22,492 | — | — | 22,492 | ||||||||||||||||||||||||||
Non-agency residential | — | 6,239 | — | — | 6,239 | ||||||||||||||||||||||||||
Commercial | — | 2,480 | — | — | 2,480 | ||||||||||||||||||||||||||
Non-U.S. securities | 3,698 | 3,415 | 107 | — | 7,220 | ||||||||||||||||||||||||||
Corporate/Agency bonds | — | 873 | — | — | 873 | ||||||||||||||||||||||||||
Other taxable securities | 20 | 12,963 | 3,847 | — | 16,830 | ||||||||||||||||||||||||||
Tax-exempt securities | — | 5,122 | 806 | — | 5,928 | ||||||||||||||||||||||||||
Total AFS debt securities | 10,309 | 220,882 | 4,760 | — | 235,951 | ||||||||||||||||||||||||||
Other debt securities carried at fair value: | |||||||||||||||||||||||||||||||
U.S. Treasury and agency securities | 4,062 | — | — | — | 4,062 | ||||||||||||||||||||||||||
Mortgage-backed securities: | |||||||||||||||||||||||||||||||
Agency | — | 16,500 | — | — | 16,500 | ||||||||||||||||||||||||||
Agency-collateralized mortgage obligations | — | 218 | — | — | 218 | ||||||||||||||||||||||||||
Commercial | — | 749 | — | — | 749 | ||||||||||||||||||||||||||
Non-U.S. securities | 7,457 | 3,858 | — | — | 11,315 | ||||||||||||||||||||||||||
Total other debt securities carried at fair value | 11,519 | 21,325 | — | — | 32,844 | ||||||||||||||||||||||||||
Loans and leases | — | 6,985 | 3,057 | — | 10,042 | ||||||||||||||||||||||||||
Mortgage servicing rights | — | — | 5,042 | — | 5,042 | ||||||||||||||||||||||||||
Loans held-for-sale | — | 5,727 | 929 | — | 6,656 | ||||||||||||||||||||||||||
Other assets | 14,474 | 1,912 | 1,669 | — | 18,055 | ||||||||||||||||||||||||||
Total assets (4) | $ | 139,726 | $ | 1,326,988 | $ | 31,778 | $ | (872,758 | ) | $ | 625,734 | ||||||||||||||||||||
Liabilities | |||||||||||||||||||||||||||||||
Interest-bearing deposits in U.S. offices | $ | — | $ | 1,899 | $ | — | $ | — | $ | 1,899 | |||||||||||||||||||||
Federal funds purchased and securities loaned or sold under agreements to repurchase | — | 26,500 | — | — | 26,500 | ||||||||||||||||||||||||||
Trading account liabilities: | |||||||||||||||||||||||||||||||
U.S. government and agency securities | 26,915 | 348 | — | — | 27,263 | ||||||||||||||||||||||||||
Equity securities | 23,874 | 3,711 | — | — | 27,585 | ||||||||||||||||||||||||||
Non-U.S. sovereign debt | 20,755 | 1,387 | — | — | 22,142 | ||||||||||||||||||||||||||
Corporate securities and other | 518 | 5,926 | 35 | — | 6,479 | ||||||||||||||||||||||||||
Total trading account liabilities | 72,062 | 11,372 | 35 | — | 83,469 | ||||||||||||||||||||||||||
Derivative liabilities (3) | 1,968 | 896,907 | 7,501 | (868,969 | ) | 37,407 | |||||||||||||||||||||||||
Short-term borrowings | — | 1,520 | — | — | 1,520 | ||||||||||||||||||||||||||
Accrued expenses and other liabilities | 10,130 | 1,093 | 10 | — | 11,233 | ||||||||||||||||||||||||||
Long-term debt | — | 45,045 | 1,990 | — | 47,035 | ||||||||||||||||||||||||||
Total liabilities (4) | $ | 84,160 | $ | 984,336 | $ | 9,536 | $ | (868,969 | ) | $ | 209,063 | ||||||||||||||||||||
(1) | Amounts represent the impact of legally enforceable master netting agreements and also cash collateral held or placed with the same counterparties. | ||||||||||||||||||||||||||||||
(2) | Includes $15.6 billion of government-sponsored enterprise obligations. | ||||||||||||||||||||||||||||||
(3) | For further disaggregation of derivative assets and liabilities, see Note 2 – Derivatives. | ||||||||||||||||||||||||||||||
(4) | During 2013, $500 million of other assets were transferred from Level 1 to Level 2 primarily due to a restriction that became effective for a private equity investment that was subsequently sold once the restriction was lifted. | ||||||||||||||||||||||||||||||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation | The following tables present a reconciliation of all assets and liabilities measured at fair value on a recurring basis using significant unobservable inputs (Level 3) during 2014, 2013 and 2012, including net realized and unrealized gains (losses) included in earnings and accumulated OCI. | ||||||||||||||||||||||||||||||
Level 3 – Fair Value Measurements (1) | |||||||||||||||||||||||||||||||
2014 | |||||||||||||||||||||||||||||||
Gross | |||||||||||||||||||||||||||||||
(Dollars in millions) | Balance | Gains | Gains | Purchases | Sales | Issuances | Settlements | Gross | Gross | Balance | |||||||||||||||||||||
1-Jan | (Losses) | (Losses) | Transfers | Transfers | 31-Dec | ||||||||||||||||||||||||||
2014 | in Earnings | in OCI | into | out of | 2014 | ||||||||||||||||||||||||||
Level 3 | Level 3 | ||||||||||||||||||||||||||||||
Trading account assets: | |||||||||||||||||||||||||||||||
U.S. government and agency securities | $ | — | $ | — | $ | — | $ | 87 | $ | (87 | ) | $ | — | $ | — | $ | — | $ | — | $ | — | ||||||||||
Corporate securities, trading loans and other | 3,559 | 180 | — | 1,675 | (857 | ) | — | (938 | ) | 1,275 | (1,624 | ) | 3,270 | ||||||||||||||||||
Equity securities | 386 | — | — | 104 | (86 | ) | — | (16 | ) | 146 | (182 | ) | 352 | ||||||||||||||||||
Non-U.S. sovereign debt | 468 | 30 | — | 120 | (34 | ) | — | (19 | ) | 11 | (2 | ) | 574 | ||||||||||||||||||
Mortgage trading loans and ABS | 4,631 | 199 | — | 1,643 | (1,259 | ) | — | (585 | ) | 39 | (2,605 | ) | 2,063 | ||||||||||||||||||
Total trading account assets | 9,044 | 409 | — | 3,629 | (2,323 | ) | — | (1,558 | ) | 1,471 | (4,413 | ) | 6,259 | ||||||||||||||||||
Net derivative assets (2) | (224 | ) | 463 | — | 823 | (1,738 | ) | — | (432 | ) | 28 | 160 | (920 | ) | |||||||||||||||||
AFS debt securities: | |||||||||||||||||||||||||||||||
Non-agency residential MBS | — | (2 | ) | — | 11 | — | — | — | 270 | — | 279 | ||||||||||||||||||||
Non-U.S. securities | 107 | (7 | ) | (11 | ) | 241 | — | — | (147 | ) | — | (173 | ) | 10 | |||||||||||||||||
Corporate/Agency bonds | — | — | — | — | — | — | — | 93 | (93 | ) | — | ||||||||||||||||||||
Other taxable securities | 3,847 | 9 | (8 | ) | 154 | — | — | (1,381 | ) | — | (954 | ) | 1,667 | ||||||||||||||||||
Tax-exempt securities | 806 | 8 | — | — | (16 | ) | — | (235 | ) | 36 | — | 599 | |||||||||||||||||||
Total AFS debt securities | 4,760 | 8 | (19 | ) | 406 | (16 | ) | — | (1,763 | ) | 399 | (1,220 | ) | 2,555 | |||||||||||||||||
Loans and leases (3, 4) | 3,057 | 69 | — | — | (3 | ) | 699 | (1,591 | ) | 25 | (273 | ) | 1,983 | ||||||||||||||||||
Mortgage servicing rights (4) | 5,042 | (1,231 | ) | — | — | (61 | ) | 707 | (927 | ) | — | — | 3,530 | ||||||||||||||||||
Loans held-for-sale (3) | 929 | 45 | — | 59 | (725 | ) | 23 | (216 | ) | 83 | (25 | ) | 173 | ||||||||||||||||||
Other assets (5) | 1,669 | (98 | ) | — | — | (430 | ) | — | (245 | ) | 39 | (24 | ) | 911 | |||||||||||||||||
Trading account liabilities – Corporate securities and other | (35 | ) | 1 | — | 10 | (13 | ) | — | — | (9 | ) | 10 | (36 | ) | |||||||||||||||||
Accrued expenses and other liabilities (3) | (10 | ) | 2 | — | — | — | (3 | ) | — | — | 1 | (10 | ) | ||||||||||||||||||
Long-term debt (3) | (1,990 | ) | 49 | — | 169 | — | (615 | ) | 540 | (1,581 | ) | 1,066 | (2,362 | ) | |||||||||||||||||
(1) | Assets (liabilities). For assets, increase (decrease) to Level 3 and for liabilities, (increase) decrease to Level 3. | ||||||||||||||||||||||||||||||
(2) | Net derivatives include derivative assets of $6.9 billion and derivative liabilities of $7.8 billion. | ||||||||||||||||||||||||||||||
(3) | Amounts represent instruments that are accounted for under the fair value option. | ||||||||||||||||||||||||||||||
(4) | Issuances represent loan originations and mortgage servicing rights retained following securitizations or whole-loan sales. | ||||||||||||||||||||||||||||||
(5) | Other assets is primarily comprised of private equity investments and certain long-term fixed-rate margin loans that are accounted for under the fair value option. | ||||||||||||||||||||||||||||||
Level 3 – Fair Value Measurements (1) | |||||||||||||||||||||||||||||||
2012 | |||||||||||||||||||||||||||||||
Gross | |||||||||||||||||||||||||||||||
(Dollars in millions) | Balance | Gains | Gains | Purchases | Sales | Issuances | Settlements | Gross Transfers | Gross Transfers | Balance | |||||||||||||||||||||
January 1 | (Losses) | (Losses) | into | out of | December 31 | ||||||||||||||||||||||||||
2012 | in Earnings | in OCI | Level 3 | Level 3 | 2012 | ||||||||||||||||||||||||||
Trading account assets: | |||||||||||||||||||||||||||||||
Corporate securities, trading loans and other (2) | $ | 6,880 | $ | 195 | $ | — | $ | 2,798 | $ | (4,556 | ) | $ | — | $ | (1,077 | ) | $ | 436 | $ | (950 | ) | $ | 3,726 | ||||||||
Equity securities | 544 | 31 | — | 201 | (271 | ) | — | 27 | 90 | (77 | ) | 545 | |||||||||||||||||||
Non-U.S. sovereign debt | 342 | 8 | — | 388 | (359 | ) | — | (5 | ) | — | (21 | ) | 353 | ||||||||||||||||||
Mortgage trading loans and ABS (2) | 3,689 | 215 | — | 2,574 | (1,536 | ) | — | (678 | ) | 844 | (173 | ) | 4,935 | ||||||||||||||||||
Total trading account assets | 11,455 | 449 | — | 5,961 | (6,722 | ) | — | (1,733 | ) | 1,370 | (1,221 | ) | 9,559 | ||||||||||||||||||
Net derivative assets (3) | 5,866 | (221 | ) | — | 893 | (1,012 | ) | — | (3,328 | ) | (269 | ) | (461 | ) | 1,468 | ||||||||||||||||
AFS debt securities: | |||||||||||||||||||||||||||||||
Mortgage-backed securities: | |||||||||||||||||||||||||||||||
Agency | 37 | — | — | — | — | — | (4 | ) | — | (33 | ) | — | |||||||||||||||||||
Non-agency residential | 860 | (69 | ) | 19 | — | (306 | ) | — | (2 | ) | — | (502 | ) | — | |||||||||||||||||
Non-agency commercial | 40 | — | — | — | (24 | ) | — | (6 | ) | — | — | 10 | |||||||||||||||||||
Corporate/Agency bonds | 162 | (2 | ) | — | (2 | ) | — | — | (39 | ) | — | (27 | ) | 92 | |||||||||||||||||
Other taxable securities | 4,265 | 23 | 26 | 3,196 | (28 | ) | — | (3,345 | ) | — | (209 | ) | 3,928 | ||||||||||||||||||
Tax-exempt securities | 2,648 | 61 | 20 | — | (133 | ) | — | (1,535 | ) | — | — | 1,061 | |||||||||||||||||||
Total AFS debt securities | 8,012 | 13 | 65 | 3,194 | (491 | ) | — | (4,931 | ) | — | (771 | ) | 5,091 | ||||||||||||||||||
Loans and leases (4, 5) | 2,744 | 334 | — | 564 | (1,520 | ) | — | (274 | ) | 450 | (11 | ) | 2,287 | ||||||||||||||||||
Mortgage servicing rights (5) | 7,378 | (430 | ) | — | — | (122 | ) | 374 | (1,484 | ) | — | — | 5,716 | ||||||||||||||||||
Loans held-for-sale (4) | 3,387 | 352 | — | 794 | (834 | ) | — | (414 | ) | 80 | (632 | ) | 2,733 | ||||||||||||||||||
Other assets (6) | 4,235 | (54 | ) | — | 109 | (1,039 | ) | 270 | (381 | ) | — | (11 | ) | 3,129 | |||||||||||||||||
Trading account liabilities – Corporate securities and other | (114 | ) | 4 | — | 116 | (136 | ) | — | 80 | (68 | ) | 54 | (64 | ) | |||||||||||||||||
Short-term borrowings (4) | — | — | — | — | — | (232 | ) | 232 | — | — | — | ||||||||||||||||||||
Accrued expenses and other liabilities (4) | (14 | ) | (4 | ) | — | 8 | — | (9 | ) | — | — | 4 | (15 | ) | |||||||||||||||||
Long-term debt (4) | (2,943 | ) | (307 | ) | — | 290 | (33 | ) | (259 | ) | 1,239 | (2,040 | ) | 1,752 | (2,301 | ) | |||||||||||||||
(1) | Assets (liabilities). For assets, increase (decrease) to Level 3 and for liabilities, (increase) decrease to Level 3. | ||||||||||||||||||||||||||||||
(2) | During 2012, approximately $900 million was reclassified from Trading account assets – Corporate securities, trading loans and other to Trading account assets – Mortgage trading loans and ABS. In the table above, this reclassification is presented as a sale of Trading account assets – Corporate securities, trading loans and other and as a purchase of Trading account assets – Mortgage trading loans and ABS. | ||||||||||||||||||||||||||||||
(3) | Net derivatives include derivative assets of $8.1 billion and derivative liabilities of $6.6 billion. | ||||||||||||||||||||||||||||||
(4) | Amounts represent instruments that are accounted for under the fair value option. | ||||||||||||||||||||||||||||||
(5) | Issuances represent loan originations and mortgage servicing rights retained following securitizations or whole-loan sales. | ||||||||||||||||||||||||||||||
(6) | Other assets is primarily comprised of net monoline exposure to a single counterparty and private equity investments. | ||||||||||||||||||||||||||||||
Level 3 – Fair Value Measurements (1) | |||||||||||||||||||||||||||||||
2013 | |||||||||||||||||||||||||||||||
Gross | |||||||||||||||||||||||||||||||
(Dollars in millions) | Balance | Gains | Gains | Purchases | Sales | Issuances | Settlements | Gross | Gross | Balance | |||||||||||||||||||||
January 1 | (Losses) | (Losses) | Transfers | Transfers | December 31 | ||||||||||||||||||||||||||
2013 | in Earnings | in OCI | into | out of | 2013 | ||||||||||||||||||||||||||
Level 3 | Level 3 | ||||||||||||||||||||||||||||||
Trading account assets: | |||||||||||||||||||||||||||||||
Corporate securities, trading loans and other | $ | 3,726 | $ | 242 | $ | — | $ | 3,848 | $ | (3,110 | ) | $ | 59 | $ | (651 | ) | $ | 890 | $ | (1,445 | ) | $ | 3,559 | ||||||||
Equity securities | 545 | 74 | — | 96 | (175 | ) | — | (100 | ) | 70 | (124 | ) | 386 | ||||||||||||||||||
Non-U.S. sovereign debt | 353 | 50 | — | 122 | (18 | ) | — | (36 | ) | 2 | (5 | ) | 468 | ||||||||||||||||||
Mortgage trading loans and ABS | 4,935 | 53 | — | 2,514 | (1,993 | ) | — | (868 | ) | 20 | (30 | ) | 4,631 | ||||||||||||||||||
Total trading account assets | 9,559 | 419 | — | 6,580 | (5,296 | ) | 59 | (1,655 | ) | 982 | (1,604 | ) | 9,044 | ||||||||||||||||||
Net derivative assets (2) | 1,468 | (304 | ) | — | 824 | (1,467 | ) | — | (1,362 | ) | (10 | ) | 627 | (224 | ) | ||||||||||||||||
AFS debt securities: | |||||||||||||||||||||||||||||||
Commercial MBS | 10 | — | — | — | — | — | (10 | ) | — | — | — | ||||||||||||||||||||
Non-U.S. securities | — | 5 | 2 | 1 | (1 | ) | — | — | 100 | — | 107 | ||||||||||||||||||||
Corporate/Agency bonds | 92 | — | 4 | — | — | — | — | — | (96 | ) | — | ||||||||||||||||||||
Other taxable securities | 3,928 | 9 | 15 | 1,055 | — | — | (1,155 | ) | — | (5 | ) | 3,847 | |||||||||||||||||||
Tax-exempt securities | 1,061 | 3 | 19 | — | — | — | (109 | ) | — | (168 | ) | 806 | |||||||||||||||||||
Total AFS debt securities | 5,091 | 17 | 40 | 1,056 | (1 | ) | — | (1,274 | ) | 100 | (269 | ) | 4,760 | ||||||||||||||||||
Loans and leases (3, 4) | 2,287 | 98 | — | 310 | (128 | ) | 1,252 | (757 | ) | 19 | (24 | ) | 3,057 | ||||||||||||||||||
Mortgage servicing rights (4) | 5,716 | 1,941 | — | — | (2,044 | ) | 472 | (1,043 | ) | — | — | 5,042 | |||||||||||||||||||
Loans held-for-sale (3) | 2,733 | 62 | — | 8 | (402 | ) | 4 | (1,507 | ) | 34 | (3 | ) | 929 | ||||||||||||||||||
Other assets (5) | 3,129 | (288 | ) | — | 46 | (383 | ) | — | (1,019 | ) | 239 | (55 | ) | 1,669 | |||||||||||||||||
Trading account liabilities – Corporate securities and other | (64 | ) | 10 | — | 43 | (54 | ) | (5 | ) | — | (9 | ) | 44 | (35 | ) | ||||||||||||||||
Accrued expenses and other liabilities (3) | (15 | ) | 30 | — | — | — | (751 | ) | 724 | (1 | ) | 3 | (10 | ) | |||||||||||||||||
Long-term debt (3) | (2,301 | ) | 13 | — | 358 | (4 | ) | (172 | ) | 258 | (1,331 | ) | 1,189 | (1,990 | ) | ||||||||||||||||
(1) | Assets (liabilities). For assets, increase (decrease) to Level 3 and for liabilities, (increase) decrease to Level 3. | ||||||||||||||||||||||||||||||
(2) | Net derivatives include derivative assets of $7.3 billion and derivative liabilities of $7.5 billion. | ||||||||||||||||||||||||||||||
(3) | Amounts represent instruments that are accounted for under the fair value option. | ||||||||||||||||||||||||||||||
(4) | Issuances represent loan originations and mortgage servicing rights retained following securitizations or whole-loan sales. | ||||||||||||||||||||||||||||||
(5) | Other assets is primarily comprised of private equity investments and certain long-term fixed-rate margin loans that are accounted for under the fair value option. | ||||||||||||||||||||||||||||||
Fair Value, Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation | |||||||||||||||||||||||||||||||
Level 3 – Fair Value Measurements (1) | |||||||||||||||||||||||||||||||
2012 | |||||||||||||||||||||||||||||||
Gross | |||||||||||||||||||||||||||||||
(Dollars in millions) | Balance | Gains | Gains | Purchases | Sales | Issuances | Settlements | Gross Transfers | Gross Transfers | Balance | |||||||||||||||||||||
January 1 | (Losses) | (Losses) | into | out of | December 31 | ||||||||||||||||||||||||||
2012 | in Earnings | in OCI | Level 3 | Level 3 | 2012 | ||||||||||||||||||||||||||
Trading account assets: | |||||||||||||||||||||||||||||||
Corporate securities, trading loans and other (2) | $ | 6,880 | $ | 195 | $ | — | $ | 2,798 | $ | (4,556 | ) | $ | — | $ | (1,077 | ) | $ | 436 | $ | (950 | ) | $ | 3,726 | ||||||||
Equity securities | 544 | 31 | — | 201 | (271 | ) | — | 27 | 90 | (77 | ) | 545 | |||||||||||||||||||
Non-U.S. sovereign debt | 342 | 8 | — | 388 | (359 | ) | — | (5 | ) | — | (21 | ) | 353 | ||||||||||||||||||
Mortgage trading loans and ABS (2) | 3,689 | 215 | — | 2,574 | (1,536 | ) | — | (678 | ) | 844 | (173 | ) | 4,935 | ||||||||||||||||||
Total trading account assets | 11,455 | 449 | — | 5,961 | (6,722 | ) | — | (1,733 | ) | 1,370 | (1,221 | ) | 9,559 | ||||||||||||||||||
Net derivative assets (3) | 5,866 | (221 | ) | — | 893 | (1,012 | ) | — | (3,328 | ) | (269 | ) | (461 | ) | 1,468 | ||||||||||||||||
AFS debt securities: | |||||||||||||||||||||||||||||||
Mortgage-backed securities: | |||||||||||||||||||||||||||||||
Agency | 37 | — | — | — | — | — | (4 | ) | — | (33 | ) | — | |||||||||||||||||||
Non-agency residential | 860 | (69 | ) | 19 | — | (306 | ) | — | (2 | ) | — | (502 | ) | — | |||||||||||||||||
Non-agency commercial | 40 | — | — | — | (24 | ) | — | (6 | ) | — | — | 10 | |||||||||||||||||||
Corporate/Agency bonds | 162 | (2 | ) | — | (2 | ) | — | — | (39 | ) | — | (27 | ) | 92 | |||||||||||||||||
Other taxable securities | 4,265 | 23 | 26 | 3,196 | (28 | ) | — | (3,345 | ) | — | (209 | ) | 3,928 | ||||||||||||||||||
Tax-exempt securities | 2,648 | 61 | 20 | — | (133 | ) | — | (1,535 | ) | — | — | 1,061 | |||||||||||||||||||
Total AFS debt securities | 8,012 | 13 | 65 | 3,194 | (491 | ) | — | (4,931 | ) | — | (771 | ) | 5,091 | ||||||||||||||||||
Loans and leases (4, 5) | 2,744 | 334 | — | 564 | (1,520 | ) | — | (274 | ) | 450 | (11 | ) | 2,287 | ||||||||||||||||||
Mortgage servicing rights (5) | 7,378 | (430 | ) | — | — | (122 | ) | 374 | (1,484 | ) | — | — | 5,716 | ||||||||||||||||||
Loans held-for-sale (4) | 3,387 | 352 | — | 794 | (834 | ) | — | (414 | ) | 80 | (632 | ) | 2,733 | ||||||||||||||||||
Other assets (6) | 4,235 | (54 | ) | — | 109 | (1,039 | ) | 270 | (381 | ) | — | (11 | ) | 3,129 | |||||||||||||||||
Trading account liabilities – Corporate securities and other | (114 | ) | 4 | — | 116 | (136 | ) | — | 80 | (68 | ) | 54 | (64 | ) | |||||||||||||||||
Short-term borrowings (4) | — | — | — | — | — | (232 | ) | 232 | — | — | — | ||||||||||||||||||||
Accrued expenses and other liabilities (4) | (14 | ) | (4 | ) | — | 8 | — | (9 | ) | — | — | 4 | (15 | ) | |||||||||||||||||
Long-term debt (4) | (2,943 | ) | (307 | ) | — | 290 | (33 | ) | (259 | ) | 1,239 | (2,040 | ) | 1,752 | (2,301 | ) | |||||||||||||||
(1) | Assets (liabilities). For assets, increase (decrease) to Level 3 and for liabilities, (increase) decrease to Level 3. | ||||||||||||||||||||||||||||||
(2) | During 2012, approximately $900 million was reclassified from Trading account assets – Corporate securities, trading loans and other to Trading account assets – Mortgage trading loans and ABS. In the table above, this reclassification is presented as a sale of Trading account assets – Corporate securities, trading loans and other and as a purchase of Trading account assets – Mortgage trading loans and ABS. | ||||||||||||||||||||||||||||||
(3) | Net derivatives include derivative assets of $8.1 billion and derivative liabilities of $6.6 billion. | ||||||||||||||||||||||||||||||
(4) | Amounts represent instruments that are accounted for under the fair value option. | ||||||||||||||||||||||||||||||
(5) | Issuances represent loan originations and mortgage servicing rights retained following securitizations or whole-loan sales. | ||||||||||||||||||||||||||||||
(6) | Other assets is primarily comprised of net monoline exposure to a single counterparty and private equity investments. | ||||||||||||||||||||||||||||||
The following tables present a reconciliation of all assets and liabilities measured at fair value on a recurring basis using significant unobservable inputs (Level 3) during 2014, 2013 and 2012, including net realized and unrealized gains (losses) included in earnings and accumulated OCI. | |||||||||||||||||||||||||||||||
Level 3 – Fair Value Measurements (1) | |||||||||||||||||||||||||||||||
2014 | |||||||||||||||||||||||||||||||
Gross | |||||||||||||||||||||||||||||||
(Dollars in millions) | Balance | Gains | Gains | Purchases | Sales | Issuances | Settlements | Gross | Gross | Balance | |||||||||||||||||||||
1-Jan | (Losses) | (Losses) | Transfers | Transfers | 31-Dec | ||||||||||||||||||||||||||
2014 | in Earnings | in OCI | into | out of | 2014 | ||||||||||||||||||||||||||
Level 3 | Level 3 | ||||||||||||||||||||||||||||||
Trading account assets: | |||||||||||||||||||||||||||||||
U.S. government and agency securities | $ | — | $ | — | $ | — | $ | 87 | $ | (87 | ) | $ | — | $ | — | $ | — | $ | — | $ | — | ||||||||||
Corporate securities, trading loans and other | 3,559 | 180 | — | 1,675 | (857 | ) | — | (938 | ) | 1,275 | (1,624 | ) | 3,270 | ||||||||||||||||||
Equity securities | 386 | — | — | 104 | (86 | ) | — | (16 | ) | 146 | (182 | ) | 352 | ||||||||||||||||||
Non-U.S. sovereign debt | 468 | 30 | — | 120 | (34 | ) | — | (19 | ) | 11 | (2 | ) | 574 | ||||||||||||||||||
Mortgage trading loans and ABS | 4,631 | 199 | — | 1,643 | (1,259 | ) | — | (585 | ) | 39 | (2,605 | ) | 2,063 | ||||||||||||||||||
Total trading account assets | 9,044 | 409 | — | 3,629 | (2,323 | ) | — | (1,558 | ) | 1,471 | (4,413 | ) | 6,259 | ||||||||||||||||||
Net derivative assets (2) | (224 | ) | 463 | — | 823 | (1,738 | ) | — | (432 | ) | 28 | 160 | (920 | ) | |||||||||||||||||
AFS debt securities: | |||||||||||||||||||||||||||||||
Non-agency residential MBS | — | (2 | ) | — | 11 | — | — | — | 270 | — | 279 | ||||||||||||||||||||
Non-U.S. securities | 107 | (7 | ) | (11 | ) | 241 | — | — | (147 | ) | — | (173 | ) | 10 | |||||||||||||||||
Corporate/Agency bonds | — | — | — | — | — | — | — | 93 | (93 | ) | — | ||||||||||||||||||||
Other taxable securities | 3,847 | 9 | (8 | ) | 154 | — | — | (1,381 | ) | — | (954 | ) | 1,667 | ||||||||||||||||||
Tax-exempt securities | 806 | 8 | — | — | (16 | ) | — | (235 | ) | 36 | — | 599 | |||||||||||||||||||
Total AFS debt securities | 4,760 | 8 | (19 | ) | 406 | (16 | ) | — | (1,763 | ) | 399 | (1,220 | ) | 2,555 | |||||||||||||||||
Loans and leases (3, 4) | 3,057 | 69 | — | — | (3 | ) | 699 | (1,591 | ) | 25 | (273 | ) | 1,983 | ||||||||||||||||||
Mortgage servicing rights (4) | 5,042 | (1,231 | ) | — | — | (61 | ) | 707 | (927 | ) | — | — | 3,530 | ||||||||||||||||||
Loans held-for-sale (3) | 929 | 45 | — | 59 | (725 | ) | 23 | (216 | ) | 83 | (25 | ) | 173 | ||||||||||||||||||
Other assets (5) | 1,669 | (98 | ) | — | — | (430 | ) | — | (245 | ) | 39 | (24 | ) | 911 | |||||||||||||||||
Trading account liabilities – Corporate securities and other | (35 | ) | 1 | — | 10 | (13 | ) | — | — | (9 | ) | 10 | (36 | ) | |||||||||||||||||
Accrued expenses and other liabilities (3) | (10 | ) | 2 | — | — | — | (3 | ) | — | — | 1 | (10 | ) | ||||||||||||||||||
Long-term debt (3) | (1,990 | ) | 49 | — | 169 | — | (615 | ) | 540 | (1,581 | ) | 1,066 | (2,362 | ) | |||||||||||||||||
(1) | Assets (liabilities). For assets, increase (decrease) to Level 3 and for liabilities, (increase) decrease to Level 3. | ||||||||||||||||||||||||||||||
(2) | Net derivatives include derivative assets of $6.9 billion and derivative liabilities of $7.8 billion. | ||||||||||||||||||||||||||||||
(3) | Amounts represent instruments that are accounted for under the fair value option. | ||||||||||||||||||||||||||||||
(4) | Issuances represent loan originations and mortgage servicing rights retained following securitizations or whole-loan sales. | ||||||||||||||||||||||||||||||
(5) | Other assets is primarily comprised of private equity investments and certain long-term fixed-rate margin loans that are accounted for under the fair value option. | ||||||||||||||||||||||||||||||
Level 3 – Fair Value Measurements (1) | |||||||||||||||||||||||||||||||
2013 | |||||||||||||||||||||||||||||||
Gross | |||||||||||||||||||||||||||||||
(Dollars in millions) | Balance | Gains | Gains | Purchases | Sales | Issuances | Settlements | Gross | Gross | Balance | |||||||||||||||||||||
January 1 | (Losses) | (Losses) | Transfers | Transfers | December 31 | ||||||||||||||||||||||||||
2013 | in Earnings | in OCI | into | out of | 2013 | ||||||||||||||||||||||||||
Level 3 | Level 3 | ||||||||||||||||||||||||||||||
Trading account assets: | |||||||||||||||||||||||||||||||
Corporate securities, trading loans and other | $ | 3,726 | $ | 242 | $ | — | $ | 3,848 | $ | (3,110 | ) | $ | 59 | $ | (651 | ) | $ | 890 | $ | (1,445 | ) | $ | 3,559 | ||||||||
Equity securities | 545 | 74 | — | 96 | (175 | ) | — | (100 | ) | 70 | (124 | ) | 386 | ||||||||||||||||||
Non-U.S. sovereign debt | 353 | 50 | — | 122 | (18 | ) | — | (36 | ) | 2 | (5 | ) | 468 | ||||||||||||||||||
Mortgage trading loans and ABS | 4,935 | 53 | — | 2,514 | (1,993 | ) | — | (868 | ) | 20 | (30 | ) | 4,631 | ||||||||||||||||||
Total trading account assets | 9,559 | 419 | — | 6,580 | (5,296 | ) | 59 | (1,655 | ) | 982 | (1,604 | ) | 9,044 | ||||||||||||||||||
Net derivative assets (2) | 1,468 | (304 | ) | — | 824 | (1,467 | ) | — | (1,362 | ) | (10 | ) | 627 | (224 | ) | ||||||||||||||||
AFS debt securities: | |||||||||||||||||||||||||||||||
Commercial MBS | 10 | — | — | — | — | — | (10 | ) | — | — | — | ||||||||||||||||||||
Non-U.S. securities | — | 5 | 2 | 1 | (1 | ) | — | — | 100 | — | 107 | ||||||||||||||||||||
Corporate/Agency bonds | 92 | — | 4 | — | — | — | — | — | (96 | ) | — | ||||||||||||||||||||
Other taxable securities | 3,928 | 9 | 15 | 1,055 | — | — | (1,155 | ) | — | (5 | ) | 3,847 | |||||||||||||||||||
Tax-exempt securities | 1,061 | 3 | 19 | — | — | — | (109 | ) | — | (168 | ) | 806 | |||||||||||||||||||
Total AFS debt securities | 5,091 | 17 | 40 | 1,056 | (1 | ) | — | (1,274 | ) | 100 | (269 | ) | 4,760 | ||||||||||||||||||
Loans and leases (3, 4) | 2,287 | 98 | — | 310 | (128 | ) | 1,252 | (757 | ) | 19 | (24 | ) | 3,057 | ||||||||||||||||||
Mortgage servicing rights (4) | 5,716 | 1,941 | — | — | (2,044 | ) | 472 | (1,043 | ) | — | — | 5,042 | |||||||||||||||||||
Loans held-for-sale (3) | 2,733 | 62 | — | 8 | (402 | ) | 4 | (1,507 | ) | 34 | (3 | ) | 929 | ||||||||||||||||||
Other assets (5) | 3,129 | (288 | ) | — | 46 | (383 | ) | — | (1,019 | ) | 239 | (55 | ) | 1,669 | |||||||||||||||||
Trading account liabilities – Corporate securities and other | (64 | ) | 10 | — | 43 | (54 | ) | (5 | ) | — | (9 | ) | 44 | (35 | ) | ||||||||||||||||
Accrued expenses and other liabilities (3) | (15 | ) | 30 | — | — | — | (751 | ) | 724 | (1 | ) | 3 | (10 | ) | |||||||||||||||||
Long-term debt (3) | (2,301 | ) | 13 | — | 358 | (4 | ) | (172 | ) | 258 | (1,331 | ) | 1,189 | (1,990 | ) | ||||||||||||||||
(1) | Assets (liabilities). For assets, increase (decrease) to Level 3 and for liabilities, (increase) decrease to Level 3. | ||||||||||||||||||||||||||||||
(2) | Net derivatives include derivative assets of $7.3 billion and derivative liabilities of $7.5 billion. | ||||||||||||||||||||||||||||||
(3) | Amounts represent instruments that are accounted for under the fair value option. | ||||||||||||||||||||||||||||||
(4) | Issuances represent loan originations and mortgage servicing rights retained following securitizations or whole-loan sales. | ||||||||||||||||||||||||||||||
(5) | Other assets is primarily comprised of private equity investments and certain long-term fixed-rate margin loans that are accounted for under the fair value option. | ||||||||||||||||||||||||||||||
Fair Value, Measured on Recurring Basis, Gain (Loss) Included in Earnings | The following tables summarize gains (losses) due to changes in fair value, including both realized and unrealized gains (losses), recorded in earnings for Level 3 assets and liabilities during 2014, 2013 and 2012. These amounts include gains (losses) on loans, LHFS, loan commitments and structured liabilities that are accounted for under the fair value option. | ||||||||||||||||||||||||||||||
Level 3 – Total Realized and Unrealized Gains (Losses) Included in Earnings | |||||||||||||||||||||||||||||||
2014 | |||||||||||||||||||||||||||||||
(Dollars in millions) | Trading | Mortgage | Other (2) | Total | |||||||||||||||||||||||||||
Account | Banking | ||||||||||||||||||||||||||||||
Profits | Income | ||||||||||||||||||||||||||||||
(Losses) | (Loss) (1) | ||||||||||||||||||||||||||||||
Trading account assets: | |||||||||||||||||||||||||||||||
Corporate securities, trading loans and other | $ | 180 | $ | — | $ | — | $ | 180 | |||||||||||||||||||||||
Non-U.S. sovereign debt | 30 | — | — | 30 | |||||||||||||||||||||||||||
Mortgage trading loans and ABS | 199 | — | — | 199 | |||||||||||||||||||||||||||
Total trading account assets | 409 | — | — | 409 | |||||||||||||||||||||||||||
Net derivative assets | (475 | ) | 834 | 104 | 463 | ||||||||||||||||||||||||||
AFS debt securities: | |||||||||||||||||||||||||||||||
Non-agency residential MBS | — | — | (2 | ) | (2 | ) | |||||||||||||||||||||||||
Non-U.S. securities | — | — | (7 | ) | (7 | ) | |||||||||||||||||||||||||
Other taxable securities | — | — | 9 | 9 | |||||||||||||||||||||||||||
Tax-exempt securities | — | — | 8 | 8 | |||||||||||||||||||||||||||
Total AFS debt securities | — | — | 8 | 8 | |||||||||||||||||||||||||||
Loans and leases (3) | — | — | 69 | 69 | |||||||||||||||||||||||||||
Mortgage servicing rights | (6 | ) | (1,225 | ) | — | (1,231 | ) | ||||||||||||||||||||||||
Loans held-for-sale (3) | (14 | ) | — | 59 | 45 | ||||||||||||||||||||||||||
Other assets | — | (79 | ) | (19 | ) | (98 | ) | ||||||||||||||||||||||||
Trading account liabilities – Corporate securities and other | 1 | — | — | 1 | |||||||||||||||||||||||||||
Accrued expenses and other liabilities (3) | — | — | 2 | 2 | |||||||||||||||||||||||||||
Long-term debt (3) | 78 | — | (29 | ) | 49 | ||||||||||||||||||||||||||
Total | $ | (7 | ) | $ | (470 | ) | $ | 194 | $ | (283 | ) | ||||||||||||||||||||
2013 | |||||||||||||||||||||||||||||||
Trading account assets: | |||||||||||||||||||||||||||||||
Corporate securities, trading loans and other | $ | 242 | $ | — | $ | — | $ | 242 | |||||||||||||||||||||||
Equity securities | 74 | — | — | 74 | |||||||||||||||||||||||||||
Non-U.S. sovereign debt | 50 | — | — | 50 | |||||||||||||||||||||||||||
Mortgage trading loans and ABS | 53 | — | — | 53 | |||||||||||||||||||||||||||
Total trading account assets | 419 | — | — | 419 | |||||||||||||||||||||||||||
Net derivative assets | (1,224 | ) | 927 | (7 | ) | (304 | ) | ||||||||||||||||||||||||
AFS debt securities: | |||||||||||||||||||||||||||||||
Non-U.S. securities | — | — | 5 | 5 | |||||||||||||||||||||||||||
Other taxable securities | — | — | 9 | 9 | |||||||||||||||||||||||||||
Tax-exempt securities | — | — | 3 | 3 | |||||||||||||||||||||||||||
Total AFS debt securities | — | — | 17 | 17 | |||||||||||||||||||||||||||
Loans and leases (3) | — | (38 | ) | 136 | 98 | ||||||||||||||||||||||||||
Mortgage servicing rights | — | 1,941 | — | 1,941 | |||||||||||||||||||||||||||
Loans held-for-sale (3) | — | 2 | 60 | 62 | |||||||||||||||||||||||||||
Other assets | — | 122 | (410 | ) | (288 | ) | |||||||||||||||||||||||||
Trading account liabilities – Corporate securities and other | 10 | — | — | 10 | |||||||||||||||||||||||||||
Accrued expenses and other liabilities (3) | — | 30 | — | 30 | |||||||||||||||||||||||||||
Long-term debt (3) | 45 | — | (32 | ) | 13 | ||||||||||||||||||||||||||
Total | $ | (750 | ) | $ | 2,984 | $ | (236 | ) | $ | 1,998 | |||||||||||||||||||||
(1) | Mortgage banking income (loss) does not reflect the impact of Level 1 and Level 2 hedges on MSRs. | ||||||||||||||||||||||||||||||
(2) | Amounts included are primarily recorded in other income (loss). Equity investment gains of $86 million and $77 million recorded on net derivative assets and other assets were also included for 2014 and 2013. | ||||||||||||||||||||||||||||||
(3) | Amounts represent instruments that are accounted for under the fair value option. | ||||||||||||||||||||||||||||||
Level 3 – Total Realized and Unrealized Gains (Losses) Included in Earnings (continued) | |||||||||||||||||||||||||||||||
2012 | |||||||||||||||||||||||||||||||
(Dollars in millions) | Trading | Mortgage | Other (2) | Total | |||||||||||||||||||||||||||
Account | Banking | ||||||||||||||||||||||||||||||
Profits | Income | ||||||||||||||||||||||||||||||
(Losses) | (Loss) (1) | ||||||||||||||||||||||||||||||
Trading account assets: | |||||||||||||||||||||||||||||||
Corporate securities, trading loans and other | $ | 195 | $ | — | $ | — | $ | 195 | |||||||||||||||||||||||
Equity securities | 31 | — | — | 31 | |||||||||||||||||||||||||||
Non-U.S. sovereign debt | 8 | — | — | 8 | |||||||||||||||||||||||||||
Mortgage trading loans and ABS | 215 | — | — | 215 | |||||||||||||||||||||||||||
Total trading account assets | 449 | — | — | 449 | |||||||||||||||||||||||||||
Net derivative assets | (3,208 | ) | 2,987 | — | (221 | ) | |||||||||||||||||||||||||
AFS debt securities: | |||||||||||||||||||||||||||||||
Non-agency residential MBS | — | — | (69 | ) | (69 | ) | |||||||||||||||||||||||||
Corporate/Agency bonds | — | — | (2 | ) | (2 | ) | |||||||||||||||||||||||||
Other taxable securities | 2 | — | 21 | 23 | |||||||||||||||||||||||||||
Tax-exempt securities | — | — | 61 | 61 | |||||||||||||||||||||||||||
Total AFS debt securities | 2 | — | 11 | 13 | |||||||||||||||||||||||||||
Loans and leases (3) | — | — | 334 | 334 | |||||||||||||||||||||||||||
Mortgage servicing rights | — | (430 | ) | — | (430 | ) | |||||||||||||||||||||||||
Loans held-for-sale (3) | — | 148 | 204 | 352 | |||||||||||||||||||||||||||
Other assets | — | (74 | ) | 20 | (54 | ) | |||||||||||||||||||||||||
Trading account liabilities – Corporate securities and other | 4 | — | — | 4 | |||||||||||||||||||||||||||
Accrued expenses and other liabilities (3) | — | — | (4 | ) | (4 | ) | |||||||||||||||||||||||||
Long-term debt (3) | (133 | ) | — | (174 | ) | (307 | ) | ||||||||||||||||||||||||
Total | $ | (2,886 | ) | $ | 2,631 | $ | 391 | $ | 136 | ||||||||||||||||||||||
(1) | Mortgage banking income (loss) does not reflect the impact of Level 1 and Level 2 hedges on MSRs. | ||||||||||||||||||||||||||||||
(2) | Amounts included are primarily recorded in other income (loss). Equity investment gains of $97 million recorded on other assets were also included for 2012. | ||||||||||||||||||||||||||||||
(3) | Amounts represent instruments that are accounted for under the fair value option. | ||||||||||||||||||||||||||||||
Level 3 Changes in Unrealized Gains (Losses) Relating to Assets and Liabilities Still Held at Reporting Date | The table below summarizes changes in unrealized gains (losses) recorded in earnings during 2014, 2013 and 2012 for Level 3 assets and liabilities that were still held at December 31, 2014, 2013 and 2012. These amounts include changes in fair value on loans, LHFS, loan commitments and structured liabilities that are accounted for under the fair value option. | ||||||||||||||||||||||||||||||
Level 3 – Changes in Unrealized Gains (Losses) Relating to Assets and Liabilities Still Held at Reporting Date | |||||||||||||||||||||||||||||||
2014 | |||||||||||||||||||||||||||||||
(Dollars in millions) | Trading | Mortgage | Other (2) | Total | |||||||||||||||||||||||||||
Account | Banking | ||||||||||||||||||||||||||||||
Profits | Income | ||||||||||||||||||||||||||||||
(Losses) | (Loss) (1) | ||||||||||||||||||||||||||||||
Trading account assets: | |||||||||||||||||||||||||||||||
Corporate securities, trading loans and other | $ | 69 | $ | — | $ | — | $ | 69 | |||||||||||||||||||||||
Equity securities | (8 | ) | — | — | (8 | ) | |||||||||||||||||||||||||
Non-U.S. sovereign debt | 31 | — | — | 31 | |||||||||||||||||||||||||||
Mortgage trading loans and ABS | 79 | — | — | 79 | |||||||||||||||||||||||||||
Total trading account assets | 171 | — | — | 171 | |||||||||||||||||||||||||||
Net derivative assets | (276 | ) | 85 | 104 | (87 | ) | |||||||||||||||||||||||||
Loans and leases (3) | — | — | 76 | 76 | |||||||||||||||||||||||||||
Mortgage servicing rights | (6 | ) | (1,747 | ) | — | (1,753 | ) | ||||||||||||||||||||||||
Loans held-for-sale (3) | (14 | ) | — | 10 | (4 | ) | |||||||||||||||||||||||||
Other assets | — | (50 | ) | 102 | 52 | ||||||||||||||||||||||||||
Trading account liabilities – Corporate securities and other | 1 | — | — | 1 | |||||||||||||||||||||||||||
Accrued expenses and other liabilities (3) | — | — | 1 | 1 | |||||||||||||||||||||||||||
Long-term debt (3) | 29 | — | (37 | ) | (8 | ) | |||||||||||||||||||||||||
Total | $ | (95 | ) | $ | (1,712 | ) | $ | 256 | $ | (1,551 | ) | ||||||||||||||||||||
2013 | |||||||||||||||||||||||||||||||
Trading account assets: | |||||||||||||||||||||||||||||||
Corporate securities, trading loans and other | $ | (130 | ) | $ | — | $ | — | $ | (130 | ) | |||||||||||||||||||||
Equity securities | 40 | — | — | 40 | |||||||||||||||||||||||||||
Non-U.S. sovereign debt | 80 | — | — | 80 | |||||||||||||||||||||||||||
Mortgage trading loans and ABS | (174 | ) | — | — | (174 | ) | |||||||||||||||||||||||||
Total trading account assets | (184 | ) | — | — | (184 | ) | |||||||||||||||||||||||||
Net derivative assets | (1,375 | ) | 42 | (7 | ) | (1,340 | ) | ||||||||||||||||||||||||
Loans and leases (3) | — | (34 | ) | 152 | 118 | ||||||||||||||||||||||||||
Mortgage servicing rights | — | 1,541 | — | 1,541 | |||||||||||||||||||||||||||
Loans held-for-sale (3) | — | 6 | 57 | 63 | |||||||||||||||||||||||||||
Other assets | — | 166 | 14 | 180 | |||||||||||||||||||||||||||
Long-term debt (3) | (4 | ) | — | (32 | ) | (36 | ) | ||||||||||||||||||||||||
Total | $ | (1,563 | ) | $ | 1,721 | $ | 184 | $ | 342 | ||||||||||||||||||||||
2012 | |||||||||||||||||||||||||||||||
Trading account assets: | |||||||||||||||||||||||||||||||
Corporate securities, trading loans and other | $ | (19 | ) | $ | — | $ | — | $ | (19 | ) | |||||||||||||||||||||
Equity securities | 17 | — | — | 17 | |||||||||||||||||||||||||||
Non-U.S. sovereign debt | 20 | — | — | 20 | |||||||||||||||||||||||||||
Mortgage trading loans and ABS | 36 | — | — | 36 | |||||||||||||||||||||||||||
Total trading account assets | 54 | — | — | 54 | |||||||||||||||||||||||||||
Net derivative assets | (2,782 | ) | 456 | — | (2,326 | ) | |||||||||||||||||||||||||
AFS debt securities – Other taxable securities | 2 | — | — | 2 | |||||||||||||||||||||||||||
Loans and leases (3) | — | — | 214 | 214 | |||||||||||||||||||||||||||
Mortgage servicing rights | — | (1,100 | ) | — | (1,100 | ) | |||||||||||||||||||||||||
Loans held-for-sale (3) | — | 112 | 168 | 280 | |||||||||||||||||||||||||||
Other assets | — | (71 | ) | 50 | (21 | ) | |||||||||||||||||||||||||
Trading account liabilities – Corporate securities and other | 4 | — | — | 4 | |||||||||||||||||||||||||||
Accrued expenses and other liabilities (3) | — | — | (2 | ) | (2 | ) | |||||||||||||||||||||||||
Long-term debt (3) | (136 | ) | — | (173 | ) | (309 | ) | ||||||||||||||||||||||||
Total | $ | (2,858 | ) | $ | (603 | ) | $ | 257 | $ | (3,204 | ) | ||||||||||||||||||||
(1) | Mortgage banking income (loss) does not reflect the impact of Level 1 and Level 2 hedges on MSRs. | ||||||||||||||||||||||||||||||
(2) | Amounts included are primarily recorded in other income (loss). Equity investment gains of $170 million and $53 million recorded on net derivative assets and other assets were included for 2014 and 2013, and gains of $141 million recorded on other assets were included for 2012. | ||||||||||||||||||||||||||||||
(3) | Amounts represent instruments that are accounted for under the fair value option. | ||||||||||||||||||||||||||||||
Fair Value Inputs, Assets, Quantitative Information | The following tables present information about significant unobservable inputs related to the Corporation’s material categories of Level 3 financial assets and liabilities at December 31, 2014 and 2013. | ||||||||||||||||||||||||||||||
Quantitative Information about Level 3 Fair Value Measurements at December 31, 2014 | |||||||||||||||||||||||||||||||
(Dollars in millions) | Inputs | ||||||||||||||||||||||||||||||
Financial Instrument | Fair | Valuation | Significant Unobservable | Ranges of | Weighted Average | ||||||||||||||||||||||||||
Value | Technique | Inputs | Inputs | ||||||||||||||||||||||||||||
Loans and Securities (1) | |||||||||||||||||||||||||||||||
Instruments backed by residential real estate assets | $ | 2,030 | Discounted cash flow, Market comparables | Yield | 0% to 25% | 6 | % | ||||||||||||||||||||||||
Trading account assets – Mortgage trading loans and ABS | 483 | Prepayment speed | 0% to 35% CPR | 14 | % | ||||||||||||||||||||||||||
Loans and leases | 1,374 | Default rate | 2% to 15% CDR | 7 | % | ||||||||||||||||||||||||||
Loans held-for-sale | 173 | Loss severity | 26% to 100% | 34 | % | ||||||||||||||||||||||||||
Commercial loans, debt securities and other | $ | 7,203 | Discounted cash flow, Market comparables | Yield | 0% to 40% | 9 | % | ||||||||||||||||||||||||
Trading account assets – Corporate securities, trading loans and other | 3,224 | Enterprise value/EBITDA multiple | 0x to 30x | 6x | |||||||||||||||||||||||||||
Trading account assets – Non-U.S. sovereign debt | 574 | Prepayment speed | 1% to 30% | 12 | % | ||||||||||||||||||||||||||
Trading account assets – Mortgage trading loans and ABS | 1,580 | Default rate | 1% to 5% | 4 | % | ||||||||||||||||||||||||||
AFS debt securities – Other taxable securities | 1,216 | Loss severity | 25% to 40% | 38 | % | ||||||||||||||||||||||||||
Loans and leases | 609 | Duration | 0 years to 5 years | 3 years | |||||||||||||||||||||||||||
Price | $0 to $107 | $76 | |||||||||||||||||||||||||||||
Auction rate securities | $ | 1,096 | Discounted cash flow, Market comparables | Price | $60 to $100 | $95 | |||||||||||||||||||||||||
Trading account assets – Corporate securities, trading loans and other | 46 | ||||||||||||||||||||||||||||||
AFS debt securities – Other taxable securities | 451 | ||||||||||||||||||||||||||||||
AFS debt securities – Tax-exempt securities | 599 | ||||||||||||||||||||||||||||||
Structured liabilities | |||||||||||||||||||||||||||||||
Long-term debt | $ | (2,362 | ) | Industry standard derivative pricing (2, 3) | Equity correlation | 20% to 98% | 65 | % | |||||||||||||||||||||||
Long-dated equity volatilities | 6% to 69% | 24 | % | ||||||||||||||||||||||||||||
Long-dated volatilities (IR) | 0% to 2% | 1 | % | ||||||||||||||||||||||||||||
Net derivative assets | |||||||||||||||||||||||||||||||
Credit derivatives | $ | 22 | Discounted cash flow, Stochastic recovery correlation model | Yield | 0% to 25% | 14 | % | ||||||||||||||||||||||||
Upfront points | 0 points to 100 points | 65 points | |||||||||||||||||||||||||||||
Spread to index | 25 bps to 450 bps | 119 bps | |||||||||||||||||||||||||||||
Credit correlation | 24% to 99% | 51 | % | ||||||||||||||||||||||||||||
Prepayment speed | 3% to 20% CPR | 11 | % | ||||||||||||||||||||||||||||
Default rate | 4% CDR | n/a | |||||||||||||||||||||||||||||
Loss severity | 35 | % | n/a | ||||||||||||||||||||||||||||
Equity derivatives | $ | (1,560 | ) | Industry standard derivative pricing (2) | Equity correlation | 20% to 98% | 65 | % | |||||||||||||||||||||||
Long-dated equity volatilities | 6% to 69% | 24 | % | ||||||||||||||||||||||||||||
Commodity derivatives | $ | 141 | Discounted cash flow, Industry standard derivative pricing (2) | Natural gas forward price | $2/MMBtu to $7/MMBtu | $5/MMBtu | |||||||||||||||||||||||||
Correlation | 82% to 93% | 90 | % | ||||||||||||||||||||||||||||
Volatilities | 16% to 98% | 35 | % | ||||||||||||||||||||||||||||
Interest rate derivatives | $ | 477 | Industry standard derivative pricing (3) | Correlation (IR/IR) | 11% to 99% | 55 | % | ||||||||||||||||||||||||
Correlation (FX/IR) | -48% to 40% | -5 | % | ||||||||||||||||||||||||||||
Long-dated inflation rates | 0% to 3% | 1 | % | ||||||||||||||||||||||||||||
Long-dated inflation volatilities | 0% to 2% | 1 | % | ||||||||||||||||||||||||||||
Total net derivative assets | $ | (920 | ) | ||||||||||||||||||||||||||||
(1) | The categories are aggregated based upon product type which differs from financial statement classification. The following is a reconciliation to the line items in the table on page 107: Trading account assets – Corporate securities, trading loans and other of $3.3 billion, Trading account assets – Non-U.S. sovereign debt of $574 million, Trading account assets – Mortgage trading loans and ABS of $2.1 billion, AFS debt securities – Other taxable securities of $1.7 billion, AFS debt securities – Tax-exempt securities of $599 million, Loans and leases of $2.0 billion and LHFS of $173 million. | ||||||||||||||||||||||||||||||
(2) | Includes models such as Monte Carlo simulation and Black-Scholes. | ||||||||||||||||||||||||||||||
(3) | Includes models such as Monte Carlo simulation, Black-Scholes and other methods that model the joint dynamics of interest, inflation and foreign exchange rates. | ||||||||||||||||||||||||||||||
CPR =onstant Prepayment Rate | |||||||||||||||||||||||||||||||
CDR =onstant Default Rate | |||||||||||||||||||||||||||||||
EBITDA =arnings before interest, taxes, depreciation and amortization | |||||||||||||||||||||||||||||||
MMBtu =illion British thermal units | |||||||||||||||||||||||||||||||
IR =nterest Rate | |||||||||||||||||||||||||||||||
FX =oreign Exchange | |||||||||||||||||||||||||||||||
n/a =ot applicable | |||||||||||||||||||||||||||||||
Quantitative Information about Level 3 Fair Value Measurements at December 31, 2013 | |||||||||||||||||||||||||||||||
(Dollars in millions) | Inputs | ||||||||||||||||||||||||||||||
Financial Instrument | Fair | Valuation | Significant Unobservable | Ranges of | Weighted Average | ||||||||||||||||||||||||||
Value | Technique | Inputs | Inputs | ||||||||||||||||||||||||||||
Loans and Securities (1) | |||||||||||||||||||||||||||||||
Instruments backed by residential real estate assets | $ | 3,443 | Discounted cash flow, Market comparables | Yield | 2% to 25% | 6 | % | ||||||||||||||||||||||||
Trading account assets – Mortgage trading loans and ABS | 363 | Prepayment speed | 0% to 35% CPR | 9 | % | ||||||||||||||||||||||||||
Loans and leases | 2,151 | Default rate | 1% to 20% CDR | 6 | % | ||||||||||||||||||||||||||
Loans held-for-sale | 929 | Loss severity | 21% to 80% | 35 | % | ||||||||||||||||||||||||||
Commercial loans, debt securities and other | $ | 12,135 | Discounted cash flow, Market comparables | Yield | 0% to 45% | 5 | % | ||||||||||||||||||||||||
Trading account assets – Corporate securities, trading loans and other | 3,462 | Enterprise value/EBITDA multiple | 0x to 24x | 7x | |||||||||||||||||||||||||||
Trading account assets – Non-U.S. sovereign debt | 468 | Prepayment speed | 5% to 40% | 19 | % | ||||||||||||||||||||||||||
Trading account assets – Mortgage trading loans and ABS | 4,268 | Default rate | 1% to 5% | 4 | % | ||||||||||||||||||||||||||
AFS debt securities – Other taxable securities | 3,031 | Loss severity | 25% to 42% | 36 | % | ||||||||||||||||||||||||||
Loans and leases | 906 | Duration | 1 year to 5 years | 4 years | |||||||||||||||||||||||||||
Auction rate securities | $ | 1,719 | Discounted cash flow, Market comparables | Projected tender price/Refinancing level | 60% to 100% | 96 | % | ||||||||||||||||||||||||
Trading account assets – Corporate securities, trading loans and other | 97 | ||||||||||||||||||||||||||||||
AFS debt securities – Other taxable securities | 816 | ||||||||||||||||||||||||||||||
AFS debt securities – Tax-exempt securities | 806 | ||||||||||||||||||||||||||||||
Structured liabilities | |||||||||||||||||||||||||||||||
Long-term debt | $ | (1,990 | ) | Industry standard derivative pricing (2, 3) | Equity correlation | 18% to 98% | 70 | % | |||||||||||||||||||||||
Long-dated equity volatilities | 4% to 63% | 27 | % | ||||||||||||||||||||||||||||
Long-dated volatilities (IR) | 0% to 2% | 1 | % | ||||||||||||||||||||||||||||
Net derivative assets | |||||||||||||||||||||||||||||||
Credit derivatives | $ | 808 | Discounted cash flow, Stochastic recovery correlation model | Yield | 3% to 25% | 14 | % | ||||||||||||||||||||||||
Upfront points | 0 points to 100 points | 63 points | |||||||||||||||||||||||||||||
Spread to index | -1,407 bps to 1,741 bps | 91 bps | |||||||||||||||||||||||||||||
Credit correlation | 14% to 99% | 47 | % | ||||||||||||||||||||||||||||
Prepayment speed | 3% to 40% CPR | 13 | % | ||||||||||||||||||||||||||||
Default rate | 1% to 5% CDR | 3 | % | ||||||||||||||||||||||||||||
Loss severity | 20% to 42% | 35 | % | ||||||||||||||||||||||||||||
Equity derivatives | $ | (1,596 | ) | Industry standard derivative pricing (2) | Equity correlation | 18% to 98% | 70 | % | |||||||||||||||||||||||
Long-dated equity volatilities | 4% to 63% | 27 | % | ||||||||||||||||||||||||||||
Commodity derivatives | $ | 6 | Discounted cash flow, Industry standard derivative pricing (2) | Natural gas forward price | $3/MMBtu to $11/MMBtu | $6/MMBtu | |||||||||||||||||||||||||
Correlation | 47% to 89% | 81 | % | ||||||||||||||||||||||||||||
Volatilities | 9% to 109% | 30 | % | ||||||||||||||||||||||||||||
Interest rate derivatives | $ | 558 | Industry standard derivative pricing (3) | Correlation (IR/IR) | 24% to 99% | 60 | % | ||||||||||||||||||||||||
Correlation (FX/IR) | -30% to 40% | -4 | % | ||||||||||||||||||||||||||||
Long-dated inflation rates | 0% to 3% | 2 | % | ||||||||||||||||||||||||||||
Long-dated inflation volatilities | 0% to 2% | 1 | % | ||||||||||||||||||||||||||||
Total net derivative assets | $ | (224 | ) | ||||||||||||||||||||||||||||
(1) | The categories are aggregated based upon product type which differs from financial statement classification. The following is a reconciliation to the line items in the table on page 108: Trading account assets – Corporate securities, trading loans and other of $3.6 billion, Trading account assets – Non-U.S. sovereign debt of $468 million, Trading account assets – Mortgage trading loans and ABS of $4.6 billion, AFS debt securities – Other taxable securities of $3.8 billion, AFS debt securities – Tax-exempt securities of $806 million, Loans and leases of $3.1 billion and LHFS of $929 million. | ||||||||||||||||||||||||||||||
(2) | Includes models such as Monte Carlo simulation and Black-Scholes. | ||||||||||||||||||||||||||||||
(3) | Includes models such as Monte Carlo simulation, Black-Scholes and other methods that model the joint dynamics of interest, inflation and foreign exchange rates. | ||||||||||||||||||||||||||||||
CPR =onstant Prepayment Rate | |||||||||||||||||||||||||||||||
CDR =onstant Default Rate | |||||||||||||||||||||||||||||||
EBITDA =arnings before interest, taxes, depreciation and amortization | |||||||||||||||||||||||||||||||
MMBtu =illion British thermal units | |||||||||||||||||||||||||||||||
IR =nterest Rate | |||||||||||||||||||||||||||||||
FX =oreign Exchange | |||||||||||||||||||||||||||||||
Fair Value Inputs, Liabilities, Quantitative Information | The following tables present information about significant unobservable inputs related to the Corporation’s material categories of Level 3 financial assets and liabilities at December 31, 2014 and 2013. | ||||||||||||||||||||||||||||||
Quantitative Information about Level 3 Fair Value Measurements at December 31, 2014 | |||||||||||||||||||||||||||||||
(Dollars in millions) | Inputs | ||||||||||||||||||||||||||||||
Financial Instrument | Fair | Valuation | Significant Unobservable | Ranges of | Weighted Average | ||||||||||||||||||||||||||
Value | Technique | Inputs | Inputs | ||||||||||||||||||||||||||||
Loans and Securities (1) | |||||||||||||||||||||||||||||||
Instruments backed by residential real estate assets | $ | 2,030 | Discounted cash flow, Market comparables | Yield | 0% to 25% | 6 | % | ||||||||||||||||||||||||
Trading account assets – Mortgage trading loans and ABS | 483 | Prepayment speed | 0% to 35% CPR | 14 | % | ||||||||||||||||||||||||||
Loans and leases | 1,374 | Default rate | 2% to 15% CDR | 7 | % | ||||||||||||||||||||||||||
Loans held-for-sale | 173 | Loss severity | 26% to 100% | 34 | % | ||||||||||||||||||||||||||
Commercial loans, debt securities and other | $ | 7,203 | Discounted cash flow, Market comparables | Yield | 0% to 40% | 9 | % | ||||||||||||||||||||||||
Trading account assets – Corporate securities, trading loans and other | 3,224 | Enterprise value/EBITDA multiple | 0x to 30x | 6x | |||||||||||||||||||||||||||
Trading account assets – Non-U.S. sovereign debt | 574 | Prepayment speed | 1% to 30% | 12 | % | ||||||||||||||||||||||||||
Trading account assets – Mortgage trading loans and ABS | 1,580 | Default rate | 1% to 5% | 4 | % | ||||||||||||||||||||||||||
AFS debt securities – Other taxable securities | 1,216 | Loss severity | 25% to 40% | 38 | % | ||||||||||||||||||||||||||
Loans and leases | 609 | Duration | 0 years to 5 years | 3 years | |||||||||||||||||||||||||||
Price | $0 to $107 | $76 | |||||||||||||||||||||||||||||
Auction rate securities | $ | 1,096 | Discounted cash flow, Market comparables | Price | $60 to $100 | $95 | |||||||||||||||||||||||||
Trading account assets – Corporate securities, trading loans and other | 46 | ||||||||||||||||||||||||||||||
AFS debt securities – Other taxable securities | 451 | ||||||||||||||||||||||||||||||
AFS debt securities – Tax-exempt securities | 599 | ||||||||||||||||||||||||||||||
Structured liabilities | |||||||||||||||||||||||||||||||
Long-term debt | $ | (2,362 | ) | Industry standard derivative pricing (2, 3) | Equity correlation | 20% to 98% | 65 | % | |||||||||||||||||||||||
Long-dated equity volatilities | 6% to 69% | 24 | % | ||||||||||||||||||||||||||||
Long-dated volatilities (IR) | 0% to 2% | 1 | % | ||||||||||||||||||||||||||||
Net derivative assets | |||||||||||||||||||||||||||||||
Credit derivatives | $ | 22 | Discounted cash flow, Stochastic recovery correlation model | Yield | 0% to 25% | 14 | % | ||||||||||||||||||||||||
Upfront points | 0 points to 100 points | 65 points | |||||||||||||||||||||||||||||
Spread to index | 25 bps to 450 bps | 119 bps | |||||||||||||||||||||||||||||
Credit correlation | 24% to 99% | 51 | % | ||||||||||||||||||||||||||||
Prepayment speed | 3% to 20% CPR | 11 | % | ||||||||||||||||||||||||||||
Default rate | 4% CDR | n/a | |||||||||||||||||||||||||||||
Loss severity | 35 | % | n/a | ||||||||||||||||||||||||||||
Equity derivatives | $ | (1,560 | ) | Industry standard derivative pricing (2) | Equity correlation | 20% to 98% | 65 | % | |||||||||||||||||||||||
Long-dated equity volatilities | 6% to 69% | 24 | % | ||||||||||||||||||||||||||||
Commodity derivatives | $ | 141 | Discounted cash flow, Industry standard derivative pricing (2) | Natural gas forward price | $2/MMBtu to $7/MMBtu | $5/MMBtu | |||||||||||||||||||||||||
Correlation | 82% to 93% | 90 | % | ||||||||||||||||||||||||||||
Volatilities | 16% to 98% | 35 | % | ||||||||||||||||||||||||||||
Interest rate derivatives | $ | 477 | Industry standard derivative pricing (3) | Correlation (IR/IR) | 11% to 99% | 55 | % | ||||||||||||||||||||||||
Correlation (FX/IR) | -48% to 40% | -5 | % | ||||||||||||||||||||||||||||
Long-dated inflation rates | 0% to 3% | 1 | % | ||||||||||||||||||||||||||||
Long-dated inflation volatilities | 0% to 2% | 1 | % | ||||||||||||||||||||||||||||
Total net derivative assets | $ | (920 | ) | ||||||||||||||||||||||||||||
(1) | The categories are aggregated based upon product type which differs from financial statement classification. The following is a reconciliation to the line items in the table on page 107: Trading account assets – Corporate securities, trading loans and other of $3.3 billion, Trading account assets – Non-U.S. sovereign debt of $574 million, Trading account assets – Mortgage trading loans and ABS of $2.1 billion, AFS debt securities – Other taxable securities of $1.7 billion, AFS debt securities – Tax-exempt securities of $599 million, Loans and leases of $2.0 billion and LHFS of $173 million. | ||||||||||||||||||||||||||||||
(2) | Includes models such as Monte Carlo simulation and Black-Scholes. | ||||||||||||||||||||||||||||||
(3) | Includes models such as Monte Carlo simulation, Black-Scholes and other methods that model the joint dynamics of interest, inflation and foreign exchange rates. | ||||||||||||||||||||||||||||||
CPR =onstant Prepayment Rate | |||||||||||||||||||||||||||||||
CDR =onstant Default Rate | |||||||||||||||||||||||||||||||
EBITDA =arnings before interest, taxes, depreciation and amortization | |||||||||||||||||||||||||||||||
MMBtu =illion British thermal units | |||||||||||||||||||||||||||||||
IR =nterest Rate | |||||||||||||||||||||||||||||||
FX =oreign Exchange | |||||||||||||||||||||||||||||||
n/a =ot applicable | |||||||||||||||||||||||||||||||
Quantitative Information about Level 3 Fair Value Measurements at December 31, 2013 | |||||||||||||||||||||||||||||||
(Dollars in millions) | Inputs | ||||||||||||||||||||||||||||||
Financial Instrument | Fair | Valuation | Significant Unobservable | Ranges of | Weighted Average | ||||||||||||||||||||||||||
Value | Technique | Inputs | Inputs | ||||||||||||||||||||||||||||
Loans and Securities (1) | |||||||||||||||||||||||||||||||
Instruments backed by residential real estate assets | $ | 3,443 | Discounted cash flow, Market comparables | Yield | 2% to 25% | 6 | % | ||||||||||||||||||||||||
Trading account assets – Mortgage trading loans and ABS | 363 | Prepayment speed | 0% to 35% CPR | 9 | % | ||||||||||||||||||||||||||
Loans and leases | 2,151 | Default rate | 1% to 20% CDR | 6 | % | ||||||||||||||||||||||||||
Loans held-for-sale | 929 | Loss severity | 21% to 80% | 35 | % | ||||||||||||||||||||||||||
Commercial loans, debt securities and other | $ | 12,135 | Discounted cash flow, Market comparables | Yield | 0% to 45% | 5 | % | ||||||||||||||||||||||||
Trading account assets – Corporate securities, trading loans and other | 3,462 | Enterprise value/EBITDA multiple | 0x to 24x | 7x | |||||||||||||||||||||||||||
Trading account assets – Non-U.S. sovereign debt | 468 | Prepayment speed | 5% to 40% | 19 | % | ||||||||||||||||||||||||||
Trading account assets – Mortgage trading loans and ABS | 4,268 | Default rate | 1% to 5% | 4 | % | ||||||||||||||||||||||||||
AFS debt securities – Other taxable securities | 3,031 | Loss severity | 25% to 42% | 36 | % | ||||||||||||||||||||||||||
Loans and leases | 906 | Duration | 1 year to 5 years | 4 years | |||||||||||||||||||||||||||
Auction rate securities | $ | 1,719 | Discounted cash flow, Market comparables | Projected tender price/Refinancing level | 60% to 100% | 96 | % | ||||||||||||||||||||||||
Trading account assets – Corporate securities, trading loans and other | 97 | ||||||||||||||||||||||||||||||
AFS debt securities – Other taxable securities | 816 | ||||||||||||||||||||||||||||||
AFS debt securities – Tax-exempt securities | 806 | ||||||||||||||||||||||||||||||
Structured liabilities | |||||||||||||||||||||||||||||||
Long-term debt | $ | (1,990 | ) | Industry standard derivative pricing (2, 3) | Equity correlation | 18% to 98% | 70 | % | |||||||||||||||||||||||
Long-dated equity volatilities | 4% to 63% | 27 | % | ||||||||||||||||||||||||||||
Long-dated volatilities (IR) | 0% to 2% | 1 | % | ||||||||||||||||||||||||||||
Net derivative assets | |||||||||||||||||||||||||||||||
Credit derivatives | $ | 808 | Discounted cash flow, Stochastic recovery correlation model | Yield | 3% to 25% | 14 | % | ||||||||||||||||||||||||
Upfront points | 0 points to 100 points | 63 points | |||||||||||||||||||||||||||||
Spread to index | -1,407 bps to 1,741 bps | 91 bps | |||||||||||||||||||||||||||||
Credit correlation | 14% to 99% | 47 | % | ||||||||||||||||||||||||||||
Prepayment speed | 3% to 40% CPR | 13 | % | ||||||||||||||||||||||||||||
Default rate | 1% to 5% CDR | 3 | % | ||||||||||||||||||||||||||||
Loss severity | 20% to 42% | 35 | % | ||||||||||||||||||||||||||||
Equity derivatives | $ | (1,596 | ) | Industry standard derivative pricing (2) | Equity correlation | 18% to 98% | 70 | % | |||||||||||||||||||||||
Long-dated equity volatilities | 4% to 63% | 27 | % | ||||||||||||||||||||||||||||
Commodity derivatives | $ | 6 | Discounted cash flow, Industry standard derivative pricing (2) | Natural gas forward price | $3/MMBtu to $11/MMBtu | $6/MMBtu | |||||||||||||||||||||||||
Correlation | 47% to 89% | 81 | % | ||||||||||||||||||||||||||||
Volatilities | 9% to 109% | 30 | % | ||||||||||||||||||||||||||||
Interest rate derivatives | $ | 558 | Industry standard derivative pricing (3) | Correlation (IR/IR) | 24% to 99% | 60 | % | ||||||||||||||||||||||||
Correlation (FX/IR) | -30% to 40% | -4 | % | ||||||||||||||||||||||||||||
Long-dated inflation rates | 0% to 3% | 2 | % | ||||||||||||||||||||||||||||
Long-dated inflation volatilities | 0% to 2% | 1 | % | ||||||||||||||||||||||||||||
Total net derivative assets | $ | (224 | ) | ||||||||||||||||||||||||||||
(1) | The categories are aggregated based upon product type which differs from financial statement classification. The following is a reconciliation to the line items in the table on page 108: Trading account assets – Corporate securities, trading loans and other of $3.6 billion, Trading account assets – Non-U.S. sovereign debt of $468 million, Trading account assets – Mortgage trading loans and ABS of $4.6 billion, AFS debt securities – Other taxable securities of $3.8 billion, AFS debt securities – Tax-exempt securities of $806 million, Loans and leases of $3.1 billion and LHFS of $929 million. | ||||||||||||||||||||||||||||||
(2) | Includes models such as Monte Carlo simulation and Black-Scholes. | ||||||||||||||||||||||||||||||
(3) | Includes models such as Monte Carlo simulation, Black-Scholes and other methods that model the joint dynamics of interest, inflation and foreign exchange rates. | ||||||||||||||||||||||||||||||
CPR =onstant Prepayment Rate | |||||||||||||||||||||||||||||||
CDR =onstant Default Rate | |||||||||||||||||||||||||||||||
EBITDA =arnings before interest, taxes, depreciation and amortization | |||||||||||||||||||||||||||||||
MMBtu =illion British thermal units | |||||||||||||||||||||||||||||||
IR =nterest Rate | |||||||||||||||||||||||||||||||
FX =oreign Exchange | |||||||||||||||||||||||||||||||
Assets and Liabilities Measured at Fair Value on Nonrecurring Basis | The amounts below represent only balances measured at fair value during 2014, 2013 and 2012, and still held as of the reporting date. | ||||||||||||||||||||||||||||||
Assets Measured at Fair Value on a Nonrecurring Basis | |||||||||||||||||||||||||||||||
31-Dec | |||||||||||||||||||||||||||||||
2014 | 2013 | ||||||||||||||||||||||||||||||
(Dollars in millions) | Level 2 | Level 3 | Level 2 | Level 3 | |||||||||||||||||||||||||||
Assets | |||||||||||||||||||||||||||||||
Loans held-for-sale | $ | 156 | $ | 30 | $ | 2,138 | $ | 115 | |||||||||||||||||||||||
Loans and leases | 5 | 4,636 | 18 | 5,240 | |||||||||||||||||||||||||||
Foreclosed properties (1) | — | 1,197 | 12 | 1,258 | |||||||||||||||||||||||||||
Other assets | 13 | — | 88 | — | |||||||||||||||||||||||||||
Gains (Losses) | |||||||||||||||||||||||||||||||
2014 | 2013 | 2012 | |||||||||||||||||||||||||||||
Assets | |||||||||||||||||||||||||||||||
Loans held-for-sale | $ | (19 | ) | $ | (71 | ) | $ | (24 | ) | ||||||||||||||||||||||
Loans and leases | (1,132 | ) | (1,104 | ) | (3,116 | ) | |||||||||||||||||||||||||
Foreclosed properties (1) | (40 | ) | (39 | ) | (47 | ) | |||||||||||||||||||||||||
Other assets | (6 | ) | (20 | ) | (16 | ) | |||||||||||||||||||||||||
(1) | Amounts are included in other assets on the Consolidated Balance Sheet and represent fair value of, and related losses on, foreclosed properties that were written down subsequent to their initial classification as foreclosed properties. | ||||||||||||||||||||||||||||||
Fair Value, Assets and Liabilities Measured on Nonrecurring Basis, Valuation Techniques | The table below presents information about significant unobservable inputs related to the Corporation’s nonrecurring Level 3 financial assets and liabilities at December 31, 2014 and 2013. | ||||||||||||||||||||||||||||||
Quantitative Information about Nonrecurring Level 3 Fair Value Measurements | |||||||||||||||||||||||||||||||
December 31, 2014 | |||||||||||||||||||||||||||||||
(Dollars in millions) | Inputs | ||||||||||||||||||||||||||||||
Financial Instrument | Fair Value | Valuation | Significant Unobservable | Ranges of | Weighted Average | ||||||||||||||||||||||||||
Technique | Inputs | Inputs | |||||||||||||||||||||||||||||
Instruments backed by residential real estate assets | $ | 4,636 | Market comparables | OREO discount | 0% to 28% | 8 | % | ||||||||||||||||||||||||
Loans and leases | 4,636 | Cost to sell | 7% to 14% | 8 | % | ||||||||||||||||||||||||||
December 31, 2013 | |||||||||||||||||||||||||||||||
Instruments backed by residential real estate assets | $ | 5,240 | Market comparables | OREO discount | 0% to 19% | 8 | % | ||||||||||||||||||||||||
Loans and leases | 5,240 | Cost to sell | 8 | % | n/a | ||||||||||||||||||||||||||
n/a =ot applicable |
Fair_Value_Option_Tables
Fair Value Option (Tables) | 12 Months Ended | |||||||||||||||||||||||
Dec. 31, 2014 | ||||||||||||||||||||||||
Fair Value Option [Abstract] | ||||||||||||||||||||||||
Schedule of Fair Value Option Elections | The table below provides information about the fair value carrying amount and the contractual principal outstanding of assets and liabilities accounted for under the fair value option at December 31, 2014 and 2013. | |||||||||||||||||||||||
Fair Value Option Elections | ||||||||||||||||||||||||
31-Dec | ||||||||||||||||||||||||
2014 | 2013 | |||||||||||||||||||||||
(Dollars in millions) | Fair Value Carrying Amount | Contractual Principal Outstanding | Fair Value Carrying Amount Less Unpaid Principal | Fair Value Carrying Amount | Contractual Principal Outstanding | Fair Value Carrying Amount Less Unpaid Principal | ||||||||||||||||||
Loans reported as trading account assets (1) | $ | 4,607 | $ | 8,487 | $ | (3,880 | ) | $ | 2,406 | $ | 4,541 | $ | (2,135 | ) | ||||||||||
Trading inventory – other | 6,865 | n/a | n/a | 5,475 | n/a | n/a | ||||||||||||||||||
Consumer and commercial loans | 8,681 | 8,925 | (244 | ) | 10,042 | 10,423 | (381 | ) | ||||||||||||||||
Loans held-for-sale | 6,801 | 6,920 | (119 | ) | 6,656 | 6,996 | (340 | ) | ||||||||||||||||
Securities financing agreements | 97,539 | 97,234 | 305 | 95,156 | 94,890 | 266 | ||||||||||||||||||
Other assets | 253 | 270 | (17 | ) | 278 | 270 | 8 | |||||||||||||||||
Long-term deposits | 1,469 | 1,361 | 108 | 1,899 | 1,797 | 102 | ||||||||||||||||||
Unfunded loan commitments | 405 | n/a | n/a | 354 | n/a | n/a | ||||||||||||||||||
Short-term borrowings | 2,697 | 2,697 | — | 1,520 | 1,520 | — | ||||||||||||||||||
Long-term debt (2) | 36,404 | 35,815 | 589 | 47,035 | 46,669 | 366 | ||||||||||||||||||
(1) | A significant portion of the loans reported as trading account assets are distressed loans which trade and were purchased at a deep discount to par, and the remainder are loans with a fair value near contractual principal outstanding. | |||||||||||||||||||||||
(2) | Includes structured liabilities with a fair value of $35.3 billion and contractual principal outstanding of $34.6 billion at December 31, 2014 compared to $40.7 billion and $39.7 billion at December 31, 2013. | |||||||||||||||||||||||
n/a =ot applicable | ||||||||||||||||||||||||
The table below provides information about where changes in the fair value of assets and liabilities accounted for under the fair value option are included in the Consolidated Statement of Income for 2014, 2013 and 2012. | ||||||||||||||||||||||||
Gains (Losses) Relating to Assets and Liabilities Accounted for Under the Fair Value Option | ||||||||||||||||||||||||
2014 | ||||||||||||||||||||||||
(Dollars in millions) | Trading Account Profits (Losses) | Mortgage Banking Income | Other | Total | ||||||||||||||||||||
(Loss) | Income | |||||||||||||||||||||||
(Loss) | ||||||||||||||||||||||||
Loans reported as trading account assets | $ | (87 | ) | $ | — | $ | — | $ | (87 | ) | ||||||||||||||
Trading inventory – other (1) | 1,091 | — | — | 1,091 | ||||||||||||||||||||
Consumer and commercial loans | (24 | ) | — | 69 | 45 | |||||||||||||||||||
Loans held-for-sale (2) | (56 | ) | 798 | 83 | 825 | |||||||||||||||||||
Securities financing agreements | (110 | ) | — | — | (110 | ) | ||||||||||||||||||
Long-term deposits | 23 | — | (26 | ) | (3 | ) | ||||||||||||||||||
Unfunded loan commitments | — | — | (64 | ) | (64 | ) | ||||||||||||||||||
Short-term borrowings | 52 | — | — | 52 | ||||||||||||||||||||
Long-term debt (3) | 239 | — | 407 | 646 | ||||||||||||||||||||
Total | $ | 1,128 | $ | 798 | $ | 469 | $ | 2,395 | ||||||||||||||||
2013 | ||||||||||||||||||||||||
Loans reported as trading account assets | $ | 83 | $ | — | $ | — | $ | 83 | ||||||||||||||||
Trading inventory – other (1) | 1,355 | — | — | 1,355 | ||||||||||||||||||||
Consumer and commercial loans | (28 | ) | (38 | ) | 240 | 174 | ||||||||||||||||||
Loans held-for-sale (2) | 7 | 966 | 75 | 1,048 | ||||||||||||||||||||
Securities financing agreements | (80 | ) | — | — | (80 | ) | ||||||||||||||||||
Other assets | — | — | (77 | ) | (77 | ) | ||||||||||||||||||
Long-term deposits | 30 | — | 84 | 114 | ||||||||||||||||||||
Asset-backed secured financings | — | (91 | ) | — | (91 | ) | ||||||||||||||||||
Unfunded loan commitments | — | — | 180 | 180 | ||||||||||||||||||||
Short-term borrowings | (70 | ) | — | — | (70 | ) | ||||||||||||||||||
Long-term debt (3) | (602 | ) | — | (649 | ) | (1,251 | ) | |||||||||||||||||
Total | $ | 695 | $ | 837 | $ | (147 | ) | $ | 1,385 | |||||||||||||||
2012 | ||||||||||||||||||||||||
Loans reported as trading account assets | $ | 232 | $ | — | $ | — | $ | 232 | ||||||||||||||||
Trading inventory – other (1) | 659 | — | — | 659 | ||||||||||||||||||||
Consumer and commercial loans | 17 | — | 542 | 559 | ||||||||||||||||||||
Loans held-for-sale (2) | 75 | 3,048 | 190 | 3,313 | ||||||||||||||||||||
Securities financing agreements | (90 | ) | — | — | (90 | ) | ||||||||||||||||||
Other assets | — | — | 12 | 12 | ||||||||||||||||||||
Long-term deposits | — | — | 29 | 29 | ||||||||||||||||||||
Asset-backed secured financings | — | (180 | ) | — | (180 | ) | ||||||||||||||||||
Unfunded loan commitments | — | — | 704 | 704 | ||||||||||||||||||||
Short-term borrowings | 1 | — | — | 1 | ||||||||||||||||||||
Long-term debt (3) | (1,888 | ) | — | (5,107 | ) | (6,995 | ) | |||||||||||||||||
Total | $ | (994 | ) | $ | 2,868 | $ | (3,630 | ) | $ | (1,756 | ) | |||||||||||||
(1) | The gains (losses) in trading account profits (losses) are primarily offset by gains (losses) on trading liabilities that hedge these assets. | |||||||||||||||||||||||
(2) | Includes the value of interest rate lock commitments on loans funded, including those sold during the period. | |||||||||||||||||||||||
(3) | The majority of the net gains (losses) in trading account profits (losses) relate to the embedded derivative in structured liabilities and are offset by gains (losses) on derivatives and securities that hedge these liabilities. The net gains (losses) in other income (loss) relate to the impact on structured liabilities of changes in the Corporation’s credit spreads. |
Fair_Value_of_Financial_Instru1
Fair Value of Financial Instruments (Tables) | 12 Months Ended | |||||||||||||||
Dec. 31, 2014 | ||||||||||||||||
Fair Value Disclosures [Abstract] | ||||||||||||||||
Carrying and Fair Value of Financial Instruments | The carrying values and fair values by fair value hierarchy of certain financial instruments where only a portion of the ending balance was carried at fair value at December 31, 2014 and 2013 are presented in the table below. | |||||||||||||||
Fair Value of Financial Instruments | ||||||||||||||||
31-Dec-14 | ||||||||||||||||
Fair Value | ||||||||||||||||
(Dollars in millions) | Carrying Value | Level 2 | Level 3 | Total | ||||||||||||
Financial assets | ||||||||||||||||
Loans | $ | 842,259 | $ | 87,174 | $ | 776,370 | $ | 863,544 | ||||||||
Loans held-for-sale | 12,836 | 12,236 | 618 | 12,854 | ||||||||||||
Financial liabilities | ||||||||||||||||
Deposits | 1,118,936 | 1,119,427 | — | 1,119,427 | ||||||||||||
Long-term debt | 243,139 | 249,692 | 2,362 | 252,054 | ||||||||||||
December 31, 2013 | ||||||||||||||||
Financial assets | ||||||||||||||||
Loans | $ | 885,724 | $ | 102,564 | $ | 789,273 | $ | 891,837 | ||||||||
Loans held-for-sale | 11,362 | 8,872 | 2,613 | 11,485 | ||||||||||||
Financial liabilities | ||||||||||||||||
Deposits | 1,119,271 | 1,119,512 | — | 1,119,512 | ||||||||||||
Long-term debt | 249,674 | 257,402 | 1,990 | 259,392 | ||||||||||||
Mortgage_Servicing_Rights_Tabl
Mortgage Servicing Rights (Tables) | 12 Months Ended | |||||||||||
Dec. 31, 2014 | ||||||||||||
Transfers and Servicing [Abstract] | ||||||||||||
Activity for Residential First Mortgage MSRs | The table below presents activity for residential mortgage and home equity MSRs for 2014 and 2013. Residential reverse mortgage MSRs, which are carried at the lower of cost or fair value and accounted for using the amortization method, totaled $10 million at December 31, 2013, and are not included in the tables below. | |||||||||||
Rollforward of Mortgage Servicing Rights | ||||||||||||
(Dollars in millions) | 2014 | 2013 | ||||||||||
Balance, January 1 | $ | 5,042 | $ | 5,716 | ||||||||
Additions | 707 | 472 | ||||||||||
Sales | (61 | ) | (2,044 | ) | ||||||||
Amortization of expected cash flows (1) | (927 | ) | (1,043 | ) | ||||||||
Impact of changes in interest rates and other market factors (2) | (1,191 | ) | 1,524 | |||||||||
Model and other cash flow assumption changes: (3) | ||||||||||||
Projected cash flows, including changes in costs to service loans | (163 | ) | (27 | ) | ||||||||
Impact of changes in the Home Price Index | (25 | ) | (398 | ) | ||||||||
Impact of changes to the prepayment model | 243 | 609 | ||||||||||
Other model changes (4) | (95 | ) | 233 | |||||||||
Balance, December 31 (5) | $ | 3,530 | $ | 5,042 | ||||||||
Mortgage loans serviced for investors (in billions) | $ | 490 | $ | 550 | ||||||||
(1) | Represents the net change in fair value of the MSR asset due to the recognition of modeled cash flows. | |||||||||||
(2) | These amounts reflect the changes in modeled MSR fair value primarily due to observed changes in interest rates, volatility, spreads and the shape of the forward swap curve. | |||||||||||
(3) | These amounts reflect periodic adjustments to the valuation model to reflect changes in the modeled relationship between inputs and their impact on projected cash flows as well as changes in certain cash flow assumptions such as cost to service and ancillary income per loan. | |||||||||||
(4) | These amounts include the impact of periodic recalibrations of the model to reflect changes in the relationship between market interest rate spreads and projected cash flows. Also included is a decrease of $127 million for 2014 due to changes in option-adjusted spread rate assumptions. | |||||||||||
(5) | At December 31, 2014, includes $3.3 billion of U.S. and $259 million of non-U.S. consumer MSR balances. | |||||||||||
Assumption for Fair Value of MSRs | Significant economic assumptions in estimating the fair value of MSRs at December 31, 2014 and 2013 are presented below. The change in fair value as a result of changes in OAS rates is included within “Model and other cash flow assumption changes” in the Rollforward of Mortgage Servicing Rights table. The weighted-average life is not an input in the valuation model but is a product of both changes in market rates of interest and changes in model and other cash flow assumptions. The weighted-average life represents the average period of time that the MSRs’ cash flows are expected to be received. Absent other changes, an increase (decrease) to the weighted-average life would generally result in an increase (decrease) in the fair value of the MSRs. | |||||||||||
Significant Economic Assumptions | ||||||||||||
31-Dec | ||||||||||||
2014 | 2013 | |||||||||||
Fixed | Adjustable | Fixed | Adjustable | |||||||||
Weighted-average OAS | 4.52 | % | 7.61 | % | 3.97 | % | 7.61 | % | ||||
Weighted-average life, in years | 4.53 | 2.95 | 5.7 | 2.86 | ||||||||
Sensitivity of the Weighted-Average Lives and Fair Value of MSRs | The table below presents the sensitivity of the weighted-average lives and fair value of MSRs to changes in modeled assumptions. These sensitivities are hypothetical and should be used with caution. As the amounts indicate, changes in fair value based on variations in assumptions generally cannot be extrapolated because the relationship of the change in assumption to the change in fair value may not be linear. Also, the effect of a variation in a particular assumption on the fair value of MSRs that continue to be held by the Corporation is calculated without changing any other assumption. In reality, changes in one factor may result in changes in another, which might magnify or counteract the sensitivities. The below sensitivities do not reflect any hedge strategies that may be undertaken to mitigate such risk. | |||||||||||
Sensitivity Impacts | ||||||||||||
December 31, 2014 | ||||||||||||
Change in | ||||||||||||
Weighted-average Lives | ||||||||||||
(Dollars in millions) | Fixed | Adjustable | Change in Fair Value | |||||||||
Prepayment rates | ||||||||||||
Impact of 10% decrease | 0.23 | years | 0.19 | years | $ | 232 | ||||||
Impact of 20% decrease | 0.5 | 0.4 | 494 | |||||||||
Impact of 10% increase | (0.21 | ) | (0.16 | ) | (208 | ) | ||||||
Impact of 20% increase | (0.39 | ) | (0.31 | ) | (395 | ) | ||||||
OAS level | ||||||||||||
Impact of 100 bps decrease | $ | 158 | ||||||||||
Impact of 200 bps decrease | 329 | |||||||||||
Impact of 100 bps increase | (146 | ) | ||||||||||
Impact of 200 bps increase | (281 | ) |
Business_Segment_Information_T
Business Segment Information (Tables) | 12 Months Ended | |||||||||||||||||||||||||||||
Dec. 31, 2014 | ||||||||||||||||||||||||||||||
Segment Reporting [Abstract] | ||||||||||||||||||||||||||||||
Schedule of Segment Reporting Information, by Segment | The table below presents net income (loss) and the components thereto (with net interest income on an FTE basis) for 2014, 2013 and 2012, and total assets at December 31, 2014 and 2013 for each business segment, as well as All Other. | |||||||||||||||||||||||||||||
Results for Business Segments and All Other | ||||||||||||||||||||||||||||||
At and for the Year Ended December 31 | Total Corporation (1) | Consumer Banking | Global Wealth & | |||||||||||||||||||||||||||
Investment Management | ||||||||||||||||||||||||||||||
(Dollars in millions) | 2014 | 2013 | 2012 | 2014 | 2013 | 2012 | 2014 | 2013 | 2012 | |||||||||||||||||||||
Net interest income (FTE basis) | $ | 40,821 | $ | 43,124 | $ | 41,557 | $ | 20,178 | $ | 20,620 | $ | 20,470 | $ | 5,836 | $ | 6,064 | $ | 5,827 | ||||||||||||
Noninterest income | 44,295 | 46,677 | 42,678 | 10,630 | 11,313 | 12,800 | 12,568 | 11,726 | 10,691 | |||||||||||||||||||||
Total revenue, net of interest expense (FTE basis) | 85,116 | 89,801 | 84,235 | 30,808 | 31,933 | 33,270 | 18,404 | 17,790 | 16,518 | |||||||||||||||||||||
Provision for credit losses | 2,275 | 3,556 | 8,169 | 2,680 | 3,166 | 4,199 | 14 | 56 | 266 | |||||||||||||||||||||
Amortization of intangibles | 936 | 1,086 | 1,264 | 398 | 502 | 622 | 367 | 387 | 410 | |||||||||||||||||||||
Other noninterest expense | 74,181 | 68,128 | 70,829 | 17,458 | 18,409 | 18,818 | 13,280 | 12,646 | 12,312 | |||||||||||||||||||||
Income before income taxes (FTE basis) | 7,724 | 17,031 | 3,973 | 10,272 | 9,856 | 9,631 | 4,743 | 4,701 | 3,530 | |||||||||||||||||||||
Income tax expense (benefit) (FTE basis) | 2,891 | 5,600 | (215 | ) | 3,831 | 3,613 | 3,456 | 1,769 | 1,724 | 1,286 | ||||||||||||||||||||
Net income | $ | 4,833 | $ | 11,431 | $ | 4,188 | $ | 6,441 | $ | 6,243 | $ | 6,175 | $ | 2,974 | $ | 2,977 | $ | 2,244 | ||||||||||||
Year-end total assets | $ | 2,104,534 | $ | 2,102,273 | $ | 589,048 | $ | 567,741 | $ | 274,887 | $ | 271,290 | ||||||||||||||||||
Global Banking | Global Markets | |||||||||||||||||||||||||||||
2014 | 2013 | 2012 | 2014 | 2013 | 2012 | |||||||||||||||||||||||||
Net interest income (FTE basis) | $ | 9,828 | $ | 9,704 | $ | 8,888 | $ | 3,986 | $ | 4,224 | $ | 3,667 | ||||||||||||||||||
Noninterest income | 7,849 | 7,800 | 7,772 | 12,133 | 11,166 | 5,507 | ||||||||||||||||||||||||
Total revenue, net of interest expense (FTE basis) | 17,677 | 17,504 | 16,660 | 16,119 | 15,390 | 9,174 | ||||||||||||||||||||||||
Provision for credit losses | 322 | 1,142 | (321 | ) | 110 | 140 | 34 | |||||||||||||||||||||||
Amortization of intangibles | 45 | 64 | 83 | 65 | 65 | 64 | ||||||||||||||||||||||||
Other noninterest expense | 8,217 | 8,085 | 8,121 | 11,706 | 11,930 | 11,221 | ||||||||||||||||||||||||
Income (loss) before income taxes (FTE basis) | 9,093 | 8,213 | 8,777 | 4,238 | 3,255 | (2,145 | ) | |||||||||||||||||||||||
Income tax expense (benefit) (FTE basis) | 3,338 | 3,013 | 3,194 | 1,519 | 2,101 | (161 | ) | |||||||||||||||||||||||
Net income (loss) | $ | 5,755 | $ | 5,200 | $ | 5,583 | $ | 2,719 | $ | 1,154 | $ | (1,984 | ) | |||||||||||||||||
Year-end total assets | $ | 357,081 | $ | 360,789 | $ | 579,512 | $ | 575,473 | ||||||||||||||||||||||
Legacy Assets & Servicing | All Other | |||||||||||||||||||||||||||||
2014 | 2013 | 2012 | 2014 | 2013 | 2012 | |||||||||||||||||||||||||
Net interest income (FTE basis) | $ | 1,516 | $ | 1,541 | $ | 1,567 | $ | (523 | ) | $ | 971 | $ | 1,138 | |||||||||||||||||
Noninterest income | 1,164 | 2,915 | 2,537 | (49 | ) | 1,757 | 3,371 | |||||||||||||||||||||||
Total revenue, net of interest expense (FTE basis) | 2,680 | 4,456 | 4,104 | (572 | ) | 2,728 | 4,509 | |||||||||||||||||||||||
Provision for credit losses | 127 | (283 | ) | 1,371 | (978 | ) | (665 | ) | 2,620 | |||||||||||||||||||||
Amortization of intangibles | — | — | — | 61 | 68 | 85 | ||||||||||||||||||||||||
Other noninterest expense | 20,643 | 12,483 | 13,759 | 2,877 | 4,575 | 6,598 | ||||||||||||||||||||||||
Loss before income taxes (FTE basis) | (18,090 | ) | (7,744 | ) | (11,026 | ) | (2,532 | ) | (1,250 | ) | (4,794 | ) | ||||||||||||||||||
Income tax benefit (FTE basis) | (4,976 | ) | (2,839 | ) | (3,857 | ) | (2,590 | ) | (2,012 | ) | (4,133 | ) | ||||||||||||||||||
Net income (loss) | $ | (13,114 | ) | $ | (4,905 | ) | $ | (7,169 | ) | $ | 58 | $ | 762 | $ | (661 | ) | ||||||||||||||
Year-end total assets | $ | 45,958 | $ | 59,458 | $ | 258,048 | $ | 267,522 | ||||||||||||||||||||||
(1) | There were no material intersegment revenues. | |||||||||||||||||||||||||||||
Reconciliation of Operating Profit (Loss) from Segments to Consolidated | The table below presents a reconciliation of the five business segments’ total revenue, net of interest expense, on an FTE basis, and net income to the Consolidated Statement of Income, and total assets to the Consolidated Balance Sheet. The adjustments presented in the table below include consolidated income, expense and asset amounts not specifically allocated to individual business segments. | |||||||||||||||||||||||||||||
Business Segment Reconciliations | ||||||||||||||||||||||||||||||
(Dollars in millions) | 2014 | 2013 | 2012 | |||||||||||||||||||||||||||
Segments’ total revenue, net of interest expense (FTE basis) | $ | 85,688 | $ | 87,073 | $ | 79,726 | ||||||||||||||||||||||||
Adjustments: | ||||||||||||||||||||||||||||||
ALM activities | (804 | ) | (545 | ) | 2,266 | |||||||||||||||||||||||||
Equity investment income | 729 | 2,737 | 1,252 | |||||||||||||||||||||||||||
Liquidating businesses and other | (497 | ) | 536 | 991 | ||||||||||||||||||||||||||
FTE basis adjustment | (869 | ) | (859 | ) | (901 | ) | ||||||||||||||||||||||||
Consolidated revenue, net of interest expense | $ | 84,247 | $ | 88,942 | $ | 83,334 | ||||||||||||||||||||||||
Segments’ total net income | $ | 4,775 | $ | 10,669 | $ | 4,849 | ||||||||||||||||||||||||
Adjustments, net of taxes: | ||||||||||||||||||||||||||||||
ALM activities | (343 | ) | (929 | ) | (1,144 | ) | ||||||||||||||||||||||||
Equity investment income | 456 | 1,724 | 789 | |||||||||||||||||||||||||||
Liquidating businesses and other | (55 | ) | (33 | ) | (306 | ) | ||||||||||||||||||||||||
Consolidated net income | $ | 4,833 | $ | 11,431 | $ | 4,188 | ||||||||||||||||||||||||
December 31 | ||||||||||||||||||||||||||||||
2014 | 2013 | |||||||||||||||||||||||||||||
Segments’ total assets | $ | 1,846,486 | $ | 1,834,751 | ||||||||||||||||||||||||||
Adjustments: | ||||||||||||||||||||||||||||||
ALM activities, including securities portfolio | 658,319 | 664,519 | ||||||||||||||||||||||||||||
Equity investments | 4,886 | 5,637 | ||||||||||||||||||||||||||||
Liquidating businesses and other | 73,018 | 70,879 | ||||||||||||||||||||||||||||
Elimination of segment asset allocations to match liabilities | (478,175 | ) | (473,513 | ) | ||||||||||||||||||||||||||
Consolidated total assets | $ | 2,104,534 | $ | 2,102,273 | ||||||||||||||||||||||||||
Reconciliation of Revenue from Segments to Consolidated | The table below presents a reconciliation of the five business segments’ total revenue, net of interest expense, on an FTE basis, and net income to the Consolidated Statement of Income, and total assets to the Consolidated Balance Sheet. The adjustments presented in the table below include consolidated income, expense and asset amounts not specifically allocated to individual business segments. | |||||||||||||||||||||||||||||
Business Segment Reconciliations | ||||||||||||||||||||||||||||||
(Dollars in millions) | 2014 | 2013 | 2012 | |||||||||||||||||||||||||||
Segments’ total revenue, net of interest expense (FTE basis) | $ | 85,688 | $ | 87,073 | $ | 79,726 | ||||||||||||||||||||||||
Adjustments: | ||||||||||||||||||||||||||||||
ALM activities | (804 | ) | (545 | ) | 2,266 | |||||||||||||||||||||||||
Equity investment income | 729 | 2,737 | 1,252 | |||||||||||||||||||||||||||
Liquidating businesses and other | (497 | ) | 536 | 991 | ||||||||||||||||||||||||||
FTE basis adjustment | (869 | ) | (859 | ) | (901 | ) | ||||||||||||||||||||||||
Consolidated revenue, net of interest expense | $ | 84,247 | $ | 88,942 | $ | 83,334 | ||||||||||||||||||||||||
Segments’ total net income | $ | 4,775 | $ | 10,669 | $ | 4,849 | ||||||||||||||||||||||||
Adjustments, net of taxes: | ||||||||||||||||||||||||||||||
ALM activities | (343 | ) | (929 | ) | (1,144 | ) | ||||||||||||||||||||||||
Equity investment income | 456 | 1,724 | 789 | |||||||||||||||||||||||||||
Liquidating businesses and other | (55 | ) | (33 | ) | (306 | ) | ||||||||||||||||||||||||
Consolidated net income | $ | 4,833 | $ | 11,431 | $ | 4,188 | ||||||||||||||||||||||||
December 31 | ||||||||||||||||||||||||||||||
2014 | 2013 | |||||||||||||||||||||||||||||
Segments’ total assets | $ | 1,846,486 | $ | 1,834,751 | ||||||||||||||||||||||||||
Adjustments: | ||||||||||||||||||||||||||||||
ALM activities, including securities portfolio | 658,319 | 664,519 | ||||||||||||||||||||||||||||
Equity investments | 4,886 | 5,637 | ||||||||||||||||||||||||||||
Liquidating businesses and other | 73,018 | 70,879 | ||||||||||||||||||||||||||||
Elimination of segment asset allocations to match liabilities | (478,175 | ) | (473,513 | ) | ||||||||||||||||||||||||||
Consolidated total assets | $ | 2,104,534 | $ | 2,102,273 | ||||||||||||||||||||||||||
Reconciliation of Assets from Segment to Consolidated | The table below presents a reconciliation of the five business segments’ total revenue, net of interest expense, on an FTE basis, and net income to the Consolidated Statement of Income, and total assets to the Consolidated Balance Sheet. The adjustments presented in the table below include consolidated income, expense and asset amounts not specifically allocated to individual business segments. | |||||||||||||||||||||||||||||
Business Segment Reconciliations | ||||||||||||||||||||||||||||||
(Dollars in millions) | 2014 | 2013 | 2012 | |||||||||||||||||||||||||||
Segments’ total revenue, net of interest expense (FTE basis) | $ | 85,688 | $ | 87,073 | $ | 79,726 | ||||||||||||||||||||||||
Adjustments: | ||||||||||||||||||||||||||||||
ALM activities | (804 | ) | (545 | ) | 2,266 | |||||||||||||||||||||||||
Equity investment income | 729 | 2,737 | 1,252 | |||||||||||||||||||||||||||
Liquidating businesses and other | (497 | ) | 536 | 991 | ||||||||||||||||||||||||||
FTE basis adjustment | (869 | ) | (859 | ) | (901 | ) | ||||||||||||||||||||||||
Consolidated revenue, net of interest expense | $ | 84,247 | $ | 88,942 | $ | 83,334 | ||||||||||||||||||||||||
Segments’ total net income | $ | 4,775 | $ | 10,669 | $ | 4,849 | ||||||||||||||||||||||||
Adjustments, net of taxes: | ||||||||||||||||||||||||||||||
ALM activities | (343 | ) | (929 | ) | (1,144 | ) | ||||||||||||||||||||||||
Equity investment income | 456 | 1,724 | 789 | |||||||||||||||||||||||||||
Liquidating businesses and other | (55 | ) | (33 | ) | (306 | ) | ||||||||||||||||||||||||
Consolidated net income | $ | 4,833 | $ | 11,431 | $ | 4,188 | ||||||||||||||||||||||||
December 31 | ||||||||||||||||||||||||||||||
2014 | 2013 | |||||||||||||||||||||||||||||
Segments’ total assets | $ | 1,846,486 | $ | 1,834,751 | ||||||||||||||||||||||||||
Adjustments: | ||||||||||||||||||||||||||||||
ALM activities, including securities portfolio | 658,319 | 664,519 | ||||||||||||||||||||||||||||
Equity investments | 4,886 | 5,637 | ||||||||||||||||||||||||||||
Liquidating businesses and other | 73,018 | 70,879 | ||||||||||||||||||||||||||||
Elimination of segment asset allocations to match liabilities | (478,175 | ) | (473,513 | ) | ||||||||||||||||||||||||||
Consolidated total assets | $ | 2,104,534 | $ | 2,102,273 | ||||||||||||||||||||||||||
Parent_Company_Information_Tab
Parent Company Information (Tables) | 12 Months Ended | |||||||||||
Dec. 31, 2014 | ||||||||||||
Condensed Financial Information of Parent Company Only Disclosure [Abstract] | ||||||||||||
Statement of Income | The following tables present the Parent Company-only financial information. This financial information is presented in accordance with bank regulatory reporting requirements and, accordingly, the information for 2012 has not been restated for the 2013 merger of Merrill Lynch & Co., Inc. into Bank of America Corporation. | |||||||||||
Condensed Statement of Income | ||||||||||||
(Dollars in millions) | 2014 | 2013 | 2012 | |||||||||
Income | ||||||||||||
Dividends from subsidiaries: | ||||||||||||
Bank holding companies and related subsidiaries | $ | 12,400 | $ | 8,532 | $ | 16,213 | ||||||
Nonbank companies and related subsidiaries | 149 | 357 | 542 | |||||||||
Interest from subsidiaries | 1,836 | 2,087 | 627 | |||||||||
Other income (loss) | 72 | 233 | (304 | ) | ||||||||
Total income | 14,457 | 11,209 | 17,078 | |||||||||
Expense | ||||||||||||
Interest on borrowed funds | 7,213 | 8,109 | 6,147 | |||||||||
Noninterest expense | 4,471 | 10,938 | 10,872 | |||||||||
Total expense | 11,684 | 19,047 | 17,019 | |||||||||
Income (loss) before income taxes and equity in undistributed earnings of subsidiaries | 2,773 | (7,838 | ) | 59 | ||||||||
Income tax benefit | (4,079 | ) | (7,227 | ) | (5,883 | ) | ||||||
Income (loss) before equity in undistributed earnings of subsidiaries | 6,852 | (611 | ) | 5,942 | ||||||||
Equity in undistributed earnings (losses) of subsidiaries: | ||||||||||||
Bank holding companies and related subsidiaries | 3,613 | 14,150 | 1,072 | |||||||||
Nonbank companies and related subsidiaries | (5,632 | ) | (2,108 | ) | (2,826 | ) | ||||||
Total equity in undistributed earnings (losses) of subsidiaries | (2,019 | ) | 12,042 | (1,754 | ) | |||||||
Net income | $ | 4,833 | $ | 11,431 | $ | 4,188 | ||||||
Net income applicable to common shareholders | $ | 3,789 | $ | 10,082 | $ | 2,760 | ||||||
Condensed Balance Sheet | ||||||||||||
31-Dec | ||||||||||||
(Dollars in millions) | 2014 | 2013 | ||||||||||
Assets | ||||||||||||
Cash held at bank subsidiaries (1) | $ | 100,304 | $ | 98,679 | ||||||||
Securities | 932 | 747 | ||||||||||
Receivables from subsidiaries: | ||||||||||||
Bank holding companies and related subsidiaries | 23,356 | 23,558 | ||||||||||
Banks and related subsidiaries | 2,395 | 1,682 | ||||||||||
Nonbank companies and related subsidiaries | 52,251 | 46,577 | ||||||||||
Investments in subsidiaries: | ||||||||||||
Bank holding companies and related subsidiaries | 270,441 | 268,234 | ||||||||||
Nonbank companies and related subsidiaries | 2,139 | 1,818 | ||||||||||
Other assets | 14,599 | 19,073 | ||||||||||
Total assets | $ | 466,417 | $ | 460,368 | ||||||||
Liabilities and shareholders’ equity | ||||||||||||
Short-term borrowings | $ | 46 | $ | 181 | ||||||||
Accrued expenses and other liabilities | 16,872 | 15,428 | ||||||||||
Payables to subsidiaries: | ||||||||||||
Banks and related subsidiaries | 2,559 | 1,991 | ||||||||||
Nonbank companies and related subsidiaries | 17,698 | 15,980 | ||||||||||
Long-term debt | 185,771 | 194,103 | ||||||||||
Total liabilities | 222,946 | 227,683 | ||||||||||
Shareholders’ equity | 243,471 | 232,685 | ||||||||||
Total liabilities and shareholders’ equity | $ | 466,417 | $ | 460,368 | ||||||||
Balance Sheet | ||||||||||||
Condensed Balance Sheet | ||||||||||||
31-Dec | ||||||||||||
(Dollars in millions) | 2014 | 2013 | ||||||||||
Assets | ||||||||||||
Cash held at bank subsidiaries (1) | $ | 100,304 | $ | 98,679 | ||||||||
Securities | 932 | 747 | ||||||||||
Receivables from subsidiaries: | ||||||||||||
Bank holding companies and related subsidiaries | 23,356 | 23,558 | ||||||||||
Banks and related subsidiaries | 2,395 | 1,682 | ||||||||||
Nonbank companies and related subsidiaries | 52,251 | 46,577 | ||||||||||
Investments in subsidiaries: | ||||||||||||
Bank holding companies and related subsidiaries | 270,441 | 268,234 | ||||||||||
Nonbank companies and related subsidiaries | 2,139 | 1,818 | ||||||||||
Other assets | 14,599 | 19,073 | ||||||||||
Total assets | $ | 466,417 | $ | 460,368 | ||||||||
Liabilities and shareholders’ equity | ||||||||||||
Short-term borrowings | $ | 46 | $ | 181 | ||||||||
Accrued expenses and other liabilities | 16,872 | 15,428 | ||||||||||
Payables to subsidiaries: | ||||||||||||
Banks and related subsidiaries | 2,559 | 1,991 | ||||||||||
Nonbank companies and related subsidiaries | 17,698 | 15,980 | ||||||||||
Long-term debt | 185,771 | 194,103 | ||||||||||
Total liabilities | 222,946 | 227,683 | ||||||||||
Shareholders’ equity | 243,471 | 232,685 | ||||||||||
Total liabilities and shareholders’ equity | $ | 466,417 | $ | 460,368 | ||||||||
(1) | Balance includes third-party cash held of $29 million and $33 million at December 31, 2014 and 2013. | |||||||||||
Statement of Cash Flows | ||||||||||||
Condensed Statement of Cash Flows | ||||||||||||
(Dollars in millions) | 2014 | 2013 | 2012 | |||||||||
Operating activities | ||||||||||||
Net income | $ | 4,833 | $ | 11,431 | $ | 4,188 | ||||||
Reconciliation of net income to net cash provided by (used in) operating activities: | ||||||||||||
Equity in undistributed (earnings) losses of subsidiaries | 2,019 | (12,042 | ) | 1,754 | ||||||||
Other operating activities, net | 2,143 | (10,422 | ) | (3,432 | ) | |||||||
Net cash provided by (used in) operating activities | 8,995 | (11,033 | ) | 2,510 | ||||||||
Investing activities | ||||||||||||
Net sales (purchases) of securities | (142 | ) | 459 | 13 | ||||||||
Net payments from (to) subsidiaries | (5,902 | ) | 39,336 | 12,973 | ||||||||
Other investing activities, net | 19 | 3 | 445 | |||||||||
Net cash provided by (used in) investing activities | (6,025 | ) | 39,798 | 13,431 | ||||||||
Financing activities | ||||||||||||
Net increase (decrease) in short-term borrowings | (55 | ) | 178 | (616 | ) | |||||||
Net increase (decrease) in other advances | 1,264 | (14,378 | ) | 10,100 | ||||||||
Proceeds from issuance of long-term debt | 29,324 | 30,966 | 17,176 | |||||||||
Retirement of long-term debt | (33,854 | ) | (39,320 | ) | (63,851 | ) | ||||||
Proceeds from issuance of preferred stock | 5,957 | 1,008 | 667 | |||||||||
Redemption of preferred stock | — | (6,461 | ) | — | ||||||||
Common stock repurchased | (1,675 | ) | (3,220 | ) | — | |||||||
Cash dividends paid | (2,306 | ) | (1,677 | ) | (1,909 | ) | ||||||
Other financing activities, net | — | — | (668 | ) | ||||||||
Net cash used in financing activities | (1,345 | ) | (32,904 | ) | (39,101 | ) | ||||||
Net increase (decrease) in cash held at bank subsidiaries | 1,625 | (4,139 | ) | (23,160 | ) | |||||||
Cash held at bank subsidiaries at January 1 | 98,679 | 102,818 | 124,991 | |||||||||
Cash held at bank subsidiaries at December 31 | $ | 100,304 | $ | 98,679 | $ | 101,831 | ||||||
Performance_by_Geographic_Area1
Performance by Geographic Area Performance by Geographic Area (Tables) | 12 Months Ended | |||||||||||||||||
Dec. 31, 2014 | ||||||||||||||||||
Segments, Geographical Areas [Abstract] | ||||||||||||||||||
Schedule of Revenue from External Customers and Long-Lived Assets, by Geographical Areas | ||||||||||||||||||
31-Dec | Year Ended December 31 | |||||||||||||||||
(Dollars in millions) | Year | Total Assets (1) | Total Revenue, Net of Interest Expense (2) | Income Before Income Taxes | Net Income (Loss) | |||||||||||||
U.S. (3) | 2014 | $ | 1,792,719 | $ | 72,960 | $ | 4,643 | $ | 3,305 | |||||||||
2013 | 1,803,243 | 76,612 | 13,221 | 10,588 | ||||||||||||||
2012 | 72,175 | 1,867 | 4,116 | |||||||||||||||
Asia (4) | 2014 | 92,005 | 3,605 | 759 | 473 | |||||||||||||
2013 | 98,605 | 4,442 | 1,382 | 887 | ||||||||||||||
2012 | 3,478 | 353 | 282 | |||||||||||||||
Europe, Middle East and Africa | 2014 | 190,365 | 6,409 | 1,098 | 813 | |||||||||||||
2013 | 169,708 | 6,353 | 1,003 | (403 | ) | |||||||||||||
2012 | 6,011 | 323 | (543 | ) | ||||||||||||||
Latin America and the Caribbean | 2014 | 29,445 | 1,273 | 355 | 242 | |||||||||||||
2013 | 30,717 | 1,535 | 566 | 359 | ||||||||||||||
2012 | 1,670 | 529 | 333 | |||||||||||||||
Total Non-U.S. | 2014 | 311,815 | 11,287 | 2,212 | 1,528 | |||||||||||||
2013 | 299,030 | 12,330 | 2,951 | 843 | ||||||||||||||
2012 | 11,159 | 1,205 | 72 | |||||||||||||||
Total Consolidated | 2014 | $ | 2,104,534 | $ | 84,247 | $ | 6,855 | $ | 4,833 | |||||||||
2013 | 2,102,273 | 88,942 | 16,172 | 11,431 | ||||||||||||||
2012 | 83,334 | 3,072 | 4,188 | |||||||||||||||
(1) | Total assets include long-lived assets, which are primarily located in the U.S. | |||||||||||||||||
(2) | There were no material intercompany revenues between geographic regions for any of the periods presented. | |||||||||||||||||
(3) | Substantially reflects the U.S. | |||||||||||||||||
(4) | Amounts include pretax gains of $753 million ($474 million net-of-tax) on the sale of common shares of CCB during 2013. |
Summary_of_Significant_Account2
Summary of Significant Accounting Principles - Collateral (Details) (USD $) | 12 Months Ended | |
In Billions, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 |
Accounting Policies [Abstract] | ||
Securities held as collateral, fair value | $519.20 | $575.30 |
Securities received as collateral, amount re-pledged and sold | $424.50 | $430.40 |
Summary_of_Significant_Princip
Summary of Significant Principles - Derivatives (Details) | 12 Months Ended |
Dec. 31, 2014 | |
Accounting Policies [Abstract] | |
Terminated cash flow hedges, maximum length of time over which forecasted transactions are hedges | 25 years |
Terminated cash flow hedges, maximum length of time over which forecasted transactions are hedged for substantial number | 10 years |
For open or future cash flow hedges, maximum length of time over which forecasted transactions hedged | 7 years |
Summary_of_Significant_Account3
Summary of Significant Accounting Principles - Loans and Leases (Details) | 12 Months Ended |
Dec. 31, 2014 | |
Financing Receivable, Recorded Investment, Past Due [Line Items] | |
Threshold period past due for nonperforming status of financing receivables | 90 days |
Home equity lines of credit | |
Financing Receivable, Recorded Investment, Past Due [Line Items] | |
Probability of default measurement period | 12 months |
Home equity lines of credit | Second Mortgage | |
Financing Receivable, Recorded Investment, Past Due [Line Items] | |
Loss severity | 100.00% |
Consumer Portfolio Segment | |
Financing Receivable, Recorded Investment, Past Due [Line Items] | |
Period for sustained repayment performance | 6 months |
Consumer Portfolio Segment | Personal Property Secured Loans | |
Financing Receivable, Recorded Investment, Past Due [Line Items] | |
Threshold period past due for write-off of financing receivable | 120 days |
Consumer Portfolio Segment | Personal Property Secured Loans | Chapter Seven Bankruptcy | |
Financing Receivable, Recorded Investment, Past Due [Line Items] | |
Threshold period past due for write-off of financing receivable | 60 days |
Consumer Portfolio Segment | Credit Card and Other Unsecured Consumer Loans | |
Financing Receivable, Recorded Investment, Past Due [Line Items] | |
Threshold period past due for write-off of financing receivable | 180 days |
Consumer Portfolio Segment | Credit Card and Other Unsecured Consumer Loans | Death or Bankruptcy | |
Financing Receivable, Recorded Investment, Past Due [Line Items] | |
Threshold period past due for write-off of financing receivable | 60 days |
Consumer real estate | |
Financing Receivable, Recorded Investment, Past Due [Line Items] | |
Threshold period past due for write-off of financing receivable | 180 days |
Consumer real estate | Core Portfolio Home Equity | |
Financing Receivable, Recorded Investment, Past Due [Line Items] | |
Threshold period past due for nonperforming status of financing receivables | 90 days |
Consumer real estate | Junior Lien Home Equity Financing Receivable | |
Financing Receivable, Recorded Investment, Past Due [Line Items] | |
Threshold period past due for nonperforming status of financing receivables | 90 days |
Consumer real estate | Home equity lines of credit | |
Financing Receivable, Recorded Investment, Past Due [Line Items] | |
Threshold period past due for write-off of financing receivable | 180 days |
Consumer real estate | Residential Mortgage | |
Financing Receivable, Recorded Investment, Past Due [Line Items] | |
Threshold period past due for nonperforming status of financing receivables | 90 days |
Credit card and other consumer | |
Financing Receivable, Recorded Investment, Past Due [Line Items] | |
Threshold period past due for write-off of financing receivable | 180 days |
Credit card and other consumer | Credit Card and Other Unsecured Consumer Loans | |
Financing Receivable, Recorded Investment, Past Due [Line Items] | |
Threshold period past due for write-off of renegotiated financing receivable placed on a fixed payment plan | 120 days |
Commercial Portfolio Segment | |
Financing Receivable, Recorded Investment, Past Due [Line Items] | |
Threshold period past due for nonperforming status of financing receivables | 90 days |
Period for sustained repayment performance | 6 months |
Commercial Portfolio Segment | Business Card Loans | |
Financing Receivable, Recorded Investment, Past Due [Line Items] | |
Threshold period past due for write-off of financing receivable | 180 days |
Commercial Portfolio Segment | Business Card Loans | Death or Bankruptcy | |
Financing Receivable, Recorded Investment, Past Due [Line Items] | |
Threshold period past due for write-off of financing receivable | 60 days |
Summary_of_Significant_Account4
Summary of Significant Accounting Principles - Property Plant and Equipment (Details) | 12 Months Ended |
Dec. 31, 2014 | |
Building | |
Property, Plant and Equipment [Line Items] | |
Premises and equipment, estimated useful lives | 40 years |
Furniture and Equipment | |
Property, Plant and Equipment [Line Items] | |
Premises and equipment, estimated useful lives | 12 years |
Summary_of_Significant_Account5
Summary of Significant Accounting Principles - Revenue Recognition (Details) | 12 Months Ended |
Dec. 31, 2014 | |
Accounting Policies [Abstract] | |
Period uncollected fees are written off for credit receivables | 180 days |
Period uncollected fees are written off | 60 days |
Summary_of_Significant_Account6
Summary of Significant Accounting Principles - Credit Card and Deposit Arrangements (Details) | 12 Months Ended |
Dec. 31, 2014 | |
Accounting Policies [Abstract] | |
Endorsing organization agreements minimum term | 2 years |
Endorsing organization agreements maximum term | 5 years |
Derivatives_Derivative_Balance
Derivatives - Derivative Balances (Details) (USD $) | Dec. 31, 2014 | Dec. 31, 2013 |
Notional Amount of Derivatives, [Abstract] | ||
Contract/Notional | $1,134,132,000,000 | $1,328,787,000,000 |
Derivative Assets [Abstract] | ||
Gross Derivative Assets | 984,800,000,000 | 920,300,000,000 |
Less: Legally enforceable master netting agreements | -884,800,000,000 | -825,500,000,000 |
Less: Cash collateral received/paid | -47,300,000,000 | -47,300,000,000 |
Derivative assets | 52,682,000,000 | 47,495,000,000 |
Derivative Liabilities [Abstract] | ||
Gross Derivative Liabilities | 981,800,000,000 | 906,400,000,000 |
Less: Legally enforceable master netting agreements | -884,800,000,000 | -825,500,000,000 |
Less: Cash collateral received/paid | -50,100,000,000 | -43,500,000,000 |
Derivative liabilities | 46,909,000,000 | 37,407,000,000 |
Interest rate contracts | Swaps | ||
Notional Amount of Derivatives, [Abstract] | ||
Contract/Notional | 29,445,400,000,000 | 33,272,000,000,000 |
Derivative Assets [Abstract] | ||
Gross Derivative Assets | 667,000,000,000 | 667,400,000,000 |
Derivative Liabilities [Abstract] | ||
Gross Derivative Liabilities | 658,700,000,000 | 659,300,000,000 |
Interest rate contracts | Futures and forwards | ||
Notional Amount of Derivatives, [Abstract] | ||
Contract/Notional | 10,159,400,000,000 | 8,217,600,000,000 |
Derivative Assets [Abstract] | ||
Gross Derivative Assets | 1,700,000,000 | 1,600,000,000 |
Derivative Liabilities [Abstract] | ||
Gross Derivative Liabilities | 2,000,000,000 | 1,500,000,000 |
Interest rate contracts | Options | Written options | ||
Notional Amount of Derivatives, [Abstract] | ||
Contract/Notional | 1,725,200,000,000 | 2,065,400,000,000 |
Derivative Liabilities [Abstract] | ||
Gross Derivative Liabilities | 85,400,000,000 | 64,400,000,000 |
Interest rate contracts | Options | Purchased options | ||
Notional Amount of Derivatives, [Abstract] | ||
Contract/Notional | 1,739,800,000,000 | 2,028,300,000,000 |
Derivative Assets [Abstract] | ||
Gross Derivative Assets | 85,600,000,000 | 65,400,000,000 |
Derivative Liabilities [Abstract] | ||
Gross Derivative Liabilities | 0 | 0 |
Foreign exchange risk | Swaps | ||
Notional Amount of Derivatives, [Abstract] | ||
Contract/Notional | 2,159,100,000,000 | 2,284,100,000,000 |
Derivative Assets [Abstract] | ||
Gross Derivative Assets | 52,300,000,000 | 44,100,000,000 |
Derivative Liabilities [Abstract] | ||
Gross Derivative Liabilities | 56,500,000,000 | 43,700,000,000 |
Foreign exchange risk | Spot, futures and forwards | ||
Notional Amount of Derivatives, [Abstract] | ||
Contract/Notional | 4,226,400,000,000 | 2,922,500,000,000 |
Derivative Assets [Abstract] | ||
Gross Derivative Assets | 70,400,000,000 | 33,200,000,000 |
Derivative Liabilities [Abstract] | ||
Gross Derivative Liabilities | 72,600,000,000 | 34,600,000,000 |
Foreign exchange risk | Options | Written options | ||
Notional Amount of Derivatives, [Abstract] | ||
Contract/Notional | 600,700,000,000 | 412,400,000,000 |
Derivative Liabilities [Abstract] | ||
Gross Derivative Liabilities | 16,000,000,000 | 9,200,000,000 |
Foreign exchange risk | Options | Purchased options | ||
Notional Amount of Derivatives, [Abstract] | ||
Contract/Notional | 584,600,000,000 | 392,400,000,000 |
Derivative Assets [Abstract] | ||
Gross Derivative Assets | 15,100,000,000 | 8,800,000,000 |
Derivative Liabilities [Abstract] | ||
Gross Derivative Liabilities | 0 | 0 |
Equity contracts | Swaps | ||
Notional Amount of Derivatives, [Abstract] | ||
Contract/Notional | 193,700,000,000 | 162,000,000,000 |
Derivative Assets [Abstract] | ||
Gross Derivative Assets | 3,200,000,000 | 3,600,000,000 |
Derivative Liabilities [Abstract] | ||
Gross Derivative Liabilities | 4,000,000,000 | 4,200,000,000 |
Equity contracts | Futures and forwards | ||
Notional Amount of Derivatives, [Abstract] | ||
Contract/Notional | 69,500,000,000 | 71,400,000,000 |
Derivative Assets [Abstract] | ||
Gross Derivative Assets | 2,100,000,000 | 1,100,000,000 |
Derivative Liabilities [Abstract] | ||
Gross Derivative Liabilities | 1,800,000,000 | 1,400,000,000 |
Equity contracts | Options | Written options | ||
Notional Amount of Derivatives, [Abstract] | ||
Contract/Notional | 341,000,000,000 | 315,600,000,000 |
Derivative Liabilities [Abstract] | ||
Gross Derivative Liabilities | 26,000,000,000 | 29,600,000,000 |
Equity contracts | Options | Purchased options | ||
Notional Amount of Derivatives, [Abstract] | ||
Contract/Notional | 318,400,000,000 | 266,700,000,000 |
Derivative Assets [Abstract] | ||
Gross Derivative Assets | 27,900,000,000 | 30,400,000,000 |
Derivative Liabilities [Abstract] | ||
Gross Derivative Liabilities | 0 | 0 |
Commodity contracts | Swaps | ||
Notional Amount of Derivatives, [Abstract] | ||
Contract/Notional | 74,300,000,000 | 73,100,000,000 |
Derivative Assets [Abstract] | ||
Gross Derivative Assets | 5,800,000,000 | 3,800,000,000 |
Derivative Liabilities [Abstract] | ||
Gross Derivative Liabilities | 8,500,000,000 | 5,700,000,000 |
Commodity contracts | Futures and forwards | ||
Notional Amount of Derivatives, [Abstract] | ||
Contract/Notional | 376,500,000,000 | 454,400,000,000 |
Derivative Assets [Abstract] | ||
Gross Derivative Assets | 4,500,000,000 | 4,700,000,000 |
Derivative Liabilities [Abstract] | ||
Gross Derivative Liabilities | 1,800,000,000 | 2,500,000,000 |
Commodity contracts | Options | Written options | ||
Notional Amount of Derivatives, [Abstract] | ||
Contract/Notional | 129,500,000,000 | 157,300,000,000 |
Derivative Liabilities [Abstract] | ||
Gross Derivative Liabilities | 11,500,000,000 | 5,000,000,000 |
Commodity contracts | Options | Purchased options | ||
Notional Amount of Derivatives, [Abstract] | ||
Contract/Notional | 141,300,000,000 | 164,000,000,000 |
Derivative Assets [Abstract] | ||
Gross Derivative Assets | 10,700,000,000 | 5,200,000,000 |
Derivative Liabilities [Abstract] | ||
Gross Derivative Liabilities | 0 | 0 |
Credit derivatives | ||
Derivative Liabilities [Abstract] | ||
Gross Derivative Liabilities | 12,207,000,000 | 13,991,000,000 |
Credit derivatives | Swaps | Purchased credit derivatives | ||
Notional Amount of Derivatives, [Abstract] | ||
Contract/Notional | 1,094,800,000,000 | 1,305,100,000,000 |
Derivative Assets [Abstract] | ||
Gross Derivative Assets | 13,300,000,000 | 15,700,000,000 |
Derivative Liabilities [Abstract] | ||
Gross Derivative Liabilities | 23,400,000,000 | 28,100,000,000 |
Credit derivatives | Swaps | Written credit derivatives | ||
Notional Amount of Derivatives, [Abstract] | ||
Contract/Notional | 1,073,101,000,000 | 1,265,380,000,000 |
Derivative Assets [Abstract] | ||
Gross Derivative Assets | 24,500,000,000 | 29,300,000,000 |
Derivative Liabilities [Abstract] | ||
Gross Derivative Liabilities | 11,870,000,000 | 13,814,000,000 |
Credit derivatives | Total return swaps/other | Purchased credit derivatives | ||
Notional Amount of Derivatives, [Abstract] | ||
Contract/Notional | 44,300,000,000 | 38,100,000,000 |
Derivative Assets [Abstract] | ||
Gross Derivative Assets | 200,000,000 | 2,000,000,000 |
Derivative Liabilities [Abstract] | ||
Gross Derivative Liabilities | 1,400,000,000 | 3,200,000,000 |
Credit derivatives | Total return swaps/other | Written credit derivatives | ||
Notional Amount of Derivatives, [Abstract] | ||
Contract/Notional | 61,031,000,000 | 63,407,000,000 |
Derivative Assets [Abstract] | ||
Gross Derivative Assets | 500,000,000 | 4,000,000,000 |
Derivative Liabilities [Abstract] | ||
Gross Derivative Liabilities | 337,000,000 | 177,000,000 |
Trading and Other Risk Management Derivatives | ||
Derivative Assets [Abstract] | ||
Gross Derivative Assets | 974,000,000,000 | 911,100,000,000 |
Derivative Liabilities [Abstract] | ||
Gross Derivative Liabilities | 979,200,000,000 | 903,400,000,000 |
Trading and Other Risk Management Derivatives | Interest rate contracts | Swaps | ||
Derivative Assets [Abstract] | ||
Gross Derivative Assets | 658,500,000,000 | 659,900,000,000 |
Derivative Liabilities [Abstract] | ||
Gross Derivative Liabilities | 658,200,000,000 | 658,400,000,000 |
Trading and Other Risk Management Derivatives | Interest rate contracts | Futures and forwards | ||
Derivative Assets [Abstract] | ||
Gross Derivative Assets | 1,700,000,000 | 1,600,000,000 |
Derivative Liabilities [Abstract] | ||
Gross Derivative Liabilities | 2,000,000,000 | 1,500,000,000 |
Trading and Other Risk Management Derivatives | Interest rate contracts | Options | Written options | ||
Derivative Liabilities [Abstract] | ||
Gross Derivative Liabilities | 85,400,000,000 | 64,400,000,000 |
Trading and Other Risk Management Derivatives | Interest rate contracts | Options | Purchased options | ||
Derivative Assets [Abstract] | ||
Gross Derivative Assets | 85,600,000,000 | 65,400,000,000 |
Trading and Other Risk Management Derivatives | Foreign exchange risk | Swaps | ||
Derivative Assets [Abstract] | ||
Gross Derivative Assets | 51,500,000,000 | 43,100,000,000 |
Derivative Liabilities [Abstract] | ||
Gross Derivative Liabilities | 54,600,000,000 | 42,700,000,000 |
Trading and Other Risk Management Derivatives | Foreign exchange risk | Spot, futures and forwards | ||
Derivative Assets [Abstract] | ||
Gross Derivative Assets | 68,900,000,000 | 32,500,000,000 |
Derivative Liabilities [Abstract] | ||
Gross Derivative Liabilities | 72,400,000,000 | 33,500,000,000 |
Trading and Other Risk Management Derivatives | Foreign exchange risk | Options | Written options | ||
Derivative Liabilities [Abstract] | ||
Gross Derivative Liabilities | 16,000,000,000 | 9,200,000,000 |
Trading and Other Risk Management Derivatives | Foreign exchange risk | Options | Purchased options | ||
Derivative Assets [Abstract] | ||
Gross Derivative Assets | 15,100,000,000 | 8,800,000,000 |
Trading and Other Risk Management Derivatives | Equity contracts | Swaps | ||
Derivative Assets [Abstract] | ||
Gross Derivative Assets | 3,200,000,000 | 3,600,000,000 |
Derivative Liabilities [Abstract] | ||
Gross Derivative Liabilities | 4,000,000,000 | 4,200,000,000 |
Trading and Other Risk Management Derivatives | Equity contracts | Futures and forwards | ||
Derivative Assets [Abstract] | ||
Gross Derivative Assets | 2,100,000,000 | 1,100,000,000 |
Derivative Liabilities [Abstract] | ||
Gross Derivative Liabilities | 1,800,000,000 | 1,400,000,000 |
Trading and Other Risk Management Derivatives | Equity contracts | Options | Written options | ||
Derivative Liabilities [Abstract] | ||
Gross Derivative Liabilities | 26,000,000,000 | 29,600,000,000 |
Trading and Other Risk Management Derivatives | Equity contracts | Options | Purchased options | ||
Derivative Assets [Abstract] | ||
Gross Derivative Assets | 27,900,000,000 | 30,400,000,000 |
Trading and Other Risk Management Derivatives | Commodity contracts | Swaps | ||
Derivative Assets [Abstract] | ||
Gross Derivative Assets | 5,800,000,000 | 3,800,000,000 |
Derivative Liabilities [Abstract] | ||
Gross Derivative Liabilities | 8,500,000,000 | 5,700,000,000 |
Trading and Other Risk Management Derivatives | Commodity contracts | Futures and forwards | ||
Derivative Assets [Abstract] | ||
Gross Derivative Assets | 4,500,000,000 | 4,700,000,000 |
Derivative Liabilities [Abstract] | ||
Gross Derivative Liabilities | 1,800,000,000 | 2,500,000,000 |
Trading and Other Risk Management Derivatives | Commodity contracts | Options | Written options | ||
Derivative Liabilities [Abstract] | ||
Gross Derivative Liabilities | 11,500,000,000 | 5,000,000,000 |
Trading and Other Risk Management Derivatives | Commodity contracts | Options | Purchased options | ||
Derivative Assets [Abstract] | ||
Gross Derivative Assets | 10,700,000,000 | 5,200,000,000 |
Trading and Other Risk Management Derivatives | Credit derivatives | Swaps | Purchased credit derivatives | ||
Derivative Assets [Abstract] | ||
Gross Derivative Assets | 13,300,000,000 | 15,700,000,000 |
Derivative Liabilities [Abstract] | ||
Gross Derivative Liabilities | 23,400,000,000 | 28,100,000,000 |
Trading and Other Risk Management Derivatives | Credit derivatives | Swaps | Written credit derivatives | ||
Derivative Assets [Abstract] | ||
Gross Derivative Assets | 24,500,000,000 | 29,300,000,000 |
Derivative Liabilities [Abstract] | ||
Gross Derivative Liabilities | 11,900,000,000 | 13,800,000,000 |
Trading and Other Risk Management Derivatives | Credit derivatives | Total return swaps/other | Purchased credit derivatives | ||
Derivative Assets [Abstract] | ||
Gross Derivative Assets | 200,000,000 | 2,000,000,000 |
Derivative Liabilities [Abstract] | ||
Gross Derivative Liabilities | 1,400,000,000 | 3,200,000,000 |
Trading and Other Risk Management Derivatives | Credit derivatives | Total return swaps/other | Written credit derivatives | ||
Derivative Assets [Abstract] | ||
Gross Derivative Assets | 500,000,000 | 4,000,000,000 |
Derivative Liabilities [Abstract] | ||
Gross Derivative Liabilities | 300,000,000 | 200,000,000 |
Qualifying Accounting Hedges | ||
Derivative Assets [Abstract] | ||
Gross Derivative Assets | 10,800,000,000 | 9,200,000,000 |
Derivative Liabilities [Abstract] | ||
Gross Derivative Liabilities | 2,600,000,000 | 3,000,000,000 |
Qualifying Accounting Hedges | Interest rate contracts | Swaps | ||
Derivative Assets [Abstract] | ||
Gross Derivative Assets | 8,500,000,000 | 7,500,000,000 |
Derivative Liabilities [Abstract] | ||
Gross Derivative Liabilities | 500,000,000 | 900,000,000 |
Qualifying Accounting Hedges | Interest rate contracts | Futures and forwards | ||
Derivative Assets [Abstract] | ||
Gross Derivative Assets | 0 | 0 |
Qualifying Accounting Hedges | Foreign exchange risk | Swaps | ||
Derivative Assets [Abstract] | ||
Gross Derivative Assets | 800,000,000 | 1,000,000,000 |
Derivative Liabilities [Abstract] | ||
Gross Derivative Liabilities | 1,900,000,000 | 1,000,000,000 |
Qualifying Accounting Hedges | Foreign exchange risk | Spot, futures and forwards | ||
Derivative Assets [Abstract] | ||
Gross Derivative Assets | 1,500,000,000 | 700,000,000 |
Derivative Liabilities [Abstract] | ||
Gross Derivative Liabilities | 200,000,000 | 1,100,000,000 |
Qualifying Accounting Hedges | Commodity contracts | Swaps | ||
Derivative Assets [Abstract] | ||
Gross Derivative Assets | 0 | 0 |
Qualifying Accounting Hedges | Commodity contracts | Futures and forwards | ||
Derivative Assets [Abstract] | ||
Gross Derivative Assets | $0 |
Derivatives_Offsetting_Assets_
Derivatives - Offsetting Assets (Details) (USD $) | Dec. 31, 2014 | Dec. 31, 2013 |
Offsetting Assets [Line Items] | ||
Derivative assets, after netting | $36,900,000,000 | $31,500,000,000 |
Other gross derivative assets | 15,800,000,000 | 16,000,000,000 |
Derivative assets | 52,682,000,000 | 47,495,000,000 |
Less: Financial instruments collateral | -13,300,000,000 | -10,100,000,000 |
Total net derivative assets | 39,400,000,000 | 37,400,000,000 |
Over-the-counter | ||
Offsetting Assets [Line Items] | ||
Total gross derivative assets, before netting | 580,100,000,000 | 535,200,000,000 |
Less: Legally enforceable master netting agreements and cash collateral received | -545,700,000,000 | -505,000,000,000 |
Exchange-traded | ||
Offsetting Assets [Line Items] | ||
Total gross derivative assets, before netting | 16,100,000,000 | 12,100,000,000 |
Less: Legally enforceable master netting agreements and cash collateral received | -13,900,000,000 | -11,200,000,000 |
Over-the-counter cleared | ||
Offsetting Assets [Line Items] | ||
Total gross derivative assets, before netting | 372,800,000,000 | 357,000,000,000 |
Less: Legally enforceable master netting agreements and cash collateral received | -372,500,000,000 | -356,600,000,000 |
Interest rate contracts | Over-the-counter | ||
Offsetting Assets [Line Items] | ||
Total gross derivative assets, before netting | 386,600,000,000 | 381,700,000,000 |
Interest rate contracts | Exchange-traded | ||
Offsetting Assets [Line Items] | ||
Total gross derivative assets, before netting | 100,000,000 | 400,000,000 |
Interest rate contracts | Over-the-counter cleared | ||
Offsetting Assets [Line Items] | ||
Total gross derivative assets, before netting | 365,700,000,000 | 351,200,000,000 |
Foreign exchange risk | Over-the-counter | ||
Offsetting Assets [Line Items] | ||
Total gross derivative assets, before netting | 133,000,000,000 | 82,900,000,000 |
Equity contracts | Over-the-counter | ||
Offsetting Assets [Line Items] | ||
Total gross derivative assets, before netting | 19,500,000,000 | 20,300,000,000 |
Equity contracts | Exchange-traded | ||
Offsetting Assets [Line Items] | ||
Total gross derivative assets, before netting | 8,600,000,000 | 8,400,000,000 |
Commodity contracts | Over-the-counter | ||
Offsetting Assets [Line Items] | ||
Total gross derivative assets, before netting | 10,200,000,000 | 6,300,000,000 |
Commodity contracts | Exchange-traded | ||
Offsetting Assets [Line Items] | ||
Total gross derivative assets, before netting | 7,400,000,000 | 3,300,000,000 |
Commodity contracts | Over-the-counter cleared | ||
Offsetting Assets [Line Items] | ||
Total gross derivative assets, before netting | 100,000,000 | 0 |
Credit derivatives | Over-the-counter | ||
Offsetting Assets [Line Items] | ||
Total gross derivative assets, before netting | 30,800,000,000 | 44,000,000,000 |
Credit derivatives | Over-the-counter cleared | ||
Offsetting Assets [Line Items] | ||
Total gross derivative assets, before netting | $7,000,000,000 | $5,800,000,000 |
Derivatives_Offsetting_Liabili
Derivatives - Offsetting Liabilities (Details) (USD $) | Dec. 31, 2014 | Dec. 31, 2013 |
Offsetting Liabilities [Line Items] | ||
Derivative liabilities, after netting | $28,700,000,000 | $20,100,000,000 |
Other gross derivative liabilities | 18,200,000,000 | 17,300,000,000 |
Derivative liabilities | 46,909,000,000 | 37,407,000,000 |
Less: Financial instruments collateral | -8,900,000,000 | -4,600,000,000 |
Total net derivative liabilities | 38,000,000,000 | 32,800,000,000 |
Over-the-counter | ||
Offsetting Liabilities [Line Items] | ||
Total gross derivative liabilities, before netting | 571,900,000,000 | 513,700,000,000 |
Less: Legally enforceable master netting agreements and cash collateral paid | -545,500,000,000 | -495,400,000,000 |
Exchange-traded | ||
Offsetting Liabilities [Line Items] | ||
Total gross derivative liabilities, before netting | 15,600,000,000 | 13,000,000,000 |
Less: Legally enforceable master netting agreements and cash collateral paid | -13,900,000,000 | -11,200,000,000 |
Over-the-counter cleared | ||
Offsetting Liabilities [Line Items] | ||
Total gross derivative liabilities, before netting | 376,100,000,000 | 362,400,000,000 |
Less: Legally enforceable master netting agreements and cash collateral paid | -375,500,000,000 | -362,400,000,000 |
Interest rate contracts | Over-the-counter | ||
Offsetting Liabilities [Line Items] | ||
Total gross derivative liabilities, before netting | 373,200,000,000 | 365,900,000,000 |
Interest rate contracts | Exchange-traded | ||
Offsetting Liabilities [Line Items] | ||
Total gross derivative liabilities, before netting | 100,000,000 | 300,000,000 |
Interest rate contracts | Over-the-counter cleared | ||
Offsetting Liabilities [Line Items] | ||
Total gross derivative liabilities, before netting | 368,700,000,000 | 356,500,000,000 |
Foreign exchange risk | Over-the-counter | ||
Offsetting Liabilities [Line Items] | ||
Total gross derivative liabilities, before netting | 139,900,000,000 | 83,900,000,000 |
Equity contracts | Over-the-counter | ||
Offsetting Liabilities [Line Items] | ||
Total gross derivative liabilities, before netting | 16,700,000,000 | 17,600,000,000 |
Equity contracts | Exchange-traded | ||
Offsetting Liabilities [Line Items] | ||
Total gross derivative liabilities, before netting | 7,800,000,000 | 9,800,000,000 |
Commodity contracts | Over-the-counter | ||
Offsetting Liabilities [Line Items] | ||
Total gross derivative liabilities, before netting | 11,900,000,000 | 7,400,000,000 |
Commodity contracts | Exchange-traded | ||
Offsetting Liabilities [Line Items] | ||
Total gross derivative liabilities, before netting | 7,700,000,000 | 2,900,000,000 |
Commodity contracts | Over-the-counter cleared | ||
Offsetting Liabilities [Line Items] | ||
Total gross derivative liabilities, before netting | 600,000,000 | 0 |
Credit derivatives | Over-the-counter | ||
Offsetting Liabilities [Line Items] | ||
Total gross derivative liabilities, before netting | 30,200,000,000 | 38,900,000,000 |
Credit derivatives | Over-the-counter cleared | ||
Offsetting Liabilities [Line Items] | ||
Total gross derivative liabilities, before netting | $6,800,000,000 | $5,900,000,000 |
Derivatives_Derivatives_Design
Derivatives - Derivatives Designated as Accounting Hedges - Fair Value Hedges (Details) (USD $) | 12 Months Ended | ||
In Millions, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Effect of Fair Value Hedges on Results of Operations [Abstract] | |||
Derivative | ($82) | ($5,169) | ($1,687) |
Hedged Item | -827 | 4,181 | 552 |
Hedge Ineffectiveness | -909 | -988 | -1,135 |
Interest rate risk on long-term debt | Interest expense | |||
Effect of Fair Value Hedges on Results of Operations [Abstract] | |||
Derivative | 2,144 | -4,704 | -195 |
Hedged Item | -2,935 | 3,925 | -770 |
Hedge Ineffectiveness | -791 | -779 | -965 |
Interest rate and foreign currency risk on long-term debt | Interest expense | |||
Effect of Fair Value Hedges on Results of Operations [Abstract] | |||
Derivative | -2,212 | -1,291 | -1,482 |
Hedged Item | 2,120 | 1,085 | 1,225 |
Hedge Ineffectiveness | -92 | -206 | -257 |
Interest rate risk on AFS securities | Interest income | |||
Effect of Fair Value Hedges on Results of Operations [Abstract] | |||
Derivative | -35 | 839 | -4 |
Hedged Item | 3 | -840 | 91 |
Hedge Ineffectiveness | -32 | -1 | 87 |
Price risk on commodity inventory | Trading gain (loss) | |||
Effect of Fair Value Hedges on Results of Operations [Abstract] | |||
Derivative | 21 | -13 | -6 |
Hedged Item | -15 | 11 | 6 |
Hedge Ineffectiveness | $6 | ($2) |
Derivatives_Derivatives_Design1
Derivatives - Derivatives Designated as Accounting Hedges - Cash Flow and Net Investment Hedges (Details) (USD $) | 12 Months Ended | ||
In Millions, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Cash flow hedges | |||
Derivative Instruments, Gain (Loss) [Line Items] | |||
Gains (Losses) Recognized in Accumulated OCI on Derivatives | $195 | $156 | $430 |
Gains (Losses) in Income Reclassified from Accumulated OCI | -760 | -773 | -1,035 |
Hedge Ineffectiveness and Amounts Excluded from Effectiveness Testing | -4 | ||
Interest rate risk on variable-rate portfolios | Cash flow hedges | |||
Derivative Instruments, Gain (Loss) [Line Items] | |||
Gains (Losses) Recognized in Accumulated OCI on Derivatives | 68 | -321 | 10 |
Gains (Losses) in Income Reclassified from Accumulated OCI | -1,119 | -1,102 | -957 |
Hedge Ineffectiveness and Amounts Excluded from Effectiveness Testing | -4 | ||
Price risk on restricted stock awards | Cash flow hedges | |||
Derivative Instruments, Gain (Loss) [Line Items] | |||
Gains (Losses) Recognized in Accumulated OCI on Derivatives | 127 | 477 | 420 |
Gains (Losses) in Income Reclassified from Accumulated OCI | 359 | 329 | -78 |
Foreign exchange risk | Net investment hedges | |||
Derivative Instruments, Gain (Loss) [Line Items] | |||
Gains (Losses) Recognized in Accumulated OCI on Derivatives | 3,021 | 1,024 | -771 |
Gains (Losses) in Income Reclassified from Accumulated OCI | 21 | -355 | -26 |
Hedge Ineffectiveness and Amounts Excluded from Effectiveness Testing | ($503) | ($134) | ($269) |
Derivatives_Economic_Hedges_De
Derivatives - Economic Hedges (Details) (USD $) | 12 Months Ended | ||
In Millions, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Other | |||
Derivative Instruments, Gain (Loss) [Line Items] | |||
Gain (loss) on derivatives not designated as hedging | ($9) | ($19) | $58 |
Interest rate lock commitments | |||
Derivative Instruments, Gain (Loss) [Line Items] | |||
Gain (loss) on derivatives not designated as hedging | 776 | 927 | 3,000 |
Mortgage banking income | Interest rate risk on mortgage banking income | |||
Derivative Instruments, Gain (Loss) [Line Items] | |||
Gain (loss) on derivatives not designated as hedging | 1,017 | -619 | 1,324 |
Other income | Credit risk on loans | |||
Derivative Instruments, Gain (Loss) [Line Items] | |||
Gain (loss) on derivatives not designated as hedging | 16 | -47 | -95 |
Other income | Interest rate and foreign currency risk on ALM activities | |||
Derivative Instruments, Gain (Loss) [Line Items] | |||
Gain (loss) on derivatives not designated as hedging | -3,683 | 2,501 | 424 |
Personnel expense | Price risk on restricted stock awards | |||
Derivative Instruments, Gain (Loss) [Line Items] | |||
Gain (loss) on derivatives not designated as hedging | $600 | $865 | $1,008 |
Derivatives_Sales_and_Trading_
Derivatives - Sales and Trading Revenue (Details) (USD $) | 12 Months Ended | ||
In Millions, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Trading Activity, Gains and Losses, Net [Line Items] | |||
Sales and Trading Revenue | $6,309 | $7,056 | $5,870 |
Brokerage commissions and asset management fee revenue | Legacy Assets & Servicing | |||
Trading Activity, Gains and Losses, Net [Line Items] | |||
Sales and Trading Revenue | 2,200 | 2,000 | 1,800 |
Trading Securities | |||
Trading Activity, Gains and Losses, Net [Line Items] | |||
Sales and Trading Revenue | 12,740 | 12,231 | 6,492 |
Trading Securities | Trading Account Profits | |||
Trading Activity, Gains and Losses, Net [Line Items] | |||
Sales and Trading Revenue | 5,997 | 6,734 | 5,706 |
Trading Securities | Net Interest Income | |||
Trading Activity, Gains and Losses, Net [Line Items] | |||
Sales and Trading Revenue | 3,470 | 3,711 | 3,081 |
Trading Securities | Other | |||
Trading Activity, Gains and Losses, Net [Line Items] | |||
Sales and Trading Revenue | 3,273 | 1,786 | -2,295 |
Trading Securities | Interest rate risk | |||
Trading Activity, Gains and Losses, Net [Line Items] | |||
Sales and Trading Revenue | 2,484 | 1,891 | -1,840 |
Trading Securities | Interest rate risk | Trading Account Profits | |||
Trading Activity, Gains and Losses, Net [Line Items] | |||
Sales and Trading Revenue | 952 | 1,120 | -2,875 |
Trading Securities | Interest rate risk | Net Interest Income | |||
Trading Activity, Gains and Losses, Net [Line Items] | |||
Sales and Trading Revenue | 1,169 | 1,104 | 1,039 |
Trading Securities | Interest rate risk | Other | |||
Trading Activity, Gains and Losses, Net [Line Items] | |||
Sales and Trading Revenue | 363 | -333 | -4 |
Trading Securities | Foreign exchange risk | |||
Trading Activity, Gains and Losses, Net [Line Items] | |||
Sales and Trading Revenue | 1,057 | 1,072 | 919 |
Trading Securities | Foreign exchange risk | Trading Account Profits | |||
Trading Activity, Gains and Losses, Net [Line Items] | |||
Sales and Trading Revenue | 1,177 | 1,170 | 909 |
Trading Securities | Foreign exchange risk | Net Interest Income | |||
Trading Activity, Gains and Losses, Net [Line Items] | |||
Sales and Trading Revenue | 8 | 5 | 5 |
Trading Securities | Foreign exchange risk | Other | |||
Trading Activity, Gains and Losses, Net [Line Items] | |||
Sales and Trading Revenue | -128 | -103 | 5 |
Trading Securities | Equity risk | |||
Trading Activity, Gains and Losses, Net [Line Items] | |||
Sales and Trading Revenue | 4,202 | 4,180 | 2,093 |
Trading Securities | Equity risk | Trading Account Profits | |||
Trading Activity, Gains and Losses, Net [Line Items] | |||
Sales and Trading Revenue | 1,954 | 1,994 | 259 |
Trading Securities | Equity risk | Net Interest Income | |||
Trading Activity, Gains and Losses, Net [Line Items] | |||
Sales and Trading Revenue | -70 | 111 | -57 |
Trading Securities | Equity risk | Other | |||
Trading Activity, Gains and Losses, Net [Line Items] | |||
Sales and Trading Revenue | 2,318 | 2,075 | 1,891 |
Trading Securities | Credit risk | |||
Trading Activity, Gains and Losses, Net [Line Items] | |||
Sales and Trading Revenue | 4,706 | 4,871 | 5,796 |
Trading Securities | Credit risk | Trading Account Profits | |||
Trading Activity, Gains and Losses, Net [Line Items] | |||
Sales and Trading Revenue | 1,410 | 2,083 | 2,514 |
Trading Securities | Credit risk | Net Interest Income | |||
Trading Activity, Gains and Losses, Net [Line Items] | |||
Sales and Trading Revenue | 2,682 | 2,710 | 2,321 |
Trading Securities | Credit risk | Other | |||
Trading Activity, Gains and Losses, Net [Line Items] | |||
Sales and Trading Revenue | 614 | 78 | 961 |
Trading Securities | Other risk | |||
Trading Activity, Gains and Losses, Net [Line Items] | |||
Sales and Trading Revenue | 291 | 217 | -476 |
Trading Securities | Other risk | Trading Account Profits | |||
Trading Activity, Gains and Losses, Net [Line Items] | |||
Sales and Trading Revenue | 504 | 367 | 4,899 |
Trading Securities | Other risk | Net Interest Income | |||
Trading Activity, Gains and Losses, Net [Line Items] | |||
Sales and Trading Revenue | -319 | -219 | -227 |
Trading Securities | Other risk | Other | |||
Trading Activity, Gains and Losses, Net [Line Items] | |||
Sales and Trading Revenue | $106 | $69 | ($5,148) |
Derivatives_Credit_Derivatives
Derivatives - Credit Derivatives (Details) (USD $) | Dec. 31, 2014 | Dec. 31, 2013 |
In Millions, unless otherwise specified | ||
Carrying Value of Derivatives [Abstract] | ||
Total | $981,800 | $906,400 |
Carrying Value of Credit-Related Notes [Abstract] | ||
Less than One Year | 7 | 145 |
One to Three Years | 506 | 385 |
Three to Five Years | 653 | 1,351 |
Over Five Years | 4,077 | 5,403 |
Total | 5,243 | 7,284 |
Notional Amount of Derivatives, [Abstract] | ||
Less than One Year | 233,784 | 273,635 |
One to Three Years | 524,286 | 478,409 |
Three to Five Years | 326,007 | 510,848 |
Over Five Years | 50,055 | 65,895 |
Total | 1,134,132 | 1,328,787 |
Credit derivatives | ||
Carrying Value of Derivatives [Abstract] | ||
Less than One Year | 1,104 | 477 |
One to Three Years | 3,068 | 2,182 |
Three to Five Years | 2,795 | 3,445 |
Over Five Years | 5,240 | 7,887 |
Total | 12,207 | 13,991 |
Swaps | Credit derivatives | Written credit derivatives | ||
Carrying Value of Derivatives [Abstract] | ||
Less than One Year | 1,016 | 426 |
One to Three Years | 2,821 | 2,144 |
Three to Five Years | 2,793 | 3,443 |
Over Five Years | 5,240 | 7,801 |
Total | 11,870 | 13,814 |
Notional Amount of Derivatives, [Abstract] | ||
Less than One Year | 187,300 | 224,080 |
One to Three Years | 513,494 | 470,259 |
Three to Five Years | 322,739 | 506,745 |
Over Five Years | 49,568 | 64,296 |
Total | 1,073,101 | 1,265,380 |
Total return swaps/other | Credit derivatives | Written credit derivatives | ||
Carrying Value of Derivatives [Abstract] | ||
Less than One Year | 88 | 51 |
One to Three Years | 247 | 38 |
Three to Five Years | 2 | 2 |
Over Five Years | 86 | |
Total | 337 | 177 |
Notional Amount of Derivatives, [Abstract] | ||
Less than One Year | 46,484 | 49,555 |
One to Three Years | 10,792 | 8,150 |
Three to Five Years | 3,268 | 4,103 |
Over Five Years | 487 | 1,599 |
Total | 61,031 | 63,407 |
Investment grade | ||
Carrying Value of Credit-Related Notes [Abstract] | ||
Less than One Year | 2 | |
One to Three Years | 365 | 278 |
Three to Five Years | 568 | 595 |
Over Five Years | 2,634 | 4,457 |
Total | 3,569 | 5,330 |
Investment grade | Swaps | Credit derivatives | Written credit derivatives | ||
Carrying Value of Derivatives [Abstract] | ||
Less than One Year | 100 | 2 |
One to Three Years | 714 | 220 |
Three to Five Years | 1,455 | 974 |
Over Five Years | 939 | 1,134 |
Total | 3,208 | 2,330 |
Notional Amount of Derivatives, [Abstract] | ||
Less than One Year | 132,974 | 170,764 |
One to Three Years | 342,914 | 379,273 |
Three to Five Years | 242,728 | 411,426 |
Over Five Years | 28,982 | 36,039 |
Total | 747,598 | 997,502 |
Investment grade | Total return swaps/other | Credit derivatives | Written credit derivatives | ||
Carrying Value of Derivatives [Abstract] | ||
Less than One Year | 24 | 22 |
Three to Five Years | 0 | |
Over Five Years | 0 | |
Total | 24 | 22 |
Notional Amount of Derivatives, [Abstract] | ||
Less than One Year | 22,645 | 21,771 |
One to Three Years | 0 | |
Three to Five Years | 0 | |
Over Five Years | 0 | |
Total | 22,645 | 21,771 |
Non-investment grade | ||
Carrying Value of Credit-Related Notes [Abstract] | ||
Less than One Year | 5 | 145 |
One to Three Years | 141 | 107 |
Three to Five Years | 85 | 756 |
Over Five Years | 1,443 | 946 |
Total | 1,674 | 1,954 |
Non-investment grade | Swaps | Credit derivatives | Written credit derivatives | ||
Carrying Value of Derivatives [Abstract] | ||
Less than One Year | 916 | 424 |
One to Three Years | 2,107 | 1,924 |
Three to Five Years | 1,338 | 2,469 |
Over Five Years | 4,301 | 6,667 |
Total | 8,662 | 11,484 |
Notional Amount of Derivatives, [Abstract] | ||
Less than One Year | 54,326 | 53,316 |
One to Three Years | 170,580 | 90,986 |
Three to Five Years | 80,011 | 95,319 |
Over Five Years | 20,586 | 28,257 |
Total | 325,503 | 267,878 |
Non-investment grade | Total return swaps/other | Credit derivatives | Written credit derivatives | ||
Carrying Value of Derivatives [Abstract] | ||
Less than One Year | 64 | 29 |
One to Three Years | 247 | 38 |
Three to Five Years | 2 | 2 |
Over Five Years | 86 | |
Total | 313 | 155 |
Notional Amount of Derivatives, [Abstract] | ||
Less than One Year | 23,839 | 27,784 |
One to Three Years | 10,792 | 8,150 |
Three to Five Years | 3,268 | 4,103 |
Over Five Years | 487 | 1,599 |
Total | $38,386 | $41,636 |
Derivatives_Creditrelated_Cont
Derivatives - Credit-related Contingent Features and Collateral (Details) (USD $) | Dec. 31, 2014 |
In Millions, unless otherwise specified | |
Derivative [Line Items] | |
Additional collateral required to be posted upon downgrade, one incremental notch | $1,402 |
Additional collateral required to be posted upon downgrade, second incremental notch | 2,825 |
Credit derivatives | |
Derivative [Line Items] | |
Derivative liability subject to unilateral termination upon downgrade, one incremental notch | 1,785 |
Derivative liability subject to unilateral termination upon downgrade, second incremental notch | 3,850 |
Collateral posted subject to unilateral termination upon downgrade, one incremental notch | 1,520 |
Collateral posted subject to unilateral termination upon downgrade, second incremental notch | 2,986 |
Bank of America, N.A. | |
Derivative [Line Items] | |
Additional collateral required to be posted upon downgrade, one incremental notch | 1,072 |
Additional collateral required to be posted upon downgrade, second incremental notch | $1,886 |
Derivatives_Derivative_Valuati
Derivatives - Derivative Valuation Adjustments (Details) (USD $) | 12 Months Ended | ||
Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |||
Valuation adjustments on derivative assets, gross | ($22,000,000) | $738,000,000 | $1,022,000,000 |
Valuation adjustments on derivative assets, net | 191,000,000 | -96,000,000 | 291,000,000 |
Funding valuation adjustment on derivative asset, gross | -632,000,000 | ||
Funding valuation adjustment on derivative asset, net | -632,000,000 | ||
Valuation adjustments on derivative liabilities, gross | -28,000,000 | -39,000,000 | -2,212,000,000 |
Valuation adjustments on derivative liabilities, net | -150,000,000 | -75,000,000 | -2,477,000,000 |
Funding valuation adjustment on derivative liabilities, gross | 135,000,000 | ||
Funding valuation adjustment on derivative liabilities, net | 135,000,000 | ||
Cumulative credit valuation adjustment | 1,600,000,000 | 1,600,000,000 | 2,400,000,000 |
Cumulative funding valuation adjustment | 497,000,000 | ||
Cumulative debit valuation adjustment | $800,000,000 | $800,000,000 | $800,000,000 |
Derivatives_Narrative_Details
Derivatives - Narrative (Details) (USD $) | 12 Months Ended | |||
Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | |
Derivative [Line Items] | ||||
Accumulated other comprehensive income (loss) | ($4,320,000,000) | ($8,457,000,000) | ($2,797,000,000) | ($5,437,000,000) |
Net losses in AOCI expected to be reclassified | 803,000,000 | |||
Net losses in AOCI expected to be reclassified, after tax | 502,000,000 | |||
Credit derivatives | ||||
Derivative [Line Items] | ||||
Cash and securities held as collateral | 82,000,000,000 | 74,400,000,000 | ||
Cash and securities collateral posted | 67,900,000,000 | 56,100,000,000 | ||
Collateral not yet posted | 1,400,000,000 | |||
Aggregate fair value of derivative liability | 84,000,000 | |||
Credit derivatives, Unilateral Termination Option | ||||
Derivative [Line Items] | ||||
Cash and securities collateral posted | 54,000,000 | |||
Purchased credit derivatives | Credit derivatives | ||||
Derivative [Line Items] | ||||
Carrying value of written credit derivatives | 5,700,000,000 | 8,100,000,000 | ||
Notional amount of written credit derivatives | 880,600,000,000 | 1,000,000,000,000 | ||
Bank of America, N.A. | Credit derivatives | ||||
Derivative [Line Items] | ||||
Collateral not yet posted | 670,000,000 | |||
Accumulated Net Gain (Loss) from Designated or Qualifying Cash Flow Hedges | ||||
Derivative [Line Items] | ||||
Accumulated other comprehensive income (loss) | ($1,661,000,000) | ($2,277,000,000) | ($2,869,000,000) | ($3,785,000,000) |
Securities_Amortized_Cost_Gain
Securities - Amortized Cost, Gains and Losses, and Fair Value Available-for-sale (Details) (USD $) | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
In Millions, unless otherwise specified | ||||
Available-for-sale Debt Securities: | ||||
Amortized Cost | $282,108 | $241,145 | ||
Gross Unrealized Gains | 3,001 | 1,357 | ||
Gross Unrealized Losses | -835 | -6,551 | ||
Debt securities carried at fair value | 284,274 | 235,951 | ||
Available-for-sale Equity Securities: | ||||
Accumulated other comprehensive income (loss) | -4,320 | -8,457 | -2,797 | -5,437 |
Other Debt Securities, Carried at Fair Value: | ||||
Amortized Cost | 36,524 | 34,145 | ||
Gross Unrealized Gains | 261 | 34 | ||
Gross Unrealized Losses | -364 | -1,335 | ||
Fair Value | 36,421 | 32,844 | ||
Debt securities carried at fair value: | ||||
Amortized Cost | 318,632 | 275,290 | ||
Gross Unrealized Gains | 3,262 | 1,391 | ||
Gross Unrealized Losses | -1,199 | -7,886 | ||
Debt securities carried at fair value | 320,695 | 268,795 | ||
Held-to-maturity Securities: | ||||
Amortized Cost | 59,766 | 55,150 | ||
Gross Unrealized Gains | 486 | 20 | ||
Gross Unrealized Losses | -611 | -2,740 | ||
Held-to-maturity, fair value | 59,641 | 52,430 | ||
Debt securities: | ||||
Amortized Cost | 378,398 | 330,440 | ||
Gross Unrealized Gains | 3,748 | 1,411 | ||
Gross Unrealized Losses | -1,810 | -10,626 | ||
Fair Value | 380,336 | 321,225 | ||
Other assets | ||||
Available-for-sale Equity Securities: | ||||
Amortized Cost | 336 | 230 | ||
Gross Unrealized Gains | 27 | 0 | ||
Gross Unrealized Losses | 0 | -7 | ||
Fair Value | 363 | 223 | ||
Nonperforming Financial Instruments | ||||
Available-for-sale Debt Securities: | ||||
Debt securities carried at fair value | 161 | 103 | ||
U.S. Treasury and agency securities | ||||
Available-for-sale Debt Securities: | ||||
Amortized Cost | 69,267 | 8,910 | ||
Gross Unrealized Gains | 360 | 106 | ||
Gross Unrealized Losses | -32 | -62 | ||
Debt securities carried at fair value | 69,595 | 8,954 | ||
Other Debt Securities, Carried at Fair Value: | ||||
Fair Value | 1,541 | 4,062 | ||
Debt securities carried at fair value: | ||||
Debt securities carried at fair value | 71,136 | |||
Agency | ||||
Available-for-sale Debt Securities: | ||||
Amortized Cost | 163,592 | 170,112 | ||
Gross Unrealized Gains | 2,040 | 777 | ||
Gross Unrealized Losses | -593 | -5,954 | ||
Debt securities carried at fair value | 165,039 | 164,935 | ||
Other Debt Securities, Carried at Fair Value: | ||||
Fair Value | 15,704 | 16,500 | ||
Debt securities carried at fair value: | ||||
Debt securities carried at fair value | 180,743 | |||
Agency-collateralized mortgage obligations | ||||
Available-for-sale Debt Securities: | ||||
Amortized Cost | 14,175 | 22,731 | ||
Gross Unrealized Gains | 152 | 76 | ||
Gross Unrealized Losses | -79 | -315 | ||
Debt securities carried at fair value | 14,248 | 22,492 | ||
Other Debt Securities, Carried at Fair Value: | ||||
Fair Value | 0 | 218 | ||
Debt securities carried at fair value: | ||||
Debt securities carried at fair value | 14,248 | |||
Non-agency residential | ||||
Available-for-sale Debt Securities: | ||||
Amortized Cost | 4,244 | 6,124 | ||
Gross Unrealized Gains | 287 | 238 | ||
Gross Unrealized Losses | -77 | -123 | ||
Debt securities carried at fair value | 4,454 | 6,239 | ||
Other Debt Securities, Carried at Fair Value: | ||||
Fair Value | 3,745 | 0 | ||
Debt securities carried at fair value: | ||||
Debt securities carried at fair value | 8,199 | |||
Non-agency residential | Prime | ||||
Available-for-sale Equity Securities: | ||||
Available-for-sale securities, percent held by rating | 76.00% | 89.00% | ||
Non-agency residential | Alt-A | ||||
Available-for-sale Equity Securities: | ||||
Available-for-sale securities, percent held by rating | 14.00% | 7.00% | ||
Non-agency residential | Subprime | ||||
Available-for-sale Equity Securities: | ||||
Available-for-sale securities, percent held by rating | 10.00% | 4.00% | ||
Commercial | ||||
Available-for-sale Debt Securities: | ||||
Amortized Cost | 3,931 | 2,429 | ||
Gross Unrealized Gains | 69 | 63 | ||
Gross Unrealized Losses | -12 | |||
Debt securities carried at fair value | 4,000 | 2,480 | ||
Other Debt Securities, Carried at Fair Value: | ||||
Fair Value | 0 | 749 | ||
Debt securities carried at fair value: | ||||
Debt securities carried at fair value | 4,000 | |||
Non-U.S. securities | ||||
Available-for-sale Debt Securities: | ||||
Amortized Cost | 6,208 | 7,207 | ||
Gross Unrealized Gains | 33 | 37 | ||
Gross Unrealized Losses | -11 | -24 | ||
Debt securities carried at fair value | 6,230 | 7,220 | ||
Other Debt Securities, Carried at Fair Value: | ||||
Fair Value | 15,132 | 11,315 | ||
Debt securities carried at fair value: | ||||
Debt securities carried at fair value | 21,362 | |||
Corporate/Agency bonds | ||||
Available-for-sale Debt Securities: | ||||
Amortized Cost | 361 | 860 | ||
Gross Unrealized Gains | 9 | 20 | ||
Gross Unrealized Losses | -2 | -7 | ||
Debt securities carried at fair value | 368 | 873 | ||
Debt securities carried at fair value: | ||||
Debt securities carried at fair value | 368 | |||
Other taxable securities, substantially all asset-backed securities | ||||
Available-for-sale Debt Securities: | ||||
Amortized Cost | 10,774 | 16,805 | ||
Gross Unrealized Gains | 39 | 30 | ||
Gross Unrealized Losses | -22 | -5 | ||
Debt securities carried at fair value | 10,791 | 16,830 | ||
Other Debt Securities, Carried at Fair Value: | ||||
Fair Value | 299 | 0 | ||
Debt securities carried at fair value: | ||||
Debt securities carried at fair value | 11,090 | |||
Total taxable securities | ||||
Available-for-sale Debt Securities: | ||||
Amortized Cost | 272,552 | 235,178 | ||
Gross Unrealized Gains | 2,989 | 1,347 | ||
Gross Unrealized Losses | -816 | -6,502 | ||
Debt securities carried at fair value | 274,725 | 230,023 | ||
Debt securities carried at fair value: | ||||
Debt securities carried at fair value | 311,146 | |||
Tax-exempt securities | ||||
Available-for-sale Debt Securities: | ||||
Amortized Cost | 9,556 | 5,967 | ||
Gross Unrealized Gains | 12 | 10 | ||
Gross Unrealized Losses | -19 | -49 | ||
Debt securities carried at fair value | 9,549 | 5,928 | ||
Debt securities carried at fair value: | ||||
Debt securities carried at fair value | 9,549 | |||
Debt securities | ||||
Available-for-sale Equity Securities: | ||||
Accumulated other comprehensive income tax benefit | 823 | |||
Debt securities carried at fair value: | ||||
Debt securities carried at fair value | 320,695 | |||
Debt securities | Available-for-sale debt securities | ||||
Available-for-sale Equity Securities: | ||||
Accumulated other comprehensive income (loss) | $1,343 | ($3,257) | $4,443 | $3,100 |
Securities_Other_Debt_Securiti
Securities - Other Debt Securities Carried at Fair Value (Details) (USD $) | 12 Months Ended | |
Dec. 31, 2014 | Dec. 31, 2013 | |
Other Debt Securities Carried at Fair Value [Line Items] | ||
Other debt securities carried at fair value | $36,421,000,000 | $32,844,000,000 |
U.S. Treasury and agency securities | ||
Other Debt Securities Carried at Fair Value [Line Items] | ||
Other debt securities carried at fair value | 1,541,000,000 | 4,062,000,000 |
Agency | ||
Other Debt Securities Carried at Fair Value [Line Items] | ||
Other debt securities carried at fair value | 15,704,000,000 | 16,500,000,000 |
Agency-collateralized mortgage obligations | ||
Other Debt Securities Carried at Fair Value [Line Items] | ||
Other debt securities carried at fair value | 0 | 218,000,000 |
Non-agency residential | ||
Other Debt Securities Carried at Fair Value [Line Items] | ||
Other debt securities carried at fair value | 3,745,000,000 | 0 |
Commercial | ||
Other Debt Securities Carried at Fair Value [Line Items] | ||
Other debt securities carried at fair value | 0 | 749,000,000 |
Non-U.S. securities | ||
Other Debt Securities Carried at Fair Value [Line Items] | ||
Other debt securities carried at fair value | 15,132,000,000 | 11,315,000,000 |
Other taxable securities, substantially all asset-backed securities | ||
Other Debt Securities Carried at Fair Value [Line Items] | ||
Other debt securities carried at fair value | 299,000,000 | 0 |
Other income (loss) | ||
Other Debt Securities Carried at Fair Value [Line Items] | ||
Unrealized mark-to-market net gains (losses) | 1,200,000,000 | -1,300,000,000 |
Realized net gains (losses) | $275,000,000 | ($963,000,000) |
Securities_Realized_Gains_and_
Securities - Realized Gains and Losses (Details) (USD $) | 12 Months Ended | ||
In Millions, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Available-for-sale Securities, Gross Realized Gain (Loss) [Abstract] | |||
Net gains on sales of AFS debt securities | $1,354 | $1,271 | $1,662 |
Debt securities | |||
Available-for-sale Securities, Gross Realized Gain (Loss) [Abstract] | |||
Gross gains | 1,366 | 1,302 | 2,128 |
Gross losses | -12 | -31 | -466 |
Net gains on sales of AFS debt securities | 1,354 | 1,271 | 1,662 |
Income tax expense attributable to realized net gains on sales of AFS debt securities | $515 | $470 | $615 |
Securities_US_GSE_Agency_and_T
Securities - U.S. GSE, Agency, and Treasury Securities (Details) (USD $) | Dec. 31, 2014 | Dec. 31, 2013 |
In Millions, unless otherwise specified | ||
Marketable Securities [Line Items] | ||
Fair Value | $380,336 | $321,225 |
Fannie Mae | ||
Marketable Securities [Line Items] | ||
Amortized Cost | 130,725 | 123,813 |
Fair Value | 131,418 | 118,708 |
Government National Mortgage Association | ||
Marketable Securities [Line Items] | ||
Amortized Cost | 98,278 | 118,700 |
Fair Value | 98,633 | 115,314 |
U.S. Treasury | ||
Marketable Securities [Line Items] | ||
Amortized Cost | 68,481 | 10,533 |
Fair Value | 68,801 | 10,428 |
Freddie Mac | ||
Marketable Securities [Line Items] | ||
Amortized Cost | 28,288 | 24,908 |
Fair Value | $28,556 | $24,075 |
Securities_Gross_Unrealized_Lo
Securities - Gross Unrealized Losses (Details) (USD $) | Dec. 31, 2014 | Dec. 31, 2013 |
In Millions, unless otherwise specified | ||
Debt securities | ||
Available-for-sale Securities, Continuous Unrealized Loss Position [Abstract] | ||
Less than Twelve Months, Fair Value | $16,346 | $154,358 |
Less than Twelve Months, Gross Unrealized Losses | -99 | -5,791 |
Twelve Months or Longer, Fair Value | 49,554 | 14,839 |
Twelve Months or Longer, Gross Unrealized Losses | -736 | -760 |
Total, Fair Value | 65,900 | 169,197 |
Total, Gross Unrealized Losses | -835 | -6,551 |
Temporarily impaired AFS debt securities | Debt securities | ||
Available-for-sale Securities, Continuous Unrealized Loss Position [Abstract] | ||
Less than Twelve Months, Fair Value | 15,791 | 154,356 |
Less than Twelve Months, Gross Unrealized Losses | -66 | -5,790 |
Twelve Months or Longer, Fair Value | 49,554 | 14,838 |
Twelve Months or Longer, Gross Unrealized Losses | -736 | -759 |
Total, Fair Value | 65,345 | 169,194 |
Total, Gross Unrealized Losses | -802 | -6,549 |
Temporarily impaired AFS debt securities | U.S. Treasury and agency securities | ||
Available-for-sale Securities, Continuous Unrealized Loss Position [Abstract] | ||
Less than Twelve Months, Fair Value | 10,121 | 5,770 |
Less than Twelve Months, Gross Unrealized Losses | -22 | -61 |
Twelve Months or Longer, Fair Value | 667 | 19 |
Twelve Months or Longer, Gross Unrealized Losses | -10 | -1 |
Total, Fair Value | 10,788 | 5,789 |
Total, Gross Unrealized Losses | -32 | -62 |
Temporarily impaired AFS debt securities | Agency | ||
Available-for-sale Securities, Continuous Unrealized Loss Position [Abstract] | ||
Less than Twelve Months, Fair Value | 1,366 | 132,032 |
Less than Twelve Months, Gross Unrealized Losses | -8 | -5,457 |
Twelve Months or Longer, Fair Value | 43,118 | 9,324 |
Twelve Months or Longer, Gross Unrealized Losses | -585 | -497 |
Total, Fair Value | 44,484 | 141,356 |
Total, Gross Unrealized Losses | -593 | -5,954 |
Temporarily impaired AFS debt securities | Agency-collateralized mortgage obligations | ||
Available-for-sale Securities, Continuous Unrealized Loss Position [Abstract] | ||
Less than Twelve Months, Fair Value | 2,242 | 13,438 |
Less than Twelve Months, Gross Unrealized Losses | -19 | -210 |
Twelve Months or Longer, Fair Value | 3,075 | 2,661 |
Twelve Months or Longer, Gross Unrealized Losses | -60 | -105 |
Total, Fair Value | 5,317 | 16,099 |
Total, Gross Unrealized Losses | -79 | -315 |
Temporarily impaired AFS debt securities | Non-agency residential | ||
Available-for-sale Securities, Continuous Unrealized Loss Position [Abstract] | ||
Less than Twelve Months, Fair Value | 307 | 819 |
Less than Twelve Months, Gross Unrealized Losses | -3 | -15 |
Twelve Months or Longer, Fair Value | 809 | 1,237 |
Twelve Months or Longer, Gross Unrealized Losses | -41 | -106 |
Total, Fair Value | 1,116 | 2,056 |
Total, Gross Unrealized Losses | -44 | -121 |
Temporarily impaired AFS debt securities | Commercial | ||
Available-for-sale Securities, Continuous Unrealized Loss Position [Abstract] | ||
Less than Twelve Months, Fair Value | 286 | |
Less than Twelve Months, Gross Unrealized Losses | -12 | |
Twelve Months or Longer, Fair Value | 0 | |
Twelve Months or Longer, Gross Unrealized Losses | 0 | |
Total, Fair Value | 286 | |
Total, Gross Unrealized Losses | -12 | |
Temporarily impaired AFS debt securities | Non-U.S. securities | ||
Available-for-sale Securities, Continuous Unrealized Loss Position [Abstract] | ||
Less than Twelve Months, Fair Value | 157 | 0 |
Less than Twelve Months, Gross Unrealized Losses | -9 | 0 |
Twelve Months or Longer, Fair Value | 32 | 45 |
Twelve Months or Longer, Gross Unrealized Losses | -2 | -24 |
Total, Fair Value | 189 | 45 |
Total, Gross Unrealized Losses | -11 | -24 |
Temporarily impaired AFS debt securities | Corporate/Agency bonds | ||
Available-for-sale Securities, Continuous Unrealized Loss Position [Abstract] | ||
Less than Twelve Months, Fair Value | 43 | 106 |
Less than Twelve Months, Gross Unrealized Losses | -1 | -3 |
Twelve Months or Longer, Fair Value | 93 | 282 |
Twelve Months or Longer, Gross Unrealized Losses | -1 | -4 |
Total, Fair Value | 136 | 388 |
Total, Gross Unrealized Losses | -2 | -7 |
Temporarily impaired AFS debt securities | Other taxable securities, substantially all asset-backed securities | ||
Available-for-sale Securities, Continuous Unrealized Loss Position [Abstract] | ||
Less than Twelve Months, Fair Value | 575 | 116 |
Less than Twelve Months, Gross Unrealized Losses | -3 | -2 |
Twelve Months or Longer, Fair Value | 1,080 | 280 |
Twelve Months or Longer, Gross Unrealized Losses | -19 | -3 |
Total, Fair Value | 1,655 | 396 |
Total, Gross Unrealized Losses | -22 | -5 |
Temporarily impaired AFS debt securities | Total taxable securities | ||
Available-for-sale Securities, Continuous Unrealized Loss Position [Abstract] | ||
Less than Twelve Months, Fair Value | 14,811 | 152,567 |
Less than Twelve Months, Gross Unrealized Losses | -65 | -5,760 |
Twelve Months or Longer, Fair Value | 48,874 | 13,848 |
Twelve Months or Longer, Gross Unrealized Losses | -718 | -740 |
Total, Fair Value | 63,685 | 166,415 |
Total, Gross Unrealized Losses | -783 | -6,500 |
Temporarily impaired AFS debt securities | Tax-exempt securities | ||
Available-for-sale Securities, Continuous Unrealized Loss Position [Abstract] | ||
Less than Twelve Months, Fair Value | 980 | 1,789 |
Less than Twelve Months, Gross Unrealized Losses | -1 | -30 |
Twelve Months or Longer, Fair Value | 680 | 990 |
Twelve Months or Longer, Gross Unrealized Losses | -18 | -19 |
Total, Fair Value | 1,660 | 2,779 |
Total, Gross Unrealized Losses | -19 | -49 |
Other-than-temporarily impaired AFS debt securities | Non-agency residential | ||
Available-for-sale Securities, Continuous Unrealized Loss Position [Abstract] | ||
Less than Twelve Months, Fair Value | 555 | 2 |
Less than Twelve Months, Gross Unrealized Losses | -33 | -1 |
Twelve Months or Longer, Fair Value | 0 | 1 |
Twelve Months or Longer, Gross Unrealized Losses | 0 | -1 |
Total, Fair Value | 555 | 3 |
Total, Gross Unrealized Losses | ($33) | ($2) |
Securities_Asset_Impairment_Lo
Securities - Asset Impairment Losses Recongized in Earnings (Details) (USD $) | 12 Months Ended | ||
In Millions, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Other than Temporary Impairment Losses, Investments, Held-to-maturity Securities [Abstract] | |||
Total OTTI losses (unrealized and realized) | ($30) | ($21) | ($57) |
Unrealized OTTI losses recognized in OCI | 14 | 1 | 4 |
Net impairment losses recognized in earnings | ($16) | ($20) | ($53) |
Securities_Rollforward_of_Cred
Securities - Rollforward of Credit Losses Recognized (Details) (USD $) | 12 Months Ended | ||
In Millions, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Rollforward of Credit Losses Recognized: | |||
Balance, January 1 | $184 | $243 | $310 |
Additions for credit losses recognized on AFS debt securities that had no previous impairment losses | 14 | 6 | 7 |
Additions for credit losses recognized on AFS debt securities that had previously incurred impairment losses | 2 | 14 | 46 |
Reductions for AFS debt securities matured, sold or intended to be sold | 0 | -79 | -120 |
Balance, December 31 | $200 | $184 | $243 |
Securities_OTTI_Significant_As
Securities - OTTI Significant Assumptions (Details) (Non-agency residential) | Dec. 31, 2014 |
Weighted Average | |
Significant Assumptions: | |
Prepayment speed | 15.30% |
Loss severity | 35.20% |
Life default rate | 39.60% |
Weighted Average | Prime | |
Significant Assumptions: | |
Loss severity | 31.00% |
Life default rate | 24.50% |
Weighted Average | Alt-A | |
Significant Assumptions: | |
Loss severity | 34.10% |
Life default rate | 42.40% |
Weighted Average | Subprime | |
Significant Assumptions: | |
Loss severity | 45.00% |
Life default rate | 42.00% |
Minimum | |
Significant Assumptions: | |
Prepayment speed | 3.10% |
Loss severity | 11.80% |
Life default rate | 1.50% |
Maximum | |
Significant Assumptions: | |
Prepayment speed | 29.90% |
Loss severity | 44.70% |
Life default rate | 98.60% |
Securities_Expected_Maturity_D
Securities - Expected Maturity (Details) (USD $) | Dec. 31, 2014 | Dec. 31, 2013 |
In Millions, unless otherwise specified | ||
Held-to-maturity Securities, Debt Maturities, Net Carrying Amount [Abstract] | ||
Due in One Year or Less, Amount | $108 | |
Due in One Year or Less, Yield | 0.84% | |
Due after One Year through Five Years, Amount | 19,513 | |
Due after One Year through Five Years, Yield | 2.40% | |
Due after Five Years through Ten Years, Amount | 39,917 | |
Due after Five Years though Ten Years, Yield | 2.30% | |
Due after Ten Years, Amount | 228 | |
Due after Ten Years, Yield | 3.31% | |
Amortized Cost | 59,766 | 55,150 |
Total, Yield | 2.40% | |
Available-for-sale Securities, Debt Maturities, Fair Value, Fiscal Year Maturity [Abstract] | ||
Debt Securities Carried at Fair Value | 320,695 | 268,795 |
Held-to-maturity Securities, Debt Maturities, Fair Value [Abstract] | ||
Due in One Year or Less, Amount | 108 | |
Due after One Year through Five Years, Amount | 19,762 | |
Due after Five Years though Ten Years, Amount | 39,538 | |
Due after Ten Years, Amount | 233 | |
Held-to-maturity Securities, Fair Value | 59,641 | 52,430 |
U.S. Treasury and agency securities | ||
Available-for-sale Securities, Debt Maturities, Amortized Cost Basis, Fiscal Year Maturity [Abstract] | ||
Due in One Year or Less, Amount | 577 | |
Due in One Year or Less, Yield | 0.41% | |
Due after One Year through Five Years, Amount | 51,153 | |
Due after One Year through Five Years, Yield | 1.60% | |
Due after Five Years though Ten Years, Amount | 17,535 | |
Due after Five Years though Ten Years, Yield | 2.10% | |
Due after Ten Years, Amount | 1,480 | |
Due after Ten Years, Yield | 3.00% | |
Total, Amount | 70,745 | |
Total, Yield | 1.78% | |
Available-for-sale Securities, Debt Maturities, Fair Value, Fiscal Year Maturity [Abstract] | ||
Due in One Year or Less, Amount | 577 | |
Due after One Year through Five Years, Amount | 51,383 | |
Due after Five Years though Ten Years, Amount | 17,633 | |
Due after Ten Years, Amount | 1,543 | |
Debt Securities Carried at Fair Value | 71,136 | |
Agency | ||
Available-for-sale Securities, Debt Maturities, Amortized Cost Basis, Fiscal Year Maturity [Abstract] | ||
Due in One Year or Less, Amount | 28 | |
Due in One Year or Less, Yield | 4.60% | |
Due after One Year through Five Years, Amount | 24,283 | |
Due after One Year through Five Years, Yield | 2.70% | |
Due after Five Years though Ten Years, Amount | 152,950 | |
Due after Five Years though Ten Years, Yield | 2.80% | |
Due after Ten Years, Amount | 2,175 | |
Due after Ten Years, Yield | 3.00% | |
Total, Amount | 179,436 | |
Total, Yield | 2.80% | |
Available-for-sale Securities, Debt Maturities, Fair Value, Fiscal Year Maturity [Abstract] | ||
Due in One Year or Less, Amount | 29 | |
Due after One Year through Five Years, Amount | 24,859 | |
Due after Five Years though Ten Years, Amount | 153,649 | |
Due after Ten Years, Amount | 2,206 | |
Debt Securities Carried at Fair Value | 180,743 | |
Agency-collateralized mortgage obligations | ||
Available-for-sale Securities, Debt Maturities, Amortized Cost Basis, Fiscal Year Maturity [Abstract] | ||
Due in One Year or Less, Amount | 794 | |
Due in One Year or Less, Yield | 0.40% | |
Due after One Year through Five Years, Amount | 2,874 | |
Due after One Year through Five Years, Yield | 2.00% | |
Due after Five Years though Ten Years, Amount | 10,488 | |
Due after Five Years though Ten Years, Yield | 2.80% | |
Due after Ten Years, Amount | 19 | |
Due after Ten Years, Yield | 0.60% | |
Total, Amount | 14,175 | |
Total, Yield | 2.50% | |
Available-for-sale Securities, Debt Maturities, Fair Value, Fiscal Year Maturity [Abstract] | ||
Due in One Year or Less, Amount | 795 | |
Due after One Year through Five Years, Amount | 2,838 | |
Due after Five Years though Ten Years, Amount | 10,596 | |
Due after Ten Years, Amount | 19 | |
Debt Securities Carried at Fair Value | 14,248 | |
Non-agency residential | ||
Available-for-sale Securities, Debt Maturities, Amortized Cost Basis, Fiscal Year Maturity [Abstract] | ||
Due in One Year or Less, Amount | 517 | |
Due in One Year or Less, Yield | 5.09% | |
Due after One Year through Five Years, Amount | 1,834 | |
Due after One Year through Five Years, Yield | 5.39% | |
Due after Five Years though Ten Years, Amount | 1,236 | |
Due after Five Years though Ten Years, Yield | 4.78% | |
Due after Ten Years, Amount | 4,443 | |
Due after Ten Years, Yield | 10.61% | |
Total, Amount | 8,030 | |
Total, Yield | 8.15% | |
Available-for-sale Securities, Debt Maturities, Fair Value, Fiscal Year Maturity [Abstract] | ||
Due in One Year or Less, Amount | 521 | |
Due after One Year through Five Years, Amount | 1,849 | |
Due after Five Years though Ten Years, Amount | 1,316 | |
Due after Ten Years, Amount | 4,513 | |
Debt Securities Carried at Fair Value | 8,199 | |
Commercial | ||
Available-for-sale Securities, Debt Maturities, Amortized Cost Basis, Fiscal Year Maturity [Abstract] | ||
Due in One Year or Less, Amount | 188 | |
Due in One Year or Less, Yield | 9.69% | |
Due after One Year through Five Years, Amount | 590 | |
Due after One Year through Five Years, Yield | 2.32% | |
Due after Five Years though Ten Years, Amount | 3,150 | |
Due after Five Years though Ten Years, Yield | 2.80% | |
Due after Ten Years, Amount | 3 | |
Due after Ten Years, Yield | 2.83% | |
Total, Amount | 3,931 | |
Total, Yield | 3.07% | |
Available-for-sale Securities, Debt Maturities, Fair Value, Fiscal Year Maturity [Abstract] | ||
Due in One Year or Less, Amount | 191 | |
Due after One Year through Five Years, Amount | 594 | |
Due after Five Years though Ten Years, Amount | 3,212 | |
Due after Ten Years, Amount | 3 | |
Debt Securities Carried at Fair Value | 4,000 | |
Non-U.S. securities | ||
Available-for-sale Securities, Debt Maturities, Amortized Cost Basis, Fiscal Year Maturity [Abstract] | ||
Due in One Year or Less, Amount | 18,991 | |
Due in One Year or Less, Yield | 0.98% | |
Due after One Year through Five Years, Amount | 2,261 | |
Due after One Year through Five Years, Yield | 3.83% | |
Due after Five Years though Ten Years, Amount | 68 | |
Due after Five Years though Ten Years, Yield | 6.23% | |
Total, Amount | 21,320 | |
Total, Yield | 1.30% | |
Available-for-sale Securities, Debt Maturities, Fair Value, Fiscal Year Maturity [Abstract] | ||
Due in One Year or Less, Amount | 18,982 | |
Due after One Year through Five Years, Amount | 2,309 | |
Due after Five Years though Ten Years, Amount | 71 | |
Debt Securities Carried at Fair Value | 21,362 | |
Corporate/Agency bonds | ||
Available-for-sale Securities, Debt Maturities, Amortized Cost Basis, Fiscal Year Maturity [Abstract] | ||
Due in One Year or Less, Amount | 59 | |
Due in One Year or Less, Yield | 1.79% | |
Due after One Year through Five Years, Amount | 112 | |
Due after One Year through Five Years, Yield | 3.77% | |
Due after Five Years though Ten Years, Amount | 94 | |
Due after Five Years though Ten Years, Yield | 3.74% | |
Due after Ten Years, Amount | 96 | |
Due after Ten Years, Yield | 0.63% | |
Total, Amount | 361 | |
Total, Yield | 2.43% | |
Available-for-sale Securities, Debt Maturities, Fair Value, Fiscal Year Maturity [Abstract] | ||
Due in One Year or Less, Amount | 60 | |
Due after One Year through Five Years, Amount | 117 | |
Due after Five Years though Ten Years, Amount | 96 | |
Due after Ten Years, Amount | 95 | |
Debt Securities Carried at Fair Value | 368 | |
Other taxable securities, substantially all asset-backed securities | ||
Available-for-sale Securities, Debt Maturities, Amortized Cost Basis, Fiscal Year Maturity [Abstract] | ||
Due in One Year or Less, Amount | 3,199 | |
Due in One Year or Less, Yield | 1.34% | |
Due after One Year through Five Years, Amount | 5,707 | |
Due after One Year through Five Years, Yield | 1.22% | |
Due after Five Years though Ten Years, Amount | 1,376 | |
Due after Five Years though Ten Years, Yield | 1.81% | |
Due after Ten Years, Amount | 796 | |
Due after Ten Years, Yield | 4.36% | |
Total, Amount | 11,078 | |
Total, Yield | 1.59% | |
Available-for-sale Securities, Debt Maturities, Fair Value, Fiscal Year Maturity [Abstract] | ||
Due in One Year or Less, Amount | 3,202 | |
Due after One Year through Five Years, Amount | 5,699 | |
Due after Five Years though Ten Years, Amount | 1,399 | |
Due after Ten Years, Amount | 790 | |
Debt Securities Carried at Fair Value | 11,090 | |
Total taxable securities | ||
Available-for-sale Securities, Debt Maturities, Amortized Cost Basis, Fiscal Year Maturity [Abstract] | ||
Due in One Year or Less, Amount | 24,353 | |
Due in One Year or Less, Yield | 1.16% | |
Due after One Year through Five Years, Amount | 88,814 | |
Due after One Year through Five Years, Yield | 2.07% | |
Due after Five Years though Ten Years, Amount | 186,897 | |
Due after Five Years though Ten Years, Yield | 2.80% | |
Due after Ten Years, Amount | 9,012 | |
Due after Ten Years, Yield | 6.86% | |
Total, Amount | 309,076 | |
Total, Yield | 2.56% | |
Available-for-sale Securities, Debt Maturities, Fair Value, Fiscal Year Maturity [Abstract] | ||
Due in One Year or Less, Amount | 24,357 | |
Due after One Year through Five Years, Amount | 89,648 | |
Due after Five Years though Ten Years, Amount | 187,972 | |
Due after Ten Years, Amount | 9,169 | |
Debt Securities Carried at Fair Value | 311,146 | |
Tax-exempt securities | ||
Available-for-sale Securities, Debt Maturities, Amortized Cost Basis, Fiscal Year Maturity [Abstract] | ||
Due in One Year or Less, Amount | 929 | |
Due in One Year or Less, Yield | 0.97% | |
Due after One Year through Five Years, Amount | 3,768 | |
Due after One Year through Five Years, Yield | 1.13% | |
Due after Five Years though Ten Years, Amount | 3,082 | |
Due after Five Years though Ten Years, Yield | 1.15% | |
Due after Ten Years, Amount | 1,777 | |
Due after Ten Years, Yield | 0.86% | |
Total, Amount | 9,556 | |
Total, Yield | 1.14% | |
Available-for-sale Securities, Debt Maturities, Fair Value, Fiscal Year Maturity [Abstract] | ||
Due in One Year or Less, Amount | 929 | |
Due after One Year through Five Years, Amount | 3,770 | |
Due after Five Years though Ten Years, Amount | 3,078 | |
Due after Ten Years, Amount | 1,772 | |
Debt Securities Carried at Fair Value | 9,549 | |
Debt securities | ||
Available-for-sale Securities, Debt Maturities, Amortized Cost Basis, Fiscal Year Maturity [Abstract] | ||
Due in One Year or Less, Amount | 25,282 | |
Due in One Year or Less, Yield | 1.16% | |
Due after One Year through Five Years, Amount | 92,582 | |
Due after One Year through Five Years, Yield | 2.03% | |
Due after Five Years though Ten Years, Amount | 189,979 | |
Due after Five Years though Ten Years, Yield | 2.77% | |
Due after Ten Years, Amount | 10,789 | |
Due after Ten Years, Yield | 5.87% | |
Total, Amount | 318,632 | |
Total, Yield | 2.51% | |
Available-for-sale Securities, Debt Maturities, Fair Value, Fiscal Year Maturity [Abstract] | ||
Due in One Year or Less, Amount | 25,286 | |
Due after One Year through Five Years, Amount | 93,418 | |
Due after Five Years though Ten Years, Amount | 191,050 | |
Due after Ten Years, Amount | 10,941 | |
Debt Securities Carried at Fair Value | $320,695 |
Securities_Certain_Corporate_a
Securities - Certain Corporate and Strategic Investments (Details) (USD $) | 12 Months Ended | |
Dec. 31, 2013 | Dec. 31, 2014 | |
Merchant Servicing Joint Venture | ||
Schedule of Equity Method Investments [Line Items] | ||
Equity method investment ownership percentage | 49.00% | |
Other assets | Merchant Servicing Joint Venture | ||
Schedule of Equity Method Investments [Line Items] | ||
Equity method investments | $3,200,000,000 | 3,100,000,000 |
Equity Investment Income | China Construction Bank Corporation | ||
Schedule of Equity Method Investments [Line Items] | ||
Realized gain (loss) on sale of equity method investment | $753,000,000 |
Outstanding_Loans_and_Leases_P
Outstanding Loans and Leases - Past Due (Details) (USD $) | Dec. 31, 2014 | Dec. 31, 2013 |
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
30-59 Days Past Due | $5,918,000,000 | $7,405,000,000 |
60-89 Days Past Due | 2,749,000,000 | 3,439,000,000 |
90 Days or More Past Due | 19,754,000,000 | 28,263,000,000 |
Total Past Due 30 Days or More | 28,421,000,000 | 39,107,000,000 |
Total Current or Less Than 30 Days Past Due | 823,520,000,000 | 853,819,000,000 |
Carrying value gross of valuation allowance | 20,769,000,000 | 25,265,000,000 |
Loans and leases, measured at fair value | 8,681,000,000 | 10,042,000,000 |
Total Outstandings | 881,391,000,000 | 928,233,000,000 |
Percentage outstanding, 30-59 days past due | 0.67% | 0.80% |
Percentage outstanding, 60-90 days past due | 0.31% | 0.37% |
Percentage outstanding, Equal to Greater than 90 days past due | 2.24% | 3.04% |
Percentage outstanding, 30 days or more past due | 3.22% | 4.21% |
Percentage outstanding, current or less than 30 days past due | 93.44% | 91.99% |
Percentage outstanding, purchase credit-impaired | 2.36% | 2.72% |
Percentage outstanding, loans accounted for under the fair value option | 0.98% | 1.08% |
Percentage outstanding, total outstanding | 100.00% | 100.00% |
Federal National Mortgage Association Certificates and Obligations (FNMA) and Federal Home Loan Mortgage Corporation Certificates and Obligations (FHLMC) | Residential Mortgage | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Unpaid Principal Balance of Loans Covered by Protection Agreements | 17,200,000,000 | 28,200,000,000 |
Nonperforming Financing Receivable | Direct/Indirect Consumer | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Current or Less Than 30 Days Past Due | 27,000,000 | 33,000,000 |
Consumer Portfolio Segment | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
30-59 Days Past Due | 5,246,000,000 | 6,712,000,000 |
60-89 Days Past Due | 2,492,000,000 | 3,159,000,000 |
90 Days or More Past Due | 19,012,000,000 | 27,533,000,000 |
Total Past Due 30 Days or More | 26,750,000,000 | 37,404,000,000 |
Total Current or Less Than 30 Days Past Due | 438,974,000,000 | 467,117,000,000 |
Carrying value gross of valuation allowance | 20,769,000,000 | 25,265,000,000 |
Loans and leases, measured at fair value | 2,077,000,000 | 2,164,000,000 |
Total Outstandings | 488,570,000,000 | 531,950,000,000 |
Consumer Portfolio Segment | Residential Mortgage | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Loans and leases, measured at fair value | 1,900,000,000 | 2,000,000,000 |
Consumer Portfolio Segment | Home equity lines of credit | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Loans and leases, measured at fair value | 196,000,000 | 147,000,000 |
Consumer Portfolio Segment | Carrying Value | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Outstandings | 486,493,000,000 | 529,786,000,000 |
Consumer Portfolio Segment | Estimate of Fair Value Measurement | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Outstandings | 2,077,000,000 | 2,164,000,000 |
Consumer real estate | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Carrying value gross of valuation allowance | 20,769,000,000 | 25,265,000,000 |
Consumer real estate | Core Portfolio, Residential Financing Receivable | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
30-59 Days Past Due | 1,847,000,000 | 2,151,000,000 |
60-89 Days Past Due | 700,000,000 | 754,000,000 |
90 Days or More Past Due | 5,561,000,000 | 7,188,000,000 |
Total Past Due 30 Days or More | 8,108,000,000 | 10,093,000,000 |
Total Current or Less Than 30 Days Past Due | 154,112,000,000 | 167,243,000,000 |
Total Outstandings | 162,220,000,000 | 177,336,000,000 |
Consumer real estate | Core Portfolio, Home Equity Financing Receivable | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
30-59 Days Past Due | 218,000,000 | 243,000,000 |
60-89 Days Past Due | 105,000,000 | 113,000,000 |
90 Days or More Past Due | 744,000,000 | 693,000,000 |
Total Past Due 30 Days or More | 1,067,000,000 | 1,049,000,000 |
Total Current or Less Than 30 Days Past Due | 50,820,000,000 | 53,450,000,000 |
Total Outstandings | 51,887,000,000 | 54,499,000,000 |
Consumer real estate | Legacy Assets and Servicing Portfolio, Residential Financing Receivable | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
30-59 Days Past Due | 2,008,000,000 | 2,758,000,000 |
60-89 Days Past Due | 1,060,000,000 | 1,412,000,000 |
90 Days or More Past Due | 10,513,000,000 | 16,746,000,000 |
Total Past Due 30 Days or More | 13,581,000,000 | 20,916,000,000 |
Total Current or Less Than 30 Days Past Due | 25,244,000,000 | 31,142,000,000 |
Carrying value gross of valuation allowance | 15,152,000,000 | 18,672,000,000 |
Total Outstandings | 38,825,000,000 | 52,058,000,000 |
Consumer real estate | Legacy Assets and Servicing Portfolio, Home Equity Financing Receivable | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
30-59 Days Past Due | 374,000,000 | 444,000,000 |
60-89 Days Past Due | 174,000,000 | 221,000,000 |
90 Days or More Past Due | 1,166,000,000 | 1,292,000,000 |
Total Past Due 30 Days or More | 1,714,000,000 | 1,957,000,000 |
Total Current or Less Than 30 Days Past Due | 26,507,000,000 | 30,623,000,000 |
Carrying value gross of valuation allowance | 5,617,000,000 | 6,593,000,000 |
Total Outstandings | 28,221,000,000 | 32,580,000,000 |
Consumer real estate | Pay option | Legacy Assets and Servicing Portfolio, Residential Financing Receivable | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Outstandings | 3,200,000,000 | 4,400,000,000 |
Consumer real estate | Fully Insured Loans | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
30-59 Days Past Due | 2,100,000,000 | 2,500,000,000 |
60-89 Days Past Due | 1,100,000,000 | 1,200,000,000 |
90 Days or More Past Due | 11,400,000,000 | 17,000,000,000 |
Consumer real estate | Fully Insured Loans | Core Portfolio, Residential Financing Receivable | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Outstandings | 52,990,000,000 | 69,712,000,000 |
Consumer real estate | Fully Insured Loans | Core Portfolio, Home Equity Financing Receivable | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Outstandings | 0 | 0 |
Consumer real estate | Fully Insured Loans | Legacy Assets and Servicing Portfolio, Residential Financing Receivable | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Outstandings | 11,980,000,000 | 17,535,000,000 |
Consumer real estate | Fully Insured Loans | Legacy Assets and Servicing Portfolio, Home Equity Financing Receivable | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Outstandings | 0 | 0 |
Consumer real estate | Nonperforming Financing Receivable | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
30-59 Days Past Due | 392,000,000 | 623,000,000 |
60-89 Days Past Due | 332,000,000 | 410,000,000 |
Total Current or Less Than 30 Days Past Due | 3,600,000,000 | 5,900,000,000 |
Consumer real estate | Carrying Value | Core Portfolio, Residential Financing Receivable | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Outstandings | 162,220,000,000 | 177,336,000,000 |
Consumer real estate | Carrying Value | Core Portfolio, Home Equity Financing Receivable | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Outstandings | 51,887,000,000 | 54,499,000,000 |
Consumer real estate | Carrying Value | Legacy Assets and Servicing Portfolio, Residential Financing Receivable | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Outstandings | 53,977,000,000 | 70,730,000,000 |
Consumer real estate | Carrying Value | Legacy Assets and Servicing Portfolio, Home Equity Financing Receivable | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Outstandings | 33,838,000,000 | 39,173,000,000 |
Credit card and other consumer | Credit Card Receivable | United States | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
30-59 Days Past Due | 494,000,000 | 598,000,000 |
60-89 Days Past Due | 341,000,000 | 422,000,000 |
90 Days or More Past Due | 866,000,000 | 1,053,000,000 |
Total Past Due 30 Days or More | 1,701,000,000 | 2,073,000,000 |
Total Current or Less Than 30 Days Past Due | 90,178,000,000 | 90,265,000,000 |
Total Outstandings | 91,879,000,000 | 92,338,000,000 |
Credit card and other consumer | Credit Card Receivable | Non United States | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
30-59 Days Past Due | 49,000,000 | 63,000,000 |
60-89 Days Past Due | 39,000,000 | 54,000,000 |
90 Days or More Past Due | 95,000,000 | 131,000,000 |
Total Past Due 30 Days or More | 183,000,000 | 248,000,000 |
Total Current or Less Than 30 Days Past Due | 10,282,000,000 | 11,293,000,000 |
Total Outstandings | 10,465,000,000 | 11,541,000,000 |
Percentage outstanding, Equal to Greater than 90 days past due | 1.00% | 1.00% |
Percentage outstanding, current or less than 30 days past due | 98.00% | 98.00% |
Credit card and other consumer | Direct/Indirect Consumer | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
30-59 Days Past Due | 245,000,000 | 431,000,000 |
60-89 Days Past Due | 71,000,000 | 175,000,000 |
90 Days or More Past Due | 65,000,000 | 410,000,000 |
Total Past Due 30 Days or More | 381,000,000 | 1,016,000,000 |
Total Current or Less Than 30 Days Past Due | 80,000,000,000 | 81,176,000,000 |
Total Outstandings | 80,381,000,000 | 82,192,000,000 |
Credit card and other consumer | Other consumer | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
30-59 Days Past Due | 11,000,000 | 24,000,000 |
60-89 Days Past Due | 2,000,000 | 8,000,000 |
90 Days or More Past Due | 2,000,000 | 20,000,000 |
Total Past Due 30 Days or More | 15,000,000 | 52,000,000 |
Total Current or Less Than 30 Days Past Due | 1,831,000,000 | 1,925,000,000 |
Total Outstandings | 1,846,000,000 | 1,977,000,000 |
Credit card and other consumer | Other consumer | Non United States | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Outstandings | 3,000,000 | 5,000,000 |
Credit card and other consumer | Dealer Financial Services Loans | Direct/Indirect Consumer | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Outstandings | 37,700,000,000 | 38,500,000,000 |
Credit card and other consumer | Unsecured Consumed Lending Loans | Direct/Indirect Consumer | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Outstandings | 1,500,000,000 | 2,700,000,000 |
Credit card and other consumer | Securities Based Lending Loans | Direct/Indirect Consumer | United States | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Outstandings | 35,800,000,000 | 31,200,000,000 |
Credit card and other consumer | Securities Based Lending Loans | Direct/Indirect Consumer | Non United States | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Outstandings | 4,000,000,000 | 4,700,000,000 |
Credit card and other consumer | Student Loans | Direct/Indirect Consumer | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Outstandings | 632,000,000 | 4,100,000,000 |
Credit card and other consumer | Other Loans | Direct/Indirect Consumer | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Outstandings | 761,000,000 | 1,000,000,000 |
Credit card and other consumer | Consumer Finance Loans | Other consumer | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Outstandings | 676,000,000 | 1,200,000,000 |
Credit card and other consumer | Consumer Leases | Other consumer | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Outstandings | 1,000,000,000 | 606,000,000 |
Credit card and other consumer | Consumer Overdrafts | Other consumer | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Outstandings | 162,000,000 | 176,000,000 |
Credit card and other consumer | Carrying Value | Credit Card Receivable | United States | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Outstandings | 91,879,000,000 | 92,338,000,000 |
Credit card and other consumer | Carrying Value | Credit Card Receivable | Non United States | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Outstandings | 10,465,000,000 | 11,541,000,000 |
Credit card and other consumer | Carrying Value | Direct/Indirect Consumer | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Outstandings | 80,381,000,000 | 82,192,000,000 |
Credit card and other consumer | Carrying Value | Other consumer | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Outstandings | 1,846,000,000 | 1,977,000,000 |
Commercial Portfolio Segment | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
30-59 Days Past Due | 672,000,000 | 693,000,000 |
60-89 Days Past Due | 257,000,000 | 280,000,000 |
90 Days or More Past Due | 742,000,000 | 730,000,000 |
Total Past Due 30 Days or More | 1,671,000,000 | 1,703,000,000 |
Total Current or Less Than 30 Days Past Due | 384,546,000,000 | 386,702,000,000 |
Loans and leases, measured at fair value | 6,604,000,000 | 7,878,000,000 |
Total Outstandings | 392,821,000,000 | 396,283,000,000 |
Commercial Portfolio Segment | United States | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
30-59 Days Past Due | 320,000,000 | 363,000,000 |
60-89 Days Past Due | 151,000,000 | 151,000,000 |
90 Days or More Past Due | 318,000,000 | 309,000,000 |
Total Past Due 30 Days or More | 789,000,000 | 823,000,000 |
Total Current or Less Than 30 Days Past Due | 219,504,000,000 | 211,734,000,000 |
Loans and leases, measured at fair value | 1,900,000,000 | 1,500,000,000 |
Total Outstandings | 220,293,000,000 | 212,557,000,000 |
Commercial Portfolio Segment | Non United States | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
30-59 Days Past Due | 5,000,000 | 103,000,000 |
60-89 Days Past Due | 4,000,000 | 8,000,000 |
90 Days or More Past Due | 17,000,000 | |
Total Past Due 30 Days or More | 9,000,000 | 128,000,000 |
Total Current or Less Than 30 Days Past Due | 80,074,000,000 | 89,334,000,000 |
Loans and leases, measured at fair value | 4,700,000,000 | 6,400,000,000 |
Total Outstandings | 80,083,000,000 | 89,462,000,000 |
Commercial Portfolio Segment | Commercial Real Estate | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
30-59 Days Past Due | 138,000,000 | 30,000,000 |
60-89 Days Past Due | 16,000,000 | 29,000,000 |
90 Days or More Past Due | 288,000,000 | 243,000,000 |
Total Past Due 30 Days or More | 442,000,000 | 302,000,000 |
Total Current or Less Than 30 Days Past Due | 47,240,000,000 | 47,591,000,000 |
Total Outstandings | 47,682,000,000 | 47,893,000,000 |
Commercial Portfolio Segment | Commercial Real Estate | United States | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Outstandings | 45,200,000,000 | 46,300,000,000 |
Commercial Portfolio Segment | Commercial Real Estate | Non United States | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Outstandings | 2,500,000,000 | 1,600,000,000 |
Commercial Portfolio Segment | Commercial Lease Financing | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
30-59 Days Past Due | 121,000,000 | 110,000,000 |
60-89 Days Past Due | 41,000,000 | 37,000,000 |
90 Days or More Past Due | 42,000,000 | 48,000,000 |
Total Past Due 30 Days or More | 204,000,000 | 195,000,000 |
Total Current or Less Than 30 Days Past Due | 24,662,000,000 | 25,004,000,000 |
Total Outstandings | 24,866,000,000 | 25,199,000,000 |
Commercial Portfolio Segment | Small Business Commercial | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
30-59 Days Past Due | 88,000,000 | 87,000,000 |
60-89 Days Past Due | 45,000,000 | 55,000,000 |
90 Days or More Past Due | 94,000,000 | 113,000,000 |
Total Past Due 30 Days or More | 227,000,000 | 255,000,000 |
Total Current or Less Than 30 Days Past Due | 13,066,000,000 | 13,039,000,000 |
Commercial Portfolio Segment | Small Business Commercial | United States | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Outstandings | 13,293,000,000 | 13,294,000,000 |
Commercial Portfolio Segment | Carrying Value | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Outstandings | 386,217,000,000 | 388,405,000,000 |
Commercial Portfolio Segment | Carrying Value | United States | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Outstandings | 220,293,000,000 | 212,557,000,000 |
Commercial Portfolio Segment | Carrying Value | Non United States | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Outstandings | 80,083,000,000 | 89,462,000,000 |
Commercial Portfolio Segment | Carrying Value | Commercial Real Estate | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Outstandings | 47,682,000,000 | 47,893,000,000 |
Commercial Portfolio Segment | Carrying Value | Commercial Lease Financing | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Outstandings | 24,866,000,000 | 25,199,000,000 |
Commercial Portfolio Segment | Carrying Value | Small Business Commercial | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Outstandings | 13,293,000,000 | 13,294,000,000 |
Commercial Portfolio Segment | Estimate of Fair Value Measurement | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Outstandings | $6,604,000,000 | $7,878,000,000 |
Outstanding_Loans_and_Leases_N
Outstanding Loans and Leases - Nonperforming (Details) (USD $) | 12 Months Ended | ||
In Millions, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Financing Receivable, Recorded Investment, Past Due [Line Items] | |||
Threshold period past due for nonperforming status of financing receivables | 90 days | ||
Loans and leases | $881,391 | $928,233 | |
Non-performing troubled debt with no change in repayment terms at time of discharge, 90 days or more past due | 19,754 | 28,263 | |
Proceeds from sales | 28,765 | 12,331 | 1,837 |
Nonperforming loans and leases | 11,932 | 17,149 | |
Accruing past due 90 days or more | 12,654 | 18,759 | |
Nonaccruing troubled debt restructurings excluded from nonperforming loans | 102 | 260 | |
Residential Mortgage | |||
Financing Receivable, Recorded Investment, Past Due [Line Items] | |||
Accruing past due 90 days or more | 4,100 | 4,000 | |
Nonperforming Financing Receivable | Junior Lien Home Equity Financing Receivable | |||
Financing Receivable, Recorded Investment, Past Due [Line Items] | |||
Loans and leases | 800 | 1,200 | |
Chapter Seven Bankruptcy | Nonperforming Financing Receivable | |||
Financing Receivable, Recorded Investment, Past Due [Line Items] | |||
Threshold period past due for nonperforming status of financing receivables | 90 days | ||
Loans and leases | 1,400 | ||
Non-performing troubled debt with no change in repayment terms at time of discharge, current with contractual payments | 901 | ||
Non-performing troubled debt with no change in repayment terms at time of discharge, 90 days or more past due | 395 | ||
Nonperforming loans discharged more than twelve months prior (greater than) | 80.00% | ||
Nonperforming loans discharged more than twenty four months prior (greater than) | 60.00% | ||
Federal Housing Administration | Residential Mortgage | |||
Financing Receivable, Recorded Investment, Past Due [Line Items] | |||
Nonperforming loans and leases | 7,300 | 13,000 | |
Consumer Portfolio Segment | |||
Financing Receivable, Recorded Investment, Past Due [Line Items] | |||
Loans and leases | 488,570 | 531,950 | |
Non-performing troubled debt with no change in repayment terms at time of discharge, 90 days or more past due | 19,012 | 27,533 | |
Nonperforming loans and leases | 10,819 | 15,840 | |
Accruing past due 90 days or more | 12,433 | 18,555 | |
Consumer Portfolio Segment | Nonperforming Financing Receivable | |||
Financing Receivable, Recorded Investment, Past Due [Line Items] | |||
Proceeds from sales | 4,800 | 2,000 | |
Gain (loss) on the sale of loans and leases receivable | 247 | 58 | |
Consumer real estate | Junior Lien Home Equity Financing Receivable | |||
Financing Receivable, Recorded Investment, Past Due [Line Items] | |||
Threshold period past due for nonperforming status of financing receivables | 90 days | ||
Consumer real estate | Core Portfolio, Residential Financing Receivable | |||
Financing Receivable, Recorded Investment, Past Due [Line Items] | |||
Loans and leases | 162,220 | 177,336 | |
Non-performing troubled debt with no change in repayment terms at time of discharge, 90 days or more past due | 5,561 | 7,188 | |
Nonperforming loans and leases | 2,398 | 3,316 | |
Accruing past due 90 days or more | 3,942 | 5,137 | |
Consumer real estate | Core Portfolio, Home Equity Financing Receivable | |||
Financing Receivable, Recorded Investment, Past Due [Line Items] | |||
Threshold period past due for nonperforming status of financing receivables | 90 days | ||
Loans and leases | 51,887 | 54,499 | |
Non-performing troubled debt with no change in repayment terms at time of discharge, 90 days or more past due | 744 | 693 | |
Nonperforming loans and leases | 1,496 | 1,431 | |
Accruing past due 90 days or more | 0 | 0 | |
Consumer real estate | Legacy Assets and Servicing Portfolio, Residential Financing Receivable | |||
Financing Receivable, Recorded Investment, Past Due [Line Items] | |||
Loans and leases | 38,825 | 52,058 | |
Non-performing troubled debt with no change in repayment terms at time of discharge, 90 days or more past due | 10,513 | 16,746 | |
Nonperforming loans and leases | 4,491 | 8,396 | |
Accruing past due 90 days or more | 7,465 | 11,824 | |
Consumer real estate | Legacy Assets and Servicing Portfolio, Home Equity Financing Receivable | |||
Financing Receivable, Recorded Investment, Past Due [Line Items] | |||
Loans and leases | 28,221 | 32,580 | |
Non-performing troubled debt with no change in repayment terms at time of discharge, 90 days or more past due | 1,166 | 1,292 | |
Nonperforming loans and leases | 2,405 | 2,644 | |
Accruing past due 90 days or more | 0 | 0 | |
Consumer real estate | Residential Mortgage | |||
Financing Receivable, Recorded Investment, Past Due [Line Items] | |||
Threshold period past due for nonperforming status of financing receivables | 90 days | ||
Credit card and other consumer | Credit Card Receivable | United States | |||
Financing Receivable, Recorded Investment, Past Due [Line Items] | |||
Loans and leases | 91,879 | 92,338 | |
Non-performing troubled debt with no change in repayment terms at time of discharge, 90 days or more past due | 866 | 1,053 | |
Accruing past due 90 days or more | 866 | 1,053 | |
Credit card and other consumer | Credit Card Receivable | Non United States | |||
Financing Receivable, Recorded Investment, Past Due [Line Items] | |||
Loans and leases | 10,465 | 11,541 | |
Non-performing troubled debt with no change in repayment terms at time of discharge, 90 days or more past due | 95 | 131 | |
Accruing past due 90 days or more | 95 | 131 | |
Credit card and other consumer | Direct/Indirect Consumer | |||
Financing Receivable, Recorded Investment, Past Due [Line Items] | |||
Loans and leases | 80,381 | 82,192 | |
Non-performing troubled debt with no change in repayment terms at time of discharge, 90 days or more past due | 65 | 410 | |
Nonperforming loans and leases | 28 | 35 | |
Accruing past due 90 days or more | 64 | 408 | |
Credit card and other consumer | Other consumer | |||
Financing Receivable, Recorded Investment, Past Due [Line Items] | |||
Loans and leases | 1,846 | 1,977 | |
Non-performing troubled debt with no change in repayment terms at time of discharge, 90 days or more past due | 2 | 20 | |
Nonperforming loans and leases | 1 | 18 | |
Accruing past due 90 days or more | 1 | 2 | |
Credit card and other consumer | Other consumer | Non United States | |||
Financing Receivable, Recorded Investment, Past Due [Line Items] | |||
Loans and leases | 3 | 5 | |
Commercial Portfolio Segment | |||
Financing Receivable, Recorded Investment, Past Due [Line Items] | |||
Threshold period past due for nonperforming status of financing receivables | 90 days | ||
Loans and leases | 392,821 | 396,283 | |
Non-performing troubled debt with no change in repayment terms at time of discharge, 90 days or more past due | 742 | 730 | |
Nonperforming loans and leases | 1,113 | 1,309 | |
Accruing past due 90 days or more | 221 | 204 | |
Commercial Portfolio Segment | United States | |||
Financing Receivable, Recorded Investment, Past Due [Line Items] | |||
Loans and leases | 220,293 | 212,557 | |
Non-performing troubled debt with no change in repayment terms at time of discharge, 90 days or more past due | 318 | 309 | |
Nonperforming loans and leases | 701 | 819 | |
Accruing past due 90 days or more | 110 | 47 | |
Commercial Portfolio Segment | Non United States | |||
Financing Receivable, Recorded Investment, Past Due [Line Items] | |||
Loans and leases | 80,083 | 89,462 | |
Non-performing troubled debt with no change in repayment terms at time of discharge, 90 days or more past due | 17 | ||
Nonperforming loans and leases | 1 | 64 | |
Accruing past due 90 days or more | 0 | 17 | |
Commercial Portfolio Segment | Commercial Real Estate | |||
Financing Receivable, Recorded Investment, Past Due [Line Items] | |||
Loans and leases | 47,682 | 47,893 | |
Non-performing troubled debt with no change in repayment terms at time of discharge, 90 days or more past due | 288 | 243 | |
Nonperforming loans and leases | 321 | 322 | |
Accruing past due 90 days or more | 3 | 21 | |
Commercial Portfolio Segment | Commercial Real Estate | United States | |||
Financing Receivable, Recorded Investment, Past Due [Line Items] | |||
Loans and leases | 45,200 | 46,300 | |
Commercial Portfolio Segment | Commercial Real Estate | Non United States | |||
Financing Receivable, Recorded Investment, Past Due [Line Items] | |||
Loans and leases | 2,500 | 1,600 | |
Commercial Portfolio Segment | Commercial Lease Financing | |||
Financing Receivable, Recorded Investment, Past Due [Line Items] | |||
Loans and leases | 24,866 | 25,199 | |
Non-performing troubled debt with no change in repayment terms at time of discharge, 90 days or more past due | 42 | 48 | |
Nonperforming loans and leases | 3 | 16 | |
Accruing past due 90 days or more | 41 | 41 | |
Commercial Portfolio Segment | Small Business Commercial | |||
Financing Receivable, Recorded Investment, Past Due [Line Items] | |||
Non-performing troubled debt with no change in repayment terms at time of discharge, 90 days or more past due | 94 | 113 | |
Nonperforming loans and leases | 87 | 88 | |
Accruing past due 90 days or more | 67 | 78 | |
Commercial Portfolio Segment | Small Business Commercial | United States | |||
Financing Receivable, Recorded Investment, Past Due [Line Items] | |||
Loans and leases | $13,293 | $13,294 |
Outstanding_Loans_and_Leases_C
Outstanding Loans and Leases - Consumer Real Estate - Credit Quality Indicators (Details) (USD $) | Dec. 31, 2014 | Dec. 31, 2013 |
Financing Receivable, Recorded Investment [Line Items] | ||
Loans and leases | $881,391,000,000 | $928,233,000,000 |
Loans and leases, measured at fair value | 8,681,000,000 | 10,042,000,000 |
Refreshed loan to value high property value threshold | 1,000,000 | |
Consumer Portfolio Segment | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans and leases | 488,570,000,000 | 531,950,000,000 |
Loans and leases, measured at fair value | 2,077,000,000 | 2,164,000,000 |
Consumer real estate | Core Portfolio Residential Mortgage | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans and leases | 162,220,000,000 | 177,336,000,000 |
Consumer real estate | Legacy Assets & Servicing Residential Mortgage | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans and leases | 38,825,000,000 | 52,058,000,000 |
Consumer real estate | Legacy Assets & Servicing Residential Mortgage | Pay option | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans and leases | 3,200,000,000 | 4,400,000,000 |
Consumer real estate | Residential Mortgage PCI | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans and leases | 15,152,000,000 | 18,672,000,000 |
Consumer real estate | Residential Mortgage PCI | Pay option | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans and leases | 2,800,000,000 | 4,000,000,000 |
Consumer real estate | Core Portfolio Home Equity | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans and leases | 51,887,000,000 | 54,499,000,000 |
Consumer real estate | Legacy Assets & Servicing Home Equity | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans and leases | 28,221,000,000 | 32,580,000,000 |
Consumer real estate | Home Equity PCI | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans and leases | 5,617,000,000 | 6,593,000,000 |
Consumer real estate | Less than 620 | Core Portfolio Residential Mortgage | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans and leases | 4,184,000,000 | 5,334,000,000 |
Consumer real estate | Less than 620 | Legacy Assets & Servicing Residential Mortgage | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans and leases | 6,313,000,000 | 9,955,000,000 |
Consumer real estate | Less than 620 | Residential Mortgage PCI | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans and leases | 6,109,000,000 | 9,129,000,000 |
Consumer real estate | Less than 620 | Core Portfolio Home Equity | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans and leases | 2,169,000,000 | 2,415,000,000 |
Consumer real estate | Less than 620 | Legacy Assets & Servicing Home Equity | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans and leases | 3,470,000,000 | 4,259,000,000 |
Consumer real estate | Less than 620 | Home Equity PCI | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans and leases | 864,000,000 | 1,045,000,000 |
Consumer real estate | Greater than or equal to 620 and less than 680 | Core Portfolio Residential Mortgage | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans and leases | 6,272,000,000 | 7,164,000,000 |
Consumer real estate | Greater than or equal to 620 and less than 680 | Legacy Assets & Servicing Residential Mortgage | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans and leases | 4,032,000,000 | 5,276,000,000 |
Consumer real estate | Greater than or equal to 620 and less than 680 | Residential Mortgage PCI | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans and leases | 3,014,000,000 | 3,349,000,000 |
Consumer real estate | Greater than or equal to 620 and less than 680 | Core Portfolio Home Equity | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans and leases | 3,683,000,000 | 4,211,000,000 |
Consumer real estate | Greater than or equal to 620 and less than 680 | Legacy Assets & Servicing Home Equity | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans and leases | 4,529,000,000 | 5,133,000,000 |
Consumer real estate | Greater than or equal to 620 and less than 680 | Home Equity PCI | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans and leases | 995,000,000 | 1,172,000,000 |
Consumer real estate | Greater than or equal to 680 and less than 740 | Core Portfolio Residential Mortgage | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans and leases | 21,946,000,000 | 22,617,000,000 |
Consumer real estate | Greater than or equal to 680 and less than 740 | Legacy Assets & Servicing Residential Mortgage | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans and leases | 6,463,000,000 | 7,639,000,000 |
Consumer real estate | Greater than or equal to 680 and less than 740 | Residential Mortgage PCI | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans and leases | 3,310,000,000 | 3,211,000,000 |
Consumer real estate | Greater than or equal to 680 and less than 740 | Core Portfolio Home Equity | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans and leases | 10,231,000,000 | 11,726,000,000 |
Consumer real estate | Greater than or equal to 680 and less than 740 | Legacy Assets & Servicing Home Equity | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans and leases | 7,905,000,000 | 9,143,000,000 |
Consumer real estate | Greater than or equal to 680 and less than 740 | Home Equity PCI | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans and leases | 1,651,000,000 | 1,936,000,000 |
Consumer real estate | Greater than or equal to 740 | Core Portfolio Residential Mortgage | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans and leases | 76,828,000,000 | 72,509,000,000 |
Consumer real estate | Greater than or equal to 740 | Legacy Assets & Servicing Residential Mortgage | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans and leases | 10,037,000,000 | 11,653,000,000 |
Consumer real estate | Greater than or equal to 740 | Residential Mortgage PCI | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans and leases | 2,719,000,000 | 2,983,000,000 |
Consumer real estate | Greater than or equal to 740 | Core Portfolio Home Equity | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans and leases | 35,804,000,000 | 36,147,000,000 |
Consumer real estate | Greater than or equal to 740 | Legacy Assets & Servicing Home Equity | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans and leases | 12,317,000,000 | 14,045,000,000 |
Consumer real estate | Greater than or equal to 740 | Home Equity PCI | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans and leases | 2,107,000,000 | 2,440,000,000 |
Consumer real estate | Less than or equal to 90 percent | Core Portfolio Residential Mortgage | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans and leases | 100,255,000,000 | 94,255,000,000 |
Consumer real estate | Less than or equal to 90 percent | Legacy Assets & Servicing Residential Mortgage | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans and leases | 18,499,000,000 | 21,587,000,000 |
Consumer real estate | Less than or equal to 90 percent | Residential Mortgage PCI | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans and leases | 9,972,000,000 | 10,605,000,000 |
Consumer real estate | Less than or equal to 90 percent | Core Portfolio Home Equity | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans and leases | 45,414,000,000 | 44,892,000,000 |
Consumer real estate | Less than or equal to 90 percent | Legacy Assets & Servicing Home Equity | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans and leases | 17,453,000,000 | 17,006,000,000 |
Consumer real estate | Less than or equal to 90 percent | Home Equity PCI | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans and leases | 2,046,000,000 | 1,598,000,000 |
Consumer real estate | Greater than 90 percent but less than or equal to 100 percent | Core Portfolio Residential Mortgage | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans and leases | 4,958,000,000 | 7,013,000,000 |
Consumer real estate | Greater than 90 percent but less than or equal to 100 percent | Legacy Assets & Servicing Residential Mortgage | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans and leases | 3,081,000,000 | 4,216,000,000 |
Consumer real estate | Greater than 90 percent but less than or equal to 100 percent | Residential Mortgage PCI | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans and leases | 2,005,000,000 | 2,638,000,000 |
Consumer real estate | Greater than 90 percent but less than or equal to 100 percent | Core Portfolio Home Equity | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans and leases | 2,442,000,000 | 3,178,000,000 |
Consumer real estate | Greater than 90 percent but less than or equal to 100 percent | Legacy Assets & Servicing Home Equity | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans and leases | 3,272,000,000 | 3,948,000,000 |
Consumer real estate | Greater than 90 percent but less than or equal to 100 percent | Home Equity PCI | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans and leases | 1,048,000,000 | 1,121,000,000 |
Consumer real estate | Greater than 100 percent | Core Portfolio Residential Mortgage | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans and leases | 4,017,000,000 | 6,356,000,000 |
Consumer real estate | Greater than 100 percent | Legacy Assets & Servicing Residential Mortgage | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans and leases | 5,265,000,000 | 8,720,000,000 |
Consumer real estate | Greater than 100 percent | Residential Mortgage PCI | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans and leases | 3,175,000,000 | 5,429,000,000 |
Consumer real estate | Greater than 100 percent | Core Portfolio Home Equity | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans and leases | 4,031,000,000 | 6,429,000,000 |
Consumer real estate | Greater than 100 percent | Legacy Assets & Servicing Home Equity | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans and leases | 7,496,000,000 | 11,626,000,000 |
Consumer real estate | Greater than 100 percent | Home Equity PCI | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans and leases | 2,523,000,000 | 3,874,000,000 |
Consumer real estate | Fully Insured Loans | Core Portfolio Residential Mortgage | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans and leases | 52,990,000,000 | 69,712,000,000 |
Consumer real estate | Fully Insured Loans | Legacy Assets & Servicing Residential Mortgage | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans and leases | 11,980,000,000 | 17,535,000,000 |
Consumer real estate | Fully Insured Loans | Residential Mortgage PCI | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans and leases | 0 | 0 |
Consumer real estate | Fully Insured Loans | Core Portfolio Home Equity | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans and leases | 0 | 0 |
Consumer real estate | Fully Insured Loans | Legacy Assets & Servicing Home Equity | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans and leases | 0 | 0 |
Consumer real estate | Fully Insured Loans | Home Equity PCI | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans and leases | $0 | $0 |
Outstanding_Loans_and_Leases_C1
Outstanding Loans and Leases - Credit Card and Other Consumer - Credit Quality Indicators (Details) (USD $) | Dec. 31, 2014 | Dec. 31, 2013 |
Financing Receivable, Recorded Investment [Line Items] | ||
Loans and leases | $881,391,000,000 | $928,233,000,000 |
Percentage outstanding, current or less than 30 days past due | 93.44% | 91.99% |
Percentage outstanding, Equal to Greater than 90 days past due | 2.24% | 3.04% |
Credit card and other consumer | Credit Card Receivable | United States | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans and leases | 91,879,000,000 | 92,338,000,000 |
Credit card and other consumer | Credit Card Receivable | Non United States | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans and leases | 10,465,000,000 | 11,541,000,000 |
Percentage outstanding, current or less than 30 days past due | 98.00% | 98.00% |
Percentage outstanding, 30-89 days past due | 1.00% | 1.00% |
Percentage outstanding, Equal to Greater than 90 days past due | 1.00% | 1.00% |
Credit card and other consumer | Credit Card Receivable | Less than 620 | United States | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans and leases | 4,467,000,000 | 4,989,000,000 |
Credit card and other consumer | Credit Card Receivable | Less than 620 | Non United States | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans and leases | 0 | 0 |
Credit card and other consumer | Credit Card Receivable | Greater than or equal to 620 and less than 680 | United States | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans and leases | 12,177,000,000 | 12,753,000,000 |
Credit card and other consumer | Credit Card Receivable | Greater than or equal to 620 and less than 680 | Non United States | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans and leases | 0 | 0 |
Credit card and other consumer | Credit Card Receivable | Greater than or equal to 680 and less than 740 | United States | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans and leases | 34,986,000,000 | 35,413,000,000 |
Credit card and other consumer | Credit Card Receivable | Greater than or equal to 680 and less than 740 | Non United States | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans and leases | 0 | 0 |
Credit card and other consumer | Credit Card Receivable | Greater than or equal to 740 | United States | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans and leases | 40,249,000,000 | 39,183,000,000 |
Credit card and other consumer | Credit Card Receivable | Greater than or equal to 740 | Non United States | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans and leases | 0 | 0 |
Credit card and other consumer | Credit Card Receivable | Other internal credit metrics | United States | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans and leases | 0 | 0 |
Credit card and other consumer | Credit Card Receivable | Other internal credit metrics | Non United States | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans and leases | 10,465,000,000 | 11,541,000,000 |
Credit card and other consumer | Direct/Indirect Consumer | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans and leases | 80,381,000,000 | 82,192,000,000 |
Securities based lending overcollateralized | 39,700,000,000 | 35,800,000,000 |
Loans no longer originated by corporation | 632,000,000 | 4,100,000,000 |
Credit card and other consumer | Direct/Indirect Consumer | Less than 620 | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans and leases | 1,296,000,000 | 1,220,000,000 |
Credit card and other consumer | Direct/Indirect Consumer | Greater than or equal to 620 and less than 680 | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans and leases | 1,892,000,000 | 3,345,000,000 |
Credit card and other consumer | Direct/Indirect Consumer | Greater than or equal to 680 and less than 740 | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans and leases | 10,749,000,000 | 9,887,000,000 |
Credit card and other consumer | Direct/Indirect Consumer | Greater than or equal to 740 | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans and leases | 25,279,000,000 | 26,220,000,000 |
Credit card and other consumer | Direct/Indirect Consumer | Other internal credit metrics | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans and leases | 41,165,000,000 | 41,520,000,000 |
Credit card and other consumer | Other consumer | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans and leases | 1,846,000,000 | 1,977,000,000 |
Percentage from exited businesses | 37.00% | 60.00% |
Credit card and other consumer | Other consumer | Non United States | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans and leases | 3,000,000 | 5,000,000 |
Credit card and other consumer | Other consumer | Less than 620 | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans and leases | 266,000,000 | 539,000,000 |
Credit card and other consumer | Other consumer | Greater than or equal to 620 and less than 680 | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans and leases | 227,000,000 | 264,000,000 |
Credit card and other consumer | Other consumer | Greater than or equal to 680 and less than 740 | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans and leases | 307,000,000 | 199,000,000 |
Credit card and other consumer | Other consumer | Greater than or equal to 740 | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans and leases | 881,000,000 | 188,000,000 |
Credit card and other consumer | Other consumer | Other internal credit metrics | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans and leases | $165,000,000 | $787,000,000 |
Outstanding_Loans_and_Leases_C2
Outstanding Loans and Leases - Commercial - Credit Quality Indicators (Details) (USD $) | Dec. 31, 2014 | Dec. 31, 2013 |
In Millions, unless otherwise specified | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans and leases | $881,391 | $928,233 |
Loans and leases, measured at fair value | 8,681 | 10,042 |
Percentage outstanding, current or less than 30 days past due | 93.44% | 91.99% |
Commercial Portfolio Segment | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans and leases | 392,821 | 396,283 |
Loans and leases, measured at fair value | 6,604 | 7,878 |
Commercial Portfolio Segment | Commercial Real Estate | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans and leases | 47,682 | 47,893 |
Commercial Portfolio Segment | Commercial Lease Financing | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans and leases | 24,866 | 25,199 |
Commercial Portfolio Segment | Pass rated | Commercial Real Estate | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans and leases | 46,632 | 46,507 |
Commercial Portfolio Segment | Pass rated | Commercial Lease Financing | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans and leases | 23,832 | 24,211 |
Commercial Portfolio Segment | Reservable criticized | Commercial Real Estate | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans and leases | 1,050 | 1,386 |
Commercial Portfolio Segment | Reservable criticized | Commercial Lease Financing | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans and leases | 1,034 | 988 |
Commercial Portfolio Segment | United States | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans and leases | 220,293 | 212,557 |
Loans and leases, measured at fair value | 1,900 | 1,500 |
Commercial Portfolio Segment | United States | Commercial Real Estate | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans and leases | 45,200 | 46,300 |
Commercial Portfolio Segment | United States | Small Business Commercial | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans and leases | 13,293 | 13,294 |
Commercial Portfolio Segment | United States | Pass rated | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans and leases | 213,839 | 205,416 |
Commercial Portfolio Segment | United States | Pass rated | Small Business Commercial | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans and leases | 751 | 1,191 |
Commercial Portfolio Segment | United States | Reservable criticized | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans and leases | 6,454 | 7,141 |
Commercial Portfolio Segment | United States | Reservable criticized | Small Business Commercial | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans and leases | 182 | 346 |
Commercial Portfolio Segment | United States | Internal Credit Metrics | Small Business Commercial | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Percentage outstanding, current or less than 30 days past due | 98.00% | 99.00% |
Commercial Portfolio Segment | United States | Business Card and Small Business Loan | Refreshed FICO or Internal Credit Metric | Small Business Commercial | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans and leases | 762 | 289 |
Commercial Portfolio Segment | Non United States | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans and leases | 80,083 | 89,462 |
Loans and leases, measured at fair value | 4,700 | 6,400 |
Commercial Portfolio Segment | Non United States | Commercial Real Estate | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans and leases | 2,500 | 1,600 |
Commercial Portfolio Segment | Non United States | Pass rated | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans and leases | 79,367 | 88,138 |
Commercial Portfolio Segment | Non United States | Reservable criticized | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans and leases | 716 | 1,324 |
Commercial Portfolio Segment | Less than 620 | United States | Small Business Commercial | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans and leases | 184 | 224 |
Commercial Portfolio Segment | Greater than or equal to 620 and less than 680 | United States | Small Business Commercial | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans and leases | 529 | 534 |
Commercial Portfolio Segment | Greater than or equal to 680 and less than 740 | United States | Small Business Commercial | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans and leases | 1,591 | 1,567 |
Commercial Portfolio Segment | Greater than or equal to 740 | United States | Small Business Commercial | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans and leases | 2,910 | 2,779 |
Commercial Portfolio Segment | Refreshed FICO score other internal credit metrics [Member] | United States | Small Business Commercial | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans and leases | $7,146 | $6,653 |
Outstanding_Loans_and_Leases_C3
Outstanding Loans and Leases - Consumer Real Estate - Impaired Loans (Details) (USD $) | 12 Months Ended | ||
In Millions, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Financing Receivable, Impaired [Line Items] | |||
Loans and leases | $881,391 | $928,233 | |
Nonperforming Financing Receivable | Chapter Seven Bankruptcy | |||
Financing Receivable, Impaired [Line Items] | |||
Loans and leases | 1,400 | ||
Consumer real estate | |||
Financing Receivable, Impaired [Line Items] | |||
Threshold period past due for write-off of financing receivable | 180 days | ||
Real estate acquired through foreclosure | 630 | 533 | |
Consumer real estate | Residential Mortgage | |||
Impaired Financing Receivable, Unpaid Principal Balance [Abstract] | |||
With no recorded allowance | 19,710 | 21,567 | |
With an allowance recorded | 7,861 | 13,341 | |
Total | 27,571 | 34,908 | |
Impaired Financing Receivable, Recorded Investment [Abstract] | |||
With no recorded allowance | 15,605 | 16,450 | |
With an allowance recorded | 7,665 | 12,862 | |
Total | 23,270 | 29,312 | |
Related Allowance | 531 | 991 | |
Impaired Financing Receivable, Average Recorded Investment [Abstract] | |||
With no recorded allowance | 15,065 | 16,625 | 10,937 |
With an allowance recorded | 10,826 | 13,926 | 11,575 |
Total | 25,891 | 30,551 | 22,512 |
Impaired Financing Receivable, Interest Income, Accrual and Cash Basis Method [Abstract] | |||
With no recorded allowance | 490 | 621 | 366 |
With an allowance recorded | 411 | 616 | 423 |
Total | 901 | 1,237 | 789 |
Consumer real estate | Home equity lines of credit | |||
Financing Receivable, Impaired [Line Items] | |||
Threshold period past due for write-off of financing receivable | 180 days | ||
Impaired Financing Receivable, Unpaid Principal Balance [Abstract] | |||
With no recorded allowance | 3,540 | 3,249 | |
With an allowance recorded | 852 | 893 | |
Total | 4,392 | 4,142 | |
Impaired Financing Receivable, Recorded Investment [Abstract] | |||
With no recorded allowance | 1,630 | 1,385 | |
With an allowance recorded | 728 | 761 | |
Total | 2,358 | 2,146 | |
Related Allowance | 196 | 240 | |
Impaired Financing Receivable, Average Recorded Investment [Abstract] | |||
With no recorded allowance | 1,486 | 1,245 | 734 |
With an allowance recorded | 743 | 912 | 1,145 |
Total | 2,229 | 2,157 | 1,879 |
Impaired Financing Receivable, Interest Income, Accrual and Cash Basis Method [Abstract] | |||
With no recorded allowance | 87 | 76 | 49 |
With an allowance recorded | 25 | 41 | 44 |
Total | 112 | 117 | 93 |
Consumer real estate | Chapter Seven Bankruptcy | Home equity lines of credit | |||
Financing Receivable, Impaired [Line Items] | |||
Loans and leases | 2,400 | ||
Consumer real estate | Federal Housing Administration | Fully Insured Loans | Chapter Seven Bankruptcy | Home equity lines of credit | |||
Financing Receivable, Impaired [Line Items] | |||
Loans and leases | $1,000 |
Outstanding_Loans_and_Leases_C4
Outstanding Loans and Leases - Consumer Real Estate - TDRs Entered into During the Period (Details) (USD $) | 12 Months Ended | ||
In Millions, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Financing Receivable, Modifications [Line Items] | |||
Threshold period past due for nonperforming status of financing receivables | 90 days | ||
Consumer real estate | |||
Financing Receivable, Modifications [Line Items] | |||
Unpaid Principal Balance | $6,803 | $12,111 | $16,809 |
Carrying Value | 5,712 | 10,537 | 13,086 |
Pre-Modification Interest Rate | 5.12% | 5.30% | 5.49% |
Post-Modification Interest Rate | 4.73% | 4.24% | 4.66% |
Net Charge-offs | 171 | 427 | 1,239 |
Consumer real estate | Residential Mortgage | |||
Financing Receivable, Modifications [Line Items] | |||
Threshold period considered past due after modification | 90 days | ||
Unpaid Principal Balance | 5,940 | 11,233 | 15,088 |
Carrying Value | 5,120 | 10,016 | 12,228 |
Pre-Modification Interest Rate | 5.28% | 5.30% | 5.52% |
Post-Modification Interest Rate | 4.93% | 4.27% | 4.70% |
Net Charge-offs | 72 | 235 | 523 |
Principal Forgiveness | 53 | 467 | 778 |
Consumer real estate | Home equity lines of credit | |||
Financing Receivable, Modifications [Line Items] | |||
Unpaid Principal Balance | 863 | 878 | 1,721 |
Carrying Value | 592 | 521 | 858 |
Pre-Modification Interest Rate | 4.00% | 5.29% | 5.22% |
Post-Modification Interest Rate | 3.33% | 3.92% | 4.39% |
Net Charge-offs | 99 | 192 | 716 |
Principal Forgiveness | 1 | 9 | |
Chapter Seven Bankruptcy | Consumer real estate | |||
Financing Receivable, Modifications [Line Items] | |||
Carrying Value | 710 | 1,429 | 3,534 |
Chapter Seven Bankruptcy | Consumer real estate | Residential Mortgage | |||
Financing Receivable, Modifications [Line Items] | |||
Carrying Value | 521 | 1,151 | 2,936 |
Chapter Seven Bankruptcy | Consumer real estate | Home equity lines of credit | |||
Financing Receivable, Modifications [Line Items] | |||
Carrying Value | $189 | $278 | $598 |
Nonperforming Financing Receivable | Chapter Seven Bankruptcy | |||
Financing Receivable, Modifications [Line Items] | |||
Threshold period past due for nonperforming status of financing receivables | 90 days |
Outstanding_Loans_and_Leases_C5
Outstanding Loans and Leases - Consumer Real Estate - Modification Programs (Details) (Consumer real estate, USD $) | 12 Months Ended | ||
In Millions, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Financing Receivable, Modifications [Line Items] | |||
Carrying Value | $5,712 | $10,537 | $13,086 |
Residential Mortgage | |||
Financing Receivable, Modifications [Line Items] | |||
Carrying Value | 5,120 | 10,016 | 12,228 |
Home equity lines of credit | |||
Financing Receivable, Modifications [Line Items] | |||
Carrying Value | 592 | 521 | 858 |
Modifications under government programs | |||
Financing Receivable, Modifications [Line Items] | |||
Carrying Value | 832 | 2,022 | 840 |
Modifications under government programs | Residential Mortgage | |||
Financing Receivable, Modifications [Line Items] | |||
Carrying Value | 757 | 1,950 | 730 |
Modifications under government programs | Home equity lines of credit | |||
Financing Receivable, Modifications [Line Items] | |||
Carrying Value | 75 | 72 | 110 |
Modifications under proprietary programs | |||
Financing Receivable, Modifications [Line Items] | |||
Carrying Value | 567 | 3,589 | 4,096 |
Modifications under proprietary programs | Residential Mortgage | |||
Financing Receivable, Modifications [Line Items] | |||
Carrying Value | 421 | 3,505 | 4,015 |
Modifications under proprietary programs | Home equity lines of credit | |||
Financing Receivable, Modifications [Line Items] | |||
Carrying Value | 146 | 84 | 81 |
Trial modifications | |||
Financing Receivable, Modifications [Line Items] | |||
Carrying Value | 3,603 | 3,497 | 4,616 |
Trial modifications | Residential Mortgage | |||
Financing Receivable, Modifications [Line Items] | |||
Carrying Value | 3,421 | 3,410 | 4,547 |
Trial modifications | Home equity lines of credit | |||
Financing Receivable, Modifications [Line Items] | |||
Carrying Value | 182 | 87 | 69 |
Loans discharged in Chapter 7 bankruptcy | |||
Financing Receivable, Modifications [Line Items] | |||
Carrying Value | 710 | 1,429 | 3,534 |
Loans discharged in Chapter 7 bankruptcy | Residential Mortgage | |||
Financing Receivable, Modifications [Line Items] | |||
Carrying Value | 521 | 1,151 | 2,936 |
Loans discharged in Chapter 7 bankruptcy | Home equity lines of credit | |||
Financing Receivable, Modifications [Line Items] | |||
Carrying Value | 189 | 278 | 598 |
Contractual interest rate reduction | Modifications under government programs | |||
Financing Receivable, Modifications [Line Items] | |||
Carrying Value | 699 | 1,863 | 720 |
Contractual interest rate reduction | Modifications under government programs | Residential Mortgage | |||
Financing Receivable, Modifications [Line Items] | |||
Carrying Value | 643 | 1,815 | 642 |
Contractual interest rate reduction | Modifications under government programs | Home equity lines of credit | |||
Financing Receivable, Modifications [Line Items] | |||
Carrying Value | 56 | 48 | 78 |
Contractual interest rate reduction | Modifications under proprietary programs | |||
Financing Receivable, Modifications [Line Items] | |||
Carrying Value | 266 | 2,839 | 3,394 |
Contractual interest rate reduction | Modifications under proprietary programs | Residential Mortgage | |||
Financing Receivable, Modifications [Line Items] | |||
Carrying Value | 244 | 2,799 | 3,350 |
Contractual interest rate reduction | Modifications under proprietary programs | Home equity lines of credit | |||
Financing Receivable, Modifications [Line Items] | |||
Carrying Value | 22 | 40 | 44 |
Capitalization of past due amounts | Modifications under proprietary programs | |||
Financing Receivable, Modifications [Line Items] | |||
Carrying Value | 73 | 134 | 144 |
Capitalization of past due amounts | Modifications under proprietary programs | Residential Mortgage | |||
Financing Receivable, Modifications [Line Items] | |||
Carrying Value | 71 | 132 | 144 |
Capitalization of past due amounts | Modifications under proprietary programs | Home equity lines of credit | |||
Financing Receivable, Modifications [Line Items] | |||
Carrying Value | 2 | 2 | 0 |
Principal and/or interest forbearance | Modifications under government programs | |||
Financing Receivable, Modifications [Line Items] | |||
Carrying Value | 34 | 59 | 82 |
Principal and/or interest forbearance | Modifications under government programs | Residential Mortgage | |||
Financing Receivable, Modifications [Line Items] | |||
Carrying Value | 16 | 35 | 51 |
Principal and/or interest forbearance | Modifications under government programs | Home equity lines of credit | |||
Financing Receivable, Modifications [Line Items] | |||
Carrying Value | 18 | 24 | 31 |
Principal and/or interest forbearance | Modifications under proprietary programs | |||
Financing Receivable, Modifications [Line Items] | |||
Carrying Value | 141 | 486 | 440 |
Principal and/or interest forbearance | Modifications under proprietary programs | Residential Mortgage | |||
Financing Receivable, Modifications [Line Items] | |||
Carrying Value | 66 | 469 | 424 |
Principal and/or interest forbearance | Modifications under proprietary programs | Home equity lines of credit | |||
Financing Receivable, Modifications [Line Items] | |||
Carrying Value | 75 | 17 | 16 |
Other modifications | Modifications under government programs | |||
Financing Receivable, Modifications [Line Items] | |||
Carrying Value | 99 | 100 | 38 |
Other modifications | Modifications under government programs | Residential Mortgage | |||
Financing Receivable, Modifications [Line Items] | |||
Carrying Value | 98 | 100 | 37 |
Other modifications | Modifications under government programs | Home equity lines of credit | |||
Financing Receivable, Modifications [Line Items] | |||
Carrying Value | 1 | 0 | 1 |
Other modifications | Modifications under proprietary programs | |||
Financing Receivable, Modifications [Line Items] | |||
Carrying Value | 87 | 130 | 118 |
Other modifications | Modifications under proprietary programs | Residential Mortgage | |||
Financing Receivable, Modifications [Line Items] | |||
Carrying Value | 40 | 105 | 97 |
Other modifications | Modifications under proprietary programs | Home equity lines of credit | |||
Financing Receivable, Modifications [Line Items] | |||
Carrying Value | $47 | $25 | $21 |
Outstanding_Loans_and_Leases_C6
Outstanding Loans and Leases - Consumer Real Estate - TDRs Entering Payment Default That Were Modified During the Preceding 12 Months (Details) (Consumer real estate, USD $) | 12 Months Ended | ||
In Millions, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Financing Receivable, Modifications [Line Items] | |||
Carrying value of loans entered into payment default that are no longer held | $2,000 | $2,400 | $667 |
Trouble debt restructurings entered payment default that were modified during the preceding twelve months | 4,264 | 6,961 | 4,818 |
Residential Mortgage | |||
Financing Receivable, Modifications [Line Items] | |||
Number of missing payments causing default | 3 | ||
Threshold period considered past due after modification | 90 days | ||
Trouble debt restructurings entered payment default that were modified during the preceding twelve months | 4,122 | 6,911 | 4,723 |
Home equity lines of credit | |||
Financing Receivable, Modifications [Line Items] | |||
Trouble debt restructurings entered payment default that were modified during the preceding twelve months | 142 | 50 | 95 |
Modifications under government programs | |||
Financing Receivable, Modifications [Line Items] | |||
Trouble debt restructurings entered payment default that were modified during the preceding twelve months | 700 | 456 | 210 |
Modifications under government programs | Residential Mortgage | |||
Financing Receivable, Modifications [Line Items] | |||
Trouble debt restructurings entered payment default that were modified during the preceding twelve months | 696 | 454 | 202 |
Modifications under government programs | Home equity lines of credit | |||
Financing Receivable, Modifications [Line Items] | |||
Trouble debt restructurings entered payment default that were modified during the preceding twelve months | 4 | 2 | 8 |
Modifications under proprietary programs | |||
Financing Receivable, Modifications [Line Items] | |||
Trouble debt restructurings entered payment default that were modified during the preceding twelve months | 726 | 1,121 | 956 |
Modifications under proprietary programs | Residential Mortgage | |||
Financing Receivable, Modifications [Line Items] | |||
Trouble debt restructurings entered payment default that were modified during the preceding twelve months | 714 | 1,117 | 942 |
Modifications under proprietary programs | Home equity lines of credit | |||
Financing Receivable, Modifications [Line Items] | |||
Trouble debt restructurings entered payment default that were modified during the preceding twelve months | 12 | 4 | 14 |
Loans discharged in Chapter 7 bankruptcy | |||
Financing Receivable, Modifications [Line Items] | |||
Trouble debt restructurings entered payment default that were modified during the preceding twelve months | 551 | 994 | 1,281 |
Loans discharged in Chapter 7 bankruptcy | Residential Mortgage | |||
Financing Receivable, Modifications [Line Items] | |||
Trouble debt restructurings entered payment default that were modified during the preceding twelve months | 481 | 964 | 1,228 |
Loans discharged in Chapter 7 bankruptcy | Home equity lines of credit | |||
Financing Receivable, Modifications [Line Items] | |||
Trouble debt restructurings entered payment default that were modified during the preceding twelve months | 70 | 30 | 53 |
Trial modifications | |||
Financing Receivable, Modifications [Line Items] | |||
Trouble debt restructurings entered payment default that were modified during the preceding twelve months | 2,287 | 4,390 | 2,371 |
Trial modifications | Residential Mortgage | |||
Financing Receivable, Modifications [Line Items] | |||
Trouble debt restructurings entered payment default that were modified during the preceding twelve months | 2,231 | 4,376 | 2,351 |
Trial modifications | Home equity lines of credit | |||
Financing Receivable, Modifications [Line Items] | |||
Trouble debt restructurings entered payment default that were modified during the preceding twelve months | $56 | $14 | $20 |
Outstanding_Loans_and_Leases_C7
Outstanding Loans and Leases - Credit Card and Other Consumer - Impaired Loans (Details) (Credit card and other consumer, USD $) | 12 Months Ended | ||
In Millions, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Financing Receivable, Impaired [Line Items] | |||
Fixed payment plan period for loans modified | 60 months | ||
Threshold period past due for write-off of financing receivable | 180 days | ||
Threshold period past due for write-off of financing receivable after placed on fixed payment plan | 120 days | ||
Direct/Indirect Consumer | |||
Impaired Financing Receivable, Unpaid Principal Balance [Abstract] | |||
With no recorded allowance | $59 | $75 | |
With an allowance recorded | 76 | 242 | |
Total | 135 | 317 | |
Impaired Financing Receivable, Recorded Investment [Abstract] | |||
With no recorded allowance | 25 | 32 | |
With an allowance recorded | 92 | 282 | |
Total | 117 | 314 | |
Related Allowance | 24 | 84 | |
Impaired Financing Receivable, Average Recorded Investment [Abstract] | |||
With no recorded allowance | 27 | 42 | 58 |
With an allowance recorded | 180 | 456 | 929 |
Total | 207 | 498 | 987 |
Impaired Financing Receivable, Interest Income, Accrual and Cash Basis Method [Abstract] | |||
With no recorded allowance | 0 | 0 | 0 |
With an allowance recorded | 9 | 24 | 50 |
Total | 9 | 24 | 50 |
Other consumer | |||
Impaired Financing Receivable, Unpaid Principal Balance [Abstract] | |||
With no recorded allowance | 0 | 34 | |
With an allowance recorded | 0 | 27 | |
Total | 0 | 61 | |
Impaired Financing Receivable, Recorded Investment [Abstract] | |||
With no recorded allowance | 0 | 34 | |
With an allowance recorded | 0 | 26 | |
Total | 0 | 60 | |
Related Allowance | 0 | 9 | |
Impaired Financing Receivable, Average Recorded Investment [Abstract] | |||
With no recorded allowance | 33 | 34 | 35 |
With an allowance recorded | 23 | 28 | 29 |
Total | 56 | 62 | 64 |
Impaired Financing Receivable, Interest Income, Accrual and Cash Basis Method [Abstract] | |||
With no recorded allowance | 2 | 2 | 2 |
With an allowance recorded | 1 | 2 | 2 |
Total | 3 | 4 | 4 |
United States | Credit Card Receivable | |||
Impaired Financing Receivable, Unpaid Principal Balance [Abstract] | |||
With an allowance recorded | 804 | 1,384 | |
Total | 804 | 1,384 | |
Impaired Financing Receivable, Recorded Investment [Abstract] | |||
With an allowance recorded | 856 | 1,465 | |
Total | 856 | 1,465 | |
Related Allowance | 207 | 337 | |
Impaired Financing Receivable, Average Recorded Investment [Abstract] | |||
With an allowance recorded | 1,148 | 2,144 | 4,085 |
Total | 1,148 | 2,144 | 4,085 |
Impaired Financing Receivable, Interest Income, Accrual and Cash Basis Method [Abstract] | |||
With an allowance recorded | 71 | 134 | 253 |
Total | 71 | 134 | 253 |
Non United States | Credit Card Receivable | |||
Impaired Financing Receivable, Unpaid Principal Balance [Abstract] | |||
With an allowance recorded | 132 | 200 | |
Total | 132 | 200 | |
Impaired Financing Receivable, Recorded Investment [Abstract] | |||
With an allowance recorded | 168 | 240 | |
Total | 168 | 240 | |
Related Allowance | 108 | 149 | |
Impaired Financing Receivable, Average Recorded Investment [Abstract] | |||
With an allowance recorded | 210 | 266 | 464 |
Total | 210 | 266 | 464 |
Impaired Financing Receivable, Interest Income, Accrual and Cash Basis Method [Abstract] | |||
With an allowance recorded | 6 | 7 | 10 |
Total | $6 | $7 | $10 |
Outstanding_Loans_and_Leases_C8
Outstanding Loans and Leases - Credit Card and Other Consumer - Renegotiated TDRs by Program Type (Details) (Credit card and other consumer, USD $) | Dec. 31, 2014 | Dec. 31, 2013 |
In Millions, unless otherwise specified | ||
Financing Receivable, Modifications [Line Items] | ||
Renegotiated TDRs | $1,141 | $2,079 |
Percent of balances current or less than 30 days past due | 79.51% | 78.77% |
Internal Programs | ||
Financing Receivable, Modifications [Line Items] | ||
Renegotiated TDRs | 541 | 1,143 |
External Programs | ||
Financing Receivable, Modifications [Line Items] | ||
Renegotiated TDRs | 447 | 739 |
Other | ||
Financing Receivable, Modifications [Line Items] | ||
Renegotiated TDRs | 153 | 197 |
Credit Card Receivable | United States | ||
Financing Receivable, Modifications [Line Items] | ||
Renegotiated TDRs | 856 | 1,465 |
Percent of balances current or less than 30 days past due | 84.99% | 82.77% |
Credit Card Receivable | Non United States | ||
Financing Receivable, Modifications [Line Items] | ||
Renegotiated TDRs | 168 | 240 |
Percent of balances current or less than 30 days past due | 47.56% | 49.01% |
Credit Card Receivable | Internal Programs | United States | ||
Financing Receivable, Modifications [Line Items] | ||
Renegotiated TDRs | 450 | 842 |
Credit Card Receivable | Internal Programs | Non United States | ||
Financing Receivable, Modifications [Line Items] | ||
Renegotiated TDRs | 41 | 71 |
Credit Card Receivable | External Programs | United States | ||
Financing Receivable, Modifications [Line Items] | ||
Renegotiated TDRs | 397 | 607 |
Credit Card Receivable | External Programs | Non United States | ||
Financing Receivable, Modifications [Line Items] | ||
Renegotiated TDRs | 16 | 26 |
Credit Card Receivable | Other | United States | ||
Financing Receivable, Modifications [Line Items] | ||
Renegotiated TDRs | 9 | 16 |
Credit Card Receivable | Other | Non United States | ||
Financing Receivable, Modifications [Line Items] | ||
Renegotiated TDRs | 111 | 143 |
Direct/Indirect Consumer | ||
Financing Receivable, Modifications [Line Items] | ||
Renegotiated TDRs | 117 | 314 |
Percent of balances current or less than 30 days past due | 85.21% | 84.29% |
Direct/Indirect Consumer | Internal Programs | ||
Financing Receivable, Modifications [Line Items] | ||
Renegotiated TDRs | 50 | 170 |
Direct/Indirect Consumer | External Programs | ||
Financing Receivable, Modifications [Line Items] | ||
Renegotiated TDRs | 34 | 106 |
Direct/Indirect Consumer | Other | ||
Financing Receivable, Modifications [Line Items] | ||
Renegotiated TDRs | 33 | 38 |
Other consumer | ||
Financing Receivable, Modifications [Line Items] | ||
Renegotiated TDRs | 0 | 60 |
Percent of balances current or less than 30 days past due | 0.00% | 71.08% |
Other consumer | Internal Programs | ||
Financing Receivable, Modifications [Line Items] | ||
Renegotiated TDRs | 0 | 60 |
Other consumer | External Programs | ||
Financing Receivable, Modifications [Line Items] | ||
Renegotiated TDRs | 0 | 0 |
Other consumer | Other | ||
Financing Receivable, Modifications [Line Items] | ||
Renegotiated TDRs | $0 | $0 |
Outstanding_Loans_and_Leases_C9
Outstanding Loans and Leases - Credit Card and Other Consumer - Renegotiated TDRs Entered into During the Period (Details) (Credit card and other consumer, USD $) | 12 Months Ended | ||
In Millions, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Financing Receivable, Modifications [Line Items] | |||
Unpaid Principal Balance | $394 | $488 | $761 |
Carrying Value | 426 | 522 | 728 |
Pre-Modification Interest Rate | 18.32% | 18.89% | 18.68% |
Post-Modification Interest Rate | 4.03% | 4.37% | 4.79% |
Net Charge-offs | 142 | 183 | 287 |
Direct/Indirect Consumer | |||
Financing Receivable, Modifications [Line Items] | |||
Unpaid Principal Balance | 27 | 47 | 160 |
Carrying Value | 19 | 38 | 113 |
Pre-Modification Interest Rate | 8.66% | 11.53% | 9.59% |
Post-Modification Interest Rate | 4.90% | 4.74% | 5.72% |
Net Charge-offs | 14 | 15 | 52 |
Other consumer | |||
Financing Receivable, Modifications [Line Items] | |||
Unpaid Principal Balance | 8 | 9 | |
Carrying Value | 8 | 9 | |
Pre-Modification Interest Rate | 9.28% | 9.97% | |
Post-Modification Interest Rate | 5.25% | 6.44% | |
Net Charge-offs | 0 | 0 | |
United States | Credit Card Receivable | |||
Financing Receivable, Modifications [Line Items] | |||
Unpaid Principal Balance | 276 | 299 | 396 |
Carrying Value | 301 | 329 | 400 |
Pre-Modification Interest Rate | 16.64% | 16.84% | 17.59% |
Post-Modification Interest Rate | 5.15% | 5.84% | 6.36% |
Net Charge-offs | 37 | 30 | 45 |
Non United States | Credit Card Receivable | |||
Financing Receivable, Modifications [Line Items] | |||
Unpaid Principal Balance | 91 | 134 | 196 |
Carrying Value | 106 | 147 | 206 |
Pre-Modification Interest Rate | 24.90% | 25.90% | 26.19% |
Post-Modification Interest Rate | 0.68% | 0.95% | 1.15% |
Net Charge-offs | $91 | $138 | $190 |
Recovered_Sheet1
Outstanding Loans and Leases - Credit Card and Other Consumer - Renegotiated TDRs Entered into During the Period by Program Type (Details) (Credit card and other consumer, USD $) | 12 Months Ended | ||
In Millions, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Financing Receivable, Modifications [Line Items] | |||
Carrying Value | $426 | $522 | $728 |
Period for payment default after modification | 12 months | ||
Direct/Indirect Consumer | |||
Financing Receivable, Modifications [Line Items] | |||
Carrying Value | 19 | 38 | 113 |
Percent expected to be in payment default within 12 months after modification | 12.00% | ||
Trouble debt restructurings entered payment default that were modified during the preceding twelve months | 5 | 12 | 35 |
Other consumer | |||
Financing Receivable, Modifications [Line Items] | |||
Carrying Value | 8 | 9 | |
United States | Credit Card Receivable | |||
Financing Receivable, Modifications [Line Items] | |||
Carrying Value | 301 | 329 | 400 |
Percent expected to be in payment default within 12 months after modification | 14.00% | ||
Trouble debt restructurings entered payment default that were modified during the preceding twelve months | 56 | 61 | 203 |
Non United States | Credit Card Receivable | |||
Financing Receivable, Modifications [Line Items] | |||
Carrying Value | 106 | 147 | 206 |
Percent expected to be in payment default within 12 months after modification | 81.00% | ||
Trouble debt restructurings entered payment default that were modified during the preceding twelve months | 200 | 236 | 298 |
Internal Programs | |||
Financing Receivable, Modifications [Line Items] | |||
Carrying Value | 206 | 231 | 331 |
Internal Programs | Direct/Indirect Consumer | |||
Financing Receivable, Modifications [Line Items] | |||
Carrying Value | 4 | 15 | 36 |
Internal Programs | Other consumer | |||
Financing Receivable, Modifications [Line Items] | |||
Carrying Value | 8 | 9 | |
Internal Programs | United States | Credit Card Receivable | |||
Financing Receivable, Modifications [Line Items] | |||
Carrying Value | 196 | 192 | 248 |
Internal Programs | Non United States | Credit Card Receivable | |||
Financing Receivable, Modifications [Line Items] | |||
Carrying Value | 6 | 16 | 38 |
External Programs | |||
Financing Receivable, Modifications [Line Items] | |||
Carrying Value | 113 | 154 | 185 |
External Programs | Direct/Indirect Consumer | |||
Financing Receivable, Modifications [Line Items] | |||
Carrying Value | 2 | 8 | 19 |
External Programs | Other consumer | |||
Financing Receivable, Modifications [Line Items] | |||
Carrying Value | 0 | 0 | |
External Programs | United States | Credit Card Receivable | |||
Financing Receivable, Modifications [Line Items] | |||
Carrying Value | 105 | 137 | 152 |
External Programs | Non United States | Credit Card Receivable | |||
Financing Receivable, Modifications [Line Items] | |||
Carrying Value | 6 | 9 | 14 |
Other | |||
Financing Receivable, Modifications [Line Items] | |||
Carrying Value | 107 | 137 | 212 |
Other | Direct/Indirect Consumer | |||
Financing Receivable, Modifications [Line Items] | |||
Carrying Value | 13 | 15 | 58 |
Other | Other consumer | |||
Financing Receivable, Modifications [Line Items] | |||
Carrying Value | 0 | 0 | |
Other | United States | Credit Card Receivable | |||
Financing Receivable, Modifications [Line Items] | |||
Carrying Value | 0 | 0 | 0 |
Other | Non United States | Credit Card Receivable | |||
Financing Receivable, Modifications [Line Items] | |||
Carrying Value | $94 | $122 | $154 |
Recovered_Sheet2
Outstanding Loans and Leases - Commerical Loans - Impaired Loans (Details) (Commercial Portfolio Segment, USD $) | 12 Months Ended | ||
In Millions, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Financing Receivable, Impaired [Line Items] | |||
Real estate acquired through foreclosure | $67 | $90 | |
U.S. Commercial | |||
Impaired Financing Receivable, Unpaid Principal Balance [Abstract] | |||
With no recorded allowance | 668 | 609 | |
With an allowance recorded | 1,139 | 1,581 | |
Total | 1,807 | 2,190 | |
Impaired Financing Receivable, Recorded Investment [Abstract] | |||
With no recorded allowance | 650 | 577 | |
With an allowance recorded | 839 | 1,262 | |
Total | 1,489 | 1,839 | |
Related Allowance | 75 | 164 | |
Impaired Financing Receivable, Average Recorded Investment [Abstract] | |||
With no recorded allowance | 546 | 442 | 588 |
With an allowance recorded | 1,198 | 1,553 | 2,104 |
Total | 1,744 | 1,995 | 2,692 |
Impaired Financing Receivable, Interest Income, Accrual and Cash Basis Method [Abstract] | |||
With no recorded allowance | 12 | 6 | 9 |
With an allowance recorded | 51 | 47 | 55 |
Total | 63 | 53 | 64 |
Non United States | |||
Impaired Financing Receivable, Unpaid Principal Balance [Abstract] | |||
With no recorded allowance | 0 | 10 | |
With an allowance recorded | 47 | 254 | |
Total | 47 | 264 | |
Impaired Financing Receivable, Recorded Investment [Abstract] | |||
With no recorded allowance | 0 | 10 | |
With an allowance recorded | 44 | 64 | |
Total | 44 | 74 | |
Related Allowance | 1 | 16 | |
Impaired Financing Receivable, Average Recorded Investment [Abstract] | |||
With no recorded allowance | 15 | 28 | 104 |
With an allowance recorded | 52 | 109 | 77 |
Total | 67 | 137 | 181 |
Impaired Financing Receivable, Interest Income, Accrual and Cash Basis Method [Abstract] | |||
With no recorded allowance | 0 | 0 | 0 |
With an allowance recorded | 3 | 5 | 4 |
Total | 3 | 5 | 4 |
Commercial Real Estate | |||
Impaired Financing Receivable, Unpaid Principal Balance [Abstract] | |||
With no recorded allowance | 60 | 254 | |
With an allowance recorded | 678 | 1,066 | |
Total | 738 | 1,320 | |
Impaired Financing Receivable, Recorded Investment [Abstract] | |||
With no recorded allowance | 48 | 228 | |
With an allowance recorded | 495 | 731 | |
Total | 543 | 959 | |
Related Allowance | 48 | 61 | |
Impaired Financing Receivable, Average Recorded Investment [Abstract] | |||
With no recorded allowance | 166 | 269 | 1,119 |
With an allowance recorded | 632 | 1,148 | 2,126 |
Total | 798 | 1,417 | 3,245 |
Impaired Financing Receivable, Interest Income, Accrual and Cash Basis Method [Abstract] | |||
With no recorded allowance | 3 | 3 | 3 |
With an allowance recorded | 16 | 28 | 29 |
Total | 19 | 31 | 32 |
Small Business Commercial | |||
Impaired Financing Receivable, Unpaid Principal Balance [Abstract] | |||
With an allowance recorded | 133 | 186 | |
Total | 133 | 186 | |
Impaired Financing Receivable, Recorded Investment [Abstract] | |||
With an allowance recorded | 122 | 176 | |
Total | 122 | 176 | |
Related Allowance | 35 | 36 | |
Impaired Financing Receivable, Average Recorded Investment [Abstract] | |||
With an allowance recorded | 151 | 236 | 409 |
Total | 151 | 236 | 409 |
Impaired Financing Receivable, Interest Income, Accrual and Cash Basis Method [Abstract] | |||
With an allowance recorded | 3 | 6 | 13 |
Total | $3 | $6 | $13 |
Recovered_Sheet3
Outstanding Loans and Leases - Commercial Loans TDRs (Details) (USD $) | 12 Months Ended | ||
In Millions, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Financing Receivable, Modifications [Line Items] | |||
Threshold period past due for nonperforming status of financing receivables | 90 days | ||
Commercial Portfolio Segment | |||
Financing Receivable, Modifications [Line Items] | |||
Unpaid Principal Balance | $1,211 | $1,478 | $1,495 |
Carrying Value | 1,177 | 1,388 | 1,390 |
Net Charge-offs | 57 | 44 | 60 |
Threshold period past due for nonperforming status of financing receivables | 90 days | ||
Commercial Portfolio Segment | U.S. Commercial | |||
Financing Receivable, Modifications [Line Items] | |||
Unpaid Principal Balance | 818 | 926 | 590 |
Carrying Value | 785 | 910 | 558 |
Net Charge-offs | 49 | 33 | 34 |
Trouble debt restructurings entered payment default that were modified during the preceding twelve months | 103 | 55 | 130 |
Commercial Portfolio Segment | Non United States | |||
Financing Receivable, Modifications [Line Items] | |||
Unpaid Principal Balance | 44 | 61 | 90 |
Carrying Value | 43 | 44 | 89 |
Net Charge-offs | 0 | 7 | 1 |
Commercial Portfolio Segment | Commercial Real Estate | |||
Financing Receivable, Modifications [Line Items] | |||
Unpaid Principal Balance | 346 | 483 | 793 |
Carrying Value | 346 | 425 | 721 |
Net Charge-offs | 8 | 3 | 20 |
Trouble debt restructurings entered payment default that were modified during the preceding twelve months | 211 | 128 | 455 |
Commercial Portfolio Segment | Small Business Commercial | |||
Financing Receivable, Modifications [Line Items] | |||
Unpaid Principal Balance | 3 | 8 | 22 |
Carrying Value | 3 | 9 | 22 |
Net Charge-offs | $0 | $1 | $5 |
Outstanding_Loans_and_Leases_P1
Outstanding Loans and Leases - Purchased Loans at Acquisition Date (Details) (USD $) | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
In Millions, unless otherwise specified | |||
Certain Loans Acquired in Transfer Not Accounted for as Debt Securities Acquired During Period [Line Items] | |||
Less: Accretable yield | $5,608 | $6,694 | $4,644 |
Federal National Mortgage Association FNMA | |||
Certain Loans Acquired in Transfer Not Accounted for as Debt Securities Acquired During Period [Line Items] | |||
Contractually required payments including interest | 8,274 | ||
Less: Nonaccretable difference | 2,159 | ||
Cash flows expected to be collected | 6,115 | ||
Less: Accretable yield | 1,125 | ||
Fair value of loans acquired | $4,990 |
Outstanding_Loans_and_Leases_R
Outstanding Loans and Leases - Rollforward of Accretable Yield (Details) (USD $) | 12 Months Ended | |
Dec. 31, 2014 | Dec. 31, 2013 | |
Certain Loans Acquired in Transfer Not Accounted for as Debt Securities, Accretable Yield Movement Schedule [Roll Forward] | ||
Accretable yield, beginning of period | $6,694,000,000 | $4,644,000,000 |
Accretion | -1,061,000,000 | -1,194,000,000 |
Loans purchased | 1,125,000,000 | |
Disposals/transfers | -506,000,000 | -361,000,000 |
Reclassifications from nonaccretable difference | 481,000,000 | 2,480,000,000 |
Accretable yield, ending of period | 5,608,000,000 | 6,694,000,000 |
Purchased credit impaired loans sold | 1,900,000,000 | |
Receivables Acquired with Deteriorated Credit Quality | ||
Financing Receivable, Allowance for Credit Losses [Line Items] | ||
Financing receivable allowance sold | $317,000,000 |
Outstanding_Loans_and_Leases_L
Outstanding Loans and Leases - Loans Held-for-Sale (Details) (USD $) | 12 Months Ended | ||
Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | |
Loans and Leases Receivable Disclosure [Abstract] | |||
Loans held-for-sale | $12,836,000,000 | $11,362,000,000 | |
Proceeds including cash and securities from sales securitizations and paydowns of loans held for sale | 40,100,000,000 | 81,000,000,000 | 58,000,000,000 |
Originations and purchases | ($40,113,000,000) | ($65,688,000,000) | ($59,540,000,000) |
Allowance_for_Credit_Losses_Al
Allowance for Credit Losses - Allowance by Portfolio Segment (Details) (USD $) | 12 Months Ended | ||
In Millions, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Allowance for Loan and Lease Losses [Roll Forward] | |||
Allowance for loan and lease losses, January 1 | $17,428 | $24,179 | $33,783 |
Loans and leases charged off | -7,026 | -10,369 | -17,672 |
Recoveries of loans and leases previously charged off | 2,643 | 2,472 | 2,764 |
Net charge-offs | -4,383 | -7,897 | -14,908 |
Provision for loan and lease losses | 2,231 | 3,574 | 8,310 |
Other | -47 | -92 | -186 |
Allowance for loan and lease losses, December 31 | 14,419 | 17,428 | 24,179 |
Reserve for unfunded lending commitments, January 1 | 17,912 | 24,692 | |
Provision for unfunded lending commitments | 2,275 | 3,556 | 8,169 |
Reserve for unfunded lending commitments, December 31 | 14,947 | 17,912 | 24,692 |
Allowance for credit losses | 14,947 | 17,912 | 24,692 |
Consumer Real Estate | |||
Allowance for Loan and Lease Losses [Roll Forward] | |||
Allowance for loan and lease losses, January 1 | 8,518 | 14,933 | 21,079 |
Loans and leases charged off | -2,219 | -3,766 | -7,849 |
Recoveries of loans and leases previously charged off | 1,426 | 879 | 496 |
Net charge-offs | -793 | -2,887 | -7,353 |
Provision for loan and lease losses | -976 | -1,124 | 4,073 |
Other | -4 | -68 | -46 |
Allowance for loan and lease losses, December 31 | 5,935 | 8,518 | 14,933 |
Reserve for unfunded lending commitments, January 1 | 8,518 | 14,933 | |
Reserve for unfunded lending commitments, December 31 | 5,935 | 8,518 | 14,933 |
Allowance for credit losses | 5,935 | 8,518 | 14,933 |
Valuation allowance | 1,652 | 2,493 | |
Credit card and other consumer | |||
Allowance for Loan and Lease Losses [Roll Forward] | |||
Allowance for loan and lease losses, January 1 | 4,905 | 6,140 | 8,569 |
Loans and leases charged off | -4,149 | -5,495 | -7,727 |
Recoveries of loans and leases previously charged off | 871 | 1,141 | 1,519 |
Net charge-offs | -3,278 | -4,354 | -6,208 |
Provision for loan and lease losses | 2,458 | 3,139 | 3,899 |
Other | -38 | -20 | -120 |
Allowance for loan and lease losses, December 31 | 4,047 | 4,905 | 6,140 |
Reserve for unfunded lending commitments, January 1 | 4,905 | 6,140 | |
Reserve for unfunded lending commitments, December 31 | 4,047 | 4,905 | 6,140 |
Allowance for credit losses | 4,047 | 4,905 | 6,140 |
Commercial | |||
Allowance for Loan and Lease Losses [Roll Forward] | |||
Allowance for loan and lease losses, January 1 | 4,005 | 3,106 | 4,135 |
Loans and leases charged off | -658 | -1,108 | -2,096 |
Recoveries of loans and leases previously charged off | 346 | 452 | 749 |
Net charge-offs | -312 | -656 | -1,347 |
Provision for loan and lease losses | 749 | 1,559 | 338 |
Other | -5 | -4 | -20 |
Allowance for loan and lease losses, December 31 | 4,437 | 4,005 | 3,106 |
Reserve for unfunded lending commitments, January 1 | 4,489 | 3,619 | |
Reserve for unfunded lending commitments, December 31 | 4,965 | 4,489 | 3,619 |
Allowance for credit losses | 4,965 | 4,489 | 3,619 |
Receivables Acquired with Deteriorated Credit Quality | |||
Allowance for Loan and Lease Losses [Roll Forward] | |||
Loans and leases charged off | -810 | -2,336 | -2,820 |
Provision for loan and lease losses | -31 | -707 | -103 |
Valuation allowance | 1,652 | 2,493 | 5,500 |
Receivables Acquired with Deteriorated Credit Quality | Consumer Real Estate | |||
Allowance for Loan and Lease Losses [Roll Forward] | |||
Loans and leases charged off | -810 | -2,336 | -2,820 |
Receivables Acquired with Deteriorated Credit Quality | Credit card and other consumer | |||
Allowance for Loan and Lease Losses [Roll Forward] | |||
Loans and leases charged off | 0 | 0 | 0 |
Receivables Acquired with Deteriorated Credit Quality | Commercial | |||
Allowance for Loan and Lease Losses [Roll Forward] | |||
Loans and leases charged off | 0 | 0 | 0 |
Unfunded loan commitments | |||
Allowance for Loan and Lease Losses [Roll Forward] | |||
Other | -11 | -60 | |
Reserve for unfunded lending commitments, January 1 | 484 | 513 | 714 |
Provision for unfunded lending commitments | 44 | -18 | -141 |
Reserve for unfunded lending commitments, December 31 | 528 | 484 | 513 |
Allowance for credit losses | 528 | 484 | 513 |
Unfunded loan commitments | Consumer Real Estate | |||
Allowance for Loan and Lease Losses [Roll Forward] | |||
Other | 0 | 0 | |
Reserve for unfunded lending commitments, January 1 | 0 | 0 | 0 |
Provision for unfunded lending commitments | 0 | 0 | 0 |
Reserve for unfunded lending commitments, December 31 | 0 | 0 | 0 |
Allowance for credit losses | 0 | 0 | 0 |
Unfunded loan commitments | Credit card and other consumer | |||
Allowance for Loan and Lease Losses [Roll Forward] | |||
Other | 0 | 0 | |
Reserve for unfunded lending commitments, January 1 | 0 | 0 | 0 |
Provision for unfunded lending commitments | 0 | 0 | 0 |
Reserve for unfunded lending commitments, December 31 | 0 | 0 | 0 |
Allowance for credit losses | 0 | 0 | 0 |
Unfunded loan commitments | Commercial | |||
Allowance for Loan and Lease Losses [Roll Forward] | |||
Other | -11 | -60 | |
Reserve for unfunded lending commitments, January 1 | 484 | 513 | 714 |
Provision for unfunded lending commitments | 44 | -18 | -141 |
Reserve for unfunded lending commitments, December 31 | 528 | 484 | 513 |
Allowance for credit losses | $528 | $484 | $513 |
Allowance_for_Credit_Losses_Al1
Allowance for Credit Losses - Allowance and Carrying Value by Portfolio Segment (Details) (USD $) | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
In Millions, unless otherwise specified | ||||
Impaired loans and troubled debt restructurings | ||||
Allowance for loan and lease losses | $1,225 | $2,087 | ||
Carrying value | 28,967 | 36,585 | ||
Allowance as a percentage of carrying value | 4.23% | 5.70% | ||
Loans collectively evaluated for impairment | ||||
Allowance for loan and lease losses | 11,542 | 12,848 | ||
Carrying value | 822,974 | 856,341 | ||
Allowance as a percentage of carrying value | 1.40% | 1.50% | ||
Purchased credit-impaired loans | ||||
Carrying value gross of valuation allowance | 20,769 | 25,265 | ||
Valuation allowance as a percentage of carrying value | 7.95% | 9.87% | ||
Total | ||||
Allowance for loan and lease losses | 14,419 | 17,428 | 24,179 | 33,783 |
Carrying value | 872,710 | 918,191 | ||
Allowance as a percentage of carrying value | 1.65% | 1.90% | ||
Loans and leases, measured at fair value | 8,681 | 10,042 | ||
Consumer Real Estate | ||||
Impaired loans and troubled debt restructurings | ||||
Allowance for loan and lease losses | 727 | 1,231 | ||
Carrying value | 25,628 | 31,458 | ||
Allowance as a percentage of carrying value | 2.84% | 3.91% | ||
Loans collectively evaluated for impairment | ||||
Allowance for loan and lease losses | 3,556 | 4,794 | ||
Carrying value | 255,525 | 285,015 | ||
Allowance as a percentage of carrying value | 1.39% | 1.68% | ||
Purchased credit-impaired loans | ||||
Valuation allowance | 1,652 | 2,493 | ||
Carrying value gross of valuation allowance | 20,769 | 25,265 | ||
Valuation allowance as a percentage of carrying value | 7.95% | 9.87% | ||
Total | ||||
Allowance for loan and lease losses | 5,935 | 8,518 | 14,933 | 21,079 |
Carrying value | 301,922 | 341,738 | ||
Allowance as a percentage of carrying value | 1.97% | 2.49% | ||
Credit card and other consumer | ||||
Impaired loans and troubled debt restructurings | ||||
Allowance for loan and lease losses | 339 | 579 | ||
Carrying value | 1,141 | 2,079 | ||
Allowance as a percentage of carrying value | 29.71% | 27.85% | ||
Loans collectively evaluated for impairment | ||||
Allowance for loan and lease losses | 3,708 | 4,326 | ||
Carrying value | 183,430 | 185,969 | ||
Allowance as a percentage of carrying value | 2.02% | 2.33% | ||
Total | ||||
Allowance for loan and lease losses | 4,047 | 4,905 | 6,140 | 8,569 |
Carrying value | 184,571 | 188,048 | ||
Allowance as a percentage of carrying value | 2.19% | 2.61% | ||
Commercial | ||||
Impaired loans and troubled debt restructurings | ||||
Allowance for loan and lease losses | 159 | 277 | ||
Carrying value | 2,198 | 3,048 | ||
Allowance as a percentage of carrying value | 7.23% | 9.09% | ||
Loans collectively evaluated for impairment | ||||
Allowance for loan and lease losses | 4,278 | 3,728 | ||
Carrying value | 384,019 | 385,357 | ||
Allowance as a percentage of carrying value | 1.11% | 0.97% | ||
Total | ||||
Allowance for loan and lease losses | 4,437 | 4,005 | 3,106 | 4,135 |
Carrying value | 386,217 | 388,405 | ||
Allowance as a percentage of carrying value | 1.15% | 1.03% | ||
Loans and leases, measured at fair value | 6,604 | 7,878 | ||
Commercial | United States | ||||
Total | ||||
Loans and leases, measured at fair value | 1,900 | 1,500 | ||
Small Business Commercial Loan | United States | ||||
Total | ||||
Allowance for loan and lease losses | $35 | $36 |
Securitizations_and_Other_Vari2
Securitizations and Other Variable Interest Entities - First Lien Mortgage Securitizations (Details) (USD $) | 12 Months Ended | |
Dec. 31, 2014 | Dec. 31, 2013 | |
Securitization or Asset-backed Financing Arrangement, Financial Asset for which Transfer is Accounted as Sale [Line Items] | ||
Servicing fees | $1,800,000,000 | $2,900,000,000 |
First Lien Mortgages | ||
Securitization or Asset-backed Financing Arrangement, Financial Asset for which Transfer is Accounted as Sale [Line Items] | ||
Gain (loss) on loans securitized | 715,000,000 | 2,000,000,000 |
Servicing advance | 10,400,000,000 | 14,100,000,000 |
Loans repurchased from investors and securitization trusts | 5,200,000,000 | 10,800,000,000 |
Agency | ||
Securitization or Asset-backed Financing Arrangement, Financial Asset for which Transfer is Accounted as Sale [Line Items] | ||
Cash proceeds from new securitizations | 36,905,000,000 | 49,888,000,000 |
Gain (loss) on securitizations | 371,000,000 | 81,000,000 |
Non-agency | Subprime | ||
Securitization or Asset-backed Financing Arrangement, Financial Asset for which Transfer is Accounted as Sale [Line Items] | ||
Cash proceeds from new securitizations | 809,000,000 | 0 |
Gain (loss) on securitizations | 49,000,000 | 0 |
Commercial Mortgage | ||
Securitization or Asset-backed Financing Arrangement, Financial Asset for which Transfer is Accounted as Sale [Line Items] | ||
Cash proceeds from new securitizations | 5,710,000,000 | 5,326,000,000 |
Gain (loss) on securitizations | 68,000,000 | 119,000,000 |
Level 2 | First Lien Mortgages | ||
Securitization or Asset-backed Financing Arrangement, Financial Asset for which Transfer is Accounted as Sale [Line Items] | ||
Transfers of financial assets accounted for as sale initial fair value of assets | $5,400,000,000 | $3,300,000,000 |
Securitizations_and_Other_Vari3
Securitizations and Other Variable Interest Entities - First Lien Mortgages VIE (Details) (USD $) | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
In Millions, unless otherwise specified | ||||
On-balance sheet assets | ||||
Trading account assets | $191,785 | $200,993 | ||
Debt securities carried at fair value | 320,695 | 268,795 | ||
Held-to-maturity securities | 59,766 | 55,150 | ||
Loans and leases | 881,391 | 928,233 | ||
Allowance for loan and lease losses | -14,419 | -17,428 | -24,179 | -33,783 |
All other assets | 112,063 | 124,090 | ||
Total assets | 2,104,534 | 2,102,273 | ||
On-balance sheet liabilities | ||||
Long-term debt | 243,139 | 249,674 | ||
Total liabilities | 1,861,063 | 1,869,588 | ||
Unpaid principal balance of mortgage loans eligible for repurchase | 635 | 1,600 | ||
Principal amount that would be payable to the securitization vehicles | 635 | 1,600 | ||
Unconsolidated VIEs | Agency | ||||
Variable Interest Entity [Line Items] | ||||
Maximum loss exposure | 14,918 | 21,140 | ||
On-balance sheet assets | ||||
Residual interests held | 0 | 0 | ||
All other assets | 24 | 27 | ||
Total assets | 14,918 | 21,140 | ||
Principal balance outstanding | 397,055 | 437,765 | ||
Unconsolidated VIEs | Agency | Senior Lien | ||||
On-balance sheet assets | ||||
Trading account assets | 584 | 650 | ||
Debt securities carried at fair value | 13,473 | 19,451 | ||
Held-to-maturity securities | 837 | 1,012 | ||
Unconsolidated VIEs | Agency | Junior Lien | ||||
On-balance sheet assets | ||||
Trading account assets | 0 | 0 | ||
Debt securities carried at fair value | 0 | 0 | ||
Held-to-maturity securities | 0 | 0 | ||
Unconsolidated VIEs | Non-agency | Prime | ||||
Variable Interest Entity [Line Items] | ||||
Maximum loss exposure | 1,288 | 1,527 | ||
On-balance sheet assets | ||||
Residual interests held | 10 | 13 | ||
All other assets | 56 | 71 | ||
Total assets | 897 | 1,087 | ||
Principal balance outstanding | 20,167 | 25,104 | ||
Unconsolidated VIEs | Non-agency | Prime | Senior Lien | ||||
On-balance sheet assets | ||||
Trading account assets | 3 | 0 | ||
Debt securities carried at fair value | 816 | 988 | ||
Held-to-maturity securities | 0 | 0 | ||
Unconsolidated VIEs | Non-agency | Prime | Junior Lien | ||||
On-balance sheet assets | ||||
Trading account assets | 0 | 0 | ||
Debt securities carried at fair value | 12 | 15 | ||
Held-to-maturity securities | 0 | 0 | ||
Unconsolidated VIEs | Non-agency | Subprime | ||||
Variable Interest Entity [Line Items] | ||||
Maximum loss exposure | 3,167 | 591 | ||
On-balance sheet assets | ||||
Residual interests held | 0 | 0 | ||
All other assets | 1 | 1 | ||
Total assets | 2,831 | 236 | ||
Principal balance outstanding | 32,592 | 36,854 | ||
Unconsolidated VIEs | Non-agency | Subprime | Senior Lien | ||||
On-balance sheet assets | ||||
Trading account assets | 14 | 1 | ||
Debt securities carried at fair value | 2,811 | 220 | ||
Held-to-maturity securities | 0 | 0 | ||
Unconsolidated VIEs | Non-agency | Subprime | Junior Lien | ||||
On-balance sheet assets | ||||
Trading account assets | 0 | 8 | ||
Debt securities carried at fair value | 5 | 6 | ||
Held-to-maturity securities | 0 | 0 | ||
Unconsolidated VIEs | Non-agency | Alt-A | ||||
Variable Interest Entity [Line Items] | ||||
Maximum loss exposure | 710 | 437 | ||
On-balance sheet assets | ||||
Residual interests held | 0 | 0 | ||
All other assets | 245 | 325 | ||
Total assets | 710 | 437 | ||
Principal balance outstanding | 50,054 | 56,454 | ||
Unconsolidated VIEs | Non-agency | Alt-A | Senior Lien | ||||
On-balance sheet assets | ||||
Trading account assets | 81 | 3 | ||
Debt securities carried at fair value | 383 | 109 | ||
Held-to-maturity securities | 0 | 0 | ||
Unconsolidated VIEs | Non-agency | Alt-A | Junior Lien | ||||
On-balance sheet assets | ||||
Trading account assets | 1 | 0 | ||
Debt securities carried at fair value | 0 | 0 | ||
Held-to-maturity securities | 0 | 0 | ||
Unconsolidated VIEs | Commercial Mortgage | ||||
Variable Interest Entity [Line Items] | ||||
Maximum loss exposure | 352 | 432 | ||
On-balance sheet assets | ||||
Residual interests held | 22 | 16 | ||
All other assets | 0 | 0 | ||
Total assets | 325 | 402 | ||
Principal balance outstanding | 20,593 | 19,730 | ||
Unconsolidated VIEs | Commercial Mortgage | Senior Lien | ||||
On-balance sheet assets | ||||
Trading account assets | 54 | 14 | ||
Debt securities carried at fair value | 76 | 306 | ||
Held-to-maturity securities | 42 | 0 | ||
Unconsolidated VIEs | Commercial Mortgage | Junior Lien | ||||
On-balance sheet assets | ||||
Trading account assets | 58 | 13 | ||
Debt securities carried at fair value | 58 | 53 | ||
Held-to-maturity securities | 15 | 0 | ||
Consolidated VIEs | Agency | ||||
Variable Interest Entity [Line Items] | ||||
Maximum loss exposure | 38,345 | 42,420 | ||
On-balance sheet assets | ||||
Trading account assets | 1,538 | 1,640 | ||
Loans and leases | 36,187 | 40,316 | ||
Allowance for loan and lease losses | -2 | -3 | ||
All other assets | 623 | 474 | ||
Total assets | 38,346 | 42,427 | ||
On-balance sheet liabilities | ||||
Long-term debt | 1 | 7 | ||
All other liabilities | 0 | 0 | ||
Total liabilities | 1 | 7 | ||
Consolidated VIEs | Non-agency | Prime | ||||
Variable Interest Entity [Line Items] | ||||
Maximum loss exposure | 77 | 79 | ||
On-balance sheet assets | ||||
Trading account assets | 0 | 0 | ||
Loans and leases | 130 | 140 | ||
Allowance for loan and lease losses | 0 | 0 | ||
All other assets | 6 | 0 | ||
Total assets | 136 | 140 | ||
On-balance sheet liabilities | ||||
Long-term debt | 56 | 61 | ||
All other liabilities | 3 | 0 | ||
Total liabilities | 59 | 61 | ||
Consolidated VIEs | Non-agency | Subprime | ||||
Variable Interest Entity [Line Items] | ||||
Maximum loss exposure | 206 | 183 | ||
On-balance sheet assets | ||||
Trading account assets | 30 | 0 | ||
Loans and leases | 768 | 803 | ||
Allowance for loan and lease losses | 0 | 0 | ||
All other assets | 15 | 7 | ||
Total assets | 813 | 810 | ||
On-balance sheet liabilities | ||||
Long-term debt | 770 | 803 | ||
All other liabilities | 13 | 7 | ||
Total liabilities | 783 | 810 | ||
Consolidated VIEs | Non-agency | Alt-A | ||||
Variable Interest Entity [Line Items] | ||||
Maximum loss exposure | 0 | 0 | ||
On-balance sheet assets | ||||
Trading account assets | 0 | 0 | ||
Loans and leases | 0 | 0 | ||
Allowance for loan and lease losses | 0 | 0 | ||
All other assets | 0 | 0 | ||
Total assets | 0 | 0 | ||
On-balance sheet liabilities | ||||
Long-term debt | 0 | 0 | ||
All other liabilities | 0 | 0 | ||
Total liabilities | 0 | 0 | ||
Consolidated VIEs | Commercial Mortgage | ||||
Variable Interest Entity [Line Items] | ||||
Maximum loss exposure | 0 | 0 | ||
On-balance sheet assets | ||||
Trading account assets | 0 | 0 | ||
Loans and leases | 0 | 0 | ||
Allowance for loan and lease losses | 0 | 0 | ||
All other assets | 0 | 0 | ||
Total assets | 0 | 0 | ||
On-balance sheet liabilities | ||||
Long-term debt | 0 | 0 | ||
All other liabilities | 0 | 0 | ||
Total liabilities | $0 | $0 |
Securitizations_and_Other_Vari4
Securitizations and Other Variable Interest Entities - Home Equity Loans (Details) (USD $) | 12 Months Ended | |||
Dec. 31, 2013 | Dec. 31, 2014 | Dec. 31, 2012 | Dec. 31, 2011 | |
On-balance sheet assets | ||||
Trading account assets | $200,993,000,000 | $191,785,000,000 | ||
Debt securities carried at fair value | 268,795,000,000 | 320,695,000,000 | ||
Loans and leases | 928,233,000,000 | 881,391,000,000 | ||
Allowance for loan and lease losses | -17,428,000,000 | -14,419,000,000 | -24,179,000,000 | -33,783,000,000 |
All other assets | 124,090,000,000 | 112,063,000,000 | ||
Total assets | 2,102,273,000,000 | 2,104,534,000,000 | ||
On-balance sheet liabilities | ||||
Long-term debt | 249,674,000,000 | 243,139,000,000 | ||
Total liabilities | 1,869,588,000,000 | 1,861,063,000,000 | ||
Home equity lines of credit | ||||
Variable Interest Entity [Line Items] | ||||
Maximum loss exposure | 7,486,000,000 | 6,215,000,000 | ||
On-balance sheet assets | ||||
Trading account assets | 12,000,000 | 14,000,000 | ||
Debt securities carried at fair value | 25,000,000 | 39,000,000 | ||
Loans and leases | 1,329,000,000 | 1,014,000,000 | ||
Allowance for loan and lease losses | -80,000,000 | -56,000,000 | ||
All other assets | 20,000,000 | 33,000,000 | ||
Total assets | 1,306,000,000 | 1,044,000,000 | ||
On-balance sheet liabilities | ||||
Long-term debt | 1,450,000,000 | 1,076,000,000 | ||
All other liabilities | 90,000,000 | 0 | ||
Total liabilities | 1,540,000,000 | 1,076,000,000 | ||
Principal balance outstanding | 8,871,000,000 | 7,376,000,000 | ||
Trust certificates outstanding | 7,600,000,000 | 6,300,000,000 | ||
Remaining borrowing capacity on home equity line | 82,000,000 | 39,000,000 | ||
Assets deconsolidated | 475,000,000 | |||
Liabilities deconsolidated | 616,000,000 | |||
Home equity lines of credit | Consolidated VIEs | ||||
Variable Interest Entity [Line Items] | ||||
Maximum loss exposure | 1,269,000,000 | 991,000,000 | ||
On-balance sheet assets | ||||
Trading account assets | 0 | 0 | ||
Debt securities carried at fair value | 0 | 0 | ||
Loans and leases | 1,329,000,000 | 1,014,000,000 | ||
Allowance for loan and lease losses | -80,000,000 | -56,000,000 | ||
All other assets | 20,000,000 | 33,000,000 | ||
Total assets | 1,269,000,000 | 991,000,000 | ||
On-balance sheet liabilities | ||||
Long-term debt | 1,450,000,000 | 1,076,000,000 | ||
All other liabilities | 90,000,000 | 0 | ||
Total liabilities | 1,540,000,000 | 1,076,000,000 | ||
Principal balance outstanding | 1,329,000,000 | 1,014,000,000 | ||
Home equity lines of credit | Unconsolidated VIEs | ||||
Variable Interest Entity [Line Items] | ||||
Maximum loss exposure | 6,217,000,000 | 5,224,000,000 | ||
On-balance sheet assets | ||||
Trading account assets | 12,000,000 | 14,000,000 | ||
Debt securities carried at fair value | 25,000,000 | 39,000,000 | ||
Loans and leases | 0 | 0 | ||
Allowance for loan and lease losses | 0 | 0 | ||
All other assets | 0 | 0 | ||
Total assets | 37,000,000 | 53,000,000 | ||
On-balance sheet liabilities | ||||
Long-term debt | 0 | 0 | ||
All other liabilities | 0 | 0 | ||
Total liabilities | 0 | 0 | ||
Principal balance outstanding | 7,542,000,000 | 6,362,000,000 | ||
Other income (loss) | Home equity lines of credit | ||||
On-balance sheet liabilities | ||||
Gain (loss) on deconsolidation | $141,000,000 |
Securitizations_and_Other_Vari5
Securitizations and Other Variable Interest Entities - Credit Card (Details) (USD $) | 12 Months Ended | |||
Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | |
On-balance sheet assets | ||||
Derivative assets | $52,682,000,000 | $47,495,000,000 | ||
Loans and leases | 881,391,000,000 | 928,233,000,000 | ||
Allowance for loan and lease losses | -14,419,000,000 | -17,428,000,000 | -24,179,000,000 | -33,783,000,000 |
Loans held-for-sale | 12,836,000,000 | 11,362,000,000 | ||
All other assets | 112,063,000,000 | 124,090,000,000 | ||
Total assets | 2,104,534,000,000 | 2,102,273,000,000 | ||
On-balance sheet liabilities | ||||
Long-term debt | 243,139,000,000 | 249,674,000,000 | ||
Total liabilities | 1,861,063,000,000 | 1,869,588,000,000 | ||
Credit Card Receivable | ||||
On-balance sheet liabilities | ||||
Principal balance outstanding | 7,400,000,000 | 7,900,000,000 | ||
Transferred financial assets, stated interest rate | 0.00% | |||
Credit Card Receivable | Senior Lien | ||||
On-balance sheet liabilities | ||||
Transferred financial assets, amount issued | 4,100,000,000 | 0 | ||
Credit Card Receivable | Junior Lien | ||||
On-balance sheet liabilities | ||||
Transferred financial assets, amount issued | 662,000,000 | 0 | ||
Consolidated VIEs | Credit Card Receivable | ||||
Variable Interest Entity [Line Items] | ||||
Maximum loss exposure | 43,139,000,000 | 49,621,000,000 | ||
On-balance sheet assets | ||||
Derivative assets | 1,000,000 | 182,000,000 | ||
Loans and leases | 53,068,000,000 | 61,241,000,000 | ||
Allowance for loan and lease losses | -1,904,000,000 | -2,585,000,000 | ||
Loans held-for-sale | 0 | 386,000,000 | ||
All other assets | 391,000,000 | 2,281,000,000 | ||
Total assets | 51,556,000,000 | 61,505,000,000 | ||
On-balance sheet liabilities | ||||
Long-term debt | 8,401,000,000 | 11,822,000,000 | ||
All other liabilities (includes $84 and $138 of non-recourse liabilities) | 16,000,000 | 62,000,000 | ||
Total liabilities | 8,417,000,000 | 11,884,000,000 | ||
Consolidated VIEs | Credit Card Receivable | Loans and leases | ||||
On-balance sheet liabilities | ||||
Residual interests held | $36,900,000,000 | $41,200,000,000 |
Securitizations_and_Other_Vari6
Securitizations and Other Variable Interest Entities - Other Asset Backed (Details) (USD $) | 12 Months Ended | |
In Millions, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 |
On-balance sheet assets | ||
Trading account assets | $191,785 | $200,993 |
Loans and leases | 881,391 | 928,233 |
Loans held-for-sale | 12,836 | 11,362 |
Debt securities carried at fair value | 320,695 | 268,795 |
Held-to-maturity securities | 59,766 | 55,150 |
All other assets | 112,063 | 124,090 |
Total assets | 2,104,534 | 2,102,273 |
On-balance sheet liabilities | ||
Long-term debt | 243,139 | 249,674 |
Total liabilities | 1,861,063 | 1,869,588 |
Resecuritization Trusts | ||
On-balance sheet liabilities | ||
Cash proceeds from new securitizations | 14,400 | 26,500 |
Gain (loss) on securitizations | 71 | |
Automobile and Other Securitization Trusts | ||
On-balance sheet liabilities | ||
Principal balance outstanding | 1,900 | 2,500 |
Automobile Loan | ||
On-balance sheet liabilities | ||
Principal balance outstanding | 400 | 877 |
Student Loan | ||
On-balance sheet liabilities | ||
Principal balance outstanding | 609 | 741 |
Other Loan and Receivable | ||
On-balance sheet liabilities | ||
Principal balance outstanding | 876 | 911 |
Available-for-sale Securities | Resecuritization Trusts | ||
On-balance sheet liabilities | ||
Cash proceeds from new securitizations | 1,500 | |
Unconsolidated VIEs | Resecuritization Trusts | ||
On-balance sheet assets | ||
Unconsolidated total assets of VIEs | 28,065 | 40,924 |
Unconsolidated VIEs | Municipal Bond Trusts | ||
On-balance sheet assets | ||
Unconsolidated total assets of VIEs | 3,314 | 3,643 |
Unconsolidated VIEs | Automobile and Other Securitization Trusts | ||
On-balance sheet assets | ||
Unconsolidated total assets of VIEs | 1,276 | 1,788 |
Unconsolidated VIEs | ||
On-balance sheet liabilities | ||
Weighted average remaining life of bonds held in the trusts in years | 7 years 2 months 12 days | |
Unconsolidated VIEs | Resecuritization Trusts | ||
Variable Interest Entity [Line Items] | ||
Maximum loss exposure | 8,569 | 11,913 |
On-balance sheet assets | ||
Residual interests held | 7 | 5 |
All other assets | 0 | 0 |
Total assets | 8,569 | 11,913 |
Unconsolidated VIEs | Resecuritization Trusts | Senior Lien | ||
On-balance sheet assets | ||
Trading account assets | 767 | 971 |
Debt securities carried at fair value | 6,945 | 10,866 |
Held-to-maturity securities | 740 | 0 |
Unconsolidated VIEs | Resecuritization Trusts | Junior Lien | ||
On-balance sheet assets | ||
Trading account assets | 37 | 0 |
Debt securities carried at fair value | 73 | 71 |
Unconsolidated VIEs | Municipal Bond Trusts | ||
Variable Interest Entity [Line Items] | ||
Maximum loss exposure | 2,100 | 2,192 |
On-balance sheet assets | ||
Residual interests held | 0 | 0 |
All other assets | 0 | 0 |
Total assets | 25 | 53 |
On-balance sheet liabilities | ||
Liquidity commitments to unconsolidated securitization trusts | 2,100 | 2,100 |
Unconsolidated VIEs | Municipal Bond Trusts | Senior Lien | ||
On-balance sheet assets | ||
Trading account assets | 25 | 53 |
Debt securities carried at fair value | 0 | 0 |
Held-to-maturity securities | 0 | 0 |
Unconsolidated VIEs | Municipal Bond Trusts | Junior Lien | ||
On-balance sheet assets | ||
Trading account assets | 0 | 0 |
Debt securities carried at fair value | 0 | 0 |
Unconsolidated VIEs | Automobile and Other Securitization Trusts | ||
Variable Interest Entity [Line Items] | ||
Maximum loss exposure | 77 | 81 |
On-balance sheet assets | ||
Residual interests held | 0 | 0 |
All other assets | 10 | 10 |
Total assets | 77 | 81 |
Unconsolidated VIEs | Automobile and Other Securitization Trusts | Senior Lien | ||
On-balance sheet assets | ||
Trading account assets | 6 | 1 |
Debt securities carried at fair value | 61 | 70 |
Held-to-maturity securities | 0 | 0 |
Unconsolidated VIEs | Automobile and Other Securitization Trusts | Junior Lien | ||
On-balance sheet assets | ||
Trading account assets | 0 | 0 |
Debt securities carried at fair value | 0 | 0 |
Consolidated VIEs | Resecuritization Trusts | ||
Variable Interest Entity [Line Items] | ||
Maximum loss exposure | 654 | 164 |
On-balance sheet assets | ||
Trading account assets | 1,295 | 319 |
Loans and leases | 0 | 0 |
Loans held-for-sale | 0 | 0 |
All other assets | 0 | 0 |
Total assets | 1,295 | 319 |
On-balance sheet liabilities | ||
Short-term borrowings | 0 | 0 |
Long-term debt | 641 | 155 |
All other liabilities | 0 | 0 |
Total liabilities | 641 | 155 |
Consolidated VIEs | Municipal Bond Trusts | ||
Variable Interest Entity [Line Items] | ||
Maximum loss exposure | 2,440 | 2,667 |
On-balance sheet assets | ||
Trading account assets | 2,452 | 2,684 |
Loans and leases | 0 | 0 |
Loans held-for-sale | 0 | 0 |
All other assets | 0 | 0 |
Total assets | 2,452 | 2,684 |
On-balance sheet liabilities | ||
Short-term borrowings | 1,032 | 1,073 |
Long-term debt | 12 | 17 |
All other liabilities | 0 | 0 |
Total liabilities | 1,044 | 1,090 |
Consolidated VIEs | Automobile and Other Securitization Trusts | ||
Variable Interest Entity [Line Items] | ||
Maximum loss exposure | 92 | 94 |
On-balance sheet assets | ||
Trading account assets | 0 | 0 |
Loans and leases | 0 | 680 |
Loans held-for-sale | 555 | 0 |
All other assets | 54 | 61 |
Total assets | 609 | 741 |
On-balance sheet liabilities | ||
Short-term borrowings | 0 | 0 |
Long-term debt | 516 | 646 |
All other liabilities | 1 | 1 |
Total liabilities | $517 | $647 |
Securitizations_and_Other_Vari7
Securitizations and Other Variable Interest Entities - Other (Details) (USD $) | 12 Months Ended | |||
Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | |
On-balance sheet assets | ||||
Trading account assets | $191,785,000,000 | $200,993,000,000 | ||
Derivative assets | 52,682,000,000 | 47,495,000,000 | ||
Debt securities carried at fair value | 320,695,000,000 | 268,795,000,000 | ||
Loans and leases | 881,391,000,000 | 928,233,000,000 | ||
Allowance for loan and lease losses | -14,419,000,000 | -17,428,000,000 | -24,179,000,000 | -33,783,000,000 |
Loans held-for-sale | 12,836,000,000 | 11,362,000,000 | ||
All other assets | 112,063,000,000 | 124,090,000,000 | ||
Total assets | 2,104,534,000,000 | 2,102,273,000,000 | ||
On-balance sheet liabilities | ||||
Long-term debt | 243,139,000,000 | 249,674,000,000 | ||
Total liabilities | 1,861,063,000,000 | 1,869,588,000,000 | ||
Customer Vehicles | ||||
Variable Interest Entity [Line Items] | ||||
Maximum loss exposure | 4,700,000,000 | 5,900,000,000 | ||
On-balance sheet liabilities | ||||
Long-term debt | 584,000,000 | 1,200,000,000 | ||
Liquidity commitments to unconsolidated securitization trusts | 658,000,000 | 748,000,000 | ||
Collateralized Debt Obligations | ||||
Variable Interest Entity [Line Items] | ||||
Maximum loss exposure | 780,000,000 | 2,100,000,000 | ||
On-balance sheet liabilities | ||||
Long-term debt | 0 | 1,300,000,000 | ||
Notional amount of liquidity exposure | 1,200,000,000 | |||
Investment Vehicles | ||||
Variable Interest Entity [Line Items] | ||||
Maximum loss exposure | 5,100,000,000 | 4,200,000,000 | ||
On-balance sheet liabilities | ||||
Long-term debt | 780,000,000 | 780,000,000 | ||
Other Asset Back Financing Arrangement | ||||
Variable Interest Entity [Line Items] | ||||
Maximum loss exposure | 77,000,000 | 1,100,000,000 | ||
On-balance sheet liabilities | ||||
Financing provided for asset-backed financing arrangements, percentage | 75.00% | |||
Consolidated VIEs | Investment Vehicles | ||||
On-balance sheet assets | ||||
Total assets | 1,100,000,000 | 1,200,000,000 | ||
Consolidated VIEs | Leveraged Lease Trusts | ||||
On-balance sheet assets | ||||
Total assets | 3,300,000,000 | 3,800,000,000 | ||
Unconsolidated VIEs | Investment Vehicles | ||||
Variable Interest Entity [Line Items] | ||||
Maximum loss exposure | 660,000,000 | 2,500,000,000 | ||
On-balance sheet assets | ||||
Total assets | 11,200,000,000 | 5,500,000,000 | ||
On-balance sheet liabilities | ||||
Consolidated total assets of VIEs | 431,000,000 | 1,900,000,000 | ||
Unconsolidated VIEs | Real Estate Vehicles | ||||
On-balance sheet assets | ||||
Total assets | 6,200,000,000 | 5,800,000,000 | ||
Other Variable Interest Entities | ||||
Variable Interest Entity [Line Items] | ||||
Maximum loss exposure | 20,372,000,000 | 22,239,000,000 | ||
On-balance sheet assets | ||||
Trading account assets | 1,930,000,000 | 5,189,000,000 | ||
Derivative assets | 289,000,000 | 742,000,000 | ||
Debt securities carried at fair value | 483,000,000 | 1,944,000,000 | ||
Loans and leases | 6,713,000,000 | 4,879,000,000 | ||
Allowance for loan and lease losses | -6,000,000 | -6,000,000 | ||
Loans held-for-sale | 2,081,000,000 | 1,083,000,000 | ||
All other assets | 8,015,000,000 | 7,901,000,000 | ||
Total assets | 19,505,000,000 | 21,732,000,000 | ||
On-balance sheet liabilities | ||||
Short-term borrowings | 0 | 77,000,000 | ||
Long-term debt | 1,834,000,000 | 4,487,000,000 | ||
All other liabilities | 2,748,000,000 | 2,631,000,000 | ||
Total liabilities | 4,582,000,000 | 7,195,000,000 | ||
Other Variable Interest Entities | Consolidated VIEs | ||||
Variable Interest Entity [Line Items] | ||||
Maximum loss exposure | 7,981,000,000 | 9,716,000,000 | ||
On-balance sheet assets | ||||
Trading account assets | 1,575,000,000 | 3,769,000,000 | ||
Derivative assets | 5,000,000 | 3,000,000 | ||
Debt securities carried at fair value | 0 | 0 | ||
Loans and leases | 4,020,000,000 | 4,609,000,000 | ||
Allowance for loan and lease losses | -6,000,000 | -6,000,000 | ||
Loans held-for-sale | 1,267,000,000 | 998,000,000 | ||
All other assets | 1,641,000,000 | 1,734,000,000 | ||
Total assets | 8,502,000,000 | 11,107,000,000 | ||
On-balance sheet liabilities | ||||
Short-term borrowings | 0 | 77,000,000 | ||
Long-term debt | 1,834,000,000 | 4,487,000,000 | ||
All other liabilities | 105,000,000 | 93,000,000 | ||
Total liabilities | 1,939,000,000 | 4,657,000,000 | ||
Other Variable Interest Entities | Unconsolidated VIEs | ||||
Variable Interest Entity [Line Items] | ||||
Maximum loss exposure | 12,391,000,000 | 12,523,000,000 | ||
On-balance sheet assets | ||||
Trading account assets | 355,000,000 | 1,420,000,000 | ||
Derivative assets | 284,000,000 | 739,000,000 | ||
Debt securities carried at fair value | 483,000,000 | 1,944,000,000 | ||
Loans and leases | 2,693,000,000 | 270,000,000 | ||
Allowance for loan and lease losses | 0 | 0 | ||
Loans held-for-sale | 814,000,000 | 85,000,000 | ||
All other assets | 6,374,000,000 | 6,167,000,000 | ||
Total assets | 11,003,000,000 | 10,625,000,000 | ||
On-balance sheet liabilities | ||||
Short-term borrowings | 0 | 0 | ||
Long-term debt | 0 | 0 | ||
All other liabilities | 2,643,000,000 | 2,538,000,000 | ||
Total liabilities | 2,643,000,000 | 2,538,000,000 | ||
Other Variable Interest Entities | Unconsolidated VIEs | ||||
On-balance sheet liabilities | ||||
Consolidated total assets of VIEs | 8,502,000,000 | 11,107,000,000 | ||
Unconsolidated total assets of VIEs | 41,467,000,000 | 38,505,000,000 | ||
Total assets of VIEs | $49,969,000,000 | $49,612,000,000 |
Representations_and_Warranties2
Representations and Warranties Obligations and Corporate Guarantees - Settlement Actions (Details) (USD $) | 0 Months Ended | 1 Months Ended | 12 Months Ended | 0 Months Ended | ||||||||||
Nov. 27, 2013 | Apr. 01, 2014 | Jan. 31, 2013 | Dec. 31, 2014 | 7-May-13 | Jul. 17, 2012 | Jun. 28, 2011 | Dec. 31, 2013 | Jan. 06, 2013 | Dec. 31, 2012 | 28-May-14 | 15-May-14 | Apr. 11, 2014 | Mar. 31, 2013 | |
Investor | trust | trust | ||||||||||||
Loss Contingencies [Line Items] | ||||||||||||||
Notional amount of derivatives | $1,134,132,000,000 | $1,328,787,000,000 | ||||||||||||
Federal Home Loan Mortgage Corporation Certificates and Obligations (FHLMC) | ||||||||||||||
Loss Contingencies [Line Items] | ||||||||||||||
Payments for legal settlements | 391,000,000 | |||||||||||||
Federal Housing Finance Agency (FHFA) Settlement | ||||||||||||||
Loss Contingencies [Line Items] | ||||||||||||||
Payments for legal settlements | 9,500,000,000 | |||||||||||||
Settlement payment | -6,300,000,000 | |||||||||||||
Federal National Mortgage Association FNMA | ||||||||||||||
Loss Contingencies [Line Items] | ||||||||||||||
Payments for legal settlements | 3,600,000,000 | |||||||||||||
Original principal balance | 1,400,000,000,000 | |||||||||||||
Aggregate outstanding principal balance | 300,000,000,000 | |||||||||||||
Unpaid principal balance of unresolved repurchase claims | 12,200,000,000 | |||||||||||||
Cash paid for repurchases | 6,600,000,000 | |||||||||||||
FGIC Settlement | ||||||||||||||
Loss Contingencies [Line Items] | ||||||||||||||
Payments for legal settlements | 950,000,000 | |||||||||||||
MBIA Inc. Settlement | ||||||||||||||
Loss Contingencies [Line Items] | ||||||||||||||
Payments for legal settlements | 1,600,000,000 | |||||||||||||
Original principal balance | 54,800,000,000 | |||||||||||||
Unpaid principal balance of unresolved repurchase claims | 19,100,000,000 | |||||||||||||
Fair market value of notes transferred in settlement | 95,000,000 | |||||||||||||
Percentage of common stock received as warrants in settlement | 4.90% | |||||||||||||
Exercise price of common stock received as warrants in settlement | $9.59 | |||||||||||||
Credit facility borrowing capacity | 500,000,000 | |||||||||||||
Syncora Holdings Ltd Settlement | ||||||||||||||
Loss Contingencies [Line Items] | ||||||||||||||
Settlement payment | -375,000,000 | |||||||||||||
Bank of New York Mellon, As Trustee Settlement | ||||||||||||||
Loss Contingencies [Line Items] | ||||||||||||||
Settlement payment | -8,500,000,000 | |||||||||||||
Original principal balance | 424,000,000,000 | |||||||||||||
Principal amount of delinquent loans | 220,000,000,000 | |||||||||||||
Number of institutional investors involved in settlement agreement | 22 | |||||||||||||
Non-agency residential | Federal Housing Finance Agency (FHFA) Settlement | ||||||||||||||
Loss Contingencies [Line Items] | ||||||||||||||
Marketable securities received in legal settlement | 3,200,000,000 | |||||||||||||
First Mortgage | Syncora Holdings Ltd Settlement | ||||||||||||||
Loss Contingencies [Line Items] | ||||||||||||||
Original principal balance | 9,600,000,000 | |||||||||||||
Number of trusts involved in settlement agreement | 8 | |||||||||||||
First Mortgage | Bank of New York Mellon, As Trustee Settlement | ||||||||||||||
Loss Contingencies [Line Items] | ||||||||||||||
Number of trusts involved in settlement agreement | 525 | |||||||||||||
Second Mortgage | FGIC Settlement | ||||||||||||||
Loss Contingencies [Line Items] | ||||||||||||||
Number of trusts involved in settlement agreement | 1 | 1 | 7 | |||||||||||
Second Mortgage | Syncora Holdings Ltd Settlement | ||||||||||||||
Loss Contingencies [Line Items] | ||||||||||||||
Original principal balance | 7,700,000,000 | |||||||||||||
Number of trusts involved in settlement agreement | 6 | |||||||||||||
Second Mortgage | Bank of New York Mellon, As Trustee Settlement | ||||||||||||||
Loss Contingencies [Line Items] | ||||||||||||||
Number of trusts involved in settlement agreement | 5 | |||||||||||||
Credit Default Swap | MBIA Inc. Settlement | ||||||||||||||
Loss Contingencies [Line Items] | ||||||||||||||
Notional amount of derivatives | 7,400,000,000 | |||||||||||||
Fair value of derivatives | 813,000,000 | |||||||||||||
Mortgage Loans Originated between 2004 and 2008 | Bank of New York Mellon, As Trustee Settlement | ||||||||||||||
Loss Contingencies [Line Items] | ||||||||||||||
Original principal balance | 409,000,000,000 | |||||||||||||
Principal amount of delinquent loans | $217,000,000,000 | |||||||||||||
Mortgage Loans Originated between 2004 and 2008 | First Mortgage | Bank of New York Mellon, As Trustee Settlement | ||||||||||||||
Loss Contingencies [Line Items] | ||||||||||||||
Number of trusts involved in settlement agreement in which parent is not trustee | 6 |
Representations_and_Warranties3
Representations and Warranties Obligations and Corporate Guarantees - Outstanding Claims (Details) (USD $) | 12 Months Ended | ||
Dec. 31, 2014 | Dec. 31, 2013 | Jun. 28, 2011 | |
claim | |||
Loss Contingencies [Line Items] | |||
Notional amount of unresolved repurchase claims | $26,094,000,000 | $19,655,000,000 | |
Duplicate claims | -3,248,000,000 | -961,000,000 | |
Unresolved repurchase claims, net of duplicated claims | 22,846,000,000 | 18,694,000,000 | |
Outstanding claims with review | 14,100,000,000 | 13,800,000,000 | |
Outstanding claims without review | 10,400,000,000 | 4,100,000,000 | |
Number of duplicate claims outstanding (more than) | 1 | ||
New purchase claims | 8,100,000,000 | ||
Individual loan file reviews on repurchase claims | 6,300,000,000 | ||
Amount of loan repurchase claims resolved | 2,000,000,000 | ||
Amount of loan repurchase claims resolved through settlement | 856,000,000 | ||
Amount of loan repurchase claims resolved through rescission | 535,000,000 | ||
Bank of New York Mellon, As Trustee Settlement | |||
Loss Contingencies [Line Items] | |||
Principal amount of delinquent loans | 220,000,000,000 | ||
Prime loans | |||
Loss Contingencies [Line Items] | |||
Notional amount of unresolved repurchase claims | 587,000,000 | 623,000,000 | |
Alt-A | |||
Loss Contingencies [Line Items] | |||
Notional amount of unresolved repurchase claims | 2,397,000,000 | 2,259,000,000 | |
Home equity lines of credit | |||
Loss Contingencies [Line Items] | |||
Notional amount of unresolved repurchase claims | 2,485,000,000 | 1,905,000,000 | |
Pay option | |||
Loss Contingencies [Line Items] | |||
Notional amount of unresolved repurchase claims | 6,294,000,000 | 5,780,000,000 | |
Subprime | |||
Loss Contingencies [Line Items] | |||
Notional amount of unresolved repurchase claims | 14,121,000,000 | 8,928,000,000 | |
Other | |||
Loss Contingencies [Line Items] | |||
Notional amount of unresolved repurchase claims | 210,000,000 | 160,000,000 | |
Private-label securitization trustees, whole-loan investors, including third-party securitization sponsors and other | |||
Loss Contingencies [Line Items] | |||
Notional amount of unresolved repurchase claims | 24,489,000,000 | 17,953,000,000 | |
Monolines | |||
Loss Contingencies [Line Items] | |||
Notional amount of unresolved repurchase claims | 1,546,000,000 | 1,532,000,000 | |
Additional unresolved repurchase claims with individual file review | 459,000,000 | ||
GSEs | |||
Loss Contingencies [Line Items] | |||
Notional amount of unresolved repurchase claims | 59,000,000 | 170,000,000 | |
Additional unresolved repurchase claims with individual file review | 347,000,000 | ||
Private-Label Investors | |||
Loss Contingencies [Line Items] | |||
Duplicate claims submitted without individual loan file review | 2,900,000,000 | ||
Whole-Loan Investors | |||
Loss Contingencies [Line Items] | |||
Additional unresolved repurchase claims with individual file review | 265,000,000 | ||
Private-Label Securitization Trustees | |||
Loss Contingencies [Line Items] | |||
Additional unresolved repurchase claims with individual file review | 730,000,000 | ||
Private Label Securitization Trustees, Whole-Loan Investors And The Government Sponsored Enterprises | |||
Loss Contingencies [Line Items] | |||
Amount of loan repurchase claims resolved through repurchase and make whole payments | 594,000,000 | ||
Sponsors of Third-Party Securitizations | |||
Loss Contingencies [Line Items] | |||
Notional amount of unresolved repurchase claims | 2,000,000,000 | 737,000,000 | |
Mortgage Loans Originated between 2004 and 2008 | Bank of New York Mellon, As Trustee Settlement | |||
Loss Contingencies [Line Items] | |||
Principal amount of delinquent loans | 217,000,000,000 | ||
Mortgage Loans Originated between 2004 and 2008 | Private-label securitization trustees, whole-loan investors, including third-party securitization sponsors and other | |||
Loss Contingencies [Line Items] | |||
Notional amount of unresolved repurchase claims | 24,400,000,000 | ||
Duplicate claims submitted without individual loan file review | 3,200,000,000 | ||
Mortgage Loans Originated between 2004 and 2008 | Monolines | |||
Loss Contingencies [Line Items] | |||
Unresolved repurchase claims sold | 184,500,000,000 | ||
Mortgage Loans Originated 2009 and Prior | GSEs | |||
Loss Contingencies [Line Items] | |||
Notional amount of unresolved repurchase claims | 18,300,000,000 | ||
Unresolved repurchase claims principal paid | 15,800,000,000 | ||
Principal amount of delinquent loans | 956,000,000 | ||
Unresolved repurchase claims notional amount | $48,000,000 |
Representations_and_Warranties4
Representations and Warranties Obligations and Corporate Guarantees - Liabilities (Details) (USD $) | 12 Months Ended | ||
In Millions, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Loss Contingency Accrual [Roll Forward] | |||
Net reductions | ($496) | ($1,244) | |
Representations and Warranties Obligations and Corporate Guarantees | |||
Loss Contingency Accrual [Roll Forward] | |||
Additions for new sales | 8 | 36 | |
Net reductions | -1,892 | -6,615 | |
Representations and Warranties Obligations and Corporate Guarantees | Provision for Loan Lease and Other Losses | |||
Loss Contingency Accrual [Roll Forward] | |||
Provision | 683 | 840 | |
Representations and Warranties Obligations and Corporate Guarantees | Accrued Liabilities And Other Liabilities | |||
Loss Contingency Accrual [Roll Forward] | |||
Liability for representations and warranties and corporate guarantees, January 1 | 19,021 | ||
Liability for representations and warranties and corporate guarantees, December 31 | $12,081 | $13,282 | $19,021 |
Representations_and_Warranties5
Representations and Warranties Obligations and Corporate Guarantees (Details) (USD $) | 12 Months Ended | |
Dec. 31, 2014 | Dec. 31, 2013 | |
rescission_notice | RescissionNotices | |
RescissionNotices | ||
Loss Contingencies [Line Items] | ||
Inactive claims, threshold period of inactivity after denial | 6 months | |
Notional amount of unresolved repurchase claims | $26,094,000,000 | $19,655,000,000 |
Number of open rescission notices | 65,000 | |
Number of open mortgage insurance rescission notices | 101,000 | |
Number of open rescission notices pertaining to first-lien mortgages | 17,000 | |
Number of open rescission notices pertaining to ongoing litigations for second lien mortgages | 48,000 | |
Maximum estimated range of possible loss | 2,700,000,000 | |
Representations and Warranties Exposure | ||
Loss Contingencies [Line Items] | ||
Maximum estimated range of possible loss | 4,000,000,000 | |
Monolines | ||
Loss Contingencies [Line Items] | ||
Notional amount of unresolved repurchase claims | 1,546,000,000 | 1,532,000,000 |
Private-label securitization trustees, whole-loan investors, including third-party securitization sponsors and other | ||
Loss Contingencies [Line Items] | ||
Notional amount of unresolved repurchase claims | 24,489,000,000 | 17,953,000,000 |
Mortgage Loans Originated between 2004 and 2008 | Private-label securitization trustees, whole-loan investors, including third-party securitization sponsors and other | ||
Loss Contingencies [Line Items] | ||
Notional amount of unresolved repurchase claims | 24,400,000,000 | |
Duplicate claims submitted without individual loan file review | 3,200,000,000 | |
Unresolved repurchase claims, net of duplicate claims, in which statute of limitations has expired | $4,700,000,000 | |
Minimum | Monolines | ||
Loss Contingencies [Line Items] | ||
Timetable to reach a settlement once a breach of representations and warranties is confirmed | 60 days | |
Maximum | Monolines | ||
Loss Contingencies [Line Items] | ||
Timetable to reach a settlement once a breach of representations and warranties is confirmed | 90 days |
Representations_and_Warranties6
Representations and Warranties Obligations and Corporate Guarantees - Loan Repurchases (Details) (USD $) | 12 Months Ended | |
In Millions, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 |
Loss Contingencies [Line Items] | ||
Unpaid Principal Balance | $857 | $1,481 |
Cash Paid for Repurchases | 496 | 1,244 |
Loss | 334 | 609 |
First Mortgage | ||
Loss Contingencies [Line Items] | ||
Unpaid Principal Balance | 835 | 1,407 |
Cash Paid for Repurchases | 474 | 1,167 |
Loss | 312 | 532 |
First Mortgage | Obligation to Repurchase Receivables Sold | ||
Loss Contingencies [Line Items] | ||
Unpaid Principal Balance | 211 | 746 |
Cash Paid for Repurchases | 241 | 784 |
Loss | 79 | 149 |
First Mortgage | Indemnification Agreement | ||
Loss Contingencies [Line Items] | ||
Unpaid Principal Balance | 624 | 661 |
Cash Paid for Repurchases | 233 | 383 |
Loss | 233 | 383 |
Home equity lines of credit | Indemnification Agreement | ||
Loss Contingencies [Line Items] | ||
Unpaid Principal Balance | 22 | 74 |
Cash Paid for Repurchases | 22 | 77 |
Loss | $22 | $77 |
Goodwill_and_Intangible_Assets2
Goodwill and Intangible Assets - Goodwill (Details) (USD $) | 12 Months Ended | |
Dec. 31, 2014 | Dec. 31, 2013 | |
Goodwill [Line Items] | ||
Total Goodwill | $69,777,000,000 | $69,844,000,000 |
Impairment loss on goodwill | 0 | 0 |
Operating Segments | Consumer Banking | ||
Goodwill [Line Items] | ||
Total Goodwill | 30,125,000,000 | 30,123,000,000 |
Operating Segments | Global Banking | ||
Goodwill [Line Items] | ||
Total Goodwill | 9,698,000,000 | 9,698,000,000 |
Operating Segments | Global Markets | ||
Goodwill [Line Items] | ||
Total Goodwill | 23,923,000,000 | 23,923,000,000 |
Operating Segments | Legacy Assets & Servicing | ||
Goodwill [Line Items] | ||
Total Goodwill | 5,197,000,000 | 5,197,000,000 |
All Other | ||
Goodwill [Line Items] | ||
Total Goodwill | $834,000,000 | $903,000,000 |
Goodwill_and_Intangible_Assets3
Goodwill and Intangible Assets - Intangible Assets (Details) (USD $) | Dec. 31, 2014 | Dec. 31, 2013 |
In Millions, unless otherwise specified | ||
Intangible Assets [Abstract] | ||
Gross Carrying Value | $14,918 | $17,397 |
Accumulated Amortization | 10,306 | 11,823 |
Net Carrying Value | 4,612 | 5,574 |
Purchased credit card relationships | ||
Intangible Assets [Abstract] | ||
Gross Carrying Value | 5,504 | 6,160 |
Accumulated Amortization | 4,527 | 4,849 |
Net Carrying Value | 977 | 1,311 |
Core deposit intangibles | ||
Intangible Assets [Abstract] | ||
Gross Carrying Value | 1,779 | 3,592 |
Accumulated Amortization | 1,382 | 3,055 |
Net Carrying Value | 397 | 537 |
Customer relationships | ||
Intangible Assets [Abstract] | ||
Gross Carrying Value | 4,025 | 4,025 |
Accumulated Amortization | 2,648 | 2,281 |
Net Carrying Value | 1,377 | 1,744 |
Affinity relationships | ||
Intangible Assets [Abstract] | ||
Gross Carrying Value | 1,565 | 1,575 |
Accumulated Amortization | 1,283 | 1,197 |
Net Carrying Value | 282 | 378 |
Other intangibles | ||
Intangible Assets [Abstract] | ||
Gross Carrying Value | 2,045 | 2,045 |
Accumulated Amortization | 466 | 441 |
Net Carrying Value | $1,579 | $1,604 |
Goodwill_and_Intangible_Assets4
Goodwill and Intangible Assets - Amortization Expense (Details) (USD $) | 12 Months Ended | ||
In Millions, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Finite-Lived Intangible Assets [Line Items] | |||
Amortization of intangibles | $936 | $1,086 | $1,264 |
Purchased credit card and Affinity relationships | |||
Finite-Lived Intangible Assets [Line Items] | |||
Amortization of intangibles | 415 | 475 | 556 |
Core deposit intangibles | |||
Finite-Lived Intangible Assets [Line Items] | |||
Amortization of intangibles | 140 | 197 | 254 |
Customer relationships | |||
Finite-Lived Intangible Assets [Line Items] | |||
Amortization of intangibles | 355 | 371 | 391 |
Other intangibles | |||
Finite-Lived Intangible Assets [Line Items] | |||
Amortization of intangibles | $26 | $43 | $63 |
Goodwill_and_Intangible_Assets5
Goodwill and Intangible Assets - Estimated Future Amortization Expense (Details) (USD $) | Dec. 31, 2014 |
In Millions, unless otherwise specified | |
Finite-Lived Intangible Assets, Net, Amortization Expense, Fiscal Year Maturity [Abstract] | |
2015 | $836 |
2016 | 738 |
2017 | 646 |
2018 | 565 |
2019 | 415 |
Purchased credit card and Affinity relationships | |
Finite-Lived Intangible Assets, Net, Amortization Expense, Fiscal Year Maturity [Abstract] | |
2015 | 358 |
2016 | 299 |
2017 | 239 |
2018 | 180 |
2019 | 121 |
Core deposit intangibles | |
Finite-Lived Intangible Assets, Net, Amortization Expense, Fiscal Year Maturity [Abstract] | |
2015 | 122 |
2016 | 105 |
2017 | 91 |
2018 | 80 |
2019 | 7 |
Customer relationships | |
Finite-Lived Intangible Assets, Net, Amortization Expense, Fiscal Year Maturity [Abstract] | |
2015 | 340 |
2016 | 325 |
2017 | 310 |
2018 | 302 |
2019 | 286 |
Other intangibles | |
Finite-Lived Intangible Assets, Net, Amortization Expense, Fiscal Year Maturity [Abstract] | |
2015 | 16 |
2016 | 9 |
2017 | 6 |
2018 | 3 |
2019 | $1 |
Deposits_Details
Deposits (Details) (USD $) | Dec. 31, 2014 | Dec. 31, 2013 |
In Millions, unless otherwise specified | ||
U.S. certificates of deposit and other time deposits | ||
Three Months or Less | $15,327 | |
Over Three Months to Twelve Months | 14,134 | |
Thereafter | 2,948 | |
Total | 32,409 | 38,300 |
Non-U.S. certificates of deposit and other time deposits | ||
Three Months or Less | 12,446 | |
Over Three Months to Twelve Months | 1,308 | |
Thereafter | 253 | |
Total | $14,007 | $26,200 |
Deposits_Deposits_Contractual_
Deposits Deposits - Contractual Maturities (Details) (USD $) | Dec. 31, 2014 |
In Millions, unless otherwise specified | |
U.S. | |
Due in 2015 | $61,439 |
Due in 2016 | 4,119 |
Due in 2017 | 1,532 |
Due in 2018 | 775 |
Due in 2019 | 830 |
Thereafter | 1,734 |
Total time deposits | 70,429 |
Non-U.S. | |
Due in 2015 | 14,165 |
Due in 2016 | 176 |
Due in 2017 | 38 |
Due in 2018 | 0 |
Due in 2019 | 35 |
Thereafter | 0 |
Total time deposits | 14,414 |
Total | |
Due in 2015 | 75,604 |
Due in 2016 | 4,295 |
Due in 2017 | 1,570 |
Due in 2018 | 775 |
Due in 2019 | 865 |
Thereafter | 1,734 |
Time Deposits | $84,843 |
Federal_Funds_Sold_or_Purchase2
Federal Funds Sold or Purchased, Securities Financing Agreements and Short-term Borrowings - Narrative (Details) (USD $) | 12 Months Ended | ||
Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | |
Federal Funds Sold or Purchased, Securities Financing Agreements and Short-Term Borrowings [Line Items] | |||
Federal funds sold | $0 | $0 | $600,000,000 |
Securities borrowed or purchased under agreements to resell | 191,823,000,000 | 190,328,000,000 | 219,324,000,000 |
Federal funds purchased | 14,000,000 | 186,000,000 | 1,151,000,000 |
Securities loaned or sold under agreements to repurchase | 201,263,000,000 | 197,920,000,000 | 292,108,000,000 |
Short-term borrowings | 31,172,000,000 | 45,999,000,000 | 30,731,000,000 |
Maturity period (greater than) | 7 days | ||
Federal funds purchased | |||
Federal Funds Sold or Purchased, Securities Financing Agreements and Short-Term Borrowings [Line Items] | |||
Average liability amount during year | 147,000,000 | 191,000,000 | 384,000,000 |
Maximum month-end balance during year | 213,000,000 | 195,000,000 | 1,211,000,000 |
Weighted average interest rate | 0.00% | 0.00% | 0.17% |
Average liability rate during year (percent) | 0.05% | 0.06% | 0.11% |
Securities loaned or sold under agreements to repurchase | |||
Federal Funds Sold or Purchased, Securities Financing Agreements and Short-Term Borrowings [Line Items] | |||
Average liability amount during year | 215,645,000,000 | 257,409,000,000 | 281,516,000,000 |
Maximum month-end balance during year | 239,984,000,000 | 319,608,000,000 | 319,401,000,000 |
Weighted average interest rate | 0.98% | 0.92% | 1.11% |
Average liability rate during year (percent) | 0.99% | 0.81% | 0.98% |
Short-term borrowings | |||
Federal Funds Sold or Purchased, Securities Financing Agreements and Short-Term Borrowings [Line Items] | |||
Average liability amount during year | 41,886,000,000 | 43,816,000,000 | 36,500,000,000 |
Maximum month-end balance during year | 51,409,000,000 | 48,387,000,000 | 40,129,000,000 |
Weighted average interest rate | 1.47% | 1.55% | 3.08% |
Average liability rate during year (percent) | 1.08% | 1.89% | 2.22% |
Federal funds sold | |||
Federal Funds Sold or Purchased, Securities Financing Agreements and Short-Term Borrowings [Line Items] | |||
Average asset outstanding amount | 3,000,000 | 7,000,000 | 351,000,000 |
Maximum month-end asset outstanding amount | 12,000,000 | 35,000,000 | 600,000,000 |
Weighted average interest rate | 0.00% | 0.00% | 0.54% |
Average asset outstanding rate (percent) | 0.90% | 0.69% | 0.43% |
Securities borrowed or purchased under agreements to resell | |||
Federal Funds Sold or Purchased, Securities Financing Agreements and Short-Term Borrowings [Line Items] | |||
Average asset outstanding amount | 222,480,000,000 | 224,324,000,000 | 235,691,000,000 |
Maximum month-end asset outstanding amount | 240,110,000,000 | 249,791,000,000 | 252,985,000,000 |
Weighted average interest rate | 0.47% | 0.60% | 0.92% |
Average asset outstanding rate (percent) | 0.47% | 0.55% | 0.64% |
Bank of America, N.A. | |||
Federal Funds Sold or Purchased, Securities Financing Agreements and Short-Term Borrowings [Line Items] | |||
Short-term bank notes outstanding | 14,600,000,000 | 15,100,000,000 | |
Bank Notes | Bank of America, N.A. | |||
Federal Funds Sold or Purchased, Securities Financing Agreements and Short-Term Borrowings [Line Items] | |||
Debt authorized | $75,000,000,000 |
Federal_Funds_Sold_or_Purchase3
Federal Funds Sold or Purchased, Securities Financing Agreements and Short-term Borrowings - Offsetting Assets and Liabilities (Details) (USD $) | Dec. 31, 2014 | Dec. 31, 2013 |
Securities borrowed or purchased under agreements to resell: | ||
Gross Assets | $316,567,000,000 | $272,296,000,000 |
Amounts Offset | -124,744,000,000 | -81,968,000,000 |
Net Balance Sheet Amount | 191,823,000,000 | 190,328,000,000 |
Financial Instruments | -145,573,000,000 | -157,132,000,000 |
Net Assets | 46,250,000,000 | 33,196,000,000 |
Securities loaned or sold under agreements to repurchase: | ||
Gross Liabilities | 326,007,000,000 | 279,888,000,000 |
Amounts Offset | -124,744,000,000 | -81,968,000,000 |
Net Balance Sheet Amount | 201,263,000,000 | 197,920,000,000 |
Financial Instruments | -164,306,000,000 | -160,111,000,000 |
Net Liabilities | 36,957,000,000 | 37,809,000,000 |
Other: | ||
Gross Liabilities | 11,641,000,000 | 10,871,000,000 |
Amounts Offset | 0 | 0 |
Net Balance Sheet Amount | 11,641,000,000 | 10,871,000,000 |
Financial Instruments | -11,641,000,000 | -10,871,000,000 |
Net Liabilities | 0 | 0 |
Total Securities Financing Agreements Liability: | ||
Gross Liabilities | 337,648,000,000 | 290,759,000,000 |
Amounts Offset | -124,744,000,000 | -81,968,000,000 |
Net Balance Sheet Amount | 212,904,000,000 | 208,791,000,000 |
Financial Instruments | -175,947,000,000 | -170,982,000,000 |
Net Liabilities | 36,957,000,000 | 37,809,000,000 |
Loans and leases repurchase activity | $5,600,000,000 | $4,100,000,000 |
Longterm_Debt_Balances_Details
Long-term Debt - Balances (Details) (USD $) | Dec. 31, 2014 | Dec. 31, 2013 |
In Millions, unless otherwise specified | ||
Debt Instrument [Line Items] | ||
Long-term debt | $243,139 | $249,674 |
Bank of America Corporation | ||
Debt Instrument [Line Items] | ||
Long-term debt | 185,771 | 194,103 |
Bank of America, N.A. | ||
Debt Instrument [Line Items] | ||
Long-term debt | 35,466 | 29,440 |
Subsidiaries | ||
Debt Instrument [Line Items] | ||
Long-term debt | 21,902 | 26,131 |
Senior notes | Bank of America Corporation | ||
Debt Instrument [Line Items] | ||
Long-term debt | 127,628 | |
Senior notes | Bank of America Corporation | Fixed, with a weighted-average rate of 4.67%, ranging from 1.25% to 8.83%, due 2015 to 2044 | ||
Debt Instrument [Line Items] | ||
Long-term debt | 113,069 | 109,845 |
Senior notes | Bank of America Corporation | Floating, with a weighted-average rate of 1.32%, ranging from 0.09% to 4.98%, due 2015 to 2044 | ||
Debt Instrument [Line Items] | ||
Long-term debt | 14,559 | 22,268 |
Senior notes | Bank of America, N.A. | ||
Debt Instrument [Line Items] | ||
Long-term debt | 8,579 | |
Senior notes | Bank of America, N.A. | Fixed, with a weighted-average rate of 1.98%, ranging from 0.08% to 7.72%, due 2015 to 2187 | ||
Debt Instrument [Line Items] | ||
Long-term debt | 2,893 | 1,670 |
Senior notes | Bank of America, N.A. | Floating, with a weighted-average rate of 0.60%, ranging from 0.36% to 0.70%, due 2015 to 2041 | ||
Debt Instrument [Line Items] | ||
Long-term debt | 5,686 | 3,684 |
Senior notes | Subsidiaries | ||
Debt Instrument [Line Items] | ||
Long-term debt | 22 | |
Senior notes | Subsidiaries | Fixed, with a rate of 5.50%, due 2017 to 2021 | ||
Debt Instrument [Line Items] | ||
Long-term debt | 1 | 194 |
Senior notes | Subsidiaries | Floating, with a rate of 1.88%, due 2015 | ||
Debt Instrument [Line Items] | ||
Long-term debt | 21 | 115 |
Senior structured notes | Bank of America Corporation | ||
Debt Instrument [Line Items] | ||
Long-term debt | 22,168 | 30,575 |
Subordinated notes | Bank of America Corporation | ||
Debt Instrument [Line Items] | ||
Long-term debt | 28,700 | |
Subordinated notes | Bank of America Corporation | Fixed, with a weighted-average rate of 4.91%, ranging from 0.80% to 10.20%, due 2015 to 2038 | ||
Debt Instrument [Line Items] | ||
Long-term debt | 26,995 | 22,379 |
Subordinated notes | Bank of America Corporation | Floating, with a weighted-average rate of 0.97%, ranging from 0.01% to 3.16%, due 2016 to 2026 | ||
Debt Instrument [Line Items] | ||
Long-term debt | 1,705 | 1,798 |
Subordinated notes | Bank of America, N.A. | ||
Debt Instrument [Line Items] | ||
Long-term debt | 6,322 | |
Subordinated notes | Bank of America, N.A. | Fixed, with a weighted-average rate of 5.68%, ranging from 5.30% to 6.10%, due 2016 to 2036 | ||
Debt Instrument [Line Items] | ||
Long-term debt | 4,921 | 4,876 |
Subordinated notes | Bank of America, N.A. | Floating, with a weighted-average rate of 0.53%, ranging from 0.26% to 0.54%, due 2016 to 2019 | ||
Debt Instrument [Line Items] | ||
Long-term debt | 1,401 | 1,401 |
Advances from Federal Home Loan Banks | Bank of America, N.A. | ||
Debt Instrument [Line Items] | ||
Long-term debt | 10,683 | |
Advances from Federal Home Loan Banks | Bank of America, N.A. | Fixed, with a weighted-average rate of 5.34%, ranging from 0.01% to 7.72%, due 2015 to 2034 | ||
Debt Instrument [Line Items] | ||
Long-term debt | 183 | 1,441 |
Advances from Federal Home Loan Banks | Bank of America, N.A. | Floating, with a weighted-average rate of 0.26%, ranging from 0.24% to 0.30%, due 2015 to 2016 | ||
Debt Instrument [Line Items] | ||
Long-term debt | 10,500 | 3,001 |
Securitizations and other BANA VIEs | Bank of America, N.A. | ||
Debt Instrument [Line Items] | ||
Long-term debt | 9,882 | 13,367 |
Structured liabilities | Subsidiaries | ||
Debt Instrument [Line Items] | ||
Long-term debt | 15,971 | 16,913 |
Junior subordinated notes (related to trust preferred securities) | Bank of America Corporation | ||
Debt Instrument [Line Items] | ||
Long-term debt | 7,275 | |
Junior subordinated notes (related to trust preferred securities) | Bank of America Corporation | Fixed, with a weighted-average rate of 6.78%, ranging from 5.25% to 8.05%, due 2027 to perpetual | ||
Debt Instrument [Line Items] | ||
Long-term debt | 6,722 | 6,685 |
Junior subordinated notes (related to trust preferred securities) | Bank of America Corporation | Floating, with a weighted-average rate of 0.92%, ranging from 0.78% to 1.24%, due 2027 to 2056 | ||
Debt Instrument [Line Items] | ||
Long-term debt | 553 | 553 |
Junior subordinated notes (related to trust preferred securities) | Subsidiaries | ||
Debt Instrument [Line Items] | ||
Long-term debt | 405 | |
Junior subordinated notes (related to trust preferred securities) | Subsidiaries | Fixed, with a weighted-average rate of 7.14%, ranging from 7.00% to 7.28%, perpetual | ||
Debt Instrument [Line Items] | ||
Long-term debt | 339 | 340 |
Junior subordinated notes (related to trust preferred securities) | Subsidiaries | Floating, with a rate of 0.86%, due 2027 | ||
Debt Instrument [Line Items] | ||
Long-term debt | 66 | 66 |
Nonbank VIEs | Subsidiaries | ||
Debt Instrument [Line Items] | ||
Long-term debt | 3,425 | 6,081 |
Other | Subsidiaries | ||
Debt Instrument [Line Items] | ||
Long-term debt | $2,079 | $2,422 |
Longterm_Debt_Interest_Rates_D
Long-term Debt - Interest Rates (Details) | 12 Months Ended |
Dec. 31, 2014 | |
Bank of America Corporation | Fixed, with a weighted-average rate of 4.67%, ranging from 1.25% to 8.83%, due 2015 to 2044 | Senior notes | |
Debt Instrument [Line Items] | |
Long-term debt, weighted average interest rate | 4.67% |
Weighted average rate of debt minimum | 1.25% |
Weighted average rate of debt maximum | 8.83% |
Bank of America Corporation | Floating, with a weighted-average rate of 1.32%, ranging from 0.09% to 4.98%, due 2015 to 2044 | Senior notes | |
Debt Instrument [Line Items] | |
Long-term debt, weighted average interest rate | 1.32% |
Bank of America Corporation | Fixed, with a weighted-average rate of 4.91%, ranging from 0.80% to 10.20%, due 2015 to 2038 | Subordinated notes | |
Debt Instrument [Line Items] | |
Long-term debt, weighted average interest rate | 4.91% |
Weighted average rate of debt minimum | 0.80% |
Weighted average rate of debt maximum | 10.20% |
Bank of America Corporation | Floating, with a weighted-average rate of 0.97%, ranging from 0.01% to 3.16%, due 2016 to 2026 | Subordinated notes | |
Debt Instrument [Line Items] | |
Long-term debt, weighted average interest rate | 0.97% |
Bank of America Corporation | Fixed, with a weighted-average rate of 6.78%, ranging from 5.25% to 8.05%, due 2027 to perpetual | Junior subordinated notes (related to trust preferred securities) | |
Debt Instrument [Line Items] | |
Long-term debt, weighted average interest rate | 6.78% |
Weighted average rate of debt minimum | 5.25% |
Weighted average rate of debt maximum | 8.05% |
Bank of America Corporation | Floating, with a weighted-average rate of 0.92%, ranging from 0.78% to 1.24%, due 2027 to 2056 | Junior subordinated notes (related to trust preferred securities) | |
Debt Instrument [Line Items] | |
Long-term debt, weighted average interest rate | 0.92% |
Bank of America, N.A. | Fixed, with a weighted-average rate of 1.98%, ranging from 0.08% to 7.72%, due 2015 to 2187 | Senior notes | |
Debt Instrument [Line Items] | |
Long-term debt, weighted average interest rate | 1.98% |
Weighted average rate of debt minimum | 0.08% |
Weighted average rate of debt maximum | 7.72% |
Bank of America, N.A. | Floating, with a weighted-average rate of 0.60%, ranging from 0.36% to 0.70%, due 2015 to 2041 | Senior notes | |
Debt Instrument [Line Items] | |
Long-term debt, weighted average interest rate | 0.60% |
Bank of America, N.A. | Fixed, with a weighted-average rate of 5.68%, ranging from 5.30% to 6.10%, due 2016 to 2036 | Subordinated notes | |
Debt Instrument [Line Items] | |
Long-term debt, weighted average interest rate | 5.68% |
Weighted average rate of debt minimum | 5.30% |
Weighted average rate of debt maximum | 6.10% |
Bank of America, N.A. | Floating, with a weighted-average rate of 0.53%, ranging from 0.26% to 0.54%, due 2016 to 2019 | Subordinated notes | |
Debt Instrument [Line Items] | |
Long-term debt, weighted average interest rate | 0.53% |
Bank of America, N.A. | Fixed, with a weighted-average rate of 5.34%, ranging from 0.01% to 7.72%, due 2015 to 2034 | Advances from Federal Home Loan Banks | |
Debt Instrument [Line Items] | |
Long-term debt, weighted average interest rate | 5.34% |
Weighted average rate of debt minimum | 0.01% |
Weighted average rate of debt maximum | 7.72% |
Bank of America, N.A. | Floating, with a weighted-average rate of 0.26%, ranging from 0.24% to 0.30%, due 2015 to 2016 | Advances from Federal Home Loan Banks | |
Debt Instrument [Line Items] | |
Long-term debt, weighted average interest rate | 0.26% |
Subsidiaries | Fixed, with a rate of 5.50%, due 2017 to 2021 | Senior notes | |
Debt Instrument [Line Items] | |
Per annum interest rate of the notes | 5.50% |
Subsidiaries | Floating, with a rate of 1.88%, due 2015 | Senior notes | |
Debt Instrument [Line Items] | |
Long-term debt, weighted average interest rate | 1.88% |
Subsidiaries | Fixed, with a weighted-average rate of 7.14%, ranging from 7.00% to 7.28%, perpetual | Junior subordinated notes (related to trust preferred securities) | |
Debt Instrument [Line Items] | |
Long-term debt, weighted average interest rate | 7.14% |
Weighted average rate of debt minimum | 7.00% |
Weighted average rate of debt maximum | 7.28% |
Subsidiaries | Floating, with a rate of 0.86%, due 2027 | Junior subordinated notes (related to trust preferred securities) | |
Debt Instrument [Line Items] | |
Long-term debt, weighted average interest rate | 0.86% |
Minimum | Bank of America Corporation | Floating, with a weighted-average rate of 1.32%, ranging from 0.09% to 4.98%, due 2015 to 2044 | Senior notes | |
Debt Instrument [Line Items] | |
Percentage bearing variable interest, percentage rate | 0.09% |
Minimum | Bank of America Corporation | Floating, with a weighted-average rate of 0.97%, ranging from 0.01% to 3.16%, due 2016 to 2026 | Subordinated notes | |
Debt Instrument [Line Items] | |
Percentage bearing variable interest, percentage rate | 0.01% |
Minimum | Bank of America Corporation | Floating, with a weighted-average rate of 0.92%, ranging from 0.78% to 1.24%, due 2027 to 2056 | Junior subordinated notes (related to trust preferred securities) | |
Debt Instrument [Line Items] | |
Percentage bearing variable interest, percentage rate | 0.78% |
Minimum | Bank of America, N.A. | Floating, with a weighted-average rate of 0.60%, ranging from 0.36% to 0.70%, due 2015 to 2041 | Senior notes | |
Debt Instrument [Line Items] | |
Percentage bearing variable interest, percentage rate | 0.36% |
Minimum | Bank of America, N.A. | Floating, with a weighted-average rate of 0.53%, ranging from 0.26% to 0.54%, due 2016 to 2019 | Subordinated notes | |
Debt Instrument [Line Items] | |
Percentage bearing variable interest, percentage rate | 0.26% |
Minimum | Bank of America, N.A. | Floating, with a weighted-average rate of 0.26%, ranging from 0.24% to 0.30%, due 2015 to 2016 | Advances from Federal Home Loan Banks | |
Debt Instrument [Line Items] | |
Percentage bearing variable interest, percentage rate | 0.24% |
Maximum | Bank of America Corporation | Floating, with a weighted-average rate of 1.32%, ranging from 0.09% to 4.98%, due 2015 to 2044 | Senior notes | |
Debt Instrument [Line Items] | |
Percentage bearing variable interest, percentage rate | 4.98% |
Maximum | Bank of America Corporation | Floating, with a weighted-average rate of 0.97%, ranging from 0.01% to 3.16%, due 2016 to 2026 | Subordinated notes | |
Debt Instrument [Line Items] | |
Percentage bearing variable interest, percentage rate | 3.16% |
Maximum | Bank of America Corporation | Floating, with a weighted-average rate of 0.92%, ranging from 0.78% to 1.24%, due 2027 to 2056 | Junior subordinated notes (related to trust preferred securities) | |
Debt Instrument [Line Items] | |
Percentage bearing variable interest, percentage rate | 1.24% |
Maximum | Bank of America, N.A. | Floating, with a weighted-average rate of 0.60%, ranging from 0.36% to 0.70%, due 2015 to 2041 | Senior notes | |
Debt Instrument [Line Items] | |
Percentage bearing variable interest, percentage rate | 0.70% |
Maximum | Bank of America, N.A. | Floating, with a weighted-average rate of 0.53%, ranging from 0.26% to 0.54%, due 2016 to 2019 | Subordinated notes | |
Debt Instrument [Line Items] | |
Percentage bearing variable interest, percentage rate | 0.54% |
Maximum | Bank of America, N.A. | Floating, with a weighted-average rate of 0.26%, ranging from 0.24% to 0.30%, due 2015 to 2016 | Advances from Federal Home Loan Banks | |
Debt Instrument [Line Items] | |
Percentage bearing variable interest, percentage rate | 0.30% |
Longterm_Debt_Narrative_Detail
Long-term Debt - Narrative (Details) (USD $) | 12 Months Ended | ||
In Millions, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Debt Instrument [Line Items] | |||
Long-term debt | $243,139 | $249,674 | |
Repayments of long-term debt | 53,749 | 65,602 | 124,389 |
Consolidated VIEs | |||
Debt Instrument [Line Items] | |||
Long-term debt | 13,307 | 19,448 | |
Bank of America Corporation | |||
Debt Instrument [Line Items] | |||
Long-term debt | 185,771 | 194,103 | |
Repayments of long-term debt | 33,854 | 39,320 | 63,851 |
Bank of America, N.A. | |||
Debt Instrument [Line Items] | |||
Long-term debt | 35,466 | 29,440 | |
Repayments of long-term debt | 8,900 | 16,000 | |
Subsidiaries | |||
Debt Instrument [Line Items] | |||
Long-term debt | 21,902 | 26,131 | |
Repayments of long-term debt | 10,900 | 10,300 | |
Credit Card Receivable | Consolidated VIEs | |||
Debt Instrument [Line Items] | |||
Long-term debt | 8,400 | ||
Home equity lines of credit | |||
Debt Instrument [Line Items] | |||
Long-term debt | 1,076 | 1,450 | |
Home equity lines of credit | Consolidated VIEs | |||
Debt Instrument [Line Items] | |||
Long-term debt | 1,100 | ||
Other Asset-backed Securitizations | |||
Debt Instrument [Line Items] | |||
Long-term debt | 1,834 | 4,487 | |
Other Asset-backed Securitizations | Consolidated VIEs | |||
Debt Instrument [Line Items] | |||
Long-term debt | 3,800 | ||
Foreign Currency - Dominated Debt | |||
Debt Instrument [Line Items] | |||
Long-term debt | 51,900 | 73,400 | |
Subordinated Debt and Senior Notes | |||
Debt Instrument [Line Items] | |||
Extinguishment of debt | 9,200 | ||
Gains (losses) on extinguishment of debt | ($59) | ||
Long Term Debt, Excluding Senior Structured Notes | |||
Debt Instrument [Line Items] | |||
Long-term debt, weighted average interest rate | 4.06% | 4.37% | |
Fixed Rate Debt | |||
Debt Instrument [Line Items] | |||
Long-term debt, weighted average interest rate | 4.65% | 5.14% | |
Floating Rate Debt | |||
Debt Instrument [Line Items] | |||
Long-term debt, weighted average interest rate | 0.84% | 0.92% |
LongTerm_Debt_Aggregate_Annual
Long-Term Debt - Aggregate Annual Maturities (Details) (USD $) | Dec. 31, 2014 | Dec. 31, 2013 |
In Millions, unless otherwise specified | ||
Long-term Debt, Fiscal Year Maturity [Abstract] | ||
Long-term Debt | $243,139 | $249,674 |
Bank of America Corporation | ||
Long-term Debt, Fiscal Year Maturity [Abstract] | ||
2015 | 21,684 | |
2016 | 25,272 | |
2017 | 25,945 | |
2018 | 24,842 | |
2019 | 19,312 | |
Thereafter | 68,716 | |
Long-term Debt | 185,771 | 194,103 |
Bank of America Corporation | Senior notes | ||
Long-term Debt, Fiscal Year Maturity [Abstract] | ||
2015 | 14,905 | |
2016 | 17,373 | |
2017 | 18,935 | |
2018 | 20,006 | |
2019 | 16,206 | |
Thereafter | 40,203 | |
Long-term Debt | 127,628 | |
Bank of America Corporation | Senior structured notes | ||
Long-term Debt, Fiscal Year Maturity [Abstract] | ||
2015 | 5,558 | |
2016 | 2,825 | |
2017 | 1,791 | |
2018 | 1,885 | |
2019 | 1,526 | |
Thereafter | 8,583 | |
Long-term Debt | 22,168 | 30,575 |
Bank of America Corporation | Subordinated notes | ||
Long-term Debt, Fiscal Year Maturity [Abstract] | ||
2015 | 1,221 | |
2016 | 5,074 | |
2017 | 5,219 | |
2018 | 2,951 | |
2019 | 1,580 | |
Thereafter | 12,655 | |
Long-term Debt | 28,700 | |
Bank of America Corporation | Junior subordinated notes | ||
Long-term Debt, Fiscal Year Maturity [Abstract] | ||
2015 | 0 | |
2016 | 0 | |
2017 | 0 | |
2018 | 0 | |
2019 | 0 | |
Thereafter | 7,275 | |
Long-term Debt | 7,275 | |
Bank of America, N.A. | ||
Long-term Debt, Fiscal Year Maturity [Abstract] | ||
2015 | 6,431 | |
2016 | 10,868 | |
2017 | 12,279 | |
2018 | 10 | |
2019 | 2,486 | |
Thereafter | 3,392 | |
Long-term Debt | 35,466 | 29,440 |
Bank of America, N.A. | Senior notes | ||
Long-term Debt, Fiscal Year Maturity [Abstract] | ||
2015 | 777 | |
2016 | 2,498 | |
2017 | 5,162 | |
2018 | 0 | |
2019 | 19 | |
Thereafter | 123 | |
Long-term Debt | 8,579 | |
Bank of America, N.A. | Subordinated notes | ||
Long-term Debt, Fiscal Year Maturity [Abstract] | ||
2015 | 0 | |
2016 | 1,069 | |
2017 | 3,553 | |
2018 | 0 | |
2019 | 1 | |
Thereafter | 1,699 | |
Long-term Debt | 6,322 | |
Bank of America, N.A. | Advances from Federal Home Loan Banks | ||
Long-term Debt, Fiscal Year Maturity [Abstract] | ||
2015 | 4,503 | |
2016 | 6,003 | |
2017 | 10 | |
2018 | 10 | |
2019 | 16 | |
Thereafter | 141 | |
Long-term Debt | 10,683 | |
Bank of America, N.A. | Securitizations and other BANA VIEs | ||
Long-term Debt, Fiscal Year Maturity [Abstract] | ||
2015 | 1,151 | |
2016 | 1,298 | |
2017 | 3,554 | |
2018 | 0 | |
2019 | 2,450 | |
Thereafter | 1,429 | |
Long-term Debt | 9,882 | 13,367 |
Subsidiaries | ||
Long-term Debt, Fiscal Year Maturity [Abstract] | ||
2015 | 2,609 | |
2016 | 3,408 | |
2017 | 2,981 | |
2018 | 1,428 | |
2019 | 1,058 | |
Thereafter | 10,418 | |
Long-term Debt | 21,902 | 26,131 |
Subsidiaries | Senior notes | ||
Long-term Debt, Fiscal Year Maturity [Abstract] | ||
2015 | 21 | |
2016 | 0 | |
2017 | 1 | |
2018 | 0 | |
2019 | 0 | |
Thereafter | 0 | |
Long-term Debt | 22 | |
Subsidiaries | Junior subordinated notes | ||
Long-term Debt, Fiscal Year Maturity [Abstract] | ||
2015 | 0 | |
2016 | 0 | |
2017 | 0 | |
2018 | 0 | |
2019 | 0 | |
Thereafter | 405 | |
Long-term Debt | 405 | |
Subsidiaries | Structured liabilities | ||
Long-term Debt, Fiscal Year Maturity [Abstract] | ||
2015 | 2,314 | |
2016 | 2,133 | |
2017 | 2,296 | |
2018 | 1,281 | |
2019 | 1,027 | |
Thereafter | 6,920 | |
Long-term Debt | 15,971 | 16,913 |
Subsidiaries | Non-core/non-bank VIEs | ||
Long-term Debt, Fiscal Year Maturity [Abstract] | ||
2015 | 20 | |
2016 | 348 | |
2017 | 255 | |
2018 | 102 | |
2019 | 27 | |
Thereafter | 2,673 | |
Long-term Debt | 3,425 | |
Subsidiaries | Other | ||
Long-term Debt, Fiscal Year Maturity [Abstract] | ||
2015 | 254 | |
2016 | 927 | |
2017 | 429 | |
2018 | 45 | |
2019 | 4 | |
Thereafter | 420 | |
Long-term Debt | 2,079 | 2,422 |
Consolidated Entity Excluding Variable Interest Entities (VIE) [Member] | ||
Long-term Debt, Fiscal Year Maturity [Abstract] | ||
2015 | 30,724 | |
2016 | 39,548 | |
2017 | 41,205 | |
2018 | 26,280 | |
2019 | 22,856 | |
Thereafter | 82,526 | |
Long-term Debt | $243,139 |
Longterm_Debt_Trust_and_Hybrid
Long-term Debt - Trust and Hybrid Securities (Details) (USD $) | 12 Months Ended |
In Millions, unless otherwise specified | Dec. 31, 2013 |
Debt Instrument [Line Items] | |
Payments for repurchase of trust preferred securities | $933 |
Subordinated Debentures Subject to Mandatory Redemption | |
Debt Instrument [Line Items] | |
Extinguishment of debt | 934 |
Trust Preferred Securities Subject to Mandatory Redemption | |
Debt Instrument [Line Items] | |
Financial instruments subject to mandatory redemption, settlement | $934 |
Longterm_Debt_Longterm_Debt_Tr
Long-term Debt Long-term Debt - Trust and Hybrid Securities Outstanding (Details) (USD $) | 12 Months Ended |
In Millions, unless otherwise specified | Dec. 31, 2014 |
Trust Preferred Securities Subject to Mandatory Redemption | |
Financial Instruments Subject to Mandatory Redemption by Settlement Terms [Line Items] | |
Aggregate Principal Amount of Trust Securities | 8,773 |
Trust Preferred Securities Subject to Mandatory Redemption | Capital Trust VI | |
Financial Instruments Subject to Mandatory Redemption by Settlement Terms [Line Items] | |
Aggregate Principal Amount of Trust Securities | 36 |
Trust Preferred Securities Subject to Mandatory Redemption | Capital Trust VII | |
Financial Instruments Subject to Mandatory Redemption by Settlement Terms [Line Items] | |
Aggregate Principal Amount of Trust Securities | 7 |
Trust Preferred Securities Subject to Mandatory Redemption | Capital Trust VIII | |
Financial Instruments Subject to Mandatory Redemption by Settlement Terms [Line Items] | |
Aggregate Principal Amount of Trust Securities | 524 |
Trust Preferred Securities Subject to Mandatory Redemption | Capital Trust XI | |
Financial Instruments Subject to Mandatory Redemption by Settlement Terms [Line Items] | |
Aggregate Principal Amount of Trust Securities | 658 |
Trust Preferred Securities Subject to Mandatory Redemption | Capital Trust XV | |
Financial Instruments Subject to Mandatory Redemption by Settlement Terms [Line Items] | |
Aggregate Principal Amount of Trust Securities | 1 |
Trust Preferred Securities Subject to Mandatory Redemption | Capital Trust III | |
Financial Instruments Subject to Mandatory Redemption by Settlement Terms [Line Items] | |
Aggregate Principal Amount of Trust Securities | 131 |
Trust Preferred Securities Subject to Mandatory Redemption | Capital III | |
Financial Instruments Subject to Mandatory Redemption by Settlement Terms [Line Items] | |
Aggregate Principal Amount of Trust Securities | 103 |
Trust Preferred Securities Subject to Mandatory Redemption | Capital III | |
Financial Instruments Subject to Mandatory Redemption by Settlement Terms [Line Items] | |
Aggregate Principal Amount of Trust Securities | 64 |
Trust Preferred Securities Subject to Mandatory Redemption | Capital Trust V | |
Financial Instruments Subject to Mandatory Redemption by Settlement Terms [Line Items] | |
Aggregate Principal Amount of Trust Securities | 79 |
Trust Preferred Securities Subject to Mandatory Redemption | Capital Trust III | |
Financial Instruments Subject to Mandatory Redemption by Settlement Terms [Line Items] | |
Aggregate Principal Amount of Trust Securities | 53 |
Trust Preferred Securities Subject to Mandatory Redemption | Capital Trust IV | |
Financial Instruments Subject to Mandatory Redemption by Settlement Terms [Line Items] | |
Aggregate Principal Amount of Trust Securities | 102 |
Trust Preferred Securities Subject to Mandatory Redemption | Capital Trust B | |
Financial Instruments Subject to Mandatory Redemption by Settlement Terms [Line Items] | |
Aggregate Principal Amount of Trust Securities | 70 |
Trust Preferred Securities Subject to Mandatory Redemption | Capital III | |
Financial Instruments Subject to Mandatory Redemption by Settlement Terms [Line Items] | |
Aggregate Principal Amount of Trust Securities | 200 |
Trust Preferred Securities Subject to Mandatory Redemption | Capital IV | |
Financial Instruments Subject to Mandatory Redemption by Settlement Terms [Line Items] | |
Aggregate Principal Amount of Trust Securities | 500 |
Trust Preferred Securities Subject to Mandatory Redemption | Capital V | |
Financial Instruments Subject to Mandatory Redemption by Settlement Terms [Line Items] | |
Aggregate Principal Amount of Trust Securities | 1,495 |
Trust Preferred Securities Subject to Mandatory Redemption | Preferred Capital Trust III | |
Financial Instruments Subject to Mandatory Redemption by Settlement Terms [Line Items] | |
Aggregate Principal Amount of Trust Securities | 750 |
Trust Preferred Securities Subject to Mandatory Redemption | Preferred Capital Trust IV | |
Financial Instruments Subject to Mandatory Redemption by Settlement Terms [Line Items] | |
Aggregate Principal Amount of Trust Securities | 400 |
Trust Preferred Securities Subject to Mandatory Redemption | Preferred Capital Trust V | |
Financial Instruments Subject to Mandatory Redemption by Settlement Terms [Line Items] | |
Aggregate Principal Amount of Trust Securities | 850 |
Trust Preferred Securities Subject to Mandatory Redemption | Capital Trust I | |
Financial Instruments Subject to Mandatory Redemption by Settlement Terms [Line Items] | |
Aggregate Principal Amount of Trust Securities | 1,050 |
Trust Preferred Securities Subject to Mandatory Redemption | Capital Trust II | |
Financial Instruments Subject to Mandatory Redemption by Settlement Terms [Line Items] | |
Aggregate Principal Amount of Trust Securities | 950 |
Trust Preferred Securities Subject to Mandatory Redemption | Capital Trust III | |
Financial Instruments Subject to Mandatory Redemption by Settlement Terms [Line Items] | |
Aggregate Principal Amount of Trust Securities | 750 |
Junior subordinated notes | |
Financial Instruments Subject to Mandatory Redemption by Settlement Terms [Line Items] | |
Aggregate Principal Amount of the Notes | 9,259 |
Junior subordinated notes | Capital Trust VI | |
Financial Instruments Subject to Mandatory Redemption by Settlement Terms [Line Items] | |
Aggregate Principal Amount of the Notes | 37 |
Per Annum Interest Rate of the Notes | 5.63% |
Junior subordinated notes | Capital Trust VII | |
Financial Instruments Subject to Mandatory Redemption by Settlement Terms [Line Items] | |
Aggregate Principal Amount of the Notes | 7 |
Per Annum Interest Rate of the Notes | 5.25% |
Junior subordinated notes | Capital Trust VIII | |
Financial Instruments Subject to Mandatory Redemption by Settlement Terms [Line Items] | |
Aggregate Principal Amount of the Notes | 540 |
Per Annum Interest Rate of the Notes | 6.00% |
Junior subordinated notes | Capital Trust XI | |
Financial Instruments Subject to Mandatory Redemption by Settlement Terms [Line Items] | |
Aggregate Principal Amount of the Notes | 678 |
Per Annum Interest Rate of the Notes | 6.63% |
Junior subordinated notes | Capital Trust XV | |
Financial Instruments Subject to Mandatory Redemption by Settlement Terms [Line Items] | |
Aggregate Principal Amount of the Notes | 1 |
Junior subordinated notes | Capital Trust III | |
Financial Instruments Subject to Mandatory Redemption by Settlement Terms [Line Items] | |
Aggregate Principal Amount of the Notes | 136 |
Junior subordinated notes | Capital III | |
Financial Instruments Subject to Mandatory Redemption by Settlement Terms [Line Items] | |
Aggregate Principal Amount of the Notes | 106 |
Junior subordinated notes | Capital III | |
Financial Instruments Subject to Mandatory Redemption by Settlement Terms [Line Items] | |
Aggregate Principal Amount of the Notes | 66 |
Junior subordinated notes | Capital Trust V | |
Financial Instruments Subject to Mandatory Redemption by Settlement Terms [Line Items] | |
Aggregate Principal Amount of the Notes | 82 |
Junior subordinated notes | Capital Trust III | |
Financial Instruments Subject to Mandatory Redemption by Settlement Terms [Line Items] | |
Aggregate Principal Amount of the Notes | 55 |
Junior subordinated notes | Capital Trust IV | |
Financial Instruments Subject to Mandatory Redemption by Settlement Terms [Line Items] | |
Aggregate Principal Amount of the Notes | 106 |
Junior subordinated notes | Capital Trust B | |
Financial Instruments Subject to Mandatory Redemption by Settlement Terms [Line Items] | |
Aggregate Principal Amount of the Notes | 73 |
Junior subordinated notes | Capital III | |
Financial Instruments Subject to Mandatory Redemption by Settlement Terms [Line Items] | |
Aggregate Principal Amount of the Notes | 206 |
Per Annum Interest Rate of the Notes | 8.05% |
Junior subordinated notes | Capital IV | |
Financial Instruments Subject to Mandatory Redemption by Settlement Terms [Line Items] | |
Aggregate Principal Amount of the Notes | 515 |
Per Annum Interest Rate of the Notes | 6.75% |
Junior subordinated notes | Capital V | |
Financial Instruments Subject to Mandatory Redemption by Settlement Terms [Line Items] | |
Aggregate Principal Amount of the Notes | 1,496 |
Per Annum Interest Rate of the Notes | 7.00% |
Junior subordinated notes | Preferred Capital Trust III | |
Financial Instruments Subject to Mandatory Redemption by Settlement Terms [Line Items] | |
Aggregate Principal Amount of the Notes | 901 |
Per Annum Interest Rate of the Notes | 7.00% |
Junior subordinated notes | Preferred Capital Trust IV | |
Financial Instruments Subject to Mandatory Redemption by Settlement Terms [Line Items] | |
Aggregate Principal Amount of the Notes | 480 |
Per Annum Interest Rate of the Notes | 7.12% |
Junior subordinated notes | Preferred Capital Trust V | |
Financial Instruments Subject to Mandatory Redemption by Settlement Terms [Line Items] | |
Aggregate Principal Amount of the Notes | 1,021 |
Per Annum Interest Rate of the Notes | 7.28% |
Junior subordinated notes | Capital Trust I | |
Financial Instruments Subject to Mandatory Redemption by Settlement Terms [Line Items] | |
Aggregate Principal Amount of the Notes | 1,051 |
Per Annum Interest Rate of the Notes | 6.45% |
Junior subordinated notes | Capital Trust II | |
Financial Instruments Subject to Mandatory Redemption by Settlement Terms [Line Items] | |
Aggregate Principal Amount of the Notes | 951 |
Per Annum Interest Rate of the Notes | 6.45% |
Junior subordinated notes | Capital Trust III | |
Financial Instruments Subject to Mandatory Redemption by Settlement Terms [Line Items] | |
Aggregate Principal Amount of the Notes | 751 |
Per Annum Interest Rate of the Notes | 7.38% |
3-Month London Interbank Offered Rate (LIBOR) | Trust Preferred Securities Subject to Mandatory Redemption | Capital Trust V | |
Financial Instruments Subject to Mandatory Redemption by Settlement Terms [Line Items] | |
Basis spread on variable rate | 1.00% |
3-Month London Interbank Offered Rate (LIBOR) | Junior subordinated notes | Capital Trust XV | |
Financial Instruments Subject to Mandatory Redemption by Settlement Terms [Line Items] | |
Basis spread on variable rate | 0.80% |
3-Month London Interbank Offered Rate (LIBOR) | Junior subordinated notes | Capital Trust III | |
Financial Instruments Subject to Mandatory Redemption by Settlement Terms [Line Items] | |
Basis spread on variable rate | 0.55% |
3-Month London Interbank Offered Rate (LIBOR) | Junior subordinated notes | Capital III | |
Financial Instruments Subject to Mandatory Redemption by Settlement Terms [Line Items] | |
Basis spread on variable rate | 0.57% |
3-Month London Interbank Offered Rate (LIBOR) | Junior subordinated notes | Capital III | |
Financial Instruments Subject to Mandatory Redemption by Settlement Terms [Line Items] | |
Basis spread on variable rate | 0.63% |
3-Month London Interbank Offered Rate (LIBOR) | Junior subordinated notes | Capital Trust III | |
Financial Instruments Subject to Mandatory Redemption by Settlement Terms [Line Items] | |
Basis spread on variable rate | 0.75% |
3-Month London Interbank Offered Rate (LIBOR) | Junior subordinated notes | Capital Trust IV | |
Financial Instruments Subject to Mandatory Redemption by Settlement Terms [Line Items] | |
Basis spread on variable rate | 0.60% |
3-Month London Interbank Offered Rate (LIBOR) | Junior subordinated notes | Capital Trust B | |
Financial Instruments Subject to Mandatory Redemption by Settlement Terms [Line Items] | |
Basis spread on variable rate | 0.80% |
Commitments_and_Contingencies_1
Commitments and Contingencies - Credit Extension Commitments Narrative (Details) (USD $) | Dec. 31, 2014 | Dec. 31, 2013 |
Other Commitments [Line Items] | ||
Legally binding unfunded commitments syndicated | $15,700,000,000 | $21,900,000,000 |
Carrying amount credit extension commitments syndicated | 546,000,000 | 503,000,000 |
Deferred revenue | 18,000,000 | 19,000,000 |
Other liabilities reserve for unfunded lending commitments | 528,000,000 | 484,000,000 |
Notional amount of credit extension commitments under fair value option | 9,900,000,000 | 13,000,000,000 |
Unfunded loan commitments | ||
Other Commitments [Line Items] | ||
Fair value carrying amount liabilities | $405,000,000 | $354,000,000 |
Commitments_and_Contingencies_2
Commitments and Contingencies - Credit Extension Commitments (Details) (USD $) | Dec. 31, 2014 | Dec. 31, 2013 |
In Millions, unless otherwise specified | ||
Other Commitments [Line Items] | ||
Expire in One Year or Less | $471,320 | $486,482 |
Expire After One Year Through Three Years | 126,525 | 131,772 |
Expire After Three Years Through Five Years | 163,616 | 157,244 |
Expire After Five Years | 36,254 | 40,535 |
Notional Amount of Credit Extension Commitments | 797,715 | 816,033 |
Loan commitments | ||
Other Commitments [Line Items] | ||
Expire in One Year or Less | 79,897 | 80,799 |
Expire After One Year Through Three Years | 97,583 | 105,175 |
Expire After Three Years Through Five Years | 146,743 | 133,290 |
Expire After Five Years | 18,942 | 21,864 |
Notional Amount of Credit Extension Commitments | 343,165 | 341,128 |
Home equity lines of credit | ||
Other Commitments [Line Items] | ||
Expire in One Year or Less | 6,292 | 4,580 |
Expire After One Year Through Three Years | 19,679 | 16,855 |
Expire After Three Years Through Five Years | 12,319 | 21,074 |
Expire After Five Years | 15,417 | 14,301 |
Notional Amount of Credit Extension Commitments | 53,707 | 56,810 |
Standby letters of credit and financial guarantees | ||
Other Commitments [Line Items] | ||
Expire in One Year or Less | 19,259 | 21,994 |
Expire After One Year Through Three Years | 9,106 | 8,843 |
Expire After Three Years Through Five Years | 4,519 | 2,876 |
Expire After Five Years | 1,807 | 3,967 |
Notional Amount of Credit Extension Commitments | 34,691 | 37,680 |
Standby letters of credit and financial guarantees | Investment grade | ||
Other Commitments [Line Items] | ||
Notional Amount of Credit Extension Commitments | 26,100 | 27,600 |
Standby letters of credit and financial guarantees | Non-investment grade | ||
Other Commitments [Line Items] | ||
Notional Amount of Credit Extension Commitments | 8,200 | 9,600 |
Letters of credit | ||
Other Commitments [Line Items] | ||
Expire in One Year or Less | 1,883 | 1,263 |
Expire After One Year Through Three Years | 157 | 899 |
Expire After Three Years Through Five Years | 35 | 4 |
Expire After Five Years | 88 | 403 |
Notional Amount of Credit Extension Commitments | 2,163 | 2,569 |
Legally binding commitments | ||
Other Commitments [Line Items] | ||
Expire in One Year or Less | 107,331 | 108,636 |
Expire After One Year Through Three Years | 126,525 | 131,772 |
Expire After Three Years Through Five Years | 163,616 | 157,244 |
Expire After Five Years | 36,254 | 40,535 |
Notional Amount of Credit Extension Commitments | 433,726 | 438,187 |
Credit card lines | ||
Other Commitments [Line Items] | ||
Expire in One Year or Less | 363,989 | 377,846 |
Expire After One Year Through Three Years | 0 | 0 |
Expire After Three Years Through Five Years | 0 | 0 |
Expire After Five Years | 0 | 0 |
Notional Amount of Credit Extension Commitments | 363,989 | 377,846 |
Credit Card and Other Consumer | Standby letters of credit and financial guarantees | ||
Other Commitments [Line Items] | ||
Notional Amount of Credit Extension Commitments | $396 | $453 |
Commitments_and_Contingencies_3
Commitments and Contingencies - Additional Information (Details) (USD $) | 12 Months Ended | |
Dec. 31, 2014 | Dec. 31, 2013 | |
Operating Leases, Future Minimum Payments Due [Abstract] | ||
2015 | $2,600,000,000 | |
2016 | 2,300,000,000 | |
2017 | 1,900,000,000 | |
2018 | 1,500,000,000 | |
2019 | 1,200,000,000 | |
Thereafter | 4,900,000,000 | |
Notional amount of derivatives | 1,134,132,000,000 | 1,328,787,000,000 |
Commercial Banks | ||
Operating Leases, Future Minimum Payments Due [Abstract] | ||
Notional amount of derivatives | 527,000,000 | 1,800,000,000 |
Unconsolidated VIEs | ||
Operating Leases, Future Minimum Payments Due [Abstract] | ||
Notional amount of derivatives | 1,200,000,000 | 1,300,000,000 |
Life Insurance Book Value Protection | ||
Operating Leases, Future Minimum Payments Due [Abstract] | ||
Notional amount of derivatives | 13,600,000,000 | 13,400,000,000 |
Net fair value of bank-owned life insurance book value protection | 25,000,000 | 39,000,000 |
Maximum potential exposure | 3,100,000,000 | 3,000,000,000 |
Employee Retirement Protection | ||
Operating Leases, Future Minimum Payments Due [Abstract] | ||
Notional amount of derivatives | 500,000,000 | 4,600,000,000 |
Other Guarantee | ||
Operating Leases, Future Minimum Payments Due [Abstract] | ||
Maximum potential exposure | 6,200,000,000 | 6,900,000,000 |
Loan commitments | ||
Loss Contingencies [Line Items] | ||
Other commitments | 1,800,000,000 | 1,500,000,000 |
Forward-Dated Resale and Securities Borrowing Agreements | ||
Loss Contingencies [Line Items] | ||
Other commitments | 73,200,000,000 | 75,500,000,000 |
Forward-Dated Repurchase and Securities Lending Agreements | ||
Loss Contingencies [Line Items] | ||
Other commitments | 55,800,000,000 | 38,300,000,000 |
Unfunded Equity Investment Commitments | ||
Loss Contingencies [Line Items] | ||
Other commitments | 57,000,000 | 195,000,000 |
Payment Protection Insurance | ||
Operating Leases, Future Minimum Payments Due [Abstract] | ||
Loss contingency accrual | 378,000,000 | 381,000,000 |
Provision | 621,000,000 | 258,000,000 |
Merchant Servicing Joint Venture | ||
Operating Leases, Future Minimum Payments Due [Abstract] | ||
Equity method investment ownership percentage | 49.00% | |
Merchant Processing Servicers, Sponsored Entities | ||
Operating Leases, Future Minimum Payments Due [Abstract] | ||
Transactions processed and settled by sponsored entities | 647,100,000,000 | 623,700,000,000 |
Losses as result of cardholder disputed transactions | 16,000,000 | 15,000,000 |
Merchant escrow deposits held as collateral | 130,000,000 | 203,000,000 |
Merchant Processing Servicers, Sponsored Entities | Merchant Services | ||
Operating Leases, Future Minimum Payments Due [Abstract] | ||
Maximum potential exposure | $269,300,000,000 | $258,500,000,000 |
Commitments_and_Contingencies_4
Commitments and Contingencies - Litigation and Regulatory Matters (Details) | 12 Months Ended | 0 Months Ended | 0 Months Ended | 0 Months Ended | 12 Months Ended | 0 Months Ended | 1 Months Ended | 12 Months Ended | 0 Months Ended | 0 Months Ended | 0 Months Ended | 0 Months Ended | 0 Months Ended | 1 Months Ended | ||||||||||||||||||||||
Dec. 31, 2014 | Dec. 31, 2013 | 28-May-13 | Dec. 30, 2014 | Dec. 30, 2014 | Dec. 30, 2014 | Dec. 30, 2014 | Jun. 09, 2009 | Dec. 31, 2014 | Oct. 19, 2012 | Dec. 31, 2014 | Oct. 19, 2012 | Nov. 30, 2014 | Jan. 14, 2011 | Dec. 31, 2014 | Oct. 15, 2014 | Mar. 15, 2010 | Dec. 06, 2013 | Mar. 14, 2013 | Apr. 17, 2014 | Aug. 29, 2011 | Aug. 29, 2014 | Dec. 31, 2014 | Aug. 29, 2014 | Feb. 05, 2015 | Nov. 25, 2009 | Jul. 30, 2014 | Aug. 23, 2013 | Dec. 31, 2014 | Oct. 31, 2013 | Apr. 11, 2012 | Aug. 27, 2014 | Aug. 27, 2014 | Apr. 30, 2010 | Apr. 30, 2010 | Dec. 31, 2014 | |
USD ($) | USD ($) | Ambac Countrywide Litigation, Claim One | Ambac Countrywide Litigation, Claim Two | Ambac Countrywide Litigation, Claim Two | Ambac Countrywide Litigation, Claim Three | Ambac Countrywide Litigation, Claim Three | Fontainebleau Las Vegas Litigation | Fontainebleau Las Vegas Litigation | In Re Payment Card Interchange Fee and Merchant Discount Anti-Trust Litigation (Interchange) | In Re Payment Card Interchange Fee and Merchant Discount Anti-Trust Litigation (Interchange) | In Re Payment Card Interchange Fee and Merchant Discount Anti-Trust Litigation (Interchange) | The Office of the Comptroller Litigation | Montgomery Litigation | Federal Home Loan Bank Settlement | Federal Home Loan Bank Settlement | Federal Home Loan Bank Settlement | Luther Class Action Settlement | Prudential Insurance Litigation | Prudential Insurance Litigation | U.S. Bank Litigation | U.S. Bank Summonses with Notice Litigation | U.S. Bank Summonses with Notice Litigation | U.S. Bank Summonses with Notice Litigation | U.S. Bank Summonses with Notice Litigation | Ocala Investor Litigation | O'Donnell Litigation | Policemen’s Annuity Litigation | Policemen’s Annuity Litigation | Policemen’s Annuity Litigation | Policemen’s Annuity Litigation | Takefuji Settlement | Takefuji Settlement | Takefuji Settlement | Takefuji Settlement | Mortgage Backed Securities | |
USD ($) | USD ($) | residential_mortgage_backed_securities_transaction | USD ($) | residential_mortgage_backed_securities_transaction | USD ($) | USD ($) | USD ($) | opt_out_suits | M | USD ($) | USD ($) | USD ($) | trust | mortgage_backed_securities_offering | USD ($) | mortgage_backed_securities_offering | complaint | USD ($) | summon | trust | trust | Subsequent Event | USD ($) | USD ($) | claim | trust | trust | trust | USD ($) | JPY (¥) | USD ($) | JPY (¥) | Luther Class Action Settlement | |||
offering | private_placement | mortgage_backed_securities_offering | trust | trust | plaintiff | USD ($) | ||||||||||||||||||||||||||||||
Loss Contingencies [Line Items] | ||||||||||||||||||||||||||||||||||||
Litigation settlement expense | $16,400,000,000 | $6,100,000,000 | ||||||||||||||||||||||||||||||||||
Minimum estimated range of possible loss | 0 | |||||||||||||||||||||||||||||||||||
Maximum estimated range of possible loss | 2,700,000,000 | |||||||||||||||||||||||||||||||||||
Damages sought (more than) | 2,200,000,000 | 600,000,000 | 350,000,000 | 700,000,000 | 1,600,000,000 | |||||||||||||||||||||||||||||||
Estimated litigation liability | 1,300,000,000 | |||||||||||||||||||||||||||||||||||
Number of partially insured residential mortgage backed securities backed by negative amortization pay option adjustable-rate mortgage loans | 8 | |||||||||||||||||||||||||||||||||||
Number of partially insured residential mortgage backed securities backed by negative amortization pay option adjustable-rate mortgage loans issued and underwritten by non-parties | 7 | 5 | ||||||||||||||||||||||||||||||||||
Settlement payment | 300,000,000 | 420,000,000 | 500,000,000 | -135,000,000 | -14,500,000,000 | |||||||||||||||||||||||||||||||
Total litigation settlement for group of defendants | 6,600,000,000 | |||||||||||||||||||||||||||||||||||
Basis points distributed to class merchants | 0.10% | |||||||||||||||||||||||||||||||||||
Number of consecutive months distribution to class merchants | 8 | |||||||||||||||||||||||||||||||||||
Number of opt-out suits | 3 | |||||||||||||||||||||||||||||||||||
Number of opt-out suits brought by cardholders | 1 | |||||||||||||||||||||||||||||||||||
Number of opt-out suits not yet filed | 1 | |||||||||||||||||||||||||||||||||||
Payments for legal settlements | 250,000,000 | |||||||||||||||||||||||||||||||||||
Number of offerings at issue | 3 | |||||||||||||||||||||||||||||||||||
Alleged proceeds from issuance of preferred stock | 15,800,000,000 | |||||||||||||||||||||||||||||||||||
MBS offerings purchased | 51 | |||||||||||||||||||||||||||||||||||
Number of private placement issued and/or underwritten | 1 | |||||||||||||||||||||||||||||||||||
Number of trusts involved in settlement agreement | 2 | 7 | ||||||||||||||||||||||||||||||||||
Number of trusts defendants demanded complaints | 3 | |||||||||||||||||||||||||||||||||||
Number of trusts defendants must demand complain in next 3 months | 1 | |||||||||||||||||||||||||||||||||||
Number of trusts defendants must demand complaints in next seven months | 3 | |||||||||||||||||||||||||||||||||||
Number of MBS offerings | 429 | 54 | ||||||||||||||||||||||||||||||||||
Debt securities carried at fair value | 284,274,000,000 | 235,951,000,000 | 350,000,000,000 | |||||||||||||||||||||||||||||||||
Number of pending claims | 2 | |||||||||||||||||||||||||||||||||||
Loans and leases original balance | 1,750,000,000 | |||||||||||||||||||||||||||||||||||
Subset of loans and leases original balance (more than) | 100,000,000 | |||||||||||||||||||||||||||||||||||
Number of claims filed | 7 | 2 | ||||||||||||||||||||||||||||||||||
Number of collateralized RMBS trusts | 41 | |||||||||||||||||||||||||||||||||||
Number of plaintiffs | 10 | |||||||||||||||||||||||||||||||||||
Number of proposed classes of purchasers | 2 | |||||||||||||||||||||||||||||||||||
Number of collateralized trusts | 34 | 35 | ||||||||||||||||||||||||||||||||||
Loss incurred by plaintiff | $270,000,000 | ¥ 29,000,000,000 | ||||||||||||||||||||||||||||||||||
Interest rate | 5.00% | 5.00% |
Shareholders_Equity_Declared_Q
Shareholders' Equity - Declared Quarterly Cash Dividends on Common Stock (Details) (USD $) | 0 Months Ended | ||||
Oct. 23, 2014 | Aug. 06, 2014 | Jun. 18, 2014 | Feb. 11, 2014 | Feb. 10, 2015 | |
Class of Stock [Line Items] | |||||
Common dividends (in dollars per share) | $0.05 | $0.05 | $0.01 | $0.01 | |
Subsequent Event | |||||
Class of Stock [Line Items] | |||||
Common dividends (in dollars per share) | $0.05 |
Shareholders_Equity_Narrative_
Shareholders' Equity - Narrative (Details) (USD $) | 0 Months Ended | 12 Months Ended | 0 Months Ended | |||||||||||
Dec. 26, 2014 | Oct. 23, 2014 | Sep. 26, 2014 | Aug. 06, 2014 | Jun. 18, 2014 | Feb. 11, 2014 | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | Jun. 17, 2014 | Sep. 05, 2014 | Sep. 09, 2014 | Feb. 10, 2015 | Jan. 27, 2015 | |
Class of Stock [Line Items] | ||||||||||||||
Common dividends (in dollars per share) | $0.05 | $0.05 | $0.01 | $0.01 | ||||||||||
Redempmtion of stock | $1,675,000,000 | $3,220,000,000 | ||||||||||||
Cash dividends declared per common share (dollars per share) | $0.05 | $0.05 | $0.12 | $0.04 | $0.04 | |||||||||
Share-based compensation, number of shares authorized (shares) | 1,800,000,000 | |||||||||||||
Preferred stock dividends | 1,044,000,000 | 1,249,000,000 | 1,472,000,000 | |||||||||||
Issuance of preferred stock | 5,957,000,000 | 1,008,000,000 | 667,000,000 | |||||||||||
Redemption of preferred stock | -6,561,000,000 | |||||||||||||
Common stock issued in connection with exchanges of preferred stock and trust preferred securities | -160,000,000 | |||||||||||||
Series 1 Preferred Stock | ||||||||||||||
Class of Stock [Line Items] | ||||||||||||||
Liquidation preference (in usd per share) | $30,000 | |||||||||||||
Series T Preferred Stock | ||||||||||||||
Class of Stock [Line Items] | ||||||||||||||
Warrants outstanding | 700,000,000 | |||||||||||||
Exercise price per warrant | $7.14 | |||||||||||||
Per Annum Dividend Rate | 6.00% | |||||||||||||
Liquidation preference (in usd per share) | $100,000 | |||||||||||||
Series V, X, W, and Z Preferred Stock | ||||||||||||||
Class of Stock [Line Items] | ||||||||||||||
Issuance of preferred stock | 6,000,000,000 | |||||||||||||
Series V Preferred Stock | ||||||||||||||
Class of Stock [Line Items] | ||||||||||||||
Per Annum Dividend Rate | 5.13% | |||||||||||||
Shares issued during the period (shares) | 60,000 | |||||||||||||
Issuance of preferred stock | 1,500,000,000 | |||||||||||||
Liquidation preference (in usd per share) | $25,000 | |||||||||||||
Series X Preferred Stock | ||||||||||||||
Class of Stock [Line Items] | ||||||||||||||
Per Annum Dividend Rate | 6.25% | |||||||||||||
Shares issued during the period (shares) | 80,000 | |||||||||||||
Issuance of preferred stock | 2,000,000,000 | |||||||||||||
Liquidation preference (in usd per share) | $25,000 | |||||||||||||
Series W Preferred Stock | ||||||||||||||
Class of Stock [Line Items] | ||||||||||||||
Per Annum Dividend Rate | 6.63% | 6.63% | ||||||||||||
Shares issued during the period (shares) | 44,000 | |||||||||||||
Issuance of preferred stock | 1,100,000,000 | |||||||||||||
Liquidation preference (in usd per share) | $25,000 | |||||||||||||
Series Z Preferred Stock | ||||||||||||||
Class of Stock [Line Items] | ||||||||||||||
Per Annum Dividend Rate | 65.00% | |||||||||||||
Shares issued during the period (shares) | 56,000 | |||||||||||||
Issuance of preferred stock | 1,400,000,000 | |||||||||||||
Liquidation preference (in usd per share) | $25,000 | |||||||||||||
Series X, W, Z Preferred Stock | ||||||||||||||
Class of Stock [Line Items] | ||||||||||||||
Liquidation preference (in usd per share) | $25,000 | |||||||||||||
Preferred Stock Series H, J, 6, 7, and 8 | ||||||||||||||
Class of Stock [Line Items] | ||||||||||||||
Redemption of preferred stock | -6,600,000,000 | |||||||||||||
Series U Preferred Stock | ||||||||||||||
Class of Stock [Line Items] | ||||||||||||||
Per Annum Dividend Rate | 5.20% | |||||||||||||
Issuance of preferred stock | 1,000,000,000 | |||||||||||||
Liquidation preference (in usd per share) | $25,000 | |||||||||||||
Trust Preferred Securities | ||||||||||||||
Class of Stock [Line Items] | ||||||||||||||
Redeemable and nonredeemable preferred stock | 760,000,000 | |||||||||||||
Series F and G Preferred Stock | ||||||||||||||
Class of Stock [Line Items] | ||||||||||||||
Issuance of preferred stock | 633,000,000 | |||||||||||||
Warrants Expiring January 16, 2019 | ||||||||||||||
Class of Stock [Line Items] | ||||||||||||||
Warrants outstanding | 150,400,000 | |||||||||||||
Exercise price per warrant | $13.24 | $13.30 | $13.24 | |||||||||||
Minimum required dividend rate | $0.01 | |||||||||||||
Warrants Expiring October 18, 2018 | ||||||||||||||
Class of Stock [Line Items] | ||||||||||||||
Warrants outstanding | 121,800,000 | |||||||||||||
Exercise price per warrant | $30.79 | |||||||||||||
Minimum required dividend rate | $0.32 | |||||||||||||
Subsequent Event | ||||||||||||||
Class of Stock [Line Items] | ||||||||||||||
Common dividends (in dollars per share) | $0.05 | |||||||||||||
Subsequent Event | Series Y Preferred Stock | ||||||||||||||
Class of Stock [Line Items] | ||||||||||||||
Per Annum Dividend Rate | 6.50% | |||||||||||||
Shares issued during the period (shares) | 44,000 | |||||||||||||
Issuance of preferred stock | 1,100,000,000 | |||||||||||||
Liquidation preference (in usd per share) | $25,000 | |||||||||||||
Common Stock | ||||||||||||||
Class of Stock [Line Items] | ||||||||||||||
Redempmtion of stock (shares) | 101,100,000 | 231,700,000 | ||||||||||||
Redempmtion of stock | 1,700,000,000 | 3,200,000,000 | ||||||||||||
Stock issued (shares) | 43,000,000 | |||||||||||||
Shares paid for tax withholding for share based compensation (shares) | 17,000,000 | |||||||||||||
Common Stock and Additional Paid-in Capital | ||||||||||||||
Class of Stock [Line Items] | ||||||||||||||
Redempmtion of stock (shares) | 101,132,000 | 231,744,000 | ||||||||||||
Redempmtion of stock | 1,675,000,000 | 3,220,000,000 | ||||||||||||
Common stock issued in connection with exchanges of preferred stock and trust preferred securities, shares | 49,867,000 | |||||||||||||
Common stock issued in connection with exchanges of preferred stock and trust preferred securities | -412,000,000 | |||||||||||||
Retained Earnings | ||||||||||||||
Class of Stock [Line Items] | ||||||||||||||
Preferred stock dividends | 1,044,000,000 | 1,249,000,000 | 1,472,000,000 | |||||||||||
Redemption of preferred stock | -100,000,000 | |||||||||||||
Common stock issued in connection with exchanges of preferred stock and trust preferred securities | -44,000,000 | |||||||||||||
Retained Earnings | Preferred Stock Series H, J, 6, 7, and 8 | ||||||||||||||
Class of Stock [Line Items] | ||||||||||||||
Redemption of preferred stock | -100,000,000 | |||||||||||||
Preferred Stock | ||||||||||||||
Class of Stock [Line Items] | ||||||||||||||
Issuance of preferred stock | 5,957,000,000 | 1,008,000,000 | 667,000,000 | |||||||||||
Redemption of preferred stock | -6,461,000,000 | |||||||||||||
Common stock issued in connection with exchanges of preferred stock and trust preferred securities | 296,000,000 | |||||||||||||
Preferred Stock | Preferred Stock Series H, J, 6, 7, and 8 | ||||||||||||||
Class of Stock [Line Items] | ||||||||||||||
Redemption of preferred stock | -6,500,000,000 | |||||||||||||
Exchange Agreements | Common Stock | ||||||||||||||
Class of Stock [Line Items] | ||||||||||||||
Payments Included in Exchange of Preferred Stock and Trust Preferred Securities for Common Stock | 398,000,000 | |||||||||||||
Exchange Agreements | Non-Convertible Preferred Stock and Trust Preferred Securities | ||||||||||||||
Class of Stock [Line Items] | ||||||||||||||
Increase In Retained Earnings And Net Income Applicable To Common Shareholders | 246,000,000 | |||||||||||||
Net Interest Income | Exchange Agreements | Non-Convertible Preferred Stock and Trust Preferred Securities | ||||||||||||||
Class of Stock [Line Items] | ||||||||||||||
Other income (loss) | $202,000,000 |
Shareholders_Equity_Preferred_
Shareholders' Equity - Preferred Stock Summary (Details) (USD $) | 12 Months Ended | 0 Months Ended | |||||||
In Millions, except Share data, unless otherwise specified | Dec. 31, 2014 | Sep. 09, 2014 | Jan. 30, 2018 | 15-May-18 | Jun. 02, 2023 | Jun. 18, 2019 | Sep. 06, 2024 | Oct. 24, 2024 | Dec. 31, 2013 |
Class of Stock [Line Items] | |||||||||
Total Shares Outstanding | 3,647,790 | 3,407,790 | |||||||
Carrying Value | $19,505 | ||||||||
Adjustment to preferred stock | 196 | ||||||||
Series B Preferred Stock | |||||||||
Class of Stock [Line Items] | |||||||||
Total Shares Outstanding | 7,571 | ||||||||
Liquidation Preference per Share (in dollars) | $100 | ||||||||
Carrying Value | 1 | ||||||||
Per Annum Dividend Rate | 7.00% | ||||||||
Series D Preferred Stock | |||||||||
Class of Stock [Line Items] | |||||||||
Total Shares Outstanding | 26,174 | ||||||||
Liquidation Preference per Share (in dollars) | $25,000 | ||||||||
Carrying Value | 654 | ||||||||
Per Annum Dividend Rate | 6.20% | ||||||||
Series E Preferred Stock | |||||||||
Class of Stock [Line Items] | |||||||||
Total Shares Outstanding | 12,691 | ||||||||
Liquidation Preference per Share (in dollars) | $25,000 | ||||||||
Carrying Value | 317 | ||||||||
Minimum interest rate per annum | 4.00% | ||||||||
Series F Preferred Stock | |||||||||
Class of Stock [Line Items] | |||||||||
Total Shares Outstanding | 1,409 | ||||||||
Liquidation Preference per Share (in dollars) | $100,000 | ||||||||
Carrying Value | 141 | ||||||||
Minimum interest rate per annum | 4.00% | ||||||||
Series G Preferred Stock | |||||||||
Class of Stock [Line Items] | |||||||||
Total Shares Outstanding | 4,926 | ||||||||
Liquidation Preference per Share (in dollars) | $100,000 | ||||||||
Carrying Value | 493 | ||||||||
Minimum interest rate per annum | 4.00% | ||||||||
Series I Preferred Stock | |||||||||
Class of Stock [Line Items] | |||||||||
Total Shares Outstanding | 14,584 | ||||||||
Liquidation Preference per Share (in dollars) | $25,000 | ||||||||
Carrying Value | 365 | ||||||||
Per Annum Dividend Rate | 6.63% | ||||||||
Series K Preferred Stock | |||||||||
Class of Stock [Line Items] | |||||||||
Total Shares Outstanding | 61,773 | ||||||||
Liquidation Preference per Share (in dollars) | $25,000 | ||||||||
Carrying Value | 1,544 | ||||||||
Per Annum Dividend Rate | 8.00% | ||||||||
Series L Preferred Stock | |||||||||
Class of Stock [Line Items] | |||||||||
Total Shares Outstanding | 3,080,182 | ||||||||
Liquidation Preference per Share (in dollars) | $1,000 | ||||||||
Carrying Value | 3,080 | ||||||||
Per Annum Dividend Rate | 7.25% | ||||||||
Series M Preferred Stock | |||||||||
Class of Stock [Line Items] | |||||||||
Total Shares Outstanding | 52,399 | ||||||||
Liquidation Preference per Share (in dollars) | $25,000 | ||||||||
Carrying Value | 1,310 | ||||||||
Per Annum Dividend Rate | 8.13% | ||||||||
Series T Preferred Stock | |||||||||
Class of Stock [Line Items] | |||||||||
Total Shares Outstanding | 50,000 | ||||||||
Liquidation Preference per Share (in dollars) | $100,000 | ||||||||
Carrying Value | 2,918 | ||||||||
Per Annum Dividend Rate | 6.00% | ||||||||
Series U Preferred Stock | |||||||||
Class of Stock [Line Items] | |||||||||
Total Shares Outstanding | 40,000 | ||||||||
Liquidation Preference per Share (in dollars) | $25,000 | ||||||||
Carrying Value | 1,000 | ||||||||
Per Annum Dividend Rate | 5.20% | ||||||||
Series V Preferred Stock | |||||||||
Class of Stock [Line Items] | |||||||||
Total Shares Outstanding | 60,000 | ||||||||
Liquidation Preference per Share (in dollars) | $25,000 | ||||||||
Carrying Value | 1,500 | ||||||||
Per Annum Dividend Rate | 5.13% | ||||||||
Series W Preferred Stock | |||||||||
Class of Stock [Line Items] | |||||||||
Total Shares Outstanding | 44,000 | ||||||||
Liquidation Preference per Share (in dollars) | $25,000 | ||||||||
Carrying Value | 1,100 | ||||||||
Per Annum Dividend Rate | 6.63% | 6.63% | |||||||
Series X Preferred Stock | |||||||||
Class of Stock [Line Items] | |||||||||
Total Shares Outstanding | 80,000 | ||||||||
Liquidation Preference per Share (in dollars) | $25,000 | ||||||||
Carrying Value | 2,000 | ||||||||
Per Annum Dividend Rate | 6.25% | ||||||||
Series Z Preferred Stock | |||||||||
Class of Stock [Line Items] | |||||||||
Total Shares Outstanding | 56,000 | ||||||||
Liquidation Preference per Share (in dollars) | $25,000 | ||||||||
Carrying Value | 1,400 | ||||||||
Per Annum Dividend Rate | 65.00% | ||||||||
Series 1 Preferred Stock | |||||||||
Class of Stock [Line Items] | |||||||||
Total Shares Outstanding | 3,275 | ||||||||
Liquidation Preference per Share (in dollars) | $30,000 | ||||||||
Carrying Value | 98 | ||||||||
Minimum interest rate per annum | 3.00% | ||||||||
Series 2 Preferred Stock | |||||||||
Class of Stock [Line Items] | |||||||||
Total Shares Outstanding | 9,967 | ||||||||
Liquidation Preference per Share (in dollars) | $30,000 | ||||||||
Carrying Value | 299 | ||||||||
Minimum interest rate per annum | 3.00% | ||||||||
Series 3 Preferred Stock | |||||||||
Class of Stock [Line Items] | |||||||||
Total Shares Outstanding | 21,773 | ||||||||
Liquidation Preference per Share (in dollars) | $30,000 | ||||||||
Carrying Value | 653 | ||||||||
Per Annum Dividend Rate | 6.38% | ||||||||
Series 4 Preferred Stock | |||||||||
Class of Stock [Line Items] | |||||||||
Total Shares Outstanding | 7,010 | ||||||||
Liquidation Preference per Share (in dollars) | $30,000 | ||||||||
Carrying Value | 210 | ||||||||
Minimum interest rate per annum | 4.00% | ||||||||
Series 5 Preferred Stock | |||||||||
Class of Stock [Line Items] | |||||||||
Total Shares Outstanding | 14,056 | ||||||||
Liquidation Preference per Share (in dollars) | $30,000 | ||||||||
Carrying Value | $422 | ||||||||
Minimum interest rate per annum | 4.00% | ||||||||
3-Month London Interbank Offered Rate (LIBOR) | Series E Preferred Stock | |||||||||
Class of Stock [Line Items] | |||||||||
Basis spread on variable rate for dividend rate | 0.0035 | ||||||||
3-Month London Interbank Offered Rate (LIBOR) | Series F Preferred Stock | |||||||||
Class of Stock [Line Items] | |||||||||
Basis spread on variable rate for dividend rate | 0.004 | ||||||||
3-Month London Interbank Offered Rate (LIBOR) | Series G Preferred Stock | |||||||||
Class of Stock [Line Items] | |||||||||
Basis spread on variable rate for dividend rate | 0.004 | ||||||||
3-Month London Interbank Offered Rate (LIBOR) | Series 1 Preferred Stock | |||||||||
Class of Stock [Line Items] | |||||||||
Basis spread on variable rate for dividend rate | 0.0075 | ||||||||
3-Month London Interbank Offered Rate (LIBOR) | Series 2 Preferred Stock | |||||||||
Class of Stock [Line Items] | |||||||||
Basis spread on variable rate for dividend rate | 0.0065 | ||||||||
3-Month London Interbank Offered Rate (LIBOR) | Series 4 Preferred Stock | |||||||||
Class of Stock [Line Items] | |||||||||
Basis spread on variable rate for dividend rate | 0.0075 | ||||||||
3-Month London Interbank Offered Rate (LIBOR) | Series 5 Preferred Stock | |||||||||
Class of Stock [Line Items] | |||||||||
Basis spread on variable rate for dividend rate | 0.005 | ||||||||
Scenario, Forecast | 3-Month London Interbank Offered Rate (LIBOR) | Series K Preferred Stock | |||||||||
Class of Stock [Line Items] | |||||||||
Basis spread on variable rate for dividend rate | 0.0363 | ||||||||
Scenario, Forecast | 3-Month London Interbank Offered Rate (LIBOR) | Series M Preferred Stock | |||||||||
Class of Stock [Line Items] | |||||||||
Basis spread on variable rate for dividend rate | 0.0364 | ||||||||
Scenario, Forecast | 3-Month London Interbank Offered Rate (LIBOR) | Series U Preferred Stock | |||||||||
Class of Stock [Line Items] | |||||||||
Basis spread on variable rate for dividend rate | 0.3135 | ||||||||
Scenario, Forecast | 3-Month London Interbank Offered Rate (LIBOR) | Series V Preferred Stock | |||||||||
Class of Stock [Line Items] | |||||||||
Basis spread on variable rate for dividend rate | 0.3387 | ||||||||
Scenario, Forecast | 3-Month London Interbank Offered Rate (LIBOR) | Series X Preferred Stock | |||||||||
Class of Stock [Line Items] | |||||||||
Basis spread on variable rate for dividend rate | 0.3705 | ||||||||
Scenario, Forecast | 3-Month London Interbank Offered Rate (LIBOR) | Series Z Preferred Stock | |||||||||
Class of Stock [Line Items] | |||||||||
Basis spread on variable rate for dividend rate | 0.4174 |
Shareholders_Equity_Preferred_1
Shareholders' Equity - Preferred Stock Narrative (Details) (USD $) | 12 Months Ended | |
Dec. 31, 2014 | Dec. 31, 2013 | |
D | ||
Class of Stock [Line Items] | ||
Preferred stock, par value (in usd per share) | 0.01 | $0.01 |
Series L Preferred Stock | ||
Class of Stock [Line Items] | ||
Per Annum Dividend Rate | 7.25% | |
Preferred stock to be convertible into common shares | 20 | |
Number of trading days | 20 | |
Period of consecutive trading days | 30 days | |
Threshold percentage of common stock closing price | 130.00% | |
Preferred Stock, Excluding Series T Preferred | ||
Class of Stock [Line Items] | ||
Number of semi annual periods in arrears (or more) | 3 | |
Number of quarterly periods in arrears (or more) | 6 | |
Number of additional directors to be elected | 2 | |
Number of semi annual periods for termination (or more) | 2 | |
Number of quarterly periods for termination (or more) | 4 |
Accumulated_Other_Comprehensiv2
Accumulated Other Comprehensive Income (Loss) - Change in Accumulated OCI (Details) (USD $) | 12 Months Ended | ||
In Millions, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Accumulated Other Comprehensive Income (Loss), Net of Tax [Roll Forward] | |||
Beginning balance | ($8,457) | ($2,797) | ($5,437) |
Net change | 4,137 | -5,660 | 2,640 |
Ending balance | -4,320 | -8,457 | -2,797 |
Derivatives | |||
Accumulated Other Comprehensive Income (Loss), Net of Tax [Roll Forward] | |||
Beginning balance | -2,277 | -2,869 | -3,785 |
Net change | 616 | 592 | 916 |
Ending balance | -1,661 | -2,277 | -2,869 |
Employee Benefit Plans | |||
Accumulated Other Comprehensive Income (Loss), Net of Tax [Roll Forward] | |||
Beginning balance | -2,407 | -4,456 | -4,391 |
Net change | -943 | 2,049 | -65 |
Ending balance | -3,350 | -2,407 | -4,456 |
Foreign currency | |||
Accumulated Other Comprehensive Income (Loss), Net of Tax [Roll Forward] | |||
Beginning balance | -512 | -377 | -364 |
Net change | -157 | -135 | -13 |
Ending balance | -669 | -512 | -377 |
Debt securities | Available-for-sale debt securities | |||
Accumulated Other Comprehensive Income (Loss), Net of Tax [Roll Forward] | |||
Beginning balance | -3,257 | 4,443 | 3,100 |
Net change | 4,600 | -7,700 | 1,343 |
Ending balance | 1,343 | -3,257 | 4,443 |
Equity securities | Available-for-sale debt securities | |||
Accumulated Other Comprehensive Income (Loss), Net of Tax [Roll Forward] | |||
Beginning balance | -4 | 462 | 3 |
Net change | 21 | -466 | 459 |
Ending balance | $17 | ($4) | $462 |
Accumulated_Other_Comprehensiv3
Accumulated Other Comprehensive Income (Loss) - Changes in OCI Components Before- and After-tax (Details) (USD $) | 12 Months Ended | ||
In Millions, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Available-for-sale Securities, after Tax | |||
Net changer, after Tax | $4,621 | ($8,166) | $1,802 |
Derivatives, before Tax | |||
Net change in fair value, before Tax | 195 | 156 | 430 |
Net realized losses reclassified into earnings, before Tax | 760 | 773 | 1,035 |
Net change, before Tax | 955 | 929 | 1,465 |
Derivatives, Tax | |||
Net change in fair value, Tax | -54 | -51 | -166 |
Net realized losses reclassified into earnings, Tax | -285 | -286 | -383 |
Net change, Tax | -339 | -337 | -549 |
Derivatives, after Tax | |||
Net change in fair value, after Tax | 141 | 105 | 264 |
Net realized losses reclassified into earnings, after Tax | 475 | 487 | 652 |
Net change, after Tax | 616 | 592 | 916 |
Employee benefit plans, before Tax | |||
Net increase in fair value, before tax | -1,629 | 2,985 | -1,891 |
Net realized losses reclassified into earnings, before Tax | 55 | 237 | 490 |
Settlements and curtailments, before Tax | -1 | 46 | 1,378 |
Net change, before Tax | -1,575 | 3,268 | -23 |
Employee benefit plans, Tax | |||
Net increase in fair value, tax | 614 | -1,128 | 660 |
Net realized losses reclassified into earnings, Tax | -23 | -79 | -192 |
Settlements and curtailments, Tax | 41 | -12 | -510 |
Net change, Tax | 632 | -1,219 | -42 |
Employee benefit plans, after Tax | |||
Net increase in fair value, after tax | -1,015 | 1,857 | -1,231 |
Net realized losses reclassified into earnings, after Tax | 32 | 158 | 298 |
Settlements and curtailments, after Tax | 40 | 34 | 868 |
Net change, after Tax | -943 | 2,049 | -65 |
Foreign currency, before Tax | |||
Net increase (decrease) in fair value, before Tax | 714 | 244 | -226 |
Net realized (gains) losses reclassified into earnings, before Tax | 20 | 138 | -30 |
Net change, before tax | 734 | 382 | -256 |
Foreign currency, Tax | |||
Net increase (decrease) in fair value, Tax | -879 | -384 | 233 |
Net realized losses reclassified into earnings, Tax | -12 | -133 | 10 |
Net change, Tax | -891 | -517 | 243 |
Foreign currency, after Tax | |||
Net increase (decrease) in fair value, after Tax | -165 | -140 | 7 |
Net realized losses reclassified into earnings, after Tax | 8 | 5 | -20 |
Net change, after tax | -157 | -135 | -13 |
Other comprehensive income (loss), net-of-tax: | |||
Other Comprehensive Income (Loss), before Tax | 7,508 | -8,400 | 3,982 |
Other comprehensive income (loss), tax | -3,371 | 2,740 | -1,342 |
Other comprehensive income (loss) | 4,137 | -5,660 | 2,640 |
Debt securities | |||
Available-for-sale Securities, before Tax | |||
Net change in fair value, before Tax | 8,698 | -10,989 | 3,676 |
Net realized gains reclassified into earnings, before Tax | -1,338 | -1,251 | -1,609 |
Net change, before Tax | 7,360 | -12,240 | 2,067 |
Available-for-sale Securities, Tax | |||
Net change in fair value, Tax | -3,268 | 4,077 | -1,319 |
Net realized gains reclassified into earnings, Tax | 508 | 463 | 595 |
Net change, Tax | -2,760 | 4,540 | -724 |
Available-for-sale Securities, after Tax | |||
Net change in fair value, after Tax | 5,430 | -6,912 | 2,357 |
Net realized gains reclassified into earnings, after Tax | -830 | -788 | -1,014 |
Net changer, after Tax | 4,600 | -7,700 | 1,343 |
Equity securities | |||
Available-for-sale Securities, before Tax | |||
Net change in fair value, before Tax | 34 | 32 | 748 |
Net realized gains reclassified into earnings, before Tax | 0 | -771 | -19 |
Net change, before Tax | 34 | -739 | 729 |
Available-for-sale Securities, Tax | |||
Net change in fair value, Tax | -13 | -12 | -277 |
Net realized gains reclassified into earnings, Tax | 0 | 285 | 7 |
Net change, Tax | -13 | 273 | -270 |
Available-for-sale Securities, after Tax | |||
Net change in fair value, after Tax | 21 | 20 | 471 |
Net realized gains reclassified into earnings, after Tax | 0 | -486 | -12 |
Net changer, after Tax | $21 | ($466) | $459 |
Accumulated_Other_Comprehensiv4
Accumulated Other Comprehensive Income (Loss) - Reclassifications Out of AOCI (Details) (USD $) | 12 Months Ended | ||
In Millions, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | |||
Gains on sales of debt securities | $1,354 | $1,271 | $1,662 |
Net interest income | 39,952 | 42,265 | 40,656 |
Trading account profits | 6,309 | 7,056 | 5,870 |
Other income (loss) | 1,203 | -49 | -2,087 |
Personnel | -33,787 | -34,719 | -35,648 |
Equity investment income | 1,130 | 2,901 | 2,070 |
Income Before Income Taxes | 6,855 | 16,172 | 3,072 |
Income tax expense (benefit) | 2,022 | 4,741 | -1,116 |
Net income | 4,833 | 11,431 | 4,188 |
Reclassification out of Accumulated Other Comprehensive Income | |||
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | |||
Net income | 315 | 624 | 67 |
Reclassification out of Accumulated Other Comprehensive Income | Accumulated Net Unrealized Investment Gain (Loss) | Debt securities | |||
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | |||
Gains on sales of debt securities | 1,354 | 1,271 | 1,662 |
Other income (loss) | -16 | -20 | -53 |
Income Before Income Taxes | 1,338 | 1,251 | 1,609 |
Income tax expense (benefit) | 508 | 463 | 595 |
Net income | 830 | 788 | 1,014 |
Reclassification out of Accumulated Other Comprehensive Income | Accumulated Net Unrealized Investment Gain (Loss) | Equity securities | |||
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | |||
Equity investment income | 0 | 771 | 19 |
Income Before Income Taxes | 0 | 771 | 19 |
Income tax expense (benefit) | 0 | 285 | 7 |
Net income | 0 | 486 | 12 |
Reclassification out of Accumulated Other Comprehensive Income | Accumulated Net Gain (Loss) from Designated or Qualifying Cash Flow Hedges | |||
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | |||
Income Before Income Taxes | -760 | -773 | -1,035 |
Income tax expense (benefit) | -285 | -286 | -383 |
Net income | -475 | -487 | -652 |
Reclassification out of Accumulated Other Comprehensive Income | Accumulated Net Gain (Loss) from Designated or Qualifying Cash Flow Hedges | Interest rate contracts | |||
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | |||
Net interest income | -1,119 | -1,119 | -956 |
Other income (loss) | 0 | 18 | 0 |
Reclassification out of Accumulated Other Comprehensive Income | Accumulated Net Gain (Loss) from Designated or Qualifying Cash Flow Hedges | Commodity contracts | |||
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | |||
Trading account profits | 0 | -1 | -1 |
Reclassification out of Accumulated Other Comprehensive Income | Accumulated Net Gain (Loss) from Designated or Qualifying Cash Flow Hedges | Equity contracts | |||
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | |||
Personnel | 359 | 329 | -78 |
Reclassification out of Accumulated Other Comprehensive Income | Prior service cost | |||
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | |||
Personnel | -5 | -4 | -6 |
Reclassification out of Accumulated Other Comprehensive Income | Transition obligation | |||
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | |||
Personnel | 0 | 0 | -32 |
Reclassification out of Accumulated Other Comprehensive Income | Net actuarial losses | |||
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | |||
Personnel | -50 | -225 | -443 |
Reclassification out of Accumulated Other Comprehensive Income | Settlements and curtailments | |||
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | |||
Personnel | 0 | -8 | -58 |
Reclassification out of Accumulated Other Comprehensive Income | Accumulated Defined Benefit Plans Adjustment | |||
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | |||
Income Before Income Taxes | -55 | -237 | -539 |
Income tax expense (benefit) | -23 | -79 | -212 |
Net income | -32 | -158 | -327 |
Reclassification out of Accumulated Other Comprehensive Income | Foreign currency | |||
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | |||
Other income (loss) | -20 | -138 | 30 |
Income Before Income Taxes | -20 | -138 | 30 |
Income tax expense (benefit) | -12 | -133 | 10 |
Net income | ($8) | ($5) | $20 |
Earnings_Per_Common_Share_Basi
Earnings Per Common Share - Basic and Diluted (Details) (USD $) | 12 Months Ended | ||
In Millions, except Share data in Thousands, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Earnings (loss) per common share | |||
Net income | $4,833 | $11,431 | $4,188 |
Preferred stock dividends | -1,044 | -1,349 | -1,428 |
Net income applicable to common shareholders | 3,789 | 10,082 | 2,760 |
Dividends and undistributed earnings allocated to participating securities | 0 | -2 | -2 |
Net income allocated to common shareholders | 3,789 | 10,080 | 2,758 |
Average common shares issued and outstanding | 10,527,818 | 10,731,165 | 10,746,028 |
Earnings (loss) per common share (in dollars per share) | $0.36 | $0.94 | $0.26 |
Diluted earnings (loss) per common share | |||
Add preferred stock dividends due to assumed conversions | 0 | 300 | 0 |
Dividends and undistributed earnings allocated to participating securities | 0 | -2 | -2 |
Net income allocated to common shareholders | $3,789 | $10,380 | $2,758 |
Average common shares issued and outstanding (in thousands) | 10,527,818 | 10,731,165 | 10,746,028 |
Dilutive potential common shares | 56,717 | 760,253 | 94,826 |
Total diluted average common shares issued and outstanding (in thousands) | 10,584,535 | 11,491,418 | 10,840,854 |
Diluted earnings (loss) per common share (in dollars per share) | $0.36 | $0.90 | $0.25 |
Earnings_Per_Common_Share_Anti
Earnings Per Common Share - Antidilutive Securites (Details) | 12 Months Ended | ||
In Millions, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Stock Options | |||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | |||
Average options to purchase shares of common stock | 91 | 126 | 163 |
Series T Preferred Stock | Warrant | |||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | |||
Average options to purchase shares of common stock | 700 | 700 | |
Series L Preferred Stock | Convertible Preferred Stock Subject to Mandatory Redemption | |||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | |||
Average options to purchase shares of common stock | 62 | 62 | 62 |
Common Stock | Warrant | |||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | |||
Average options to purchase shares of common stock | 122 | 272 | 272 |
Earnings_Per_Common_Share_Dilu
Earnings Per Common Share - Dilutive Shares (Details) (USD $) | 12 Months Ended | ||
In Millions, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2014 |
Class of Stock [Line Items] | |||
Noncash dividends | $100 | ||
Redemption of preferred stock | 6,561 | ||
Common stock issued in connection with exchanges of preferred stock and trust preferred securities | 160 | ||
Common Stock | |||
Class of Stock [Line Items] | |||
Incremental common shares attributable to dilutive effect of call options and warrants | 150 | ||
Retained Earnings | |||
Class of Stock [Line Items] | |||
Redemption of preferred stock | 100 | ||
Common stock issued in connection with exchanges of preferred stock and trust preferred securities | 44 | ||
Preferred Stock Series H, J, 6, 7, and 8 | |||
Class of Stock [Line Items] | |||
Redemption of preferred stock | 6,600 | ||
Preferred Stock Series H, J, 6, 7, and 8 | Retained Earnings | |||
Class of Stock [Line Items] | |||
Redemption of preferred stock | $100 | ||
Series T Preferred Stock | |||
Class of Stock [Line Items] | |||
Incremental common shares attributable to dilutive effect of conversion of preferred stock | 700 |
Regulatory_Requirements_and_Re2
Regulatory Requirements and Restrictions (Details) | Dec. 31, 2014 | Jan. 01, 2015 | Dec. 31, 2013 |
Compliance with Regulatory Capital Requirements under Banking Regulations [Line Items] | |||
Tier 1 capital ratio | 4.00% | ||
Total capital ratio | 8.00% | ||
Increase in capital required for capital adequacy to reach well capitalized to risk weighted assets | 2.00% | ||
Subsequent Event | |||
Compliance with Regulatory Capital Requirements under Banking Regulations [Line Items] | |||
Tier 1 capital ratio | 6.00% | ||
Percentage increase in Tier 1 capital ratio | 2.00% | ||
Bank of America Corporation | |||
Compliance with Regulatory Capital Requirements under Banking Regulations [Line Items] | |||
Tier 1 leverage required for capital adequacy | 4.00% | ||
Tier 1 leverage ratio | 5.00% | 5.00% | |
Tier 1 capital ratio | 13.40% | 12.20% | |
Total capital ratio | 16.50% | 15.10% | |
Tier 1 leverage ratio | 8.20% | 7.70% | |
Bank of America, N.A. | |||
Compliance with Regulatory Capital Requirements under Banking Regulations [Line Items] | |||
Tier 1 leverage ratio | 5.00% | 5.00% | |
Tier 1 capital ratio | 13.10% | 12.30% | |
Total capital ratio | 14.60% | 13.80% | |
Tier 1 leverage ratio | 9.60% | 9.20% |
Regulatory_Requirements_and_Re3
Regulatory Requirements and Restrictions - Regulatory Capital (Details) (USD $) | 12 Months Ended | |
Dec. 31, 2014 | Dec. 31, 2013 | |
Bank of America Corporation | ||
Common Equity Tier 1 Capital [Abstract] | ||
Ratio | 12.30% | |
Amount | $155,361,000,000 | |
Minimum Required | 4.00% | |
Tier 1 Common Capital [Abstract] | ||
Ratio | 10.90% | |
Amount | 141,522,000,000 | |
Tier One Risk Based Capital [Abstract] | ||
Ratio | 13.40% | 12.20% |
Amount | 168,973,000,000 | 157,742,000,000 |
Minimum Required | 6.00% | 6.00% |
Capital [Abstract] | ||
Ratio | 16.50% | 15.10% |
Amount | 208,670,000,000 | 196,567,000,000 |
Minimum Required | 10.00% | 10.00% |
Tier One Leverage Capital [Abstract] | ||
Ratio | 8.20% | 7.70% |
Amount | 168,973,000,000 | 157,742,000,000 |
Minimum Required | 5.00% | 5.00% |
Risk Weighted Assets | 1,262,000,000,000 | 1,298,000,000,000 |
Adjusted Quarterly Average Assets | 2,060,000,000,000 | 2,052,000,000,000 |
Bank of America, N.A. | ||
Common Equity Tier 1 Capital [Abstract] | ||
Ratio | 13.10% | |
Amount | 145,150,000,000 | |
Minimum Required | 4.00% | |
Tier One Risk Based Capital [Abstract] | ||
Ratio | 13.10% | 12.30% |
Amount | 145,150,000,000 | 125,886,000,000 |
Minimum Required | 6.00% | 6.00% |
Capital [Abstract] | ||
Ratio | 14.60% | 13.80% |
Amount | 161,623,000,000 | 141,232,000,000 |
Minimum Required | 10.00% | 10.00% |
Tier One Leverage Capital [Abstract] | ||
Ratio | 9.60% | 9.20% |
Amount | 145,150,000,000 | 125,886,000,000 |
Minimum Required | 5.00% | 5.00% |
Risk Weighted Assets | 1,105,000,000,000 | 1,020,000,000,000 |
Adjusted Quarterly Average Assets | $1,509,000,000,000 | $1,368,000,000,000 |
Regulatory_Requirements_and_Re4
Regulatory Requirements and Restrictions - Basel III Requirements (Details) | Dec. 31, 2014 |
Banking and Thrift [Abstract] | |
Basel 3 tier 1 common capital transition percentage | 20.00% |
Regulatory_Requirements_and_Re5
Regulatory Requirements and Restrictions - Other Regulatory Matters (Details) (USD $) | 12 Months Ended | 10 Months Ended | |
Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2015 | |
Compliance with Regulatory Capital Requirements under Banking Regulations [Line Items] | |||
Average daily reserve balances required by federal reserve | $18,200,000,000 | $16,600,000,000 | |
Average daily reserve balances in excess of vault cash held with federal reserve | 9,100,000,000 | 7,800,000,000 | |
Cash segregated under other regulations | 4,500,000,000 | 6,000,000,000 | |
Securities segregated under other regulations | 13,100,000,000 | 8,400,000,000 | |
Bank of America, N.A. | |||
Compliance with Regulatory Capital Requirements under Banking Regulations [Line Items] | |||
Cash dividends paid to parent company by consolidated subsidiaries | 12,400,000,000 | ||
Subsidiaries, FIA Card Services, N.A. | |||
Compliance with Regulatory Capital Requirements under Banking Regulations [Line Items] | |||
Return of capital paid to parent company by consolidated subsidiaries | 4,200,000,000 | ||
Scenario, Forecast | Bank of America, N.A. | |||
Compliance with Regulatory Capital Requirements under Banking Regulations [Line Items] | |||
Cash dividends allowable to be declared and paid by parent company by consolidated subsidiaries | 16,900,000,000 | ||
Scenario, Forecast | Subsidiaries, Bank of America California, N.A. | |||
Compliance with Regulatory Capital Requirements under Banking Regulations [Line Items] | |||
Cash dividends allowable to be declared and paid by parent company by consolidated subsidiaries | $924,000,000 |
Employee_Benefit_Plans_Narrati
Employee Benefit Plans - Narrative (Details) (USD $) | 12 Months Ended | ||
Share data in Millions, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Defined Benefit Plan Disclosure [Line Items] | |||
Service period to become vested | 3 years | ||
Threshold of highest consecutive paid years | 5 years | ||
Threshold of years of employment | 10 years | ||
Increase from change in mortality assumption | $580,000,000 | ||
Increase from change in weighted average discount rates | 1,900,000,000 | ||
Percentage of prior years market gains (losses) recognized at next measurement date | 60.00% | ||
Percentage of prior years market gains (losses) recognized equally over 4 year period | 40.00% | ||
Defined Contribution Plan: | |||
Cost recognized | 1,000,000,000 | 1,100,000,000 | 886,000,000 |
Number of common stock shares held in plan | 238 | 235 | |
Dividend payments to the plan | 29,000,000 | 10,000,000 | 10,000,000 |
Non-U.S. Pension Plans | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Plan amendments | 1,000,000 | 2,000,000 | |
Expected return on plan assets | 5.52% | 5.50% | 6.65% |
Estimated future employer contributions in next fiscal year | 56,000,000 | ||
Nonqualified and Other Pension Plans | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Plan amendments | 0 | 0 | |
Expected return on plan assets | 4.60% | 3.75% | 5.25% |
Estimated future employer contributions in next fiscal year | 101,000,000 | ||
Postretirement Health and Life Plans | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Plan amendments | 0 | 0 | |
Expected return on plan assets | 6.00% | 6.50% | 8.00% |
Estimated future employer contributions in next fiscal year | 87,000,000 | ||
Percentage of unrecognized gain (loss) recognized during the period | 50.00% | ||
Health care cost trend rate assumed for next fiscal year | 7.00% | ||
Ultimate health care cost trend rate | 5.00% | ||
Effect of 1% increase on service and interest cost components | 2,000,000 | ||
Effect of 1% increase on accumulated postretirement benefit obligatio | 47,000,000 | ||
Effect of 1% decrease on service and interest cost components | 2,000,000 | ||
Effect of 1% decrease on accumulated postretirement benefit obligation | 41,000,000 | ||
Qualified Pension Plan | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Plan amendments | 0 | 0 | 1,300,000,000 |
Increase in AOCI, net of tax | 2,000,000,000 | 832,000,000 | |
Expected return on plan assets | 6.00% | 6.50% | 8.00% |
Effect of 25 basis point decline in discount rate on net periodic benefit cost | 7,000,000 | ||
Effect of 25 basis point decline in expected return on plan assets on net periodic benefit cost | 43,000,000 | ||
Plan assets recognized in the next fiscal year with respect to decline in discount rate | 9,000,000 | ||
Plan assets recognized in the next fiscal year with respect to decline in expected return | 44,000,000 | ||
Postretirement Health and Life Plans | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Effect of 25 basis point decline in expected return on plan assets on net periodic benefit cost | 9,000,000 | ||
Plan assets recognized in the next fiscal year with respect to decline in expected return | 10,000,000 | ||
Personnel expense | Qualified Pension Plan | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Curtailments | -58,000,000 | ||
Equity securities | Qualified Pension Plan | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Amount of employer and related party securities included in plan assets | $215,000,000 | $200,000,000 | |
Actual plan asset allocations | 1.15% | 1.10% |
Employee_Benefit_Plans_Funded_
Employee Benefit Plans - Funded Status (Details) (USD $) | 12 Months Ended | ||
In Millions, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Change in fair value of plan assets | |||
Fair value, December 31 | $24,133 | $23,525 | |
Qualified Pension Plan | |||
Change in fair value of plan assets | |||
Fair value, January 1 | 18,276 | 16,274 | |
Actual return on plan assets | 1,261 | 2,873 | |
Company contributions | 0 | 0 | |
Plan participant contributions | 0 | 0 | |
Settlements and curtailments | 0 | 0 | |
Benefits paid | -923 | -871 | |
Fair value, December 31 | 18,614 | 18,276 | 16,274 |
Change in projected benefit obligation | |||
Projected benefit obligation, January 1 | 14,145 | 15,655 | |
Service cost | 0 | 0 | 236 |
Interest cost | 665 | 623 | 681 |
Plan participant contributions | 0 | 0 | |
Plan amendments | 0 | 0 | 1,300 |
Settlements and curtailments | 0 | 17 | |
Actuarial loss (gain) | 1,621 | -1,279 | |
Benefits paid | -923 | -871 | |
Projected benefit obligation, December 31 | 15,508 | 14,145 | 15,655 |
Amount recognized, December 31 | 3,106 | 4,131 | |
Funded status, December 31 | |||
Accumulated benefit obligation | 15,508 | 14,145 | |
Overfunded (unfunded) status of ABO | 3,106 | 4,131 | |
Provision for future salaries | 0 | 0 | |
Projected benefit obligation | 15,508 | 14,145 | 15,655 |
Weighted-average assumptions, December 31 | |||
Discount rate | 4.12% | 4.85% | |
Non-U.S. Pension Plans | |||
Change in fair value of plan assets | |||
Fair value, January 1 | 2,457 | 2,306 | |
Actual return on plan assets | 256 | 146 | |
Company contributions | 84 | 131 | |
Plan participant contributions | 1 | 1 | |
Settlements and curtailments | -5 | -80 | |
Benefits paid | -68 | -80 | |
Foreign currency exchange rate changes | -161 | 33 | |
Fair value, December 31 | 2,564 | 2,457 | 2,306 |
Change in projected benefit obligation | |||
Projected benefit obligation, January 1 | 2,580 | 2,460 | |
Service cost | 29 | 32 | 40 |
Interest cost | 109 | 98 | 97 |
Plan participant contributions | 1 | 1 | |
Plan amendments | 1 | 2 | |
Settlements and curtailments | -6 | -116 | |
Actuarial loss (gain) | 208 | 156 | |
Benefits paid | -68 | -80 | |
Foreign currency exchange rate changes | -166 | 27 | |
Projected benefit obligation, December 31 | 2,688 | 2,580 | 2,460 |
Amount recognized, December 31 | -124 | -123 | |
Funded status, December 31 | |||
Accumulated benefit obligation | 2,582 | 2,463 | |
Overfunded (unfunded) status of ABO | -18 | -6 | |
Provision for future salaries | 106 | 117 | |
Projected benefit obligation | 2,688 | 2,580 | 2,460 |
Weighted-average assumptions, December 31 | |||
Discount rate | 3.56% | 4.30% | |
Rate of compensation increase | 4.70% | 4.91% | |
Nonqualified and Other Pension Plans | |||
Change in fair value of plan assets | |||
Fair value, January 1 | 2,720 | 3,063 | |
Actual return on plan assets | 336 | -217 | |
Company contributions | 97 | 98 | |
Plan participant contributions | 0 | 0 | |
Settlements and curtailments | 0 | -7 | |
Benefits paid | -226 | -217 | |
Fair value, December 31 | 2,927 | 2,720 | 3,063 |
Change in projected benefit obligation | |||
Projected benefit obligation, January 1 | 3,070 | 3,334 | |
Service cost | 1 | 1 | 1 |
Interest cost | 133 | 120 | 138 |
Plan participant contributions | 0 | 0 | |
Plan amendments | 0 | 0 | |
Settlements and curtailments | 0 | -7 | |
Actuarial loss (gain) | 351 | -161 | |
Benefits paid | -226 | -217 | |
Projected benefit obligation, December 31 | 3,329 | 3,070 | 3,334 |
Amount recognized, December 31 | -402 | -350 | |
Funded status, December 31 | |||
Accumulated benefit obligation | 3,329 | 3,067 | |
Overfunded (unfunded) status of ABO | -402 | -347 | |
Provision for future salaries | 0 | 3 | |
Projected benefit obligation | 3,329 | 3,070 | 3,334 |
Weighted-average assumptions, December 31 | |||
Discount rate | 3.80% | 4.55% | |
Rate of compensation increase | 4.00% | 4.00% | |
Postretirement Health and Life Plans | |||
Change in fair value of plan assets | |||
Fair value, January 1 | 72 | 86 | |
Actual return on plan assets | 6 | 9 | |
Company contributions | 53 | 61 | |
Plan participant contributions | 129 | 138 | |
Settlements and curtailments | 0 | 0 | |
Benefits paid | -248 | -237 | |
Federal subsidy on benefits paid | 16 | 15 | |
Fair value, December 31 | 28 | 72 | 86 |
Change in projected benefit obligation | |||
Projected benefit obligation, January 1 | 1,356 | 1,574 | |
Service cost | 8 | 9 | 13 |
Interest cost | 58 | 54 | 71 |
Plan participant contributions | 129 | 138 | |
Plan amendments | 0 | 0 | |
Settlements and curtailments | 0 | 0 | |
Actuarial loss (gain) | 29 | -197 | |
Benefits paid | -248 | -237 | |
Federal subsidy on benefits paid | 16 | 15 | |
Foreign currency exchange rate changes | -2 | 0 | |
Projected benefit obligation, December 31 | 1,346 | 1,356 | 1,574 |
Amount recognized, December 31 | -1,318 | -1,284 | |
Funded status, December 31 | |||
Projected benefit obligation | $1,346 | $1,356 | $1,574 |
Weighted-average assumptions, December 31 | |||
Discount rate | 3.75% | 4.50% |
Employee_Benefit_Plans_Amounts
Employee Benefit Plans - Amounts Recognized on the Balance Sheet (Details) (USD $) | Dec. 31, 2014 | Dec. 31, 2013 |
In Millions, unless otherwise specified | ||
Qualified Pension Plan | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Other assets | $3,106 | $4,131 |
Accrued expenses and other liabilities | 0 | 0 |
Net amount recognized at December 31 | 3,106 | 4,131 |
Non-U.S. Pension Plans | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Other assets | 252 | 205 |
Accrued expenses and other liabilities | -376 | -328 |
Net amount recognized at December 31 | -124 | -123 |
Nonqualified and Other Pension Plans | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Other assets | 786 | 777 |
Accrued expenses and other liabilities | -1,188 | -1,127 |
Net amount recognized at December 31 | -402 | -350 |
Postretirement Health and Life Plans | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Other assets | 0 | 0 |
Accrued expenses and other liabilities | -1,318 | -1,284 |
Net amount recognized at December 31 | ($1,318) | ($1,284) |
Employee_Benefit_Plans_ABO_and
Employee Benefit Plans - ABO and PBO in Excess of Plan Assets (Details) (USD $) | Dec. 31, 2014 | Dec. 31, 2013 |
In Millions, unless otherwise specified | ||
Non-U.S. Pension Plans | ||
Plans with ABO in excess of plan assets | ||
PBO | $583 | $617 |
ABO | 563 | 606 |
Fair value of plan assets | 206 | 290 |
Plans with PBO in excess of plan assets | ||
PBO | 583 | 720 |
Fair value of plan assets | 206 | 392 |
Nonqualified and Other Pension Plans | ||
Plans with ABO in excess of plan assets | ||
PBO | 1,190 | 1,129 |
ABO | 1,190 | 1,126 |
Fair value of plan assets | 2 | 2 |
Plans with PBO in excess of plan assets | ||
PBO | 1,190 | 1,129 |
Fair value of plan assets | $2 | $2 |
Employee_Benefit_Plans_Compone
Employee Benefit Plans - Components of Periodic Benefit Cost (Details) (USD $) | 12 Months Ended | ||
In Millions, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Qualified Pension Plan | |||
Components of net periodic benefit cost | |||
Service cost | $0 | $0 | $236 |
Interest cost | 665 | 623 | 681 |
Expected return on plan assets | -1,018 | -1,024 | -1,246 |
Amortization of prior service cost (credits) | 0 | 0 | 9 |
Amortization of net actuarial loss (gain) | 111 | 242 | 469 |
Recognized loss due to settlements and curtailments | 0 | 17 | 58 |
Net periodic benefit cost (income) | -242 | -142 | 207 |
Weighted-average assumptions used to determine net cost for years ended December 31 | |||
Discount rate | 4.85% | 4.00% | 4.95% |
Expected return on plan assets | 6.00% | 6.50% | 8.00% |
Rate of compensation increase | 4.00% | ||
Non-U.S. Pension Plans | |||
Components of net periodic benefit cost | |||
Service cost | 29 | 32 | 40 |
Interest cost | 109 | 98 | 97 |
Expected return on plan assets | -137 | -121 | -137 |
Amortization of prior service cost (credits) | 1 | 0 | 0 |
Amortization of net actuarial loss (gain) | 3 | 2 | -9 |
Recognized loss due to settlements and curtailments | 2 | -7 | 0 |
Net periodic benefit cost (income) | 7 | 4 | -9 |
Weighted-average assumptions used to determine net cost for years ended December 31 | |||
Discount rate | 4.30% | 4.23% | 4.87% |
Expected return on plan assets | 5.52% | 5.50% | 6.65% |
Rate of compensation increase | 4.91% | 4.37% | 4.42% |
Nonqualified and Other Pension Plans | |||
Components of net periodic benefit cost | |||
Service cost | 1 | 1 | 1 |
Interest cost | 133 | 120 | 138 |
Expected return on plan assets | -124 | -109 | -152 |
Amortization of transition obligation | 0 | 0 | 0 |
Amortization of prior service cost (credits) | 0 | 0 | -3 |
Amortization of net actuarial loss (gain) | 25 | 25 | 8 |
Recognized loss due to settlements and curtailments | 0 | 2 | 0 |
Net periodic benefit cost (income) | 35 | 39 | -8 |
Weighted-average assumptions used to determine net cost for years ended December 31 | |||
Discount rate | 4.55% | 3.65% | 4.65% |
Expected return on plan assets | 4.60% | 3.75% | 5.25% |
Rate of compensation increase | 4.00% | 4.00% | 4.00% |
Postretirement Health and Life Plans | |||
Components of net periodic benefit cost | |||
Service cost | 8 | 9 | 13 |
Interest cost | 58 | 54 | 71 |
Expected return on plan assets | -4 | -5 | -8 |
Amortization of transition obligation | 0 | 0 | 32 |
Amortization of prior service cost (credits) | 4 | 4 | 4 |
Amortization of net actuarial loss (gain) | -89 | -42 | -38 |
Recognized loss due to settlements and curtailments | 0 | 6 | 0 |
Net periodic benefit cost (income) | ($23) | $26 | $74 |
Weighted-average assumptions used to determine net cost for years ended December 31 | |||
Discount rate | 4.50% | 3.65% | 4.65% |
Expected return on plan assets | 6.00% | 6.50% | 8.00% |
Employee_Benefit_Plans_Pretax_
Employee Benefit Plans - Pretax Amounts Included in Accumulated OCI (Details) (USD $) | Dec. 31, 2014 | Dec. 31, 2013 |
In Millions, unless otherwise specified | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Net actuarial loss (gain) | $5,328 | $3,749 |
Prior service cost (credits) | 11 | 15 |
Amounts recognized in accumulated OCI | 5,339 | 3,764 |
Qualified Pension Plan | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Net actuarial loss (gain) | 4,061 | 2,794 |
Prior service cost (credits) | 0 | 0 |
Amounts recognized in accumulated OCI | 4,061 | 2,794 |
Non-U.S. Pension Plans | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Net actuarial loss (gain) | 355 | 271 |
Prior service cost (credits) | -9 | -9 |
Amounts recognized in accumulated OCI | 346 | 262 |
Nonqualified and Other Pension Plans | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Net actuarial loss (gain) | 968 | 855 |
Prior service cost (credits) | 0 | 0 |
Amounts recognized in accumulated OCI | 968 | 855 |
Postretirement Health and Life Plans | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Net actuarial loss (gain) | -56 | -171 |
Prior service cost (credits) | 20 | 24 |
Amounts recognized in accumulated OCI | ($36) | ($147) |
Employee_Benefit_Plans_Pretax_1
Employee Benefit Plans - Pretax Amounts Recognized in OCI (Details) (USD $) | 12 Months Ended |
In Millions, unless otherwise specified | Dec. 31, 2014 |
Other Comprehensive (Income) Loss, Reclassification Adjustment from AOCI, Pension and Other Postretirement Benefit Plans, before Tax [Abstract] | |
Current year actuarial loss | $1,629 |
Amortization of actuarial gain (loss) | -50 |
Current year prior service cost | 1 |
Amortization of prior service cost | -5 |
Amounts recognized in OCI | 1,575 |
Qualified Pension Plan | |
Other Comprehensive (Income) Loss, Reclassification Adjustment from AOCI, Pension and Other Postretirement Benefit Plans, before Tax [Abstract] | |
Current year actuarial loss | 1,378 |
Amortization of actuarial gain (loss) | -111 |
Current year prior service cost | 0 |
Amortization of prior service cost | 0 |
Amounts recognized in OCI | 1,267 |
Non-U.S. Pension Plans | |
Other Comprehensive (Income) Loss, Reclassification Adjustment from AOCI, Pension and Other Postretirement Benefit Plans, before Tax [Abstract] | |
Current year actuarial loss | 87 |
Amortization of actuarial gain (loss) | -3 |
Current year prior service cost | 1 |
Amortization of prior service cost | -1 |
Amounts recognized in OCI | 84 |
Nonqualified and Other Pension Plans | |
Other Comprehensive (Income) Loss, Reclassification Adjustment from AOCI, Pension and Other Postretirement Benefit Plans, before Tax [Abstract] | |
Current year actuarial loss | 138 |
Amortization of actuarial gain (loss) | -25 |
Current year prior service cost | 0 |
Amortization of prior service cost | 0 |
Amounts recognized in OCI | 113 |
Postretirement Health and Life Plans | |
Other Comprehensive (Income) Loss, Reclassification Adjustment from AOCI, Pension and Other Postretirement Benefit Plans, before Tax [Abstract] | |
Current year actuarial loss | 26 |
Amortization of actuarial gain (loss) | 89 |
Current year prior service cost | 0 |
Amortization of prior service cost | -4 |
Amounts recognized in OCI | $111 |
Employee_Benefit_Plans_Amount_
Employee Benefit Plans - Amount Amortized from Accumulated OCI (Details) (USD $) | 12 Months Ended |
In Millions, unless otherwise specified | Dec. 31, 2014 |
Defined Benefit Plan, Amount to be Amortized from Accumulated Other Comprehensive Income (Loss) Next Fiscal Year [Abstract] | |
Net actuarial loss (gain) | $172 |
Prior service cost | 5 |
Total amounts amortized from accumulated OCI | 177 |
Qualified Pension Plan | |
Defined Benefit Plan, Amount to be Amortized from Accumulated Other Comprehensive Income (Loss) Next Fiscal Year [Abstract] | |
Net actuarial loss (gain) | 166 |
Prior service cost | 0 |
Total amounts amortized from accumulated OCI | 166 |
Non-U.S. Pension Plans | |
Defined Benefit Plan, Amount to be Amortized from Accumulated Other Comprehensive Income (Loss) Next Fiscal Year [Abstract] | |
Net actuarial loss (gain) | 6 |
Prior service cost | 1 |
Total amounts amortized from accumulated OCI | 7 |
Nonqualified and Other Pension Plans | |
Defined Benefit Plan, Amount to be Amortized from Accumulated Other Comprehensive Income (Loss) Next Fiscal Year [Abstract] | |
Net actuarial loss (gain) | 34 |
Prior service cost | 0 |
Total amounts amortized from accumulated OCI | 34 |
Postretirement Health and Life Plans | |
Defined Benefit Plan, Amount to be Amortized from Accumulated Other Comprehensive Income (Loss) Next Fiscal Year [Abstract] | |
Net actuarial loss (gain) | -34 |
Prior service cost | 4 |
Total amounts amortized from accumulated OCI | ($30) |
Employee_Benefit_Plans_Target_
Employee Benefit Plans - Target Allocation (Details) | 12 Months Ended |
Dec. 31, 2014 | |
Equity securities | Qualified Pension Plan | |
Defined Benefit Plan, Assets, Target Allocations [Abstract] | |
Equity Securities Minimum | 30.00% |
Equity Securities Maximum | 60.00% |
Equity securities | Non-U.S. Pension Plans | |
Defined Benefit Plan, Assets, Target Allocations [Abstract] | |
Equity Securities Minimum | 10.00% |
Equity Securities Maximum | 35.00% |
Equity securities | Nonqualified and Other Pension Plans | |
Defined Benefit Plan, Assets, Target Allocations [Abstract] | |
Equity Securities Minimum | 0.00% |
Equity Securities Maximum | 5.00% |
Equity securities | Postretirement Health and Life Plans | |
Defined Benefit Plan, Assets, Target Allocations [Abstract] | |
Equity Securities Minimum | 0.00% |
Equity Securities Maximum | 20.00% |
Debt securities | Qualified Pension Plan | |
Defined Benefit Plan, Assets, Target Allocations [Abstract] | |
Equity Securities Minimum | 40.00% |
Equity Securities Maximum | 70.00% |
Debt securities | Non-U.S. Pension Plans | |
Defined Benefit Plan, Assets, Target Allocations [Abstract] | |
Equity Securities Minimum | 40.00% |
Equity Securities Maximum | 80.00% |
Debt securities | Nonqualified and Other Pension Plans | |
Defined Benefit Plan, Assets, Target Allocations [Abstract] | |
Equity Securities Minimum | 95.00% |
Equity Securities Maximum | 100.00% |
Debt securities | Postretirement Health and Life Plans | |
Defined Benefit Plan, Assets, Target Allocations [Abstract] | |
Equity Securities Minimum | 70.00% |
Equity Securities Maximum | 100.00% |
Real Estate | Qualified Pension Plan | |
Defined Benefit Plan, Assets, Target Allocations [Abstract] | |
Equity Securities Minimum | 0.00% |
Equity Securities Maximum | 10.00% |
Real Estate | Non-U.S. Pension Plans | |
Defined Benefit Plan, Assets, Target Allocations [Abstract] | |
Equity Securities Minimum | 0.00% |
Equity Securities Maximum | 15.00% |
Real Estate | Nonqualified and Other Pension Plans | |
Defined Benefit Plan, Assets, Target Allocations [Abstract] | |
Equity Securities Minimum | 0.00% |
Equity Securities Maximum | 5.00% |
Real Estate | Postretirement Health and Life Plans | |
Defined Benefit Plan, Assets, Target Allocations [Abstract] | |
Equity Securities Minimum | 0.00% |
Equity Securities Maximum | 5.00% |
Other | Qualified Pension Plan | |
Defined Benefit Plan, Assets, Target Allocations [Abstract] | |
Equity Securities Minimum | 0.00% |
Equity Securities Maximum | 5.00% |
Other | Non-U.S. Pension Plans | |
Defined Benefit Plan, Assets, Target Allocations [Abstract] | |
Equity Securities Minimum | 0.00% |
Equity Securities Maximum | 15.00% |
Other | Nonqualified and Other Pension Plans | |
Defined Benefit Plan, Assets, Target Allocations [Abstract] | |
Equity Securities Minimum | 0.00% |
Equity Securities Maximum | 5.00% |
Other | Postretirement Health and Life Plans | |
Defined Benefit Plan, Assets, Target Allocations [Abstract] | |
Equity Securities Minimum | 0.00% |
Equity Securities Maximum | 5.00% |
Employee_Benefit_Plans_Fair_Va
Employee Benefit Plans - Fair Value Measurements (Details) (USD $) | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
In Millions, unless otherwise specified | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair value of plan assets | $24,133 | $23,525 | ||
Level 1 | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair value of plan assets | 13,315 | 12,615 | ||
Level 2 | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair value of plan assets | 9,856 | 10,031 | ||
Level 3 | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair value of plan assets | 962 | 879 | 817 | 739 |
Money market and interest-bearing cash | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair value of plan assets | 3,814 | 2,586 | ||
Money market and interest-bearing cash | Level 1 | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair value of plan assets | 3,814 | 2,586 | ||
Money market and interest-bearing cash | Level 2 | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair value of plan assets | 0 | 0 | ||
Money market and interest-bearing cash | Level 3 | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair value of plan assets | 0 | 0 | ||
Cash and cash equivalent commingled/mutual funds | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair value of plan assets | 4 | 223 | ||
Cash and cash equivalent commingled/mutual funds | Level 1 | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair value of plan assets | 0 | 0 | ||
Cash and cash equivalent commingled/mutual funds | Level 2 | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair value of plan assets | 4 | 223 | ||
Cash and cash equivalent commingled/mutual funds | Level 3 | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair value of plan assets | 0 | 0 | ||
U.S. government and government agency securities | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair value of plan assets | 4,166 | 3,847 | ||
U.S. government and government agency securities | Level 1 | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair value of plan assets | 2,004 | 1,590 | ||
U.S. government and government agency securities | Level 2 | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair value of plan assets | 2,151 | 2,245 | ||
U.S. government and government agency securities | Level 3 | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair value of plan assets | 11 | 12 | 13 | 13 |
Corporate debt securities | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair value of plan assets | 1,454 | 1,233 | ||
Corporate debt securities | Level 1 | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair value of plan assets | 0 | 0 | ||
Corporate debt securities | Level 2 | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair value of plan assets | 1,454 | 1,233 | ||
Corporate debt securities | Level 3 | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair value of plan assets | 0 | 0 | ||
Asset-backed securities | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair value of plan assets | 1,930 | 1,455 | ||
Asset-backed securities | Level 1 | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair value of plan assets | 0 | 0 | ||
Asset-backed securities | Level 2 | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair value of plan assets | 1,930 | 1,455 | ||
Asset-backed securities | Level 3 | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair value of plan assets | 0 | 0 | ||
Non-U.S. debt securities | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair value of plan assets | 1,114 | 1,055 | ||
Non-U.S. debt securities | Level 1 | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair value of plan assets | 627 | 547 | ||
Non-U.S. debt securities | Level 2 | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair value of plan assets | 487 | 502 | ||
Non-U.S. debt securities | Level 3 | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair value of plan assets | 0 | 6 | 10 | 10 |
Fixed income commingled/mutual funds | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair value of plan assets | 1,498 | 1,368 | ||
Fixed income commingled/mutual funds | Level 1 | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair value of plan assets | 101 | 89 | ||
Fixed income commingled/mutual funds | Level 2 | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair value of plan assets | 1,397 | 1,279 | ||
Fixed income commingled/mutual funds | Level 3 | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair value of plan assets | 0 | 0 | ||
Common and preferred equity securities | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair value of plan assets | 6,628 | 7,463 | ||
Common and preferred equity securities | Level 1 | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair value of plan assets | 6,628 | 7,463 | ||
Common and preferred equity securities | Level 2 | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair value of plan assets | 0 | 0 | ||
Common and preferred equity securities | Level 3 | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair value of plan assets | 0 | 0 | ||
Equity commingled/mutual funds | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair value of plan assets | 1,833 | 2,521 | ||
Equity commingled/mutual funds | Level 1 | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair value of plan assets | 16 | 213 | ||
Equity commingled/mutual funds | Level 2 | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair value of plan assets | 1,817 | 2,308 | ||
Equity commingled/mutual funds | Level 3 | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair value of plan assets | 0 | 0 | ||
Public real estate investment trusts | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair value of plan assets | 124 | 127 | ||
Public real estate investment trusts | Level 1 | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair value of plan assets | 124 | 127 | ||
Public real estate investment trusts | Level 2 | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair value of plan assets | 0 | 0 | ||
Public real estate investment trusts | Level 3 | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair value of plan assets | 0 | 0 | ||
Private real estate | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair value of plan assets | 127 | 119 | ||
Private real estate | Level 1 | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair value of plan assets | 0 | 0 | ||
Private real estate | Level 2 | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair value of plan assets | 0 | 0 | ||
Private real estate | Level 3 | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair value of plan assets | 127 | 119 | 110 | 113 |
Real estate commingled/mutual funds | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair value of plan assets | 636 | 469 | ||
Real estate commingled/mutual funds | Level 1 | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair value of plan assets | 0 | 0 | ||
Real estate commingled/mutual funds | Level 2 | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair value of plan assets | 4 | 7 | ||
Real estate commingled/mutual funds | Level 3 | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair value of plan assets | 632 | 462 | 324 | 249 |
Limited partnerships | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair value of plan assets | 187 | 262 | ||
Limited partnerships | Level 1 | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair value of plan assets | 0 | 0 | ||
Limited partnerships | Level 2 | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair value of plan assets | 122 | 117 | ||
Limited partnerships | Level 3 | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair value of plan assets | 65 | 145 | 231 | 232 |
Other investments | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair value of plan assets | 618 | 797 | ||
Other investments | Level 1 | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair value of plan assets | 1 | 0 | ||
Other investments | Level 2 | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair value of plan assets | 490 | 662 | ||
Other investments | Level 3 | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair value of plan assets | 127 | 135 | 129 | 122 |
Interest Rate Swap | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair value of plan assets | 297 | 435 | ||
Participant Loans | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair value of plan assets | 78 | 87 | ||
Commodity and Balanced Funds | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair value of plan assets | 178 | 229 | ||
Other Various Investments | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair value of plan assets | $65 | $46 |
Employee_Benefit_Plans_Fair_Va1
Employee Benefit Plans - Fair Value Measurements Rollforward (Details) (USD $) | 12 Months Ended | ||
In Millions, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Change in fair value of plan assets | |||
Fair value, December 31 | $24,133 | $23,525 | |
U.S. government and government agency securities | |||
Change in fair value of plan assets | |||
Fair value, December 31 | 4,166 | 3,847 | |
Non-U.S. debt securities | |||
Change in fair value of plan assets | |||
Fair value, December 31 | 1,114 | 1,055 | |
Private real estate | |||
Change in fair value of plan assets | |||
Fair value, December 31 | 127 | 119 | |
Real estate commingled/mutual funds | |||
Change in fair value of plan assets | |||
Fair value, December 31 | 636 | 469 | |
Limited partnerships | |||
Change in fair value of plan assets | |||
Fair value, December 31 | 187 | 262 | |
Other investments | |||
Change in fair value of plan assets | |||
Fair value, December 31 | 618 | 797 | |
Level 3 | |||
Change in fair value of plan assets | |||
Fair value, January 1 | 879 | 817 | 739 |
Actual Return on Plan Assets Still Held at the Reporting Date | 31 | 19 | 25 |
Purchases | 159 | 166 | 80 |
Sales and Settlements | -103 | -95 | -28 |
Transfers into/ (out of) Level 3 | -4 | -28 | 1 |
Fair value, December 31 | 962 | 879 | 817 |
Level 3 | U.S. government and government agency securities | |||
Change in fair value of plan assets | |||
Fair value, January 1 | 12 | 13 | 13 |
Actual Return on Plan Assets Still Held at the Reporting Date | 0 | 0 | 0 |
Purchases | 0 | 0 | 0 |
Sales and Settlements | -1 | -1 | 0 |
Transfers into/ (out of) Level 3 | 0 | 0 | 0 |
Fair value, December 31 | 11 | 12 | 13 |
Level 3 | Non-U.S. debt securities | |||
Change in fair value of plan assets | |||
Fair value, January 1 | 6 | 10 | 10 |
Actual Return on Plan Assets Still Held at the Reporting Date | 0 | -2 | -1 |
Purchases | 0 | 0 | 1 |
Sales and Settlements | -2 | -2 | -1 |
Transfers into/ (out of) Level 3 | -4 | 0 | 1 |
Fair value, December 31 | 0 | 6 | 10 |
Level 3 | Private real estate | |||
Change in fair value of plan assets | |||
Fair value, January 1 | 119 | 110 | 113 |
Actual Return on Plan Assets Still Held at the Reporting Date | 5 | 4 | -2 |
Purchases | 5 | 7 | 2 |
Sales and Settlements | -2 | -2 | -3 |
Transfers into/ (out of) Level 3 | 0 | 0 | 0 |
Fair value, December 31 | 127 | 119 | 110 |
Level 3 | Real estate commingled/mutual funds | |||
Change in fair value of plan assets | |||
Fair value, January 1 | 462 | 324 | 249 |
Actual Return on Plan Assets Still Held at the Reporting Date | 20 | 15 | 13 |
Purchases | 150 | 123 | 62 |
Sales and Settlements | 0 | 0 | 0 |
Transfers into/ (out of) Level 3 | 0 | 0 | 0 |
Fair value, December 31 | 632 | 462 | 324 |
Level 3 | Limited partnerships | |||
Change in fair value of plan assets | |||
Fair value, January 1 | 145 | 231 | 232 |
Actual Return on Plan Assets Still Held at the Reporting Date | 5 | 8 | 8 |
Purchases | 3 | 23 | 11 |
Sales and Settlements | -88 | -89 | -20 |
Transfers into/ (out of) Level 3 | 0 | -28 | 0 |
Fair value, December 31 | 65 | 145 | 231 |
Level 3 | Other investments | |||
Change in fair value of plan assets | |||
Fair value, January 1 | 135 | 129 | 122 |
Actual Return on Plan Assets Still Held at the Reporting Date | 1 | -6 | 7 |
Purchases | 1 | 13 | 4 |
Sales and Settlements | -10 | -1 | -4 |
Transfers into/ (out of) Level 3 | 0 | 0 | 0 |
Fair value, December 31 | $127 | $135 | $129 |
Employee_Benefit_Plans_Project
Employee Benefit Plans - Projected Benefit Payments (Details) (USD $) | Dec. 31, 2014 |
In Millions, unless otherwise specified | |
Qualified Pension Plan | |
Defined Benefit Plan, Expected Future Benefit Payments, Fiscal Year Maturity [Abstract] | |
2015 | $921 |
2016 | 908 |
2017 | 900 |
2018 | 899 |
2019 | 895 |
2020 - 2024 | 4,407 |
Non-U.S. Pension Plans | |
Defined Benefit Plan, Expected Future Benefit Payments, Fiscal Year Maturity [Abstract] | |
2015 | 55 |
2016 | 58 |
2017 | 62 |
2018 | 65 |
2019 | 72 |
2020 - 2024 | 449 |
Nonqualified and Other Pension Plans | |
Defined Benefit Plan, Expected Future Benefit Payments, Fiscal Year Maturity [Abstract] | |
2015 | 244 |
2016 | 241 |
2017 | 242 |
2018 | 239 |
2019 | 236 |
2020 - 2024 | 1,136 |
Postretirement Health and Life Plans | |
Defined Benefit Plan, Expected Future Benefit Payments, Fiscal Year Maturity [Abstract] | |
2015 | 130 |
2016 | 126 |
2017 | 122 |
2018 | 117 |
2019 | 111 |
2020 - 2024 | 495 |
Defined Benefit Plan, Expected Future Medicare Subsidy Received, Fiscal Year Maturity [Abstract] | |
2015 | 14 |
2016 | 14 |
2017 | 14 |
2018 | 13 |
2019 | 13 |
2020-2024 | $58 |
Stockbased_Compensation_Plans_1
Stock-based Compensation Plans Stock-based Compensation Plans (Details) (USD $) | 12 Months Ended | ||
Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Share-based compensation expense | $2,300,000,000 | $2,280,000,000 | $2,270,000,000 |
Tax benefit from compensation expense | $854,000,000 | $842,000,000 | $839,000,000 |
Options outstanding (in shares) | 88,087,054 | 122,168,691 | |
Restricted Stock Units (RSUs) | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Number of vesting installments | 3 | ||
Period vesting of restricted stock units begins | 1 year | ||
Stock-settled Restricted Stock and Restricted Stock Units | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Restricted Stock Units, grants in period | 2,064,195 | ||
Restricted Stock Units, outstanding | 29,882,769 | 71,202,751 | |
Key Associate Stock Plan | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Number of shares authorized | 1,100,000,000 | ||
Options outstanding (in shares) | 79,000,000 | ||
Key Associate Stock Plan | Restricted Stock Units (RSUs) | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Restricted Stock Units, grants in period | 133,000,000 | ||
Key Associate Stock Plan | Stock-settled Restricted Stock and Restricted Stock Units | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Restricted Stock Units, grants in period | 2,000,000 | ||
Financial Advisor Capital Accumulation Award Plan [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Period of recognition | 8 years | ||
Financial Advisor Capital Accumulation Award Plan [Member] | Restricted Stock Units (RSUs) | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Restricted Stock Units, outstanding | 5,000,000 |
Stockbased_Compensation_Plans_2
Stock-based Compensation Plans - Restricted Stock Units (Details) (USD $) | 12 Months Ended | ||
Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | |
Weighted-average Grant Date Fair Value (in dollars per share): | |||
Cash Flow Effect, Cash Used to Settle Awards | $1,700,000,000 | $1,400,000,000 | $779,000,000 |
Stock-settled Restricted Stock and Restricted Stock Units | |||
Restricted Stock/Units (in shares); | |||
Outstanding at beginning of period | 71,202,751 | ||
Granted | 2,064,195 | ||
Vested | -42,209,408 | ||
Canceled | -1,174,769 | ||
Outstanding at end of period | 29,882,769 | ||
Weighted-average Grant Date Fair Value (in dollars per share): | |||
Outstanding at beginning of period | $12.05 | ||
Granted | $16.63 | ||
Vested | $14.27 | ||
Canceled | $10.45 | ||
Outstanding at end of period | $9.30 | ||
Restricted Stock and Restricted Stock Units | |||
Weighted-average Grant Date Fair Value (in dollars per share): | |||
Total Unrecognized Compensation Cost | 1,500,000,000 | ||
Total Unrecognized Compensation Cost, Expected Period | 4 years 0 months | ||
Total Unrecognized Compensation Cost, Period for Recognition | 1 year 7 months | ||
Vested in Period, Fair Value | $576,000,000 | $1,000,000,000 | $2,900,000,000 |
Key Associate Stock Plan | Stock-settled Restricted Stock and Restricted Stock Units | |||
Restricted Stock/Units (in shares); | |||
Granted | 2,000,000 | ||
Key Associate Stock Plan | Cash-settled Restricted Stock Units | |||
Restricted Stock/Units (in shares); | |||
Outstanding at beginning of period | 359,928,869 | ||
Granted | 130,956,173 | ||
Vested | -162,061,256 | ||
Canceled | -11,867,351 | ||
Outstanding at end of period | 316,956,435 |
Stockbased_Compensation_Plans_3
Stock-based Compensation Plans - Stock Options (Details) (USD $) | 12 Months Ended |
Dec. 31, 2014 | |
Stock Options (in shares): | |
Outstanding at beginning of period | 122,168,691 |
Forfeited | -34,081,637 |
Outstanding at end of period | 88,087,054 |
Options vested and exercisable at end of period | 88,087,054 |
Weighted-average Exercise Price (in dollars per share): | |
Outstanding at beginning of period | $48.23 |
Forfeited | $46.32 |
Outstanding at end of period | $48.96 |
Options vested and exercisable at end of period | $48.96 |
Aggregate intrinsic value | $0 |
Outstanding, Weighted average remaining contractual term | 1 year 7 months |
Key Associate Stock Plan | |
Stock Options (in shares): | |
Outstanding at end of period | 79,000,000 |
Predecessor Company Plans Assumed In Mergers | |
Stock Options (in shares): | |
Outstanding at end of period | 9,000,000 |
Income_Taxes_Components_of_Inc
Income Taxes - Components of Income Tax Expense (Benefit) (Details) (USD $) | 12 Months Ended | ||
In Millions, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Current income tax expense | |||
U.S. federal | $443 | $180 | $458 |
U.S. state and local | 340 | 786 | 592 |
Non-U.S. | 513 | 513 | 569 |
Total current expense | 1,296 | 1,479 | 1,619 |
Deferred income tax expense (benefit) | |||
U.S. federal | 583 | 2,056 | -3,433 |
U.S. state and local | 85 | -94 | -55 |
Non-U.S. | 58 | 1,300 | 753 |
Deferred Income Tax Expense (Benefit) | 726 | 3,262 | -2,735 |
Total income tax expense (benefit) | $2,022 | $4,741 | ($1,116) |
Income_Taxes_Effective_Income_
Income Taxes - Effective Income Tax Reconciliation (Details) (USD $) | 12 Months Ended | ||
Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | |
Effective Income Tax Rate Reconciliation, Amount [Abstract] | |||
Expected U.S. federal income tax expense | $2,399,000,000 | $5,660,000,000 | $1,075,000,000 |
State tax expense, net of federal benefit | 276,000,000 | 450,000,000 | 349,000,000 |
Affordable housing credits/other credits | -950,000,000 | -863,000,000 | -783,000,000 |
Changes in prior period UTBs, including interest | -741,000,000 | -255,000,000 | -198,000,000 |
Tax-exempt income, including dividends | -533,000,000 | -524,000,000 | -576,000,000 |
Non-U.S. tax rate differential | -507,000,000 | -940,000,000 | -1,968,000,000 |
Nondeductible expenses | 1,982,000,000 | 104,000,000 | 231,000,000 |
Leveraged lease tax differential | 53,000,000 | 26,000,000 | 83,000,000 |
Non-U.S. statutory rate reductions | 0 | 1,133,000,000 | 788,000,000 |
Other | 43,000,000 | -50,000,000 | -117,000,000 |
Total income tax expense (benefit) | 2,022,000,000 | 4,741,000,000 | -1,116,000,000 |
Effective Income Tax Rate Reconciliation, Percent [Abstract] | |||
Expected U.S. federal income tax expense | 35.00% | 35.00% | 35.00% |
State tax expense, net of federal benefit | 4.00% | 2.80% | 11.40% |
Affordable housing credits/other credits | -13.80% | -5.30% | -25.50% |
Changes in prior period UTBs, including interest | -10.80% | -1.60% | -6.40% |
Tax-exempt income, including dividends | -7.80% | -3.20% | -18.80% |
Non-U.S. tax rate differential | -7.40% | -5.80% | -64.10% |
Nondeductible expenses | 28.90% | 0.60% | 7.50% |
Leveraged lease tax differential | 0.80% | 0.20% | 2.70% |
Non-U.S. statutory rate reductions | 0.00% | 7.00% | 25.70% |
Other | 0.60% | -0.40% | -3.80% |
Total income tax expense (benefit) | 29.50% | 29.30% | -36.30% |
Repatriation of foreign earnings amount | ($1,700,000,000) |
Income_Taxes_Reconciliation_of
Income Taxes - Reconciliation of the Change in Unrecognized Tax Benefits (Details) (USD $) | 12 Months Ended | ||
In Millions, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Reconciliation of Unrecognized Tax Benefits, Excluding Amounts Pertaining to Examined Tax Returns [Roll Forward] | |||
Balance, January 1 | $3,068 | $3,677 | $4,203 |
Increases related to positions taken during the current year | 75 | 98 | 352 |
Increases related to positions taken during prior years | 519 | 254 | 142 |
Decreases related to positions taken during prior years | -973 | -508 | -711 |
Settlements | -1,594 | -448 | -205 |
Expiration of statute of limitations | -27 | -5 | -104 |
Balance, December 31 | 1,068 | 3,068 | 3,677 |
Changes in prior period UTBs, including interest | ($741) | ($255) | ($198) |
Income_Taxes_Deferred_Tax_Asse
Income Taxes - Deferred Tax Assets and Deferred Tax Liabilities (Details) (USD $) | Dec. 31, 2014 | Dec. 31, 2013 |
In Millions, unless otherwise specified | ||
Deferred tax assets | ||
Net operating loss carryforwards | $9,787 | $10,967 |
Accrued expenses | 5,916 | 6,749 |
Tax credit carryforwards | 5,614 | 9,689 |
Security, loan and debt valuations | 5,190 | 4,264 |
Allowance for credit losses | 5,047 | 6,100 |
Employee compensation and retirement benefits | 3,665 | 2,729 |
State income taxes | 2,034 | 2,643 |
Available-for-sale securities | 0 | 1,918 |
Other | 1,688 | 722 |
Gross deferred tax assets | 38,941 | 45,781 |
Valuation allowance | -1,111 | -1,940 |
Total deferred tax assets, net of valuation allowance | 37,830 | 43,841 |
Deferred tax liabilities | ||
Equipment lease financing | 2,880 | 3,106 |
Intangibles | 1,349 | 1,529 |
Mortgage servicing rights | 1,041 | 1,547 |
Available-for-sale securities | 828 | 0 |
Fee income | 816 | 798 |
Long-term borrowings | 587 | 3,033 |
Other | 2,075 | 1,472 |
Gross deferred tax liabilities | 9,576 | 11,485 |
Net deferred tax assets | $28,254 | $32,356 |
Income_Taxes_Net_Operating_Los
Income Taxes - Net Operating Loss and Tax Credit Carryforwards (Details) (USD $) | 12 Months Ended | |
Dec. 31, 2014 | Dec. 31, 2013 | |
Operating Loss Carryforwards [Line Items] | ||
Deferred Tax Asset | $9,787,000,000 | $10,967,000,000 |
Net operating losses before benefit of federal deductions | 1,800,000,000 | |
Valuation allowance before considering benefit of federal deductions | 708,000,000 | |
Net operating losses – U.S. | ||
Operating Loss Carryforwards [Line Items] | ||
Deferred Tax Asset | 3,065,000,000 | |
Valuation Allowance | 0 | |
Net Deferred Tax Asset | 3,065,000,000 | |
Net operating losses – U.K. and other | ||
Operating Loss Carryforwards [Line Items] | ||
Deferred Tax Asset | 446,000,000 | |
Valuation Allowance | -316,000,000 | |
Net Deferred Tax Asset | 130,000,000 | |
Net operating losses – U.S. states | ||
Operating Loss Carryforwards [Line Items] | ||
Deferred Tax Asset | 1,168,000,000 | |
Valuation Allowance | -460,000,000 | |
Net Deferred Tax Asset | 708,000,000 | |
UNITED KINGDOM | Net operating losses – U.K. and other | ||
Operating Loss Carryforwards [Line Items] | ||
Deferred Tax Asset | 6,276,000,000 | |
Valuation Allowance | 0 | |
Net Deferred Tax Asset | 6,276,000,000 | |
General business credits | ||
Tax Credit Carryforward [Line Items] | ||
Deferred Tax Asset | 3,383,000,000 | |
Valuation Allowance | 0 | |
Net Deferred Tax Asset | 3,383,000,000 | |
Foreign tax credits | ||
Tax Credit Carryforward [Line Items] | ||
Deferred Tax Asset | 2,231,000,000 | |
Valuation Allowance | -68,000,000 | |
Net Deferred Tax Asset | $2,163,000,000 |
Income_Taxes_Narrative_Details
Income Taxes - Narrative (Details) (USD $) | 12 Months Ended | ||
Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | |
Jurisdiction | |||
Income Tax Disclosure [Abstract] | |||
Other comprehensive income (loss), tax | ($3,371,000,000) | $2,740,000,000 | ($1,342,000,000) |
Tax effect on common stock and additional paid in capital from employee stock purchase plan activity | -35,000,000 | -128,000,000 | -277,000,000 |
Unrecognized tax benefits that would impact effective rate | 700,000,000 | 2,500,000,000 | 3,100,000,000 |
Number of jurisdictions for filing income tax returns (more than) | 100 | ||
Unrecognized tax benefits is reasonable possible, amount of unrecorded benefit | -400,000,000 | ||
Penalties and interest expense | -196,000,000 | 127,000,000 | 99,000,000 |
Penalties and interest accured | 455,000,000 | 888,000,000 | |
Undistributed earnings of foreign subsidiaries | 17,200,000,000 | ||
Deferred tax liabilities, undistributed foreign earnings | $4,500,000,000 |
Fair_Value_Measurements_Recurr
Fair Value Measurements - Recurring Fair Value (Details) (USD $) | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
In Millions, unless otherwise specified | |||
Financial assets | |||
Federal funds sold and securities borrowed or purchased under agreements to resell | $62,182 | $68,656 | |
Trading account assets | 191,785 | 200,993 | |
Gross Derivative Assets | 984,800 | 920,300 | |
Derivative assets | 52,682 | 47,495 | |
Total available-for-sale debt securities | 284,274 | 235,951 | |
Other debt securities carried at fair value | 36,421 | 32,844 | |
Loans and leases | 8,681 | 10,042 | |
Mortgage servicing rights | 3,530 | 5,042 | 5,716 |
Loans held-for-sale | 6,801 | 6,656 | |
Other assets | 13,873 | 18,055 | |
Liabilities | |||
Interest-bearing deposits in U.S. offices | 1,469 | 1,899 | |
Federal funds purchased and securities loaned or sold under agreements to repurchase, measured at fair value | 35,357 | 26,500 | |
Gross Derivative Liabilities | 981,800 | 906,400 | |
Derivative Liability | 46,909 | 37,407 | |
Short-term borrowings | 2,697 | 1,520 | |
Long-term debt | 36,404 | 47,035 | |
Assets and Liabilities, Recurring Basis, Supplemental Information: | |||
Assets transferred from Level 1 to Level 2 | 4,100 | 500 | |
Liabilities transferred from Level 1 to Level 2 | 570 | ||
U.S. government and government agency securities | |||
Financial assets | |||
Total available-for-sale debt securities | 69,595 | 8,954 | |
Other debt securities carried at fair value | 1,541 | 4,062 | |
Agency | |||
Financial assets | |||
Total available-for-sale debt securities | 165,039 | 164,935 | |
Other debt securities carried at fair value | 15,704 | 16,500 | |
Agency-collateralized mortgage obligations | |||
Financial assets | |||
Total available-for-sale debt securities | 14,248 | 22,492 | |
Other debt securities carried at fair value | 0 | 218 | |
Non-agency residential | |||
Financial assets | |||
Total available-for-sale debt securities | 4,454 | 6,239 | |
Other debt securities carried at fair value | 3,745 | 0 | |
Commercial | |||
Financial assets | |||
Total available-for-sale debt securities | 4,000 | 2,480 | |
Other debt securities carried at fair value | 0 | 749 | |
Other taxable securities | |||
Financial assets | |||
Total available-for-sale debt securities | 10,791 | 16,830 | |
Other debt securities carried at fair value | 299 | 0 | |
Tax-exempt securities | |||
Financial assets | |||
Total available-for-sale debt securities | 9,549 | 5,928 | |
US Government-sponsored Enterprises Debt Securities | |||
Financial assets | |||
Trading account assets | 17,200 | 15,600 | |
Recurring | |||
Financial assets | |||
Federal funds sold and securities borrowed or purchased under agreements to resell | 62,182 | 68,656 | |
Trading account assets | 191,785 | 200,993 | |
Netting adjustments | -932,103 | -872,758 | |
Derivative assets | 52,682 | 47,495 | |
Total available-for-sale debt securities | 284,274 | 235,951 | |
Other debt securities carried at fair value | 36,421 | 32,844 | |
Loans and leases | 8,681 | 10,042 | |
Mortgage servicing rights | 3,530 | 5,042 | |
Loans held-for-sale | 6,801 | 6,656 | |
Other assets | 13,873 | 18,055 | |
Total assets | 660,229 | 625,734 | |
Liabilities | |||
Interest-bearing deposits in U.S. offices | 1,469 | 1,899 | |
Federal funds purchased and securities loaned or sold under agreements to repurchase, measured at fair value | 35,357 | 26,500 | |
Total trading account liabilities | 74,192 | 83,469 | |
Netting adjustment | -934,857 | -868,969 | |
Derivative Liability | 46,909 | 37,407 | |
Short-term borrowings | 2,697 | 1,520 | |
Accrued expenses and other liabilities | 12,055 | 11,233 | |
Long-term debt | 36,404 | 47,035 | |
Total liabilities | 209,083 | 209,063 | |
Recurring | U.S. government and agency securities | |||
Financial assets | |||
Trading account assets | 51,019 | 48,847 | |
Liabilities | |||
Total trading account liabilities | 18,960 | 27,263 | |
Recurring | Corporate securities, trading loans and other | |||
Financial assets | |||
Trading account assets | 35,212 | 32,452 | |
Liabilities | |||
Total trading account liabilities | 7,169 | 6,479 | |
Recurring | Equity securities | |||
Financial assets | |||
Trading account assets | 56,358 | 64,451 | |
Liabilities | |||
Total trading account liabilities | 28,349 | 27,585 | |
Recurring | Non-U.S. sovereign debt | |||
Financial assets | |||
Trading account assets | 36,254 | 37,224 | |
Liabilities | |||
Total trading account liabilities | 19,714 | 22,142 | |
Recurring | Mortgage trading loans and ABS | |||
Financial assets | |||
Trading account assets | 12,942 | 18,019 | |
Recurring | U.S. government and government agency securities | |||
Financial assets | |||
Total available-for-sale debt securities | 69,595 | 8,954 | |
Other debt securities carried at fair value | 1,541 | 4,062 | |
Recurring | Agency | |||
Financial assets | |||
Total available-for-sale debt securities | 165,039 | 164,935 | |
Other debt securities carried at fair value | 15,704 | 16,500 | |
Recurring | Agency-collateralized mortgage obligations | |||
Financial assets | |||
Total available-for-sale debt securities | 14,248 | 22,492 | |
Other debt securities carried at fair value | 218 | ||
Recurring | Non-agency residential | |||
Financial assets | |||
Total available-for-sale debt securities | 4,454 | 6,239 | |
Other debt securities carried at fair value | 3,745 | ||
Recurring | Commercial | |||
Financial assets | |||
Total available-for-sale debt securities | 4,000 | 2,480 | |
Other debt securities carried at fair value | 749 | ||
Recurring | Non-U.S. securities | |||
Financial assets | |||
Total available-for-sale debt securities | 6,230 | 7,220 | |
Other debt securities carried at fair value | 15,132 | 11,315 | |
Recurring | Corporate/Agency bonds | |||
Financial assets | |||
Total available-for-sale debt securities | 368 | 873 | |
Recurring | Other taxable securities | |||
Financial assets | |||
Total available-for-sale debt securities | 10,791 | 16,830 | |
Other debt securities carried at fair value | 299 | ||
Recurring | Tax-exempt securities | |||
Financial assets | |||
Total available-for-sale debt securities | 9,549 | 5,928 | |
Recurring | Level 1 | |||
Financial assets | |||
Federal funds sold and securities borrowed or purchased under agreements to resell | 0 | 0 | |
Trading account assets | 87,579 | 101,050 | |
Gross Derivative Assets | 4,957 | 2,374 | |
Total available-for-sale debt securities | 70,624 | 10,309 | |
Other debt securities carried at fair value | 14,811 | 11,519 | |
Loans and leases | 0 | 0 | |
Mortgage servicing rights | 0 | 0 | |
Loans held-for-sale | 0 | 0 | |
Other assets | 11,581 | 14,474 | |
Total assets | 189,552 | 139,726 | |
Liabilities | |||
Interest-bearing deposits in U.S. offices | 0 | 0 | |
Federal funds purchased and securities loaned or sold under agreements to repurchase, measured at fair value | 0 | 0 | |
Total trading account liabilities | 59,471 | 72,062 | |
Gross Derivative Liabilities | 4,493 | 1,968 | |
Short-term borrowings | 0 | 0 | |
Accrued expenses and other liabilities | 10,795 | 10,130 | |
Long-term debt | 0 | 0 | |
Total liabilities | 74,759 | 84,160 | |
Recurring | Level 1 | U.S. government and agency securities | |||
Financial assets | |||
Trading account assets | 33,470 | 34,222 | |
Liabilities | |||
Total trading account liabilities | 18,514 | 26,915 | |
Recurring | Level 1 | Corporate securities, trading loans and other | |||
Financial assets | |||
Trading account assets | 243 | 1,147 | |
Liabilities | |||
Total trading account liabilities | 189 | 518 | |
Recurring | Level 1 | Equity securities | |||
Financial assets | |||
Trading account assets | 33,518 | 41,324 | |
Liabilities | |||
Total trading account liabilities | 24,679 | 23,874 | |
Recurring | Level 1 | Non-U.S. sovereign debt | |||
Financial assets | |||
Trading account assets | 20,348 | 24,357 | |
Liabilities | |||
Total trading account liabilities | 16,089 | 20,755 | |
Recurring | Level 1 | U.S. government and government agency securities | |||
Financial assets | |||
Total available-for-sale debt securities | 67,413 | 6,591 | |
Other debt securities carried at fair value | 1,541 | 4,062 | |
Recurring | Level 1 | Agency | |||
Financial assets | |||
Total available-for-sale debt securities | 0 | 0 | |
Other debt securities carried at fair value | 0 | 0 | |
Recurring | Level 1 | Agency-collateralized mortgage obligations | |||
Financial assets | |||
Total available-for-sale debt securities | 0 | 0 | |
Other debt securities carried at fair value | 0 | ||
Recurring | Level 1 | Non-agency residential | |||
Financial assets | |||
Total available-for-sale debt securities | 0 | 0 | |
Other debt securities carried at fair value | 0 | ||
Recurring | Level 1 | Commercial | |||
Financial assets | |||
Total available-for-sale debt securities | 0 | 0 | |
Other debt securities carried at fair value | 0 | ||
Recurring | Level 1 | Non-U.S. securities | |||
Financial assets | |||
Total available-for-sale debt securities | 3,191 | 3,698 | |
Other debt securities carried at fair value | 13,270 | 7,457 | |
Recurring | Level 1 | Corporate/Agency bonds | |||
Financial assets | |||
Total available-for-sale debt securities | 0 | 0 | |
Recurring | Level 1 | Other taxable securities | |||
Financial assets | |||
Total available-for-sale debt securities | 20 | 20 | |
Other debt securities carried at fair value | 0 | ||
Recurring | Level 1 | Tax-exempt securities | |||
Financial assets | |||
Total available-for-sale debt securities | 0 | 0 | |
Recurring | Level 2 | |||
Financial assets | |||
Federal funds sold and securities borrowed or purchased under agreements to resell | 62,182 | 68,656 | |
Trading account assets | 97,947 | 90,899 | |
Gross Derivative Assets | 972,977 | 910,602 | |
Total available-for-sale debt securities | 211,095 | 220,882 | |
Other debt securities carried at fair value | 21,610 | 21,325 | |
Loans and leases | 6,698 | 6,985 | |
Mortgage servicing rights | 0 | ||
Loans held-for-sale | 6,628 | 5,727 | |
Other assets | 1,381 | 1,912 | |
Total assets | 1,380,518 | 1,326,988 | |
Liabilities | |||
Interest-bearing deposits in U.S. offices | 1,469 | 1,899 | |
Federal funds purchased and securities loaned or sold under agreements to repurchase, measured at fair value | 35,357 | 26,500 | |
Total trading account liabilities | 14,685 | 11,372 | |
Gross Derivative Liabilities | 969,502 | 896,907 | |
Short-term borrowings | 2,697 | 1,520 | |
Accrued expenses and other liabilities | 1,250 | 1,093 | |
Long-term debt | 34,042 | 45,045 | |
Total liabilities | 1,059,002 | 984,336 | |
Recurring | Level 2 | U.S. government and agency securities | |||
Financial assets | |||
Trading account assets | 17,549 | 14,625 | |
Liabilities | |||
Total trading account liabilities | 446 | 348 | |
Recurring | Level 2 | Corporate securities, trading loans and other | |||
Financial assets | |||
Trading account assets | 31,699 | 27,746 | |
Liabilities | |||
Total trading account liabilities | 6,944 | 5,926 | |
Recurring | Level 2 | Equity securities | |||
Financial assets | |||
Trading account assets | 22,488 | 22,741 | |
Liabilities | |||
Total trading account liabilities | 3,670 | 3,711 | |
Recurring | Level 2 | Non-U.S. sovereign debt | |||
Financial assets | |||
Trading account assets | 15,332 | 12,399 | |
Liabilities | |||
Total trading account liabilities | 3,625 | 1,387 | |
Recurring | Level 2 | Mortgage trading loans and ABS | |||
Financial assets | |||
Trading account assets | 10,879 | 13,388 | |
Recurring | Level 2 | U.S. government and government agency securities | |||
Financial assets | |||
Total available-for-sale debt securities | 2,182 | 2,363 | |
Other debt securities carried at fair value | 0 | ||
Recurring | Level 2 | Agency | |||
Financial assets | |||
Total available-for-sale debt securities | 165,039 | 164,935 | |
Other debt securities carried at fair value | 15,704 | 16,500 | |
Recurring | Level 2 | Agency-collateralized mortgage obligations | |||
Financial assets | |||
Total available-for-sale debt securities | 14,248 | 22,492 | |
Other debt securities carried at fair value | 218 | ||
Recurring | Level 2 | Non-agency residential | |||
Financial assets | |||
Total available-for-sale debt securities | 4,175 | 6,239 | |
Other debt securities carried at fair value | 3,745 | ||
Recurring | Level 2 | Commercial | |||
Financial assets | |||
Total available-for-sale debt securities | 4,000 | 2,480 | |
Other debt securities carried at fair value | 749 | ||
Recurring | Level 2 | Non-U.S. securities | |||
Financial assets | |||
Total available-for-sale debt securities | 3,029 | 3,415 | |
Other debt securities carried at fair value | 1,862 | 3,858 | |
Recurring | Level 2 | Corporate/Agency bonds | |||
Financial assets | |||
Total available-for-sale debt securities | 368 | 873 | |
Recurring | Level 2 | Other taxable securities | |||
Financial assets | |||
Total available-for-sale debt securities | 9,104 | 12,963 | |
Other debt securities carried at fair value | 299 | ||
Recurring | Level 2 | Tax-exempt securities | |||
Financial assets | |||
Total available-for-sale debt securities | 8,950 | 5,122 | |
Recurring | Level 3 | |||
Financial assets | |||
Federal funds sold and securities borrowed or purchased under agreements to resell | 0 | 0 | |
Trading account assets | 6,259 | 9,044 | |
Gross Derivative Assets | 6,851 | 7,277 | 8,100 |
Total available-for-sale debt securities | 2,555 | 4,760 | |
Other debt securities carried at fair value | 0 | ||
Loans and leases | 1,983 | 3,057 | |
Mortgage servicing rights | 3,530 | 5,042 | |
Loans held-for-sale | 173 | 929 | |
Other assets | 911 | 1,669 | |
Total assets | 22,262 | 31,778 | |
Liabilities | |||
Interest-bearing deposits in U.S. offices | 0 | 0 | |
Federal funds purchased and securities loaned or sold under agreements to repurchase, measured at fair value | 0 | 0 | |
Total trading account liabilities | 36 | 35 | |
Gross Derivative Liabilities | 7,771 | 7,501 | 6,600 |
Short-term borrowings | 0 | 0 | |
Accrued expenses and other liabilities | 10 | 10 | |
Long-term debt | 2,362 | 1,990 | |
Total liabilities | 10,179 | 9,536 | |
Recurring | Level 3 | U.S. government and agency securities | |||
Financial assets | |||
Trading account assets | 0 | 0 | |
Liabilities | |||
Total trading account liabilities | 0 | ||
Recurring | Level 3 | Corporate securities, trading loans and other | |||
Financial assets | |||
Trading account assets | 3,270 | 3,559 | |
Total assets | 3,300 | 3,600 | |
Liabilities | |||
Total trading account liabilities | 36 | 35 | |
Recurring | Level 3 | Equity securities | |||
Financial assets | |||
Trading account assets | 352 | 386 | |
Liabilities | |||
Total trading account liabilities | 0 | ||
Recurring | Level 3 | Non-U.S. sovereign debt | |||
Financial assets | |||
Trading account assets | 574 | 468 | |
Total assets | 574 | 468 | |
Liabilities | |||
Total trading account liabilities | 0 | ||
Recurring | Level 3 | Mortgage trading loans and ABS | |||
Financial assets | |||
Trading account assets | 2,063 | 4,631 | |
Total assets | 2,100 | 4,600 | |
Recurring | Level 3 | U.S. government and government agency securities | |||
Financial assets | |||
Total available-for-sale debt securities | 0 | 0 | |
Other debt securities carried at fair value | 0 | ||
Recurring | Level 3 | Agency | |||
Financial assets | |||
Total available-for-sale debt securities | 0 | 0 | |
Other debt securities carried at fair value | 0 | 0 | |
Recurring | Level 3 | Agency-collateralized mortgage obligations | |||
Financial assets | |||
Total available-for-sale debt securities | 0 | ||
Other debt securities carried at fair value | 0 | ||
Recurring | Level 3 | Non-agency residential | |||
Financial assets | |||
Total available-for-sale debt securities | 279 | 0 | |
Other debt securities carried at fair value | 0 | ||
Recurring | Level 3 | Commercial | |||
Financial assets | |||
Total available-for-sale debt securities | 0 | 0 | |
Other debt securities carried at fair value | 0 | ||
Recurring | Level 3 | Non-U.S. securities | |||
Financial assets | |||
Total available-for-sale debt securities | 10 | 107 | |
Other debt securities carried at fair value | 0 | 0 | |
Recurring | Level 3 | Corporate/Agency bonds | |||
Financial assets | |||
Total available-for-sale debt securities | 0 | 0 | |
Recurring | Level 3 | Other taxable securities | |||
Financial assets | |||
Total available-for-sale debt securities | 1,667 | 3,847 | |
Other debt securities carried at fair value | 0 | ||
Total assets | 1,700 | 3,800 | |
Recurring | Level 3 | Tax-exempt securities | |||
Financial assets | |||
Total available-for-sale debt securities | 599 | 806 | |
Total assets | $599 | $806 |
Fair_Value_Measurements_Reconc
Fair Value Measurements - Reconciliation (Details) (USD $) | 12 Months Ended | ||
In Millions, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Fair Value, Net Derivative Asset (Liability) Measured on Recurring Basis, Unobservable Input Reconciliation [Roll Forward] | |||
Balance, beginning | ($224) | $1,468 | $5,866 |
Gains (Losses) in Earnings | 463 | -304 | -221 |
Gains (Losses) in OCI | 0 | 0 | 0 |
Purchases | 823 | 824 | 893 |
Sales | -1,738 | -1,467 | -1,012 |
Issuances | 0 | 0 | 0 |
Settlements | -432 | -1,362 | -3,328 |
Gross Transfers into Level 3 | 28 | -10 | -269 |
Gross Transfers out of Level 3 | 160 | 627 | -461 |
Balance, ending | -920 | -224 | 1,468 |
Fair Value, Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward] | |||
Transfers between asset classes | 900 | ||
Fair Value, Net Derivative Asset (Liability) Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |||
Gross Derivative Assets | 984,800 | 920,300 | |
Gross Derivative Liabilities | 981,800 | 906,400 | |
Level 3 | Recurring | |||
Fair Value, Net Derivative Asset (Liability) Measured on Recurring Basis, Unobservable Input Reconciliation [Roll Forward] | |||
Balance, ending | -920 | -224 | |
Fair Value, Net Derivative Asset (Liability) Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |||
Gross Derivative Assets | 6,851 | 7,277 | 8,100 |
Gross Derivative Liabilities | 7,771 | 7,501 | 6,600 |
Corporate securities, trading loans and other | |||
Fair Value, Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward] | |||
Balance, beginning | -35 | -64 | -114 |
Gains (Losses) in Earnings | 1 | 10 | 4 |
Gains (Losses) in OCI | 0 | 0 | 0 |
Purchases | 10 | 43 | 116 |
Sales | -13 | -54 | -136 |
Issuances | 0 | -5 | 0 |
Settlements | 0 | 0 | 80 |
Gross Transfers into Level 3 | -9 | -9 | -68 |
Gross Transfers out of Level 3 | 10 | 44 | 54 |
Balance, ending | -36 | -35 | -64 |
Short-term borrowings | |||
Fair Value, Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward] | |||
Balance, beginning | 0 | ||
Gains (Losses) in Earnings | 0 | ||
Gains (Losses) in OCI | 0 | ||
Purchases | 0 | ||
Sales | 0 | ||
Issuances | -232 | ||
Settlements | 232 | ||
Gross Transfers into Level 3 | 0 | ||
Gross Transfers out of Level 3 | 0 | ||
Balance, ending | 0 | ||
Accrued expenses and other liabilities | |||
Fair Value, Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward] | |||
Balance, beginning | -10 | -15 | -14 |
Gains (Losses) in Earnings | 2 | 30 | -4 |
Gains (Losses) in OCI | 0 | 0 | 0 |
Purchases | 0 | 0 | 8 |
Sales | 0 | 0 | 0 |
Issuances | -3 | -751 | -9 |
Settlements | 0 | 724 | 0 |
Gross Transfers into Level 3 | 0 | -1 | 0 |
Gross Transfers out of Level 3 | 1 | 3 | 4 |
Balance, ending | -10 | -10 | -15 |
Long-term debt | |||
Fair Value, Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward] | |||
Balance, beginning | -1,990 | -2,301 | -2,943 |
Gains (Losses) in Earnings | 49 | 13 | -307 |
Gains (Losses) in OCI | 0 | 0 | 0 |
Purchases | 169 | 358 | 290 |
Sales | 0 | -4 | -33 |
Issuances | -615 | -172 | -259 |
Settlements | 540 | 258 | 1,239 |
Gross Transfers into Level 3 | -1,581 | -1,331 | -2,040 |
Gross Transfers out of Level 3 | 1,066 | 1,189 | 1,752 |
Balance, ending | -2,362 | -1,990 | -2,301 |
U.S. government and agency securities | |||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward] | |||
Balance, beginning | 0 | ||
Gains (Losses) in Earnings | 0 | ||
Gains (Losses) in OCI | 0 | ||
Purchases | 87 | ||
Sales | -87 | ||
Issuances | 0 | ||
Settlements | 0 | ||
Gross Transfers into Level 3 | 0 | ||
Gross Transfers out of Level 3 | 0 | ||
Balance, ending | 0 | ||
Corporate securities, trading loans and other | |||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward] | |||
Balance, beginning | 3,559 | 3,726 | 6,880 |
Gains (Losses) in Earnings | 180 | 242 | 195 |
Gains (Losses) in OCI | 0 | 0 | 0 |
Purchases | 1,675 | 3,848 | 2,798 |
Sales | -857 | -3,110 | -4,556 |
Issuances | 0 | 59 | 0 |
Settlements | -938 | -651 | -1,077 |
Gross Transfers into Level 3 | 1,275 | 890 | 436 |
Gross Transfers out of Level 3 | -1,624 | -1,445 | -950 |
Balance, ending | 3,270 | 3,559 | 3,726 |
Equity securities | |||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward] | |||
Balance, beginning | 386 | 545 | 544 |
Gains (Losses) in Earnings | 0 | 74 | 31 |
Gains (Losses) in OCI | 0 | 0 | 0 |
Purchases | 104 | 96 | 201 |
Sales | -86 | -175 | -271 |
Issuances | 0 | 0 | 0 |
Settlements | -16 | -100 | 27 |
Gross Transfers into Level 3 | 146 | 70 | 90 |
Gross Transfers out of Level 3 | -182 | -124 | -77 |
Balance, ending | 352 | 386 | 545 |
Non-U.S. sovereign debt | |||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward] | |||
Balance, beginning | 468 | 353 | 342 |
Gains (Losses) in Earnings | 30 | 50 | 8 |
Gains (Losses) in OCI | 0 | 0 | 0 |
Purchases | 120 | 122 | 388 |
Sales | -34 | -18 | -359 |
Issuances | 0 | 0 | 0 |
Settlements | -19 | -36 | -5 |
Gross Transfers into Level 3 | 11 | 2 | 0 |
Gross Transfers out of Level 3 | -2 | -5 | -21 |
Balance, ending | 574 | 468 | 353 |
Mortgage trading loans and ABS | |||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward] | |||
Balance, beginning | 4,631 | 4,935 | 3,689 |
Gains (Losses) in Earnings | 199 | 53 | 215 |
Gains (Losses) in OCI | 0 | 0 | 0 |
Purchases | 1,643 | 2,514 | 2,574 |
Sales | -1,259 | -1,993 | -1,536 |
Issuances | 0 | 0 | 0 |
Settlements | -585 | -868 | -678 |
Gross Transfers into Level 3 | 39 | 20 | 844 |
Gross Transfers out of Level 3 | -2,605 | -30 | -173 |
Balance, ending | 2,063 | 4,631 | 4,935 |
Trading Securities | |||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward] | |||
Balance, beginning | 9,044 | 9,559 | 11,455 |
Gains (Losses) in Earnings | 409 | 419 | 449 |
Gains (Losses) in OCI | 0 | 0 | 0 |
Purchases | 3,629 | 6,580 | 5,961 |
Sales | -2,323 | -5,296 | -6,722 |
Issuances | 0 | 59 | 0 |
Settlements | -1,558 | -1,655 | -1,733 |
Gross Transfers into Level 3 | 1,471 | 982 | 1,370 |
Gross Transfers out of Level 3 | -4,413 | -1,604 | -1,221 |
Balance, ending | 6,259 | 9,044 | 9,559 |
Agency | |||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward] | |||
Balance, beginning | 37 | ||
Gains (Losses) in Earnings | 0 | ||
Gains (Losses) in OCI | 0 | ||
Purchases | 0 | ||
Sales | 0 | ||
Issuances | 0 | ||
Settlements | -4 | ||
Gross Transfers into Level 3 | 0 | ||
Gross Transfers out of Level 3 | -33 | ||
Balance, ending | 0 | ||
Non-agency residential | |||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward] | |||
Balance, beginning | 0 | 860 | |
Gains (Losses) in Earnings | -2 | -69 | |
Gains (Losses) in OCI | 0 | 19 | |
Purchases | 11 | 0 | |
Sales | 0 | -306 | |
Issuances | 0 | 0 | |
Settlements | 0 | -2 | |
Gross Transfers into Level 3 | 270 | 0 | |
Gross Transfers out of Level 3 | 0 | -502 | |
Balance, ending | 279 | 0 | |
Commercial | |||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward] | |||
Balance, beginning | 10 | 40 | |
Gains (Losses) in Earnings | 0 | 0 | |
Gains (Losses) in OCI | 0 | 0 | |
Purchases | 0 | 0 | |
Sales | 0 | -24 | |
Issuances | 0 | 0 | |
Settlements | -10 | -6 | |
Gross Transfers into Level 3 | 0 | 0 | |
Gross Transfers out of Level 3 | 0 | 0 | |
Balance, ending | 0 | 10 | |
Non-U.S. securities | |||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward] | |||
Balance, beginning | 107 | 0 | |
Gains (Losses) in Earnings | -7 | 5 | |
Gains (Losses) in OCI | -11 | 2 | |
Purchases | 241 | 1 | |
Sales | 0 | -1 | |
Issuances | 0 | 0 | |
Settlements | -147 | 0 | |
Gross Transfers into Level 3 | 0 | 100 | |
Gross Transfers out of Level 3 | -173 | 0 | |
Balance, ending | 10 | 107 | |
Corporate/Agency bonds | |||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward] | |||
Balance, beginning | 0 | 92 | 162 |
Gains (Losses) in Earnings | 0 | 0 | -2 |
Gains (Losses) in OCI | 0 | 4 | 0 |
Purchases | 0 | 0 | -2 |
Sales | 0 | 0 | 0 |
Issuances | 0 | 0 | 0 |
Settlements | 0 | 0 | -39 |
Gross Transfers into Level 3 | 93 | 0 | 0 |
Gross Transfers out of Level 3 | -93 | -96 | -27 |
Balance, ending | 0 | 0 | 92 |
Other taxable securities, substantially all asset-backed securities | |||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward] | |||
Balance, beginning | 3,847 | 3,928 | 4,265 |
Gains (Losses) in Earnings | 9 | 9 | 23 |
Gains (Losses) in OCI | -8 | 15 | 26 |
Purchases | 154 | 1,055 | 3,196 |
Sales | 0 | 0 | -28 |
Issuances | 0 | 0 | 0 |
Settlements | -1,381 | -1,155 | -3,345 |
Gross Transfers into Level 3 | 0 | 0 | 0 |
Gross Transfers out of Level 3 | -954 | -5 | -209 |
Balance, ending | 1,667 | 3,847 | 3,928 |
Tax-exempt securities | |||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward] | |||
Balance, beginning | 806 | 1,061 | 2,648 |
Gains (Losses) in Earnings | 8 | 3 | 61 |
Gains (Losses) in OCI | 0 | 19 | 20 |
Purchases | 0 | 0 | 0 |
Sales | -16 | 0 | -133 |
Issuances | 0 | 0 | 0 |
Settlements | -235 | -109 | -1,535 |
Gross Transfers into Level 3 | 36 | 0 | 0 |
Gross Transfers out of Level 3 | -168 | 0 | |
Balance, ending | 599 | 806 | 1,061 |
Available-for-sale Securities | |||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward] | |||
Balance, beginning | 4,760 | 5,091 | 8,012 |
Gains (Losses) in Earnings | 8 | 17 | 13 |
Gains (Losses) in OCI | -19 | 40 | 65 |
Purchases | 406 | 1,056 | 3,194 |
Sales | -16 | -1 | -491 |
Issuances | 0 | 0 | 0 |
Settlements | -1,763 | -1,274 | -4,931 |
Gross Transfers into Level 3 | 399 | 100 | 0 |
Gross Transfers out of Level 3 | -1,220 | -269 | -771 |
Balance, ending | 2,555 | 4,760 | 5,091 |
Loans and leases | |||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward] | |||
Balance, beginning | 3,057 | 2,287 | 2,744 |
Gains (Losses) in Earnings | 69 | 98 | 334 |
Gains (Losses) in OCI | 0 | 0 | 0 |
Purchases | 0 | 310 | 564 |
Sales | -3 | -128 | -1,520 |
Issuances | 699 | 1,252 | 0 |
Settlements | -1,591 | -757 | -274 |
Gross Transfers into Level 3 | 25 | 19 | 450 |
Gross Transfers out of Level 3 | -273 | -24 | -11 |
Balance, ending | 1,983 | 3,057 | 2,287 |
Mortgage servicing rights | |||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward] | |||
Balance, beginning | 5,042 | 5,716 | 7,378 |
Gains (Losses) in Earnings | -1,231 | 1,941 | -430 |
Gains (Losses) in OCI | 0 | 0 | 0 |
Purchases | 0 | 0 | 0 |
Sales | -61 | -2,044 | -122 |
Issuances | 707 | 472 | 374 |
Settlements | -927 | -1,043 | -1,484 |
Gross Transfers into Level 3 | 0 | 0 | 0 |
Gross Transfers out of Level 3 | 0 | 0 | 0 |
Balance, ending | 3,530 | 5,042 | 5,716 |
Loans Held-for-Sale | |||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward] | |||
Balance, beginning | 929 | 2,733 | 3,387 |
Gains (Losses) in Earnings | 45 | 62 | 352 |
Gains (Losses) in OCI | 0 | 0 | 0 |
Purchases | 59 | 8 | 794 |
Sales | -725 | -402 | -834 |
Issuances | 23 | 4 | 0 |
Settlements | -216 | -1,507 | -414 |
Gross Transfers into Level 3 | 83 | 34 | 80 |
Gross Transfers out of Level 3 | -25 | -3 | -632 |
Balance, ending | 173 | 929 | 2,733 |
Other assets | |||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward] | |||
Balance, beginning | 1,669 | 3,129 | 4,235 |
Gains (Losses) in Earnings | -98 | -288 | -54 |
Gains (Losses) in OCI | 0 | 0 | 0 |
Purchases | 0 | 46 | 109 |
Sales | -430 | -383 | -1,039 |
Issuances | 0 | 0 | 270 |
Settlements | -245 | -1,019 | -381 |
Gross Transfers into Level 3 | 39 | 239 | 0 |
Gross Transfers out of Level 3 | -24 | -55 | -11 |
Balance, ending | $911 | $1,669 | $3,129 |
Fair_Value_Measurements_Gains_
Fair Value Measurements - Gains and Losses (Details) (USD $) | 12 Months Ended | ||
In Millions, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Level 3 Total Realized and Unrealized Gains (Losses) Related to Assets Included in Earnings | |||
Total | ($283) | $1,998 | $136 |
Level 3 Changes in Unrealized Gains (Losses) Relating to Assets Still Held at Reporting Date | |||
Total | -1,551 | 342 | -3,204 |
Trading account liabilities – Corporate securities and other | |||
Level 3 Changes in Unrealized Gains (Losses) Relating to Assets Still Held at Reporting Date | |||
Change in Unrealized Gains (losses) relating to liabilities still held at reporting date | 1 | 4 | |
Corporate securities, trading loans and other | |||
Level 3 Total Realized and Unrealized Gains (Losses) Related to Assets Included in Earnings | |||
Total Realized and Unrealized Gains (losses) included in Earnings, Liabilities | 1 | 10 | 4 |
Accrued expenses and other liabilities | |||
Level 3 Total Realized and Unrealized Gains (Losses) Related to Assets Included in Earnings | |||
Total Realized and Unrealized Gains (losses) included in Earnings, Liabilities | 2 | 30 | -4 |
Level 3 Changes in Unrealized Gains (Losses) Relating to Assets Still Held at Reporting Date | |||
Change in Unrealized Gains (losses) relating to liabilities still held at reporting date | 1 | -2 | |
Long-term debt | |||
Level 3 Total Realized and Unrealized Gains (Losses) Related to Assets Included in Earnings | |||
Total Realized and Unrealized Gains (losses) included in Earnings, Liabilities | 49 | 13 | -307 |
Level 3 Changes in Unrealized Gains (Losses) Relating to Assets Still Held at Reporting Date | |||
Change in Unrealized Gains (losses) relating to liabilities still held at reporting date | -8 | -36 | -309 |
Corporate securities, trading loans and other | |||
Level 3 Total Realized and Unrealized Gains (Losses) Related to Assets Included in Earnings | |||
Fair Value, Measurement with Unobservable Inputs Reconciliation, Recurring Basis, Asset, Gain (Loss) Included in Earnings | 180 | 242 | 195 |
Level 3 Changes in Unrealized Gains (Losses) Relating to Assets Still Held at Reporting Date | |||
Change in unrealized Gains (losses) relating to assets still held at reporting date | 69 | -130 | -19 |
Equity securities | |||
Level 3 Total Realized and Unrealized Gains (Losses) Related to Assets Included in Earnings | |||
Fair Value, Measurement with Unobservable Inputs Reconciliation, Recurring Basis, Asset, Gain (Loss) Included in Earnings | 0 | 74 | 31 |
Level 3 Changes in Unrealized Gains (Losses) Relating to Assets Still Held at Reporting Date | |||
Change in unrealized Gains (losses) relating to assets still held at reporting date | -8 | 40 | 17 |
Non-U.S. sovereign debt | |||
Level 3 Total Realized and Unrealized Gains (Losses) Related to Assets Included in Earnings | |||
Fair Value, Measurement with Unobservable Inputs Reconciliation, Recurring Basis, Asset, Gain (Loss) Included in Earnings | 30 | 50 | 8 |
Level 3 Changes in Unrealized Gains (Losses) Relating to Assets Still Held at Reporting Date | |||
Change in unrealized Gains (losses) relating to assets still held at reporting date | 31 | 80 | 20 |
Mortgage trading loans and ABS | |||
Level 3 Total Realized and Unrealized Gains (Losses) Related to Assets Included in Earnings | |||
Fair Value, Measurement with Unobservable Inputs Reconciliation, Recurring Basis, Asset, Gain (Loss) Included in Earnings | 199 | 53 | 215 |
Level 3 Changes in Unrealized Gains (Losses) Relating to Assets Still Held at Reporting Date | |||
Change in unrealized Gains (losses) relating to assets still held at reporting date | 79 | -174 | 36 |
Trading Securities | |||
Level 3 Total Realized and Unrealized Gains (Losses) Related to Assets Included in Earnings | |||
Fair Value, Measurement with Unobservable Inputs Reconciliation, Recurring Basis, Asset, Gain (Loss) Included in Earnings | 409 | 419 | 449 |
Level 3 Changes in Unrealized Gains (Losses) Relating to Assets Still Held at Reporting Date | |||
Change in unrealized Gains (losses) relating to assets still held at reporting date | 171 | -184 | 54 |
Derivative assets | |||
Level 3 Total Realized and Unrealized Gains (Losses) Related to Assets Included in Earnings | |||
Fair Value, Measurement with Unobservable Inputs Reconciliation, Recurring Basis, Asset, Gain (Loss) Included in Earnings | 463 | -304 | -221 |
Level 3 Changes in Unrealized Gains (Losses) Relating to Assets Still Held at Reporting Date | |||
Change in unrealized Gains (losses) relating to assets still held at reporting date | -87 | -1,340 | -2,326 |
Non-agency residential | |||
Level 3 Total Realized and Unrealized Gains (Losses) Related to Assets Included in Earnings | |||
Fair Value, Measurement with Unobservable Inputs Reconciliation, Recurring Basis, Asset, Gain (Loss) Included in Earnings | -2 | -69 | |
Non-U.S. securities | |||
Level 3 Total Realized and Unrealized Gains (Losses) Related to Assets Included in Earnings | |||
Fair Value, Measurement with Unobservable Inputs Reconciliation, Recurring Basis, Asset, Gain (Loss) Included in Earnings | -7 | 5 | |
Corporate/Agency bonds | |||
Level 3 Total Realized and Unrealized Gains (Losses) Related to Assets Included in Earnings | |||
Fair Value, Measurement with Unobservable Inputs Reconciliation, Recurring Basis, Asset, Gain (Loss) Included in Earnings | -2 | ||
Other taxable securities | |||
Level 3 Total Realized and Unrealized Gains (Losses) Related to Assets Included in Earnings | |||
Fair Value, Measurement with Unobservable Inputs Reconciliation, Recurring Basis, Asset, Gain (Loss) Included in Earnings | 9 | 9 | 23 |
Level 3 Changes in Unrealized Gains (Losses) Relating to Assets Still Held at Reporting Date | |||
Change in unrealized Gains (losses) relating to assets still held at reporting date | 2 | ||
Tax-exempt securities | |||
Level 3 Total Realized and Unrealized Gains (Losses) Related to Assets Included in Earnings | |||
Fair Value, Measurement with Unobservable Inputs Reconciliation, Recurring Basis, Asset, Gain (Loss) Included in Earnings | 8 | 3 | 61 |
Available-for-sale Securities | |||
Level 3 Total Realized and Unrealized Gains (Losses) Related to Assets Included in Earnings | |||
Fair Value, Measurement with Unobservable Inputs Reconciliation, Recurring Basis, Asset, Gain (Loss) Included in Earnings | 8 | 17 | 13 |
Loans and leases | |||
Level 3 Total Realized and Unrealized Gains (Losses) Related to Assets Included in Earnings | |||
Fair Value, Measurement with Unobservable Inputs Reconciliation, Recurring Basis, Asset, Gain (Loss) Included in Earnings | 69 | 98 | 334 |
Level 3 Changes in Unrealized Gains (Losses) Relating to Assets Still Held at Reporting Date | |||
Change in unrealized Gains (losses) relating to assets still held at reporting date | 76 | 118 | 214 |
Mortgage servicing rights | |||
Level 3 Total Realized and Unrealized Gains (Losses) Related to Assets Included in Earnings | |||
Fair Value, Measurement with Unobservable Inputs Reconciliation, Recurring Basis, Asset, Gain (Loss) Included in Earnings | -1,231 | 1,941 | -430 |
Level 3 Changes in Unrealized Gains (Losses) Relating to Assets Still Held at Reporting Date | |||
Change in unrealized Gains (losses) relating to assets still held at reporting date | -1,753 | 1,541 | -1,100 |
Loans Held-for-Sale | |||
Level 3 Total Realized and Unrealized Gains (Losses) Related to Assets Included in Earnings | |||
Fair Value, Measurement with Unobservable Inputs Reconciliation, Recurring Basis, Asset, Gain (Loss) Included in Earnings | 45 | 62 | 352 |
Level 3 Changes in Unrealized Gains (Losses) Relating to Assets Still Held at Reporting Date | |||
Change in unrealized Gains (losses) relating to assets still held at reporting date | -4 | 63 | 280 |
Other assets | |||
Level 3 Total Realized and Unrealized Gains (Losses) Related to Assets Included in Earnings | |||
Fair Value, Measurement with Unobservable Inputs Reconciliation, Recurring Basis, Asset, Gain (Loss) Included in Earnings | -98 | -288 | -54 |
Level 3 Changes in Unrealized Gains (Losses) Relating to Assets Still Held at Reporting Date | |||
Change in unrealized Gains (losses) relating to assets still held at reporting date | 52 | 180 | -21 |
Trading Account Profits (Losses) | |||
Level 3 Total Realized and Unrealized Gains (Losses) Related to Assets Included in Earnings | |||
Total | -7 | -750 | -2,886 |
Level 3 Changes in Unrealized Gains (Losses) Relating to Assets Still Held at Reporting Date | |||
Total | -95 | -1,563 | -2,858 |
Trading Account Profits (Losses) | Trading account liabilities – Corporate securities and other | |||
Level 3 Changes in Unrealized Gains (Losses) Relating to Assets Still Held at Reporting Date | |||
Change in Unrealized Gains (losses) relating to liabilities still held at reporting date | 1 | 4 | |
Trading Account Profits (Losses) | Corporate securities, trading loans and other | |||
Level 3 Total Realized and Unrealized Gains (Losses) Related to Assets Included in Earnings | |||
Total Realized and Unrealized Gains (losses) included in Earnings, Liabilities | 1 | 10 | 4 |
Trading Account Profits (Losses) | Accrued expenses and other liabilities | |||
Level 3 Total Realized and Unrealized Gains (Losses) Related to Assets Included in Earnings | |||
Total Realized and Unrealized Gains (losses) included in Earnings, Liabilities | 0 | 0 | 0 |
Level 3 Changes in Unrealized Gains (Losses) Relating to Assets Still Held at Reporting Date | |||
Change in Unrealized Gains (losses) relating to liabilities still held at reporting date | 0 | 0 | |
Trading Account Profits (Losses) | Long-term debt | |||
Level 3 Total Realized and Unrealized Gains (Losses) Related to Assets Included in Earnings | |||
Total Realized and Unrealized Gains (losses) included in Earnings, Liabilities | 78 | 45 | -133 |
Level 3 Changes in Unrealized Gains (Losses) Relating to Assets Still Held at Reporting Date | |||
Change in Unrealized Gains (losses) relating to liabilities still held at reporting date | 29 | -4 | -136 |
Trading Account Profits (Losses) | Corporate securities, trading loans and other | |||
Level 3 Total Realized and Unrealized Gains (Losses) Related to Assets Included in Earnings | |||
Fair Value, Measurement with Unobservable Inputs Reconciliation, Recurring Basis, Asset, Gain (Loss) Included in Earnings | 180 | 242 | 195 |
Level 3 Changes in Unrealized Gains (Losses) Relating to Assets Still Held at Reporting Date | |||
Change in unrealized Gains (losses) relating to assets still held at reporting date | 69 | -130 | -19 |
Trading Account Profits (Losses) | Equity securities | |||
Level 3 Total Realized and Unrealized Gains (Losses) Related to Assets Included in Earnings | |||
Fair Value, Measurement with Unobservable Inputs Reconciliation, Recurring Basis, Asset, Gain (Loss) Included in Earnings | 74 | 31 | |
Level 3 Changes in Unrealized Gains (Losses) Relating to Assets Still Held at Reporting Date | |||
Change in unrealized Gains (losses) relating to assets still held at reporting date | -8 | 40 | 17 |
Trading Account Profits (Losses) | Non-U.S. sovereign debt | |||
Level 3 Total Realized and Unrealized Gains (Losses) Related to Assets Included in Earnings | |||
Fair Value, Measurement with Unobservable Inputs Reconciliation, Recurring Basis, Asset, Gain (Loss) Included in Earnings | 30 | 50 | 8 |
Level 3 Changes in Unrealized Gains (Losses) Relating to Assets Still Held at Reporting Date | |||
Change in unrealized Gains (losses) relating to assets still held at reporting date | 31 | 80 | 20 |
Trading Account Profits (Losses) | Mortgage trading loans and ABS | |||
Level 3 Total Realized and Unrealized Gains (Losses) Related to Assets Included in Earnings | |||
Fair Value, Measurement with Unobservable Inputs Reconciliation, Recurring Basis, Asset, Gain (Loss) Included in Earnings | 199 | 53 | 215 |
Level 3 Changes in Unrealized Gains (Losses) Relating to Assets Still Held at Reporting Date | |||
Change in unrealized Gains (losses) relating to assets still held at reporting date | 79 | -174 | 36 |
Trading Account Profits (Losses) | Trading Securities | |||
Level 3 Total Realized and Unrealized Gains (Losses) Related to Assets Included in Earnings | |||
Fair Value, Measurement with Unobservable Inputs Reconciliation, Recurring Basis, Asset, Gain (Loss) Included in Earnings | 409 | 419 | 449 |
Level 3 Changes in Unrealized Gains (Losses) Relating to Assets Still Held at Reporting Date | |||
Change in unrealized Gains (losses) relating to assets still held at reporting date | 171 | -184 | 54 |
Trading Account Profits (Losses) | Derivative assets | |||
Level 3 Total Realized and Unrealized Gains (Losses) Related to Assets Included in Earnings | |||
Fair Value, Measurement with Unobservable Inputs Reconciliation, Recurring Basis, Asset, Gain (Loss) Included in Earnings | -475 | -1,224 | -3,208 |
Level 3 Changes in Unrealized Gains (Losses) Relating to Assets Still Held at Reporting Date | |||
Change in unrealized Gains (losses) relating to assets still held at reporting date | -276 | -1,375 | -2,782 |
Trading Account Profits (Losses) | Non-agency residential | |||
Level 3 Total Realized and Unrealized Gains (Losses) Related to Assets Included in Earnings | |||
Fair Value, Measurement with Unobservable Inputs Reconciliation, Recurring Basis, Asset, Gain (Loss) Included in Earnings | 0 | 0 | |
Trading Account Profits (Losses) | Non-U.S. securities | |||
Level 3 Total Realized and Unrealized Gains (Losses) Related to Assets Included in Earnings | |||
Fair Value, Measurement with Unobservable Inputs Reconciliation, Recurring Basis, Asset, Gain (Loss) Included in Earnings | 0 | 0 | |
Trading Account Profits (Losses) | Corporate/Agency bonds | |||
Level 3 Total Realized and Unrealized Gains (Losses) Related to Assets Included in Earnings | |||
Fair Value, Measurement with Unobservable Inputs Reconciliation, Recurring Basis, Asset, Gain (Loss) Included in Earnings | 0 | ||
Trading Account Profits (Losses) | Other taxable securities | |||
Level 3 Total Realized and Unrealized Gains (Losses) Related to Assets Included in Earnings | |||
Fair Value, Measurement with Unobservable Inputs Reconciliation, Recurring Basis, Asset, Gain (Loss) Included in Earnings | 0 | 0 | 2 |
Level 3 Changes in Unrealized Gains (Losses) Relating to Assets Still Held at Reporting Date | |||
Change in unrealized Gains (losses) relating to assets still held at reporting date | 2 | ||
Trading Account Profits (Losses) | Tax-exempt securities | |||
Level 3 Total Realized and Unrealized Gains (Losses) Related to Assets Included in Earnings | |||
Fair Value, Measurement with Unobservable Inputs Reconciliation, Recurring Basis, Asset, Gain (Loss) Included in Earnings | 0 | 0 | 0 |
Trading Account Profits (Losses) | Available-for-sale Securities | |||
Level 3 Total Realized and Unrealized Gains (Losses) Related to Assets Included in Earnings | |||
Fair Value, Measurement with Unobservable Inputs Reconciliation, Recurring Basis, Asset, Gain (Loss) Included in Earnings | 0 | 0 | 2 |
Trading Account Profits (Losses) | Loans and leases | |||
Level 3 Total Realized and Unrealized Gains (Losses) Related to Assets Included in Earnings | |||
Fair Value, Measurement with Unobservable Inputs Reconciliation, Recurring Basis, Asset, Gain (Loss) Included in Earnings | 0 | 0 | 0 |
Level 3 Changes in Unrealized Gains (Losses) Relating to Assets Still Held at Reporting Date | |||
Change in unrealized Gains (losses) relating to assets still held at reporting date | 0 | 0 | 0 |
Trading Account Profits (Losses) | Mortgage servicing rights | |||
Level 3 Total Realized and Unrealized Gains (Losses) Related to Assets Included in Earnings | |||
Fair Value, Measurement with Unobservable Inputs Reconciliation, Recurring Basis, Asset, Gain (Loss) Included in Earnings | -6 | 0 | 0 |
Level 3 Changes in Unrealized Gains (Losses) Relating to Assets Still Held at Reporting Date | |||
Change in unrealized Gains (losses) relating to assets still held at reporting date | -6 | 0 | 0 |
Trading Account Profits (Losses) | Loans Held-for-Sale | |||
Level 3 Total Realized and Unrealized Gains (Losses) Related to Assets Included in Earnings | |||
Fair Value, Measurement with Unobservable Inputs Reconciliation, Recurring Basis, Asset, Gain (Loss) Included in Earnings | -14 | 0 | 0 |
Level 3 Changes in Unrealized Gains (Losses) Relating to Assets Still Held at Reporting Date | |||
Change in unrealized Gains (losses) relating to assets still held at reporting date | -14 | 0 | 0 |
Trading Account Profits (Losses) | Other assets | |||
Level 3 Total Realized and Unrealized Gains (Losses) Related to Assets Included in Earnings | |||
Fair Value, Measurement with Unobservable Inputs Reconciliation, Recurring Basis, Asset, Gain (Loss) Included in Earnings | 0 | 0 | 0 |
Level 3 Changes in Unrealized Gains (Losses) Relating to Assets Still Held at Reporting Date | |||
Change in unrealized Gains (losses) relating to assets still held at reporting date | 0 | 0 | 0 |
Mortgage Banking Income (Loss) | |||
Level 3 Total Realized and Unrealized Gains (Losses) Related to Assets Included in Earnings | |||
Total | -470 | 2,984 | 2,631 |
Level 3 Changes in Unrealized Gains (Losses) Relating to Assets Still Held at Reporting Date | |||
Total | -1,712 | 1,721 | -603 |
Mortgage Banking Income (Loss) | Trading account liabilities – Corporate securities and other | |||
Level 3 Changes in Unrealized Gains (Losses) Relating to Assets Still Held at Reporting Date | |||
Change in Unrealized Gains (losses) relating to liabilities still held at reporting date | 0 | 0 | |
Mortgage Banking Income (Loss) | Corporate securities, trading loans and other | |||
Level 3 Total Realized and Unrealized Gains (Losses) Related to Assets Included in Earnings | |||
Total Realized and Unrealized Gains (losses) included in Earnings, Liabilities | 0 | 0 | 0 |
Mortgage Banking Income (Loss) | Accrued expenses and other liabilities | |||
Level 3 Total Realized and Unrealized Gains (Losses) Related to Assets Included in Earnings | |||
Total Realized and Unrealized Gains (losses) included in Earnings, Liabilities | 0 | 30 | 0 |
Level 3 Changes in Unrealized Gains (Losses) Relating to Assets Still Held at Reporting Date | |||
Change in Unrealized Gains (losses) relating to liabilities still held at reporting date | 0 | 0 | |
Mortgage Banking Income (Loss) | Long-term debt | |||
Level 3 Total Realized and Unrealized Gains (Losses) Related to Assets Included in Earnings | |||
Total Realized and Unrealized Gains (losses) included in Earnings, Liabilities | 0 | 0 | 0 |
Level 3 Changes in Unrealized Gains (Losses) Relating to Assets Still Held at Reporting Date | |||
Change in Unrealized Gains (losses) relating to liabilities still held at reporting date | 0 | 0 | 0 |
Mortgage Banking Income (Loss) | Corporate securities, trading loans and other | |||
Level 3 Total Realized and Unrealized Gains (Losses) Related to Assets Included in Earnings | |||
Fair Value, Measurement with Unobservable Inputs Reconciliation, Recurring Basis, Asset, Gain (Loss) Included in Earnings | 0 | 0 | 0 |
Level 3 Changes in Unrealized Gains (Losses) Relating to Assets Still Held at Reporting Date | |||
Change in unrealized Gains (losses) relating to assets still held at reporting date | 0 | 0 | 0 |
Mortgage Banking Income (Loss) | Equity securities | |||
Level 3 Total Realized and Unrealized Gains (Losses) Related to Assets Included in Earnings | |||
Fair Value, Measurement with Unobservable Inputs Reconciliation, Recurring Basis, Asset, Gain (Loss) Included in Earnings | 0 | 0 | |
Level 3 Changes in Unrealized Gains (Losses) Relating to Assets Still Held at Reporting Date | |||
Change in unrealized Gains (losses) relating to assets still held at reporting date | 0 | 0 | 0 |
Mortgage Banking Income (Loss) | Non-U.S. sovereign debt | |||
Level 3 Total Realized and Unrealized Gains (Losses) Related to Assets Included in Earnings | |||
Fair Value, Measurement with Unobservable Inputs Reconciliation, Recurring Basis, Asset, Gain (Loss) Included in Earnings | 0 | 0 | 0 |
Level 3 Changes in Unrealized Gains (Losses) Relating to Assets Still Held at Reporting Date | |||
Change in unrealized Gains (losses) relating to assets still held at reporting date | 0 | 0 | 0 |
Mortgage Banking Income (Loss) | Mortgage trading loans and ABS | |||
Level 3 Total Realized and Unrealized Gains (Losses) Related to Assets Included in Earnings | |||
Fair Value, Measurement with Unobservable Inputs Reconciliation, Recurring Basis, Asset, Gain (Loss) Included in Earnings | 0 | 0 | 0 |
Level 3 Changes in Unrealized Gains (Losses) Relating to Assets Still Held at Reporting Date | |||
Change in unrealized Gains (losses) relating to assets still held at reporting date | 0 | 0 | 0 |
Mortgage Banking Income (Loss) | Trading Securities | |||
Level 3 Total Realized and Unrealized Gains (Losses) Related to Assets Included in Earnings | |||
Fair Value, Measurement with Unobservable Inputs Reconciliation, Recurring Basis, Asset, Gain (Loss) Included in Earnings | 0 | 0 | 0 |
Level 3 Changes in Unrealized Gains (Losses) Relating to Assets Still Held at Reporting Date | |||
Change in unrealized Gains (losses) relating to assets still held at reporting date | 0 | 0 | 0 |
Mortgage Banking Income (Loss) | Derivative assets | |||
Level 3 Total Realized and Unrealized Gains (Losses) Related to Assets Included in Earnings | |||
Fair Value, Measurement with Unobservable Inputs Reconciliation, Recurring Basis, Asset, Gain (Loss) Included in Earnings | 834 | 927 | 2,987 |
Level 3 Changes in Unrealized Gains (Losses) Relating to Assets Still Held at Reporting Date | |||
Change in unrealized Gains (losses) relating to assets still held at reporting date | 85 | 42 | 456 |
Mortgage Banking Income (Loss) | Non-agency residential | |||
Level 3 Total Realized and Unrealized Gains (Losses) Related to Assets Included in Earnings | |||
Fair Value, Measurement with Unobservable Inputs Reconciliation, Recurring Basis, Asset, Gain (Loss) Included in Earnings | 0 | 0 | |
Mortgage Banking Income (Loss) | Non-U.S. securities | |||
Level 3 Total Realized and Unrealized Gains (Losses) Related to Assets Included in Earnings | |||
Fair Value, Measurement with Unobservable Inputs Reconciliation, Recurring Basis, Asset, Gain (Loss) Included in Earnings | 0 | 0 | |
Mortgage Banking Income (Loss) | Corporate/Agency bonds | |||
Level 3 Total Realized and Unrealized Gains (Losses) Related to Assets Included in Earnings | |||
Fair Value, Measurement with Unobservable Inputs Reconciliation, Recurring Basis, Asset, Gain (Loss) Included in Earnings | 0 | ||
Mortgage Banking Income (Loss) | Other taxable securities | |||
Level 3 Total Realized and Unrealized Gains (Losses) Related to Assets Included in Earnings | |||
Fair Value, Measurement with Unobservable Inputs Reconciliation, Recurring Basis, Asset, Gain (Loss) Included in Earnings | 0 | 0 | 0 |
Level 3 Changes in Unrealized Gains (Losses) Relating to Assets Still Held at Reporting Date | |||
Change in unrealized Gains (losses) relating to assets still held at reporting date | 0 | ||
Mortgage Banking Income (Loss) | Tax-exempt securities | |||
Level 3 Total Realized and Unrealized Gains (Losses) Related to Assets Included in Earnings | |||
Fair Value, Measurement with Unobservable Inputs Reconciliation, Recurring Basis, Asset, Gain (Loss) Included in Earnings | 0 | 0 | 0 |
Mortgage Banking Income (Loss) | Available-for-sale Securities | |||
Level 3 Total Realized and Unrealized Gains (Losses) Related to Assets Included in Earnings | |||
Fair Value, Measurement with Unobservable Inputs Reconciliation, Recurring Basis, Asset, Gain (Loss) Included in Earnings | 0 | 0 | 0 |
Mortgage Banking Income (Loss) | Loans and leases | |||
Level 3 Total Realized and Unrealized Gains (Losses) Related to Assets Included in Earnings | |||
Fair Value, Measurement with Unobservable Inputs Reconciliation, Recurring Basis, Asset, Gain (Loss) Included in Earnings | 0 | -38 | 0 |
Level 3 Changes in Unrealized Gains (Losses) Relating to Assets Still Held at Reporting Date | |||
Change in unrealized Gains (losses) relating to assets still held at reporting date | 0 | -34 | 0 |
Mortgage Banking Income (Loss) | Mortgage servicing rights | |||
Level 3 Total Realized and Unrealized Gains (Losses) Related to Assets Included in Earnings | |||
Fair Value, Measurement with Unobservable Inputs Reconciliation, Recurring Basis, Asset, Gain (Loss) Included in Earnings | -1,225 | 1,941 | -430 |
Level 3 Changes in Unrealized Gains (Losses) Relating to Assets Still Held at Reporting Date | |||
Change in unrealized Gains (losses) relating to assets still held at reporting date | -1,747 | 1,541 | -1,100 |
Mortgage Banking Income (Loss) | Loans Held-for-Sale | |||
Level 3 Total Realized and Unrealized Gains (Losses) Related to Assets Included in Earnings | |||
Fair Value, Measurement with Unobservable Inputs Reconciliation, Recurring Basis, Asset, Gain (Loss) Included in Earnings | 0 | 2 | 148 |
Level 3 Changes in Unrealized Gains (Losses) Relating to Assets Still Held at Reporting Date | |||
Change in unrealized Gains (losses) relating to assets still held at reporting date | 0 | 6 | 112 |
Mortgage Banking Income (Loss) | Other assets | |||
Level 3 Total Realized and Unrealized Gains (Losses) Related to Assets Included in Earnings | |||
Fair Value, Measurement with Unobservable Inputs Reconciliation, Recurring Basis, Asset, Gain (Loss) Included in Earnings | -79 | 122 | -74 |
Level 3 Changes in Unrealized Gains (Losses) Relating to Assets Still Held at Reporting Date | |||
Change in unrealized Gains (losses) relating to assets still held at reporting date | -50 | 166 | -71 |
Other | |||
Level 3 Total Realized and Unrealized Gains (Losses) Related to Assets Included in Earnings | |||
Total | 194 | -236 | 391 |
Level 3 Changes in Unrealized Gains (Losses) Relating to Assets Still Held at Reporting Date | |||
Total | 256 | 184 | 257 |
Other | Trading account liabilities – Corporate securities and other | |||
Level 3 Changes in Unrealized Gains (Losses) Relating to Assets Still Held at Reporting Date | |||
Change in Unrealized Gains (losses) relating to liabilities still held at reporting date | 0 | 0 | |
Other | Corporate securities, trading loans and other | |||
Level 3 Total Realized and Unrealized Gains (Losses) Related to Assets Included in Earnings | |||
Total Realized and Unrealized Gains (losses) included in Earnings, Liabilities | 0 | 0 | 0 |
Other | Accrued expenses and other liabilities | |||
Level 3 Total Realized and Unrealized Gains (Losses) Related to Assets Included in Earnings | |||
Total Realized and Unrealized Gains (losses) included in Earnings, Liabilities | 2 | 0 | -4 |
Level 3 Changes in Unrealized Gains (Losses) Relating to Assets Still Held at Reporting Date | |||
Change in Unrealized Gains (losses) relating to liabilities still held at reporting date | 1 | -2 | |
Other | Long-term debt | |||
Level 3 Total Realized and Unrealized Gains (Losses) Related to Assets Included in Earnings | |||
Total Realized and Unrealized Gains (losses) included in Earnings, Liabilities | -29 | -32 | -174 |
Level 3 Changes in Unrealized Gains (Losses) Relating to Assets Still Held at Reporting Date | |||
Change in Unrealized Gains (losses) relating to liabilities still held at reporting date | -37 | -32 | -173 |
Other | Corporate securities, trading loans and other | |||
Level 3 Total Realized and Unrealized Gains (Losses) Related to Assets Included in Earnings | |||
Fair Value, Measurement with Unobservable Inputs Reconciliation, Recurring Basis, Asset, Gain (Loss) Included in Earnings | 0 | 0 | 0 |
Level 3 Changes in Unrealized Gains (Losses) Relating to Assets Still Held at Reporting Date | |||
Change in unrealized Gains (losses) relating to assets still held at reporting date | 0 | 0 | 0 |
Other | Equity securities | |||
Level 3 Total Realized and Unrealized Gains (Losses) Related to Assets Included in Earnings | |||
Fair Value, Measurement with Unobservable Inputs Reconciliation, Recurring Basis, Asset, Gain (Loss) Included in Earnings | 0 | 0 | |
Level 3 Changes in Unrealized Gains (Losses) Relating to Assets Still Held at Reporting Date | |||
Change in unrealized Gains (losses) relating to assets still held at reporting date | 0 | 0 | 0 |
Other | Non-U.S. sovereign debt | |||
Level 3 Total Realized and Unrealized Gains (Losses) Related to Assets Included in Earnings | |||
Fair Value, Measurement with Unobservable Inputs Reconciliation, Recurring Basis, Asset, Gain (Loss) Included in Earnings | 0 | 0 | 0 |
Level 3 Changes in Unrealized Gains (Losses) Relating to Assets Still Held at Reporting Date | |||
Change in unrealized Gains (losses) relating to assets still held at reporting date | 0 | 0 | 0 |
Other | Mortgage trading loans and ABS | |||
Level 3 Total Realized and Unrealized Gains (Losses) Related to Assets Included in Earnings | |||
Fair Value, Measurement with Unobservable Inputs Reconciliation, Recurring Basis, Asset, Gain (Loss) Included in Earnings | 0 | 0 | 0 |
Level 3 Changes in Unrealized Gains (Losses) Relating to Assets Still Held at Reporting Date | |||
Change in unrealized Gains (losses) relating to assets still held at reporting date | 0 | 0 | 0 |
Other | Trading Securities | |||
Level 3 Total Realized and Unrealized Gains (Losses) Related to Assets Included in Earnings | |||
Fair Value, Measurement with Unobservable Inputs Reconciliation, Recurring Basis, Asset, Gain (Loss) Included in Earnings | 0 | 0 | 0 |
Level 3 Changes in Unrealized Gains (Losses) Relating to Assets Still Held at Reporting Date | |||
Change in unrealized Gains (losses) relating to assets still held at reporting date | 0 | 0 | 0 |
Other | Derivative assets | |||
Level 3 Total Realized and Unrealized Gains (Losses) Related to Assets Included in Earnings | |||
Fair Value, Measurement with Unobservable Inputs Reconciliation, Recurring Basis, Asset, Gain (Loss) Included in Earnings | 104 | -7 | 0 |
Level 3 Changes in Unrealized Gains (Losses) Relating to Assets Still Held at Reporting Date | |||
Change in unrealized Gains (losses) relating to assets still held at reporting date | 104 | -7 | 0 |
Other | Non-agency residential | |||
Level 3 Total Realized and Unrealized Gains (Losses) Related to Assets Included in Earnings | |||
Fair Value, Measurement with Unobservable Inputs Reconciliation, Recurring Basis, Asset, Gain (Loss) Included in Earnings | -2 | -69 | |
Other | Non-U.S. securities | |||
Level 3 Total Realized and Unrealized Gains (Losses) Related to Assets Included in Earnings | |||
Fair Value, Measurement with Unobservable Inputs Reconciliation, Recurring Basis, Asset, Gain (Loss) Included in Earnings | -7 | 5 | |
Other | Corporate/Agency bonds | |||
Level 3 Total Realized and Unrealized Gains (Losses) Related to Assets Included in Earnings | |||
Fair Value, Measurement with Unobservable Inputs Reconciliation, Recurring Basis, Asset, Gain (Loss) Included in Earnings | -2 | ||
Other | Other taxable securities | |||
Level 3 Total Realized and Unrealized Gains (Losses) Related to Assets Included in Earnings | |||
Fair Value, Measurement with Unobservable Inputs Reconciliation, Recurring Basis, Asset, Gain (Loss) Included in Earnings | 9 | 9 | 21 |
Level 3 Changes in Unrealized Gains (Losses) Relating to Assets Still Held at Reporting Date | |||
Change in unrealized Gains (losses) relating to assets still held at reporting date | 0 | ||
Other | Tax-exempt securities | |||
Level 3 Total Realized and Unrealized Gains (Losses) Related to Assets Included in Earnings | |||
Fair Value, Measurement with Unobservable Inputs Reconciliation, Recurring Basis, Asset, Gain (Loss) Included in Earnings | 8 | 3 | 61 |
Other | Available-for-sale Securities | |||
Level 3 Total Realized and Unrealized Gains (Losses) Related to Assets Included in Earnings | |||
Fair Value, Measurement with Unobservable Inputs Reconciliation, Recurring Basis, Asset, Gain (Loss) Included in Earnings | 8 | 17 | 11 |
Other | Loans and leases | |||
Level 3 Total Realized and Unrealized Gains (Losses) Related to Assets Included in Earnings | |||
Fair Value, Measurement with Unobservable Inputs Reconciliation, Recurring Basis, Asset, Gain (Loss) Included in Earnings | 69 | 136 | 334 |
Level 3 Changes in Unrealized Gains (Losses) Relating to Assets Still Held at Reporting Date | |||
Change in unrealized Gains (losses) relating to assets still held at reporting date | 76 | 152 | 214 |
Other | Mortgage servicing rights | |||
Level 3 Total Realized and Unrealized Gains (Losses) Related to Assets Included in Earnings | |||
Fair Value, Measurement with Unobservable Inputs Reconciliation, Recurring Basis, Asset, Gain (Loss) Included in Earnings | 0 | 0 | 0 |
Level 3 Changes in Unrealized Gains (Losses) Relating to Assets Still Held at Reporting Date | |||
Change in unrealized Gains (losses) relating to assets still held at reporting date | 0 | 0 | 0 |
Other | Loans Held-for-Sale | |||
Level 3 Total Realized and Unrealized Gains (Losses) Related to Assets Included in Earnings | |||
Fair Value, Measurement with Unobservable Inputs Reconciliation, Recurring Basis, Asset, Gain (Loss) Included in Earnings | 59 | 60 | 204 |
Level 3 Changes in Unrealized Gains (Losses) Relating to Assets Still Held at Reporting Date | |||
Change in unrealized Gains (losses) relating to assets still held at reporting date | 10 | 57 | 168 |
Other | Other assets | |||
Level 3 Total Realized and Unrealized Gains (Losses) Related to Assets Included in Earnings | |||
Fair Value, Measurement with Unobservable Inputs Reconciliation, Recurring Basis, Asset, Gain (Loss) Included in Earnings | -19 | -410 | 20 |
Level 3 Changes in Unrealized Gains (Losses) Relating to Assets Still Held at Reporting Date | |||
Change in unrealized Gains (losses) relating to assets still held at reporting date | 102 | 14 | 50 |
Equity investments | Net derivative assets and other assets | |||
Level 3 Total Realized and Unrealized Gains (Losses) Related to Assets Included in Earnings | |||
Fair Value, Measurement with Unobservable Inputs Reconciliation, Recurring Basis, Asset, Gain (Loss) Included in Earnings | 86 | 77 | |
Equity investments | Other assets | |||
Level 3 Total Realized and Unrealized Gains (Losses) Related to Assets Included in Earnings | |||
Fair Value, Measurement with Unobservable Inputs Reconciliation, Recurring Basis, Asset, Gain (Loss) Included in Earnings | 97 | ||
Level 3 Changes in Unrealized Gains (Losses) Relating to Assets Still Held at Reporting Date | |||
Change in unrealized Gains (losses) relating to assets still held at reporting date | $170 | $53 | $141 |
Fair_Value_Measurements_Recurr1
Fair Value Measurements - Recurring Fair Value Inputs (Details) (USD $) | 12 Months Ended | |||
Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | |
Fair Value Inputs, Assets, Quantitative Information [Line Items] | ||||
Net derivative asset (liability) | -920,000,000 | -224,000,000 | $1,468,000,000 | $5,866,000,000 |
Fair Value Inputs [Abstract] | ||||
Loans held-for-sale, measured at fair value | 6,801,000,000 | 6,656,000,000 | ||
Other assets, measured at fair value | 13,873,000,000 | 18,055,000,000 | ||
Recurring | ||||
Fair Value Inputs, Assets, Quantitative Information [Line Items] | ||||
Assets, fair value | 660,229,000,000 | 625,734,000,000 | ||
Long-term debt | -209,083,000,000 | -209,063,000,000 | ||
Fair Value Inputs [Abstract] | ||||
Loans held-for-sale, measured at fair value | 6,801,000,000 | 6,656,000,000 | ||
Other assets, measured at fair value | 13,873,000,000 | 18,055,000,000 | ||
Recurring | Level 3 | ||||
Fair Value Inputs, Assets, Quantitative Information [Line Items] | ||||
Assets, fair value | 22,262,000,000 | 31,778,000,000 | ||
Long-term debt | -10,179,000,000 | -9,536,000,000 | ||
Net derivative asset (liability) | -920,000,000 | -224,000,000 | ||
Fair Value Inputs [Abstract] | ||||
Loans held-for-sale, measured at fair value | 173,000,000 | 929,000,000 | ||
Other assets, measured at fair value | 911,000,000 | 1,669,000,000 | ||
Recurring | Level 3 | Loans Held-for-Sale | ||||
Fair Value Inputs, Assets, Quantitative Information [Line Items] | ||||
Assets, fair value | 173,000,000 | 929,000,000 | ||
Recurring | Level 3 | Loans and leases | ||||
Fair Value Inputs, Assets, Quantitative Information [Line Items] | ||||
Assets, fair value | 2,000,000,000 | 3,100,000,000 | ||
Recurring | Level 3 | Credit derivatives | ||||
Fair Value Inputs, Assets, Quantitative Information [Line Items] | ||||
Net derivative asset (liability) | 22,000,000 | 808,000,000 | ||
Recurring | Level 3 | Credit derivatives | Income Approach Valuation Technique | ||||
Fair Value Inputs [Abstract] | ||||
Default rate | 4.00% | |||
Loss severity | 35.00% | |||
Recurring | Level 3 | Credit derivatives | Minimum | Income Approach Valuation Technique | ||||
Fair Value Inputs [Abstract] | ||||
Yield | 0.00% | 3.00% | ||
Prepayment speed | 3.00% | 3.00% | ||
Default rate | 1.00% | |||
Loss severity | 20.00% | |||
Upfront points | 0.00% | 0.00% | ||
Spread to index | 0.25% | -14.07% | ||
Credit correlation | 24.00% | 14.00% | ||
Recurring | Level 3 | Credit derivatives | Maximum | Income Approach Valuation Technique | ||||
Fair Value Inputs [Abstract] | ||||
Yield | 25.00% | 25.00% | ||
Prepayment speed | 20.00% | 40.00% | ||
Default rate | 5.00% | |||
Loss severity | 42.00% | |||
Upfront points | 1.00% | 1.00% | ||
Spread to index | 4.50% | 17.41% | ||
Credit correlation | 99.00% | 99.00% | ||
Recurring | Level 3 | Credit derivatives | Weighted Average | Income Approach Valuation Technique | ||||
Fair Value Inputs [Abstract] | ||||
Yield | 14.00% | 14.00% | ||
Prepayment speed | 11.00% | 13.00% | ||
Default rate | 3.00% | |||
Loss severity | 35.00% | |||
Upfront points | 0.65% | 0.63% | ||
Spread to index | 1.19% | 0.91% | ||
Credit correlation | 51.00% | 47.00% | ||
Recurring | Level 3 | Equity contracts | ||||
Fair Value Inputs, Assets, Quantitative Information [Line Items] | ||||
Net derivative asset (liability) | -1,560,000,000 | -1,596,000,000 | ||
Recurring | Level 3 | Equity contracts | Minimum | Income Approach Valuation Technique | ||||
Fair Value Inputs [Abstract] | ||||
Equity correlation | 20.00% | 18.00% | ||
Long-dated equity volatilities | 6.00% | 4.00% | ||
Recurring | Level 3 | Equity contracts | Maximum | Income Approach Valuation Technique | ||||
Fair Value Inputs [Abstract] | ||||
Equity correlation | 98.00% | 98.00% | ||
Long-dated equity volatilities | 69.00% | 63.00% | ||
Recurring | Level 3 | Equity contracts | Weighted Average | Income Approach Valuation Technique | ||||
Fair Value Inputs [Abstract] | ||||
Equity correlation | 65.00% | 70.00% | ||
Long-dated equity volatilities | 24.00% | 27.00% | ||
Recurring | Level 3 | Commodity contracts | ||||
Fair Value Inputs, Assets, Quantitative Information [Line Items] | ||||
Net derivative asset (liability) | 141,000,000 | 6,000,000 | ||
Recurring | Level 3 | Commodity contracts | Minimum | Income Approach Valuation Technique | ||||
Fair Value Inputs [Abstract] | ||||
Long-dated equity volatilities | 16.00% | 9.00% | ||
Natural gas forward price | 2 | 3 | ||
Correlation | 82.00% | 47.00% | ||
Recurring | Level 3 | Commodity contracts | Maximum | Income Approach Valuation Technique | ||||
Fair Value Inputs [Abstract] | ||||
Long-dated equity volatilities | 98.00% | 109.00% | ||
Natural gas forward price | 7 | 11 | ||
Correlation | 93.00% | 89.00% | ||
Recurring | Level 3 | Commodity contracts | Weighted Average | Income Approach Valuation Technique | ||||
Fair Value Inputs [Abstract] | ||||
Long-dated equity volatilities | 35.00% | 30.00% | ||
Natural gas forward price | 5 | 6 | ||
Correlation | 90.00% | 81.00% | ||
Recurring | Level 3 | Interest rate contracts | ||||
Fair Value Inputs, Assets, Quantitative Information [Line Items] | ||||
Net derivative asset (liability) | 477,000,000 | 558,000,000 | ||
Recurring | Level 3 | Interest rate contracts | Minimum | Income Approach Valuation Technique | ||||
Fair Value Inputs [Abstract] | ||||
Correlation (IR/IR) | 11.00% | 24.00% | ||
Long-dated inflation volatilities | 0.00% | 0.00% | ||
Correlation (FX/IR) | -48.00% | -30.00% | ||
Long-dated inflation rates | 0.00% | 0.00% | ||
Recurring | Level 3 | Interest rate contracts | Maximum | Income Approach Valuation Technique | ||||
Fair Value Inputs [Abstract] | ||||
Correlation (IR/IR) | 99.00% | 99.00% | ||
Long-dated inflation volatilities | 2.00% | 2.00% | ||
Correlation (FX/IR) | 40.00% | 40.00% | ||
Long-dated inflation rates | 3.00% | 3.00% | ||
Recurring | Level 3 | Interest rate contracts | Weighted Average | Income Approach Valuation Technique | ||||
Fair Value Inputs [Abstract] | ||||
Correlation (IR/IR) | 55.00% | 60.00% | ||
Long-dated inflation volatilities | 1.00% | 1.00% | ||
Correlation (FX/IR) | -5.00% | -4.00% | ||
Long-dated inflation rates | 1.00% | 2.00% | ||
Recurring | Level 3 | Mortgage trading loans and ABS | ||||
Fair Value Inputs, Assets, Quantitative Information [Line Items] | ||||
Assets, fair value | 2,100,000,000 | 4,600,000,000 | ||
Recurring | Level 3 | Corporate securities, trading loans and other | ||||
Fair Value Inputs, Assets, Quantitative Information [Line Items] | ||||
Assets, fair value | 3,300,000,000 | 3,600,000,000 | ||
Recurring | Level 3 | Non-U.S. sovereign debt | ||||
Fair Value Inputs, Assets, Quantitative Information [Line Items] | ||||
Assets, fair value | 574,000,000 | 468,000,000 | ||
Recurring | Level 3 | Other taxable securities, substantially all asset-backed securities | ||||
Fair Value Inputs, Assets, Quantitative Information [Line Items] | ||||
Assets, fair value | 1,700,000,000 | 3,800,000,000 | ||
Recurring | Level 3 | Tax-exempt securities | ||||
Fair Value Inputs, Assets, Quantitative Information [Line Items] | ||||
Assets, fair value | 599,000,000 | 806,000,000 | ||
Recurring | Level 3 | Private equity funds | ||||
Fair Value Inputs [Abstract] | ||||
Other assets, measured at fair value | 347,000,000 | 767,000,000 | ||
Recurring | Level 3 | Instruments backed by residential real estate assets | ||||
Fair Value Inputs, Assets, Quantitative Information [Line Items] | ||||
Assets, fair value | 2,030,000,000 | 3,443,000,000 | ||
Recurring | Level 3 | Instruments backed by residential real estate assets | Minimum | Income and Market Approach Technique | ||||
Fair Value Inputs [Abstract] | ||||
Yield | 0.00% | 2.00% | ||
Prepayment speed | 0.00% | 0.00% | ||
Default rate | 2.00% | 1.00% | ||
Loss severity | 26.00% | 21.00% | ||
Recurring | Level 3 | Instruments backed by residential real estate assets | Maximum | Income and Market Approach Technique | ||||
Fair Value Inputs [Abstract] | ||||
Yield | 25.00% | 25.00% | ||
Prepayment speed | 35.00% | 35.00% | ||
Default rate | 15.00% | 20.00% | ||
Loss severity | 100.00% | 80.00% | ||
Recurring | Level 3 | Instruments backed by residential real estate assets | Weighted Average | Income and Market Approach Technique | ||||
Fair Value Inputs [Abstract] | ||||
Yield | 6.00% | 6.00% | ||
Prepayment speed | 14.00% | 9.00% | ||
Default rate | 7.00% | 6.00% | ||
Loss severity | 34.00% | 35.00% | ||
Recurring | Level 3 | Instruments backed by residential real estate assets | Loans Held-for-Sale | ||||
Fair Value Inputs, Assets, Quantitative Information [Line Items] | ||||
Assets, fair value | 173,000,000 | 929,000,000 | ||
Recurring | Level 3 | Instruments backed by residential real estate assets | Loans and leases | ||||
Fair Value Inputs, Assets, Quantitative Information [Line Items] | ||||
Assets, fair value | 1,374,000,000 | 2,151,000,000 | ||
Recurring | Level 3 | Instruments backed by residential real estate assets | Mortgage trading loans and ABS | Trading Securities | ||||
Fair Value Inputs, Assets, Quantitative Information [Line Items] | ||||
Assets, fair value | 483,000,000 | 363,000,000 | ||
Recurring | Level 3 | Commercial loans, debt securities and other | ||||
Fair Value Inputs, Assets, Quantitative Information [Line Items] | ||||
Assets, fair value | 7,203,000,000 | 12,135,000,000 | ||
Recurring | Level 3 | Commercial loans, debt securities and other | Minimum | Income and Market Approach Technique | ||||
Fair Value Inputs [Abstract] | ||||
Yield | 0.00% | 0.00% | ||
Prepayment speed | 1.00% | 5.00% | ||
Default rate | 1.00% | 1.00% | ||
Loss severity | 25.00% | 25.00% | ||
Enterprise value/EBITDA multiple | 0 | 0 | ||
Duration | 0 years | 1 year | ||
Price | 0 | |||
Recurring | Level 3 | Commercial loans, debt securities and other | Maximum | Income and Market Approach Technique | ||||
Fair Value Inputs [Abstract] | ||||
Yield | 40.00% | 45.00% | ||
Prepayment speed | 30.00% | 40.00% | ||
Default rate | 5.00% | 5.00% | ||
Loss severity | 40.00% | 42.00% | ||
Enterprise value/EBITDA multiple | 30 | 24 | ||
Duration | 5 years | 5 years | ||
Price | 107 | |||
Recurring | Level 3 | Commercial loans, debt securities and other | Weighted Average | Income and Market Approach Technique | ||||
Fair Value Inputs [Abstract] | ||||
Yield | 9.00% | 5.00% | ||
Prepayment speed | 12.00% | 19.00% | ||
Default rate | 4.00% | 4.00% | ||
Loss severity | 38.00% | 36.00% | ||
Enterprise value/EBITDA multiple | 6 | 7 | ||
Duration | 3 years | 4 years | ||
Price | 76 | |||
Recurring | Level 3 | Commercial loans, debt securities and other | Loans and leases | ||||
Fair Value Inputs, Assets, Quantitative Information [Line Items] | ||||
Assets, fair value | 609,000,000 | 906,000,000 | ||
Recurring | Level 3 | Commercial loans, debt securities and other | Mortgage trading loans and ABS | Trading Securities | ||||
Fair Value Inputs, Assets, Quantitative Information [Line Items] | ||||
Assets, fair value | 1,580,000,000 | 4,268,000,000 | ||
Recurring | Level 3 | Commercial loans, debt securities and other | Corporate securities, trading loans and other | Trading Securities | ||||
Fair Value Inputs, Assets, Quantitative Information [Line Items] | ||||
Assets, fair value | 3,224,000,000 | 3,462,000,000 | ||
Recurring | Level 3 | Commercial loans, debt securities and other | Non-U.S. sovereign debt | Trading Securities | ||||
Fair Value Inputs, Assets, Quantitative Information [Line Items] | ||||
Assets, fair value | 574,000,000 | 468,000,000 | ||
Recurring | Level 3 | Commercial loans, debt securities and other | Other taxable securities, substantially all asset-backed securities | Available-for-sale Securities | ||||
Fair Value Inputs, Assets, Quantitative Information [Line Items] | ||||
Assets, fair value | 1,216,000,000 | 3,031,000,000 | ||
Recurring | Level 3 | Auction rate securities | ||||
Fair Value Inputs, Assets, Quantitative Information [Line Items] | ||||
Assets, fair value | 1,096,000,000 | 1,719,000,000 | ||
Recurring | Level 3 | Auction rate securities | Minimum | Income and Market Approach Technique | ||||
Fair Value Inputs [Abstract] | ||||
Projected tender price to refinancing level | 60.00% | |||
Price | 60 | |||
Recurring | Level 3 | Auction rate securities | Maximum | Income and Market Approach Technique | ||||
Fair Value Inputs [Abstract] | ||||
Projected tender price to refinancing level | 100.00% | |||
Price | 100 | |||
Recurring | Level 3 | Auction rate securities | Weighted Average | Income and Market Approach Technique | ||||
Fair Value Inputs [Abstract] | ||||
Projected tender price to refinancing level | 96.00% | |||
Price | 95 | |||
Recurring | Level 3 | Auction rate securities | Corporate securities, trading loans and other | Trading Securities | ||||
Fair Value Inputs, Assets, Quantitative Information [Line Items] | ||||
Assets, fair value | 46,000,000 | 97,000,000 | ||
Recurring | Level 3 | Auction rate securities | Other taxable securities, substantially all asset-backed securities | Available-for-sale Securities | ||||
Fair Value Inputs, Assets, Quantitative Information [Line Items] | ||||
Assets, fair value | 451,000,000 | 816,000,000 | ||
Recurring | Level 3 | Auction rate securities | Tax-exempt securities | Available-for-sale Securities | ||||
Fair Value Inputs, Assets, Quantitative Information [Line Items] | ||||
Assets, fair value | 599,000,000 | 806,000,000 | ||
Recurring | Level 3 | Structured liabilities | Minimum | Income Approach Valuation Technique | ||||
Fair Value Inputs [Abstract] | ||||
Equity correlation | 20.00% | 18.00% | ||
Long-dated equity volatilities | 6.00% | 4.00% | ||
Long-dated inflation volatilities | 0.00% | 0.00% | ||
Recurring | Level 3 | Structured liabilities | Maximum | Income Approach Valuation Technique | ||||
Fair Value Inputs [Abstract] | ||||
Equity correlation | 98.00% | 98.00% | ||
Long-dated equity volatilities | 69.00% | 63.00% | ||
Long-dated inflation volatilities | 2.00% | 2.00% | ||
Recurring | Level 3 | Structured liabilities | Weighted Average | Income Approach Valuation Technique | ||||
Fair Value Inputs [Abstract] | ||||
Equity correlation | 65.00% | |||
Long-dated equity volatilities | 24.00% | |||
Long-dated inflation volatilities | 1.00% | |||
Recurring | Level 3 | Structured liabilities | Long-term debt | ||||
Fair Value Inputs, Assets, Quantitative Information [Line Items] | ||||
Long-term debt | -2,362,000,000 | -1,990,000,000 | ||
Recurring | Level 3 | Structured liabilities | Long-term debt | Weighted Average | Income Approach Valuation Technique | ||||
Fair Value Inputs [Abstract] | ||||
Equity correlation | 70.00% | |||
Long-dated equity volatilities | 27.00% | |||
Long-dated inflation volatilities | 1.00% |
Fair_Value_Measurements_Nonrec
Fair Value Measurements - Nonrecurring Fair Value (Details) (USD $) | 12 Months Ended | ||
In Millions, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Assets and Liabilities Measured at Fair Value on a Nonrecurring Basis | |||
Loans held-for-sale, measured at fair value | $6,801 | $6,656 | |
Loans and leases, measured at fair value | 8,681 | 10,042 | |
Other assets, measured at fair value | 13,873 | 18,055 | |
Nonrecurring | |||
Assets and Liabilities Measured at Fair Value on a Nonrecurring Basis | |||
Gains (Losses) on loans held-for-sale | -19 | -71 | -24 |
Gains (Losses) on loans and leases | -1,132 | -1,104 | -3,116 |
Gains (Losses) on Foreclosed Properties | -40 | -39 | -47 |
Gains (Losses) on other assets | -6 | -20 | -16 |
Nonrecurring | Level 2 | |||
Assets and Liabilities Measured at Fair Value on a Nonrecurring Basis | |||
Loans held-for-sale, measured at fair value | 156 | 2,138 | |
Loans and leases, measured at fair value | 5 | 18 | |
Foreclosed properties, measured at fair value | 0 | 12 | |
Other assets, measured at fair value | 13 | 88 | |
Nonrecurring | Level 3 | |||
Assets and Liabilities Measured at Fair Value on a Nonrecurring Basis | |||
Loans held-for-sale, measured at fair value | 30 | 115 | |
Loans and leases, measured at fair value | 4,636 | 5,240 | |
Foreclosed properties, measured at fair value | 1,197 | 1,258 | |
Other assets, measured at fair value | $0 | $0 |
Fair_Value_Measurements_Nonrec1
Fair Value Measurements - Nonrecurring Fair Value Inputs (Details) (Nonrecurring, Level 3, USD $) | 12 Months Ended | |
In Millions, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 |
Market Comparables | ||
Fair Value Inputs [Abstract] | ||
Cost to sell | 8.00% | |
Market Comparables | Minimum | ||
Fair Value Inputs [Abstract] | ||
Discount Rate | 0.00% | 0.00% |
Cost to sell | 7.00% | |
Market Comparables | Maximum | ||
Fair Value Inputs [Abstract] | ||
Discount Rate | 28.00% | 19.00% |
Cost to sell | 14.00% | |
Instruments backed by residential real estate assets | ||
Fair Value Inputs, Assets, Quantitative Information [Line Items] | ||
Assets, fair value | 4,636 | 5,240 |
Instruments backed by residential real estate assets | Market Comparables | Weighted Average | ||
Fair Value Inputs [Abstract] | ||
Discount Rate | 8.00% | 8.00% |
Instruments backed by residential real estate assets | Loans and leases | ||
Fair Value Inputs, Assets, Quantitative Information [Line Items] | ||
Assets, fair value | 4,636 | 5,240 |
Loans | Market Comparables | Weighted Average | ||
Fair Value Inputs [Abstract] | ||
Discount Rate | 8.00% |
Fair_Value_Option_Elections_De
Fair Value Option - Elections (Details) (USD $) | 12 Months Ended | ||
In Millions, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Loans and Loan Commitments | |||
Fair Value, Option, Quantitative Disclosures [Line Items] | |||
Fair value option, changes in borrower specific credit risk, gains (losses) on assets | $32 | $148 | $527 |
Loans reported as trading account assets | |||
Fair Value, Option, Quantitative Disclosures [Line Items] | |||
Fair value option, changes in borrower specific credit risk, gains (losses) on assets | 28 | 56 | |
Fair Value Carrying Amount Assets | 4,607 | 2,406 | |
Contractual Principal Outstanding Assets | 8,487 | 4,541 | |
Fair Value Carrying Amount Less Unpaid Principal Assets | -3,880 | -2,135 | |
Trading inventory – other | |||
Fair Value, Option, Quantitative Disclosures [Line Items] | |||
Fair Value Carrying Amount Assets | 6,865 | 5,475 | |
Loans and leases | |||
Fair Value, Option, Quantitative Disclosures [Line Items] | |||
Fair Value Carrying Amount Assets | 8,681 | 10,042 | |
Contractual Principal Outstanding Assets | 8,925 | 10,423 | |
Fair Value Carrying Amount Less Unpaid Principal Assets | -244 | -381 | |
Loans Held-for-Sale | |||
Fair Value, Option, Quantitative Disclosures [Line Items] | |||
Fair value option, changes in borrower specific credit risk, gains (losses) on assets | 84 | 225 | 425 |
Fair Value Carrying Amount Assets | 6,801 | 6,656 | |
Contractual Principal Outstanding Assets | 6,920 | 6,996 | |
Fair Value Carrying Amount Less Unpaid Principal Assets | -119 | -340 | |
Securities financing agreements | |||
Fair Value, Option, Quantitative Disclosures [Line Items] | |||
Fair Value Carrying Amount Assets | 97,539 | 95,156 | |
Contractual Principal Outstanding Assets | 97,234 | 94,890 | |
Fair Value Carrying Amount Less Unpaid Principal Assets | 305 | 266 | |
Other assets | |||
Fair Value, Option, Quantitative Disclosures [Line Items] | |||
Fair Value Carrying Amount Assets | 253 | 278 | |
Contractual Principal Outstanding Assets | 270 | 270 | |
Fair Value Carrying Amount Less Unpaid Principal Assets | -17 | 8 | |
Long-term deposits | |||
Fair Value, Option, Quantitative Disclosures [Line Items] | |||
Fair Value Carrying Amount Liabilities | 1,469 | 1,899 | |
Contractual Principal Outstanding Liabilities | 1,361 | 1,797 | |
Fair Value Carrying Amount Less Unpaid Principal Liabilities | 108 | 102 | |
Unfunded loan commitments | |||
Fair Value, Option, Quantitative Disclosures [Line Items] | |||
Fair Value Carrying Amount Liabilities | 405 | 354 | |
Short-term borrowings | |||
Fair Value, Option, Quantitative Disclosures [Line Items] | |||
Fair Value Carrying Amount Liabilities | 2,697 | 1,520 | |
Contractual Principal Outstanding Liabilities | 2,697 | 1,520 | |
Fair Value Carrying Amount Less Unpaid Principal Liabilities | 0 | 0 | |
Long-term debt | |||
Fair Value, Option, Quantitative Disclosures [Line Items] | |||
Fair Value Carrying Amount Liabilities | 36,404 | 47,035 | |
Contractual Principal Outstanding Liabilities | 35,815 | 46,669 | |
Fair Value Carrying Amount Less Unpaid Principal Liabilities | 589 | 366 | |
Structured liabilities | |||
Fair Value, Option, Quantitative Disclosures [Line Items] | |||
Fair Value Carrying Amount Liabilities | 35,300 | 40,700 | |
Contractual Principal Outstanding Liabilities | $34,600 | $39,700 |
Fair_Value_Option_Changes_in_F
Fair Value Option - Changes in FV of Assets and Liabilities (Details) (USD $) | 12 Months Ended | ||
In Millions, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Fair Value, Option, Quantitative Disclosures [Line Items] | |||
Gains (Losses) Relating to Assets and Liabilities Accounted for Under the Fair Value Option | $2,395 | $1,385 | ($1,756) |
Loans reported as trading account assets | |||
Fair Value, Option, Quantitative Disclosures [Line Items] | |||
Gains (Losses) Relating to Assets and Liabilities Accounted for Under the Fair Value Option | -87 | 83 | 232 |
Trading inventory – other | |||
Fair Value, Option, Quantitative Disclosures [Line Items] | |||
Gains (Losses) Relating to Assets and Liabilities Accounted for Under the Fair Value Option | 1,091 | 1,355 | 659 |
Loans and leases | |||
Fair Value, Option, Quantitative Disclosures [Line Items] | |||
Gains (Losses) Relating to Assets and Liabilities Accounted for Under the Fair Value Option | 45 | 174 | 559 |
Loans Held-for-Sale | |||
Fair Value, Option, Quantitative Disclosures [Line Items] | |||
Gains (Losses) Relating to Assets and Liabilities Accounted for Under the Fair Value Option | 825 | 1,048 | 3,313 |
Securities financing agreements | |||
Fair Value, Option, Quantitative Disclosures [Line Items] | |||
Gains (Losses) Relating to Assets and Liabilities Accounted for Under the Fair Value Option | -110 | -80 | -90 |
Other assets | |||
Fair Value, Option, Quantitative Disclosures [Line Items] | |||
Gains (Losses) Relating to Assets and Liabilities Accounted for Under the Fair Value Option | -77 | 12 | |
Long-term deposits | |||
Fair Value, Option, Quantitative Disclosures [Line Items] | |||
Gains (Losses) Relating to Assets and Liabilities Accounted for Under the Fair Value Option | -3 | 114 | 29 |
Asset-backed securities | |||
Fair Value, Option, Quantitative Disclosures [Line Items] | |||
Gains (Losses) Relating to Assets and Liabilities Accounted for Under the Fair Value Option | -91 | -180 | |
Unfunded loan commitments | |||
Fair Value, Option, Quantitative Disclosures [Line Items] | |||
Gains (Losses) Relating to Assets and Liabilities Accounted for Under the Fair Value Option | -64 | 180 | 704 |
Short-term borrowings | |||
Fair Value, Option, Quantitative Disclosures [Line Items] | |||
Gains (Losses) Relating to Assets and Liabilities Accounted for Under the Fair Value Option | 52 | -70 | 1 |
Long-term debt | |||
Fair Value, Option, Quantitative Disclosures [Line Items] | |||
Gains (Losses) Relating to Assets and Liabilities Accounted for Under the Fair Value Option | 646 | -1,251 | -6,995 |
Trading Account Profits (Losses) | |||
Fair Value, Option, Quantitative Disclosures [Line Items] | |||
Gains (Losses) Relating to Assets and Liabilities Accounted for Under the Fair Value Option | 1,128 | 695 | -994 |
Trading Account Profits (Losses) | Loans reported as trading account assets | |||
Fair Value, Option, Quantitative Disclosures [Line Items] | |||
Gains (Losses) Relating to Assets and Liabilities Accounted for Under the Fair Value Option | -87 | 83 | 232 |
Trading Account Profits (Losses) | Trading inventory – other | |||
Fair Value, Option, Quantitative Disclosures [Line Items] | |||
Gains (Losses) Relating to Assets and Liabilities Accounted for Under the Fair Value Option | 1,091 | 1,355 | 659 |
Trading Account Profits (Losses) | Loans and leases | |||
Fair Value, Option, Quantitative Disclosures [Line Items] | |||
Gains (Losses) Relating to Assets and Liabilities Accounted for Under the Fair Value Option | -24 | -28 | 17 |
Trading Account Profits (Losses) | Loans Held-for-Sale | |||
Fair Value, Option, Quantitative Disclosures [Line Items] | |||
Gains (Losses) Relating to Assets and Liabilities Accounted for Under the Fair Value Option | -56 | 7 | 75 |
Trading Account Profits (Losses) | Securities financing agreements | |||
Fair Value, Option, Quantitative Disclosures [Line Items] | |||
Gains (Losses) Relating to Assets and Liabilities Accounted for Under the Fair Value Option | -110 | -80 | -90 |
Trading Account Profits (Losses) | Other assets | |||
Fair Value, Option, Quantitative Disclosures [Line Items] | |||
Gains (Losses) Relating to Assets and Liabilities Accounted for Under the Fair Value Option | 0 | 0 | |
Trading Account Profits (Losses) | Long-term deposits | |||
Fair Value, Option, Quantitative Disclosures [Line Items] | |||
Gains (Losses) Relating to Assets and Liabilities Accounted for Under the Fair Value Option | 23 | 30 | 0 |
Trading Account Profits (Losses) | Asset-backed securities | |||
Fair Value, Option, Quantitative Disclosures [Line Items] | |||
Gains (Losses) Relating to Assets and Liabilities Accounted for Under the Fair Value Option | 0 | 0 | |
Trading Account Profits (Losses) | Unfunded loan commitments | |||
Fair Value, Option, Quantitative Disclosures [Line Items] | |||
Gains (Losses) Relating to Assets and Liabilities Accounted for Under the Fair Value Option | 0 | 0 | 0 |
Trading Account Profits (Losses) | Short-term borrowings | |||
Fair Value, Option, Quantitative Disclosures [Line Items] | |||
Gains (Losses) Relating to Assets and Liabilities Accounted for Under the Fair Value Option | 52 | -70 | 1 |
Trading Account Profits (Losses) | Long-term debt | |||
Fair Value, Option, Quantitative Disclosures [Line Items] | |||
Gains (Losses) Relating to Assets and Liabilities Accounted for Under the Fair Value Option | 239 | -602 | -1,888 |
Mortgage Banking Income (Loss) | |||
Fair Value, Option, Quantitative Disclosures [Line Items] | |||
Gains (Losses) Relating to Assets and Liabilities Accounted for Under the Fair Value Option | 798 | 837 | 2,868 |
Mortgage Banking Income (Loss) | Loans reported as trading account assets | |||
Fair Value, Option, Quantitative Disclosures [Line Items] | |||
Gains (Losses) Relating to Assets and Liabilities Accounted for Under the Fair Value Option | 0 | 0 | 0 |
Mortgage Banking Income (Loss) | Trading inventory – other | |||
Fair Value, Option, Quantitative Disclosures [Line Items] | |||
Gains (Losses) Relating to Assets and Liabilities Accounted for Under the Fair Value Option | 0 | 0 | 0 |
Mortgage Banking Income (Loss) | Loans and leases | |||
Fair Value, Option, Quantitative Disclosures [Line Items] | |||
Gains (Losses) Relating to Assets and Liabilities Accounted for Under the Fair Value Option | 0 | -38 | 0 |
Mortgage Banking Income (Loss) | Loans Held-for-Sale | |||
Fair Value, Option, Quantitative Disclosures [Line Items] | |||
Gains (Losses) Relating to Assets and Liabilities Accounted for Under the Fair Value Option | 798 | 966 | 3,048 |
Mortgage Banking Income (Loss) | Securities financing agreements | |||
Fair Value, Option, Quantitative Disclosures [Line Items] | |||
Gains (Losses) Relating to Assets and Liabilities Accounted for Under the Fair Value Option | 0 | 0 | 0 |
Mortgage Banking Income (Loss) | Other assets | |||
Fair Value, Option, Quantitative Disclosures [Line Items] | |||
Gains (Losses) Relating to Assets and Liabilities Accounted for Under the Fair Value Option | 0 | 0 | |
Mortgage Banking Income (Loss) | Long-term deposits | |||
Fair Value, Option, Quantitative Disclosures [Line Items] | |||
Gains (Losses) Relating to Assets and Liabilities Accounted for Under the Fair Value Option | 0 | 0 | 0 |
Mortgage Banking Income (Loss) | Asset-backed securities | |||
Fair Value, Option, Quantitative Disclosures [Line Items] | |||
Gains (Losses) Relating to Assets and Liabilities Accounted for Under the Fair Value Option | -91 | -180 | |
Mortgage Banking Income (Loss) | Unfunded loan commitments | |||
Fair Value, Option, Quantitative Disclosures [Line Items] | |||
Gains (Losses) Relating to Assets and Liabilities Accounted for Under the Fair Value Option | 0 | 0 | 0 |
Mortgage Banking Income (Loss) | Short-term borrowings | |||
Fair Value, Option, Quantitative Disclosures [Line Items] | |||
Gains (Losses) Relating to Assets and Liabilities Accounted for Under the Fair Value Option | 0 | 0 | 0 |
Mortgage Banking Income (Loss) | Long-term debt | |||
Fair Value, Option, Quantitative Disclosures [Line Items] | |||
Gains (Losses) Relating to Assets and Liabilities Accounted for Under the Fair Value Option | 0 | 0 | 0 |
Other Income (Loss) | |||
Fair Value, Option, Quantitative Disclosures [Line Items] | |||
Gains (Losses) Relating to Assets and Liabilities Accounted for Under the Fair Value Option | 469 | -147 | -3,630 |
Other Income (Loss) | Loans reported as trading account assets | |||
Fair Value, Option, Quantitative Disclosures [Line Items] | |||
Gains (Losses) Relating to Assets and Liabilities Accounted for Under the Fair Value Option | 0 | 0 | 0 |
Other Income (Loss) | Trading inventory – other | |||
Fair Value, Option, Quantitative Disclosures [Line Items] | |||
Gains (Losses) Relating to Assets and Liabilities Accounted for Under the Fair Value Option | 0 | 0 | 0 |
Other Income (Loss) | Loans and leases | |||
Fair Value, Option, Quantitative Disclosures [Line Items] | |||
Gains (Losses) Relating to Assets and Liabilities Accounted for Under the Fair Value Option | 69 | 240 | 542 |
Other Income (Loss) | Loans Held-for-Sale | |||
Fair Value, Option, Quantitative Disclosures [Line Items] | |||
Gains (Losses) Relating to Assets and Liabilities Accounted for Under the Fair Value Option | 83 | 75 | 190 |
Other Income (Loss) | Securities financing agreements | |||
Fair Value, Option, Quantitative Disclosures [Line Items] | |||
Gains (Losses) Relating to Assets and Liabilities Accounted for Under the Fair Value Option | 0 | 0 | 0 |
Other Income (Loss) | Other assets | |||
Fair Value, Option, Quantitative Disclosures [Line Items] | |||
Gains (Losses) Relating to Assets and Liabilities Accounted for Under the Fair Value Option | -77 | 12 | |
Other Income (Loss) | Long-term deposits | |||
Fair Value, Option, Quantitative Disclosures [Line Items] | |||
Gains (Losses) Relating to Assets and Liabilities Accounted for Under the Fair Value Option | -26 | 84 | 29 |
Other Income (Loss) | Asset-backed securities | |||
Fair Value, Option, Quantitative Disclosures [Line Items] | |||
Gains (Losses) Relating to Assets and Liabilities Accounted for Under the Fair Value Option | 0 | 0 | |
Other Income (Loss) | Unfunded loan commitments | |||
Fair Value, Option, Quantitative Disclosures [Line Items] | |||
Gains (Losses) Relating to Assets and Liabilities Accounted for Under the Fair Value Option | -64 | 180 | 704 |
Other Income (Loss) | Short-term borrowings | |||
Fair Value, Option, Quantitative Disclosures [Line Items] | |||
Gains (Losses) Relating to Assets and Liabilities Accounted for Under the Fair Value Option | 0 | 0 | 0 |
Other Income (Loss) | Long-term debt | |||
Fair Value, Option, Quantitative Disclosures [Line Items] | |||
Gains (Losses) Relating to Assets and Liabilities Accounted for Under the Fair Value Option | $407 | ($649) | ($5,107) |
Fair_Value_of_Financial_Instru2
Fair Value of Financial Instruments (Details) (USD $) | Dec. 31, 2014 | Dec. 31, 2013 |
In Millions, unless otherwise specified | ||
Financial assets | ||
Loans held-for-sale, measured at fair value | $6,801 | $6,656 |
Financial liabilities | ||
Long-term debt | 36,404 | 47,035 |
Carrying Value | ||
Financial assets | ||
Loans | 842,259 | 885,724 |
Loans held-for-sale, measured at fair value | 12,836 | 11,362 |
Financial liabilities | ||
Deposits | 1,118,936 | 1,119,271 |
Long-term debt | 243,139 | 249,674 |
Commercial unfunded lending commitments | -932 | -830 |
Estimate of Fair Value Measurement | ||
Financial assets | ||
Loans | 863,544 | 891,837 |
Loans held-for-sale, measured at fair value | 12,854 | 11,485 |
Financial liabilities | ||
Deposits | 1,119,427 | 1,119,512 |
Long-term debt | 252,054 | 259,392 |
Commercial unfunded lending commitments | -3,800 | -3,700 |
Estimate of Fair Value Measurement | Level 2 | ||
Financial assets | ||
Loans | 87,174 | 102,564 |
Loans held-for-sale, measured at fair value | 12,236 | 8,872 |
Financial liabilities | ||
Deposits | 1,119,427 | 1,119,512 |
Long-term debt | 249,692 | 257,402 |
Estimate of Fair Value Measurement | Level 3 | ||
Financial assets | ||
Loans | 776,370 | 789,273 |
Loans held-for-sale, measured at fair value | 618 | 2,613 |
Financial liabilities | ||
Deposits | 0 | 0 |
Long-term debt | $2,362 | $1,990 |
Mortgage_Servicing_Rights_Addi
Mortgage Servicing Rights - Additional Information (Details) (Residential Reverse Mortgage Servicing Rights [Member], USD $) | Dec. 31, 2013 |
In Millions, unless otherwise specified | |
Residential Reverse Mortgage Servicing Rights [Member] | |
Servicing Asset at Amortized Cost [Line Items] | |
Servicing assets at amortized cost | $10 |
Mortgage_Servicing_Rights_Roll
Mortgage Servicing Rights - Rollforward of Mortgage Servicing Rights (Details) (USD $) | 12 Months Ended | |
Dec. 31, 2014 | Dec. 31, 2013 | |
Activity for residential first mortgage MSRs | ||
Balance, beginning of period | $5,042,000,000 | $5,716,000,000 |
Additions | 707,000,000 | 472,000,000 |
Sales | -61,000,000 | -2,044,000,000 |
Amortization of expected cash flows | -927,000,000 | -1,043,000,000 |
Impact of changes in interest rates and other market factors | -1,191,000,000 | 1,524,000,000 |
Model and other cash flow assumption changes: | ||
Projected cash flows, including changes in costs to service loans | -163,000,000 | -27,000,000 |
Impact of changes in the Home Price Index | -25,000,000 | -398,000,000 |
Impact of changes to the prepayment model | 243,000,000 | 609,000,000 |
Other model changes | -95,000,000 | 233,000,000 |
Balance, end of period | 3,530,000,000 | 5,042,000,000 |
Mortgage loans serviced for investors (in billions) | 490,000,000,000 | 550,000,000,000 |
Option adjusted spread due to MSR model recalibration | -127,000,000 | |
Consumer Portfolio Segment | United States | ||
Model and other cash flow assumption changes: | ||
Balance, end of period | 3,300,000,000 | |
Consumer Portfolio Segment | Non United States | ||
Model and other cash flow assumption changes: | ||
Balance, end of period | $259,000,000 |
Mortgage_Servicing_Rights_Sign
Mortgage Servicing Rights - Significant Economic Assumptions (Details) | 12 Months Ended | |
Dec. 31, 2014 | Dec. 31, 2013 | |
Fixed | ||
Assumption for Fair Value as of Balance Sheet Date of Assets or Liabilities that relate to Transferor's Continuing Involvement [Line Items] | ||
Weighted-average OAS | 4.52% | 3.97% |
Weighted-average life, in years | 4 years 6 months 10 days | 5 years 8 months 12 days |
Adjustable | ||
Assumption for Fair Value as of Balance Sheet Date of Assets or Liabilities that relate to Transferor's Continuing Involvement [Line Items] | ||
Weighted-average OAS | 7.61% | 7.61% |
Weighted-average life, in years | 2 years 11 months 12 days | 2 years 10 months 9 days |
Mortgage_Servicing_Rights_Sens
Mortgage Servicing Rights - Sensitivity Impacts (Details) (USD $) | 12 Months Ended |
In Millions, unless otherwise specified | Dec. 31, 2014 |
Sensitivity Analysis of Fair Value of Interests Continued to be Held by Transferor, Servicing Assets or Liabilities, Impact of Adverse Change in Assumption [Line Items] | |
Prepayment rates, impact of 10 percent increase | 232 |
Prepayment rates, impact of 20 percent increase | 494 |
Prepayment rates, impact of 10 percent decrease | -208 |
Prepayment rates, impact of 20 percent decrease | -395 |
OAS level, impact of 100 bps decrease | 158 |
OAS level, impact of 200 bps decrease | 329 |
OAS level, impact of 100 bps increase | -146 |
OAS level, impact of 200 bps increase | -281 |
Fixed | |
Sensitivity Analysis of Fair Value of Interests Continued to be Held by Transferor, Servicing Assets or Liabilities, Impact of Adverse Change in Assumption [Line Items] | |
Impact of 10 percent decrease | 2 months 23 days |
Impact of 20 percent decrease | 6 months |
Impact of 10 percent increase | 2 months 15 days |
Impact of 20 percent increase | 4 months 20 days |
Adjustable | |
Sensitivity Analysis of Fair Value of Interests Continued to be Held by Transferor, Servicing Assets or Liabilities, Impact of Adverse Change in Assumption [Line Items] | |
Impact of 10 percent decrease | 2 months 8 days |
Impact of 20 percent decrease | 4 months 24 days |
Impact of 10 percent increase | 1 month 27 days |
Impact of 20 percent increase | 3 months 21 days |
Business_Segment_Information_N
Business Segment Information - Narrative (Details) | 12 Months Ended |
Dec. 31, 2014 | |
segments | |
atm | |
banking_center | |
state | |
Segment Reporting Information [Line Items] | |
Number of operating segments | 5 |
Number of states in which entity operates | 32 |
Number of banking centers | 4,800 |
Number of ATMs | 15,800 |
Business_Segment_Information_D
Business Segment Information (Details) (USD $) | 12 Months Ended | ||
In Millions, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Segment Reporting Information [Line Items] | |||
Net interest income (FTE basis) | $40,821 | $43,124 | $41,557 |
Noninterest income | 44,295 | 46,677 | 42,678 |
Total revenue, net of interest expense (FTE basis) | 85,116 | 89,801 | 84,235 |
Provision for credit losses | 2,275 | 3,556 | 8,169 |
Amortization of intangibles | 936 | 1,086 | 1,264 |
Other noninterest expense | 74,181 | 68,128 | 70,829 |
Income before income taxes (FTE basis) | 7,724 | 17,031 | 3,973 |
Income tax expense (benefit) (FTE basis) | 2,891 | 5,600 | -215 |
Net income | 4,833 | 11,431 | 4,188 |
Year-end total assets | 2,104,534 | 2,102,273 | |
Operating Segments | |||
Segment Reporting Information [Line Items] | |||
Total revenue, net of interest expense (FTE basis) | 85,688 | 87,073 | 79,726 |
Net income | 4,775 | 10,669 | 4,849 |
Year-end total assets | 1,846,486 | 1,834,751 | |
Operating Segments | Consumer Banking | |||
Segment Reporting Information [Line Items] | |||
Net interest income (FTE basis) | 20,178 | 20,620 | 20,470 |
Noninterest income | 10,630 | 11,313 | 12,800 |
Total revenue, net of interest expense (FTE basis) | 30,808 | 31,933 | 33,270 |
Provision for credit losses | 2,680 | 3,166 | 4,199 |
Amortization of intangibles | 398 | 502 | 622 |
Other noninterest expense | 17,458 | 18,409 | 18,818 |
Income before income taxes (FTE basis) | 10,272 | 9,856 | 9,631 |
Income tax expense (benefit) (FTE basis) | 3,831 | 3,613 | 3,456 |
Net income | 6,441 | 6,243 | 6,175 |
Year-end total assets | 589,048 | 567,741 | |
Operating Segments | Global Wealth & Investment Management | |||
Segment Reporting Information [Line Items] | |||
Net interest income (FTE basis) | 1,516 | 1,541 | 1,567 |
Noninterest income | 1,164 | 2,915 | 2,537 |
Total revenue, net of interest expense (FTE basis) | 2,680 | 4,456 | 4,104 |
Provision for credit losses | 127 | -283 | 1,371 |
Amortization of intangibles | 0 | 0 | 0 |
Other noninterest expense | 20,643 | 12,483 | 13,759 |
Income before income taxes (FTE basis) | -18,090 | -7,744 | -11,026 |
Income tax expense (benefit) (FTE basis) | -4,976 | -2,839 | -3,857 |
Net income | -13,114 | -4,905 | -7,169 |
Year-end total assets | 45,958 | 59,458 | |
Operating Segments | Global Banking | |||
Segment Reporting Information [Line Items] | |||
Net interest income (FTE basis) | 5,836 | 6,064 | 5,827 |
Noninterest income | 12,568 | 11,726 | 10,691 |
Total revenue, net of interest expense (FTE basis) | 18,404 | 17,790 | 16,518 |
Provision for credit losses | 14 | 56 | 266 |
Amortization of intangibles | 367 | 387 | 410 |
Other noninterest expense | 13,280 | 12,646 | 12,312 |
Income before income taxes (FTE basis) | 4,743 | 4,701 | 3,530 |
Income tax expense (benefit) (FTE basis) | 1,769 | 1,724 | 1,286 |
Net income | 2,974 | 2,977 | 2,244 |
Year-end total assets | 274,887 | 271,290 | |
Operating Segments | Global Markets | |||
Segment Reporting Information [Line Items] | |||
Net interest income (FTE basis) | 9,828 | 9,704 | 8,888 |
Noninterest income | 7,849 | 7,800 | 7,772 |
Total revenue, net of interest expense (FTE basis) | 17,677 | 17,504 | 16,660 |
Provision for credit losses | 322 | 1,142 | -321 |
Amortization of intangibles | 45 | 64 | 83 |
Other noninterest expense | 8,217 | 8,085 | 8,121 |
Income before income taxes (FTE basis) | 9,093 | 8,213 | 8,777 |
Income tax expense (benefit) (FTE basis) | 3,338 | 3,013 | 3,194 |
Net income | 5,755 | 5,200 | 5,583 |
Year-end total assets | 357,081 | 360,789 | |
Operating Segments | Legacy Assets & Servicing | |||
Segment Reporting Information [Line Items] | |||
Net interest income (FTE basis) | 3,986 | 4,224 | 3,667 |
Noninterest income | 12,133 | 11,166 | 5,507 |
Total revenue, net of interest expense (FTE basis) | 16,119 | 15,390 | 9,174 |
Provision for credit losses | 110 | 140 | 34 |
Amortization of intangibles | 65 | 65 | 64 |
Other noninterest expense | 11,706 | 11,930 | 11,221 |
Income before income taxes (FTE basis) | 4,238 | 3,255 | -2,145 |
Income tax expense (benefit) (FTE basis) | 1,519 | 2,101 | -161 |
Net income | 2,719 | 1,154 | -1,984 |
Year-end total assets | 579,512 | 575,473 | |
All Other | |||
Segment Reporting Information [Line Items] | |||
Net interest income (FTE basis) | -523 | 971 | 1,138 |
Noninterest income | -49 | 1,757 | 3,371 |
Total revenue, net of interest expense (FTE basis) | -572 | 2,728 | 4,509 |
Provision for credit losses | -978 | -665 | 2,620 |
Amortization of intangibles | 61 | 68 | 85 |
Other noninterest expense | 2,877 | 4,575 | 6,598 |
Income before income taxes (FTE basis) | -2,532 | -1,250 | -4,794 |
Income tax expense (benefit) (FTE basis) | -2,590 | -2,012 | -4,133 |
Net income | 58 | 762 | -661 |
Year-end total assets | $258,048 | $267,522 |
Business_Segment_Information_R
Business Segment Information - Reconciliation of Revenue and Net Income (Details) (USD $) | 12 Months Ended | ||
In Millions, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Segment Reporting Information [Line Items] | |||
Segments’ total revenue, net of interest expense (FTE basis) | $85,116 | $89,801 | $84,235 |
Revenues | 84,247 | 88,942 | 83,334 |
Reclassification to net income | 4,833 | 11,431 | 4,188 |
Year-end total assets | 2,104,534 | 2,102,273 | |
Operating Segments | |||
Segment Reporting Information [Line Items] | |||
Segments’ total revenue, net of interest expense (FTE basis) | 85,688 | 87,073 | 79,726 |
Reclassification to net income | 4,775 | 10,669 | 4,849 |
Year-end total assets | 1,846,486 | 1,834,751 | |
ALM activities | |||
Segment Reporting Information [Line Items] | |||
Revenues | -804 | -545 | 2,266 |
Reclassification to net income | -343 | -929 | -1,144 |
Year-end total assets | 658,319 | 664,519 | |
Equity investment income | |||
Segment Reporting Information [Line Items] | |||
Revenues | 729 | 2,737 | 1,252 |
Reclassification to net income | 456 | 1,724 | 789 |
Year-end total assets | 4,886 | 5,637 | |
Liquidating businesses and other | |||
Segment Reporting Information [Line Items] | |||
Revenues | -497 | 536 | 991 |
Reclassification to net income | -55 | -33 | -306 |
Year-end total assets | 73,018 | 70,879 | |
FTE basis adjustment | |||
Segment Reporting Information [Line Items] | |||
Revenues | -869 | -859 | -901 |
Elimination of segment asset allocations to match liabilities | |||
Segment Reporting Information [Line Items] | |||
Year-end total assets | ($478,175) | ($473,513) |
Parent_Company_Information_Inc
Parent Company Information - Income Statement (Details) (USD $) | 12 Months Ended | ||
In Millions, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Condensed Income Statements, Captions [Line Items] | |||
Other income (loss) | $1,203 | ($49) | ($2,087) |
Revenues | 84,247 | 88,942 | 83,334 |
Noninterest expense | 75,117 | 69,214 | 72,093 |
Income tax expense (benefit) | 2,022 | 4,741 | -1,116 |
Net income | 4,833 | 11,431 | 4,188 |
Net income (loss) applicable to common shareholders | 3,789 | 10,082 | 2,760 |
Bank of America Corporation | |||
Condensed Income Statements, Captions [Line Items] | |||
Interest from subsidiaries | 1,836 | 2,087 | 627 |
Other income (loss) | 72 | 233 | -304 |
Revenues | 14,457 | 11,209 | 17,078 |
Interest on borrowed funds | 7,213 | 8,109 | 6,147 |
Noninterest expense | 4,471 | 10,938 | 10,872 |
Total Expense | 11,684 | 19,047 | 17,019 |
Income (loss) before income taxes and equity in undistributed earnings of subsidiaries | 2,773 | -7,838 | 59 |
Income tax expense (benefit) | -4,079 | -7,227 | -5,883 |
Income (loss) before equity in undistributed earnings of subsidiaries | 6,852 | -611 | 5,942 |
Bank holding companies and related subsidiaries | -2,019 | 12,042 | -1,754 |
Net income | 4,833 | 11,431 | 4,188 |
Net income (loss) applicable to common shareholders | 3,789 | 10,082 | 2,760 |
Bank Holding Companies and Related Subsidiaries | Bank of America Corporation | |||
Condensed Income Statements, Captions [Line Items] | |||
Dividends from subsidiaries | 12,400 | 8,532 | 16,213 |
Bank holding companies and related subsidiaries | 3,613 | 14,150 | 1,072 |
Nonbank Companies and Related Subsidiaries | Bank of America Corporation | |||
Condensed Income Statements, Captions [Line Items] | |||
Dividends from subsidiaries | 149 | 357 | 542 |
Bank holding companies and related subsidiaries | ($5,632) | ($2,108) | ($2,826) |
Parent_Company_Information_Bal
Parent Company Information - Balance Sheet (Details) (USD $) | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
In Millions, unless otherwise specified | ||||
Assets | ||||
Cash held at bank subsidiaries | $138,589 | $131,322 | $110,752 | $120,102 |
Securities | 380,461 | 323,945 | ||
All other assets | 112,063 | 124,090 | ||
Total assets | 2,104,534 | 2,102,273 | ||
Liabilities and Equity [Abstract] | ||||
Accrued expenses and other liabilities | 145,438 | 135,662 | ||
Long-term debt | 243,139 | 249,674 | ||
Total liabilities | 1,861,063 | 1,869,588 | ||
Shareholders’ equity | 243,471 | 232,685 | 236,956 | 230,101 |
Total liabilities and shareholders’ equity | 2,104,534 | 2,102,273 | ||
Bank of America Corporation | ||||
Assets | ||||
Cash held at bank subsidiaries | 100,304 | 98,679 | 124,991 | |
Securities | 932 | 747 | ||
All other assets | 14,599 | 19,073 | ||
Total assets | 466,417 | 460,368 | ||
Liabilities and Equity [Abstract] | ||||
Short-term borrowings | 46 | 181 | ||
Accrued expenses and other liabilities | 16,872 | 15,428 | ||
Long-term debt | 185,771 | 194,103 | ||
Total liabilities | 222,946 | 227,683 | ||
Shareholders’ equity | 243,471 | 232,685 | ||
Total liabilities and shareholders’ equity | 466,417 | 460,368 | ||
Third party cash held | 29 | 33 | ||
Bank Holding Companies and Related Subsidiaries | Bank of America Corporation | ||||
Assets | ||||
Receivables from subsidiaries | 23,356 | 23,558 | ||
Investments in subsidiaries | 270,441 | 268,234 | ||
Banks and Related Subsidiaries | Bank of America Corporation | ||||
Assets | ||||
Receivables from subsidiaries | 2,395 | 1,682 | ||
Liabilities and Equity [Abstract] | ||||
Payables to subsidiaries | 2,559 | 1,991 | ||
Nonbank Companies and Related Subsidiaries | Bank of America Corporation | ||||
Assets | ||||
Receivables from subsidiaries | 52,251 | 46,577 | ||
Investments in subsidiaries | 2,139 | 1,818 | ||
Liabilities and Equity [Abstract] | ||||
Payables to subsidiaries | $17,698 | $15,980 |
Parent_Company_Information_Sta
Parent Company Information - Statement of Cash Flows (Details) (USD $) | 12 Months Ended | ||
In Millions, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Condensed Cash Flow Statements, Captions [Line Items] | |||
Net income | $4,833 | $11,431 | $4,188 |
Operating activities | |||
Other operating activities, net | -1,662 | 2,806 | 4,951 |
Investing activities | |||
Other investing activities, net | -1,621 | -1,097 | -320 |
Financing activities | |||
Short-term borrowings | -14,827 | 16,009 | -5,017 |
Proceeds from issuance | 51,573 | 45,658 | 22,200 |
Retirement of long-term debt | -53,749 | -65,602 | -124,389 |
Proceeds from issuance of preferred stock | 5,957 | 1,008 | 667 |
Redemption of preferred stock | 0 | -6,461 | 0 |
Common stock repurchased | -1,675 | -3,220 | 0 |
Cash dividends paid | -2,306 | -1,677 | -1,909 |
Other financing activities, net | -44 | -26 | 236 |
Net increase (decrease) in cash and cash equivalents | 7,267 | 20,570 | -9,350 |
Cash and cash equivalents at January 1 | 131,322 | 110,752 | 120,102 |
Cash and cash equivalents at December 31 | 138,589 | 131,322 | 110,752 |
Bank of America Corporation | |||
Condensed Cash Flow Statements, Captions [Line Items] | |||
Net income | 4,833 | 11,431 | 4,188 |
Operating activities | |||
Equity in undistributed (earnings) losses of subsidiaries | 2,019 | -12,042 | 1,754 |
Other operating activities, net | 2,143 | -10,422 | -3,432 |
Net cash provided by (used in) operating activities | 8,995 | -11,033 | 2,510 |
Investing activities | |||
Net sales (purchases) of securities | -142 | 459 | 13 |
Net payments from (to) subsidiaries | -5,902 | 39,336 | 12,973 |
Other investing activities, net | 19 | 3 | 445 |
Net cash provided by (used in) investing activities | -6,025 | 39,798 | 13,431 |
Financing activities | |||
Short-term borrowings | -55 | 178 | -616 |
Net increase (decrease) in other advances | 1,264 | -14,378 | 10,100 |
Proceeds from issuance | 29,324 | 30,966 | 17,176 |
Retirement of long-term debt | -33,854 | -39,320 | -63,851 |
Proceeds from issuance of preferred stock | 5,957 | 1,008 | 667 |
Redemption of preferred stock | -6,461 | ||
Common stock repurchased | -1,675 | -3,220 | |
Cash dividends paid | -2,306 | -1,677 | -1,909 |
Other financing activities, net | 0 | -668 | |
Net cash provided by (used in) financing activities | -1,345 | -32,904 | -39,101 |
Net increase (decrease) in cash and cash equivalents | 1,625 | -4,139 | -23,160 |
Cash and cash equivalents at January 1 | 98,679 | 124,991 | |
Cash and cash equivalents at December 31 | 100,304 | 98,679 | |
Successor | Bank of America Corporation | |||
Financing activities | |||
Cash and cash equivalents at December 31 | 102,818 | ||
Predecessor | Bank of America Corporation | |||
Financing activities | |||
Cash and cash equivalents at December 31 | $101,831 |
Performance_by_Geographic_Area2
Performance by Geographic Area (Details) (USD $) | 12 Months Ended | ||
In Millions, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Revenues from External Customers and Long-Lived Assets [Line Items] | |||
Total assets | $2,104,534 | $2,102,273 | |
Total revenue, net of interest expense | 84,247 | 88,942 | 83,334 |
Income Before Income Taxes | 6,855 | 16,172 | 3,072 |
Net income | 4,833 | 11,431 | 4,188 |
U.S. | |||
Revenues from External Customers and Long-Lived Assets [Line Items] | |||
Total assets | 1,792,719 | 1,803,243 | |
Total revenue, net of interest expense | 72,960 | 76,612 | 72,175 |
Income Before Income Taxes | 4,643 | 13,221 | 1,867 |
Net income | 3,305 | 10,588 | 4,116 |
Asia | |||
Revenues from External Customers and Long-Lived Assets [Line Items] | |||
Total assets | 92,005 | 98,605 | |
Total revenue, net of interest expense | 3,605 | 4,442 | 3,478 |
Income Before Income Taxes | 759 | 1,382 | 353 |
Net income | 473 | 887 | 282 |
Europe, Middle East and Africa | |||
Revenues from External Customers and Long-Lived Assets [Line Items] | |||
Total assets | 190,365 | 169,708 | |
Total revenue, net of interest expense | 6,409 | 6,353 | 6,011 |
Income Before Income Taxes | 1,098 | 1,003 | 323 |
Net income | 813 | -403 | -543 |
Latin America and the Caribbean | |||
Revenues from External Customers and Long-Lived Assets [Line Items] | |||
Total assets | 29,445 | 30,717 | |
Total revenue, net of interest expense | 1,273 | 1,535 | 1,670 |
Income Before Income Taxes | 355 | 566 | 529 |
Net income | 242 | 359 | 333 |
Total Non-U.S. | |||
Revenues from External Customers and Long-Lived Assets [Line Items] | |||
Total assets | 311,815 | 299,030 | |
Total revenue, net of interest expense | 11,287 | 12,330 | 11,159 |
Income Before Income Taxes | 2,212 | 2,951 | 1,205 |
Net income | 1,528 | 843 | 72 |
Bank of America Corporation | |||
Revenues from External Customers and Long-Lived Assets [Line Items] | |||
Total assets | 466,417 | 460,368 | |
Total revenue, net of interest expense | 14,457 | 11,209 | 17,078 |
Net income | 4,833 | 11,431 | 4,188 |
Bank of America Corporation | China Construction Bank | |||
Revenues from External Customers and Long-Lived Assets [Line Items] | |||
Realized gain (loss) on sale of equity method investment | 753 | ||
Equity method investment, realized gain (loss) on disposal net of tax | $474 |